Azure Power Global Limited · OTC:AZREF
Azure Power Global — Q4 FY2019 Earnings Presentation
25 slides from Azure Power Global's earnings presentation, Jun 11, 2019
Slide 1: Fiscal Fourth Quarter 2019 Ended March 31, 2019 Earnings Presentation
3 GW+ Pan India portfolio of solar assets in 24 States India’s first private grid connected MW solar plant India’s first distributed rooftop solar project over one megawatt Issued India’s first solar Green Bond Fiscal Fourth Quarter 2019 Ended March 31, 2019 Earnings Presentation June 11, 2019 1 | C
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 3: Agenda
Agenda Company and Project Update Industry Update Fiscal Fourth Quarter 2019 Results Reiterating FY 2020 Guidance 3 | Copyright © 2019 Azure Power | www.azurepower.com
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Slide 5: Azure Power Overview
Azure Power Overview A Leading Pan Indian Solar Power Developer Portfolio of 3,356 MWs: 1,591 MWs Operational(1), 1,765 MW Contracted Pipeline (2) 3,148 MWs 208MWs ~500 Households Utility-Scale Projects Azure Roof Power Electrified with Azure M Power •• Founded in 2008, built India’s first private u
Slide 6: Key Performance Metrics FY'19
Key Performance Metrics FY’ 19 3,356 MWs 1,441 MWs 530 MWs US$143.5 Mn Portfolio Operational Constructed Revenue 79% Increase (1) 58% Increase (1) 104% Increase (2) 29% Increase (3) • 1,485 MWs projects won • Above guidance • Additionally, we completed • INR revenue above in FY19 construction of 150
Slide 7: EBITDA Expansion & Economies of Scale Driving Profit Growth
EBITDA Expansion & Economies of Scale Driving Profit Growth Growing Portfolio with Strong Contracts in Place Substantial, Contracted Revenue Growth to Portfolio Run-Rate(1) 3,900 3,356 812 3,356 $375(2) 716 Revenues (US $ Million) 2,600 1,591 237 1,591 Contracted MWs 1,300 Under Construction 1,591 $
Slide 8: 3,356 MW Portfolio Capacity, With 83% Portfolio in High Radiation Zone
3,356 MW Portfolio Capacity(1), With 83% Portfolio in High Radiation Zone ~83% in High Radiation Zone ~14% in Mid Radiation Zone Focus is on Strong Counterparty Credit Punjab BBB- to BBB+ 214 MW 6% Rajasthan (1,675 MW) 295 MW Uttar Pradesh A to AAA 1380 MW 100 MW 72% 78% of the portfolio is Bihar (1
Slide 9: Recently Commissioned Projects Portfolio
Recently Commissioned Projects Portfolio 680 MWs of Solar Power Projects into Operations since the Beginning of FY’19 100 MWs+ Operational Rooftop Portfolio, One of the Largest in the Country 100MW KREDL | Q4 FY 2019 260MW Gujarat 2| Q3-Q4 FY 2019 • Offtaker: BESCOM|HESCOM • Offtaker :GUVNL • PPA Du
Slide 10: 237 MWs Projects Under Construction
237 MWs Projects Under Construction Pre-commissioning work Structure installation SECI Rooftop Rajasthan 5 Maharashtra 3 Azure Roof Power Projects 50 MWs 130 MWs 57 MWs Expected COD : Q2 FY 2020 Expected COD : Q2 FY 2020 Expected COD : Q1 – Q3 FY 2020 Tariff: 2.48 INR/kWh (~US 3.6¢/kWh)(2) Tariff: 2
Slide 11: Industry and Regulatory Update
Industry and Regulatory Update Key Industry Update Bid Visibility of ~37GW Maharashtra Electricity Regulatory Commission (MERC) has given favorable orders for pass through of (In MW) Federal Safeguard Duty. Azure has received SGD pass through orders for two of its projects. . Central Electricity Reg
Slide 12: Effective Strategy & Strong Execution Delivers First GAAP Profitable Year
Effective Strategy & Strong Execution Delivers First GAAP Profitable Year 1,441 MW Operating 3,356 MW Operating & Committed US$ 143.5 mn Revenue 58 % increase(1 )(3) 79% increase(1) 29% increase(1)(3) 1,732.5 mn kWh Generation US$ 0.59mn Project Cost/MW US$ 375 mn Portfolio Revenue Run Rate(2) 40 %
Slide 13: Azure Power Delivered 32% Adjusted EBITDA Growth in Q4 FY'19
