Newsletter
IREDA’s September quarter earnings saw a clean sweep across revenue, profit, and asset quality, giving investors a reason to charge up again. The stock gained more than 2% following the results.
By the numbers:
- Revenue up 26.2% YoY to ₹2,056.9 crore vs ₹1,629.6 crore
- Net profit jumped 41.5% YoY to ₹549 crore
- Net Interest Income (NII) surged nearly 50% YoY to ₹817 crore
- Loan sanctions soared 86% YoY to ₹33,148 crore, while disbursements grew 54% YoY to ₹15,043 crore
NII is the money a lender like IREDA earns from interest on loans after subtracting what it pays on its own borrowings. Disbursements are the actual amount of money given out to borrowers from those sanctioned loans.
The how: the company is also growing its loan book and improving asset quality.
As India pushes toward 500 GW of renewable capacity by 2030, projects like the Leh solar cluster, Gujarat’s hybrid power parks, and upcoming green hydrogen plants in Rajasthan will need billions in financing.
With its expanding loan book and cleaner balance sheet, IREDA is poised to bankroll much of this growth, solidifying its place at the heart of India’s clean energy revolution.
Zoom out: India now boasts over 180 GW of installed renewable capacity, aiming for 500 GW by 2030. Investments are pouring in with nearly $16.5 billion in FY24 alone.
India’s renewable energy capacity has surged to 125.7 GW as of May 2023, adding nearly 15.8 GW in just over a year. This is one of the fastest growth rates globally.
