Sterling And Wilson Renewable Energy Limited · NSE:SWSOLAR
Sterling And Wilson Renewable Energy — Sterling and Wilson Solar — Q1 FY22 Earnings Presentation
23 slides from Sterling And Wilson Renewable Energy's earnings presentation, Aug 15, 2021
Slide 1: Cover letter to stock exchanges
August 15, 2021 BSE Limited National Stock Exchange of India Limited Phiroze Jeejeebhoy Towers Exchange Plaza Dalal Street Bandra Kurla Complex Mumbai – 400 001 Bandra (East), Mumbai – 400 051 Scrip Code: 542760 Symbol: SWSOLAR Sub.: Investor presentation on the Unaudited Consolidated and Standalone
Slide 2: Analyst Presentation Q1FY22
STERLING STERLING AND AND WILSON WILSON SOLAR SOLAR LIMITED LIMITED Analyst Presentation Q1FY22 Investor Presentation Noor Abu Dhabi - World’s Largest Single Location Solar Project 15November th August 2021 2019
Slide 3: Safe Harbor
Safe Harbor This presentation and the accompanying slides (the “Presentation”), which have been prepared by Sterling and Wilson Solar Limited (the “Company”), have been prepared solely for information purposes and do not constitute any offer, recommendation or invitation to purchase or subscribe for
Slide 4: Contents
Contents 1 Key Highlights 4 2 Order book 5 3 Financials 10 4 Expansion of renewable offerings 18 5 Way Forward 20 2
Slide 5: Our Global presence (11.4 GW EPC Portfolio)
Our Global presence (11.4 GW EPC Portfolio) 3
Slide 6: Key Highlights for Q1FY22
Key Highlights for Q1FY22 Order inflow and Order book ✓ Order inflow till date at Rs 473 crore (623 MW) ✓ 8.7 GW contracted O&M as at date ✓ Gross Unexecuted Order Value (UOV) as at date is Rs 8,731 crore (before adjusting for revenue post 30th June 2021) Financials ✓ Revenue for Q1FY22 grew by 12%
Slide 7: Geographical diversification
Geographical diversification FY20 FY21 Q1FY22 EPC Revenue break-up by geography Australia India India 8.7% 18 Projects 5.9% India 17 Projects 23.8% 14 Projects 9 Countries 27.1% 9 Countries 7 Countries Africa 0.7% MENA 23.7% INR 4,829 INR 5,391 Africa INR 1,133 crore crore 1.5% crore Australia Ameri
Slide 8: Orders finalisation in FY22 postponed to H2FY22 due to rise in costs
Orders finalisation in FY22 postponed to H2FY22 due to rise in costs Module price trends LME Index Indian Steel Price Freight rates Ex China (price in USD per Wp) (USD /MT) (Rs/ MT) (per 40 feet container) Aluminum Copper LATAM Australia 0.248 66,500 13,500 9,433 9,300 0.221 9,005 53,790 6,719 7,500
Slide 9: Order Inflow – April to June 2021 and till date
Order Inflow – April to June 2021 and till date Country MW INR. Crore India 338 221 April to June 2021 (a) 338 221 June 2021 onwards India 285 252 June 2021 onwards (b) 285 252 TOTAL (a + b) 623 473 UOV as at 14th August 2021 ~ INR 8,731 Crore (before adjusting revenue post 30th June 2021) Europe In
Slide 10: Unexecuted Order Value (UOV) Movement
Unexecuted Order Value (UOV) Movement INR Crore Gross UOV as on 14th August 2021 (before adjusting revenue post 30th June 2021) [EPC Revenue] +183 +221 +81 -1,133 Europe India # +252 MENA 3.0% 9.9% # # 10.8% Africa 9,127 7.2% 8,479 8,731 INR 8,731 crore Australia Americas 38.1% 31.1% UOV as on Price
Slide 11: O&M Business – Key Highlights
O&M Business – Key Highlights INR Crore Operational Highlights Revenue from O&M Operations GW of solar power 252 8.7 projects with active service contracts 61 Q1FY22 FY21 Sites including third 185 party Operating EBIT & EBIT Margin % 34.4% 39.5% 100 Third party 47% contracts O&M 21 Q1FY22 FY21 9
Slide 12: Consolidated Profit & Loss – Q1 FY22
Consolidated Profit & Loss – Q1 FY22 INR Crore Q1FY22 Q1FY21 FY21 Key Highlights Revenue from Operations 1,195 1068 5,081 Revenue higher in Q1FY22 compared to Q1FY21 as project execution was Gross Margin 59 114 83 impacted in Q1FY21 on account of COVID-19 Gross Margin % 4.9% 10.7% 1.6% O&M const
