Independent power producer ReNew Power posted total revenue of ₹25 billion (~$313.41 million) for the first quarter (Q1) of the fiscal year (FY) 2023, an increase of 48.8% compared to the revenue of ₹16.81 billion (~$210.71 million) posted in the same period last year.

The net loss for the quarter was ₹104 million (~$1.3 million), a decline of 75% compared to a net profit of ₹425 million (~$5.32 million) in the same period last year. The net loss includes a one-time expense for debt premium and the impact of a reclassification of a hedging loss from the balance sheet of ₹2.53 billion (~$31.71 million) for refinancing US dollar bonds with lower-cost rupee debt.

Adjusted earnings before interest, taxes, depreciation and amortization (EBITDA) for the quarter was ₹20.16 billion (~$252.74 million), an increase of 49.7% compared to ₹13.47 billion (~$168.87 million) in the same period last year.

Andhra Pradesh distribution companies owe ₹20.49 billion (~$ 259 million), which the company expects to recover fully over time. In line with the implementation of the Electricity (Late Payment Surcharge and Related Matters) Rules, 2022, ReNew has started receiving payments on the outstanding receivables from the DISCOMs in 12 equal monthly instalments from August 2022.

Renewable Portfolio

As of June 30, 2022, ReNew’s total portfolio consisted of 12,925 MW, and commissioned capacity was 7,624 MW, of which 3,817 MW was wind, 3,708 MW was solar, and 99 MW was hydro. The company commissioned 37 MW of wind and 20 MW of solar assets during the quarter. After the end of the quarter, ReNew signed an additional 226 MW of power purchase agreements (PPAs), bringing the company’s total portfolio to 13,151 MW.

Electricity sold during the quarter from solar assets was 2,183 MU, an increase of 1,040 MU or 90.9% over Q1 FY 2022. Electricity sold from wind assets was 2,889 MU, an increase of 479 MU or 19.9%, over Q1 FY 2022.

The weighted average plant load factor (PLF) for the quarter for wind assets was 34.8%, compared to 30.8%, for Q1 FY 2022 due to an improvement in wind resources. The PLF for solar assets was 27.2% compared to 24.8% for Q1 FY 2022.

ReNew Power tied up with 12 international lenders, led by Rabobank, for the largest External Commercial Borrowings project finance loan in the country’s renewable sector, for any single project. The $ 1.1 billion loan, signed through a special purpose vehicle, will be deployed for its hybrid round-the-clock (RTC) battery-enabled project.

The interest rate, after hedging, is expected to be lower than the company’s current average cost of debt on its balance sheet. ReNew has signed a PPA with the Solar Energy Corporation of India (SECI) for this project, which will see wind and solar farms set up across Karnataka, Rajasthan, and Maharashtra states.

Recently, ReNew Power became the first Indian clean energy company to refinance its 2024 maturity dollar-denominated bonds with amortizing project loans from an Indian non-banking financial company. The ECB loan follows ReNew’s refinancing measures.