Inox Wind shares hit 10% lower circuit amid 2 large trades

Heavy electrical equipment company Inox Wind Ltd saw its shares hitting a 10% lower circuit today after two large trades during the trading session. The stock slipped to the lower circuit after around 6% of shares reportedly changed hands on the counter in two trades. The average price for these trades was ₹150 per share. 

In an exchange filing today, Inox Wind also said a meeting of the board of directors of Inox Wind Ltd is scheduled to be held on May 31, 2024, to consider and approve the proposal for raising funds by way of issuance of securities through preferential or private placement basis, or any other methods or combination thereof, subject to approvals from the shareholders and others.

The company says the board, if required, will also consider seeking approval of the shareholders in respect of the aforesaid proposal. The promoter Inox Wind Energy Ltd and the promoter group own a 52.87% stake in the company, while a 47.13% stake is owned by the public.

Shares of Inox opened a gap down at ₹155.80 on the BSE and fell to an intra-day low of ₹147.65, hitting the 10% lower circuit and dragging its m-cap down to ₹19,250.52 crore.  The Inox Wind share has given 340.39% return in the past year, while the share has risen just 12.71% in the year-to-date period. In the past six months, the scrip has surged 112.04%. The stock, however, is down 6.34% in the past month, and 3% in the past week. In December 2023, Inox Wind's parent company had infused ₹800 crore into the wind energy solutions provider.

On May 22, 2024, Inox Wind received an ‘A’ rating from CARE Ratings Ltd for its banking facilities. "The ‘A’ category rating reflects Inox Wind’s strong financial position, robust execution capabilities, large order book, and strong macro tailwinds," the company said.

In Q4 FY24, Inox Wind reported a revenue jump of over 190% YoY to ₹563 crore and EBITDA stood at ₹140 crore over EBITDA loss of ₹25 crore in Q4 FY23. The company's PAT stood at ₹38 crore against ₹115 crore loss in Q4 FY23. The company claimed its orderbook remained robust at ~ 2.7 GW, which provides it with large future revenue growth visibility.

Inox Wind services IPPs, utilities, PSUs and corporate investors. It is a part of the $8 BN INOXGFL Group, which is primarily focused on two business verticals -- chemicals and renewable energy. IWL is a fully integrated player in the wind energy market, with four state-of-the-art manufacturing plants in Gujarat, Himachal Pradesh and Madhya Pradesh, where blades, tubular towers, as well as hubs & nacelles are manufactured. With its 3 MW series WTG offering, IWL’s manufacturing capacity stands at 2.5 GW per annum.