Suzlon Group had reported a net profit of Rs 47.84 crore in the for the June quarter a year ago but this time it has posted a consolidated net loss of Rs 575 crore for the quarter ended June on account of decline in sales and increase in forex losses.
Indian wind market is on a growth trajectory with 7.5 GW of capacity already auctioned, from this Suzlon has the highest order share. However, FY19 may not see huge commissioning volumes as the transition period is prolonging and as a result of the new bidding regime, project execution time has increased from 9 to 18 months. This has caused temporary delay in realizations.
Suzlon has an order book of 1,134 MW. It is well positioned to cater to the growing market, with its slew of newly launched technologically advanced products offering higher Plant Load Factor (PLF) and reduced Levelized Cost of Energy (LCoE). The company is also focusing on select profitable international market.
The company is on course and continues to maintain the debt reduction target of 30-40 per cent by the end of financial year 2019.
Reference- ET, Financial Express, Money Control, TOI