Azure Power Global Limited · OTC:AZREF

Azure Power Global — Q4 FY2017 Earnings Presentation

26 slides from Azure Power Global's earnings presentation, Jun 19, 2017

Slide 1: Fourth Quarter & Full Year Ended March 31, 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 Fourth Quarter & Full Year Ended March 31, 2017 Earnings Presentation June 19, 2017 1 | Copyright © 2017 Azure Power | www.azurepower
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 Full year and Fiscal Fourth Quarter 2017 Results Initiatives to Enhance Shareholder Value FY 2018 Guidance 3 | Copyright © 2017 Azure Power | www.azurepower.com
Slide 5: Powering Utilities, Commercial and Community
POWERING UTILITIES -Developed India’s first private utility scale solar project in 2009 -35 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 (1) Rooftop • 771 MW (AC) operational, 298 MW under construction & Indian Railways committed Over 50%3 of the NVVN • 35 operational utility projects, 5 under cons
Slide 7: Strong execution during 4Q17
Strong execution during 4Q17 130MW (2) | KARNATAKA 3 Largest solar project in the state of Karnataka. 46MW(2) | Indian Railways 25 Year PPA with Chamundeshwari Electricity Supply Corp. Limited, Hubli Electricity Supply Company Limited and PPA allotted to Azure Power is the largest to any Gulbarga El
Slide 8: The Solar Advantage; Lowest Cost, Most Reliable Resource with Greatest Potential
The Solar Advantage; Lowest Cost, Most Reliable Resource with Greatest Potential • Solar more reliable & predictable: high availability • Generation in seasons when peak demand is higher Azure Power’s solar plants • Coal/gas can have interruptions in availability on • India’s summer peak demand high
Slide 9: Industry News and Company Impact
Industry News and Company Impact Industry News Impact on Company INR appreciation vs USD strongest in seven years (1) 59% YoY increase in revenues and a 69% YoY increase India Foreign Direct Investment up +11% YoY.(2) Strong in kWh generation during FY17. India requires 134GW of new capacity.(3) Eco
Slide 10: FY 2017: Effective Strategy & Strong Execution Drives 94% YoY Increase in Operating MW
FY 2017: Effective Strategy & Strong Execution Drives 94% YoY Increase in Operating, High Quality MW 651MW cumulative Operating 1,069MW cumulative Operating & Committed US$64.5mn Revenue 94% increase(1) 31% increase(1) 59% increase(1) 617.5mn kWh Generation US$0.76mn Project Cost/MW US$169.7mn Portf
Slide 11: 4Q'2017: Adjusted EBITDA Margin Expansion Driven by Cost Management
4Q’2017: Adjusted EBITDA* Margin Expansion Driven by Cost Management 90% growth in Adjusted EBITDA in Q4 FY’17 vs Q4 FY’16 21,000 8,486 1,039 17,000 326 15,025 In US$ Thousands 13,000 7,904 9,000 5,000 1,000 Q4 FY'16 Adjusted Additional Revenue Cost of Operations General & Administrative Q4 FY'17 Ad
Slide 12: A Growing Balance Sheet with a Strong Liquidity Position
A Growing Balance Sheet with a Strong Liquidity Position March 31, 2016 March 31, 2017 (in thousands) (in thousands) INR INR US$ Cash, Cash Equivalents and Current 3,090,386 8,757,467 135,042 Investments Property, Plant & Equipment, Net 24,381,429 40,942,608 631,343 Total Debt* 20,487,951 35,157,808
Slide 13: US$570 Million of Liquidity as on March 31, 2017
US$570 Million of Liquidity as on March 31, 2017 Working Capital Facilities Cash (incl. restricted) $108 million CDPQ ROFO Right of first offer to provide minority $212 million equity financing to fund the development or acquisition of new power projects of our subsidiaries $250 million Debt Sanctio
Slide 14: Key FY 2018 Initiatives to Enhance Shareholder Value
Key FY 2018 Initiatives to Enhance Shareholder Value We utilize four main levers to improve 2018 Key Initiatives returns and enable sustained growth Effective Experienced market participant with track record Scale up rooftop and distributed Bidding of winning bids above the lowest clearing bid gener
Slide 15: Guidance
Guidance US$ 118-125 million of Revenue for FY18 1,000-1,200 MWs Operating by March 31, 2018 __________________________ Exchange rate- INR64.85 to US$1 (New York closing rate of March 31, 2017) 15 | Copyright © 2017 Azure Power | www.azurepower.com
Slide 17: Use of Non-GAAP Financial Measures
Use of Non-GAAP Financial Measures Adjusted EBITDA is a non-GAAP financial measure. The Company presents Adjusted EBITDA as a supplemental measure of its performance. This measurement is not recognized in accordance with GAAP and should not be viewed as an alternative to GAAP measures of performance
Slide 18: Full Year and Q4 FY'17 Results
Full Year and Q4 FY’17 Results Year Ended March 31, Three Months Ended March 31, % Change (in thousands) (in thousands) Q4FY’17 vs Q4FY’16 2016 2017 2017 2016 2017 2017 INR INR US$ INR INR US$ Revenue 2,626,148 4,182,985 64,502 767,237 1,317,577 20,317 72% Cost of Operations 190,648 375,787 5,795 63
Slide 19: Reconciliation of Non GAAP Measures to Comparable GAAP measures
Reconciliation of Non GAAP Measures to Comparable GAAP measures Year Ended March 31, Three Months Ended March 31, (in thousands) (in thousands) 2016 2017 2017 2016 2017 2017 INR INR US$ INR INR US$ Net loss (1,654,840) (1,191,569) (18,374) (593,440) (306,728) (4,730) Income tax expense/ (benefit) 32
Slide 20: 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 March 31, 2016 2017 INR INR US$ Nominal contracted payments 207,576,237 255,474,775 3,939,472 (in thousands) ………………… Total esti
Slide 21: 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 22: 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 (4) Q4 2016 50 5.62 Punjab State Power Corporation Limited 25 Punjab 4.2 (4) Q4 2016 50 5.63 Punjab State
Slide 23: 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 DLF Limited 25 Uttar Pradesh Rooftop 1 Q1 2015 0.555 Indosolar Limited 25 Delh
Slide 24: Debt Schedule
Debt Schedule Outstanding Principal Amount (In thousands) Type of Interest Currency Maturity Date(1) Name of Project INR US$ (3) Punjab 1 202,671 3,125 Fixed US$ 2024 Punjab 2 1,696,500 26,160 Floating INR 2030 Gujarat 1 1,122,926 17,316 Fixed US$ 2025 Gujarat rooftop 114,417 1,764 Floating INR 2028
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
Slide 26: Affordable Solar Power for Generations
Affordable Solar Power for Generations Excellence | Honesty | Social Responsibility | Entrepreneurship 26 | Copyright © 2017 Azure Power | www.azurepower.com

