Wind turbine manufacturer Suzlon Energy posted a net profit of ₹3.2 billion (~$38.7 million) during the fourth quarter (Q4) of the financial year (FY) 2023, an increase of 266% year-on-year (YoY).

The company attributed the positive performance to reduced expenses during the period. The company’s net finance cost for Q4 FY23 came up to ₹810 million (~$9.8 million), a decline of 53% YoY.

The company’s net revenue for the quarter was ₹16.9 billion (~$204.4 million), a 31% YoY decline.

Suzlon’s earnings before interest, taxes, depreciation, and amortization (EBITDA) totaled ₹2.3 billion (~$27.8 million), up by 21% YoY.

JP Chalasani, Chief Executive Officer at Suzlon Group, highlighted the company’s successful efforts to improve its capital structure and address market demands for larger wind turbines. According to Chalasani, Suzlon has remarkably reduced more than 90% in net debt over the past three years. This achievement aligns with their adoption of the S144 – 3 MW series technology platform.

As of March 31, 2023, the company has secured cumulative orders totaling 1,542 MW, the highest since 2019. This order book comprises 652 MW of existing orders and an additional 890 MW secured subsequently. Notably, 780 MW of these orders are specifically for Suzlon’s new 3 MW series turbines.

Full Year

Suzlon’s net profit for FY23 was ₹28.8 billion (~$348.4 million), an increase of 1,839% YoY. The amount includes an exceptional gain of ₹27.21 billion (~$) during the year.

Last October, Suzlon announced raising ₹12 billion (~$145.80 million) through a rights issue of 2.4 billion partly paid-up equity shares. The issue was oversubscribed 1.8 times.

In December 2022, the company also approved the sale of its remaining stake of 51.05% in the subsidiary Vayudoot Solarfarms to Ahmedabad-based Aries Renewables for a consideration of ₹142.3 million (~$1.7 million).

The net finance cost for the full year also witnessed a decline of 44% YoY to ₹4 billion (~$48.4 million).

Source: Suzlon

The company’s net revenue came in at ₹59.5 billion (~$719.8 million) for the whole year, a 9% YoY decline. Wind turbines for the year were about 664 MW.

Suzlon’s EBITDA totaled ₹8.4 billion (~$101.6 million), up by 1% YoY.

The company’s net worth has turned positive at ₹11 billion (~$133.1 million) after a decade.

‘This year has been gratifying for us with strong results across all parameters. Our balance sheet is stronger and leaner because of net debt reduction to ₹11.8 billion (~$142.7 million), with the successful rights issue in FY23 playing a crucial role. Our consolidated profit after tax before exceptional items of ₹1.67 billion (~$20.2 million) is the highest reported by the company in six years, and we turned net worth positive after a decade,” said Himanshu Mody, Chief Financial Officer at Suzlon Group.

As of March 31, 2023, the company has 19.8 GW of installed wind energy capacity, with a roughly 33% cumulative market share in India and an overall presence across 17 countries across the globe.