Azure Power Global Limited (NYSE:AZRE) Q3 2019 Earnings Conference Call Transcript
Feb 13, 2019 • 08:30 am ET
Good morning. And welcome to the Azure Power Fiscal Third Quarter 2019 Earnings Conference Call. All participants will be in listen-only mode. (Operator Instructions) After today's presentation, there will be an opportunity to ask questions. (Operator Instructions) Please note, today's event is being recorded.
I would now like to turn the conference over to Nathan Judge, Investor Relations. Please go ahead, sir.
Thank you, and good morning, everyone, and thank you for joining us. After last night's close the company issued a press release announcing its financial results for the third fiscal quarter of 2019 ended December 31, 2018. A copy of the press release and the presentation are available on the Investors section of Azure Power's website at azurepower.com.
With me today are Inderpreet Singh Wadhwa, Founder, Chairman and Chief Executive Officer; and Sushil Bhagat, Chief Financial Officer. Inderpreet will provide a business update, and Sushil will discuss our fiscal third quarter financial performance. Inderpreet will finish our prepared remarks by reiterating our fiscal 2019 guidance and providing fiscal 2020 outlook. After this, we will open up the call for questions.
Please note, our Safe Harbour statements are contained within our press release, presentation materials and available on our website. These statements are important and integral to all our remarks. There are risks and uncertainties that could cause our results to differ materially from those expressed or implied by such forward-looking statements, so we encourage you to review the press release we referred -- we furnished in our Form 6-K and presentation on our website for a more complete description.
Also contained in our press release and presentation materials are certain non-GAAP measures that we reconcile to the most comparable GAAP measures, and these reconciliations are also available on our website and in the press release and presentation materials.
It's now my pleasure to hand it over to Inderpreet Singh Wadhwa, Founder, Chairman and Chief Executive Officer.
Inderpreet Singh Wadhwa
Thank you, Nathan, and a very good morning, everyone. I'm pleased to report that our fiscal third quarter is yet our best quarter ever. We have delivered results well ahead of expectations. Our revenues in local currency terms were significantly above our expectations, as we are constructing facilities in record time well ahead of contract deadlines.
Our 1.9-gigawatt pipeline has a tariff, which is 18% above the lowest bid in the Indian solar market. At a time when solar panel prices have plummeted over 40%, thus giving us returns much higher than our hurdle rates. We are setting new benchmarks for lowering costs and our interest expense continues to be less than originally planned. We were profitable this quarter and now expect that we will be profitable on the full-year basis this year, excluding any foreign currency exchange fluctuations.
We have eliminated the contract risk, as every project in our pipeline has a contract in hand and most have already secured critical interconnection approvals that should allow us to build projects ahead of schedule. We have approximately over $330 million of cash on