Inox Wind (INOXWIND) Q2 24/25 earnings summary

Executive summary

• Q2 FY25 revenue rose 93% year-over-year to INR 742 crores (₹73,224 lakh), with EBITDA up 171% to INR 189 crores and profit after tax at INR 90 crores, reversing a loss last year.

• Achieved the strongest Q2 financial performance in 8 years, turning net cash as of September 30, 2024, and positive operational cash flow in H1 FY25.

• Order book reached a record 3.3 GW, with 1.2 GW added in FY25 and execution ramped up to 140 MW in Q2 FY25 despite monsoon challenges.

• Subsidiary Resco Global raised Rs 350 crore equity capital for expansion and diversification.

• Net profit after tax for Q2 FY25 stood at ₹9,020 lakh, a significant turnaround from a loss of ₹2,684 lakh in Q2 FY24.

Financial highlights

• Revenue: INR 742 crores (₹73,224 lakh) in Q2 FY25 vs INR 384 crores in Q2 FY24 (93% YOY growth).

• EBITDA: INR 189 crores in Q2 FY25 vs INR 70 crores in Q2 FY24 (171% YOY growth).

• Profit after tax: INR 90 crores in Q2 FY25 vs loss of INR 27 crores in Q2 FY24.

• Cash profit: INR 138 crores in Q2 FY25 vs INR 1 crore in Q2 FY24.

• Net cash as of Sep'24 stood at Rs 278 crore.

Outlook and guidance

• Execution guidance maintained at 800 MW for FY25, targeting >1,200 MW in FY26 and >2 GW annual execution by FY27.

• EBITDA margin guidance upgraded from 15% to 17% for FY25, with further improvement expected as royalty payments end and backward integration progresses.

• Tax rate expected to be nil for FY25 and FY26, rising to 25% in FY27.

• Management expects no material impact from pending GST/TDS/TCS reconciliations or ongoing litigation, with provisions already created.