Adani Power Limited · NSE:ADANIPOWER
Adani Power — Q2 FY2023-24 Earnings Presentation
36 slides from Adani Power's earnings presentation, Nov 3, 2023
Slide 1: Exchange filing cover letter for investor presentation
3rd November 2023 To, BSE Limited National Stock Exchange of India Limited P J Towers, Exchange plaza, Dalal Street, Bandra-Kurla Complex, Bandra (E) Mumbai – 400 001. Mumbai – 400 051. Scrip Code: 533096 Scrip Code: ADANIPOWER Dear Sir(s), Sub.: Presentation for interaction with Investors / Analyst
Slide 2: Adani Power Limited Q2 FY 2023-24 Results Presentation
Adani Power Limited Q2 FY 2023-24 Results Presentation November 2023
Slide 3: Consolidated financial highlights for Q2 FY 2023-24
APL: Consolidated financial highlights for Q2 FY 2023-24 INR Crores Recurring Revenue Growth Recurring EBITDA Growth Recurring PBT Growth +250% +44% +85% 12,155 4,336 2,443 8,446 2,350 699 Reported Revenue in Q2 Continuing Revenue in Reported EBITDA in Q2 Continuing EBITDA in Q2 Reported PBT in Q2 C
Slide 4: Consolidated operating highlights for Q2 FY 2023-24
APL: Consolidated operating highlights for Q2 FY 2023-24 Commercial Availability Generation Despatch Performance Sales Mix (%) under PPAs (%) Performance (PLF %) (BU) Merchant / Short Term +65% +30% Contracted (PPA) 87% 89% 89% 58% 59% 82% 14% 17% 17% 18% 49% 35.6 39% 27.3 18.1 86% 83% 83% 82% 11.0
Slide 5: Disclaimer
Disclaimer Certain statements made in this presentation may not be based on historical information or facts and may be “forward-looking statements,” including those relating to general business plans and strategy of Adani Power Limited (“APL”) and its subsidiaries , associates, and joint ventures (c
Slide 6: Table of Contents
Table of Contents 1 Adani Portfolio 2 Adani Power Limited 3 APL Quarterly Performance Highlights 4 Debt Profile 5 ESG Practice at APL 6 Conclusion 5
Slide 7: Adani Portfolio Overview
01 Adani Portfolio Overview STRICTLY CONFIDENTIAL
Slide 8: Adani Portfolio: A World class infrastructure & utility portfolio
Adani Portfolio: A World class infrastructure & utility portfolio Flagship Infrastructure & Utility Core Portfolio Primary Industry Emerging B2C Materials, Metal & Incubator Energy & Utility Transport & Logistics Direct to consumer Mining (72.6%) (56.3%) (73.2%) (65.5%) (100%) (63.2%) AGEL AESL APSE
Slide 9: Adani Portfolio: Decades long track record of industry best growth
Adani Portfolio: Decades long track record of industry best growth with national footprint Secular growth with world leading efficiency National footprint with deep coverage Growth 3x 6 Growth 4x 6 EBITDA 70% 1,2 EBITDA 92% 1,4 AEL APSEZ Growth 3x 6 Growth 1.4x 6 AGEL ATGL Adani’s Core Infra. Platfo
Slide 10: Adani Portfolio: Repeatable, robust & proven transformative model of investment
Adani Portfolio: Repeatable, robust & proven transformative model of investment Phase Development Operations Post Operations Center of Excellence Project Management & Assurance Group AIMSL 1 Policy -Strategy - Risk Origination Site Development Construction Operation Capital Mgmt Activity • Analysis
Slide 11: Adani Power Limited (APL): Multifaceted Power Producer
02 Adani Power Limited (APL) : Multifaceted Power Producer STRICTLY CONFIDENTIAL
Slide 12: APL: Multifaceted power producer
APL: Multifaceted power producer Core Business Embedded Expertise Value Enhancement Emerging Opportunities Training and Vendor Power Generation Logistics Waste Management Development Solid fuel and fly ash: High quality manpower India’s largest private Value creation out of Sourcing and disposal dev
