Gmr Airports Ltd · NSE:GMRAIRPORT
Gmr Airports — GMR Infrastructure — Q1 FY2021 Earnings Presentation
48 slides from Gmr Airports's earnings presentation, Aug 28, 2020
Slide 1: Cover letter to stock exchanges
GMR Infrastructure Limited Corporate Office: New Udaan Bhawan, Opp. Terminal-3 Indira Gandhi International Airport New Delhi-110037 CIN: L45203MH1996PLC281138 T +91 11 42532600 F +91 11 47197181 W www.gmrgroup in E Gii.Cosecy@gmrgroup.in August 28, 2020 BSE Limited National Stock Exchange of India P
Slide 2: Investor Presentation Q1FY21
Investor Presentation Q1FY21 0
Slide 3: Disclaimer
DISCLAIMER All statements, graphics, data, tables, charts, logos, names, figures and all other statements relating to future results of operation, financial condition, business information (“Contents”) contained in this document (“Material”) is prepared by GMR prospects, plans and objectives, are ba
Slide 4: Table of Contents
Table of Contents Particulars Pg. No. Managing Covid 19 Impact 3–7 Strategy Update 8 – 13 GIL Financial Performance 14 – 17 Airport Business 18 – 25 Energy Business 26 – 29 Transportation and Urban Infrastructure Business 31 – 33 Annexures 35 – 46 2
Slide 5: Managing COVID-19 Impact
Managing COVID-19 Impact Humility | Entrepreneurship | Teamwork a7/i Relationships | Deliver the fe | Learning And Inner Excellence | Social Respofsibility | Reset for individuel
Slide 6: Effectively Managing COVID Impact on Airport Operations
Effectively Managing COVID Impact on Airport Operations Aligning Business Position Response Amidst Unprecedented Pandemic • Cash conservation through rescheduling of our Capex Vande Bharat ◼ Repatriation initiative by the Ministry of plan Mission Civil Aviation • Consolidation of infrastructures to
Slide 7: Technological Development to Aid Air Traffic
Technological Development to Aid Air Traffic ⚫ Fleet Air is constantly changed with fresh air from outside (e.g. Boeing 777). The air comes through the engine. Clean/ ⚫ Fresh air is mixed with the air inside the plane and is pumped back with right temperature Renewed into the cabin. The old air is r
Slide 8: Resilient Operations Supported by Regulatory Impetus for Energy and Highway Business
Resilient Operations Supported by Regulatory Impetus for Energy and Highway Business ✓ Business has ensured continuity of power supply during the period of lockdown ✓ Asset utilization on the rise due to revival of industrial demand post lockdown Energy ✓ Ministry of Coal has accepted Usance Letter
Slide 9: Green Shoots of Recovery Visible
Green Shoots of Recovery Visible Energy Business - PLFs recovered Airport Business witnessing recovery of traffic post opening on May 25 th substantially in recent months Delhi Airport1,2,3 1st Week 13th Week Apr-20 Aug-20 25-31 May 17-23 Aug 89% 83% 71% 49% 52% 47% 47% 37% 26% 29% 19% 17% 15% 15% 3
Slide 10: Strategy Update
Strategy Update Humility | Entrepreneurship | Teamwork afi Relationships | Deliver the fe | Learning And Inner Excellence | Social Respofsibility | Reset for individuel
Slide 11: Asset Light and Asset Right Strategy Path to Significant Value Creation
Continuous Focus on Asset Light and Asset Right Strategy 1 Path to Significant Value Creation through Deleveraging 2 Vertical Demerger to create further value for shareholders 3 Divestment of Non-Core Businesses 9
Slide 12: Significant Value Creation through Deleveraging
Significant Value Creation through Deleveraging Strategic Partnership with Groupe ADP Transaction • Minority stake sale of 49% in GMR Airports Ltd (GAL) Investment Amount • Base Value : INR 200 bn • INR 98.13 bn received • Earnouts INR 10.6 bn - Valuation INR 220 bn ✓ Tranche I: INR 52.5 bn received
Slide 13: Strategic Group Restructuring to Unlock Value (1/2)
