Inox Wind (IWL) on Friday posted a consolidated net profit of ₹38 crore in Q4 FY24 against a net loss of ₹115 crore a year-ago due to higher project execution and a large order book.
For IWL, which offers end-to-end wind power solutions, this is the second consecutive quarter the company has reported a net profit. IWL’s consolidated revenue rose multi-fold to ₹563 crore during the January-March quarter in FY24.
IWL CEO Kailash Tarachandani said, “Q4 has been a milestone quarter for the company as we successfully transitioned to 3 MW WTG supplies from 2 MW WTGs. Our EBITDA run rate in Q4 places us on a strong footing for FY25. Our debt levels have also come down drastically and we expect to be net debt free within H1 FY25.”
Back in black
The macro tailwinds are reflected in the strong order book which stands at around 2.7 gigawatts (GW) at present. Other initiatives including ramping up operations, strengthening balance sheet, coupled with a large order book will translate into higher order execution from FY25 onwards, resulting in strong growth in profitability, he added.
The company executed 129 megawatts (MW) of project capacity in Q4 FY24 compared with 52 MW in Q3 FY23.
“Large macro tailwinds resulting in a healthy orderbook of around 2.7 GW (excluding LoIs), an addition of about 2.2 GW during the year, having a revenue potential more than ₹18,000 crore,” the company said.
The macro outlook continues to be extremely favourable. Power demand growth is expected to remain strong in the coming years, requiring capacity addition at a rapid pace, particularly renewables. Over the next 8-10 years, India plans to add around 100 GW of wind power capacity, on the current base of around 46GW. In FY24, > 50GW of renewables capacity was awarded through auctions, including over 15 GW of hybrid / RTC / FDRE projects and 2.3GW of plain vanilla wind.