Suzlon Energy CFO Himanshu Mody shares view on key focus areas; stock up for 5th day

Suzlon Energy Ltd's CFO Himanshu Mody says his company's focus in the next few quarters will be on delivering of the 1,600 MW of confirmed orders that it has in a timely and profitable manner. Suzlon Energy will be selective on orders, which are profitable and commensurate with Suzlon's margin profiling, the CFO at the renewable energy solutions provider said. 

In an interview with Business Today TV this week, Mody said the issues that his company was seeing all this while are behind it and the focus is on delivering performance, keeping cost under check and improving margins. The Suzlon Energy CFO said the company's September quarter bottom line was aided by the fact that Suzlon Energy has become debt free on the back of a successful qualified institutional placement (QIP) in August and, as a results, its finance cost fell drastically for the quarter.

Suzlon Energy clocked a 78.11 per cent year-on-year (YoY) surge in net profit at Rs 102.29 crore on a flattish sales at R 1,417.21. There was a reduction of 55 per cent YoY in the finance cost on account of repayment of debt, analysts noted.

Mody said Suzlon Energy raised about Rs 2,000 crore from the QIP, which was supported by good institutional marquee names, adding that his company was sitting on a net cash of Rs 600 crore as on September 30. In terms of delivery, Suzlon Energy delivered 267 MW of deliveries in the first half of FY24. This was against 312 MW of net volumes in the first half of FY23.

The Suzlon Energy management has guided for doubling of dispatches in H2FY24 vis-à-vis H1FY24. JM Financial expects dispatches for FY24 to come in at 800 MW.

Mody thanked Suzlon Energy's shareholders for disposing confidence company. He said the company has done a couple of equity raising in the last one year with a rights issue last year QIP this year and both the issues met with success. "It's our job as a custodians to deliver the best," he said.      

The stock climbed 4.53 per cent to hit a high of Rs 37.80 on BSE, taking its winning run to the fifth straight session. Suzlon Energy shares have climbed 37.80 per cent in the five-day period.

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