Suzlon reports Rs 259.97 Cr loss in Q1, says it is cyclic

Suzlon Energy has reported a consolidated net loss of Rs 259.97 crore in the first quarter of this fiscal, saying the three months under review was a 'low volume' period in a year.
The Group has posted a net loss after taxes, Minority Interest and Share of Profit/(Loss) of Associates of Rs 259.97 crore for the quarter ended June 30, 2016 as compared to a net profit of Rs 1,014.34 crore for the quarter ended June 30, 2015, Suzlon Energy said in a BSE filing today.
Suzlon Group Chief Financial Officer (CFO) Kirti Vagadia, told PTI that the first quarter of this fiscal is not really comparable with the same period a year ago since the company made an exceptional one-time gain of Rs 1,289 crore from sale of its German subsidiary Senvion in April, 2015.

Vagadia further said that the company also got revenues for one month in the first quarter of 2015-16 from Senvion as the sale was concluded in end-April.
He added that the first quarter of every fiscal remains low volume as wind energy is cyclic in nature.
As per industry estimates, the first quarter volume (generation of energy) is 10-15 per cent of annual volume.

On the company's outlook for the current fiscal, he said India is expected to witness 4,300 MW of wind power generation capacity addition and Suzlon is targeting 40 per cent of it.
"We are on track as far as annual plan is concerned," he said.

The company said in the statement that its order book stands at 1,205 MW valued at Rs 7,657 crore and it has the consolidated customer advance of over Rs 1,000 crore.
According to the statement, total income decreased from Rs 2,641.15 crore for the first quarter last fiscal to Rs 1,668.94 crore for the quarter ended June 30, 2016.
The company's total income from operations also came down to Rs 1,655.09 crore in first quarter, compared to Rs 2,609.05 crore in year-ago period.
It stated that the income from wind turbine generator segment, which is the main business of the company, decreased to Rs 1,196.86 crore in the quarter compared to Rs 2,164.69 crore.

Suzlon Group CEO J P Chalasani said, "The country witnessed record renewable energy installations in FY16 and the industry will surpass it by over 30 per cent in the current fiscal... Our confidence to achieve higher than the industry growth rate comes from our product portfolio, strong orders, execution capabilities and strong presence across the value chain and customer segments.