Adani Energy Solutions Ltd · NSE:ADANIENSOL

Adani Energy Solutions — Adani Transmission — FY2021 Earnings Presentation

50 slides from Adani Energy Solutions's earnings presentation, May 2021

  1. Slide 1: Adani Transmission Limited FY21 Results Presentation

    Adani Transmission Limited FY21 Results Presentation May 2021

  2. Slide 2: Contents

    CONTENTS 04-07 Adani Group 04 09-12 Company Profile 09 14-17 FY21 Operational Highlights 14 19-21 FY21 Financial Highlights 19 Balance Sheet and Cash 23-26 flow update 23 ESG and Key Focus 28-32 Areas – FY21 28 Q4FY21 Operational and 35 35-40 Financial Highlights 42-44 Detailed Segment Financials 42

  3. Slide 3: Adani Group

    Transmission

  4. Slide 4: Adani: A world class infrastructure & utility portfolio

    Adani: A world class infrastructure & utility portfolio Transport & Logistics Portfolio Adani Energy & Utility Portfolio Adani 63.7% 100% 75% 56% Marked shift from B2B to B2C businesses – APSEZ SRCPL ATL AGEL Port & Logistics Rail T&D Renewables AGL – Gas distribution network to serve key 100% 75% 3

  5. Slide 5: Adani: Decades long track record of industry best growth rates across sectors

    Adani: Decades long track record of industry best growth rates across sectors Transmission Network (ckm) Port Cargo Throughput (MT) Renewable Capacity (GW) CGD8 (GAs9 covered) 45% 21% 161% 12% 1.5x 3x 30% 2.5x 6x 7% 5% 25% Industry ATL Industry APSEZ Industry Adani AGEL Industry AGL 2016 320,000 ckm

  6. Slide 6: Adani: Repeatable, robust & proven transformative model of investment

    Adani: Repeatable, robust & proven transformative model of investment Phase Development Operations Post Operations Origination Site Development Construction Operation Capital Mgmt Analysis & market Site acquisition Engineering & design Life cycle O&M Redesigning the capital Activity intelligence pla

  7. Slide 7: A platform well-positioned to leverage growth opportunities in T&D business

    ATL: A platform well-positioned to leverage growth opportunities in T&D business Execution Prowess Strategic Presence Healthy pool mix Transmission Network of Transmission - Presence in 12 states Development with 23 transmission lines Transmission (FY21): 17,276 ckt km1; 52% of EBITDA - Central pool

  8. Slide 8: Company Profile

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  9. Slide 9: Manifesting Adani's Infrastructure Excellence in T&D business

    ATL: Manifesting Adani’s Infrastructure Excellence in T&D business Execution Strength and Pan Pan-India network & only private AEML - One of the best-run 3 million+ India Presence sector co. to operate 500 KV 93-year old integrated utility Retail Electricity Households HVDC in S-E Asia catering to g

  10. Slide 10: ATL at a Glance

    ATL at a Glance Contracted Assets ROA Assets 25.1% 100% 100% 74.9% 100%1 Transmission HVDC Consumer-facing Assets Transmission line Integrated Utility TBCB(2) Assets 4 Operating HVDC Line in AEML catering to Transmission Assets Mumbai 3 mn+ Connections Concession Life of Transmission 13 Operating 10

  11. Slide 11: Contracted Assets at a Glance

    Contracted Assets at a Glance Contracted Assets Key Characteristics TBCB Fixed 35 yrs + 30 yrs of (Section 63) Tariff Asset Life remaining life of asset Operating Asset Base Op. EBITDA Assets (Rs. Bn) FY21 (Rs. Bn) Counterparty Network Pool 13 68 8.4 Function of line Under-construction Asset Base Fu

  12. Slide 12: ROA assets at a Glance

    ROA assets at a Glance 3 Consumer-facing Integrated Utility (AEML) 1 ROA Transmission Assets Key Characteristics ROA Transmission Assets Consumer 3.04 million Counterparty Consumers base Return on Assets (ROA -Section 62) Type of Regulated Asset Life Perpetual Asset Asset (Sec. 62) business Network

  13. Slide 13: FY21 Operational Highlights

    Adani Transmission Limited Debt Presentation | February 2 0 2 0 Transmission FY21 Operational Highlights 14

  14. Slide 14: Executive Summary - Segment-wise Operational Performance in FY21

    ATL: Executive Summary - Segment-wise Operational Performance in FY21 • Transmission Business: – System availability: Transmission Lines are operated at greater than 99.87% (average) availability – Network addition (operational and under-construction): Added 2,536 ckt kms to its network in FY21 reac

