SJVN Ltd Q1 FY26 Earnings Analysis

- SJVN does not provide explicit forward guidance on revenue and EBITDA as a company policy. - The company is in a significant growth phase with major capacity additions planned (approx. 5,315 MW in FY26, including 1,320 MW thermal and 3,675 MW renewable). - Large capex planned: INR 7,800 crores in FY25, INR 8,300 crores in FY26, and INR 12,000 crores in FY27. - Power generation increased 25% YoY to 10,647 million units in FY25, indicating strong volume growth. - New renewable capacity and thermal projects will drive incremental revenue from FY26 onward. - Revenue from nodal agency operations (renewable trading margin) expected to add around INR 200 crores by FY27. - Ongoing signing of PPAs ensures guaranteed off-take, reducing revenue uncertainty. - Overall, growth will primarily be volume-driven through capacity addition and commissioning timelines stretching till FY27 and beyond.

- For FY26 and FY27, SJVN is in a growth phase with significant capacity additions planned—approximately 5,315 MW for FY26 and further solar and wind projects in FY27. - Capex guidance is INR 8,300 crores for FY26 and INR 12,000 crores for FY27, indicating aggressive expansion. - The nodal agency business (RIA vertical) is expected to add around INR 200 crores in trading margin profitability in FY27, growing to INR 1,200 crores by 2030. - Earnings growth is supported by 25% year-on-year increase in power generation (10,647 million units in FY25 vs 8,489 million units in FY24). - Management does not provide explicit future revenue or EBITDA guidance. - Trading margins from renewable projects will be reported as revenue from operations, aiding consistent operating profit. - No exceptional items anticipated going forward; impairments may be reversed if conditions improve.

- Capex for FY25 was approximately INR 7,800 crores. - Capex guidance for FY26 is around INR 8,300 crores. - Capex guidance for FY27 is around INR 12,000 crores. - Major ongoing investments include: - Construction of four hydro projects totaling 1,558 MW. - One thermal power project of 1,320 MW (Buxar thermal plant) commissioning in FY26. - Eleven solar projects totaling 1,773 MW. - Solar capacity addition target for FY26 is about 3,675 MW. - Pre-construction projects like Italian hydroelectric project in Arunachal Pradesh pending environmental and forest clearances along with land acquisition. - Development of closed-loop pumped storage plant in Chhattisgarh signed MOU, expected strong generation post commissioning. - Focus on renewable energy projects aligned with India’s 500 GW renewable target by 2030, substantial tendering and strategic investments ongoing. - Incremental debt raise of approximately INR 2,000 crores in FY26 may be required based on project progress.

- Most of the debt for under-construction projects has already been tied up. - Incremental debt of around ₹2000 crores may be raised in FY26 based on project progress. - No mention of new equity fundraising during the call. - Current focus is on completing commissioned capacity without raising significant new equity. - Capex for FY26 and FY27 is planned at around ₹8,300 crores and ₹12,000 crores respectively, mostly funded through existing arrangements and debt. - No explicit mention of planned equity issuance or other fundraising methods during the call.

- Tender floated under SJVN's flagship Renewable Energy Investment Accelerator (REIA) amounts to 18.6 GW out of a total capacity target of 20.8 GW. - Letter of Awards (LOA) have been issued for 2.4 GW. - Power Purchase Agreements (PPA) signed so far total 5.188 GW. - Under-construction projects include around 70 projects cumulatively totaling about 4,966 MW capacity. - Capacity addition target for FY '26 is approximately 4,995 MW: 1,320 MW thermal (Buxar) and 3,675 MW renewable energy. - Projects slated for commissioning in FY '26 total about 5,315 MW (1,320 MW thermal + 3,675 MW renewable + some commissions already done). - Pipeline also includes pumped storage projects with MOUs and discussions in Maharashtra, Chhattisgarh, Rajasthan, and Mizoram. - Management plans to upload detailed PPTs with timelines and individual project details for clarity on orderbook and commissioning schedules.