Suzlon Energy (SUZLON) Q1 25/26 earnings summary

Executive summary

• Achieved record Q1 FY26 deliveries of 444 MW and consolidated revenue of ₹3,117 crore, with EBITDA up 62% year-over-year to ₹599 crore and profit before tax up 52% to ₹459 crore, driven by strong execution and a robust 5.7 GW order book.

• S144 wind turbine model dominates with over 5 GW in orders, and the company maintains a net cash position of ₹1,620 crore as of June 2025.

• Manufacturing capacity is fully operational at 4.5 GW, with 117 MW commissioned in Q1 and 547 MW in pre-commissioning.

• OMS business manages over 15 GW in India, with machine availability above 95% and EBITDA margin in the 39%-41% range.

• The forging and foundry business has shown consistent growth, with export potential being explored in the Middle East and Europe.

Financial highlights

• Q1 FY26 consolidated revenue reached ₹3,117 crore, up 62% year-over-year, with EBITDA at ₹599 crore and EBITDA margin improving to 19.2% from 18.4%.

• Profit before tax was ₹459 crore, a 52% year-over-year increase, and net profit after tax was ₹324 crore.

• Net worth as of June 2025 is ₹6,542 crore, with a net cash position of ₹1,620 crore.

• Contribution margin remained strong at 35.1% in Q1 FY26.

• Net interest cost guidance is about ₹200 crore for the year, with a sustainable tax rate of 25%.

Outlook and guidance

• Guidance for FY26 is 60% year-on-year growth across all key performance parameters.

• Robust order book of 5.7 GW and strong pipeline provide clear revenue visibility, with no slowdown expected for the next two to three years.

• Industry upcycle supported by India's energy transition, policy support, and projected wind capacity additions.

• Contribution margin is expected to be maintained at 23% for the year, with Q1 being an outlier.

• The company is confident in meeting its guidance despite execution and commissioning challenges.