Strategic Group Restructuring to Unlock Value1 (1/2) Current Structure Resultant Structure Promoter & Promoter Promoter & Promoter Group Public Public Group 65.52% 34.48% GIL 65.52% 34.48% Airport, Energy, EPC, Urban Infra Businesses GPUIL GIL 100% 100%2 Energy, EPC and Urban Airport Business GPIL I
Slide 14: Strategic Group Restructuring to Unlock Value (2/2)
Strategic Group Restructuring to Unlock Value1 (2/2) Rationale for Demerger Schemes of Arrangement ◼ Value unlocking of Airport & Non-Airport ◼ Demerger of the Non-Airport Business of GIL businesses into GPUIL as a going concern ◼ Mirror shareholding of GIL in GPUIL with all ◼ Simplification of the
Slide 15: Plans to Divest Large Part of Non-core Assets
Plans to Divest Large Part of Non-core Assets ⚫ Cash flow from thermal assets sufficient to service debt Power ⚫ Strong prospects for divestment of thermal assets given improved performance Business ⚫ Monetisation of Barge Plant – SPA1 signed, partial consideration received Port & ⚫ Land at strategi
Slide 16: Performance Highlights – Q1FY21
Performance Highlights – Q1FY21
Slide 17: GIL Performance Highlights – Q1FY21
GIL Performance Highlights – Q1FY21 Consolidated Financial • Net Revenues ▼36% YoY due to unprecedented Covid pandemic o Airport business revenues ▼67% YoY • EBITDA loss of INR 189 mn in Q1FY21 vs gain of INR 6 bn in Q1FY20 on lower revenue • Net Loss after tax ~INR 8.3 bn in Q1FY21 vs INR 3.3 bn in
Slide 18: GIL Consolidated – Quarterly Trends
GIL Consolidated – Quarterly Trends INR bn Airport Energy Highways Others 18.1 16.7 18% 14% 13% 17% 15.0 15.3 26% 6% Net Revenue 7% 7% 8% 11% 12% 8% 17% 7% 9.6 31% 67% 68% 68% 59% 35% Q1FY20 Q2FY20 Q3FY20 Q4FY20 Q1FY21 Q1FY20 Q2FY20 Q3FY20 Q4FY20 Q1FY21 INR bn 7.7 7.3 6.4 6.5 6.7 6.0 5.7 EBITDA 4.7
Slide 19: GIL Consolidated Debt
GIL Consolidated Debt Gross & Net Debt (INR bn) ^ Net Debt (Sector-wise) ^ 321 58 Energy 263 10% Airport 53% Highways 10% Others Corporate 1% (Inc. debt for PE Exit) Gross Debt Cash & equivalents Net Debt 26% ▪ Gross debt is flat vs March 2020 ▪ Utilization of cash primarily for expansion led to inc
Slide 20: Airport Business
Airport Business Humility | Entrepreneurship | Teamwork afi Relationships e fe | Learning And Inner Excellence | Social Respofsibility | Reset for individuel
Slide 21: Key Developments in Q1FY21 - Airport Business
Key Developments in Q1FY21 - Airport Business Delhi Airport (DIAL) • Revenue growth (▼61% YoY) o Aero revenue (▼78% YoY) and Non-aero revenue (▼57% YoY) o CPD Rentals (▼60% YoY) on non-recognition of revenue from new contracts with Bharti Realty • Aero revenue impacted by o Decline in traffic due to
Slide 22: Key Developments in Q1FY21 - Airport Business (Cebu, Goa)
Key Developments in Q1FY21 - Airport Business Cebu Airport • Revenue ▼11% YoY and EBITDA ▼23% YoY in constant currency terms o Pax growth ▼20% YoY; Air traffic movement ▼12% YoY o Passenger service fees ▲10% w.e.f Nov’19 o Operating expenses ▲13% YoY due to airlines collection charges on internation
Slide 23: Envisaged Clear Growth Plans in Airport Business
Envisaged Clear Growth Plans in Airport Business Signed concession agreement for development & operation of Bhogapuram Airport • Project involves design, build, finance, construction, development, O&M of Greenfield International Airport • Concession period of 40 years, extendable by additional 20 ye
Slide 24: Airports Business (Q1FY21) - Operational & Financial Highlights
Airports Business (Q1FY21) - Operational & Financial Highlights (figures in INR mn) Airport Business Delhi Airport Hyderabad Airport Particulars (Consolidated) (Standalone) (Standalone) Q1FY2020 Q1FY2021 Q1FY2020 Q1FY2021 Q1FY2020 Q1FY2021 Gross Revenues 14,597 4,944 9,278 3,482 3,813 443 Net Revenu
Slide 25: Delhi Airport - Non-Aero Revenues (Q1FY21)
