Worth reading and listening to all the information this company has shared in the past 3-4 months.
It’s a turnaround which if executed well then we’re looking at a massive runway ahead.
Undervalued with a good RR.
Early adopters can consider it, rest can wait for some momentum.
Q4 results & commentary will set the tone, and pace.
So how do we see this impacting SW SOLAR?
Hmm ……
None in my view. This is a totally different business under S&W group
Anyone have further information on the much anticipated ‘turnaround’ ?
Basis scuttlebutt - legitimate & well respected PMS players have been adding for their clients across the past 2-3 weeks and positions have been made.
Would appreciate any information from those closely tracking.
Invested & sized at 50% for now.
Their khavda project is facing major cost pressures…next few quarters to be muted
What is this news of Khavda cost pressure based on? Can you share any articles/links. My understanding was that post COVID they have changed their business model to where the client is responsible for payment of RM and they do not carry any risk of materials.
Additionally, since they will become almost debt free, thats close to 200 Crs that will get added to bottom line in addition to top and bottom line improvements from new projects. So what is the basis for saying muted growth for next few quarters?
Can you eloborate more on this or share the news where did you pick this up from . I understand the NTPC project includes the module as well and for this they need not have to source in india as ALMM Is in effect from April and prices are only dropping in internatinal market.
Rating Upgrade
please note that Acuité Ratings and
Research Limited (“Acuité”) has upgraded its short-term rating to ‘ACUITE A4+’ (read as
ACUITE A four plus) from ‘ACUITE A4’ (read as ACUITE A four) to Rs. 100 Crore of shortterm commercial papers of Sterling and Wilson Renewable Energy Limited (“the Company”).
Further, on the request of the Company, Acuité has withdrawn the short-term rating on Rs. 200
Crore commercial papers of the Company. The Company does not have any outstanding
commercial paper as at date
Results update.
Pursuant to Regulation 29 of the SEBI Listing Regulations, please note that a meeting of the Board of Directors of the Company is scheduled to be held on Saturday, April 20, 2024 interalia, to consider and approve the Audited (Consolidated and Standalone) Financial Results of the Company for the quarter and financial year ended March 31, 2024 (“said results”).
Thats the reason i said the price will not be same
Sterling & Wilson Q4 : strong numbers and turnaround is visible
Finally turns profitable!!!
Rev at 1178cr vs 88cr
EBITDA at 63cr vs loss
PBT at 34cr vs -418cr
PAT at 1.4cr vs -421cr
OCF at 538c vs -1829cr
New orders with 488 crores (I was expecting significantly more)
Nigeria order still didn’t close
0&M margins are still lower
Got second international order
Q4 PAT was affected by a non-cash deferred tax asset charge
Rationalization of overheads continue to progres.
Considering Overhead makes a huge % of the expense. How do we know any further increase in revenue will not proportionally increase overheads?
Management has only said “Our employee cost and other costs are not related to the increase in revenue, and we are not
Expect the overheads to go up significantly from what has already been given for the current financial year”
My question is, How? & How much revenue can they generate without meaningfully adding up the overheads?
Have tried to capture my views & a deep dive into the recent concall in this thread. Pls go through, it should answer a lot of questions. Valuation despite the rally is not very expensive vs. peers in my view.
Also this doesn’t include Reliance or Nigeria orders. If those come it would change these numbers.
This Is Great. I went through concall and the management stated that they would try to further bring down or stabilize overheads and thus operating leverage should kick in. Overheads should stay in 330-380 Cr Range
