AGEL register robust growth in revenues, EBITDA and profit

Ahmedabad (Gujarat) [India], May 2 : Ad Green Energy Ltd (AGEL), the renewable energy arm of the diversified Ad Group, announced financial results for the quarter and fiscal year ended on March 31, 2023 and reported robust growth in Revenues, EBITDA and Cash Profit.

According to the filing at the stock exchange, Ad Green Energy reported an EBITDA of Rs 5,538 crore, up by 57 per cent YoY.

Compes' Operational Capacity increased by 49 per cent YoY to 8,086 MW, the largest operational renewable portfolio in India.

The sale of energy has increased by 58 per cent 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 the 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 per cent in FY23 with the integration of a high-quality SB Energy portfolio having a CUF of 26.6 per cent 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 a one-off disruption in the transmission line (force majeure) for the 150 MW plant at Gujarat, which is now fully restored.

According to the company, the newly operationalised solar-wind hybrid portfolio of 2,140 MW deploys the 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 per cent.

"Our business model has demonstrated remarkable resilience as evidenced by our strong financial performance. 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," said Gautam Ad, Chairman, of Ad Group.

"We have added a massive greenfield capacity of 2,676 MW renewable assets this year. This feat is attributed to the relentless efforts of our teams," said Mr Vneet S Jaain, MD & CEO, of Ad Green Energy Ltd.

"AGEL's operational capacity has grown at a CAGR of 33 per cent over the last five years, outpacing overall renewable capacity growth at 15 per cent 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," he added.

The robust growth in revenues, EBITDA and cash profit is primarily driven by a capacity addition of 2,676 MW. Also, the Supreme Court has upheld the favourable order from APTEL for 288 MW solar plants at Kamuthi in Tamil Nadu which has resulted in a one-time revenue upside of Rs 748 Cr (including late payment surcharge) and a recurring positive annual impact of Rs 90 Cr. In FY23, AGEL realised 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 the 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, plant availability is maximized, enabling higher electricity generation and higher revenues. It also helps curtail O&M costs, in turn enabling high EBITDA margins.