Delhi Airport - Non-Aero Revenues (Q1FY21) Delhi Airport Non-Aero Revenue Break-up INR 2.4 bn • Non-aero revenues ▼57% to INR 2.4bn • Retail revenues ▼97% YoY to INR 51mn Ca rgo 25% o Duty Free SPP down to INR 334 in Q1FY21 from INR 835 in Advt. 1% Q1FY20 F&B 2% • Cargo revenues ▼8% YoY to INR 608mn
Slide 26: Cebu Airport - Operational & Financial Highlights
Cebu Airport - Operational & Financial Highlights (figures in INR mn) Constant Currency Reported INR mn Q1FY2020 Q1FY2021 Q1FY2020 Q1FY2021 Gross Revenues 1,195 1,068 1,195 1,114 EBITDA 798 618 798 645 PAT 142 -97 142 -102 • Pax growth ▼20% YoY; Air traffic movement ▼12% YoY • Passenger service fees
Slide 27: Significant Contribution of JVs and Subsidiaries
Significant Contribution of JVs and Subsidiaries GAL – Q1FY21 Consolidated EBITDA (Proforma) I NR mn Airport Consolidated JVs EBITDA Airport Consolidated EBITDA^# (DIAL+GHIAL)* Cebu EBITDA Proforma EBITDA 258 (608) (836) (30) DIAL – Q1FY21 Consolidated EBITDA (Proforma) GHIAL – Q1FY21 Consolidated E
Slide 28: Energy Business
Energy Business Humility | Entrepreneurship | Teamwork afi Relationships e fe | Learning And Inner Excellence | Social Respofsibility | Reset for individuel
Slide 29: Key Developments in Q1FY21 - Energy
Key Developments in Q1FY21 - Energy Warora Power Project • Revenue normalised for arrears▼23% YoY − PLF including alternate power at 48.7% from 87.5% YoY − Arrears of INR 30 mn accounted in Q1FY20 • EBITDA normalized for arrears▲19% YoY aided by lower coal cost • Cash profit of INR 711 mn vs. INR 38
Slide 30: GMR Energy Ltd - Operational & Financial Highlights
GMR Energy Ltd (GEL) - Operational & Financial Highlights (figures in INR mn) GEL Consolidated Warora Kamalanga Solar Particulars Proforma Q1FY2020 Q1FY2021 Q1FY2020 Q1FY2021 Q1FY2020 Q1FY2021 Q1FY2020 Q1FY2021 Revenue 10,363 7,872 4,729 3,575 5,543 4,202 160 150 EBITDA 3,096 3,063 1,386 1,649 1,706
Slide 31: Coal Assets - PT GEMS
Coal Assets - PT GEMS (figures in INR mn) Golden Energy Mines Particulars Q1FY2020 Q1FY2021 Sales Vol. (mn tons) 7.4 8.9 Revenues 18,980 23,136 EBITDA 2,532 3,769 PAT 1,539 2,473 • Production ▲ 26% YoY to 8.4 mn tons in Q1FY21 • Sales volumes ▲ 21% YoY in Q1FY21 • Realisation ▼ 2% YoY to USD 35.5/to
Slide 32: Transportation and Urban Infrastructure Business (T&UI)
Transportation and Urban Infrastructure Business (T&UI)
Slide 33: Key Developments in Q1FY21 – T&UI
Key Developments in Q1FY21 – T&UI Highway Business • Hyderabad Vijayawada and Ambala Chandigarh expressways have reached 84% and 78% traffic as compared to pre-Covid levels in August 2020. • Successfully handed back Tambaram & Tuni Project to NHAI after expiry of Concession Period DFCC Business • Co
Slide 34: Highway Business Assets Performance
Highway Business Assets Performance (figures in INR mn) Hyderabad-Vijaywada Ambala - Chandigarh GPEL Chennai ORR Particulars Q1FY2020 Q1FY2021 Q1FY2020 Q1FY2021 Q1FY2020 Q1FY2021 Q1FY2020 Q1FY2021 Revenue 501 256 147 64 149 143 257 233 EBITDA 426 190 103 19 95 87 190 179 Interest 673 680 121 128 128
Slide 35: Urban Infrastructure – Special Investment Regions
Urban Infrastructure – Special Investment Regions Kakinada SIR (Andhra Pradesh) : ~10,400 Acres • Port-based SIR, located in the Krishna-Godavari basin, to include an all weather multi-purpose deep- water port, a logistics park, a petrochemicals cluster and an eco-industrial park • Land of ~4,650 ac
Slide 36: Thank You
Thank You For further information, please visit Website: www.gmrgroup.in or Contact: investor.relations@gmrgroup.in
Slide 37: Annexures
Annexures Humility | Entrepreneurship | Teamwork ay Rela
Slide 38: Annexures Index
