Suzlon
Suzlon was locked in the lower circuit post its performance for Q2FY14, wherein losses continued. It posted a net loss at Rs.782 crore and the only thin solace being that at least it is lower than Q2FY13 loss of Rs.808 crore and much lower than loss of Rs.1059 crore in Q1FY14. A forex loss of Rs.70 crore and a restructuring cost, under Project Transformation, further added a burden of Rs.67 crore. Total income dropped 17% at Rs.4820 crore. Overall being a very disappointing set of numbers, traders seem to have deserted this ship. The company has blamed the loss on lower volumes, the impact of the depreciating rupee, and restructuring costs.
Consolidated operating expenses were reduced by 38% due to stringent cost control measures in place. Suzlon Wind achieved volumes of 220 MW for current Q2. REpower achieved revenues of EUR 388.8 mn in Q2 FY14, compared with EUR 332.6 mn in Q1 FY14, with volumes impacted by lower demand from the US market. The consolidated Group orderbook stood at 5.1 GW, approximately Rs.43,834 crore / US$ 7.1 bn in value, with an intake of 395 MW over Q2 FY14.The company is currently undergoing a Corporate Debt Restructuring (CDR) program since 1st Oct. Under the CDR, the company has got an approval for Rs.9,500 crore debt restructuring plan from its domestic lenders in January. A 19 banks consortium has agreed to enhance working capital facilities to the group by Rs.1,800 crore and an easier repayment plan.