Revenue from sales rose by 19% year-over-year (YoY) to Rs 2,270 crore during the period under review.
While EBITDA improved by 3% YoY to Rs 322 crore, EBITDA margin dropped by 220 basis points YoY to 14.2% in Q2 FY25.
Profit before tax in Q2 FY25 stood at Rs 298 crore, up by 2% from Rs 293 crore in Q2 FY24.
The company’s order intake for Q2 FY25 was Rs 3,196 crore (43% growth YoY) and unexecuted order backlog as at 30 September 2024 was Rs 7,831 crore (50% higher YoY).
On a consolidated basis, CG Power’s net profit and sales for the second quarter were Rs 220 crore (down 10% YoY) and Rs 2,413 crore (up 21% YoY), respectively.
The board of CG Power has approved an additional capacity expansion of Power Transformers at an investment of approximately Rs 27 crore (for addition of 5,000 MVA capacity) which would increase capacity to 40,000 MVA. The company had initially proposed to increase the capacity Power Transformers from 25,000 MVA to 35,000 MVA
The expansion is proposed considering the expected increase in demand for Transformers and is expected to be implemented along with earlier expansion project.
The board has also approved a proposal to raise funds for a maximum amount up to Rs 3,500 crore via issue of equity shares in one or more tranches. The funds would be raised by way of qualified institutions placement (QIP) of shares of the company.
CG Power, part of the Murugappa group, has two segments - power systems and industrial systems. The power systems segment manufactures electrical products such as transformers, switchgears and circuit breakers, which find application in power transmission. The industrial systems segment manufactures high and low tension rotating machines (motors and alternators), stampings, as well as railway transportation and signalling products.