  15. Slide 15: Operational Highlights FY21 vs. FY20

    ATL: Operational Highlights FY21 vs. FY20 Transmission business Distribution business Network Distribution Availability Consumers length Losses FY21 • Added transmission 99.87% 17,276 ckt km 3.06 million 7.82% network of 2,536 ckt km in FY21 FY20 • Distribution loss 99.76% 14,740 ckt km 3.05 million

  16. Slide 16: Integrated Distribution Utility (AEML) – Key Operating Metrics FY21 vs. FY20

    ATL: Integrated Distribution Utility (AEML) – Key Operating Metrics FY21 vs. FY20 Supply Reliability (ASAI) (%) SAIDI (mins), SAIFI (nos.) and CAIDI (mins)(1) SAIDI CAIDI SAIFI 99.993% 99.993% 34.58 34.18 31.11 31.57 Consistently Maintained supply Improving reliability of more reliability than 99% p

  17. Slide 17: Integrated Distribution Utility (AEML) – Key Operating Metrics FY21 vs. FY20

    ATL: Integrated Distribution Utility (AEML) – Key Operating Metrics FY21 vs. FY20 Consumer base (million) Distribution Loss (%) E-payment (% of total collection) 7.82% 7.37% 3.06 3.05 67.17% E-payments have grown Distribution significantly 48.60% Marginal loss due to high increase in increased e-pay

  18. Slide 18: FY21 Financial Highlights

    Adani Transmission Limited Debt Presentation | February 2 0 2 0 Transmission Future Outlook FY21 Financial Highlights 14

  19. Slide 19: Financial Highlights FY21 vs FY20 – Snapshot

    ATL: Financial Highlights FY21 vs FY20 – Snapshot Consolidated Transmission Distribution FY21 FY20 FY21 FY20 FY21 FY20 Operating Revenue 8,840 10,237 2,792 2,704 6,048 7,532 Transmission business performance is broadly insulated from current Operating disruptions resulting into EBITDA 4,233 4,055 st

  20. Slide 20: Transmission Utility - Revenue and Operating EBITDA Bridge FY21

    ATL: Transmission Utility - Revenue and Operating EBITDA Bridge FY21 FY21 – Revenue (ex incentive) bridge YoY FY21 – Operating EBITDA bridge YoY 12 18 54 59 (3) (31) 56 (9) 28 (39) 4 2,716 2,657 2,574 2,482 FY21 GTL line CWRTL (line Revenue from APTEL order in MEGPTCL line - WTPL & WTGL WTGL line -

  21. Slide 21: Distribution Utility - Revenue and Operating EBITDA Bridge FY21

    ATL: Distribution Utility - Revenue and Operating EBITDA Bridge FY21 FY21 – Revenue bridge YoY FY21 – Operating EBITDA bridge YoY ( 94 ) 809 ( 421 ) ( 1,628 ) ( 1,117 ) 816 48 ( 18 ) ( 108 ) ( 11 ) 7,676 38 6,048 1,659 1,717 FY21 Transmission Other Wheeling Cross Subsidy Sale of Energy Fuel FY20 FY2

  22. Slide 22: Balance Sheet and Cash flow update

    Adani Transmission Limited Debt Presentation | February 2 0 2 0 Transmission Future Outlook Balance Sheet and Cash flow update 14

  23. Slide 23: EBITDA to Free Cash Flow (FY21)

    ATL: EBITDA to Free Cash Flow (FY21) Solid Free Cash Flow generation available for future growth -571 5067 -1,932 -270 -356 2294 1938 EBITDA Working Capital Interest & Finance Tax expense Cash profit Repayment Cash generation for Changes cost Growth Notes: EBITDA includes regulatory income; FCF mean

  24. Slide 24: Debt Evolution and Key Ratios – FY21

    ATL: Debt Evolution and Key Ratios – FY21 Net Debt(1) Net Debt Evolution Key Ratios 4.7 4.7 4.3 4,130 2668 3.3 4,624 1032 - 620 494 - 356 2.5 2.3 2.1 2.1 2.0 1.6 1.4 1.3 1.3 1.3 19,43 1.2 1.1 16,22 9 19,439 1 16,221 FY18 FY19 FY20 FY21 Net Debt to EBITDA 'Mar 20 'Mar 21 Debt Service Coverage Ratio F

  25. Slide 25: Capital Management Program brings diversity and elongated maturity to debt profile

    ATL’s Capital Management Program brings diversity and elongated maturity to firm’s debt profile Refinancing risk minimised1 As of As of 12% 31st Mar 16 31st Mar 21 < 1 Y - 19% < 1 Y - 2% 1 to 5 Y - 69% 1 to 5 Y - 11% 89% > 5 Y - 12% > 5 Y - 87% Consolidated Rs. 194 bn Rs. 85 bn Net Debt FY16 FY21 Co

