- 15 Oct 2024
- ICICI Securities
OPERATIONAL PERFORMANCE IMPROVED YOY SUBSTANTIALLY
News: Consolidated revenue increased by 35.7% YoY (+12% QoQ) to Rs 1030.5 crore. Revenue from EPC segment (94% of total) increased by 37.1% YoY (+13% QoQ) while revenue from O&M (Operations & Maintenance) was up 16.6% YoY (+7% QoQ). EBITDA margin improved by 157 bps YoY to 1.8%, which led to substantial increase in absolute EBITDA by 12x YoY to Rs 18.2 crore (vs Rs 1.5 crore in Q2FY24). Further, other income at Rs 34 crore was higher by 97% YoY (+165% QoQ). Thus, PAT came at Rs 8.6 crore as against loss of Rs 54.5 crore in Q2FY24. Sequentially, PAT was up 77% QoQ. For H1FY25, revenue is up 53% YoY (led by 56% growth in EPC segment) while PAT is up significantly to Rs 13.4 crore (as against a loss of Rs 150 crore in H1FY24).
Views: Operational performance during the quarter improved substantially on YoY basis. During YTDFY25, order inflows remained strong at Rs 4220 crore. Management's full year order inflow guidance stands at Rs 8000 crore (vs Rs 6023 crore in FY24). Order book at Rs 10500 crore (2.8x TTM revenue) provides healthy revenue visibility. With a share of green energy is estimated to rise significantly globally in the coming years, the company estimates the solar EPC bidding pipeline of ~28 GW across domestic and international markets, which implies order inflow opportunity of ~Rs 1.4 lakh crore in EPC segment.
Impact: Positive