Azure Power Post Q3 FY21 Results, Records net Loss of Rs 109 Crore

Azure Power has announced its consolidated results for fiscal Q3 of 2021, reporting a net loss for the quarter of Rs 108.8 crore.

Azure Power Global Limited, India’s only solar power producer listed in the US markets, has announced its consolidated results under the United States GAAP for the fiscal third quarter (Q3) of 2021, the period ended December 31, 2020. The firm has reported a net loss for the quarter of Rs 108.8 crore.

The firm highlighted that its operating MWs were 1,987 MWs, as of December 31, 2020, an increase of 10 percent over December 31, 2019. Operating and committed megawatts were 7,115 MWs, as of December 31, 2020, an increase of 34.2 percent YoY. And committed megawatts include 4,000 MWs for which the firm states that it has received Letters of Award (LOA) but the Power Purchase Agreements (PPAs) have not yet been signed.

Financially, the firm reported that its operating revenue for the quarter was Rs 352.1 crore an increase of 15.6 percent over the quarter ended December 31, 2019. 

“We estimate that our revenues were negatively impacted by approximately Rs 12.6 crore on account of adverse weather conditions resulting in low insolation, as compared to our initial estimates, during the quarter,” the firm stated.

Furthermore, the firms’ net loss for the quarter was Rs 108.8 crore. The firm said that the “results were negatively impacted by stock appreciation rights (SARs) expense of Rs 131.8 crore.” And adjusted EBITDA for the quarter was Rs 156.3 crore), a decrease of 26 percent over the quarter ended December 31, 2019.

Key Operating Metrics

• Electricity generation during the quarter and nine-months ended December 31, 2020, was 783.7 million kWh and 2,436.8 million kWh, respectively, an increase of 98.6 million kWh or 14.4 percent, over the quarter ended December 31, 2019, and an increase of 441.8 million kWh, or 22.1 percent, over the nine months ended December 31, 2019. The increase in electricity generation was principally a result of an additional 183 MWs of AC (277 MWs DC) operating capacity commissioned since December 31, 2019. Our Plant Load Factor (PLF) for the quarter and the nine months ended December 31, 2020, was 19.3% and 20.1 percent respectively, compared to 17.7 percent and 18.6 percent, respectively, for the same comparable periods in 2019, which increased principally due to the addition of DC capacity and improved performance by our plants.
• The firm commissioned 153 MWs AC (236 MWs DC) during the three months ended December 31, 2020, and 179 MWs AC (264 MWs DC) during the nine months ended December 31, 2020.
• The project cost per megawatt (AC) operating for the nine months ended December 31, 2020, was Rs 4.5 crore, compared to Rs 4.79 crore, for the nine months ended December 31, 2019, on account of a reduction in solar module prices.

In Q2 FY21, the firm had reported a net loss of Rs 36.8 crore. Citing the increase in SARs expense by Rs 49.2 crore related to the 87 percent increase in the share price during the quarter. Operating MW was 1,834 MWs, as of September 30, 2020, an increase of 2 percent over September 30, 2019.