Renew Energy Global Plc · NASDAQ:RNW
Renew Energy Global — Q3 FY2022 Earnings Presentation
33 slides from Renew Energy Global's earnings presentation, Feb 25, 2022
Slide 1: Q3 FY 22 Earnings Review
Q3 FY 22 Earnings Review Feb 25, 2022 1
Slide 2: Disclaimer
Disclaimer Forward-Looking Statements This announcement contains certain forward-looking statements within the meaning of the federal securities laws, including statements regarding the services offered by ReNew Energy Global, the markets in which ReNew Energy Global operates and ReNew Energy Global
Slide 3: Agenda
Agenda 01 ReNew Overview 02 9M FY 22 & Q3 FY 22 Highlights 03 Guidance 04 Sustainability And ESG 05 Appendix 3
Slide 4: ReNew Overview
01 ReNew Overview 4
Slide 5: Highly Diversified Portfolio Of Contracted Assets
Highly Diversified Portfolio Of Contracted Assets Largest operating portfolio in India(1) Investment Highlights Commissioned Committed 7.3 GW 2.9 GW 72% • India’s commitment in COP 2021 requires ~4x increase 28% in renewables by 2030 • Renewable energy is the cheapest source of new energy in India •
Slide 6: Presence In All Market Segments Provides Multiple Avenues Of Growth
Presence In All Market Segments Provides Multiple Avenues Of Growth Along With Access To Higher Return Opportunities Plain Vanilla Renewable Intelligent Energy M&A Corporate PPAs Energy (RE) Solutions GWs Currently For Auction 5 - 6 GW 5 - 7 GW(1) 6 - 8 GW NA No. Of ~15 - 20 3-4 5-6 5-6 Competitors
Slide 7: Strong Growth Through Organic And Inorganic Opportunities
Strong Growth Through Organic And Inorganic Opportunities Installed Capacity (In GW) • Aspirational goal of 18 GWs by FY 25; No new equity shares needed to be issued for 2.9 18.0 18.0 18 GW goal(3) 10.2 10.2 • ~2.8x capacity growth vs industry growth of 7.3 1.6x(2) (FY 2017-21) 5.4 5.4 5.6 5.6 4.6 F
Slide 8: Recent Developments
Recent Developments Accounts Receivable Bond Raise Joint Ventures Sale of Rooftop Announced $250mn Updates Assets Share Buyback • Karnataka: Favourable • Raised US$400 • Setting up a joint • Sold 117 MW/138 MWp • All regulatory approvals order from High Court million of bonds in venture with Fluence
Slide 9: Receivables Situation Expected To Improve Meaningfully
Receivables Situation Expected To Improve Meaningfully DSO Split1 – 4 state Discoms represent 84%; Central Gov’t./Others pay on time ReNew Is Taking Proactive Measures For Expediting Collections • Active receivable management and continuous discussions Central Govt. and / monitoring with offtakers t
Slide 10: Recent JVs Demonstrate Increased Competitive Edge and Technological Advancement
Recent JVs Demonstrate Increased Competitive Edge and Technological Advancement Partnership in Green Hydrogen JV in Energy Storage Solutions • Partnership agreement to jointly develop, own, execute • 50:50 JV to bring market-leading energy storage and operate green hydrogen projects in India technol
Slide 11: 9M FY 22 & Q3 FY 22 Highlights
02 9M FY 22 & Q3 FY 22 Highlights 11
Slide 12: Q3 FY 22 And 9M FY 22 Overview
