ReNew Announces Results for the Third Quarter and Nine Months of Fiscal Year 2024: Increases the bottom end of Adjusted EBITDA guidance for FY24 by 2%
- The Company's portfolio expanded to 13.8 GWs, with 8.5 GWs commissioned and 5.3 GWs committed.
- Total income for the first nine months of FY24 was INR 72,414 million.
- Net profit for the same period was INR 3,538 million.
- Adjusted EBITDA for the first nine months of FY24 reached INR 52,406 million.
- The Company reported a net loss of INR 3,216 million for Q3 FY24.
- ReNew Energy increased its FY24 Adjusted EBITDA guidance range by 2%.
- The Company expects revenue generation from completed projects to rise by the end of Fiscal Year 2024.
- None.
Insights
The reported increase in ReNew Energy Global Plc's total income and adjusted EBITDA during the first nine months of FY24, compared to the same period in FY23, indicates a positive trend in the company's financial performance. The substantial growth in the company's portfolio, now standing at 13.8 GWs, with 5.3 GWs committed, suggests an aggressive expansion strategy and a robust project pipeline. This growth trajectory is particularly significant given the global push for sustainable energy solutions and could signal an increased market share for ReNew in the renewable energy sector.
Moreover, the improvement in net profit from a net loss in FY23 to a net gain in FY24 demonstrates effective cost management and operational efficiency. It is also noteworthy that the Cash Flow to equity (CFe) has seen an increase, which could enhance the company's ability to fund future projects or pay down debt, thereby potentially improving its financial health and investor confidence.
The shift from a net loss in the first nine months of FY23 to a net profit in the same period of FY24 is a critical turnaround for ReNew Energy Global Plc's financial stability. This performance could be indicative of operational improvements or cost efficiencies that the company has achieved. Investors may find the company's increased bottom end of the Adjusted EBITDA guidance for FY24 reassuring, as it reflects management's confidence in the company's continued financial performance.
Additionally, the significant reduction in Days Sales Outstanding (DSO) from the previous year indicates an improved cash conversion cycle, which can lead to better liquidity management. This improvement in DSO, along with the guidance suggesting a reliance on weather conditions similar to FY23, may require investors to consider environmental factors when assessing the company's future performance.
ReNew Energy Global Plc's upward revision of its FY24 Adjusted EBITDA guidance and the expected revenue generation from completed projects by the end of FY24 provide a positive outlook for the company's future earnings potential. This, coupled with the company's strategic positioning in the renewable energy sector, could attract investors looking for growth opportunities in sustainable industries.
However, it is important to note that the company's financial projections are subject to weather conditions, which introduces a degree of uncertainty and risk. The reliance on weather patterns underscores the inherent volatility associated with the renewable energy sector and the impact of climate on operational performance. Stakeholders should consider these environmental sensitivities when evaluating the company's long-term prospects.
GURUGRAM,
Operating Highlights:
- As of December 31, 2023, the Company’s portfolio consisted of 13.8 GWs, of which ~8.5 GWs are commissioned and 5.3 GWs are committed, compared to 13.4 GWs as of December 31, 2022.
-
Total Income (or total revenue) for the first nine months of FY24 was INR 72,414 million (
US ), compared to INR 63,493 (US$ 870 million $ 763 million ) for the first nine months of FY23. Net profit for the first nine months of FY24 was INR 3,538 million (US ) compared to a net loss of INR 5,103 million ($ 43 million US ) for the first nine months of FY23. Adjusted EBITDA for the first nine months of FY24 was INR 52,406 million ($ 61 million US ), as against INR 49,994 million ($ 630 million US ) for the first nine months of FY23. Cash Flow to equity ("CFe") for the first nine months of FY24 was INR 21,756 million ($ 601 million US ) compared to INR 19,810 million ($ 262 million US ) for the first nine months of FY23.$ 238 million -
Total Income (or total revenue) for Q3 FY24 was INR 19,290 million (
US ), compared to INR 16,077 (US$ 232 million $ 193 million ) for Q3 FY23. Net loss for Q3 FY24 was INR 3,216 million (US ) compared to a net loss of INR 4,013 million ($ 39 million US ) for Q3 FY23. Adjusted EBITDA for Q3 FY24 was INR 12,509 million ($ 48 million US ), as against INR 11,628 million ($ 150 million US ) in Q3 FY23. Cash Flow to equity (“CFe”) for Q3 FY24 was INR 2,392 million ($ 140 million US ) compared to INR 2,682 million ($ 30 million US ) in Q3 FY23.$ 32 million - Days Sales Outstanding (“DSO”) ended Q3 FY24 at 86 days, a 92 day improvement, year on year.
