Adani Green Energy Ltd (AGEL), the renewable energy arm of the diversified Adani Group, today announced financial results for the quarter and financial year ended 31 March 2023.
The performance snapshot for the period is as follows:
Capacity Addition & Operational Performance – Q4 FY23 & FY23:
| Particulars | Quarterly performance | Annual performance | ||||
| Q4 FY23 | Q4 FY22 | % change | FY23 | FY22 | % change | |
| Operational Capacity | 8,086 | 5,410 | 49% | 8,086 | 5,410 | 49% |
| Solar | 4,975 | 4,763 | 4% | 4,975 | 4,763 | 4% |
| Wind | 971 | 647 | 50% | 971 | 647 | 50% |
| Solar-Wind Hybrid | 2,140 | – | – | 2,140 | – | – |
| Sale of Energy (Mn units) 1 | 4,642 | 2,971 | 56% | 14,880 | 9,426 | 58% |
| Solar | 2,872 | 2,717 | 6% | 10,457 | 8,097 | 29% |
| Wind | 428 | 254 | 69% | 1,820 | 1,329 | 37% |
| Solar-Wind Hybrid | 1,342 | – | – | 2,603 | – | – |
| Solar portfolioCUF (%) | 26.8% | 26.4% | 24.7% | 23.8% | ||
| Wind portfolioCUF (%) | 20.4% | 23.6% | 25.2% | 30.8% | ||
| Solar-Wind Hybrid (%) | 36.9% | – | 35.5% | – | ||
The sale of energy has increased by 58% YoY to 14,880 mn units in FY23 primarily backed by strong capacity addition, analytics driven O&M enabling high plant availability and deployment of latest renewable technologies.
AGEL has added a massive 2,676 MW renewable capacity to its operational fleet in FY23, which includes 2,140 MW solar-wind hybrid plants in Rajasthan, 325 MW wind power plant in Madhya Pradesh and 212 MW solar power plants in Rajasthan. AGEL has signed PPAs for 450 MW wind projects and 650 MW solar projects with SECI in FY23 further strengthening the firm project pipeline.
The solar portfolio CUF has improved by 90 bps YoY to 24.7% in FY23 with integration of high-quality SB Energy portfolio having a CUF of 26.6% in FY23, consistent high plant availability, improved grid availability and improved solar irradiation. For the wind portfolio, the sale of energy has increased significantly backed by strong capacity addition, though, the wind CUF has reduced primarily due to one-off disruption in transmission line (force majeure) for the 150 MW plant at Gujarat, which is now fully restored.
The newly operationalized solar-wind hybrid portfolio of 2,140 MW deploys latest technologies like bifacial PV modules and horizontal single-axis tracking (HSAT) technology to capture maximum energy from the sun as well as technologically advanced wind turbine generators leading to a high hybrid CUF of 35.5%.
“Our business model has demonstrated remarkable resilience as evidenced by our strong financial performance,” said Mr Gautam Adani, Chairman, Adani Group. “We are leaders in the green energy space and have consistently set new industry standards in efficiency, performance and capacity development. We are expediting the transition to sustainable energy and playing a pivotal role in fulfilling India’s obligations to a greener future.”
“We have added massive greenfield capacity of 2,676 MW renewable assets this year. This feat is attributed to the relentless efforts of our teams,” saidMr Vneet S Jaain, MD & CEO, Adani Green Energy Ltd. “AGEL’s operational capacity has grown at a CAGR of 33% over the last five years, outpacing overall renewable capacity growth at ~ 15% CAGR in India in the same period. De-risked project development, analytics driven O&M, disciplined capital management and a strong governance framework continue to be the backbone of our sustained growth. We are proud that we have been able to lead the way towards large scale renewable adoption in India helping the country move closer to its Sustainable Development Goals.”
The robust growth in revenues, EBITDA and cash profit is primarily driven by capacity addition of 2,676 MW. Also, the Supreme Court has upheld the favorable order from APTEL for 288 MW solar plants at Kamuthi in Tamil Nadu that has resulted in one-time revenue upside of Rs 748 Cr (including late payment surcharge) and recurring positive annual impact of ~ Rs 90 Cr. In FY23, AGEL has realized 3.9 Mn carbon credits generating revenue of Rs. 157 Cr.
The run-rate EBITDA stands at a strong Rs. 7,505 crore 4 with net debt to run-rate EBITDA of 5.4x 4 as of March 2023 well within stipulated covenant of 7.5x for holdco bond.
Further, the state-of-the-art Energy Network Operation Center (ENOC) enables real time monitoring of our entire renewable portfolio with information access to the minutest level and automated alerts. With the analytics driven O&M approach, the plant availability is maximized, enabling higher electricity generation and higher revenues. It also helps curtail O&M costs, in turn enabling high EBITDA margins.
Other Key Updates:
· 97% of AGEL’s rated credit facilities are rated on an ‘A’ to ‘AAA’ equivalent credit rating scale (India) 5
· AGEL has continued to maintain a strong counterparty profile with 86% sovereign/ sovereign equivalent rated counterparties.
· AGEL’s entire operating capacity is now ‘Water Positive’ (for plants with > 200 MW capacity), ‘Single-Use-Plastic Free’, ‘Zero Waste to Landfill’ certified.
· AGEL has won the prestigious ‘Platinum’ Environment Award at Grow Care India Environment Management Awards 2022.
· AGEL has continued to maintain best-in-class ESG ratings from global ESG rating agencies as given below:
ü CSR Hub rating (Consensus ESG rating) at 97 percentile, consistent ranking above Alternative Energy global industry average
ü Sustainalytics ESG Risk rating of ‘Low Risk’ with a score of 15.3, significantly better than global Utilities sector average of 32.9
ü DJSI-S&P Global Corporate Sustainability Assessment score of 61/ 100, significantly better than average World Electric Utility score of 32/ 100
ü MSCI ESG rating of ‘A’
