Jsw Energy Limited · NSE:JSWENERGY
Jsw Energy — Q2 FY22 Earnings Presentation
63 slides from Jsw Energy's earnings presentation, Oct 29, 2021
Slide 1: Cover letter to stock exchanges
Energy Limited Regd. Office : JSW Centre Bandra Kurla Complex Bandra (East), Mumbai - 400 051 CIN: L74999MH1994PLC077041 Phone: 022 – 4286 1000 Fax: 022 – 4286 3000 Website: www.jsw.in SEC / JSWEL 29th October, 2021 BSE Limited National Stock Exchange of India Limited Phiroze Jeejeebhoy Towers “Exch
Slide 2: Independent auditor's review report - standalone
INDEPENDENT AUDITOR’S REVIEW REPORT ON REVIEW OF INTERIM STANDALONE FINANCIAL RESULTS TO THE BOARD OF DIRECTORS OF JSW ENERGY LIMITED 1. We have reviewed the accompanying Statement of Standalone Unaudited Financial Results of JSW ENERGY LIMITED (“the Company”), for the quarter and six months ended S
Slide 3: Standalone unaudited financial results
JEW ENERGY LIMITED Registered Office : JSW Centre, Bandra Kurla Complex, Bandra (East), Mumbai-400051 CIN : L74999MH1994PLC077041 Statement of Standalone Unaudited Financial Results for the Quarter and Six Months Ended September 30, 2021 % Crore Quarter Ended Six Months Ended Year Ended Fe Particula
Slide 4: Standalone Statement of Assets and Liabilities
Standalone Statement of Assets and Liabilities & Crore As at Particulars 30.09.2021 | 31.03.2021 Unaudited Audited A. ASSETS M. Non-current assets: (a) Property. plant and equipment 4,020.70 4,178.90 (b) Capital work-in-progress 63.32 33.85 (c) Other Intangible assets 1.19 1,22 (d) Investments in su
Slide 5: Standalone Statement of Cash Flows
Standalone Statement of Cash Flows = Crore For the Six Months Ended Particulars 30.09.2021 30.09.2020 Unaudited Unaudited CASH FLOW FROM OPERATING ACTIVITIES Profit before tax 338.62 110,49 Adjusted for: Depreciation and amortisation expense 170.74 180.68 Interest income eamed on financial assets th
Slide 6: Additional information pursuant to Regulation 52(4)
Additional information pursuant to Regulation 52(4) of Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015, as amended: s As at/ Asat/ As at/ a Particulars Quarter Ended Six Months Ended Year Ended _ 30.09.2021 | 30.06.2021 | 30.09.2020 | 30.09.
Slide 7: Notes to standalone results
Notes : 1 Place : Mumbai Date : October 29, 2021 The Company has considered the possible effects that may result from the pandemic relating to COVID-19 {including it's subsequent wave(s)} in th preparation of the results. The Company's substantial generation capacities are tied up under medium to lo
Slide 8: Independent auditor's review report - consolidated
INDEPENDENT AUDITOR’S REVIEW REPORT ON REVIEW OF INTERIM CONSOLIDATED FINANCIAL RESULTS TO THE BOARD OF DIRECTORS OF JSW ENERGY LIMITED 1. We have reviewed the accompanying Statement of Consolidated Unaudited Financial Results of JSW ENERGY LIMITED (“the Parent”) and its subsidiaries (the Parent and
Slide 9: List of subsidiaries, joint venture and associate
(f) JSW Energy (Barmer) Limited (formerly known as Raj WestPower Limited) (g) JSW Electric Vehicles Private Limited (h) JSW Future Energy Limited (formerly known as JSW Solar Limited) (i) JSW Renewable Energy (Vijayanagar) Limited (j) JSW Renew Energy Limited (k) JSW Renewable Energy (Dolvi) Limited
Slide 10: Auditor report continued
