ReNew Energy Global : Q4 Earnings Presentation v6

Published: 2025-06-16 07:25:08 ET RNW

Published on 06/16/2025 at 07:25

June 16, 2025

To be a global leader of the clean energy transition

Pioneer Responsible Excellence Partner

5.0 GW*

6.1 GW

6.4 GW**

2.5 GW***

150 MWh

WIND

SOLAR

MFG

BESS

*Commissioned| **Module Capacity | ***Cell Capacity

OPERATING: 11.2 GW* (+ 150 MWh BESS) / COMMITTED: 18.5 GW# (+ 1.1 GWh BESS)

AGENDA

EXECUTIVE

SUMMARY

BUSINESS UPDATES

FINANCE

HIGHLIGHTS

ESG AND

SUSTAINABILITY

GUIDANCE

ANNEXURE

Highlights for Q4 FY25 and FY25

Pipeline of 25 GW+ of projects (+ 2.8 GWh BESS)

2.5x growth since listing; 4.8 GW (+ ~800 MWh BESS) of bid wins in TTM; 14% share in participated auctions and ~8% overall market share

18.5 GW portfolio (+1.1 GW BESS); 1.3 GW increase since Q3 FY25 and

Portfolio

5.3 GW since Q4 FY24#

11.2 GW operational - added ~1.95 GW (+ 150 MWh BESS) operating

capacity since Apr'24; 250 MW near operational

6.4 GW module + 2.5 GW cell manufacturing operational/stabilized at industry leading efficiency; construction of additional 4GW cell facility underway

Current external order book of over 1.4 GW (in addition, ~1.3 GW already delivered)

#Q3 & FY24 capacity adjusted for the 300 MW solar asset sale

Highlights for Q4 FY25 and FY25 (Contd.)

Capital

Raised $900*mn through capital recycling till date, further improving returns

$260 mn* in last six months - through monetizing operational solar and transmission assets + fund raise in manufacturing business

Manufacturing expansion funded through $100 mn BII investment



Profitability

Adjusted EBITDA grew 14+% YoY in FY25 to INR 79.2 bn; improved margins due to cost optimization

32% growth YoY in Q4 FY25 adjusted EBITDA, further helped by growth in manufacturing business

Profit Before Tax (PBT) for FY25 - INR 10.0 bn, up 23% YoY

Second consecutive year of Profit After Tax (PAT) - INR 4.6 bn; up 11% YoY

*Includes transactions pending closure

Market leader with a fully integrated business model

ReNew's Competitive Advantage

Pan India presence across high radiation and key wind zones

Over 12.3 GW* installed across 10 states since inception

Leading market player in multiple renewable segments such as utilities, C&I, merchant

Fully integrated business model with in-house land, project

development, EPC and O&M capabilities

Supply chain security through in-house module and cell manufacturing facilities; ability to sell excess production at higher margins

Connectivity secured for entire pipeline

Disciplined approach to capital allocation; recycled over $900

mn of capital at higher than base case returns

Top rated on ESG metrices

18.5 GW Total Committed Portfolio#

0.1

7.8

1.6

1.1

1.8

0.8

1.5

2.5

# Less the capacity where location is TBD

0.1

* Includes 1.1 GW of assets sold

Favorable regulatory environment and support for renewable energy

500 GW renewable energy target set for 2030

220 GW (incl large hydro) installed as on 31 March 2025

106 GW solar as on date; 23.8 GW installed in FY25

50 GW wind as on date; 4.2 GW installed in FY25

80%+ of capacity added in the last three years has come from renewable energy

Power demand continues to increase

250 GW peak demand in FY25; 7% CAGR since 2022;

1,693 BU demand in FY25; 7% CAGR since 2022; up 4.2%

RE provides majority of capacity additions (in GW) Power Sector capacity additions

58 76 91 72 86

% of RE in total additions

4.9

28.7

18.5

15.5

15.3

7.4

4.5

3.9

5.8

25.7

1.5

20.3

33.2

0.8

in FY 25 from a high growth base in FY 24

Falling interest rate environment with RBI having cut rates by

100 bps in the last 6 months

Continued push towards manufacturing/Make in India, with ALMM for modules and cells