Annexures Particulars No. Checklist of Companies : Ind AS Consolidation and Change in Accounting Policy A Profitability Statement (Consolidated) B Financial Performance • Airport Sector (Consolidated) C o Delhi Airport (Standalone) D o Hyderabad Airport (Standalone) E • Energy Sector (Consolidated)
Slide 39: Annexure A : Checklist of Companies - Ind AS Consolidation
Annexure A : Checklist of Companies - Ind AS Consolidation Segment Companies Delhi Airport Yes Hyderabad Airport Yes Mactan – Cebu Airport No Airports Goa Airport Yes DIAL JVs (excl Car Park JV) No GHIAL JVs (excl Advertisement JV) Yes GMR Airports Ltd Yes GMR Energy Ltd (Standalone) Projects under
Slide 40: Annexure B : Profitability Statement (Consolidated)
Annexure B : Profitability Statement (Consolidated) INR mn Q1FY2020 Q4FY2020 Q1FY2021 Gross Revenue 19,921 23,487 11,341 Less: Revenue Share 4,872 5,357 1,775 Net Revenue 15,049 18,131 9,566 Total Expenditure 9,061 11,585 9,755 EBITDA 5,988 6,545 (189) EBITDA margin 40% 36% -2% Other Income 2,138 2,
Slide 41: Annexure C : Airport Business (Consolidated)
Annexure C : Airport Business (Consolidated) INR mn Q1FY2020 Q4FY2020 Q1FY2021 Aero Revenue 4,695 6,103 746 Non Aero Revenue 8,445 6,512 3,617 CPD Rentals 1,457 3,210 580 Gross Revenue 14,597 15,825 4,944 Less: Revenue Share 4,558 5,040 1,607 Net Revenue 10,039 10,785 3,337 Operating Expenditure 4,7
Slide 42: Annexure D : Delhi Airport (Standalone)
Annexure D : Delhi Airport (Standalone) INR mn Particulars Q1FY2020 Q4FY2020 Q1FY2021 Aero Revenue 2,365 2,073 518 Non Aero Revenue 5,523 5,153 2,401 CPD Rentals 1,390 3,178 562 Gross Revenue 9,278 10,405 3,482 Less: Revenue Share 4,396 4,894 1,578 Net Revenue 4,882 5,511 1,904 Operating Expenditure
Slide 43: Annexure E : Hyderabad Airport (Standalone)
Annexure E : Hyderabad Airport (Standalone) INR mn Q1FY2020 Q4FY2020 Q1FY2021 Ind AS Ind AS Ind AS Aero Revenue 2,898 2,452 259 Non Aero Revenue 915 958 184 Gross Revenue 3,813 3,410 443 Less: Revenue Share 162 147 29 Net Revenue 3,651 3,264 414 Operating Expenditure 1,068 1,350 939 EBITDA 2,583 1,9
Slide 44: Annexure F : Energy Business (Consolidated)
Annexure F : Energy Business (Consolidated) INR mn Q1FY2020 Q4FY2020 Q1FY2021 Gross Revenue 1,163 3,103 3,006 Operating Expenditure 1,283 2,963 3,056 EBITDA (120) 139 (50) EBITDA margin -10% 4% -2% Other Income 217 (139) 215 Interest & Fin Charges 1,161 811 756 Depreciation 9 10 9 Exceptional Income
Slide 45: Annexure G : Warora (Standalone) Power Plant
Annexure G : Warora (Standalone) Power Plant INR mn Particulars Q1FY2020 Q4FY2020 Q1FY2021 Total Revenue 4,729 4,642 3,575 Fuel - Consumption 2,746 2,360 1,440 Other Expenses 598 691 487 EBITDA 1,386 1,591 1,649 EBITDA margin 29% 34% 46% Other Income 35 17 12 Interest & Finance Charges 1,039 1,003 9
Slide 46: Annexure H : Kamalanga (Standalone) Power Plant
Annexure H : Kamalanga (Standalone) Power Plant INR mn Particulars Q1FY2020 Q4FY2020 Q1FY2021 Total Revenue 5,543 6,154 4,202 Fuel - Consumption 2,792 2,786 2,082 Other Expenses 1,045 976 737 EBITDA 1,706 2,392 1,383 EBITDA margin 31% 39% 33% Other Income 122 67 384 Interest & Finance Charges 1,391
Slide 47: Annexure I : PT GEMS (Indonesian Coal Mine)
Annexure I : PT GEMS (Indonesian Coal Mine) INR mn Particulars Q1FY2020 Q4FY2020 Q1FY2021 Production (mn tons) 6.7 10.1 8.4 Sales Volumes (mn tons) 7.4 10.2 8.9 Gross Revenue 18,980 24,466 23,136 Total Expenditure 16,449 22,374 19,367 EBITDA 2,532 2,092 3,769 EBITDA margin 13% 9% 16% Interest & Fina
Slide 48: Annexure J : Highway Business (Consolidated)
Annexure J : Highway Business (Consolidated) INR mn Q1FY2020 Q4FY2020 Q1FY2021 Gross Revenue 1,510 1,552 864 Less: Revenue Share 314 317 168 Net Revenue 1,196 1,235 696 Operating Expenses 253 600 206 EBITDA 943 635 490 EBITDA margin 79% 51% 70% Other Income 135 53 31 Interest & Finance Charges 1,076