Sterling And Wilson Renewable Energy Limited · NSE:SWSOLAR
Sterling And Wilson Renewable Energy — Q2 FY2023 Earnings Presentation
33 slides from Sterling And Wilson Renewable Energy's earnings presentation, Oct 13, 2022
Slide 1: Exchange filing cover letter for investor presentation
October 13, 2022 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 Standalon
Slide 2: The future of solar energy is Sterling and Wilson Renewable Energy
The future of solar energy is STERLING AND WILSON RENEWABLE ENERGY LIMITED Investor Presentation – 2Q FY23 ONE OF THE LEADING SOLAR EPC AND O&M SOLUTIONS PROVIDER IN THE WORLD 13 Oct 2022
Slide 3: Disclaimer
This presentation and the accompanying slides (the “Presentation”), which have been prepared by Sterling and Wilson Renewable Energy 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: Agenda
Company Overview Our Journey 04 05 Business Overview Our Presence 06 14 Market Opportunity Financial Highlights 15 22 Way Forward Beyond Business 28 30
Slide 5: Who We Are
| WHO WE ARE Leading Solar EPC and O&M Solutions Provider Market Leader Leading Solar EPC We offer Design, Detailed Engineering, Procurement, Construction, Installation, solutions provider in Commissioning and Operations & Maintenance services under turnkey EPC and BoS the world (Balance of System)
Slide 6: A Global Leader in Solar EPC in 8 Years
| A GLOBAL LEADER IN SOLAR EPC IN 8 YEARS 2018 2022 Expanded operations in Reliance New Energy 2016 Australia by acquiring a 2020 acquired 40% stake in controlling stake in GCO Sterling and Wilson Diversified into Ranked 2nd largest O&M Electrical Pty Ltd Renewable Energy Limited Rooftop Solar playe
Slide 7: Business Overview
Slide 8: Turnkey EPC solutions for utility-scale and rooftop projects
Turnkey EPC solutions for utility-scale and rooftop projects. Sterling and Wilson Renewable Energy offers a range of turnkey and Balance of System (BoS) solutions for utility-scale, rooftop, and floating solar power projects. The company also offers solar plus storage solutions. Our turnkey EPC solu
Slide 9: Capabilities and Solutions
| CAPABILITIES AND SOLUTIONS We offer a fully integrated Solar + BESS System Modelling Battery Energy Storage Solution • • Minute level charging & discharging profile Temperature & irradiance modelling • Power system modelling & network performance assessment • Transient stability analysis & short c
Slide 10: Solar O&M Player Globally
| SOLAR O&M PLAYER GLOBALLY O&M Manpower Strength In GWp 544+ in-house team with expertise in advanced technologies Sep-22 * 7.2 FY 2022 6.6 Value Engineering For Clients FY 2021 8.4 • Designing innovative, customized and cost- FY 2020 effective solutions to improve PR and plant 7.5 availability FY
Slide 11: What Differentiates Us
| WHAT DIFFERENTIATES US Cost Effective Leveraging the Low-Cost India Base for global execution providing cost Expeditious competitive solutions Quick Decision Making & well-defined internal processes leading to timely execution Global Presence One of the only Global Pure-Play Solar EPC players with
Slide 12: Technical and Supply Chain
| TECHNICAL AND SUPPLY CHAIN MODULES Bi-Facial Framed Mono-PERC Poly C-Si Thin Film Poly c-Si, DG Total of 447 MWp Total of 1266 MWp Total of 5500+ MWp Total of 220 MWp Total of 130 MWp INVERTER TRACKER String Inverter Central Inverter 1P 2P Huawei /Sungrow ABB / SMA / Sungrow / GE Nex Tracker, Conv