7. The unaudited consolidated financial results includes the interim financial information of 8 subsidiaries which have not been reviewed by their auditors, whose interim financial information reflects total assets of Rs. 145.99 Crore as at September 30, 2021 and total revenue of Rs. 19.66 Crore and
Slide 11: Consolidated unaudited financial results
JS ENERGY LIMITED Registered Office : JSW Centre, Bandra Kurla Complex, Bandra (East), Mumbai 400051 CIN: L74999MH1994PLC077041 Statement of Consolidated Unaudited Financial Results for the Quarter and Six Months Ended September 30, 2021 ® crore Quarter Ended Six Months Ended Year Ended & Particular
Slide 12: Consolidated Statement of Assets and Liabilities
Consolidated Statement of Assets and Llabillties (@ crore) Sr. As at No. Particulars: 30.09.2021 | 31.03.2021 Unaudited Audited ASSETS 1 |Non-current assets: (a) Property, plant and equipment 13,728.88 14,166.26 (b) Capital work-in-progress 772.83 472.77 (c) Goodwill 639.82 639.82 (d) Other intangib
Slide 13: Consolidated Statement of Cash Flows
Consolidated Statement of Cash Flows (@ crore ) Sr. [Particulars For the six months ended | For the six months ended No. 30.09.2021 30,09,2020 Unaudited Unaudited |, |CASH FLOW FROM OPERATING ACTIVITIES Profit before tax and deferred tax adjustable in future tariff 861.80 790,97 Adjusted for: Deprec
Slide 14: Notes to consolidated results
Notes: 1 The Group has considered the possible effects that may result from the pandemic relating to COVID-19 (including it's subsequent wave) in the preparation of the] results. The Group’s substantial generation and transmission capacities are tied up under medium to long term power purchase / job
Slide 15: Press Release: Q2 FY22 financial results
—_ JW energy Press Release October 29, 2021 Financial Results for the Quarter ended September 30, 2021 Mumbai, India: JSW Energy Limited (“JSW Energy” or the “Company”) today reported its results for the second quarter (“Q2 FY22” or the “Quarter”) ended September 30, 2021. Key Highlights of Q2 FY22
Slide 16: Update on Growth Strategy
Update on Growth Strategy: e Renewable-led growth to reach 10 GW capacity by FY25 and 20 GW by FY30 e 2.5 GW under-construction in full-swing: - 810 MW - SECI IX: LT PPA signed with SECI - 450 MW -SECI X: LT PPA signed with SECI - 958 MW Group Captive with JSW Steel: LT PPA signed; 225 MW solar plan
Slide 17: Consolidated Operational Performance
Long Term sales? during the quarter marginally increased YoY at 6,201 million units (versus 6,194 million units YoY) primarily due to higher sales at Ratnagiri and Vijayanagar plants, offset by lower sales at Barmer and Hydro. Short term sales during the quarter stood higher by 116% YoY at 236 milli
Slide 18: Consolidated Financial Performance commentary
The fuel cost for the quarter increased by 3% YoY to 869 Crore, primarily attributable to increase in generation and higher fuel prices at the standalone entity. EBITDA for the quarter was higher by 10% YoY at $1,080 Crore vis-a-vis 7985 Crore in the corresponding period of previous year. Finance co
Slide 19: Renewable-driven growth and under-construction projects
being driven by renewables. 2.5 GW of greenfield renewable energy capacity is currently under construction in full swing: e SECI IX - 810 MW: PPA signed for entire capacity with SECI e@ SECI X - 450 MW Wind Project: PPA signed for entire capacity with SECI e 958 MW Solar and Wind Group Captive with
