“…this is to inform that there has been a suspected cyber event on our IT systems. However, the event has not impacted the core systems and operations of the company,” according to a stock exchange filing.
The company said it is working closely with a specialised team of external and internal cybersecurity experts to assist with the investigation, remediation and mitigation of the event. CG Power has also notified the Indian Computer Emergency Response Team (CERT-In) about the incident.
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First Quarter Results
CG Power and Industrial Solutions posted a consolidated net profit of ₹313 crore for the quarter ended June, up 16.4% from ₹269.2 crore a year earlier. The profit, however, was below the CNBC-TV18 poll estimate of ₹349 crore.
The Murugappa Group company’s revenue from operations rose 14% year-on-year to ₹3,280.8 crore, compared with ₹2,878 crore in the year-ago period, but missed the CNBC-TV18 estimate of ₹3,500 crore.
Operating performance was also weaker than expected. EBITDA increased 4% to ₹397 crore from ₹381.7 crore a year ago, against the poll estimate of ₹472.3 crore. EBITDA margin narrowed to 12% from 13.3% a year earlier and came in below the estimated 13.5%, indicating pressure on profitability.
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The company’s Power Systems business continued to drive growth, with revenue rising to ₹1,398.2 crore from ₹1,070.1 crore a year ago. Revenue from the Industrial Systems segment increased to ₹1,789.5 crore from ₹1,691.5 crore.
Its nascent Semiconductor business generated ₹94 crore in revenue during the quarter but remained loss-making. The segment reported a ₹50 crore loss, widening sharply from a loss of ₹8.7 crore in the corresponding quarter last year as investments in the business continued.
Separately, the board approved a brownfield expansion of its EHV GIS manufacturing facility at Vilholi, Nashik. The project, with an estimated cost of ₹35.2 crore (net of taxes), will double the plant’s manufacturing capacity to address a growing order pipeline. The expansion is expected to be completed within four to six months and will be funded through internal accruals and/or equity.
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Shares of CG Power and Industrial Solutions Ltd ended at ₹893.95, down by ₹4.45, or 0.50%, on the BSE.
