Suzlon Energy's arm receives penalty order over 'non-payment' of customs duty; stock slips 4%

Suzlon Energy on Friday informed exchanges that its wholly-owned subsidiary Suzlon Global Services Ltd (SGSL) received a penalty order from the office of Commissioner of Customs (Imports), Mumbai, alleging non-payment of customs duty. "This is to inform that Office of the Commissioner of Customs (Imports), Mumbai, has levied a penalty of Rs 7.47 lakh upon Suzlon Global Services Ltd (SGSL), a wholly-owned subsidiary of the company. SGSL shall prefer an appeal against the order with the appropriate authorities in due course of time," the renewable energy solutions providers stated in a BSE filing.

The alleged non-payment is related to an August 30, 2017, order for casting parts imported from China. "There is no material impact on the financial, operation or other activities of the company," Suzlon added.

The company recently shared an update on its order book size after the cancellation of two orders. "Last reported order book of the company as on January 28, 2025, stood at 5,523 MW. Post this with certain new order intakes/cancellation/truncation, the company's order book as on date stands at a healthy position of 5,622 MW (including the despatches made during Q4 FY25 which shall be disclosed at the time of declaration of the financial results for quarter and financial year ended March 31, 2025)," it said.

On the stock-specific front, Suzlon slipped 4.40 per cent to hit a low of Rs 55. It was last seen trading 4.24 per cent down at Rs 55.09. At this price, the scrip has fallen 15.69 per cent on a year-to-date (YTD) basis.

Technically, the scrip traded lower than the 5-day, 10-, 100-, 150-day and 200-day simple moving averages (SMAs) but higher than the 20-day, 30-day and 50-day SMAs. Its 14-day relative strength index (RSI) came at 48.42. A level below 30 is defined as oversold while a value above 70 is considered overbought.

As per BSE, the stock has a price-to-equity (P/E) ratio of 157.57 against a price-to-book (P/B) value of 19.35. Earnings per share (EPS) stood at 0.35 with a return on equity (RoE) of 12.36. According to Trendlyne data, Suzlon has a one-year beta of 1.2, indicating high volatility.

As of December 2024, promoters held a 13.25 per cent stake in the company.