Slide 20: Business Environment
Business Environment’: India’s power demand increased by 9.9% YoY in Q2 FY22, due to an uptick in economic activity and a low base effect. Demand growth was positive across all regions in the country on a YoY basis. Further, all-India peak power demand touched a record high of ~201 GW on July 7 2021
Slide 21: Coal shortage and outlook
power plants had fallen to less than 5 days of supply amid high power demand and seasonally low coal production and supply constraints. To ease the domestic coal shortage, the Govt. has taken mitigation measures, that include’: allowing un-requisitioned generation capacity under PPA to sell power in
Slide 22: Medium-term power sector outlook
e Broad-based reforms by the government focusing on_ infrastructure development, asset monetization, taxation, telecom sector and banking sector is expected to boost investor confidence. However, new and more virulent Covid strains, inflationary pressures, global supply bottlenecks and global financ
Slide 23: About JSW Energy
ABOUT JSW ENERGY: JSW Energy Ltd is one of the leading Private sector power producers in India and part of the USD 13 billion JSW Group which has significant presence in sectors such as steel, energy, infrastructure, cement, sports among others. JSW Energy Ltd has established its presence across the
Slide 24: Q2 FY22 Results Presentation
Q2 FY22 Results Presentation October 29 2021
Slide 25: Forward Looking and Cautionary Statement
Forward Looking and Cautionary Statement This presentation has been prepared by JSW Energy Limited (the “Company”) based upon information available in the public domain solely for information purposes without regard to any specific objectives, financial situations or informational needs of any parti
Slide 26: Key Highlights for Q2 FY22 (1/2)
Key Highlights for Q2 FY22 (1/2) • Overall Net Generation: increased by 2% YoY • Total Thermal Generation: higher by 4% YoY Operational • Commenced operations from 45 MW uprated capacity at Karcham Wangtoo HEP in July’21. Operational capacity of the plant increased from 1,000 MW to 1,045 MW • EBITDA
Slide 27: Key Highlights for Q2 FY22 (2/2)
Key Highlights for Q2 FY22 (2/2) • Renewable-led growth to reach 10 GW capacity by FY25 and 20 GW by FY30 • 2.5 GW under-construction in full-swing: o 810 MW - SECI IX: LT PPA signed with SECI Update on o 450 MW - SECI X: LT PPA signed with SECI Growth Strategy o 958 MW Group Captive with JSW Steel:
Slide 28: Agenda
Agenda Sustainability Update on Growth Projects Operational & Financial Performance Growth Strategy Business Environment Appendix JSW Energy Q2 FY22 Results Presentation 5
Slide 29: Agenda
Agenda Sustainability Update on Growth Projects Operational & Financial Performance Growth Strategy Business Environment Appendix JSW Energy Q2 FY22 Results Presentation 6
Slide 30: Sustainability: Framework and Priorities
Sustainability: Framework and Priorities 17 Focus Areas with 2030 Targets from 2020 as Base Year Governance & Oversight by Sustainability Committee Climate Change: Biodiversity: No Net Loss for Biodiversity Committed to being carbon neutral by 2050 Mr. Sunil Goyal 2 Independent Reduce our carbon emi
