ReNew (RNW) Q1 FY2027 Earnings Call: EBITDA Growth, Guidance and Take-Private Deal

Key Takeaways

• Q1 FY2027 revenue increased 14% year over year to INR 44.6 billion. Adjusted EBITDA rose 12% to INR 30.4 billion, while profit after tax increased 16% to INR 6.0 billion.
• ReNew’s operating capacity reached 13.5 GW, up 26% year over year after adjusting for asset sales. Its total portfolio stood at approximately 20.5 GW, including 1.7 GW of battery energy storage systems (BESS).
• The manufacturing business generated INR 16.4 billion in external revenue and INR 5.7 billion in adjusted EBITDA, representing a margin of nearly 34%. Management expects some margin normalization as additional cell capacity enters the market.
• ReNew reiterated FY2027 consolidated adjusted EBITDA guidance of INR 103 billion to INR 109 billion and cash flow to equity guidance of INR 18 billion to INR 22 billion.
• The company signed definitive agreements to sell approximately 1 GW of assets, which management expects to generate $190 million of cash flow to equity upon closing.
• ReNew entered a binding take-private agreement with a consortium comprising CPPIB and Sumant Sinha. Non-consortium shareholders may receive $7.02 per share in cash or, subject to conditions, elect to retain an ownership interest.

Key Financial Data

Business and Operating Performance