Total

12.8

0.5

0.4

16.6

1.3

FY21 FY22 FY23 FY24 FY25

Source: CEA and MNRE

Others refers to Nuclear and Large Hydro

Higher auction volumes in complex, hybrid and solar + BESS bids

18% increase in Committed Portfolio YoY^ Strong uptick in RE auctions*; hybrid/complex auctions

25 GW+ pipeline (+ 2.8 GWh BESS)

62+ GW RE auctioned in FY25; over 50 GW tendered for the 2ndconsecutive year

Over 5x increase in auctions since FY23

~25% share of vanilla auctions in FY25, lowest ever

PPAs for 60 -70 GW* signed since April'24; 40-45 GW*

pending

Increasing share of BESS due to falling input prices, both in complex projects and solar + BESS (new category); ReNew first IPP to install utility scale BESS in India

take the highest share (in GW)

9.6

29.4

16.2

13.2

12.4

17.0

25.0

9.9

8.9

6.5

4.2

Total 56.3

+~6GW BESS

Total 62.6

+~10GW

4.8 GW won by ReNew; 14% market share in bids participated

18.5 GW committed capacity (+~1.1 GWh of battery)

Total

13.4

Total

15.1 Total

BESS

PPAs for ~5.3 GW RE capacity signed since Apr'24 10

Portfolio continues to shift towards Central Government offtakers

2.0

2.4

1.4

11.6

0.9

FY21 FY22 FY23 FY24 FY25

* Management estimate - assumes peers will use similar RE (wind + solar + BESS) configuration ratios.

Execution continues to be on track

~1.95 GW commissioned from Apr'24 Consistent execution record across years

5.6

(in

18.5

7.3

13.7

13.4

0.3

9.9

10.7

0.4

0.5

0.1

0.3

8.0

7.6

9.5

4.3

10.7

3.1

3.9

5.7

Over 2.2 GW constructed in FY25, 250 MW near COD:

17% growth in commissioned capacity from Apr'24;

21% Growth in commissioned capacity on a like to like basis*

Solar execution:

1.7+ GW commissioned from Apr'24; minor spillover due to

delay in commissioning approvals

250 MW awaiting final regulatory clearance

Wind execution:

500 MW+ erected as part of other projects; 220+ MW

commissioned from Apr'24

GW)

11.2 GW

~11.2 GW operating portfolio

Commissioned India's largest BESS site - 150 MWh/75 MW

FY21 FY22 FY23 FY24 FY25

*Assumes that the 300 MWs sold during the year were not part of the PY portfolio 13

~0.5 GW constructed in FY25, received COD approval in Q1 FY26

Value unlocking for our manufacturing business through $100 mn marquee investment

Manufacturing: Expanding current cell facility by 4GW which generates higher margins

$100 mn to be received from BII for a ~10% stake

Funds primarily to expand the current cell facility

Transaction expected to close in Q2 FY26

300 MW SECI solar asset sale to Anzen successfully closed

300 MW SECI solar and transmission asset sale to IndiGrid (definitive agreements signed)

Raised ~US$ 900 mn* through capital recycling efforts over the years

Over $260 mn* raised through monetizing internally

generated assets in last 6 months

*Includes transactions pending closure

Secured equity funding for new 4 GW cell facility

Existing facilities fully operational and stabilized

Module plants producing 10+ MW/day

Cell plant producing 5 MW/day

~4.6 GW of modules & ~800 MW of cells produced till

date

3.0 GW Modules and 500 MW cells produced in FY25

Current external order book of ~1.8 GW (additional 1.3 GW already delivered)

Non DCR Modules: ~500 MW

DCR Modules and cells: 1.3GW

New 4 GW TOPCon cell facility to be built in Dholera

Expected to start production in FY27

Capex of ~US$330-350 mn

Contribution from external sales:

INR 4.2 bn adjusted EBITDA for FY25

INR 3.6 bn in Q4 FY25

ReNew's manufacturing facility in Dholera, Gujarat

Interconnection fully secured for 25+ GW pipeline

Internal push to secure land and transmission for future projects

Transmission infra backbone for growth

Total interconnection capacity of 17+ GW - 7.5 GW of new interconnection added in FY25

