Adani Power Limited · NSE:ADANIPOWER
Adani Power — Q4 FY2023-24 Earnings Presentation
39 slides from Adani Power's earnings presentation, May 2, 2024
Slide 1: Exchange filing cover letter for investor presentation
May 2, 2024 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.: Investor Presentation for Post Results Conference Call dt.
Slide 2: Adani Power Limited Analyst Presentation – Q4 FY 2023-24
Adani Power Limited Analyst Presentation – Q4 FY 2023-24 2nd May 2024
Slide 3: APL: Consolidated financial highlights for Q4 FY 2023-24
APL: Consolidated financial highlights for Q4 FY 2023-24 INR Crores Continuing Revenue Growth Continuing EBITDA Growth Reported PBT Growth +296% +29% +126% 3,558 13,787 5,273 10,664 2,329 898 Q4 FY23 Q4 FY24 Q4 FY23 Q4 FY24 Q4 FY23 Q4 FY24 Higher Revenue due to dispatch growth EBITDA growth due to h
Slide 4: APL: Consolidated operating highlights for Q4 FY 2023-24
APL: Consolidated operating highlights for Q4 FY 2023-24 Commercial Generation Despatch Performance Revenue Mix (%) Availability under PPAs Performance (PLF %) (BU) (%) +48% 19% 18% 17% 18% 72% 79.3 88% 87% 90% 90% 65% 52% 48% 53.4 +55% 81% 82% 83% 82% 22.1 14.3 Q4 FY23 Q4 FY24 FY23 FY24 Q4 FY23 Q4
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 About Adani Portfolio 2 About Adani Power Limited 3 Power Sector Growth Outlook 4 APL Quarterly Performance Highlights 5 Debt Profile 6 ESG Practice at APL 7 APL: Investment Case 5
Slide 7: About Adani Portfolio
01 About Adani Portfolio 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%) (56.4%) (73.2%) (65.9%) (100%) (66.7%) 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 (AIIL) AIMSL1 Policy - Strategy - Risk Origination Site Development Construction Operation Capital Management Activit
Slide 11: About Adani Power Limited (APL)
02 About Adani Power Limited (APL) 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: Our growth over the years
APL: Our growth over the years Multi-Year Capacity Growth Story (GW) 15.25 12.4 13.65 Organic 9.28 10.48 Inorganic 4.37 3.17 4.37 4.66 1.2 0.33 0.99 9.28 9.28 9.28 9.28 10.88 2009 2010 2012 2014 2015 2019 2022 2023 Organic Organic Organic Organic Inorganic Inorganic Inorganic Organic Mundra 1x330 Mu
Slide 14: APL: Growth path for sustained leadership
APL: Growth path for sustained leadership APL Operational: 12,450 MW Operational Assets: Under development: 1,600 MW1 15,250 MW 100% 100% APJL MEL Under Construction/ Development: Operational Capacity: 1,600 MW Operational Capacity: 1,200 MW 3,200 MW Under construction: 1,600 MW Organic Growth – LAP
Slide 15: APL: Operating Portfolio Overview: Strategically located, diversified fleet
APL: Operating Portfolio Overview: Strategically located, diversified fleet Near-Pithead Coastal Hinterland 8,070 MW 5,820 MW 2,920 MW • Tiroda, MH : 3,300 MW • Raipur, CG : 1,370 MW • Raigarh , CG : 600 MW • Mundra, GJ : 4,620 MW • Kawai, RJ : 1,320 MW Assets • Mahan-I, MP : 1,200 MW • Udupi, KA :
Slide 16: 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 15% TBCB-State DISCOMs through 3% 23% 33% TBCB-Private Escalable energy 85% 10% charge with 77% Transnational (Sovereign) change-in-law 6% 60% Captive Others Offtake
Slide 17: APL: Ensuring high availability for despatch
APL: Ensuring high availability for despatch Average Operational Capacity (MW) Commercial Availability under LT PPAs (%) 91% 89% 90% 90% 15,051 13,650 83% 12,450 12,450 79% 11,810 10,480 FY19 FY20 FY21 FY22 FY23 FY24 FY19 FY20 FY21 FY22 FY23 FY24 PLF (%) Sales (BU) 79 67% 64% 65% 64 59% 55 59 52 53
Slide 18: APL: Strong growth in revenues and operating margins
APL: Strong growth in revenues and operating margins Total Revenues (Rs. Crore) Finance Cost (Rs. Crore) +21% CAGR 60,281 5,315 5,106 4,095 43,041 3,334 3,388 28,150 31,686 27,842 FY20 FY21 FY22 FY23 FY24 FY20 FY21 FY22 FY23 FY24 Reported EBITDA (Rs. Crore) PAT Growth (Rs. Crore) +41% CAGR 28,111 20
Slide 19: Power Sector Growth Outlook
03 Power Sector Growth Outlook STRICTLY CONFIDENTIAL
Slide 20: Thermal power is the base load power solution for India's electricity grid
Thermal power is the base load power solution for India’s electricity grid Capacity & Generation Current Landscape FY2022 UoM Global India India % − Per capita power consumption at 1331 kWh vs global average of 3500 kWh Total Installed Capacity GW 8,511 406 4.8% − Strong growth expected in India’s p
Slide 21: Base load generation requirement to increase along with increasing renewable capacity
Base load generation requirement to increase along with increasing renewable capacity Power demand poised to accelerate Thermal power to continue servicing base load Expected Growth Coal Renewable Others Billion Units 2,474 The National Electricity Plan 2022-32 Gross Generation in BU 2,666 Power Dem
