ReNew Energy Global plc

Thank you for standing by and welcome to Renu's third quarter FY26 earnings report. All participants are in a listen-only mode. There will be a presentation followed by a question and answer session. If you wish to ask a question, you will need to press the star key followed by the number one on your telephone keypad. I would now like to hand the conference over for opening remarks. Please go ahead.

Thank you. Good morning, everyone, and thank you for joining us today. We have put out a press release announcing results for our fiscal 2026 third quarter ended December 31, 2025. A copy of the press release and the earnings presentation are available on the Invested Relations section of our website at www.renew.com. With me today are Suman Sinha, our Founder, Chairman, and CEO, Kailash Vaswani, our CFO, and Vaishali Nigamsina, our co-founder at Persons Sustainability. After the prepared remarks, which we expect will take about 30 minutes, we will open the call for questions. Please note that our Safe Harbor statements are contained within our press release presentation materials and materials available on our website. These statements are important and integral to all our remarks. There are risks and uncertainties that could cause our results to differ materially from those expressed or implied by such forward-looking statements. So we encourage you to review the press release and the presentation on our website for a more complete description. Also contained in our press release, presentation materials, and annual report are certain non-IFRS measures that we reconciled to the most comparable IFRS measures. And these reconciliations are also available on our website in the press release, presentation materials, and our annual report. With that being said, it's now my pleasure to hand it over to Sumant.

