WHA Utilities and Power Public Company Limited · SET:WHAUP
WHA Utilities and Power Public — Q2 2018 Earnings Presentation
38 slides from WHA Utilities and Power Public's earnings presentation, Aug 14, 2018
Slide 1: Analyst Meeting 3/2018
Analyst Meeting 3/2018 14 August 2018
Slide 2: Disclaimer
Disclaimer The information contained in this presentation is for information purposes only and does not constitute an offer or invitation to sell or the solicitation of an offer or invitation to purchase or subscribe for share in WHA Utilities & Power Public Company Limited (“WHAUP” and shares WHAUP
Slide 3: Agenda
Agenda I. Company Profile II. Utilities Business III. Power Business IV. Operating Performance V. Performance Highlight VI. Financial Information VII. Outlook 2018F Appendix 3
Slide 4: Vision & Mission
I. Company Profile Vision & Mission “To be Asia's leader in Utilities and Power providing total solutions to partners with good corporate governance as well as environmentally and socially friendly VISION operations” • To develop world class utilities and power solutions fitting customer's needs • T
Slide 5: WHAUP is the Flagship Company in Utilities and Power Business of WHA Group
I. Company Profile WHAUP is the Flagship Company in Utilities and Power Business of WHA Group #1 Logistics developers #1 Industrial Estate Exclusive utilities provider To be one-stop service Developer in the industrial estates for Data Center developer Built-to-Suit (BTSW): and provider by
Slide 6: Business Overview
I. Company Profile Business Overview Utilities Business Power Business Sole provider of utilities to manufacturers/ factories in leading Active power investor with strategic partnership with leading Thai industrial estates with a concrete plan to capture increasing and international power companies
Slide 7: Agenda
Agenda I. Company Profile II. Utilities Business III. Power Business IV. Operating Performance V. Performance Highlight VI. Financial Information VII. Outlook 2018F Appendix 7
Slide 8: Utilities Business Overview
II. Utilities Business Utilities Business Overview One of the largest industrial utilities providers in Thailand Excellent track record in providing comprehensive utilities service Exclusive right for all existing and future WHA ID’s Estates in Thailand and CLMV Strong base of industrial use
Slide 9: Assets Location
II. Utilities Business Assets Location WHAUP’s exclusive rights to operate and provide utilities services to customers cover all WHA ID’s Industrial Estates. Currently, WHAUP provides utilities services to 9 operating IEs plus 3 developing IEs in the future. 1 WHA Chonburi Industrial Estate 1 (WHA C
Slide 10: Industry Overview
II. Utilities Business Industry Overview Thailand Countrywide’s Water Market Forecast Demand for Water Wastewater Management Expected growing demand for industrial utilities approx. 4.6% p.a. Unit: million m3/day Annual demand for water (million m3/year) CAGR 1.9% 31% 10,000 CAGR 4.6% 8,000 8,260 (3
Slide 11: Industry Overview: Opportunities from EEC Policy
II. Utilities Business Industry Overview Opportunities from EEC Policy Forecasted Water Demand in EEC area Forecasted Water Supply in EEC area mm m3 per year mm m3 Increased supply capacity from EEC Policy Industrial Domestic Agriculture 4000 3950 1,600 575 mm m3 per 1,200 year come from 929 industr
Slide 12: Business Strategies
II. Utilities Business Business Strategies 5Y Aspiration Current Positioning Domestic: Integrated solutions to industrial market, expansion to other market segments Thailand’s leader in industrial water businesses provides 100 million m3 Industrial Estate with world-class operation and services prod
Slide 13: Agenda
Agenda I. Company Profile II. Performance Highlight III. Utilities Business IV. Power Business V. Operating Performance VI. Financial Information VII. Outlook 2018F Appendix 13
Slide 14: Growing Portfolio
III. Power Business Growing Portfolio Continuing Growth from Projects Under Construction and Projects in Pipeline CAGR 2016-2019 Over 200 MW of solar opportunities from over 2 million sqm logistics roof areas 16.5% under WHA/WHA Management 552.8 MW 520.5 MW 32.3 478.4 MW 10 GNLL2 CCE GVTP GTS4 GTS1
Slide 15: Well-balanced and High Stability Portfolio