Slide 31: Sustainability: Targets and Strategy
Sustainability: Targets and Strategy SD Targets FY20 Actuals FY30 Targets Improvement Strategic Approach • Increased share of renewable energy for deep decarbonization Climate • GHG Emissions 0.76 0.304 • Process efficiency improvements Change 60% tCO2e/ MWh • Replacement of condenser tubes with gra
Slide 32: ESG Performance amongst the best in the sector
ESG Performance amongst the best in the sector Board & Governance Air Emissions Water & Waste Management % Board Independent CO2 Intensity (t CO2e/MWh) Specific Fresh Water Consumption (m3/MWh) 67 0.84 56 50 50 50 0.68 0.69 3.3 44 40 2.9 0.36 1.21 JSW Peer 2 Peer 1 Peer 4 Peer 5 Peer 6 Peer 3 Peer 2
Slide 33: Empowering Our Communities
Empowering Our Communities Empowering communities with sustainable livelihoods Regular water supply through water pipelines & hand Scaling Community Orchards, Integrated & Progressive Working with 500+ women across 16+ Gram Panchayats for pumps in Barmer, Rajasthan Farming, Vegetable Production, Dai
Slide 34: Continuing our Health & Safety Excellence Journey
Continuing our Health & Safety Excellence Journey Figures are for Q2 FY21 Zero Severe/Major Injuries 70% of all contractors covered by JSW CARES assessment 40,000+ Cumulative Safety Observations INFLUENCING POSITIVE SAFETY BEHAVIOR OF OUR WORKFORCE Fire Safety refresher training completed at all loc
Slide 35: Agenda
Agenda Sustainability Update on Growth Projects Operational & Financial Performance Growth Strategy Business Environment Appendix JSW Energy Q2 FY22 Results Presentation 12
Slide 36: JSW Energy: Growth Roadmap to 20 GW
JSW Energy: Growth Roadmap to 20 GW Renewables-led growth to 20 GW by 2030 In GW 20 Thermal New Growth Platforms Renewable - • Green Hydrogen Hydro • Hydro Pumped Storage Renewable - Wind 15.5 • Battery Energy Storage & Solar 10 5.5 4.6 1.4 1.6 1.6 3.2 3.2 3.2 FY21 FY25e FY30e Thermal 16% Renewable
Slide 37: Renewable Energy Projects
Renewable Energy Projects 2.5 GW Under-construction Projects SECI: Wind Projects Tamil Nadu: 1,260 MW Blended tariff `3.08/unit (excl. hydro) SECI IX (810 MW) + SECI X (450 MW) •Total : ~`16,660 Crore Signed 25-year PPA with SECI Capex •Spent: ~`1,250 Crore Commissioning: progressively from Q1
Slide 38: 225 MW Solar Plant Under-construction in Karnataka
225 MW Solar Plant Under-construction in Karnataka Group Captive: 225 MW Solar Power Plant Under-construction in Karnataka Targeted Commissioning from Q4 FY22 JSW Energy Q2 FY22 Results Presentation 15
Slide 39: 1.26 GW Wind SECI IX & X Under-construction in Tamil Nadu
1.26 GW Wind SECI IX & X Under-construction in Tamil Nadu Construction commenced for dedicated transmission lines and sub-station Targeted Commissioning from Q1 FY23 JSW Energy Q2 FY22 Results Presentation 16
Slide 40: 240 MW Kutehr HEP Under-construction in Himachal Pradesh
240 MW Kutehr HEP Under-construction in Himachal Pradesh Completed 10 km tunneling, achieving half the distance ahead of timelines Targeted Commissioning by Sept 2024 JSW Energy Q2 FY22 Results Presentation 17
Slide 41: Agenda
Agenda Sustainability Update on Growth Projects Operational & Financial Performance Growth Strategy Business Environment Appendix JSW Energy Q2 FY22 Results Presentation 18