Slide 13: Technical and Supply Chain
| TECHNICAL AND SUPPLY CHAIN FOUNDATION Screw Ramming Concrete Pile Pre-Drill with Ramming Ballast Foundation Total of 1177 MW Total of 400 MW Total of 4700+ MW Total of 282 MW Total of 51 MW FIXED STRUCTURE FLOATING STRUCTURE CABLING SYSTEM East - West South Facing C&T CAB System Total of 1177 MW T
Slide 14: Technical and Supply Chain
| TECHNICAL AND SUPPLY CHAIN MODULE CLEANING SOFTWARE Inhouse Software • PV SYST • E-TAP Fully Automatic Semi Automatic Manual Manual • PSSE • CIVIL-3D Robotic Cleaning Truck with Brush With Water Truck With Pipelines • PV CASE Total of 1177 MW Total of 388 MW Total of 151 MW Total of 3000+ MW • ALL
Slide 15: Across the Globe
| ACROSS THE GLOBE UK Kazakhstan Jordan Spain USA USA Morocco Egypt Vietnam 454.73 MWp UAE Saudi Arabia Thailand Mexico MENA 2,192.48 MWp Oman Philippines India India Malaysia Kenya 7,920.50 MWp Indonesia Tanzania Zambia Singapore Namibia Southeast Asia Latin America 323.18 MWp 575.30 MWp Chile Arge
Slide 16: Market Opportunity
Fg y Market Opportunity
Slide 17: Solar is Cheaper, Faster, Consistent
| SOLAR IS CHEAPER.. FASTER.. CONSISTENT SOLAR PV LCOE IS NOW THE LOWEST GLOBALLY $/MWh 150 149 Onshore wind Fixed-axis PV Tracking PV 120 Coal Gas 85 90 81 82 74 69 60 46 45 40 30 1H 2H 1H 2H 1H 2H 1H 2H 1H 2H 1H 2H 1H 2H 1H 2H 1H 2014 2015 2016 2017 2018 2019 2020 2021 2022 Source: BNEF (1) The gl
Slide 18: Solar Installations to Grow at ~15% CAGR in Key Markets
| SOLAR INSTALLATIONS TO GROW AT ~15% CAGR IN KEY MARKETS Annual Utility-Scale PV installations 2019 2021 2022E 2025E CAGR 21-25E (GW) India 9.8 10.8 11.8 18.6 14.6% South-East Asia & Australia 1.7 1.9 3.3 4.8 41.3% Middle East and North Africa 3.8 2.9 5.1 9.8 35.6% Rest of Africa 1.2 1.7 2.0 4.0 23
Slide 19: Key Market Developments
| KEY MARKET DEVELOPMENTS United States Solar EPC activity had stalled considerably in President Biden’s directive in June 2022 has given 1HCY22 due to Dept of Commerce relief to module imports from the 4 countries for investigation on import of modules from 4 additional 2 years South-East Asian cou
Slide 20: Mega Projects
| MEGA PROJECTS REGIONS WITH LAND AVAILABILITY SUCH AS MIDDLE-EAST & AUSTRALIA HAVE ANNOUNCED LARGE PROJECTS Country Project Name Capacity Expected Start UAE Abu Dhabi PV scheme 1.5 GW 2023 Oman Manah 1 and 2 1 GW 2023 Saudi Arabia PIF Phase 2 3.2 GW 2023 GREEN HYDROGEN CAN FURTHER INCREASE THE SIZE
Slide 21: PSU Market – A Huge Opportunity to Tap Into
| PSU MARKET – A HUGE OPPORTUNITY TO TAP INTO PSUs HAVE INDICATED A STRONG PIPELINE Entity Commissioned Under Execution Projected Pipeline (GWp) capacity (GWp) (GWp) FY22-23E FY23-24E FY24-25E NTPC 2.22 3.8 5.8 5.2 6.2 NHPC 0.05 2.3 0.8 1.0 1.2 SJVNL 0.07 1.6 0.7 1.8 2.2 Coal India - 0.3 0.5 0.8 1.0
Slide 22: Key Costs Have Begun to Subside
| KEY COSTS HAVE BEGUN TO SUBSIDE Australia LATAM 0.28 0.27 0.27 18,400 0.26 15,000 0.25 14,000 (price in USD per Wp) ** (per 40 feet container) Freight rates Ex China Module price trends 11500 9300 10,000 0.22 10000 8,000 7,500 0.19 4900 4,000 2000 3,500 1,800 Sep ’20 Mar ’21 Sep ‘21 Dec ’21 Mar ’2
