ReNew Energy Global Plc (NASDAQ:RNW) Q2 2025 Earnings Conference Call November 20, 2024 8:30 AM ET Company Participants Anunay Shahi - Head of Investor Relations Sumant Sinha - Founder, Chairman and Chief Executive Officer Kailash Vaswani - Chief Financial Officer Vaishali Nigam Sinha - Co-Founder, ReNew and Chairperson, Sustainability Conference Call Participants Justin Clare - ROTH Capital Partners Maheep Mandloi - Mizuho Nikhil Nigania - Bernstein Aniket Mittal - SBI Mutual Funds Puneet Gulati - HSBC Mac ...

ReNew Energy Global PLC (RNW) came out with quarterly earnings of $0.14 per share, in line with the Zacks Consensus Estimate. This compares to earnings of $0.11 per share a year ago. These figures are adjusted for non-recurring items.A quarter ago, it was expected that this company would post earnings of $0.08 per share when it actually produced break-even earnings, delivering a surprise of -100%.Over the last four quarters, the company has surpassed consensus EPS estimates two times.ReNew Energy Global, wh ...

Financial Performance - Total Income for Q2 FY25 was INR 29,887 million (US$ 357 million), an increase of 4.4% over Q2 FY24[10] - Net profit for Q2 FY25 was INR 4,939 million (US$ 59 million), compared to INR 3,771 million (US$ 45 million) for Q2 FY24[17] - Adjusted EBITDA for Q2 FY25 was INR 24,209 million (US$ 289 million), an increase of 13.7% year on year[19] - Revenue for the three months ended September 30, 2024, increased to INR 26,735 million, up from INR 25,956 million in the same period of 2023, representing a growth of 3%[50] - Profit for the period for the three months ended September 30, 2024, was INR 4,939 million, a 31% increase compared to INR 3,771 million in the same period of 2023[50] - Adjusted EBITDA for the three months ended September 30, 2024, reached INR 24,209 million, up from INR 21,298 million in the same period of 2023, reflecting a growth of 9%[54] - Total income for the six months ended September 30, 2024, was INR 54,713 million, compared to INR 53,291 million for the same period in 2023, indicating a growth of 3%[50] - The company reported a decrease in total expenses for the three months ended September 30, 2024, to INR 22,334 million, down from INR 23,864 million in the same period of 2023, a reduction of 6%[50] Cash Flow and Investments - Cash generated from operating activities for Q2 FY25 was INR 20,158 million (US$ 241 million), compared to INR 18,926 million (US$ 226 million) for Q2 FY24[22] - Cash used in investing activities for Q2 FY25 was INR 19,985 million (US$ 239 million), compared to INR 47,516 million (US$ 567 million) for Q2 FY24[23] - Cash generated from operations for the three months ended September 30, 2024, was INR 20,713 million, an increase from INR 19,155 million in the same period of 2023[52] - Net cash generated from operating activities for the six months ended September 30, 2024, was INR 30,071 million, compared to INR 32,399 million in the same period of 2023[52] - Total Cash flow to equity (CFe) for the first half of 2024 decreased to INR 15,683 million from INR 19,364 million in the same period of 2023, representing a decline of 19.5%[55] - Total CFe for Q3 2024 was INR 5,980 million, down from INR 9,780 million in Q3 2023, indicating a decrease of 38.4%[55] Assets and Liabilities - Total assets increased from INR 873,935 million as of March 31, 2024, to INR 930,728 million as of September 30, 2024[47][48] - Non-current assets rose from INR 769,498 million to INR 821,856 million during the same period[47] - Current assets increased from INR 104,437 million to INR 108,872 million, with cash and cash equivalents decreasing from INR 27,021 million to INR 17,985 million[47] - Total liabilities increased from INR 752,238 million to INR 800,998 million, with current liabilities rising significantly from INR 142,044 million to INR 168,294 million[48] - Total equity grew from INR 121,697 million to INR 129,730 million, reflecting an increase in equity attributable to equity holders of the parent[47] Debt and Financing - Net debt as of September 30, 2024, was INR 621,624 million (US$ 7,421 million)[27] - The company reported a significant increase in finance costs for the three months ended September 30, 2024, amounting to INR 12,597 million, compared to INR 12,953 million in the same period of 2023, a decrease of 3%[50] - Interest paid in cash increased to INR 11,866 million in Q3 2024, up from INR 9,484 million in Q3 2023, reflecting a rise of 25.3%[55] - Normalised loan repayment for Q3 2024 rose to INR 6,414 million, compared to INR 3,974 million in Q3 2023, marking an increase of 61.3%[55] Future Outlook - The company anticipates construction of between 1,900 to 2,400 MWs by the end of Fiscal Year 2025[21] - Forward-looking statements indicate potential risks including financing availability and regulatory changes that could impact future performance[42] Clean Energy Portfolio - The company’s clean energy portfolio stands at approximately 16.3 GW as of November 19, 2024, making it one of the largest globally[44]

