ReNew Power’s Revenue Up 27% YoY in FY 2022, Renewable Portfolio Grows by 1.7 GW

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Independent power producer ReNew Power has announced the results for the fourth quarter (Q4) of the fiscal year (FY) 2022 and the fiscal year ended March 31, 2022.

The company posted total revenue of ₹17.61 billion (~$232 million) for Q4 FY 2022, an increase of 31.1% compared to the revenue posted in the same period last year.

Adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) for Q4 FY 2022 was ₹12.79 billion (~$169 million), an increase of 49.4% over the previous quarter.

Adjusted EBITDA was not adjusted for the net negative impact of weather relative to normal of approximately ₹5.69 billion (~$75 million) for FY 2022 and ₹1.52 billion (~$20 million) for Q4 FY 2022 as well as ₹471 million (~$6 million) of EBITDA in FY 2021 from the rooftop portfolio that was sold in February 2022.

ReNew’s commissioned capacity rose by 130 MW during Q4 FY 2022.

Total electricity sold in Q4 was 3,547 MU, an increase of 1,157 MU or 48.4%, over Q4 FY21.

Electricity sold in Q4 FY 2022 for solar assets was 2,006 MU, an increase of 977 MU or 95.0%, over Q4 FY 2021. Electricity sold in Q4 FY 2022 for wind assets was 1,490 MU, an increase of 129 MU or 9.5%, over Q4 FY 2021.

Full-year revenue

The company posted total revenue of ₹69.19 billion (~$912 million) for FY 2022, an increase of 27% from the previous year. Adjusted EBITDA was ₹55.14 billion (~$727 million), an increase of 31.7% over FY 2021.

The net loss for the year was ₹16.13 billion (~$213 million) compared to a net loss of ₹8.03 billion (~$106 million) last year. The net loss included ₹13.22 billion (~$174 million) of charges related to listing on the Nasdaq Stock Market, issuance of share warrants, listing related share-based payments, and other factors.

The company was listed on the Nasdaq in 2021 after completing a business combination with RMG Acquisition Corporation II, a special purpose acquisition company.

Total electricity sold in FY22 was 14,022 MU, an increase of 3,090 MU, or 28.3%, over the previous year.

Electricity sold in FY 2022 from solar assets was 5,622 MU, an increase of 1,379 MU or 32.5%, over FY 2021. Electricity sold in FY 2022 for wind assets was 8,167 MU, an increase of 1,479 MU, or 22.1%, over the previous year.

Distribution Companies in Andhra Pradesh owe ReNew Power ₹17.42 billion ($230 million), which the company expects to recover fully over time.

Renewable Energy Portfolio

As of March 31, 2022, the company’s portfolio consisted of 10.7 GW, of which 7.6 GW are commissioned and 3.1 GW are committed. The commissioned capacity includes 3,780 MW of wind, 3,688 MW of solar, and 99 MW of hydropower.

The weighted average plant load factor (PLF) for FY22 for wind assets was 25.4%, compared to 22.9%, for FY21 due to an improvement in wind resources. The PLF for FY22 for solar assets was 23.1% compared to 22.2% for FY21.

During FY22, the company commissioned 1,727 MW of projects (190 MW of wind and 1,537 MW of solar), for which the capital expenditure was ₹78.52 billion ($1.03 billion).

After the end of the quarter, the ReNew entered into definitive agreements to purchase 528 MW of renewable energy assets and signed an additional 1.6 GW of power purchase agreements bringing the company’s total portfolio to 12.8 GW.

ReNew Power recently signed definitive agreements to acquire over 500 MW of operating wind and solar assets. The company said it would acquire operating wind assets totaling 471.65 MW and solar assets of 56.25 MW, taking the total capacity to 527.9 MW. The acquired assets are spread across eight states with a total enterprise value of around ₹30 billion (~$388 million).

In April this year, ReNew Power signed five PPAs totaling 2 GW with the Solar Energy Corporation of India (SECI), the Punjab State Power Corporation, and corporate buyers.

In the calendar year 2021, ReNew Power was the largest utility-scale developer in terms of installations, according to India Solar Market Leaderboard 2022. It acquired 260 MW of solar projects in Telangana and installed 250 MW solar projects connected to the interstate transmission system (ISTS) in Jaisalmer, Rajasthan.