Suzlon Energy Posts Strong Q1 FY25 Results, Achieves Best Performance in 7 Years

Suzlon Energy Limited has announced its financial and operational results for the first quarter of FY25, highlighting a period of exceptional growth and performance. The company's leadership, including Group CEO JP Chalasani and Group CFO Himanshu Mody, shared key insights during an earnings conference call.

JP Chalasani, Group CEO, remarked, "Q1 FY25 continues the growth momentum started in FY24 with unparalleled performance across financial and operational parameters. This is one of the best quarters in seven years, wherein we have outperformed across various performance metrics. This performance results from several strategic and transformative steps taken in the last three to four years."

Chalasani highlighted the company's robust order book of 3.8 GW as of June 2024, the largest in Suzlon's history, and the wide acceptability of the S144 WTG model. Suzlon now holds a 32 percent market share of the cumulative installed base in India. The company delivered 274 MW in Q1 FY25, doubling the 135 MW delivered in Q1 FY24. Suzlon’s Operations and Maintenance Services (OMS) business continues to thrive, managing 14.8 GW of capacity in India with machine availability above 96 percent.

Despite the industry commissioning around 770 MW this quarter, Suzlon expects more turbines in the pre-commissioning phase to be completed in Q2 FY25. The Indian wind sector is projected to achieve a 5 GW installation in FY25.

Himanshu Mody, Group CFO, presented the financial highlights, stating, "Q1 FY25 saw a renewed focus on our bottom line, resulting in a revenue of INR 2,016 crores for the quarter, a 50 percent increase year-on-year. Consolidated EBITDA reached INR 370 crores, up by more than 86 percent, with an EBITDA margin of 18.4 percent. The PAT for Q1 FY25 surged by 200 percent, almost tripling to INR 302 crores, marking our highest quarterly EBITDA and PAT in nearly seven years."

Mody attributed this success to a year of financial turnaround in FY24, emphasising Suzlon's focus on improving its balance sheet and securing working capital. In FY25, the company will prioritise performance on the P&L and working capital sides.

Chalasani also revealed that India's current supply capacity ranges between 3.5 to 4 GW annually, with potential for further expansion in FY26 and FY27.