Azure Power Global Limited · OTC:AZREF

Azure Power Global — Q1 FY2018 Earnings Presentation

25 slides from Azure Power Global's earnings presentation, Aug 14, 2017

Slide 1: First Quarter 2018 Ended June 30, 2017 Earnings Presentation
India’s first private grid connected MW Solar plant India’s first distributed rooftop solar project over one megawatt Pan India portfolio of solar assets in 18 States Issued India’s First Solar Green Bond First Quarter 2018 Ended June 30, 2017 Earnings Presentation August 14, 2017 1 | Copyright © 20
Slide 2: Disclaimer
Disclaimer Forward-Looking Statements This information contains forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934 and the Private Securities Litigation Reform Act of 1995, including statements regarding our future financial and operating guidance, op
Slide 5: Powering Utilities, Commercial and Community
POWERING UTILITIES -Developed India’s first private utility scale solar project in 2009 -34 operational utility scale projects -Integrated project development, EPC, financing, O&M services POWERING COMMERCIAL -First Distributed solar rooftop project operational in India -Portfolio of 1,000+ rooftops
Slide 6: Diversified Portfolio; 25 Year PPAs with High Quality Sovereign Backed Entities
Diversified Portfolio; 25 Year PPAs with High Quality Sovereign Backed Entities Total portfolio of 1,069MWs Well diversified offtaker mix Indian Railways Rooftop • 771 MW (AC) operational, 298 MW under construction & NVVN committed Over 50%2 of the • 34 operational utility projects, 5 under construc
Slide 7: Issued India's First Solar Green Bond
Issued India’s First Solar Green Bond Coupon Rate: 5.50%, one of the Ready access to low cost capital: The lowest interest rates to date for an company has a diversified capital base and Indian solar company US$500 mn access to international fixed income investors Green Bond Bond Highlights High Deb
Slide 8: Falling Tariffs Creates Long Term Sustainable Advantage for Solar
Falling Tariffs Creates Long Term Sustainable Advantage for Solar Low Solar Tariffs Increasing Demand Slower Growth of Other Energy Sources Solar is the cheapest source of power in India 13.7(2) GWs of delayed coal power projects have been cancelled as of May 23, 2017 Solar capacity addition outpace
Slide 9: Strong execution during Q1 FY 2018
Strong execution during Q1 FY 2018 100MW(1) | ANDHRA PRADESH 2 20MW (1) | UTTAR PRADESH This project has been set up at Kurnool Ultra Mega Solar Park with a total capacity of 1,000 MWs It is a project under Phase II Batch II State Specific Bundling Scheme of JNNSM Azure Power will supply power to NT
Slide 10: Effective Strategy & Strong Execution Drives 123% YoY Increase in Operating MW
Effective Strategy & Strong Execution Drives 123% YoY Increase in Operating, High Quality MW during Q1 FY’18 771MW Operating 1,069MW Operating & Committed US$29.1mn Revenue 123% increase(1) 11% increase(1) 84% increase(1) 290mn kWh Generation US$0.89mn Project Cost/MW US$170mn Portfolio Revenue Run
Slide 11: Adjusted EBITDA Margin Expansion Driven by Cost Management
Adjusted EBITDA* Margin Expansion Driven by Cost Management 89% growth in Adjusted EBITDA in Q1FY’18 vs Q1FY’17 29,000 13,250 1,346 25,000 1,207 22,738 21,000 In US$ Thousands 17,000 12,041 13,000 9,000 5,000 1,000 Q1 FY'17 Adjusted Additional Revenue Cost of Operations General & Administrative Q1 F
Slide 12: A Growing Balance Sheet with a Strong Liquidity Position
A Growing Balance Sheet with a Strong Liquidity Position March 31, 2017 June 30, 2017 (in thousands) (in thousands) INR INR US$ Cash, cash equivalents and current 8,757,467 7,157,658 110,766 investments Property, plant & equipment, net 40,942,608 46,061,670 712,808 Total debt* 35,157,808 37,559,473
Slide 13: US$532 Million of Liquidity as on June 30, 2017
US$532 Million of Liquidity as on June 30, 2017 CDPQ ROFO Right of first offer to provide minority equity financing to fund the development or acquisition of new power projects of Working Capital our subsidiaries $109 Facilities Debt Sanctions $246 Bond Proceeds We expect our liquidity position to C
Slide 14: Reiterating Guidance
Reiterating Guidance US$ 118-125 million of Revenue for FY18 1,000-1,200 MWs Operating by March 31, 2018 __________________________ Exchange rate- INR64.62 to US$1 (New York closing rate of June 30, 2017) 14 | Copyright © 2017 Azure Power | www.azurepower.com
Slide 16: Use of Non-GAAP Financial Measures
Use of Non-GAAP Financial Measures Adjusted EBITDA is a non-GAAP financial measure. The Company presents Adjusted EBITDA as a supplemental measure of its performance. This measurement is not recognized in accordance with GAAP and should not be viewed as an alternative to GAAP measures of performance
Slide 17: Reconciliation of Non GAAP Measures to Comparable GAAP measures
Reconciliation of Non GAAP Measures to Comparable GAAP measures Three Months Ended June 30 (in thousands) 2016 2017 2017 INR INR US$ Net (loss)/income (231,674) 206,857 3,202 Income tax expense/(benefit) (33,648) 7,859 122 Loss/ (gain) on foreign currency exchange 140,659 (4,758) (74) Interest expen
Slide 18: Nominal Contracted Payments & Portfolio Run-Rate
Nominal Contracted Payments & Portfolio Run-Rate Nominal Contracted Payments are the sum of estimated payments for the life of signed PPAs. Values are not discounted. As of June 30, 2016 2017 INR INR US$ Nominal contracted payments 236,957,263 253,438,388 3,921,981 (in thousands) ………………… Total estim
Slide 19: Project List- Operational (Utility)
Project List- Operational (Utility) Commercial Duration Capacity Tariff Project Names Operation Off taker of PPA in (MW) (2) (INR/kWh) Date(1) Years Punjab 1 Q4 2009 2 17.91 NTPC Vidyut Vyapar Nigam Limited 25 Punjab 2.1 Q3 2014 15 7.67 Punjab State Power Corporation Limited 25 Punjab 2.2 Q4 2014 15
Slide 20: Project List- Operational and Under Construction (Utility)
Project List- Operational and Under Construction (Utility) Commercial Duration Capacity Tariff Project Names Operation Off taker of PPA in (MW) (2) (INR/kWh) Date(1) Years Operational Punjab 4.1 Q4 2016 50 5.62 Punjab State Power Corporation Limited 25 Punjab 4.2 Q4 2016 50 5.63 Punjab State Power C
Slide 21: Project List- Commercial Rooftops
Project List- Commercial Rooftops Commercial Duration Capacity Project Names Operation Off taker of PPA in (MW) (2) Date(1) Years Operational Gujarat Rooftop 2013 2.500 Torrent Power Limited 25 DLF (total) 2013-2016 1.898(3) DLF Limited 25 Uttar Pradesh Rooftop 1 Q1 2015 0.555 Indosolar Limited 25 D
Slide 22: Bond Restricted Group Portfolio Overview
Bond Restricted Group Portfolio Overview PPA VGF (INRm Project SPV Project Capacity (MW) Offtaker Tariff (INR/unit) (yrs) per MW)3 Azure Power (Punjab) Punjab 1 2 NTPC Vidyut Vyapar Nigam Limited 25 17.91 - Azure Urja Punjab 2.1 15 Punjab State Power Corporation 25 7.67 - Azure Urja Punjab 2.2 15 Pu
Slide 23: Debt Schedule
Debt Schedule Outstanding Principal Amount (In thousands) Type of Interest Currency Maturity Date(1) Name of Project INR US$ (3) Punjab 1 195,611 3,027 Fixed US$ 2024 Punjab 2 1,678,447 25,974 Floating INR 2030 Gujarat 1 1,084,185 16,778 Fixed US$ 2025 Gujarat rooftop 114,417 1,771 Floating INR 2028
Slide 24: Glossary of Select Terms
Glossary of Select Terms Accelerated Depreciation – After March 31, 2017, accelerated depreciation can be elected at the project level, such that projects that reach COD in the first half of the year can expense 60% of eligible project costs in year 1, and otherwise can expense 30% of project costs
Slide 25: Affordable Solar Power for Generations
Affordable Solar Power for Generations Excellence | Honesty | Social Responsibility | Entrepreneurship 25 | Copyright © 2017 Azure Power | www.azurepower.com