7.5+GW of approvals land based - gives flexibility in using for different projects as required

CTU/STU connectivity and EHV build critical differentiator for long term growth - enables timely land acquisition and clarity on timing of construction

Land critical for large scale execution

Land largely secured for FY26 projects

Target to acquire land in advance for ~1.5-2.0 GW of

solar projects annually

Build a land bank in high radiation zones

Finance Highlights: Q4 and Fiscal Year FY25

Strong growth in Adj EBITDA and Profitability

Adj EBITDA

INR 22.1 bn Adj EBITDA for Q4 FY25; 32% increase YoY

INR 79.2 bn Adj EBITDA for FY25

14%+ YoY increase; primarily driven by higher capacity, cost optimization &

manufacturing

EBITDA margin improvement of ~260 bps (in IPP biz) in FY25 due to cost optimization measures

Profitability

INR 3.0 bn PBT for Q4 FY25; compared to 2.1 bn in Q4 FY24

INR 10.0 bn PBT for FY25 - up 23% YoY

INR 3.1 bn PAT for Q4 FY25; 4x increase YoY

INR 4.6 bn PAT for FY25 - second consecutive year of profitability

Others

INR 14.9 bn FY25 CFe; 9% increase YoY

Offset somewhat by higher loan repayments in FY 25

US$ 260 mn* raised through asset recycling in last 6 months

~US$ 2bn raised through debt financing during FY25; consolidated leverage under 6.0x for

operating businesses

With respect to the non-binding offer received, active discussions between the Special Committee (consisting of the six independent Directors) and the Consortium are ongoing and an update on the outcome will be provided as soon as reasonably practicable

*Includes transactions pending closure

Q4 FY25 operating performance

Total portfolio ~18.5 GW (+ ~1.1 GWh BESS)

~11.2 GW operating; 17% increase YoY

Wind: 5.0 GW, Solar: 6.1 GW, Hydro: 99 MW

~7.3 GW committed

Total capacity commissioned*

~1.95 GW commissioned from Apr '24;

Key metrics (INR bn)

34.4

~1.7+ GW solar since Mar'24; 220+ MW wind since

Mar'24

21% increase in MWs (adjusted for 300 MW asset sale)

Financial performance

Improvement in Adj EBITDA Margins (IPP Business)

82.8% in FY25 from 80.2% in FY24

Q4 FY24 Q3 FY25 Q4 FY25

29.0

24.8

18.1

21.2

22.1

16.8

18.5

13.9

2.1

(2.9)

(1)

Q4 FY24 vs Q4 FY25 Adj. EBITDA walk (INR bn)

22.1

16.8

3.6

0.6

Notes:

79.0% in Q4 FY25 from 77.4% in Q4 FY24

Profit Before Tax

Up 45% YoY for the quarter and 23% up from FY24 to

FY25

Second consecutive year of annual PAT

10% improvement in EPS

0.3

Q4 FY24 actual PLF impact MFG Projects sold +

lower LPS income

and trading income

2.6

New Projects Q4 FY25 actual

1. Total Income includes finance income. However, finance income is not included in Adjusted EBITDA (refer reconciliation of Net Profit to Adjusted EBITDA)

* We have sold 300 MW of solar assets during FY25

Improved financial performance in FY25 and Q4FY25

Higher than expected Adj. EBITDA due to contribution from manufacturing

14% increase in Adjusted EBITDA YoY

Revenue from new projects offset by INR 4.9 bn

weather impact

Lower expenses driven by cost efficiency measures

Adj EBITDA walk Year over Year* (INR bn)

79.2

69.2

4.9

12.5

2.7

260 bps improvement in overall margins (in IPP business

Margins and Revenue from our Manufacturing business

INR 4.2 bn Adj. EBITDA for FY25; ~31% EBITDA

margins

INR 3.6 bn Adj. EBITDA for Q4 FY25

FY26 Guidance: Adj EBITDA INR 5-7 bn

Note: The above EBITDA does not include

captive sales

FY24 Adj EBTIDA

YTD Weather Impact

4.5

Projects Sold, Lower LPS

4.2

Manufacturing New Projects Operational

Savings

FY25 Adj EBITDA

Particular

IPP Business

Manufacturing Business (external sales)

