Inox Wind strongly positioned under auction regime and continues on track of profitability
Inox Wind Limited, India's leading wind power solutions provider, reported its results for the third quarter of the financial year ending 31st March 2019.
We ended the quarter with revenues of Rs. 391 crores as compared to Rs. 91 crores in the corresponding previous year quarter. We have an EBITDA profit of Rs. 61 crores as compared to an EBITDA loss of Rs. 18 crores and have a PAT profit of Rs. 2 crores as compared to a PAT loss of Rs. 46 crores in the corresponding similar period. The sector is moving ahead towards a regime of sustainable volumes and growth post witnessing a painful transition over the past few quarters.
Over the quarter, we achieved a significant milestone by entering into a technology agreement to launch the next generation 3.3 MW wind turbine with 146 rotor diameter, this probably will be the largest rotor diameter available in the country and will sets new benchmarks in Indian wind Industry. The 3.3 MW wind turbine platform will further reduce levelized cost of electricity (LCoE) thereby supporting the government's vision of a larger footprint for green energy.
We continue to maintain a strong partnership with Adani Green Energy and recently received a letter of intent ("LOI") of 501.6 MW to supply, erect and commission the newly launched 3.3 MW wind turbines.
Mr. Devansh Jain, Executive Director of the Company stated, "The Company continues to be profitable for the third consecutive quarter and is well poised to strengthen its execution and delivery in coming quarters. The Company recently signed an exclusive technology agreement with AMSC to launch the next generation 3.3 MW wind turbine which will set new benchmarks in the Indian wind Industry. This is going to be revolutionary product in India and would offer superior performance and enable optimal utilisation of India's low wind sites. We are also heartened to continue to build a strong relationship with Adani Green Energy as we recently received a 501.6 MW LOI from them; this coupled with the on-going execution of SECI orders puts the company on a sustainable growth path going forward.
After a delay of over one year, the power evacuation infrastructure being developed by the government agencies in Bhuj, Gujarat is now in the final stages of commissioning, which will enable us to ramp up execution and commissioning in the state.
We have also seen tariffs stabilising over the past few months which bodes well for the long term sustainable growth of the sector."
With almost 9 GW of auctions conducted in past 12 months and various auctions lined up over the next few months, there is a strong visibility on order inflows for the Indian wind power sector. The wind tariffs have seen an upward trend in the last two SECI bidding rounds and with the 6th round of SECI (1200 MW) round the corner, we expect the sector to see a period of robust and sustainable growth going forward.
Shares of Inox Wind Ltd was last trading in BSE at Rs.65.5 as compared to the previous close of Rs. 60.2. The total number of shares traded during the day was 59835 in over 928 trades.
The stock hit an intraday high of Rs. 68 and intraday low of 61.45. The net turnover during the day was Rs. 3921962.