Why Are Suzlon Shares Flying High Today?

Shares Suzlon Energy were trading almost 9% higher on Wednesday after the company posted strong earnings in the fourth quarter as it cut back on expenses.

What Happened? The wind turbine maker swung to a net profit of ₹319.99 crore in the March quarter from a loss of ₹205.52 crore in the same quarter last year.

The company’s revenue slipped to ₹1,699.96 crore from ₹2,478.73 crore a year earlier. However, the fall in revenue was offset by lower expenses, which shrank to ₹1,628.39 crore in Q4 from 2,511.70 crore last year.

See Also: Tata Shores Up Cash Reserves To Set Up For Electronics Splurge

Suzlon’s net debt also reduced to ₹1,180 crore in the quarter, down from ₹5,796 crore in the same quarter last year.

The firm Suzlon was reportedly in discussions with Deutsche Bank to borrow $350 million (₹2,896.47 crore) from offshore markets, besides raising money from debentures back home.

Suzlon has had issues with borrowings in the past, undergoing several debt restructurings with banks and paying off its liabilities through the sale of assets.

However, the company has also won recent contracts that have kept its share price elevated.

Price Action: Suzlon’s share price was up 8.92% at ₹11.60 in afternoon trade. The stock has climbed over 43% in the last month.

Read Next: How California Burrito’s Bert Mueller Built Bengaluru’s Favourite Mexican Food Joint

Don't miss a beat on the share market. Get real-time updates on top stock movers and trading ideas on Benzinga India Telegram channel.

Posted In: EquitiesWIIMMarketsSuzlon