Q3 FY 22 And 9M FY 22 Overview Key Highlights Key metrics (INR Mn) 51,581 Total Portfolio • Total Portfolio (commissioned and committed) of 10,331 MW),(1) an addition of 1.1 GW this quarter • 7,440 MWs Commissioned Capacity and 2,891 MWs of 41,053 42,456 Committed Capacity comprised of 1,688 MWs wit
Slide 13: $626 Mn Of Adjusted EBITDA, excluding impact from weather, in 9M FY 22
$626 Mn Of Adjusted EBITDA, excluding impact from weather, in 9M FY 22 9M FY 22 Adjusted 9M FY 22 Adjustments 9M FY 22 Million (INR) (USD) (INR) (USD) (INR) (USD) Comments Revenue from contracts with customers 44,403 597 44,403 597 Other operating income 2,228 30 2,228 30 Finance income 1,235 17 -1,
Slide 14: Initiatives To Mitigate Supply Cost Inflation Has Shielded ReNew
Initiatives To Mitigate Supply Cost Inflation Has Shielded ReNew Risk Mitigation Under construction projects are expected Further optimization in Balance of System to have equity returns of 16 - 20% through measures such as higher efficiency modules cost has led to reduction in BoS cost by 20 - 25%
Slide 15: Active Financing and Interest Rate Risk Management Strategy
Active Financing and Interest Rate Risk Management Strategy ReNew’s interest rate profile and potential impact on ReNew of proposed rate hikes Limited near term impact from rising interest rates Variable Rate • ~3/4th of debt is with fixed interest rate. 29% • <15% exposed to recent interest rate in
Slide 16: Guidance
03 Guidance 16
Slide 17: Strong Growth Profile Which Is Fully Equity Funded
Strong Growth Profile Which Is Fully Equity Funded Net Debt(1) & Leverage(2) At Operating Capacity Run Rate Adjusted EBITDA Of 7.3 GWs And 10.2 GWs 7000 6 INR 420 – 435 Bn 6000 ($5,650 - $5,850 Mn) INR 83 – 90 Bn ($1,115 - $1,205 Mn) 5000 5.5 INR 61 - 66 Bn INR 311 Bn ($825 - $890 Mn) 4000 ($4,175 M
Slide 18: Sustainability And ESG
Se re me ETC ROE eos hee AS SEE RET
Slide 19: ReNew Is Leading The Energy Transition In India
ReNew Is Leading The Energy Transition In India And Is Committed To Global Sustainable Development Goals Our ESG Initiatives Partnerships With Environment Social Ranked among top 10 renewable Under Gift Warmth Campaign, distributed 220,000 energy producers, globally on ESG Risk blankets across 10 st
Slide 20: Impacting Communities With Sustainability Initiatives
Impacting Communities With Sustainability Initiatives ReNew Women India Initiative (ReWIN) Lighting Lives – Electrification Of Schools COVID Relief Gift Warmth 20 Source: Company Information
Slide 21: Appendix
05 Appendix 21
Slide 22: $157 Mn Adjusted EBITDA, excluding impact of weather, in Q3 FY 22
$157 Mn Adjusted EBITDA, excluding impact of weather, in Q3 FY 22 Q3 FY 22 Adjusted Q3 FY 22 Adjustments Q3 FY 22 Million (INR) (USD) (INR) (USD) (INR) (USD) Comments Revenue from contracts with customers 11,896 160 11,896 160 Other operating income 653 9 653 9 Finance income 428 6 -428 -6 - - Remov
Slide 23: Counterparty Overview And Asset Breakdown
Counterparty Overview And Asset Breakdown Total Portfolio Total 10.2 GW Technology Solar 4.9 GW Hydro 0.1 GW Wind 5.2 GW Commissioned Committed Commissioned Commissioned Committed Project Stage 3.5 GW 0.1 GW 3.7 GW 1.4 GW 1.5 GW PPA Counterparty Centre State 3rd Party Centre State 3rd Party 2.5 GW 2
