Azure Power Global Limited · OTC:AZREF

Azure Power Global — Q4 FY2018 Earnings Presentation

26 slides from Azure Power Global's earnings presentation, Jun 18, 2018

  1. Slide 1: Fourth Quarter & Full Year Ended March 31, 2018 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 23 States Issued India’s first solar Green Bond Fourth Quarter & Full Year Ended March 31, 2018 Earnings Presentation June 18, 2018 1 | Copyrig

  2. 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

  3. Slide 3: Agenda

    Agenda Company and Project Update Industry Update Fiscal Year and Fourth Quarter 2018 Results Reiterating FY 2019 Guidance 3 | Copyright © 2018 Azure Power | www.azurepower.com

  4. Slide 4: 4 | Copyright © 2018 Azure Power | www.azurepower.com

    4 | Copyright © 2018 Azure Power | www.azurepower.com

  5. Slide 5: Leading Solar Platform in Fast Growing, Large Market

    Leading Solar Platform in Fast Growing, Large Market 2,146 MWs 1,953 MWs 193 MWs 320 Households Total Portfolio Utility-Scale C&I Projects Electrified with Projects Azure M Power 1 GW+ Contracted Pipeline with High Tariff, INR 3.00 (~US$ 4.6 cents)(1)/kWh 1) Exchange rate- INR65.11 to US$1 (New York

  6. Slide 6: Strong Execution & Continued High Growth

    Strong Execution & Continued High Growth $270 Revenues (US $ Million) ~US$ 118 million LTM Revenue with 129% Growth to ~US$ 270 million Committed Under $118 Construction $65 $40 Operating $14 $17 FY14 FY15 FY16 FY17 FY18 Contracted Revenue 2,146 ~1 GW Operational with 139% Growth to ~2.1 GW Proven A

  7. Slide 7: 2,146 MW Portfolio Capacity, up 101% from FY’17

    2,146 MW Portfolio Capacity, up 101% from FY’17 Delhi, 2 MW Punjab, 214MW Uttar Pradesh, 100 MW B to 74% offtake with A to BBB- Bihar, 10 MW AAA credit rating(1,2) A to AA+ Rajasthan, 345 MW AAA 25% from FY’17 1 Gujarat, 270MW Assam, 75 MW Karnataka Maharastra Chhattisgarh, 30 MW UP Committed & Maha

  8. Slide 8: 193 MW Azure Roof Power Capacity, up 93% from FY’17

    193 MW Azure Roof Power Capacity, up 93% from FY’17 Public Private Partnership Portfolio 193 MW(1) Municipalities of 93% growth from previous year Gandhinagar | Cuttack Bhubaneswar | Punjab Pan India Presence Gujarat Secretariat, Gandhinagar 23 States 200+ cities(1) Bilateral Power Sale 2,300+ Roofs

  9. Slide 9: Azure M Power: Entry into Significant Market; First Project to Electrify 11 Villages

    Azure M Power: Entry into Significant Market; First Project to Electrify 11 Villages Azure Power through M Power Solutions has electrified: 320 households Total capacity of 86 KW Execution across 11 villages Capacity ranging from 4-12 KW within 45 days 88% savings per month compared to alternative f

  10. Slide 10: 1,078 MWs Won With High Tariffs

    1,078 MWs Won With High Tariffs INR 3.00 (~US$ 4.6 cents) /kWh Average Tariff with 25 year PPAs for Pipeline 23% higher than lowest bid in the market(5) 200MW |Rajasthan 5 75MW |Assam 1 • Offtaker and Credit Rating: SECI(AA+)(1) • Offtaker and Credit Rating: APDCL (B)(1) • Tariff: INR 2.48 (~US$ 3.8

  11. Slide 11: Commissioned 352 MWs, up 54% from FY’17

    Commissioned 352 MWs, up 54% from FY’17 INR 4.93 (~US$ 7.6 cents)/kWh Average Tariff with 25 year PPAs Uttar Pradesh 2&3 50MW|40MW Telangana 1 100 MW • Offtaker: NTPC (AAA) |SECI (AA+)(2) (2) • Offtaker: NTPC (AAA) (2) • Tariff: INR 4.78 – 4.98(1) (~US$ 7.3-7.6 cents)/kWh • Tariff: INR 4.67 (~US$ 7.

