Suzlon Energy Ltd posts consolidated net loss of Rs469.85cr in Q4FY18 vs. net profit of Rs588.75cr in Q4FY17 : Misses Estimates

The company’s consolidated revenue stood at Rs2,244.54cr, down 55.1% yoy.

May 31, 2018 03:05 IST India Infoline Research Team

Suzlon Energy Ltd Q4FY18

Consolidated Results Q4FY18: (Rs. in cr)

Q4FY18 YoY (%)
Revenue 2,244.54 [55.1]
EBITDA 218.30 [78.9]
EBITDA Margin (%) 9.73 [1,093]
Net Loss (adjusted) 469.85
***EBITDA margin change is bps
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Reco. Price

8.96

Last updated on

15-May-2018



Suzlon Energy has reported poor numbers in Q4FY18. Suzlon Energy’s Q4FY18 consolidated sales (including other operating income) dropped by 55.1% yoy to Rs2,244.5cr from Rs4,999.3cr in Q4FY17. EBITDA has declined by78.9% yoy to Rs218.3cr from Rs1,032.9cr in Q4FY17, while EBITDA margin dropped from 20.66% in Q4FY17 to 9.7% in Q4FY18. The company reported net loss of Rs469.9cr in Q4FY18. vs. net profit of Rs588.8cr in Q4FY17. 

• Raw material cost has declined by 57.4% yoy.
• Employee cost too has declined by 27.4% yoy.
• Adjusting for foreign exchange gain/loss, EBITDA de-grew by 55.7% yoy, while EBITDA margin has dropped by mere 20bps to 14.23% in Q4FY18.
• Finance cost has increased by 80% yoy to Rs619.9cr, while other income declined by 38.1% yoy to Rs15.2cr. This resulted in 180% drop in net profit.
• Order backlog at the end of the quarter stands at 1,203MW (includes more than 700MW of frame agreements backed by advance, PPA signed but pending ratification).
• The company has converted US$375mn FCCBs (69% of total) till date. The numbers of shares post full conversion will stand at 599cr shares.
• Consolidated net term debt (excluding FCCB) stands at Rs6,037cr. Working capital debt currently is at Rs3,889cr.
• The company expects to generate Rs12,000-13,000cr of revenues and EBITDA margin of 14% (excluding forex gains/loss) in FY19E. It also targets to reduce debt by 30-40% in the current financial year.

Suzlon Energy Ltd ended at Rs. 9.43, down by 0.08 points or 0.84% from its previous closing of Rs. 9.51 on the BSE.
The scrip opened at Rs. 9.40 and touched a high and low of Rs. 9.63 and Rs. 9.30 respectively. A total of 2,34,75,629 (NSE+BSE) shares were traded on the counter. The stock traded above its 200 DMA.

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