Hitachi Energy shares lock at 20% upper circuit after 6-fold growth in Q3 profit

Shares of Hitachi Energy India were locked at their 20% upper circuit at Rs 12,157.95 on the BSE around 10 am on Thursday, January 30, after the company on Wednesday reported a 498% YoY jump in its Q3 PAT at Rs 137.4 crore.

This resulted in a PAT margin improvement from 1.8% to 8.2%. Meanwhile, the revenue also demonstrated healthy growth, climbing 31% YoY to Rs 1,672.4 crore.

For the nine months ending December 31, 2024, Hitachi Energy India reported revenue of Rs 4,520.3 crore and a net profit of Rs 200.1 crore.


Meanwhile, the company’s operating EBITDA exhibited strong growth, rising 108.5% to Rs 168.9 crore, and the operating EBITDA margin increased from 6.3% to 10.1%.

Orders

The company also witnessed a remarkable surge in orders, reaching Rs 11,594.3 crore, an 838.8% increase compared to the same period last year. The surge was primarily attributed to a large high-voltage direct current (HVDC) order to transmit renewable energy.

In addition, the transmission segment (not including the HVDC order) led the order book momentum, with power quality and substation projects.

Excluding the one-time large HVDC order, Hitachi Energy’s share of exports grew to over 40% of total orders in Q3FY25, with power quality, substation & renewable orders from Australia, Indonesia, Canada, Croatia, Azerbaijan, etc.

Also read: Whirlpool India shares plunge 20%, hit lower circuit as parent firm plans to offload 20% stake

Similarly, the service segment constituted 11% of total orders (excl HVDC). Key orders include multiple market studies (for grid and renewables) and service agreements for lifecycle management.

At the close of December 2024, the company recorded its highest-ever order backlog of Rs 18,994.4 crore, providing revenue visibility for the coming quarters.

Outlook

India's economy is projected to expand, driving electricity demand to over 700 GW by 2047—2.5 times current levels. Meeting this demand and 2030 targets requires scaling renewable capacity beyond 50 GW annually, necessitating grid infrastructure improvements and localized supply chains.

Prioritizing energy storage, green hydrogen, and related industries will further accelerate growth. Strategic clean energy, infrastructure, and digital innovation investments will enable India to achieve its energy goals and a sustainable energy future.

Also read: Tata Motors shares plunge 9% to hit 52-week low as Q3 results miss estimates

(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)