Slide 22: APL Quarterly Performance Highlights
04 APL Quarterly Performance Highlights STRICTLY CONFIDENTIAL
Slide 23: APL: Key Highlights for Q4 FY 23-24
APL: Key Highlights for Q4 FY 23-24 Business Highlights ✓ APL’s credit ratings upgraded by CRISIL and India Ratings from A to AA-. ✓ Resolution Professional of Lanco Amarkantak Power Limited (600 MW operational, 1,320 MW under-construction) has issued Letter of Intent post approval of APL’s Resoluti
Slide 24: Growing power demand supporting higher volumes
Growing power demand supporting higher volumes Commercial Availability^ PLF Generation (BU) Sales (BU) 88% 87% 90% 90% 85.5 79.3 72% 65% 52% 57.3 48% 53.4 23.8 22.1 15.3 14.3 Q4 FY23 Q4 FY24 FY23 FY24 Q4 FY23 Q4 FY24 FY23 FY24 Power demand in key States (BU)* 207.1 187.3 139.0 145.7 101.8 107.4 94.4
Slide 25: Secure revenue stream with upside from open capacities
Secure revenue stream with upside from open capacities Sales Mix and Volume Q4 FY23 Q4 FY24 FY23 FY24 14,254 MU 22,136 MU 53,391 MU 79,274 MU 19% 17% 18% 18% +55% +48% 81% 82% 83% 82% PPA Merchant/Short term PPA Merchant/Short term PPA Merchant/Short term PPA Merchant/Short term 13,650 MW 15,250 MW
Slide 26: Fuel sourcing and logistics prowess ensures continuous availability
Fuel sourcing and logistics prowess ensures continuous availability Fuel Mix and Volume Q4 FY23 (MT) Q4 FY24 (MT) FY23 (MT) FY24 (MT) 9.49 MT 14.02 MT 36.48 MT 51.17 MT 21% 21% 37% 38% +48% +40% 63% 62% 79% 79% Domestic Imported Domestic Imported Domestic Imported Domestic Imported Fuel cost per uni
Slide 27: 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 Q4 FY24 Q4 FY23 +/- FY24 FY23 +/- Effective Capacity (MW) 15,250 13,650 15,051 13,650 Continuing Operating Revenue 13,288 10,436 27% 49,668 36,396 36% Continuing Ot
Slide 28: Revenue Bridge
Revenue Bridge INR Crores Growth in Revenues Q4 FY23 to Q4 FY24 2,144 94 979 13,882 13,787 10,664 Q4 FY23 Continuing Revenue Change in volumes and tariffs Inclusion of Godda power plant Q4 FY24 Continuing Revenue Prior period items (Q4 FY24) Q4 FY24 Reported Revenue Growth in Revenues FY23 to FY24 9
Slide 29: EBITDA Bridge
EBITDA Bridge INR Crores Growth in EBITDA Q4 FY23 to Q4 FY24 3,123 127 94 306 5,368 5,273 2,329 Continuing EBITDA Q4 Increase in Continuing Decrease in fuel cost Increase in other Continuing EBITDA Q4 Prior period items (Q4 Q4 FY24 Reported EBITDA FY23 revenue operating expenses FY24 FY24) Growth in
Slide 30: Deleveraged Balance Sheet
Deleveraged Balance Sheet INR Crores Summary Balance Sheet Mar-24 Mar-23 • Higher Net Worth because of strong Equity & Reserves (incl. UPS) 43,145 29,876 profitability Long Term Borrowings incl. Current Maturities 28,060 36,580 • Judicious utilization of operational surplus Other Non-current Liabili
Slide 31: Robust Cashflow Generation
Robust Cashflow Generation INR Crores Summary Cash Flow Statement FY24 FY23 • Strong improvement in net cash from Profit after tax 20,829 10,727 operations on back of improved recurring Non-cash items (incl. deferred tax) 3,600 36 profitability as well as recovery of Non-operating items (5,809) (981
Slide 32: Debt profile
05 Debt profile STRICTLY CONFIDENTIAL
Slide 33: Consolidated Debt Profile
Consolidated Debt Profile INR Crores Particulars As on 31st Mar 2024 As on 31st Mar 2023 Senior Secured Loans Existing entities 27,875 21,425 Under-construction project - 8,196 Total Senior Secured Loans (after Ind-AS adjustment) 27,875 29,621 Working Capital Loans 6,397 5,672 Inter-Corporate Deposi
Slide 34: Deleveraging of balance sheet and stronger net worth
Deleveraging of balance sheet and stronger net worth Senior Term Debt / Equity Ratio (times) ▪ Significant reduction in senior 5.32 debt through prepayment as well 3.90 as regular repayments despite acquisitions and addition of 2.57 project debt for the Godda plant. 1.86 0.99 ▪ Improvement in operat
Slide 35: ESG Practice at APL
06 ESG Practice at APL STRICTLY CONFIDENTIAL
Slide 36: APL: ESG Highlights
APL: ESG Highlights In its endeavor for climate readiness, APL is aligning its business ESG Rating Highlights model with latest technologies in climate efficient manner Statutory limit (3.5) − B Score For fulfilling climate change and water security commitments from Climate Awareness CDP (Carbon Dis
Slide 37: APL: Investment Case
07 APL: Investment Case STRICTLY CONFIDENTIAL
Slide 38: APL's unique positioning to catapult on the tail-wind of India's growth story
APL’s unique positioning to catapult on the tail-wind of India’s growth story ▪ 85% 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 en
Slide 39: Thank You
THANK YOU