Mumbai: India’s second-largest wind turbine manufacturer, Suzlon Energy, has reported a strong start to the year with a profit of Rs. 324 crore in Q1FY26, a 7% rise from Rs.302 crore in the corresponding period last year. The company has seen a strong rise in orders, with a total of 1GW of orders received in the quarter.
The company’s revenues have risen by 55% to Rs.3,117 crores in the back of a sharp rise in its flagship wind turbine segment, which contributed Rs.2,496 crore in this quarter. The company’s earnings before interest, taxes, depreciation and amortisation (EBITDA) have also increased 60% to Rs.585 crore from Rs.364 crore, with the EBITDA margin expanding by 70 basis points to 18.78% in the quarter.
The company had recently expanded its production capabilities last quarter, as the demand for its highly sought-after S144 wind turbine rose. The company has an order book worth 5.7GW, with almost 75% of the orders coming in from PSUs and C&I orders (Commercial and Industries customers to set up their own turbines for their operations) as the company has made it to the government’s ALMM (wind) manufacturers list.
Suzlon Energy has been one of India’s best success stories in the renewables space, with the Pune-headquartered firm rising from the brink of bankruptcy after it got into a debt trap due to its overambitious acquisitions and expansion plans. It was forced to sell its acquired companies- Germany-based Senvion and Belgium-based Hansen Transmissions to pare its debt burden.
By 2023, most investors had written off their investments in Suzlon, as the company’s shares hit an all-time low of Re.1 in March 2020. Today, the company’s shares are worth Rs.60 a piece, even as the company’s finances have seen a noticeable improvement. Analysts at wealth management firm Nuvama have upgraded the company’s outlook, based on the company’s robust order book and its improved Earnings Per Share ratio.
Disclaimer: This article is for informational purposes only and does not constitute financial advice. Readers should conduct their own research or consult with a qualified financial advisor before making any investment decisions.
