GE Vernova T&D India (522275) Q2 24/25 earnings summary

Executive summary

• Q2 FY25 order booking surged 333% year-over-year to INR 46.8 billion, driven by large export and digital orders; H1 order booking up 173% year-over-year to INR 57.1 billion.

• Revenue for Q2 FY25 rose 59% year-over-year to INR 11.1 billion; H1 FY25 revenue reached INR 20.7 billion, up 46% year-over-year.

• Order backlog reached an all-time high of INR 98.4 billion as of September 2024, up from INR 62.7 billion in March 2024.

• Profit before tax for Q2 FY25 was INR 1,938 million, up from INR 503 million year-over-year; H1 profit before tax at INR 3,737 million versus INR 889 million year-over-year.

• Significant operational achievements included commissioning key substations and grid upgrades for major clients.

Financial highlights

• Q2 FY25 revenue: INR 11.1 billion, up 59% year-over-year; H1 FY25 revenue: INR 20.7 billion, up 46%.

• Q2 FY25 gross margin: 41.2%, EBITDA margin: 18.8%, profit before tax margin: 17.5%.

• Net profit for Q2 FY25 was INR 1,446 million, up from INR 372 million year-over-year; H1 net profit at INR 2,792 million versus INR 654 million year-over-year.

• Cash and cash equivalents rose to INR 6.8 billion as of September 2024, up from INR 2.8 billion in March 2024; net debt minimal.

• Export orders comprised 53% of Q2 order intake and 47% of H1 FY25 orders.

Outlook and guidance

• Management expects sustainable order inflow, with annualized run rate (excluding large one-off orders) projected at INR 55-58 billion.

• Large HVDC project decisions expected within three months, with addressable opportunity of $1-2 billion.

• Margins expected to remain strong, with export and automation orders providing further upside.

• Record order backlog positions the company for strong future revenue growth.

• Significant new orders in high voltage products and grid solutions expected to drive continued momentum.