  12. Slide 12: Solar Beats All Other Energy Capacity Additions in FY18

    Solar Beats All Other Energy Capacity Additions in FY18 Favourable Industry Backdrop Supportive Regulatory Environment The (IMF) reaffirmed India is fastest growing major economy in US$3.7 bn in Financial Assistance to DISCOMs to Boost Rooftop 2018 (7.4% growth), rising to 7.8 per cent in 2019 (1) S

  13. Slide 13: FY18: Effective Strategy & Strong Execution Drives 100% YoY Increase in kWh Generated

    FY18: Effective Strategy & Strong Execution Drives 100% YoY Increase in kWh Generated 911 MW Operating 1,871 MW Operating & Committed US$118.3mn Revenue 40% increase(1) 75% increase(1) 84% increase(1) 1,236mn kWh Generation US$0.78mn Project Cost/MW US$242.1mn Portfolio Revenue Run Rate(2) 100% incr

  14. Slide 14: Azure Power delivered 93% Adjusted EBITDA growth in FY’18

    Azure Power delivered 93% Adjusted EBITDA* growth in FY’18 Three Months Ended March 31, Year Ended March 31, % Change (in thousands) (in thousands) FY’18 vs FY’17 2017 2018 2018 2017 2018 2018 INR INR US$ INR INR US$ Revenue 1,317,577 2,259,021 34,695 4,182,985 7,700,600 118,271 84% Cost of Operatio

  15. Slide 15: A Growing Balance Sheet with a Strong Liquidity Position

    A Growing Balance Sheet with a Strong Liquidity Position March 31, 2017 March 31, 2018 (in thousands) (in thousands) INR INR US$ Cash, Cash Equivalents and Current 8,757,467 9,730,099 149,441 Investments Property, Plant & Equipment, Net 40,942,608 56,580,700 869,002 Total Debt* 35,157,808 53,943,823

  16. Slide 16: US$ 360 Million of Available Liquidity (March 31, 2018)

    US$ 360 Million of Available Liquidity (March 31, 2018) Cash(incl. restricted) $186 CDPQ ROFO Right of first offer to provide minority equity financing to fund the development or acquisition of new power projects of Undrawn $122 Cash (incl. our subsidiaries Debt restricted) $52 Capacity Working Capi

  17. Slide 17: Reiterating FY’19 Guidance

    Reiterating FY’19 Guidance FY 2019 US$ 143 - 151 million of Revenue for FY’19 1,300 – 1,400 MWs Operating by March 31, 2019 __________________________ Exchange rate- INR65.11 to US$1 (New York noon buying rate of March 30, 2018) 17 | Copyright © 2018 Azure Power | www.azurepower.com

  18. Slide 18: Appendix

    Appendix 18 | Copyright © 2018 Azure Power | www.azurepower.com

  19. Slide 19: 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

  20. Slide 20: Reconciliation of Non GAAP Measures to Comparable GAAP measures

    Reconciliation of Non GAAP Measures to Comparable GAAP measures Three Months Ended March 31, Year Ended March 31, (in thousands) (in thousands) 2017 2018 2018 2017 2018 2018 INR INR US$ INR INR US$ Net (loss) / income (306,728) 147,605 2,267 (1,191,569) (1,022,229) (15,700) Income tax expense/(benef

  21. Slide 21: Project List- Operational (Utility) As of June 15, 2018

    Project List- Operational (Utility) As of June 15, 2018 Commercial Duration Capacity Tariff Project Names Operation Off taker of PPA in (MW) (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 Punja

  22. Slide 22: Project List- Operational and Under Construction (Utility) As of June 15, 2018

    Project List- Operational and Under Construction (Utility) As of June 15, 2018 Commercial Duration Capacity Tariff Project Names Operation Off taker of PPA in (MW) (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 Punj

  23. Slide 23: Project List-C&I As of June 15, 2018

    Project List-C&I As of June 15, 2018 Commercial Duration Capacity Project Names Operation Tariff(2) Off taker of PPA in (MW) Date(1) Years(3) Operational Total Operational Capacity 2013 – Q3 2017 35 7.26 Various 25 Under Construction(5) Indian Railways Rooftop 1 Q2 2018 22 6.19 Railway Energy Manage

  24. Slide 24: Project Debt Schedule (as of March 31, 2018)

    Project Debt Schedule (as of March 31, 2018) Outstanding Principal Amount (In thousands) Type of Interest Currency Maturity Date(2) Name of Project INR US$ (5) Punjab 1 174,000 2,672 Fixed INR 2022 Punjab 2 1,698,993 26,094 Fixed INR 2022 Gujarat 1 946,484 14,537 Fixed INR 2022 Rajasthan 1 732,694 1

  25. Slide 25: Glossary of Select Terms

    Glossary of Select Terms Accelerated Depreciation – Accelerated depreciation can be elected at the project level, such that projects that reach COD in the first half of the year can expense 100% of eligible project costs in year 1, and otherwise can expense 50% of project costs in year 1 and the rem

  26. Slide 26: Affordable Solar Power for Generations

    Affordable Solar Power for Generations Excellence | Honesty | Social Responsibility | Entrepreneurship 26 | Copyright © 2018 Azure Power | www.azurepower.com

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