Company Overview - ReNew Energy Global Plc (NASDAQ:RNW) is a UK-based firm established in 2011, focusing on renewable energy sources in India, primarily in wind and solar power, along with ancillary services like engineering and consultancy [2] - The company has a total operational capacity of approximately 9.5 GW, with 4.7 GW each in wind and solar, and 0.1 GW in hydro, generating an expected total income of USD $1,158 million for FY24 [4] Financial Performance - ReNew Energy's 1-year price return is down 6%, but it is performing better than peers like MNTK and NEP, which are down around 50% [3] - The company reported Q1 2025 earnings with an EPS of $0.00, missing expectations by $0.06, and revenue of $271.69 million, which was down 9.42% year-over-year and missed by $34.28 million [6] - Despite strong growth potential, the company faces challenges such as high debt levels, with a debt-to-capital ratio of 73.40%, and a high blended P/E ratio of 48.85x, indicating potential overvaluation [10][11] Growth Prospects - ReNew Energy aims to double its operating portfolio by 2029 and has secured over 8 GW of capacity in recent auctions, with 2.2 GW already under Power Purchase Agreements (PPAs) [8] - The company is benefiting from India's aggressive push for renewable energy, with plans to reach 500 GW of renewable energy by 2030 and an expected investment increase of 83% to $16.5 billion by the end of 2024 [7] Market Position and Strategy - ReNew Energy is positioned as a leading independent producer of clean energy in India, with a focus on solar and wind energy, and is beginning to expand internationally [7] - The company has made significant investments in manufacturing, including a facility in Jaipur expected to produce over 2 GW of modules this year, enhancing its competitive edge [9] Risks and Challenges - The company faces execution risks associated with high leverage and reliance on weather conditions, which have impacted performance, particularly in wind energy projects [12][13] - The competitive auction market may squeeze margins over time, and uncertainties regarding pricing and margins on external module sales could affect market perceptions of financial stability [13] Analyst Ratings - Analysts maintain an average weighted 'Buy' rating for ReNew Energy, with a price target consensus approximately 50% higher than the current price [3] - The stock is currently rated as "Hold," reflecting a strong growth outlook tempered by concerns over leverage, weather dependency, and potential overvaluation [14]

Financial Data and Key Metrics Changes - The company reported a 24% increase in operating capacity year-over-year, with over 2 gigawatts of projects constructed [11] - Revenue increased by approximately INR 3.9 billion due to higher megawatts, but adjusted EBITDA only increased by about INR 400 million due to various factors including lower PLF and absence of late payment surcharges [12] Business Line Data and Key Metrics Changes - The company signed 2.2 gigawatts of Power Purchase Agreements (PPAs) during Q1 FY '25 and expects to sign the majority of the remaining PPAs from the current pipeline within the fiscal year [10] - Module manufacturing capacity is scaling up, with the Jaipur facility expected to produce over 2 gigawatts of modules this year, while external sales contracts for module supply have been secured for around 600 megawatts [10] Market Data and Key Metrics Changes - The company noted that the auction market remains robust, with recent auction wins expected to generate returns higher than historical averages [6] - The overall power demand in India is growing at 7% to 8% annually, with renewables being the primary alternative to meet this demand due to limited coal capacity additions [36] Company Strategy and Development Direction - The company aims to double its operating portfolio by 2029, having already converted 2.2 gigawatts into PPAs from auction wins [5] - The focus remains on disciplined bidding for future growth, targeting projects with lower risk and higher return profiles [7] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in delivering on annual EBITDA guidance despite weather-related impacts in Q1, with expectations for Q2 to be 10% to 15% higher than Q1 [20] - The company is proactively managing its construction timelines to align with transmission construction timelines, ensuring connectivity for its projects [42] Other Important Information - The company achieved a 5-star safety rating from the British Safety Council for one of its projects, emphasizing its commitment to safety [7] - The inaugural annual integrated report for fiscal year 2023-24 was released, showcasing significant strides in ESG efforts and transparency [14] Q&A Session Summary Question: Potential revenue and margin profile for 600 megawatts of external module sales - Management indicated that these sales are to customers within India, with agreed margins that will contribute to future EBITDA [21] Question: Performance of commissioned RTC and peak power projects - Current sales are happening through the merchant market, with attractive realizations better than base case expectations [22] Question: Asset recycling opportunities - Management stated that asset recycling will be opportunistic, with discussions ongoing for potential monetization [23] Question: Timing of 600 megawatts of module sales - Most sales are expected to occur towards the end of the financial year, with some potentially slipping into the next fiscal year [25] Question: Wind PLFs and equipment issues - Management clarified that underperformance is solely due to weather, with no systemic issues with wind turbine performance [33] Question: Solar cell capacity commissioning timeline - Initial trial production for solar cells is expected in the next few months, with full capacity anticipated by the end of the financial year [37] Question: Transmission tie-up for commissioned capacity - All transmission connectivity is fully tied up for the current and future capacities, with proactive measures taken to secure optimal substations [41]

