GE Vernova T&D India (522275) Q1 24/25 earnings summary

Executive summary

• Achieved robust financial performance in Q1 FY25, with revenue reaching INR 9.6 billion, up 34% YoY, and profit before tax rising to INR 1.8 billion from INR 386 million YoY.

• Order book reached INR 10.3 billion, up 2% YoY, and order backlog surged 59% YoY to INR 62.8 billion as of June 2024.

• Net profit for the quarter was INR 1,345 million, compared to INR 282 million in the prior year quarter.

• Cash and cash equivalents increased to INR 4.4 billion as of June 2024, with cash generation of INR 1.6 billion during the quarter.

• Focused on operational efficiency, selective market participation, and lean processes to drive profitability.

Financial highlights

• Q1 revenue at INR 9.6 billion, up 34% YoY from INR 7.2 billion.

• EBITDA reached INR 1.9 billion, with EBITDA margin at 20.2%, up from 8.7% YoY.

• Profit after tax for Q1 FY25 was INR 1,345 million (14.0% of revenue), up from INR 282 million (3.9%) YoY.

• Gross margin improved to 40.3% in Q1, compared to 32% in the same quarter last year.

• Basic and diluted EPS for the quarter was INR 5.25, compared to INR 1.10 in the same quarter last year.

Outlook and guidance

• Management aims to sustain or improve gross margins, driven by pricing, product mix, and operational improvements.

• Order inflow expected to strengthen, with INR 13 billion booked in July and a strong pipeline in renewables and TBCB projects.

• Sustained demand anticipated for the next 3-4 years, supported by domestic and export opportunities.