ReNew Energy Reports INR10.8B Manufacturing EBITDA, Sets 5.5× Leverage Goal
ReNew Energy’s manufacturing division contributed INR10.8 billion to adjusted EBITDA in the first nine months, lifting full-year guidance and driving a 48% revenue increase. Headline leverage is down to 6.7× from 7×, with a target of reducing to 5.5× by 2028-2030 through asset and capital recycling.
1. Manufacturing Performance
ReNew’s manufacturing business delivered INR10.8 billion of adjusted EBITDA in the first nine months of fiscal 2026, driving a 48% increase in revenue. Strong cell manufacturing margins, despite a monsoon-season lull, supported the upward guidance for full-year adjusted EBITDA.
2. Leverage Reduction Strategy
Headline debt-to-EBITDA has fallen to 6.7× from 8.2× in December 2024 and 7× when excluding joint venture contributions. The company targets a further reduction to 5.5× by 2028-2030 through asset and capital recycling and enhanced shareholder accruals.
3. Project Focus Shift
The shift toward solar and battery energy storage systems (BESS) reflects declining technology costs and fewer execution challenges compared to wind. There are no current plans for BESS manufacturing as the company prefers importing cost-efficient, rapidly evolving batteries.
4. ESG Ratings
ReNew achieved an ‘A’ grade and a 90.41 score, placing it in the top ESG quartile globally. High sustainability ratings are expected to support lower borrowing costs and strengthen stakeholder confidence.