7 stocks that marked a turnaround performance in Q1FY25 on a year-on-year basis

In Q1FY25, a few companies made impressive turnarounds, reporting significant profits after enduring losses in the same quarter last year (YoY basis). These companies reflected strategic business improvements and effective cost management.

Here is the list of the stocks that reported turnaround performance in Q1FY25 on a year-on-year basis and what led them to profitability.

Delhivery Ltd - The leading fully integrated logistic service provider declared a profit after tax of ₹54 crore in Q1FY25, versus a loss of ₹89 crore in Q1FY24, indicating 161% YoY growth.

According to the management, robust growth in PTL (Part truckload) and SCS (Supply chain services) businesses and stable growth in Express Parcel continue and have enabled improvement in profitability as well. Robust 25% growth YoY in PTL revenues despite a challenging market environment in Q1 and 26% growth YoY in SCS revenues on the back of a strong season and new accounts helped the profitability.

Sterling & Wilson Ltd - Sterling and Wilson Renewable Energy is a global pure-play, end-to-end renewable engineering, procurement, and construction (EPC) solutions provider. In Q1FY25 the company reported ₹5 crore net profit against a loss of ₹95 crore in the previous year in the same quarter.

Revenue grew 78% YoY in Q1 aided by higher execution in Domestic EPC projects. Gross margins came in at 11.1% in Q1 compared to FY24 gross margin of 10.3% which resulted in profitability.

Inox Wind Energy Ltd - The wind energy solution provider, reported a net profit of ₹50 crore for the Q1FY25, a significant turnaround from the ₹65 crore net loss reported in the same period of the previous financial year. This stellar performance was the best Q1 financial performance in Inox Wind’s history, according to the company's earnings filing.

Recent promoter investments of ₹900 crore have made the company's net cash positive, significantly reducing interest payments and boosting profitability.

RattanIndia Power Ltd - The power stock demonstrated a strong financial performance, with the company’s net profit coming in at ₹93 crore in the June quarter of financial year 2025, as opposed to a loss of ₹549.4 crore in the same quarter last year.

In Q1FY25, all India electricity consumption rose 11% compared to Q1FY24, therefore improving the revenue and margins expanded to 20% from 18%. Furthermore, the interest cost declined significantly from ₹678 crore in Q1FY24 to ₹121 crore in Q1FY25, substantially improving net profit.

TVS Supply Chain Ltd - India’s leading integrated supply chain solution provider reported a net profit of ₹7.5 crore in Q1 FY 25 as against a loss of ₹65 crore in Q1FY24.

As per management investments in process automation and productivity initiatives have driven improvement in operating margins. This combined with effective debt management has led to profit improvements for the last four quarters.

Chemplast Sanmar Ltd - The speciality chemical company reported a net profit of ₹24 crore against a net loss of ₹64 crore in the same quarter last year. The company witnessed a positive swing in profits in the current year on account of improved prices of PVC and lower feedstock prices.

V-Mart Retail Ltd- The retail store chain reported a net profit of ₹12 crore against a net loss of ₹22 crore in the same quarter previous year. The improvement of 16% YoY in revenue and 89% YoY in EBITDA supported the profitability of the company.

Conclusion

The turnaround performances in Q1FY25 highlight the resilience and strategic agility of these companies, which have successfully navigated challenges to achieve profitability. Their ability to improve operations, manage costs, and capitalize on growth opportunities underscores their potential for sustained success in the coming quarters.