Hitachi Energy India Limited received an order worth approximately ₹790 crore from its subsidiary company, Hitachi Energy Australia Pty Ltd. This order is for the development of high voltage direct current (HVDC) links. The stock price of the company surged by 3% following this announcement, reaching ₹11,950.00 apiece on BSE at 12:56 pm.
Through this deal, Hitachi Energy will work on the Marinus Link project, which involves creating HVDC links between Tasmania and Victoria. These links will be essential for the Burnie Converter Station and Latrobe Valley Converter Station projects.
“Marinus Link Pty Ltd selected Hitachi Energy to supply a HVDC project in Australia,” the company states in a release.
This order, to be executed over four years, comes after Hitachi Energy was selected by Marinus Link to supply HVDC infrastructure in Australia. Hitachi Energy will utilise its HVDC Light VSC (Voltage Source Converter) stations for this project, with certain equipment being delivered from their Indian factory.
Hitachi Energy reported a 123.82% surge in net profit, amounting to ₹113.7 crore for the fourth quarter ending on March 31, 2024, as per the company. This marked an increase from the ₹50.8 crore net profit reported in the corresponding quarter of the previous year. The company also noted a 27.1% rise in revenue from operations, reaching ₹1,695.3 crore compared to ₹1,334 crore in the same period of the preceding fiscal year.
At the operating level, Earnings Before Interest, Taxes, Depreciation, and Amortisation (EBITDA) saw a 91.4% increase, climbing to ₹182 crore in the fourth quarter of this fiscal year, up from ₹95.1 crore in the fourth quarter of FY23.
The quarter ending March 31, 2024, saw orders amounting to ₹1,406.7 crore, marking a 13.9% increase quarter-on-quarter (QoQ) and an 11.5% increase YoY. This growth was led by the industries, particularly focusing on the electrification and digitalisation of energy networks across various sectors from steel to silicon.
Service and export orders each experienced a robust 43% YoY increase, maintaining their contribution to the overall order book. As of March 31, 2024, the order backlog reached ₹7,229.5 crore, indicating a clear revenue trajectory for the upcoming quarters.
For the full fiscal year ending March 31, 2024, orders totaled ₹5,536.3 crore, reflecting a 14% increase (excluding high voltage direct current) from the previous fiscal year, while revenue stood at ₹5,246.8 crore, marking a 17% increase during the same period.