Yes, hi. Thank you, Ananay. Good morning, everybody. and good evening, depending on your time zones. I'm glad to have you all on our earnings call for the third quarter and the first nine months of fiscal 2026. The year 2026 has kicked off with good news on the macro front. As you all would be knowing, a few days ago, India and the U.S. agreed on a trade deal. Apart from reducing the general overhang and uncertainty, This is likely to also open up the U.S. market again for Indian exporters and benefit the economy overall. This has also benefited the rupee in recovering some value versus the dollar. Additionally, the financing environment remains benign with interest rates on a downward curve. All this has enabled India's growth projections to stay above 7% in fiscal 2026 with roughly the same growth rate forecast by the government of India for fiscal 2027 as well. Coming to our sector, we have also seen some recovery in electricity demand as growth rebounded sharply in November 2026 with slightly better numbers in January 2026 as well. Power demand is expected to rebound to normal levels in fiscal 2027. In today's call, while I will cover the updates for the quarter, I will also briefly cover the strategic path forward for us as a company. Turning to our highlights. Since December of last year, our operating capacity has increased from 10.7 gigawatts to 11.8 gigawatts. Given that we have also sold 900 megawatts during this period and adjusting for this, our portfolio actually increased by 19% or 2 gigawatts over the last 12 months. We continue to focus on optimizing our portfolio for lower execution risk, capex, and more predictable cash flows. And hence, for our complex projects, we have decided to replace part of our wind of those projects with more battery energy storage systems or BES and solar capacity. We have reduced, therefore, the wind capacity in our committed portfolio from 2.5 gigawatts to approximately 850 megawatts, effectively taking up now to 19.2 gigawatts, which is inclusive of approximately 1.5 gigawatts of batteries. This pivot enables us to lower CAPEX reduce execution risk, as well as more accurately forecast our future cash flows going to less volatility in the weather patterns. Coming to our financial highlights. Our adjusted EBITDA increased by 31% to INR 74.8 billion for the nine months ending December 31, 2026, accompanied by an over six-fold increase in profit after tax. We also successfully raised $600 million to a bond offering and successfully refinanced our previous bond due in July 2026. The offering received demand in excess of $2 billion, and we were able to reduce the interest rate from the earlier 7.95% to 6.5%, thereby saving approximately $9 billion in annual interest expense. This was also the bond issued through Gift City. We also continued our capital recycling engine and sold another 300 megawatts of solar assets this quarter. Our manufacturing business contributed INR 10.8 billion to our adjusted EBITDA for the first nine months. As a result, we have increased the lower end of the guidance range for both our adjusted EBITDA and megawatts for the year. We now expect to deliver INR 90 to 93 billion of adjusted EBITDA, of which our manufacturing business should contribute between INR 11 billion to INR 13 billion. We have also narrowed the range for our project guidance and expect to construct between 1.8 and 2.4 gigawatts in the fiscal year ending March 31, 2026. Lastly, and most importantly, ESG is at the core of everything we do. I am happy to report that we continue to outperform on our ESG commitments. We have received an A grade rating from LSEG and a score of 90.41 out of 100, effectively placing us in the top quartile globally. We have also received an A grade rating from CDP Climate Change and Water Assessments for effective water management at our plants. Not only this, but we have also been able to get water positive certification for two of our sites. Turning to pages eight and nine, I wanted to highlight that this year marks a significant milestone for us as we mark 15 years of our operations. We now have three mature businesses, comprising a utility scale IPP business, a CLI business, as well as our manufacturing business. Turning to page 10, it is important to note the crucial strides Renew has continued to take against the backdrop of a transaction. We have commissioned approximately 1.9 gigawatts, ramped up our manufacturing capacity, and also raised $100 million from BII, British International Investments, to finance the cell expansion of our manufacturing business. Our CNI business is among the market leaders in the segment. and our portfolio has expanded by approximately 30% over the past year through contracts with marquee customers. Leverage also continues to trend downwards meaningfully, and we are already at approximately 5.5 levels for our operating portfolio, which is debt to EBITDA. Moving to page 11, I wanted to spend some time highlighting our key strengths. While everyone knows the size and scale of our portfolio, both in utility scale and CNI, over the years we have developed in-house O&M and EPC capabilities. We have also secured connectivity for our entire portfolio including for our letter of awards with five to six gigawatts of spare connectivity on hand. This is an important differentiator as timely connectivity continues to be a key metric in the sector that we operate in. Moving to page 12. It is important to note that we have been consistently growing our EBITDA at approximately 17% per year since our listing. We have managed to do this without issuing any new equity and relying on capital recycling, which has been more attractive for us. On page 14, I would like to add some new elements that will be pivotal for both growth, predictability, and profitability. We have de-risked our product execution and improved predictability of future cash flows by increasing more death and solar in our portfolio and reducing the reliance on wind. This will enable faster execution and more predictable revenues, given that we already have a 25-year PPA backing these tariffs. Our capital needs will continue to be fueled by a mix of internal cash generation and capital recycling, enabling us to improve returns. Lastly, and most importantly, we will now have increased focus on balance sheet strength and discipline and will actively look to reduce leverage even further. While we are now delivering profitable results, a focus on leverage and cost optimization should further enhance our returns and cash flows. Turning to page 15, we have provided some run rate numbers based on the current configuration gross and net of asset sales. We wanted to demonstrate that by selling about 1.6 gigawatts over a period, we can effectively reach a portfolio of 19.2 gigawatts without having to raise external capital, as well as reducing headline leverage, including under construction projects, from the current 6.7x levels to under 5.5. If we are able to do more asset recycling or farm downs, we plan to use that extra capital to get the leverage and corporate debt down even further. Moving to business updates on page 17, we continue to deliver on operating megawatts and now have an operating portfolio of 11.8 gigawatts, an increase of 19% adjusting for the 900 megawatts of assets during the last 12 months. Our overall portfolio is now 19.2 gigawatts, inclusive of best. In the past nine months, We have commissioned over 600 megawatts of wind projects and over 900 megawatts of solar. Turning to page 18, our manufacturing business continues to perform above expectations and has delivered an adjusted EBITDA of 10.8 billion in the first nine months of the current fiscal. The business has an external order book of 900 megawatts. Our under construction four gigawatt cell facility is progressing well and we should see it deliver its first cells later this fiscal year, later next fiscal year actually. Our module facilities are producing over 12 megawatts per day and have produced 3 gigawatts this year to date. But our cell facility is producing over 5.5 megawatts per day and has produced 1.4 gigawatts this year to date. So far this year, we have sold 2.6 plus gigawatts of modules, of which approximately 1.5 gigawatts have been sold externally, with the rest being used as part of our own operations. Turning to page 19, our CNI segment has done exceedingly well and is one of the largest CNI portfolios in the country. We have developed a strong partnership with global tech giants like Amazon, Microsoft, and Google. as well as expanded our customer base across the country. Overall, 50% of our portfolio is with these tech giants. The business is also well-placed to tap into upcoming business opportunities, such as energy management services and supply of renewable energy to data centers. Now I will hand it over to Kailash to discuss the financial highlights. Kailash, over to you.