FY 24 Guidance
We are increasing the bottom end of our FY24 Adjusted EBITDA guidance range by
The Company’s Adjusted EBITDA and Cash Flow to equity guidance for FY24 are subject to the weather being similar to FY23.
Financial Year |
|
Adjusted EBITDA |
|
Adjusted EBITDA / share |
|
Cash Flow to equity (CFe) |
|
CFe / share |
FY24
|
|
INR 63,000 –
|
|
INR 158 - INR 164 |
|
INR 6,000 –
|
|
INR 15 - INR 20 |
Note: the translation of Indian rupees into
Webcast and Conference call information
A conference call has been scheduled to discuss the earnings results at 8:30 AM EST (7:00 PM IST) on February 20, 2024. The conference call can be accessed live at: https://edge.media-server.com/mmc/p/wnkm7p5v or by phone (toll-free) by dialing:
US/
Rest of the world: (+61) 7 3145 4010 (toll)
An audio replay will be available following the call on our investor relations website at https://investor.renew.com/news-events/events
Forward Looking Statements
This press release contains forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended and the Private Securities Litigation Reform Act of 1995, including statements regarding our future financial and operating guidance, operational and financial results such as estimates of nominal contracted payments remaining and portfolio run rate, and the assumptions related to the calculation of the foregoing metrics. The risks and uncertainties that could cause our results to differ materially from those expressed or implied by such forward-looking statements include: the availability of additional financing on acceptable terms; changes in the commercial and retail prices of traditional utility generated electricity; changes in tariffs at which long-term PPAs are entered into; changes in policies and regulations including net metering and interconnection limits or caps; the availability of rebates, tax credits and other incentives; the availability of solar panels and other raw materials; our limited operating history, particularly as a relatively new public company; our ability to attract and retain relationships with third parties, including solar partners; our ability to meet the covenants in our debt facilities; meteorological conditions; supply disruptions; solar power curtailments by state electricity authorities and such other risks identified in the registration statements and reports that our Company has filed or furnished with the
About ReNew:
Unless the context otherwise requires, all references in this press release to “we,” “us,” or “our” refers to ReNew and its subsidiaries.
ReNew is a leading decarbonization solutions company listed on Nasdaq (Nasdaq: RNW, RNWWW). ReNew's clean energy portfolio of ~13.8 GWs on a gross basis as of December 31, 2023, is one of the largest globally. In addition to being a major independent power producer in
View source version on businesswire.com: https://www.businesswire.com/news/home/20240220015795/en/
Press Enquiries
ReNew | Shilpa Narani | shilpa.narani@renew.com
Investor Enquiries
ReNew | Nathan Judge, Nitin Vaid | ir@renew.com
Source: ReNew Energy Global Plc
FAQ
What is ReNew Energy Global Plc's total income for the first nine months of FY24?
What was ReNew Energy Global Plc's net profit for the first nine months of FY24?
What was the Adjusted EBITDA for ReNew Energy Global Plc for the first nine months of FY24?
What was ReNew Energy Global Plc's net loss for Q3 FY24?
What guidance range did ReNew Energy Global Plc set for its FY24 Adjusted EBITDA?
What does ReNew Energy Global Plc expect in terms of revenue generation from completed projects by the end of Fiscal Year 2024?
