revenue
221–232 $million
FY 2021
official guidance
AZURE POWER GLOBAL LIMITED
Last · OTC Markets OTCPK$1.00-0.01 (-0.99%)stale · yahoo · 6038h ago
Market cap$64.17M64.2M sh
P/E · TTM-1.6fwd — · eps -0.64 · loss
Beta0.39vs S&P 500
Div yield0.00%annual · TTM
52w range
$0.011$1.401
Volume18.5Ksession
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OpenFilings analyst
Our analyst
Agentic read of the latest earnings call — recommendation updates when we process a new transcript. Research synthesis, not investment advice.
Strong BuyBuyHoldSellStrong Sell
Attractive project economics are offset by unresolved financing and execution risks.
Azure Power’s operational platform is growing, but this is a hold rather than a clean buy:
1,804 MW is operational, 1.3 GW is under construction and FY21 revenue guidance is $221–$232 million. The upside rests on 4 GW of higher-tariff projects and claimed equity returns above 20%, while Andhra Pradesh curtailment, coronavirus-related supply risk, uncompleted land acquisition and uncertain funding remain material execution risks.
Themes
- Fy21 Guidance
- Project Pipeline
- Project Financing
- Andhra Pradesh Curtailment
- Coronavirus Supply Chain
- Asset Sales
Near term
Coronavirus-related module delays could affect the 600 MW and Assam projects, although management expects commissioning extensions under force majeure provisions.
Andhra Pradesh curtailment affected two projects and reduced quarterly revenue by about $1.2 million; legal and regulatory hearings in February and March are key catalysts.
Rooftop revenue was $1.8 million below expectations and EBITDA was affected by $1.5–$1.6 million; management expects net-metering and data-logging issues to be resolved within four to six weeks.
Asset-sale execution and refinancing progress will determine whether Azure can fund growth without issuing equity at the current share price.
Longer term
The 4 GW project win is strategically attractive, with tariffs about 15% above comparable projects and management targeting equity returns above 20%.
Scale benefits are plausible: management reported a 28% reduction in operating project cost per MW, excluding safeguard duties, to $450,000 per MW on a DC basis.
The build-and-hold model remains dependent on capital recycling, debt capacity and future asset sales; management acknowledged it could eventually need to sell core assets if the share price does not recover.
Land for the 4 GW pipeline has largely been identified but not procured, leaving a multi-year acquisition and permitting execution burden.
Receivables remain a structural risk despite DSO improving by about 20 days in six months; Andhra Pradesh illustrates the vulnerability of state-linked counterparties.
Red flags
Management disclosed no percentage of the portfolio considered noncore, despite relying on asset sales to fund the growth pipeline.
The 2 GW greenshoe LOA was still pending because of SECI legal clarifications, and the 4 GW PPAs had not yet been signed at the time of the call.
Only a small portion of the land needed for the 4 GW pipeline had been procured; management’s confidence was not supported by quantified milestones.
Reported Q3 results remained weak: after exceptional items, net loss was approximately $7 million, while net debt was just under $1 billion.
The company received force majeure notices from unnamed module manufacturers, and management could not quantify the full potential impact if manufacturing delays persisted through March.
Andhra Pradesh had begun curtailing solar projects while buying replacement power from the spot market, making the recovery case dependent on courts and regulators.
Forward outlook
revenue
—
FY 2021
official guidance
OpenFilings analyst view from primary-source filings and earnings calls — not investment advice.
Earnings transcripts
- Issuer webcastAudio
Podcast
AZURE POWER GLOBAL LIMITED
- Issuer webcastAudio
Podcast
AZURE POWER GLOBAL LIMITED
- Issuer webcast
Registration
AZURE POWER GLOBAL LIMITED
- Issuer IR
event file transcript 1752658727
AZURE POWER GLOBAL LIMITED
- Issuer webcast
azre220228cwJz1z1r
AZURE POWER GLOBAL LIMITED
- Issuer IR
event file transcript 1752658873
AZURE POWER GLOBAL LIMITED
Documents
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