Azure Power posted a 15.6% rise in its revenue in the third quarter (Q3) of the financial year 2021 (FY 2021) on the back of an increase in its operational capacity. The company’s revenue rose to ₹3.52 billion (~$48.3 million) during the quarter from about ₹3.05 million (~$41.9 million) in the same period last year.

This was despite revenues being affected to the tune of ₹126 million (~$1.7 million) from the company’s estimates due to unfavorable weather conditions, which led to lower insolation during the quarter. In the first nine months (9M) of FY 2021, Azure’s revenue stood at ₹10.9 billion (~$149.7 million), up 17% from ₹9.3 billion (~$127.7 million) in 9M FY 2020.

However, Azure said its revenue was up driven by income generated from projects commissioned during the quarter. It added that safeguard duty (SGD) and goods and services tax (GST) reimbursements also added an extra ₹63 million (~$865,261) to their quarterly revenue.

The New Delhi-based independent power producer and renewable projects developer also said that its net loss narrowed down 19% to ₹1.09 billion (~$14.9 million) in Q3 FY 2021 from ₹1.36 billion (~$18.7 million) in the comparable quarter of the previous year.

During the quarter, losses per share also narrowed down to ₹22.54 (~$0.309) from ₹31.62 (~$0.434) in the same quarter last year. At the end of 9M FY 2021, losses per share stood at ₹29.45 (~$0.405) from ₹45.77 (~$0.628) previously.

It explained that stock appreciations rights (SAR) expenses of ₹1.32 million (~$18,129) adversely affected its results during the quarter. In 9M FY 2021, its net loss stood at ₹1.4 billion (~$19.23 million), down 28% from ₹1.94 billion (~$26.6 million).

Azure’s adjusted earnings before interest, tax, depreciation, and amortization (EBITDA) stood at ₹1.56 billion (~$21.4 million) in Q3 FY 2021, down 26% from ₹2.11 billion (~$28.9 million) previously. It attributed this decline to an increase in SAR expenses during the quarter, which was partially offset by the increased revenue and lower corporate overhead expenses. In 9M FY 2021, the company’s EBITDA stood at ₹7.18 billion (~$98.6 million), up 6.5% from ₹6.74 billion (~$92.6 million) last year.

In its earnings statement, Azure said it commissioned a 153 MW project during Q3 FY 2021. It expects about 2,900 MW to 3,115 MW of projects to be operational by the end of FY 2021.

The project cost per megawatt operating for the nine months ended December 31, 2020, was ₹45 million ($0.62 million), a 6.4% drop compared to ₹47.9 million ($0.63 million), for the nine months ended December 31, 2019, due to reduction in solar module prices. Excluding the impact of safeguard duties, the cost per megawatt during this period would have been lower by about ₹2.6 million ($0.04 million).

The company said that project construction activities are gradually coming back to normal levels and the operational and maintenance activities continue to perform normally.

In the previous quarter, Azure posted operating revenue for the quarter ended September 30, 2020, was ₹3.5 billion (~$47.6 million), an increase of 23% compared to ₹2.8 billion (~$37.7 million) in Q2 2020.

In Q1 FY 2021, Azure registered revenues of ₹3.9 billion (~$52.2 million), an increase of 16% compared to the same period last year. The net profit for the quarter ended June 30, 2020, fell to ₹46 million (~$615,195) from ₹171 million ($2.27 million) posted in Q1 2019.