JSW Energy (533148) Q4 20/21 earnings summary

Executive summary

• FY2021 delivered resilient consolidated EBITDA and operating cash generation despite pandemic disruption and lower generation; revenue and PAT declined YoY as job-work arrangements changed reported revenue and fuel costs.

• Strategic priority shifted decisively toward renewables, targeting 10 GW capacity by FY2025 and 20 GW by FY2030, with incremental additions predominantly renewable and net-zero emissions targeted by 2050 or earlier.

• Deleveraging, long-term PPAs and a strong liquidity position supported growth plans; 86% of capacity was tied to long-term PPAs and receivables reached a three-year low.

Financial highlights

• Consolidated revenue was ₹7,159.65 crore, down 16.36% YoY; revenue from operations was ₹6,922.20 crore versus ₹8,272.71 crore.

• Consolidated EBITDA before exceptional items was ₹3,144.03 crore, down 3.08% YoY; EBITDA margin was 43.9% versus 37.9%.

• Consolidated PAT was ₹795.48 crore, down 27.68% YoY; EPS was ₹4.84 versus ₹6.70.

• Standalone revenue was ₹2,959.94 crore versus ₹4,511.89 crore; standalone EBITDA was ₹875.91 crore and PAT ₹186.18 crore.

• FY2021 cash profit was ₹2,044 crore; operating cash flow was ₹3,699.86 crore on a consolidated basis.

Outlook and guidance

• Capacity targets: 10 GW by FY2025 and 20 GW by FY2030, from 4.6 GW; renewable share is targeted at 68% by FY2025 and ~84% by FY2030.

• Approximately 2.5 GW of renewable projects were under construction, with an indicated outlay of ~₹15,800 crore; total planned capacity additions reach 15,446 MW by FY2030.

• A decade-long capex plan of ₹75,000 crore is intended to fund predominantly renewable growth; funding is expected from internal accruals, cash balances and balance-sheet headroom, without equity dilution as targeted.

• Net-zero commitment is 2050 or earlier; carbon neutrality was projected well before 2030 in the strategy narrative, alongside evaluation of green hydrogen, offshore wind and storage opportunities.