Consolidated

Revenue (INR)#

90.6 bn

13.3 bn

103.9 bn

EBITDA (INR)

75.0 bn

4.2 bn

79.2 bn

Margins

82.8%

31.6%

76.2%

*We have sold 300 MW of solar assets during FY25

# Refer Pg. 39

Continue to pursue long term run rate leverage target of under 6.0x on consolidated basis

Currently leverage levels elevated due to high growth nature of business

17% operating MW growth YoY

~2 years lead time b/w debt drawdown and full year revenue

Accounting classification of JV Partner

CCD/OCD/NCD contribution

Captive manufacturing debt excluded as not contributing to EBTIDA

Increase in manufacturing cash flows and continuous asset recycling will further help with reducing leverage

Net Debt/Adj. EBITDA (x) multiples for FY25

8.1

(0.3)

7.6

(0.2)

6.0

(1.6)

Approximate debt related to under construction projects

Related to captive portion of our manufacturing business

Contribution from our JV partners

Net Debt/LTM Adj. EBITDA

NCD/OCD/CCD MFG Captive + Trans Project level

leverage

Net CWIP Leverage for operational projects

*Provisional Unaudited Net CWIP ($1.4 5bn) = CWIP ($1.7 bn) - Capital Creditors ($368 mn) + Capital Advances ($99 mn)

Continue to access cheaper sources of debt

Reserve Bank of India has reduced repo rates by 100 bps in last 6

months

Rates down by 20-30 bps (after the initial 50 bps rate cut) for greenfield financing for both domestic and foreign commercial

Moving towards favorable interest rate environment

8.90 9.10 9.15 9.12

7.32

banks

Impact of recent 50 bps cut expected to flow through in future

~US$ 2 bn financing secured during FY25 including US$ 500+ mn of refinancing

~US$ 2 bn financing (including re-financing) disbursed in FY25:

Greenfield financing: US$ 1 bn+ from domestic lenders and

~US$ 350 mn from foreign sources

Interest rates for ~US$ 600 mn debt refinanced / re-negotiated in

6.84

7.07

4.63

4.50

0.20

5.50

6.30

FY25:

~40-70 bps of interest rate savings

FY22 FY23 FY24 FY25

Notes: 22

1 US$ = INR 85.43 FED rate as of March 31, 2025

9.2 GW operational for over 1 year:

9.5 GW operating MWs (as of Mar'24) less 300

MW sold during FY25

Plus

25 bps

11.30%

Manufacturing operations

EBITDA in FY24: INR 73.0 bn EBITDA

Capital employed: ~INR 493 bn

EBIT: INR 56.9 bn

Return on capital employed (ROCE): 11.55%

Operating businesses continue to stay profitable: ROCE up by 25 bps

Healthy returns for operating portfolio*

11.55%

ROCE with 7.6 GW operational ROCE with 9.2 GW operational

+ manufacturing

ROCE = Return on Capital Employed, calculated EBIT/ Capital deployed

Capital deployed = Total assets - current liabilities - cash 23

* 300 MW sold during FY25

ESG Leadership

LSEG (formerly Refinitiv)

Achieved Grade A and Score of

84.35

Top performer amongst all peers in Electric Utilities & IPPs sector

Morningstar Sustainalytics

Included in the 2025 Top-Rated ESG

Companies List

Score of 13.1 (Low Risk)

EPD Certification LEED GOLD Certification

Green Manufacturing

Life Cycle Assessment (LCA) completed for solar module manufactured in Jaipur

Third party verification of EPD completed via the International EPD (Environmental Product Declaration) System

LEED GOLD certification achieved by the Dholera Manufacturing Plant

Strong performance in water conservation, energy efficiency, and design innovation

CII Climate Action

Programme - CAP 2.0

S&P Global Sustainability

Yearbook 2025

Climate Action

Winner in the highest category (Resilient) in the Energy, Mining & Heavy Manufacturing (EMHM) Sector

First company to be included in the S&P Global Sustainability Yearbook from the Electric Utilities sector in India