Azure Power Global — Q1 FY2018 Earnings Presentation on 6ix

Azure Power Global — Q1 FY2018 Earnings Presentation

Slide 1: First Quarter 2018 Ended June 30, 2017 Earnings Presentation

Slide 2: Disclaimer

Slide 3: Agenda

Slide 4: 4 | Copyright © 2017 Azure Power | www.azurepower.com

Slide 5: Powering Utilities, Commercial and Community

Slide 6: Diversified Portfolio; 25 Year PPAs with High Quality Sovereign Backed Entities

Slide 7: Issued India's First Solar Green Bond

Slide 8: Falling Tariffs Creates Long Term Sustainable Advantage for Solar

Slide 9: Strong execution during Q1 FY 2018

Slide 10: Effective Strategy & Strong Execution Drives 123% YoY Increase in Operating MW

Slide 11: Adjusted EBITDA Margin Expansion Driven by Cost Management

Slide 12: A Growing Balance Sheet with a Strong Liquidity Position

Slide 13: US$532 Million of Liquidity as on June 30, 2017

Slide 14: Reiterating Guidance

Slide 15: Appendix

Slide 16: Use of Non-GAAP Financial Measures

Slide 17: Reconciliation of Non GAAP Measures to Comparable GAAP measures

Slide 18: Nominal Contracted Payments & Portfolio Run-Rate

Slide 19: Project List- Operational (Utility)

Slide 20: Project List- Operational and Under Construction (Utility)

Slide 21: Project List- Commercial Rooftops

Slide 22: Bond Restricted Group Portfolio Overview

Slide 23: Debt Schedule

Slide 24: Glossary of Select Terms

Slide 25: Affordable Solar Power for Generations