India’s energy sector is undergoing a major transformation as the country moves away from its dependence on coal and embraces more sustainable, eco-friendly solutions. Leading this shift are two key players in the wind energy market: Inox Wind and Suzlon Energy. While both companies are crucial to the growth of India’s renewable energy sector, they each contribute in unique ways.
Inox Wind focuses on manufacturing wind turbines and offering comprehensive wind farm solutions, whereas Suzlon Energy combines turbine production with extensive operational and management services for wind farms.
Company Overview
Inox Wind is a fully integrated wind energy company providing end-to-end solutions, from conception and execution to commissioning and operation & maintenance (O&M). With over 13 years of operational experience, the company has a manufacturing capacity of over 2.5GW across four facilities. It is one of the few wind OEMs in India offering plug-and-play turnkey solutions along with post-commissioning O&M services.
Its product portfolio includes 2MW and 3MW WTGs (under production) and 4MW (license secured). The company boasts a robust order book of about 3.3 GW and a large order pipeline. As India’s wind sector aims to add ~80GW of capacity over the next 8 years, Inox Wind is well-positioned to capture a significant market share in this rapidly growing sector.
Suzlon Energy is a leading global wind energy company headquartered in India. With over 16,000 employees across 25 countries, Suzlon has installed more than 20.8 GW of wind energy in 17 countries. The company manufactures wind turbines ranging from 600 kW to 2.1 MW capacity and holds a 10 percent global market share.
In India, Suzlon dominates with 111+ wind farms, an installed capacity exceeding 14,820 MW, and a 32 percent market share. Suzlon pioneered the ‘Concept to Commissioning’ model and has expanded into solar power, offering wind-solar hybrid solutions. The company’s installations reduce over 53.37 million tonnes of CO2 emissions annually.
Industry Outlook
- They have plans of adding ~ 80 GW of wind capacity in the next 8 years as per the National Electricity Plan.
- It provides visibility of > Rs 6 trn for wind OEMs and a large multi-year opportunity for O&M service providers.
- The company has 250 GW of RE projects to be awarded over FY24-28.
Future Plans Of Inox Wind
- Amongst the top wind OEMs in India, they are targeting 2 GW of annual execution by FY27 and aim to create significant value for all stakeholders.
- Order book currently stands at ~ 3.3 GW providing a large revenue visibility in the next 2-3 years.
Future Plans Of Suzlon Energy
- The company has a global wind has a Global installed Wind energy capacity of 20.9 GW.
- Suzlons aims to potentially increase its market share, which has been around 31 percent cumulative market share in India.
- The company’s Manufacturing capacity reached 4.5 GW, with revamped Pondicherry and Daman Nacelle Facilities.
- The company has a strong net cash position of Rs. 1,107 Cr as of 31st Dec 2024.
- Their orderbook surpasses 5 GW making it the dominant product for Indian markets.
Financial Highlights
Inox Wind’s revenue rose by 96 percent from Rs. 506.88 crore to Rs. 993.6 crore in Q3FY24-25. Meanwhile, Net profit rose by 10,801 percent from Rs. 1.07 crore to Rs. 116.65 crore during the same period.
Suzlon Energy’s revenue rose by 91 percent from Rs. 1,569.71 crore to Rs. 3,002.36 crore in Q3FY24-25. Meanwhile, Net profit rose by 90.5 percent from Rs. 203.04 crore to Rs. 386.92 crore during the same period.
Key Financial Ratios
Inox Wind has a Return on Equity (ROE) of 7.21 percent and a Return on Capital Employed (ROCE) of 6.48 percent and the company has a Price-to-Earnings (PE) ratio of 67.17, suggesting growth expectations from the market. Additionally, with a low debt-to-equity ratio of 1.33.
Suzlon Energy has a Return on Equity (ROE) of 21.35 percent and a Return on Capital Employed (ROCE) of 20.69 percent and the company has a Price-to-Earnings (PE) ratio of 63.43, suggesting growth expectations from the market. Additionally, with a low debt-to-equity ratio of 0.06.
Written by Sridhar J
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