Slide 13: Module price movement
Module price movement Module price trends (price in USD per Wp) Key Highlights There has been an unprecedent increase in the module prices since Jan 2021 0.256 The global Solar EPC industry has been impacted with several module 0.248 0.243 manufacturers refusing to honour past price contracts gi
Slide 14: Other Comprehensive income – Q1FY22
Other Comprehensive income – Q1FY22 Derivative contracts The Group has taken forward contracts (including cross currency hedge) to hedge the exposure of currency fluctuation in respect of receivable from customers, trade payables and letter of credit. The AUD-INR derivative contracts were taken
Slide 15: Consolidated Balance Sheet
Consolidated Balance Sheet INR Crore June-21 Mar-21 Key Highlights Sources of Funds Source of Funds Shareholders Funds 651 658 Borrowings from Banks 438 468 Shareholders funds declined marginally on account of loss for the year offset Total 1,089 1,126 with recycling of effective portion of deriva
Slide 16: Analysis of receivables > 1 year as at June 2021
Analysis of receivables > 1 year as at June 2021 Mix of receivables > 1 year as at June 2021 – Rs 445 crore Comments Key receivables outstanding for more than 1 year of Rs 445 crore as at June 2021 comprise Argentina Others 27% - Matter under NCLT - Net Receivables is Rs 60 crore (after ECL 29% pr
Slide 17: IL&FS Receivables assured by Embassy Energy
IL&FS Receivables assured by Embassy Energy Facts Claims Status Management assessment The Company had entered into a contract for a 100 During the year ended 31 March 2020, the The Company has sought legal opinion regarding MW AC Photovoltaic plant in the state of Karnataka with Company has in
Slide 18: Consolidated Cashflow
Consolidated Cashflow INR Crore Q1FY22 FY21 Key Highlights Profit before tax (87) (340) Cash flow from Operations Adjustments for noncash / other items 123 96 Cash flow from Operations negative due to payment towards MTM losses Operating profit before working capital changes 36 (244) on cancellati
Slide 19: External Debt and Intercompany Deposit movement post listing
External Debt and Intercompany Deposit movement post listing INR Crore Term Debt Intercompany Deposit (ICDs) Note: the above table excludes interest • Term debt reduced by Rs 2,477 crore from the date of • Repayment timelines till September 2021 listing till date • Securities created of Rs 805 crore
Slide 20: Business expansion – EPC for Waste to Energy plants
Business expansion – EPC for Waste to Energy plants Focus on generating energy in the form of electricity and/or heat by using Municipal solid waste (MSW), biomass etc. as feedstock using Municipal Waste Incineration ▪ 400 mn tons of waste annually processed to produce energy Geographical split of ~
Slide 21: Business expansion – EPC for Hybrid Energy & Battery Storage
Business expansion – EPC for Hybrid Energy & Battery Storage Hybrid energy focuses on solutions involving two or more sources of energy with or without energy storage. Battery energy storage systems are rechargeable battery systems that stores energy and provide the same when required ▪ Hybrid marke
Slide 22: Way Forward
Way Forward Strong o ~80% of order finalization to happen in H2FY22 Pipeline o Expect to maintain strike rate of 14 -15% for FY22 Target o North America market size ~19.5 GW in CY21 large o Europe market size ~7 GW in CY21 markets Grow O&M o Grow O&M portfolio by 40%+ in FY22 in range of 11.5 to 12
Slide 23: Thank You
THANK YOU For further information, please contact: Company : Investor Relations Advisors : Sterling and Wilson Solar Limited Strategic Growth Advisors Private Limited CIN: U74999MH2017PLC292281 CIN: U74140MH2010PTC204285 Mr Vishal Jain Mr Jigar Kavaiya / Mr. Parin Narichania Head – Investor Relation
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