Slide 23: 2Q FY 2023
STERLING & WILSON | 2Q FY 2023
Slide 24: Key Highlights for 2Q FY23
| KEY HIGHLIGHTS FOR 2Q FY23 • Company has been awarded NTPC 1.6 GW order worth INR • Net debt of Rs 885 crore as of 30 September 2022 2,200 crore (including 3 years O&M) • We anticipate net debt to decrease with new order • Company entered into MOU with Nigerian government and Sun inflows, and comp
Slide 25: Consolidated Profit & Loss – 2Q FY23
| CONSOLIDATED PROFIT & LOSS – 2Q FY23 INR Crore Q2FY23 Q2FY22 Q1FY23 FY2022 INR Crore Q2FY23 Q1FY23 Revenue from Operations * 403 1,438 1,206 5,199 Revenue from Operations Gross Margin (post project MTM) (170) (177) (180) (503) - International EPC 200 1,000 Gross Margin % (42.1%) (12.3%) (14.9%) (9
Slide 26: Consolidated Balance Sheet
CONSOLIDATED BALANCE SHEET INR Crore Sep-22 Jun-22 Breakdown of Net Debt (INR Crore) Sep-22 Jun-22 Sources of Funds Term debt 700 - Shareholders Funds 338 596 Working capital related debt 613 403 Borrowings from Banks 1,313 403 Total 1,651 999 Total Debt 1,313 403 Application of Funds Less: Cash and
Slide 27: New MOUs/ Orders Announced
| NEW MOUs/ ORDERS ANNOUNCED • Sterling and Wilson Solar Solutions, Inc (SWSS), the US step down • Contract signed for the BOS package comprising 4 blocks of subsidiary signed a MOU with the Government of the Federal proposed solar PV plant of NTPC at Khavda, RE Power Park, Republic of Nigeria, alon
Slide 28: Order Book & Pipeline
| ORDER BOOK & PIPELINE Unexecuted Order Value Movement Gross UOV as on 12 October 2022 +1,858 -929 LATAM -1,610 USA 2.4% 8.9% +83 Australia 3,253 11.2% 2,654 India 77.5% UOV as on 31 Forex Order inflow Order exited in Projects UOV as on 12 Mar 2022 adjustments 2QFY23 executed in 1H Oct 2022 FY23 FY
Slide 29: Way Forward - Regain the Position of World's Largest Solar EPC Player
| WAY FORWARD - REGAIN THE POSITION OF WORLD’S LARGEST SOLAR EPC PLAYER Industry Target large Expand new Grow O&M Outlook EPC markets businesses Portfolio • Unprecedented commodity super • Reliance group’s investment in • Round-The-Clock Renewable • O&M market size to grow as more cycle over last 2
Slide 30: Way Forward – Domestic Capacity Building Underway
| WAY FORWARD – DOMESTIC CAPACITY BUILDING UNDERWAY SWREL has commenced preparations to scale domestic EPC team commensurate with the anticipated scale of work 1516 +44 +42 +120 SWREL Domestic EPC Headcount +615 1,516 1049 +195 +33 467 467 467 Mar-22 Mar-23E Domestic Design & Engg Procurement Constr
Slide 31: Beyond Business
Slide 32: Social Responsibility
| SOCIAL RESPONSIBILITY As a responsible organization, we strive to ensure the well being of all our stakeholders, by placing sustainability at the heart of everything we do. IDF CSR Award of Excellence 2018 For Participation in Resource Mobilization for Humanitarian Causes Our CSR Activities Skill
Slide 33: For further information, please contact
For further information, please contact: Company : Investor Relations Advisors : Sterling and Wilson Renewable Energy Limited Strategic Growth Advisors Private Limited CIN: L74999MH2017PLC292281 CIN: U74140MH2010PTC204285 Mr Sandeep Mathew Mr Jigar Kavaiya / Mr. Parin Narichania Head – Investor Rela
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