Azure Power Delivered 32% Adjusted EBITDA* Growth in Q4 FY’19 Three Months Ended March 31, Year Ended March 31, % Change (in thousands) (in thousands) Q4FY’19 vs Q4FY’18 2018 2019 2019 2018 2019 2019 INR INR US$ INR INR US$ Revenue 2,259,021 2,847,201 41,168 7,700,600 9,926,209 143,525 26% Cost of O
Slide 14: A Growing Balance Sheet with a Strong Liquidity Position
A Growing Balance Sheet with a Strong Liquidity Position March 31, 2018 March 31, 2019 (in thousands) (in thousands) INR INR US$ Cash, Cash Equivalents and Current 9,730,099 10,544,989 152,472 Investments* Property, Plant & Equipment, Net 56,580,700 83,444,529 1,206,543 Net Debt# 44,545,038 59,006,8
Slide 15: Reiterating FY'20 Guidance
Reiterating FY’20 Guidance 1,800 – 1,900 MWs Operating INR 12,770 – 13,350 million(1) by March 31, 2020 of Revenue for FY’20 _________________________ 1) US$ 185-193 Mn (at March 31, 2019 exchange rate- INR69.16 to US$1) 15 | Copyright © 2019 Azure Power | www.azurepower.com
Slide 16: Appendix
Appendix 16 | Copyright © 2019 Azure Power | www.azurepower.com
Slide 17: Use of Non-GAAP Financial Measures
Use of Non-GAAP Financial Measures Adjusted EBITDA is a non-GAAP financial measure. The Company presents Adjusted EBITDA as a supplemental measure of its performance. This measurement is not recognized in accordance with GAAP and should not be viewed as an alternative to GAAP measures of performance
Slide 18: Reconciliation of Non GAAP Measures to Comparable GAAP Measures
Reconciliation of Non GAAP Measures to Comparable GAAP Measures Three Months Ended March 31, Year Ended March 31, (in thousands) (in thousands) 2018 2019 2019 2018 2019 2019 INR INR US$ INR INR US$ Net profit/(loss) 147,605 240,956 3,483 (1,022,229) 138,493 2,002 Income tax expense/(benefit) 21,141
Slide 19: Projects Commissioned - Utility
Projects Commissioned - Utility As of April 30, 2019 Commercial Duration PPA Capacity DC Capacity Tariff Project Names Operation Off taker of PPA in (MW) (MW) (INR/kWh) Date(1) Years Operational - Utility Punjab 1 Q4 2009 2 2 17.91 NTPC Vidyut Vyapar Nigam Limited 25 Punjab 2.1 Q3 2014 15 15 7.67 Pu
Slide 20: Projects Commissioned – Utility and C&I
Projects Commissioned– Utility and C&I As of April 30, 2019 Commercial Duration PPA Capacity DC Capacity Tariff Project Names Operation Off taker of PPA in (MW) (MW) (INR/kWh) Date(1) Years Operational – Utility Bihar1 Q3 2016 10 11 8.39 North & South Bihar Power Distribution Company Ltd 25 Punjab 4
Slide 21: Under Construction Projects – Utility and C&I
Under Construction Projects –Utility and C&I As of April 30, 2019 Expected Commercial PPA Capacity Tariff Duration of PPA in Project Names Off taker Operation Date(1) (MW) (INR/kWh) Years(3) Under Construction Rajasthan 5(3) Q3 2019 50 2.48 Solar Energy Corporation of India 25 Maharashtra 3 Q3 2019
Slide 22: Project Debt Schedule
Project Debt Schedule As of March 31, 2019 Outstanding Principal Amount (In thousands) Type of Interest Currency Maturity Date(1) Name of Project INR US$ (2) Gujrat 2 4,841,991 70,011 Floating US$ 2019 Andhra Pradesh 1 2,508,312 36,268 Fixed INR 2022 Bihar 1 438,767 6,344 Fixed INR 2022 Gujarat 1 92
Slide 23: Project Debt Schedule
Project Debt Schedule As of March 31, 2019 Outstanding Principal Amount (In thousands) Type of Interest Currency Maturity Date(2) Name of Project INR US$ (5) Uttar Pradesh 3 1,480,250 21,403 Floating INR 2033 Andhra Pradesh 3 2,117,432 30,616 Floating INR 2034 Punjab 3.1 and 3.2 1,429,466 20,669 Flo
Slide 24: 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
Slide 25: Affordable Solar Power for Generations
Affordable Solar Power for Generations Excellence | Honesty | Social Responsibility | Entrepreneurship 25 | Copyright © 2019 Azure Power | www.azurepower.com