ReNew Energy Global PLC (RNW) reported break-even quarterly earnings per share versus the Zacks Consensus Estimate of $0.08. This compares to earnings of $0.09 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of -100%. A quarter ago, it was expected that this company would post a loss of $0.06 per share when it actually produced earnings of $0.02, delivering a surprise of 133.33%. Over the last four quarters, the company has surp ...

Exhibit 99.1 ReNew Announces Results for the First Quarter of Fiscal 2025 (Q1 FY25), ended June 30, 2024 August 15, 2024: ReNew Energy Global Plc ("ReNew" or "the Company") (Nasdaq: RNW, RNWWW), a leading decarbonization solutions company, today announced its unaudited consolidated IFRS results for Q1 FY25. Operating Highlights: Note: the translation of Indian rupees into U.S. dollars has been made at INR 83.33 to US$ 1.00. See note 1 for more information. Key Operating Metrics As of June 30, 2024, our tota ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 20-F ☐ REGISTRATION STATEMENT PURSUANT TO SECTION 12(b) OR (g) OF THE SECURITIES EXCHANGE ACT OF 1934 OR ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended March 31, 2024 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 OR ☐ SHELL COMPANY REPORT PURSUANT TO SECTION 13 or 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Date of eve ...

Core Viewpoint - ReNew Energy Global PLC (RNW) is positioned as a strong investment opportunity due to significant upward revisions in earnings estimates, indicating a positive earnings outlook and potential for continued stock gains [1][2]. Earnings Estimate Revisions - Consensus earnings estimates for ReNew Energy Global have increased notably for both the next quarter and the full year, reflecting strong agreement among analysts in raising these estimates [2]. - Over the past 30 days, the Zacks Consensus Estimate for the current quarter has risen by 11.11%, with one estimate moving higher and no negative revisions [6]. - For the full year, the earnings estimate of $0.10 per share represents a decrease of 16.67% from the previous year [11]. Zacks Rank and Performance - ReNew Energy Global currently holds a Zacks Rank 2 (Buy), which is based on favorable estimate revisions and is associated with strong historical performance [4][8]. - The Zacks Rank system has shown that stocks rated 1 (Strong Buy) and 2 (Buy) tend to significantly outperform the S&P 500, with 1 ranked stocks averaging a +25% annual return since 2008 [5][8]. Analyst Optimism - The upward trend in estimate revisions reflects growing optimism among analysts regarding ReNew Energy Global's earnings prospects, which is expected to positively influence its stock price [9]. - The stock has gained 7.8% over the past four weeks, driven by solid estimate revisions and positive earnings growth prospects [8].

Investors might want to bet on ReNew Energy Global PLC (RNW) , as it has been recently upgraded to a Zacks Rank #2 (Buy). This rating change essentially reflects an upward trend in earnings estimates -- one of the most powerful forces impacting stock prices. As such, the Zacks rating upgrade for ReNew Energy Global is essentially a positive comment on its earnings outlook that could have a favorable impact on its stock price. For ReNew Energy Global, rising earnings estimates and the consequent rating upgra ...