Slide 42: Operational Performance – Q2 FY22
Operational Performance – Q2 FY22 Net Generation (MU) Hydro: PAF and PLF -1% • High Hydro PAF maintained YoY 110% 110% Q2 FY21 Renewable 2,915 2,898 102% 99% 1391 MW Hydro* Short Term Q2 FY22 • Renewable Net Generation lower by 1% YoY 9 MW Solar 2,915 2,851 Long Term o Lower water flow at hydro plan
Slide 43: Operational Performance – H1 FY22
Operational Performance – H1 FY22 Net Generation (MU) Hydro: PAF and PLF 4,550 - 6% H1 FY21 • Hydro PAF higher YoY 4,296 106% 110% Renewable 80% 75% 1391 MW Hydro* Short Term H1 FY22 • Renewable Net Generation lower by 6% YoY 9 MW Solar 4,550 4,249 Long Term o Lower water flow at hydro plants H1 FY2
Slide 44: Consolidated Financial Performance
Consolidated Financial Performance Total Revenue1 (` Crore) EBITDA (` Crore) and EBITDA Margins 5% 5% 4,097 1,910 3,886 1,812 12% 10% 2,237 FY21 985 1,080 FY21 • Q2 Total Revenue and EBITDA 2,000 FY22 FY22 increase mainly attributable to higher 47% 47% contribution from short term sales and higher o
Slide 45: EBITDA Bridge
EBITDA Bridge Particulars in ` Crore Q2 H1 Steady EBITDA generation JSW Energy Q2 FY22 Results Presentation 22
Slide 46: Robust Balance Sheet
Robust Balance Sheet Figures in ` Crore As on Sep 30, 2021 • Amongst the strongest balance sheets in the sector - Well positioned to pursue growth opportunities Networth 15,789 • Strong Liquidity with healthy cash balances1: `1,777 Crore Net Debt 6,509 Net Debt/EBITDA 2.01 • Financial flexibility en
Slide 47: Net Debt Movement
Net Debt Movement Particulars in ` Crore Large balance sheet headroom available to embark on growth projects JSW Energy Q2 FY22 Results Presentation * Includes unencumbered bank balances, FDs, and liquid mutual funds 24
Slide 48: Balance Sheet
Balance Sheet Net Debt (` Crore) Net Worth (` Crore) 8,493 7,671 15,939 15,789 13,900 14,507 6,719 6,565 6,509 13,037 6,206 12,202 Jun-20 Sep-20 Dec-20 Mar-21 Jun-21 Sep-21 Jun-20 Sep-20 Dec-20 Mar-21 Jun-21 Sep-21 Leverage Ratios Wt. Average Cost of Debt Net Debt/Equity Net Debt/TTM EBITDA 8.44% 2.
Slide 49: Trade Receivables
Trade Receivables • Receivables decline 19% YoY in Q2 FY22 • Q2 FY21 was impacted by Covid related delays Consolidated Trade Receivables* (` Crore ) from customers • All plants placed favourably in States’ Merit Order 4000 Dispatch 3500 o Further, Hydro plants under ‘Must-run status’ with 3000 no sc
Slide 50: Agenda
Agenda Sustainability Update on Growth Projects Operational & Financial Performance Growth Strategy Business Environment Appendix JSW Energy Q2 FY22 Results Presentation 27
Slide 51: Indian Economy
Indian Economy Real GDP Growth 30.00% • RBI’s MPC kept repo rate unchanged at 4.0%, with an 20.1% accommodative stance in its Oct’21 meeting 15.00% 5.4% 4.6% 3.3% 3.0% 0.5% 1.6% • Real GDP growth at 20.1% in Q1 FY22 ; FY22 growth 0.00% projection retained at 9.5% -7.4% -15.00% • Signs of economic re
Slide 52: Power Demand
Power Demand • Power demand in H1 FY22 saw a strong increase of 13.0% YoY Power Demand Growth YoY +38.2% • A strong pickup in economic activity coupled with +40.0% a low base effect. +30.0% +22.0% • In H1 FY21 demand had declined by 8.7% YoY +17.4% when Covid-19 led restrictions/lockdowns were +20.0
Slide 53: Power Generation
