- ReNew Power’s total revenue in 9M/2022 increased 25.6% on annual basis to $693 million.
- It commissioned 1.1 GW capacity during the period including 1.325 GW of solar out of which 769 MW came online in Q3/2022
- Electricity sold for solar assets improved by 39.2% annually to 1,433 million kWh during the quarter
Indian renewable energy company ReNew Energy Global plc increased its cumulative commissioned capacity to 7.4 GW with 1.1 GW brought online in Q3/2022 (period ended December 31, 2021), while net loss for 9M/2022 added up to INR 12.57 billion ($169 million), having widened from INR 4,093 million ($55 million) annually.
ReNew management said, “The net loss for nine months of FY22 included INR 13,158 million ($ 177 million) of charges related to listing on Nasdaq Stock Market LLC, issuance of share warrants, listing related share-based payments and others.”
It counts having commissioned 160 MW of wind and 1.325 GW of solar capacity during 9M/2022 and 97 MW wind and 769 MW solar during the reporting quarter. Of the 10.3 GW of total portfolio, it counts 2.9 GW as committed capacity.
As per its financials for the period, the company reported total income or revenue for 9M/2022 as INR 51.58 billion ($693 million) having gone up 25.6% over the previous year, with the inclusion of INR 13.46 billion ($181 million) in Q3/2022. Adjusted EBITDA for 9M/2022 was INR 42.45 billion ($571 million) up 27.5%, while that for Q3/2022 was 26% up at INR 10.55 billion ($142 million).
Electricity sold for solar assets improved by 39.2% annually to 1,433 million kWh during the quarter, and in 9M/2022 by 12.5% to 3,617 million kWh. Cumulative electricity sold during the initial 3 quarters was 1,350 million kWh, having gone up by 25.3% YoY.
Management has reiterated guidance for its adjusted EBITDA for FY 2022 to be around INR 60.75 billion ($810 million), excluding the impact for weather which for 9M/2022 was about $55 million. By around April 2021 or May 2021, it expects to have 8.2 GW capacity operational, depending on acquisitions close.
Going forward, the company expects its EBITDA as at least $1.1 billion once its 10.2 GW portfolio is completed over the next 18 months. Founder, Chairman and Managing Director of the company, Sumant Sinha said the management expects about $5.7 billion net debt on its books once the 10.2 GW is completed. “Importantly, our portfolio is fully equity funded. In fact, we do not need to issue any new shares to reach 18 GWs. At 18 GWs, our cash flow generation should self-fund 3.5-4 GWs of growth annually without raising external equity,” he added.
However, analysts at Roth Capital Partners are not so sure about the company meeting its 10.2 GW target completion as planned. Roth’s Philip Shen said, “For FY’23, we believe RNW may not complete its entire 10.2 GW committed portfolio as 1.2 GW of PPAs are not yet signed. Additionally, we believe new auction wins may not be completed until after FY’23. Therefore, we are lowering our year-end FY’23 capacity forecast to 10.1 GW vs. prior ROTHe of 11.8 GW. Upside to our estimate from acquisitions is possible.”
In January 2022, ReNew Energy raised $400 million capital by selling green bonds through its wholly owned subsidiary India Clean Energy Holdings to primarily refinance its existing high-cost debt and fund capital expenditure of renewable energy assets (see ReNew Energy Raises $400 million).