Moser Baer in its Q1 results announced that the net sales registered a sharp growth of 16.6 % Q-o-Q resulting in a turnover of INR 523 crores recorded during the quarter. The turnaround with sharp upswing in the profitability in Q1 FY12, return to profitability indicated in the coming quarters. The company EBITDA (before finance charges) increased to Rs. 57 crores from Rs. 17 crores (Q4FY11) and expected to climb further in the coming quarters. The correction of over-supply in the global storage media market resulted in a strong growth of 15.8% in shipments Q-o-Q. New customer orders booked at a higher ASPs leading to continued higher margins in the future quarters.
Strong traction in domestic Solar EPC continues resulting in a pipeline of 250MW for the EPC Unit (PV Systems) in the next 18 months the company added.
Highlighting the potentialities of the Indian solar PV market K.N. Subramaniam, CEO, Moser Baer Solar Systems said, “The financial closures achieved by 35 project developers towards setting up of 610 MW capacity solar farms is very heartening. Additionally, the Government’s move to invite bids for INR 3,000-crores solar power projects for a capacity of 300 MW under the National Solar Mission by end August 2011 presents us with a tremendous growth opportunity.” He further added, “The clean energy generation from our benchmark installations has been much above expectation which has immensely helped in building confidence of the investors and financial institutions in the solar projects. These factors have resulted in creating a strong pipeline of around 250 MW for the EPC arm of Moser Baer and established us as the leading solar EPC player in the country.”
Commenting on the results, Yogesh Mathur, Group Chief Financial Officer, said: “The Q 1FY 12 performance was along the expected lines with a turnaround driven mainly by factors such as strong recovery of storage media market, price increase along with easing of commodity price. These imply in strong operating cash generation for the company which is likely to continue till end of year. Significantly, the sharp increase in volume has aided in reduction of the inventories of the storage media products.” Talking about the company’s solar PV plans, he added, “We have been ramping up our manufacturing capacity and are geared to meet the growing demands of the Solar PV sector. The high efficiency SE Line is being ramped up for full commercial production by early next quarter which will further entrench our position as the leading solar PV player in the country with an aggregate PV panel manufacturing of capacity of 250 MW.”
The company announced that the first phase of its module capacity expansion was achieved. High efficiency SE Line being ramped up for full commercial production. The work was at full swing on India’s largest solar farm (30 MW Gujarat project) for affiliate and was expected to be complete in current quarter. The company also added that techno-economic evaluation being done for fresh capacity of 300-500 MW module line.