  26. Slide 26: Key Focus Areas FY21 and Beyond

    ATL: Key Focus Areas FY21 and Beyond Liquidity Management Growth • Focus on maintaining adequate liquidity cover to swiftly mitigate • ATL well placed to capture future growth through multiple current uncertainties avenues: • Fully covered in-terms of debt servicing for next 12 months by • Robust un

  27. Slide 27: ESG

    Adani Transmission Limited Debt Presentation | February 2 0 2 0 Transmission ESGESG 08

  28. Slide 28: Integrated ESG Framework for enhanced value creation

    ATL: Integrated ESG Framework for enhanced value creation Technological advancement for minimal downtime during maintenance better availability increased EBITDA TARGET BY SEP 2021 Renewable Power Procurement at below APPC tariff reduction for 12 mn Mumbai consumers 12x growth in renewable power proc

  29. Slide 29: ESG Annual Performance and Initiatives

    ATL: ESG Annual Performance and Initiatives ESG Performance (FY21 vs FY20)1 ESG Initiatives during the year • AEML’s Dahanu plant achieved certification for Zero Waste to 15.5 % Landfill (ZLD) 41 % Scope 1 Emission Auxiliary Power • AEML has launched ‘Mumbai Green Energy Initiative’ allowing Consump

  30. Slide 30: Inculcating Safety Culture

    ATL: Inculcating Safety Culture Safety Initiatives During FY21 Safety Performance in FY21 Safety Parameters FY21 FY20 • 1,65,130 man-hours of safety training and awareness during the quarter LTI 4 10 • Training was conducted across the organization on effective usage of Gensuite mobile application F

  31. Slide 31: Key Focus Areas

    Adani Transmission Limited Debt Presentation | February 2 0 2 0 Transmission Future Outlook Key Focus Areas 14

  32. Slide 32: Key Focus Areas FY21 and Beyond

    ATL: Key Focus Areas FY21 and Beyond Liquidity Management Growth • Focus on maintaining adequate liquidity cover to swiftly mitigate • ATL well placed to capture future growth through multiple current uncertainties avenues: • Fully covered in-terms of debt servicing for next 12 months by • Robust un

  33. Slide 33: Annexure

    Adani Transmission Limited Debt Presentation | February 2 0 2 0 Transmission Annexure (Q4FY21 Highlights, Detailed Financials, Credit Rating, Asset Portfolio) 22

  34. Slide 34: Q4FY21 Operational and Financial Highlights

    Adani Transmission Limited Debt Presentation | February 2 0 2 0 Transmission Q4FY21 Operational and Future Outlook Financial Highlights 14

  35. Slide 35: Operational Highlights Q4FY21 vs Q4FY20

    ATL: Operational Highlights Q4FY21 vs Q4FY20 Transmission business Distribution business Network Distribution Availability Consumers length Losses • Added transmission Q4FY21 network of 1,756 ckt 99.82% 17,276 ckt km 3.06 million 7.56% km in Q4 • Distribution loss Q4FY20 increased to 7.56% in 99.61%

  36. Slide 36: Distribution Utility (AEML) – Key Operating Metrics Q4FY21 vs. Q4FY20

    ATL: Distribution Utility (AEML) – Key Operating Metrics Q4FY21 vs. Q4FY20 Supply Reliability (ASAI) (%) SAIDI (mins), SAIFI (nos.) and CAIDI (mins)(1) SAIFI SAIDI CAIDI 33.27 31.30 99.992% 99.995% Maintained more Outage time 18.89 than 99.9% supply and outage reliability occurrences 10.08 have impr

  37. Slide 37: Distribution Utility (AEML) – Key Operating Metrics Q4FY21 vs. Q4FY20

    ATL: Distribution Utility (AEML) – Key Operating Metrics Q4FY21 vs. Q4FY20 Consumer base (million) Distribution Loss (%) E-payment (% of total collection) 7.56% 60.90% E-payments 3.06 3.05 have grown significantly due Slight increase 5.58% Distribution to progressive e- in consumer losses increased

  38. Slide 38: Financial Highlights Q4FY21 vs Q4FY20 – Snapshot

    ATL: Financial Highlights Q4FY21 vs Q4FY20 – Snapshot Consolidated Transmission Distribution Q4FY21 Q4FY20 Q4FY21 Q4FY20 Q4FY21 Q4FY20 Operating Revenue 2,276 2,220 720 683 1,556 1,536 Transmission business performance is broadly insulated from current Operating disruptions resulting into EBITDA 1,0

