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The consolidated net loss for Sterling and Wilson Renewable Energy (formerly Sterling and Wilson Solar) rose by 5% to ₹2.99 billion (~$36.35 million) in the second quarter (Q2) of the financial year (FY) 2023, mainly due a slump in revenues in the engineering, procurement, and construction (EPC) segment.
On a sequential basis (QoQ), the net loss was 19% lower in the June-September quarter compared with ₹3.56 billion (~$43.27 million) in the preceding quarter.
The company, which is a solar engineering and construction arm of the Shapoorji Pallonji Group, posted revenue of ₹2.74 billion (~$33.31 million) from the EPC segment, an 80% fall compared to ₹13.76 billion (~$174.81 million) during the same period last year. The numbers were down by 76% compared to ₹11.62 billion (~$146.72 million) during the previous quarter.
The company’s total income fell by 72% to ₹4.11 billion (~$49.96 million) in Q2 FY 2023 compared to ₹14.7 billion (~$178.69 million) in the corresponding period a year ago. The numbers decreased by 66.6% QoQ compared to ₹12.11 billion (~$147.21 million) in the preceding quarter.
For the first six months (1H) of FY 2023 that ended September 30, the company registered a net loss of ₹6.55 billion (~$79.62 million), an increase of 81.4% compared to ₹3.61 billion (~$43.88 million) during 1H FY 2022.
Recently, the company emerged as the lowest (L1) bidder for the balance of system (BoS) package comprising four blocks of the proposed 1,255 MW of solar power projects being developed by NTPC Renewable Energy at the Khavda Renewable Park.
Earlier, Reliance New Energy Solar, the green energy arm of Reliance Industries, completed the 40% stake acquisition in Sterling and Wilson Renewable Energy. In February this year, Reliance had purchased 19.66 million Sterling and Wilson Renewable Energy shares in an off-market deal.
Sterling and Wilson had emerged as one of the top engineering, procurement, and construction (EPC) service-providing companies in Mercom’s India Solar Market Leaderboard 2022. Sterling and Wilson led the segment with a market share of 12%.