Azure Power Registers 16.2% YoY Rise in Revenue in Q4 2021

Azure Power posted a 16.2% year-over-year (YoY) rise in its revenue in the fourth quarter (Q4) of the financial year (FY) 2021, driven by projects commissioned in FY 2021.

Other reasons for the growth include an additional revenue of ₹83 million (~$1.1 million) from the recovery of safeguard duties (SGD) and Goods and Service Tax (GST), derived from the ‘Change in Law’ provision in power purchase agreements (PPAs) for four of their projects.

However, revenue to the tune of ₹51.3 million (~$700,000) was impacted by adverse weather conditions, resulting in low insolation, the company noted.

The company’s revenue rose to ₹4.27 billion (~$58.2 million) during the quarter from ₹3.67 billion (~$50 million) in the same period last year. Revenues rose by 21% quarter-over-quarter (QoQ), as Azure earned ₹3.52 billion (~$48.3 million) in Q3 2021.


Azure recorded a net loss of ₹2.79 billion (~$38.1 million) in Q4 2021. The results were negatively impacted by an impairment loss on assets of ₹3.25 billion (~$44.5 million), partially offset by a reversal in stock appreciation rights (SARs) expense of ₹560 million (~$7.7 million).

The adjusted earnings before interest, tax, depreciation, and amortization (EBITDA) for Q4 2021 was ₹3.79 billion (~$52.0 million), an 44% increase over Q4 2020 and a 58% increase over Q3 2021. The increase was primarily due to lower stock appreciation rights expenses by ₹660 million (~$ 9 million) during Q4 2021 and higher revenue by ₹596 million (~$ 8.1 million) in the same quarter.

As of Q4 2021, 1,990 MW of solar projects were operational, increasing 20% over March 31, 2020. Operating, contracted, and awarded MWs were to the tune of 6,955 MW as of March 31, 2021. The contracted and awarded MWs include 4,000 MW, for which Azure has received letters of award (LOA), but the PPAs are yet to be signed.

Azure commissioned 156 MW AC (240 MW DC) of solar projects in Q4 2021 and 335 MW AC (506 MW DC) in FY 2020-2021, including the 6 MW of rooftop solar commissioned for the quarter ended March 31, 2021.

Azure Power Global recently signed a binding agreement to sell its non-core rooftop solar portfolio to Radiance Renewables for ₹5.36 billion (~$73.5 million). In a separate release, Azure said that its Green Bond owners’ rights had been protected in respect of 42.7 MW of assets. As part of the sale agreement, 48.6% of the equity ownership relating to 42.7 MW of assets will be transferred to Radiance, and the remaining 51.4% will be transferred after the refinancing of Azure’s Green Bonds.