Inox Green Energy Services Limited (IGESL), a leading renewable energy Operations and Maintenance (O&M) service provider, has reported robust financial results for the first quarter, showcasing significant year-on-year growth across key metrics.

Financial Highlights

For Q1, IGESL reported:

The company's EBITDA margin stood at an impressive 49% for the quarter.

Operational Performance and Portfolio Expansion

IGESL maintained a strong operational performance, with machine availability for its entire portfolio averaging around 95.6% during the quarter. The company has significantly expanded its portfolio, adding approximately 1.6 GW peak of solar O&M contracts in April-May. This strategic move into solar O&M aligns with the group's recent entry into solar module manufacturing and the growing opportunities in hybrid, round-the-clock (RTC), and firm dispatchable renewable energy (FDRE) projects.

The company's total renewable O&M portfolio now stands at approximately 5.1 GW. Additionally, IGESL signed an agreement for the comprehensive O&M of 182 MW of wind projects for one of India's largest diversified conglomerates.

Future Growth and Acquisitions

S.K. Mathu Sudhana, CEO of Inox Green Energy Services, outlined an ambitious growth plan, stating, "We are rapidly expanding our portfolio through both organic and inorganic means. We are continuously working with multiple parties on large-scale opportunities."

The company has made investments in an entity controlling around 2 GW of O&M assets, which is expected to reflect in its financial statements over the next six to nine months. IGESL is also participating in multi-gigawatt scale wind and solar O&M tenders as many large companies shift from in-house O&M to an outsourcing model.

Strategic Vision

Devansh Jain, Executive Director of the INOXGFL Group, expressed strong optimism about IGESL's growth trajectory. He stated, "We are extremely bullish on Inox Green and believe it's going to be a massive annuity cash flow business for Inox Wind and all Green shareholders."

The company has set an ambitious target to expand its O&M portfolio from the current 5 GW to approximately 17 GW over the next two years. This growth is expected to be driven by a mix of wind and solar assets, with wind forming the majority.

Corporate Actions and Future Outlook

IGESL has filed a scheme with the National Company Law Tribunal (NCLT) for the demerger of its substation business and its subsequent merger into Inox Renewable Solutions Limited. Upon approval, expected in the next 2-3 quarters, this move is anticipated to significantly improve IGESL's financial metrics by eliminating approximately INR 50.00-55.00 crores of annual depreciation from its books.

With its strong Q1 performance and aggressive growth plans, Inox Green Energy Services Limited appears well-positioned to capitalize on the expanding renewable energy sector in India, particularly in the O&M space for both wind and solar assets.

Inox Green Energy Services Limited (IGESL), a leading renewable energy operations and maintenance (O&M) service provider in India, has announced significant expansion of its solar O&M portfolio. The company has signed new agreements to provide O&M services for 189.1 MWp of operational solar projects, further solidifying its position in the renewable energy sector.

New Solar O&M Agreements

The company has entered into agreements with multiple customers for the following projects:

• 96.6 MWp with a global PE-backed Independent Power Producer (IPP) for projects located in Maharashtra
• 92.5 MWp with an IPP for projects located in Gujarat and Madhya Pradesh

Portfolio Growth

With these new additions, Inox Green's solar O&M portfolio has reached approximately 1.8 GW. This expansion is part of the company's rapid growth strategy in the solar segment. The new agreements have also increased Inox Green's total renewable O&M portfolio to roughly 5.3 GW, encompassing both solar and wind projects.

Management Commentary

Mr. SK Mathu Sudhana, CEO of Inox Green, expressed satisfaction with the company's progress, stating, "We are pleased to have secured another 189.1 MWp of solar O&M agreements, and rapidly expand in this segment. Inox Green has scaled up its solar O&M portfolio within a very short span of time, and we are continuously on the lookout for and participating in large scale O&M opportunities across solar, wind and RE infrastructure space."

Company Overview

Inox Green Energy Services Limited is one of the major renewable power O&M service providers in India, managing over 5 GW of renewable assets. As a subsidiary of Inox Wind and part of the INOXGFL Group, the company benefits from synergistic relationships within the renewable energy sector. Inox Green is India's only listed pure-play renewable O&M services company, with a strong and diverse portfolio base and an established track record of over a decade.

The company's business model is supported by reliable cash flows from long-term O&M contracts. Its customer base includes some of the largest Independent Power Producers (IPPs), Public Sector Undertakings (PSUs), and various retail customers.

As Inox Green continues to expand its portfolio in the renewable energy O&M space, it remains well-positioned to capture a significant portion of upcoming opportunities in the solar, wind, and renewable energy infrastructure sectors.