Azure Power Global — Q4 FY2017 Earnings Presentation on 6ix

Azure Power Global — Q4 FY2017 Earnings Presentation

Slide 1: Fourth Quarter & Full Year Ended March 31, 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: Strong execution during 4Q17

Slide 8: The Solar Advantage; Lowest Cost, Most Reliable Resource with Greatest Potential

Slide 9: Industry News and Company Impact

Slide 10: FY 2017: Effective Strategy & Strong Execution Drives 94% YoY Increase in Operating MW

Slide 11: 4Q'2017: Adjusted EBITDA Margin Expansion Driven by Cost Management

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

Slide 13: US$570 Million of Liquidity as on March 31, 2017

Slide 14: Key FY 2018 Initiatives to Enhance Shareholder Value

Slide 15: Guidance

Slide 16: Appendix

Slide 17: Use of Non-GAAP Financial Measures

Slide 18: Full Year and Q4 FY'17 Results

Slide 19: Reconciliation of Non GAAP Measures to Comparable GAAP measures

Slide 20: Nominal Contracted Payments & Portfolio Run-Rate

Slide 21: Project List- Operational (Utility)

Slide 22: Project List- Operational and Under Construction (Utility)

Slide 23: Project List- Commercial Rooftops

Slide 24: Debt Schedule

Slide 25: Glossary of Select Terms

Slide 26: Affordable Solar Power for Generations