Suzlon Energy recorded stronger revenue growth in the second quarter, with revenue rising 26% and profit increasing 1.3%. However, EBITDA remained unchanged at ₹720 crore, reflecting pressure on operating margins.
Revenue and profit move higher
The quarterly performance shows a year-on-year increase in both revenue and profit. Revenue growth of 26% outpaced the 1.3% rise in profit, indicating that the improvement in sales did not translate into a similar increase in earnings.
Margins decline despite stable EBITDA
EBITDA was flat at ₹720 crore. At the same time, the EBITDA margin narrowed to 14.8% from 18.6% a year earlier.
The margin movement is the key feature of the results. While Suzlon Energy expanded revenue and delivered modest profit growth, the lower margin indicates that EBITDA was unchanged as a proportion of the company’s higher revenue base.
Key takeaway from the quarter
Suzlon Energy’s Q2 results present a mixed performance: revenue growth was strong and profit moved higher, but operating margins weakened. The company’s ability to maintain EBITDA at ₹720 crore provides a clear contrast to the 26% increase in revenue.