FY25

In Progress

FY25

Completed

Long Term Targets

Our ESG Targets

Update for Q4 - FY25

Status

Environment

Emissions

To be validated as carbon neutral

(scope 1 & 2) annually till 2025

Carbon neutrality verification for ~160 sites for FY 2024-25 under progress (5 times in a row)

In progress

Calculation of Scope 1, 2 and 3

GHG emissions for FY 24-25

Assurance for F.Y. 2024-25 in progress

Integrated Report for F.Y. 2024-25 in progress

In progress

SBTi Validated Net Zero Emissions by 2040

10% reduction in Scope 1 and 2 emissions in FY'24 (in line with our target)

Aligned to Net Zero targets, decarbonization plan is now part of KPIs of Management Committee members

Decarbonization roadmap for manufacturing (module and cell) completed

Life Cycle Assessment of M10 144 Bifacial Solar Module completed and EPD to be published

2040 Target in progress

Water

Be water positive by 2030

436,175 m3 of water saved in FY'25; Baseline water positivity study completed for one wind and one solar site.

2030 Target in progress

Social

Impact

Positively impact 2.5 million people through CSR initiatives by 2030

90 Schools and 2 institutes solar electrified across Rajasthan, Maharashtra, Gujarat, Tamil Nadu

125 digital labs and 122 smart classrooms established across 10 states

170K blankets distributed to poor and needy people, impacting a total of 1 million lives

Over 1.7 million lives impacted till F.Y. 2024-25

2030 Target in progress

Skill 1,000 salt pan workers under Project Surya as solar technicians by 2025

30 women completed the training in Q4, placement in progress (595 women trained till date)

Partnered with IIT(ISM) Dhanbad to upskill coal mine workers in green technologies. 80 candidates under going training.

In progress

30% women in the workforce by 2030

Board diversity at 40%; Full time employee diversity at 15%

2030 Target in progress

Governance

Ratings

Rank among the "Top five (Globally)" in Energy and Utilities by CDP, S&P Global

CSA, Sustainalytics and Refinitiv by 2030

Refinitiv

2024

Grade 'A'; Score - 84.35

2023

79.25

Completed

S&P Global CSA

ESG score of 73; Yearbook Member

ESG score of 55

2030 Target in progress

CDP

'A-' in Water, Awaited for Climate Change

B in Climate Change and A- in Supplier Engagement

MSCI

AA rating retained

Morningstar Sustainalytics

13.1 Low Risk

11.6 Low Risk

FY26 Total Committed Portfolio

EBITDA

INR 87-93 bn

(includes INR 5-7 bn from manufacturing + INR 1-2 bn gain from asset sales)

INR 133-139 bn

Run-rate Adj EBITDA*

MWs 1.6 - 2.4 GW 18.5 GW

Total constructed portfolio

CFe 14-17 bn 35-39 bn

Run-rate CFe*

*Note: The long-term guidance assumes normal weather patterns 28

Our Journey of Transformation

Shri Narendra Modi inaugurated ReNew's first utility-scale wind project at Jasdan, Gujarat

Doubled its operational capacity and crossed the 2 GW (including acquired assets) milestone

Listed on the NASDAQ index and crossed 6 GW of operational capacity

Rebranded from ReNew Power to ReNew.

Entered the Solar PV manufacturing space, plants set-up at Jaipur & Dholera

Secured $100 M investment from BII for solar manufacturing; Inaugurated the largest single-location 1.3GWp solar project in Rajasthan

2011

2016

2019

2022

2024

2012

2017

2021

2023

2025

Founded by Sumant Sinha

Became the first Renewable Energy IPP to cross 1 GW commissioned capacity

Became the first Indian RE company to cross 5 GW

Announced JV with IOCL and L&T, to develop the nascent green hydrogen sector in India.

JV with Fluence to boost energy storage in India.

Crossed 10+ GW of gross renewable assets;

Disclaimer

Renew Energy Global plc published this content on June 16, 2025, and is solely responsible for the information contained herein. Distributed via Public Technologies (PUBT), unedited and unaltered, on June 16, 2025 at 11:24 UTC.