Slide 13: APL: Strategically located, diversified operating fleet
APL: Strategically located, diversified operating fleet 100% 100% 100% Raipur Raigarh Udupi Tiroda Mahan Kawai Mundra Godda Mahan (Chhattis- (Chhattis- (Karnataka) (Maharashtra) Ph-I (MP) (Rajasthan) (Gujarat) (Jharkhand) Ph-II (MP) garh) garh) Hinterland Category Coastal, Utility Near-Pithead Plant
Slide 14: APL: Excellent revenue visibility and fuel security
APL: Excellent revenue visibility and fuel security Capacity tie-up (%) Fuel cost recovery mix (%) Regulated Utility 6% Fuel cost pass 19% through TBCB-State DISCOMs 26% 33% 9% TBCB-Private Escalable energy charge with 6% change-in-law 60% Transnational (Sovereign) Others 41% Merchant Fuel Mix (%) D
Slide 15: APL: Fuel management & logistics – Key competitive advantage
APL: Fuel management & logistics – Key competitive advantage Fuel management is key to revenue stability Plant and Mine Locations Only IPP in India with in-house, mine-to-plant logistics capability Handling approx. 60 MMTPA coal, 13 MMTPA Fly Ash Kawai Constant attention to multiple agencies and tou
Slide 16: APL: Technology usage for reliability – ENOC
APL: Technology usage for reliability – ENOC ENOC (Energy Network Operating Centre) − Remote monitoring, diagnosis, and troubleshooting Centralized Management − Centralized power scheduling for optimum capacity utilisation Real Time Data Availability − Real time data access, enabling smooth and agil
Slide 17: APL Quarterly Performance Highlights
03 APL Quarterly Performance Highlights STRICTLY CONFIDENTIAL
Slide 18: Growing power demand supporting higher volumes
Growing power demand supporting higher volumes Commercial Availability^ PLF Generation (BU) Sales (BU) 87% 89% 89% 82% 38.6 35.6 58% 59% 29.3 49% 27.3 39% 19.6 18.1 11.8 11.0 Q2 FY23 Q2 FY24 H1 FY23 H1 FY24 Q2 FY23 Q2 FY24 H1 FY23 H1 FY24 Power demand in key States (BU)* 92.1 101.9 69.9 77.9 H1 FY23
Slide 19: Secure revenue stream with upside from open capacities
Secure revenue stream with upside from open capacities Sales Mix and Volume Q2 FY23 Q2 FY24 H1 FY23 H1 FY24 10,996 MU 18,137 MU 27,329 MU 35,626 MU 14% 17% 17% 18% +65% +30% 86% 83% 83% 82% PPA Merchant/Short term PPA Merchant/Short term PPA Merchant/Short term PPA Merchant/Short term 13,650 MW 15,2
Slide 20: Fuel sourcing and logistics prowess ensures continuous availability
Fuel sourcing and logistics prowess ensures continuous availability Fuel Mix and Volume Q2 FY23 (MT) Q2 FY24 (MT) H1 FY23 (MT) H1 FY24 (MT) 7.78 MT 11.88 MT 18.92 MT 23.63 MT 22% 24% 39% 33% +53% +25% 61% 78% 67% 76% Domestic Imported Domestic Imported Domestic Imported Domestic Imported Fuel cost p
Slide 21: All-round improvement reflected in sustained strong profitability
All-round improvement reflected in sustained strong profitability Snapshot of Profit & Loss Account INR Crores Summary Income Statement Q2 FY24 Q2 FY23 +/- H1 FY24 H1 FY23 +/- Effective Capacity (MW) 15,250 13,650 14,861 13,650 Continuing Operating Revenue 11,866 7,196 65% 23,236 18,358 27% Continui
Slide 22: Revenue Bridge
Revenue Bridge INR Crores Growth in Revenues Q2 FY23 to Q2 FY24 (Rs. in Crore) 2,781 2,034 2,587 14,936 12,155 7,534 Q2 FY23 Recurring Revenue Higher volumes and tariffs Inclusion of Godda power Q2 FY24 Recurring Revenue Prior period items (Q2 FY24) Q2 FY24 Reported Revenue plant Growth in Revenues
Slide 23: EBITDA Bridge