Slide 24: Operating Performance And Seasonality
Operating Performance And Seasonality As of and for the year ended 31 March 2019 2020 2021(6) 9M FY 22 Wind Solar(4) Wind Solar(4) Wind Solar(4) Wind Solar(4) Commissioned capacity (GW) 2.95 1.61 3.24 2.18 3.59 2.01 3.75 3.59 Weighted average operational 2.80 1.30 3.11 1.88 3.31 2.16 3.62 2.50 capac
Slide 25: Track Record Of Efficient Capital Raise From Diverse Sources Of Funding
Track Record Of Efficient Capital Raise From Diverse Sources Of Funding Outstanding Funding (31st December 2021) (1) Raised US$3.5bn+ In Bond Offerings Through 8 USD Bond Offerings At Competitive Rates Reduction in cost of Working Capital debt Loan 6.67% 1.72% INR Bonds 3.5% 6.45% 6.3% 6.00% 5.88% E
Slide 26: Debt Profile
Debt Profile Corporate debt By Debt Type 10% By Interest Rate Variable Rate 29% Project debt Fixed Rate 90% 71% 0 - 2 years By Currency(1) By Maturity (3) 18% INR 38% US Dollars 62% (fully 2 - 4 years hedged) 18% > 4 years 64% Interest cost for the outstanding debt as of December 31, 2021 is ~8.9%2
Slide 27: Project Level Details
Project Level Details Project Capacity (MW) Location Cod(8) Tariff (INR/kWh)(1) Offtaker(2) PPA Tenure at Cod Utility Scale Wind Energy Commissioned Projects (3,749 MW) 23.1MW: APPC Rate + escalation linked to State APPC tariff; 2.1MW: GUVNL (23.1), 23.1 MW: 25 years; Jasdan 25.2 Gujarat Mar-12 INR
Slide 28: Project Level Details
Project Level Details Project Capacity (MW) Location Cod(8) Tariff (INR/kWh)(1) Offtaker(2) PPA Tenure at Cod Utility Scale Wind Energy Commissioned Projects (3,749 MW) Bhesada 100.8 Rajasthan Dec-15 5.88(3a) JDVVNL 25 Nipaniya 40.0 Madhya Pradesh Feb-16 5.92 MPPMCL 25 Kod and Limbwas 90.3 Madhya Pr
Slide 29: Project Level Details
Project Level Details Project Capacity (MW) Location Cod(8) Tariff (INR/kWh)(1) Offtaker(2) PPA Tenure at Cod Utility Scale Wind Energy Commissioned Projects (3,749 MW) Bapuram 50.0 Karnataka Mar-18 3.74+Tax Pass-through to offtakers(6) GESCOM 25 (6) Nirlooti 60.0 Karnataka Mar-18 3.74+Tax Pass-thro
Slide 30: Project Level Details
Project Level Details Project Capacity (MW) Location Cod(8) Tariff (INR/kWh)(1) Offtaker(2) PPA Tenure at Cod Utility scale Solar Energy Commissioned Projects (3,456 MW) Mandamarri 48.0 Telangana Feb-17 5.59 TSNPDCL 25 Alland 20.0 Karnataka Mar-17 4.86 BESCOM 25 Bhalki 20.0 Karnataka Mar-17 4.85 BES
Slide 31: Project Level Details
Project Level Details Project Capacity (MW) Location Cod(8) Tariff (INR/kWh)(1) Offtaker(2) PPA Tenure at Cod Utility scale Solar Energy Commissioned Projects (3,456 MW) Mah Ph I 250.0 Rajasthan Oct-19 2.72 MSEDCL 25 MESCOM, BESCOM, Karnataka 140 140.0 Karnataka Oct-19 3.22 25 GESCOM, CESC SECI Raj
Slide 32: Project Level Details
Project Level Details Project Type Capacity (MW) Location Cod(8) Tariff (INR/kWh)(1) Offtaker(2) PPA Tenure at Cod Utility Scale Firm Power Committed Projects (1703 MW) Wind 322.0 PP-I (7) Karnataka PPA Awaited Off Peak - 2.88; Peak - 6.85 SECI 25 Solar 81.0 Wind 600.0 Karnataka 2.9 for year 1 with
Slide 33: Thank You
Thank You For further inquiries please contact IR@renewpower.in 33
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