Suzlon shares plunges after Q3 results

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oi-Sneha

By Sneha B K

Published: Monday, February 13, 2012, 11:16 [IST]

Suzlon Energy, biggest maker of wind turbines, reported net loss of Rs 286 crore foe the quarter ending December 31, where as it was Rs 254 crore last year.

The company said the loss is due to increase in interest costs and provision for deferred taxes. However, the company's revenues of Rs 21,660 crore year-on -year growth of over 30% and achieved an EBIT margin of 7%, despite what continues to be a challenging economic environment.

Suzlon has cuts its sales growth to Rs 21,000 crore, earlier sales were at Rs 14,500 crore in the first nine months, according to the statement.

The chairman Mr. Tulsi Tanti said in the statement, “However, it is unfortunate that inspite of having our best-ever orderbook, we have had lower volumes in Q3 FY12, leading to a downward revision of our full year guidance. These lower volumes were primarily due to an extended monsoon in India, grid infrastructure delays in China, and a procedural delay in closing our new working capital facilities.

Mr. Robin Banerjee, Chief Financial Officer said: “Focusing on the third quarter, we have maintained our gross profit margins at a robust 33 per cent. During Q3 we posted a cash profit of Rs. 26 cr, against a net loss of Rs. 286 cr, which was primarily due to certain non-cash items like international deferred tax liabilities of Rs. 121 cr and depreciation of Rs. 170 cr.

Shares of the company on Monday were trading lower at Rs 28.35 down by 2.40 points or 7.80% on BSE.

About Suzlon Group:
The Suzlon Group is ranked as the world’s fifth largest* wind turbine supplier, in terms of cumulative installed capacity, at the end of 2010. The company’s global spread extends across Asia, Australia, Europe, Africa and North and South America with over 18,000 MW of wind energy capacity installed in 28 countries, operations across 32 countries and a workforce of over 13,000.

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