Hitachi Energy India Limited · NSE:POWERINDIA
Hitachi Energy India — Q1 2020 Earnings Presentation
26 slides from Hitachi Energy India's earnings presentation, Apr 30, 2020
Slide 1: Cover letter to stock exchanges
Date: April 30, 2020 BSE Limited P.J. Towers Dalal Street Mumbai 400 001 (Atten:DCS CRD) National Stock Exchange of India Limited Exchange Plaza, 5th floor Plot No. C/1, G Block Bandra-Kurla Complex, Bandra (E) Mumbai 400 051 Atten:Listing Department Dear Sirs Subject: Presentation to be made to Ana
Slide 2: Shaping the future of sustainable energy
— APRIL 30, 2020 Shaping the future of sustainable energy Q1 2020 Analyst Presentation N Venu, Managing Director, ABB Power Products and Systems India Limited
Slide 3: Important notices
— Important notices This presentation includes forward-looking information and statements including statements concerning the outlook for our businesses. These statements are based on current expectations, estimates and projections about the factors that may affect our future performance, including
Slide 4: Who we are
— Who we are ABB Power Products and Systems India Ltd
Slide 5: Our heritage in India
— Our heritage in India Six decades pioneering innovation We are invested in India – developing world class manufacturing base, commissioning landmark projects, shaping future talent Slide 4
Slide 6: About us
— About us Deeply entrenched in the market, well-networked with customers 17 sales offices 1,000+ customers Maneja Savli Halol ~2,244 employees Customers across utilities, industries, Peenya transport & infra Mysore 16 manufacturing units in five locations Slide 5
Slide 7: Most comprehensive grid portfolio, across the value chain
— Most comprehensive grid portfolio, across the value chain Partner of choice for enabling a stronger, smarter and greener grid Products and components Software and automation Systems Service Broadest portfolio and footprint Deepest application know-how Technology and innovation leader Largest insta
Slide 8: Our portfolio
— Our portfolio Pioneering technologies for a stronger, smarter and greener grid Products, systems, services and software across the value chain Grid Automation Grid Integration – Communication Networks – System Integration – Enterprise Software – HVDC - Grid interconnectors; city infeeds – Grid Edg
Slide 9: Sustainability – not just in energy, but of all aspects
— Sustainability – not just in energy, but of all aspects Environmental and social stewardship to complement economic growth Safety Water recycle Society 97.01% of 11.6% of waste water Community health camps – covering hazard resolved recycled 10,000 people Waste Green Power Health & Well-being 96.2
Slide 10: Market Overview
— Market Overview Big shift in power and energy
Slide 11: Market Scenario: Utilities
— Market Scenario Medium term prospects – Utilities Generation installed capacity (GW) Transmission line (000’ ckm) 477 CAGR – 4% CAGR – 9% 480 367 423 2019 2022 2019 2022 Grid connected solar capacity (GW) Wind capacity (GW) 100 60 CAGR – 45% CAGR – 17% 37.2 32.5 2019 2022 2019 2022 Source: CEA, Me
Slide 12: Market Scenario: Transport and Infrastructure
— Market Scenario Medium term prospects – Transport and Infrastructure Electrified Rail Network (rkM) Metro rail route (km) Number of railway traction transformers 5112 CAGR – 21% 2240 CAGR – 50% CAGR 63,000 CAGR 59% CAGR – 10% CAGR CAGR 59% 2616 CAGR – 28% 65% 59% 36,000 25,000 660 1368 1278 1142 2
Slide 13: Next level growth with digitalization
— Next level growth with digitalization India has ambitions of becoming a USD 5 trillion economy by 2025 Railway infrastructure Digitalization & smart cities • 100% rail electrification of the complete • 100 cities selected, spend of US$ 32 bn by rail network by 2022 2021 formalized • US$30 bn inves
Slide 14: COVID-19 Impact on Indian Economy
— COVID-19 Impact on Indian Economy Government acting proactively; short-term impact visible India: Growth a challenge India Govt. actions till date Impact & Opportunities for PG Impact: GDP Forecast (Mar’20) – Before COVID-19 : 6.0%1 India enforces early 6-week strict and - Slow down in new CAPEX b
Slide 15: Performance in Q1
— Performance in Q1 ABB Power Products and Systems India Ltd
Slide 16: Jan-March 2020 results
— Jan-March 2020 results Solid order book, steady margin Delivering growth • Solid order growth driven by domestic market and exports ORDERS REVENUE INR 934 crore INR 812 crore • Smooth, profitable operations while establishing new legal entity • Order mix encapsulating traditional and emerging • Re
Slide 17: Quarter highlights
— Quarter highlights INR 165 crore order from IOCL to strengthen Rail and metro continue to generate demand for Traditional transformer converted to digital power infrastructure for refinery expansion traction equipment and power automation transformer using Core-sense and Coretec4 Technology collab
Slide 18: Order analysis
— Order analysis Q1 order composition Segment mix Channel mix Sector mix Projects Products Services OEM EPC Distributor Direct Sales Utilities Solar Industries Rail Infrastructure Others April 30, 2020 Slide 17
Slide 19: Services, Exports
— Services, Exports Levers for profitable growth Service: Engage customers through life cycle Make in India, for India and the world • Life cycle service orders for Grid Automation and High Voltage • Largest transformer export order for 29 X 400kV GSU Breakers from PGCIL, NTPC, Hindalco, etc. transf
Slide 20: Customer engagement in the time of lockdown
— Customer engagement in the time of lockdown Virtual engagement, tangible pull-through Collaborative webinars on various topics During lockdown, engaged customers by organizing webinars on technical and thought leadership topics. Total number of customers participated in webinars so far in excess o
Slide 21: Country-wide lights out for 9min at 9pm, Apr 5
— Country-wide lights out for 9min at 9pm, Apr 5 Leveraging decades of technology expertise to pull of an engineering marvel Lights out across the world’s largest synchronous grid ABB PG: Delivering as the partner of choice All India power demand was anticipated to reduce by 12-14 GW within Pre-even
Slide 22: Financial Overview
— Financial Overview ABB Power Products & System India Ltd
Slide 23: Financial performance highlights - Q1 2020
— Financial performance highlights - Q1 2020 Performance summary Highlights Q1/20 • Strong order booking INR Crores Apr-Dec • Good cash collection despite challenging environment Particulars Q1/20 Q4/19 2019 * Orders 934.2 615.3 2,641.9 • Factories shutdown happened since March 23, 2020 Revenues 811
Slide 24: Performance highlights
— Performance highlights Jan-Mar 2020 Performance summary Quarter financial summary INR crore Jan-Mar Apr-Dec Particulars INR crore As % of sales 2020 2019 Material cost 457.6 56.4% Total Orders Received 934.2 2,642 Personnel expenses 97.9 12.1% Order Backlog (end of period) 5,192 5,101 Other operat
Slide 25: Shaping the future of sustainable energy
— “Shaping the future of sustainable energy, with pioneering technologies, as the partner of choice for a stronger, smarter and greener grid.”
Slide 26: AL BD ED
AL BD ED FADD ED