Hitachi Energy India Ltd (NSE:POWERINDIA)
₹ 33,510 -290 (-0.86%) Market Cap: 1.50 Tn Enterprise Value: 1.47 Tn PE Ratio: 129.77 PB Ratio: 28.84 GF Score: 79/100

Q2 2025 Hitachi Energy India Ltd Earnings Call Transcript

Oct 29, 2024 / 11:30AM GMT
Release Date Price: ₹14253.55 (+4.73%)

Key Points

Positve
  • Hitachi Energy India Ltd (BOM:543187) achieved a record high order backlog of 8,910 crores, providing strong revenue visibility for upcoming quarters.
  • The company reported a significant year-on-year revenue growth of 26.5% for the quarter, driven by favorable order execution.
  • Operational efficiency improvements led to a profit before tax increase of 18% year-on-year, showcasing effective cost management.
  • The company has been recognized with the prestigious B Business World, India's most sustainable companies award, highlighting its commitment to sustainability.
  • Hitachi Energy India Ltd (BOM:543187) is actively investing in capacity expansion, including starting work on transformer facilities, to support future growth.
Negative
  • The company faced a negative operational cash flow for the quarter due to high payouts related to large projects, indicating potential cash management challenges.
  • There is ongoing uncertainty regarding the finalization of large HVDC orders, which could impact future revenue streams.
  • Other expenses remain high, with no significant reduction expected in the near term, potentially affecting profitability.
  • The company is still operating under a transitional service agreement with ABB, which may incur additional IT costs until fully independent.
  • There are concerns about supply chain issues, particularly with electrical steel, although the company has not faced significant problems yet.
Operator

Ladies and gentlemen, good evening and welcome to Hitachi Energy India Limited Q2 F 525 analyst conference call.

As a reminder, all participant lines will be in the listen-only mode and there will be an opportunity for you to ask questions after the presentation concludes.

Should you need assistance during the conference call? Please signal an operator by pressing star then zero on your Touchstone phone.

Please note that this conference is being recorded.

I now hand the conference over to Mr Nu MD and CEO Hitachi Energy India Limited. Thank you and over to you, sir.

N Venu Hitachi Energy India Ltd;MD;CEO

&

Thank you very much.

Good evening. Ladies and gentlemen, thank you very much for joining us for the news conference call.

I hope you're all doing well and today we announced our results for the second quarter of financial year 2,425 and over the next 2025 minutes.

I will take you through our performance during the period ending September 30th 2024.

And for

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