Power Generation Power Generation Growth YoY Segment-wise Share in Generation Total +38.5% Generation 1,376 1,389 1,382 678 764 +40.0% (BU) 3.1% 3.8% 3.7% 4.3% 3.6% +30.0% +22.5% 9.2% 10.0% 10.6% 12.1% 11.6% +20.0% +16.0% 9.8% +11.1% +11.2% +5.5% 11.2% 10.9% 12.2% +7.5% +8.2% 14.3% +10.0% +3.5% +5.1
Slide 54: Installed Capacity (1/2)
Installed Capacity (1/2) Sector-wise Installed Capacity Segment-wise Installed Capacity 101.5 GW Central, State, 103.7 GW +4,577 MW* RE, 97.6 GW 26.7% 26.1% 25.1% -163 MW* +800 MW* 388.8 GW 388.8 GW 46.5 GW Thermal 234.0 GW Hydro, +190 MW* , 60.2% -670 MW* 12.0% Private, 48.2% Nuclear, 1.8% 6.8 GW 1
Slide 55: Installed Capacity (2/2)
Installed Capacity (2/2) Overall Segment-wise Net Capacity Addition (GW) RE Segment-wise Net Capacity Addition (GW) 14.0 12.1 0.3 9.4 12.0 8.6 0.1 0.5 0.9 0.5 7.4 7.1 1.6 2.1 0.4 9.4 6.7 0.3 7.4 1.6 0.6 8.6 0.3 2.9 7.1 4.3 4.1 6.5 6.4 2.2 6.2 5.5 3.4 2.2 0.7 0.1 (0.7) 0.5 FY19 FY20 FY21 H1 FY21 H1 F
Slide 56: Merchant Market Snapshot
Merchant Market Snapshot Monthly Average Merchant Tariff (Rs/unit) 11.00 • Monthly Merchant Prices averaged at Rs 8.7/unit in 10.00 October’211 – Highest in the last decade 9.00 8.00 • Primarily driven by high demand, constraints in domestic 7.00 coal supply and rise in imported coal prices globally
Slide 57: Agenda
Agenda Sustainability Update on Growth Projects Operational & Financial Performance Growth Strategy Business Environment Appendix JSW Energy Q2 FY22 Results Presentation 34
Slide 58: Operational Performance – Net Generation
Operational Performance – Net Generation Net Generation Location Capacity Q2 FY22 Q2 FY21 Change H1 FY22 H2 FY21 Change YoY YoY % MUs MUs % MUs MUs % LT 92% 1,465 1,387 +6% 2,847 2,689 +6% Ratnagiri (1,200 MW) Total 100% 1,514 1,434 +6% 2,924 2,819 +4% Barmer (1,080 MW) LT 100% 1,696 1,719 (1%) 3,26
Slide 59: Operational Performance – PLF
Operational Performance – PLF PLF (*Deemed PLF) Location Capacity Q2 FY22 Q2 FY21 H1 FY22 H2 FY21 Remarks – Q2 FY22 LT 92% Impact of maintenance activities 66 (*88) 75 (*91) 66 (*87) 73 (*91) Ratnagiri (1,200 MW) partly offset by higher PPA tie-up Total 100% 62 (*83) 59 (*71) 61 (*79) 58 (*72) Barme
Slide 60: Consolidated Financial Results
Consolidated Financial Results H1 FY22 H1 FY21 Particulars in ` Crore Q2 FY22 Q2 FY21 4,097 3,886 Total Revenue1 2,237 2,000 1,910 1,812 EBITDA 1,080 985 47% 47% EBITDA Margin(%) 48% 49% 481 448 Finance Cost 191 207 342 448 Interest Cost 167 207 139 - Exceptional2 24 - 573 581 Depreciation 284 292 8
Slide 61: Entity-wise Financial Results
Entity-wise Financial Results Entity-wise Revenue from Operations H1 FY22 H1 FY21 Particulars in ` Crore Q2 FY22 Q2 FY21 1,560 1,476 Standalone1 802 672 1,302 1,358 JSW Energy (Barmer) 665 709 805 873 JSW Hydro Energy 514 539 36 35 JPTL 18 18 3,815 3,744 Consolidated* 2,087 1,939 Entity-wise EBITDA
Slide 62: Q2 FY22 Performance – JSW Hydro Energy Ltd
Q2 FY22 Performance – JSW Hydro Energy Ltd Generation (MU) Key Highlights : 2,935 2,913 2,918 2,895 Gross Generation Healthy Operational and Financial Performance Net Generation Receivable Days decline to 128 days at end of Sep’21 from Q2 FY21 Q2 FY22 164 at the end of Sep’20 • Q2 FY21 receivabl
Slide 63: Investor Relations Contact
JSW Relations Investor Steel Limited Contact: ir.jswenergy@jsw.in Investor presentation August, 2020