  39. Slide 39: Transmission Utility - Revenue and Operating EBITDA Bridge Q4FY21

    ATL: Transmission Utility - Revenue and Operating EBITDA Bridge Q4FY21 Q4FY21 – Revenue (ex incentive) bridge YoY Q4FY21 – Operating EBITDA bridge YoY 800 5 14 (3) 28 700 39 (3) (24) 600 9 1 500 700 672 400 656 300 618 200 Q4 FY21 GTL - one APTEL Order Revenue from MEGPTCL & WTGL - WTPL & WTGL Q4 FY

  40. Slide 40: Distribution Utility - Revenue and Operating EBITDA Bridge Q4FY21

    ATL: Distribution Utility - Revenue and Operating EBITDA Bridge Q4FY21 Q4FY21 – Revenue bridge YoY Q4FY21 – Operating EBITDA bridge YoY ( 23 ) ( 49 ) ( 87 ) 216 17 4 (5) ( 30 ) ( 58 ) (9) ( 124 ) 1,680 1,556 402 377 Q4 FY21 Transmission Other Wheeling Cross Subsidy Fuel Sale of Energy Q4 FY20 Charge

  41. Slide 41: Detailed Segment Financials

    Adani Transmission Limited Debt Presentation | February 2 0 2 0 Transmission Future Detailed Outlook Segment Financials 14

  42. Slide 42: P&L FY21 vs. FY20

    ATL: P&L FY21 vs. FY20 (Rs in Crore) FY21 FY21 FY21 FY20 FY20 FY20 Sr. No. Particulars % change Transmission Distribution (Consolidated) Transmission Distribution (Consolidated) 1 Revenue 1.1 Net Transmission & Distribution Charges 2,716 6,048 8,764 2,657 7,532 10,189 1.1.a Transmission & Distributi

  43. Slide 43: P&L Q4FY21 vs. Q4FY20

    ATL: P&L Q4FY21 vs. Q4FY20 (Rs in Crore) Q4 FY21 Q4 FY21 Q4 FY21 Q4 FY20 Q4 FY20 Q4 FY20 Sr No. Particulars % change Transmission Distribution (Consolidated) Transmission Distribution (Consolidated) 1 Revenue 1.1 Net Transmission & Distribution Charges 700 1,556 2,256 672 1,536 2,209 1.1.a Transmiss

  44. Slide 44: P&L Q4FY21 vs. Q3FY21

    ATL: P&L Q4FY21 vs. Q3FY21 (Rs in Crore) Q4 FY21 Q4 FY21 Q4 FY21 Q3 FY21 Q3 FY21 Q3 FY21 Sr No. Particulars % change Transmission Distribution (Consolidated) Transmission Distribution (Consolidated) 1 Revenue 1.1 Net Transmission & Distribution Charges 700 1,556 2,256 685 1,588 2,273 1.1.a Transmiss

  45. Slide 45: Credit Ratings and Asset Portfolio

    Adani Transmission Limited Debt Presentation | February 2 0 2 0 Transmission Future Credit Outlook Ratings and Asset Portfolio 14

  46. Slide 46: ATL is rated Investment Grade from FY16 and beyond

    ATL is rated Investment Grade from FY16 and beyond International- Obligor Group SPV Ratings - Domestic Rating Agency Facility Rating/Outlook Company Rating Agency Rating Outlook Fitch Dollar Bond BBB-/Negative ATL India Rating AA+ Stable S&P Dollar Bond BBB-/Stable WTGL India Ratings AA+ Stable Mood

  47. Slide 47: ATL's Evolution and Operational Asset Portfolio as of FY21

    ATL’s Evolution and Operational Asset Portfolio as of FY21 ATL’s Transmission Network (ckt km) has grown 2.8x Adani Transmission Limited and Distribution business being acquired in FY19 ATL’s “Grid-to-Switch” Integrated Platform 100% 100% 75% 100% 100% 100% 100% 100% 100% 100% 100% 100% ATSCL & WTGL

  48. Slide 48: ATL's Under-construction Asset Portfolio as of FY21

    ATL‘s Under-construction Asset Portfolio as of FY21 Adani Transmission Limited 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% Obra-C WRSS – Bikaner - Lakadia Kharghar NKTL Jam Kham- FBTL GTL Banas- HVDC# WKTL Badaun XXI (A) Khetri baliya - Vikhroli kantha North Fategarh Ghatampur Obra Lakadi

  49. Slide 49: Legal Disclaimer

    Legal Disclaimer The information contained in this presentation is provided by Adani Transmission Limited (together with its subsidiaries, the “Company” or “ATL”) to you solely for your reference and for information purposes only. This presentation is highly confidential and is being given solely fo

  50. Slide 50: Thank You

    adani Transmission adani Transmission Thank You -¢

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