ReNew Energy Global (RNW) Q4 2024 earnings summary

Executive summary

• Achieved first profitable year since listing, with net income of INR 4.1 billion (US $50 million) and EPS of $0.12 for FY24, reversing a net loss of INR 5.0 billion in FY23.

• Operational capacity reached 9.5 GW, with 1.9 GW added in FY24; total portfolio expanded to 15.6 GW by May 31, 2024, after signing 2.2 GW of new PPAs.

• Won 8.2 GW of new capacity in FY24, including 5.2 GW in Firm Power projects; pipeline exceeds 21 GW.

• Asset recycling and internal cash flow fund growth, with no plans to issue new shares.

• Strong macroeconomic and policy environment in India supports long-term renewable energy growth.

Financial highlights

• FY24 adjusted EBITDA reached INR 69.2 billion (US $831 million), up 12% YoY, at the top end of guidance.

• Cash flow to equity for FY24 was INR 13.7 billion, including INR 3.7 billion gain from asset sales.

• Cash profit for FY24 was INR 26.3 billion, up 83% year-over-year.

• FY24 revenue was INR 96.5 billion; wind PLF at 26.4%, solar PLF at 24.4%.

• 400 MW sold in FY24 at a gain of INR 3.7 billion.

Outlook and guidance

• FY25 guidance: adjusted EBITDA INR 76–82 billion, cash flow to equity INR 12–14 billion, and 1.9–2.4 GW to be constructed.

• By FY29, aiming for 19.4–21.4 GW operational capacity and run-rate EBITDA of INR 142–150 billion.

• Long-term annual EBITDA growth expected at 16%–18%, with cash flow to equity growth over 25% per annum.

• Plan to monetize 1.5–2.5 GW through 2030, funding additional 3–5 GW growth.

• Target ROCE of 11–12% for 19.4 GW; Net Debt/EBITDA to improve by 25% at scale.