EBITDA Bridge INR Crores Growth in EBITDA Q2 FY23 to Q2 FY24 2,781 7,116 4,621 1,501 223 4,336 1,438 Q2 FY23 Recurring Increase in recurring Increase in fuel cost Increase in other Q2 FY24 Recurring Prior period items (Q2 Q2 FY24 Reported EBITDA revenue operating expenses EBITDA FY24) EBITDA Growth
Slide 24: Healthy balance sheet with low leverage
Healthy balance sheet with low leverage INR Crores Particulars As on 30th Sep 2023 As on 31st Mar 2023 Equity & Reserves (incl. Unsecured Perpetual Securities) 40,509 29,876 Long Term Borrowings incl. Current Maturities 27,662 36,580 Other Non-current Liabilities 6,681 4,498 Short Term Borrowings 4,
Slide 25: Highly liquid operations and prudent deployment of surplus
Highly liquid operations and prudent deployment of surplus INR Crores Particulars H1 FY24 H1 FY23 Profit before tax 14,023 6,565 Add: Depreciation and Amortisation Expense 1,939 1,649 Add: Finance Costs 1,772 1,642 Less: Interest income (8,653) (2,773) Less: Other miscellaneous items (325) 58 Operat
Slide 26: Debt profile
04 Debt profile STRICTLY CONFIDENTIAL
Slide 27: Consolidated Debt Profile
Consolidated Debt Profile INR Crores Particulars As on 30th Sep, 2023 As on 31st Mar, 2023 Senior Secured Loans (Rupee Term Loans + ECB) Existing entities 27,433 21,494 Under-construction project 8,228 Total Senior Secured Loans 27,433 29,722 Working Capital Loans 4,552 5,672 ICD and other unsecured
Slide 28: Deleveraging of balance sheet and stronger net worth
Deleveraging of balance sheet and stronger net worth Senior Debt / Equity Ratio (times) ▪ Significant reduction in senior 6.51 debt through prepayment as well 4.67 as regular repayments despite acquisitions and addition of 3.24 project debt for the Godda plant. 2.21 1.18 ▪ Improvement in operating p
Slide 29: ESG Practice at APL
05 ESG Practice at APL STRICTLY CONFIDENTIAL
Slide 30: Adani: Robust ESG assurance framework
Adani: Robust ESG assurance framework Guiding Principles United Nations Global Sustainable GRI Standards Guiding Compact Development Goals Policies Principles Policy Structure Focus Area - UNSDG Environment Policy Covered in • Climate Action E Business Responsibility (BR) • No Poverty ESG Policy • Z
Slide 31: APL: Track record and emission reduction plan
APL: Track record and emission reduction plan In its endeavor for climate readiness, APL is aligning its business model with latest technologies in climate efficient manner Climate Awareness Climate Readiness Statutory limit (3.5) 2.55 2.37 Sp. Water 2.07 2.14 2.19 2.22 2.31 Consumption (m3 / MWh) F
Slide 32: APL: Adopted UN Sustainable Development Goals
APL: Adopted UN Sustainable Development Goals Our Key Social Initiatives mapped to UNSDG United Nations Sustainable Development Goals 2030 • Mobile Heath Care unit: 204,282+ treatments provided through 8 MHUs • Health insurance benefits for ~ 9,502 people Health by issuing health cards Multiple Loca
Slide 33: APL: ESG rating and performance highlights
APL: ESG rating and performance highlights ESG Rating Highlights ✓ B Score For fulfilling climate change and water security commitments from CDP (Carbon Disclosure Project) for 2022. ✓ Score of 54/100 in Corporate Sustainability Assessment (CSA) by S&P Global, which is better than world electric uti
Slide 34: Conclusion
06 Conclusion STRICTLY CONFIDENTIAL
Slide 35: APL: Key Takeaways
APL: Key Takeaways ▪ 81% of capacity contracted under LT / MT PPAs, most of which offer fuel cost pass through or tariff Revenue escalation, yielding excellent revenue visibility and cash flow stability. Visibility ▪ Near-pithead capacity enjoys logistics cost advantage, enabling higher offtake and
Slide 36: Thank You
adani Power THANK YOU