Gujarat High Court approves appeal of Suzlon Energy, grants stay order against Rs.261 crore

Suzlon Energy Ltd announced in a filing to the exchange today that the Gujarat High Court has issued a temporary halt against the Rs.261 crore penalty imposed by the National Faceless Assessment Centre, Income Tax Department, New Delhi, in March.

In the fiscal year 2015-16 (April-March), a penalty amounting to Rs.87.59 crore was imposed due to the disallowance of the depreciation claim on goodwill, delayed payment of the provident fund, and delayed payment of employees' state insurance.

A penalty of Rs.172.76 crore was imposed due to the disallowance of the depreciation claim on goodwill, delayed payment of the provident fund, and delayed payment of employees' state insurance in the fiscal year 2016–17. The wind turbine manufacturer witnessed a significant surge of 160% in its net profit for the October-December period, as compared to the corresponding period of the previous year.

The company's net profit amounted to ₹203.2 crore, a significant increase from the Rs.69.8 crore reported in the corresponding period of the previous year. Furthermore, finance costs for the quarter experienced a substantial decline of over 80%, decreasing from ₹86.3 crore to Rs.14.3 crore. Suzlon achieved the remarkable feat of becoming a debt-free company by successfully clearing its outstanding debts through a QIP and a rights issue.

The NSE witnessed Suzlon Energy share price closing at Rs.41.40, marking a 2.2% increase. Throughout this year, Suzlon Energy shares have experienced a gain of 7.5%. However, the stock's one-year return stands at an impressive 417%.