Suzlon Energy gains after winning new contract

Suzlon Energy rose 3.30% to Rs 7.20 at 12:00 IST on BSE after the company said it won a new contract in Uruguay.

The company made the announcement during trading hours today, 14 October 2013. Financial details of the deal were not disclosed.

Meanwhile, the BSE Sensex was up 80 points, or 0.39%, to 20,608.59.

On BSE, 13,000 shares were traded in the counter compared with average volume of 16.99 lakh shares in the past one quarter.

The stock hit a high of Rs 7.29 and a low of Rs 7 so far during the day. The stock hit a record low of Rs 5.72 on 28 August 2013. The stock hit a 52-week high of Rs 26.90 on 6 February 2013.

The stock had outperformed the market over the past one month till 11 October 2013, rising 8.91% compared with the Sensex's 2.66% rise. The scrip had, however, underperformed the market in past one quarter, falling 22.47% as against Sensex's 4.33% rise.

The small-cap company has an equity capital of Rs 432.43 crore. Face value per share is Rs 2.

Suzlon Energy announced that the group won a 65 megawatt (MW) project in Uruguay. The project, located in the southern Department of Colonia in Uruguay, is developed by Rouar S.A., a unique joint venture between UTE - Uruguay's state-owned utility, and Brazilian utility Eletrobras - the largest in Latin America, the company said in a statement.

As per the deal, Suzlon will supply 31 units of the S95 - 2.1 MW wind turbines for the project. Suzlon will be responsible for full EPC delivery for the project, scheduled for completion in September 2014, the company said.

Speaking on the order, Mr Tulsi Tanti, Chairman - Suzlon Group, said: "This is a major order for the company and a big step forward in our push into South America. We are very pleased to deliver our first project in Uruguay, and to partner with both UTE and Eletrobras through Rouar S.A., and look forward to a long and constructive relationship."

Suzlon Energy reported consolidated net loss of Rs 1058.90 crore in Q1 June 2013, higher than a net loss of Rs 848.97 crore in Q1 June 2012. Net sales declined 18.9% to Rs 3851.45 crore in Q1 June 2013 over Q1 June 2012.

The Suzlon Group is ranked as the world's fifth largest wind turbine supplier, in terms of cumulative installed capacity and market share, at the end of 2012.

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