Adani Green Registers 11% YoY Revenue Growth in Q3 of FY 2020

Adani Green Energy Limited (AGEL), a part of the Adani Group, has announced its financial results for the nine months (9M) and quarter ending December 31, 2019.

The total revenue for the company from operations in the first nine months of the financial year stood at ₹18.53 billion (~$260.12 million), up by 35% on a year-on-year (YoY) basis. The revenue from power generation was up by 7% YoY to ₹14.64 billion (~$205.51 million) from ₹13.71 billion (~$192.45 million) during the same period last year.

The company noted that the earnings before interest, taxes, depreciation, and amortization (EBIDTA) of ₹12.66 billion (~$177.72 million) was up by 2% YoY and the loss for the period stood at ₹1.23 billion (~$17.26 million) as compared to ₹3.81 billion (~$53.48 million) on YoY basis. The cash profit for the company during the nine months was ₹5.44 billion (~$76.36 million), lower by 3% YoY.

Besides, the company said that for Q3 of the financial year 2019-20, the total revenue from operations was ₹5.04 billion (~$70.74 million), up by 11% YoY. The company posted revenue of ₹4.52 billion (~$63.45 million) from power generation for Q3, and the EBIDTA was of ₹3.47 billion (~$48.71 million). The company posted a loss of ₹1.29 billion (~$18.11 million) for Q3 of the financial year 2019-20 as compared to ₹1.18 billion (~$16.56 million) YoY. The cash profit registered by the company was ₹770 million (~$10.81 million), which was lower by 44% as compared to the same period last year.


The company’s total contracted renewable energy portfolio stood at 5.9 GW, of which 2.5 GW is operational capacity, which includes 150 MW of OEM wind projects. The company says it is on track to achieve 5.9 GW of operating capacity by FY 2022.

Expressing his views on the quarterly results of the company, Gautam Adani, Chairman, Adani Green Energy Limited, said, “We are committed to creating a greener future and our new initiative coming together to support the engagement and participation of the power sector. This quarter, we are proud that Adani Green Energy Limited became India’s first investment-grade offering from the nation’s renewable energy sector to global investors.”

Solar

For solar, the capacity utilization factor (CUF) for the first nine months of the financial year 2019-20 stood at 21.72% as compared to 21.24% during the same period last year, and the power sales were up 5% YoY at 2,926 million units. The average realization was ₹ 4.94 (~$0.069)/kWh.

For Q3 of the financial year 2019-20, the CUF stood at 19.98% as compared to 21.66% during the same period last year. The company achieved a power generation of 945 MUs, up by 4% during the same period last year. The revenue from power sales was down by 2.72 YoY, and the average realization was ₹4.71 (~$0.066)/kWh.

Wind

For wind, the CUF for the first nine months of the financial year 2019-20 stood at 28.88% as compared to 22.23% YoY. The power generation of 155 MUs was up by 78% as compared to the same period last year. The revenue from power sales was up by 51.54%, and the average realization was ₹3.88 (~$0.054)/kWh.

For Q3, the wind projects’ CUF was 21.42% as compared to 8.33% last year. The power generation figures of 50 MUs were up by 355% as compared to the same period last year. The revenue from power sales was up by 219.33%, and the average realization was ₹3.72 (~$0.052)/kWh.

Echoing a similar sense of optimism, Jayant Parimal, CEO, Adani Green Energy Limited, said, “Adani Green Energy Limited had a strong quarter and is rapidly cementing its place as the leading renewable energy player in India. We have reached an operational capacity of 2.50 GW and are on course to reach 4.29 GW by FY 2021.”

The interest and other borrowing costs for nine months of the FY 20 were ₹7.8 billion (~$109.49 million), up from ₹7.11 billion (~$99.8 million) as compared to the same period same last year. The interest and other borrowing costs for Q3 stood at ₹2.9 billion (~$40.71 million) as compared to ₹2.77 billion (~$38.88 million) on a YoY basis.

In November 2019, the company had announced its consolidated results for the first half of the financial year (FY) 2020 and the second quarter of FY 2020. AGEL said it turned a profit of ₹10.2 million (~$142,542) in the second quarter compared to a loss of ₹18.8 million (~$262,725) in the same period last year. AGEL also stated that its total revenue in the first half was up 46% from the same period last year and stood at ₹134.9 million (~$1.88 million) while the revenue from power generation was up 10% year-on-year (YoY) at ₹101.6 million (~$1.42 million).

In its Solar Market Leaderboard 1H 2019,  Mercom India Research reported that Adani was the largest project developer in terms of cumulative solar installations as of June 2019.

Recently, Rosepetal Solar Energy Private Limited (RSEPL), a wholly-owned subsidiary of AGEL, was allotted a 700 MW wind-solar hybrid power project at a tariff of ₹3.24 (~$0.045)/ kWh. According to a Bombay Stock Exchange (BSE) filing by the company, the wind-solar hybrid power project is expected to be commissioned by Q2 of the financial year (FY) 2022.

In October last year, Adani Green had announced that its subsidiaries, Adani Renewable Energy Limited, Wardha Solar (Maharashtra), and Kodangal Solar Parks Private Limited, had approved the issuance of dollar-denominated 20-year senior secured green bonds amounting to $362.5 million (~$25.77 billion). In a filing with the Bombay Stock Exchange, Adani Green had added that the companies intended to use the proceeds from the issue to repay their respective foreign currency loans and rupee borrowings.