The world's fifth largest wind turbine maker, Suzlon Group, today widened losses in the December quarter at Rs 286.5 crore due to higher tax outgo and forex losses, primarily by its overseas subsidiary REpower.
The loss stood at Rs 253.6 crore in the year-ago period.
The company also slashed its Q4 revenue guidance by over 10 per cent to Rs 21,000-22,000 crore from its earlier target, due to the poor volumes from India and China in Q3.
"Our net loss for the third quarter increased 13 percent to Rs 286.46 crore on a higher international deferred tax provisioning of Rs 134 crore and forex loss of Rs 125 crore, (Rs 45 crore due to the rupee fall and Rs 80 crore on sale of goods by the subsidiary REpower).
"That apart, there was also a depreciation of Rs 170 crore during the quarter," Suzlon Energy chief financial officer Robin Banerjee told PTI over phone from the company headquarters in Pune.
Banerjee pointed out that the company had had one of the best quarters when it came to sales as its order book rose to Rs 37,200 crore while order intake rose to Rs 27,000 crore during the reporting period.
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Despite slashing Q4 guidance, Banerjee sounded bullish, saying "what is important is that customers continue to repose faith in our products. Also, we could grow our margins by 33 percent in Q3, which is one of the highest in the industry. That apart we also could maintain a cash profit of Rs 26 crore during the quarter despite massive fall in the rupee against both the US dollar as well as against the euro."
The company also revised downwards its EBIT margin to 6 per cent, due to lower Q3 volumes, for the fourth quarter.
During the quarter, consolidated revenue rose to Rs 4,985 crore, a growth of 12 percent over year-on-year, while margins grew more robustly at 33 percent, while EBIT margin stood at 7 per cent.