GMR Power And Urban Infra (GMRP&UI) Q4 23/24 earnings summary

Executive summary

• Q4FY24 total income rose 11% YoY to INR 17.7bn and EBITDA reached INR 5.7bn; continuing-operations PAT was INR 1.7bn, including INR 3.331bn of acquisition-related exceptional income.

• Energy-asset consolidation lifted reported income and EBITDA; Q4 PLFs were 80% at Warora and 85% at Kamalanga.

• FY24 consolidated revenue from operations was ₹5,515.74 crore, up from ₹4,488.98 crore; EBITDA rose to ₹1,406.11 crore from ₹789.62 crore.

• Auditors issued unmodified opinions while highlighting valuation, litigation and going-concern uncertainties at certain subsidiaries.

Financial highlights

• FY24 consolidated total income was INR 48.3bn versus INR 58.8bn; EBITDA increased to INR 14.1bn from INR 7.9bn.

• FY24 continuing-operations post-tax loss was ₹111.24 crore versus profit of ₹1,171.02 crore; exceptional items were ₹456 crore.

• FY24 consolidated net loss including discontinued operations was ₹127.47 crore, versus net profit of ₹1,139.24 crore in FY23.

• Standalone FY24 profit was ₹645.01 crore, including ₹682.04 crore of exceptional items; FY23 had a ₹282.86 crore loss.

• Consolidated EBITDA margin was 33% in Q4FY24 versus 15% in Q4FY23; FY24 margin was 30% versus 14%.

Outlook and guidance

• Smart-meter awards cover 75.69 lakh prepaid meters across 22 UP districts, worth ~INR 7,593 crore over 10 years; installation is scheduled over 27 months, followed by 93 months of operations.

• Liquidity measures include asset monetization, infrastructure-claim recoveries, new financing, strategic investors, settlements and refinancing.

• Management expects GWEL to generate profits and recover receivables through plant utilization, merchant sales and a replacement long-term PPA; GKEL contracted 102 MW of five-year round-the-clock supply to TANGEDCO.

• Krishnagiri SIR plans include pursuing sale of ~318 acres to a Tamil Nadu government agency in FY25 and developing a further ~55 acres.

• DFC packages 201 and 202 were ~98.27% and ~98.87% complete at 31 Mar 2024, with completion expected by September 2024.