Renewable energy major, Suzlon Energy Ltd has reported a net loss of 8.49 billion rupees or $153 million during the first quarter of the financial year till June 2012.
The company had recorded a net profit of 601.2 million rupees during the same quarter of the previous year. The total consolidated sales of the company increased 10 per cent to 47.47 billion rupees. There have been some concerns in the market about the company's ability to redeem its bonds over the previous maturity date.
The investors and creditors are now carefully watching the company and determine its ability to pay on the maturity of the next bond in October. The company is struggling in the market due to a fall in demand for its products amid a slowdown in the global economy.
Tulsi Tanti, chairman of the company has said that the "macroeconomic environment, policy uncertainties in some markets, along with other external factors such as the depreciating rupee continue to impact" the company.
The higher interest costs on the repayment of the company's debt as well as a notional forex loss of 1.53 billion rupees dented the company's earnings in eth quarter, according to Kirti Vagadia, chief financial officer. The company had a total debt of 130.17 billion rupees as on June 30.
- Decision on gas price revision taken under RIL’s coercion: Dasgupta
- Government to pay $8.1 billion fuel subsidy in fourth quarter
- Oil firms falls as government considers export parity pricing model
- Essar Oil to sign $1 billion financing co-operation deal with CDB
- ONGC may sell stakes in deep-water blocks to Shell