Wednesday, December 28, 2011

Suzlon makes a turnaround in Quarterly profits

Suzlon started its journey with mere 20 supporters in 1995. Being the Market leader in India, Suzlon Market Share worldwide is 8% thereby making it the 5th largest wind turbine manufacturing groups in the world.
Mr. Tulsi R. Tanti, founder- Suzlon Group, said: "We are pleased to report a strong first quarter on all operational parameters with an EBIT margin of 8.1 per cent.”
Mr. Robin Banerjee, Chief Financial Officer, said: "We have reported a profitable first quarter, with a major turnaround from a loss of Rs. 912 crore in Q1 FY11 to a profit of Rs.60 crore in Q1 FY12. We have improved our gross profit levels to 35 per cent despite a very competitive market environment and rising commodity prices.”
This has majorly achieved due to their consistently improving operational efficiency, managing debt profile, and securing orders.
Suzlon energy jumped 3.18% to Rs.37.30 at 10:09 IST on BSE after the company reported a consolidated net profit of Rs.48 crore in Q2 September 2011 compared with a consolidated net loss of Rs.369.23 crore in Q2 September 2010.Suzlon Energy said during Q2 September 2011,it concluded that non-alignment of the revenue recognition policy of Repower to that of Suzlon would result in more appropriate presentation of the financial statements and changed the process of consolidation from quarter ended 31 March 2011.Accordingly,the consolidated financial results for the quarter ended 30 September 2011 are to that extent not comparable. Had the company applied the same policy in the quarter ended 30 September 2010,the revenues and the net loss after tax for the quarter ended 30 September 2010 would have been higher by Rs.156.35 crore and Rs.24.87 crore respectively.
Suzlon’s management is confident that order inflow would be strong in the coming quarters despite a slowdown in the US and Europe, but things may not be that hunky-dory.

Yamini Agarwal | Guest Editor


  1. Yamini you quoted that
    Suzlon energy jumped 3.18% to Rs.37.30 at 10:09 IST on BSE

    But I checked the graph it is not reflected are you sure or is it some mistake

  2. It mentions, after the results in Q2 September 2011. So you'll have to check the minor details during that month. Also the author is trying to point out the efforts of profit making by Suzlon, and whether it has an impact on the Suzlon stock price.

    Also I'm looking forward to views about Suzlon heading more south, after it touching Rs. 18-19 these days, and when is it bouncing back?

  3. The data is correct!It is for the time after the company reported the profit in Q2 september 2011.

  4. Many investors are shifting their focus from equities and derivatives. Now a day’s commodity segment is quite booming segment which offers great returns. commodity traders have one more advantage and that is time frame. Commodity market is open for quite long trading hours d is giving high returns too.

  5. Unless debt concerns are not removed stock will not trigger.