Hitachi Energy India Achieves Rs 52.3 Crore Profit in Q2 2024 Driven by Revenue Growth

Hitachi Energy India reported a significant rise in net profit for the September quarter, reaching Rs 52.3 crore. This marks an increase of over 111% compared to Rs 24.7 crore in the same period last year. The boost in profit is attributed to increased revenues, as stated by the company.

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The company's revenue for the July-September 2024 quarter was Rs 1,553.8 crore. This represents a 26.5% increase from Rs 1,228.2 crore in the previous year. The rise was driven by a favourable mix and effective order execution during this period.

Order Growth and Market Expansion

Orders for the quarter ending September 30, 2024, reached Rs 1,952 crore. This is an 11.7% increase from Rs 1,747.1 crore in the same quarter of the previous year. The growth was led by renewables, including studies across utilities and power quality projects.

The service portfolio experienced a notable growth of 65% year-on-year. Orders included major overhauls of generator circuit breakers for large dam projects and extensions from utility and industry sectors.

Exports made up 22% of total orders in the September quarter. High-voltage products and grid integration orders from Europe and Africa contributed significantly to this share.

Order Backlog and Future Outlook

As of September 30, 2024, Hitachi Energy India's order backlog reached a record high of Rs 8,910 crore. This backlog provides revenue visibility for several upcoming quarters, according to the company.

Hitachi Energy India MD & CEO N Venu stated, "This surge has created favourable conditions for our overall business, leading to increased order intake, revenue, and profitability." He highlighted that their focused approach on executing orders with better margins and operational efficiency contributed to their strong performance in Q2FY25.

The company also noted that expansion and upgrades at existing power plants contributed to new orders. These efforts have improved efficiency and led to additional business opportunities within the sector.