III. Power Business Well-balanced and High Stability Portfolio Conventional Power: 537.0 Equity MW Secured Highly reliable off-taker (EGAT) Long-maturity Portfolio By Type of Power Plant By Type of Sourcing Industrial Users, 8% Maturity < 20 53% Analysis IPP Coal 43% PortfolioAnalysis Years, 20% SPP
Slide 16: Industry Overview
III. Power Business Industry Overview Industry Changes Leading to New Opportunities 1 Grid Over-capacity: No new conventional IPP/SPP 2 Energy 4.0 Policy: Energy Efficiency and Distributed for 10 years Generation (DG) GW % Energy 4.0 70.3 Current Measure 2017-2018 Target 2036 Low Efficiency - Change
Slide 17: Business Strategies
III. Power Business Business Strategies “Developer” in Power and Energy Businesses Conventional - IPP : Glow IPP, Gheco-One , Houay Ho Hydropower in Lao PDR Power - SPP : 7 SPPs in operation & 1 SPPs under construction - Solar Rooftop : 2.6 MW sale to grid & 0.9 MW WHA KM.3 private-sale Further oppo
Slide 18: Agenda
Agenda I. Company Profile II. Utilities Business III. Power Business IV. Operating Performance V. Performance Highlight VI. Financial Information VII. Outlook 2018F Appendix 18
Slide 19: Utilities – Operating Performance
IV. Operating Performance Utilities – Operating Performance Utilities Portfolio Growth – Sale & Management Volume Million m3/ year WWT +4% YoY 120 100 RW +7% YoY 100 82 IW +11% YoY 80 34 49 53 60 17 32 34 13 17 18 40 31 8 9 20 43 49 31 32 34 24 26 0 2013 2014 2015 2016 2017 1H'17 1H'18 Industrial Wa
Slide 20: Power Plants Operating Performance
IV. Operating Performance Power Plants Operating Performance GHECO-One HHPC Energy Dispatch Availability Energy Dispatch GWh % AF GWh 95.6% 2,760 253 78.6% 231 2,273 1H'17 (A) 1H'18 (A) 1H'17 (A) 1H'18 (A) 1H'17 (A) 1H'18 (A) GNLL Gulf VTP Energy Dispatch Availability Energy Dispatch Availability GW
Slide 21: Power Plants Operating Performance
IV. Operating Performance Power Plants Operating Performance Gulf TS1 Gulf TS2 Energy Dispatch Availability Energy Dispatch Availability GWh % AF GWh % AF 99.5% 100.0% 440 432 1H'17 (A) 1H'18 (A) 1H'17 (A) 1H'18 (A) 1H'17 (A) 1H'18 (A) 1H'17 (A) 1H'18 (A) * Gulf TS1 started commercial operation sinc
Slide 22: Power Plants Operating Performance
IV. Operating Performance Power Plants Operating Performance BGWHA-1 Energy Dispatch Availability GWh % AF 97.5% 98.3% 433 444 1H'17 (A) 1H'18 (A) 1H'17 (A) 1H'18 (A) 22
Slide 23: Agenda
Agenda I. Company Profile II. Utilities Business III. Power Business IV. Operating Performance V. Performance Highlight VI. Financial Information VII. Outlook 2018F Appendix 23
Slide 24: Financial Highlight 2Q’18
V. Performance Highlight Financial Highlight 2Q’18 2Q’18 YoY Remark Revenue from Sales and Services 1) Higher Sales Volume mainly from COD (Utilities Business) 423.5 4.4% of 5 SPPs and existing customers 1) Foreign Exchange Loss of (315.3) MB Share of Profit and Dividend Income in 2Q’18 Vs Gain 98.9
Slide 25: Financial Highlight 1H’18
V. Performance Highlight Financial Highlight 1H’18 1H’18 YoY Remark Revenue from Sales and Services 1) Higher Sales Volume mainly from COD of (Utilities Business) 845.4 6.5% 5 SPPs and existing customers 1) Foreign Exchange Loss of (64.7) MB in 1H’18 Vs Gain 338.9 MB in 1H’17 2) In 1H’17 included bu
Slide 26: Agenda
Agenda I. Company Profile II. Utilities Business III. Power Business IV. Operating Performance V. Performance Highlight VI. Financial Information VII. Outlook 2018F Appendix 26
Slide 27: Consolidated Financial Statement
VI. Financial Information Consolidated Financial Statement Revenue and Net Profit Growth Unit : THB mm Quarter YTD 1,765.1 1,801.5 971.6 956.1 -1.6% 1,101.4 720.3 695.9 296.8 -57.3% 793.5 845.4 -6.5% 405.5 423.5 +4.4% 2Q'17 2Q'18 1H'17 1H'18 Revenue from Sales and Services Share of Profit and Divide
Slide 28: Utilities Performance
VI. Financial Information Utilities Performance Revenue from Sales and Services from Utilities Business was recorded at Baht 423.5 million. Revenue from Sales and Services Gross Profit Margin Units: THB mm Quarter YTD 35.3% 33.1% 29.5% 27.4% 25.8% 27.9% 30.4% 26.9% 845.4 793.5 4.4 32.3 80.7 2014 201
Slide 29: Power Performance
VI. Financial Information Power Performance Share of Profit and Dividend Income total at Baht 296.8 million Units: THB mm Quarter YTD Included insurance claims of 144.0 MB Included insurance • Completion of Gulf VTP claims of 107.3 MB 971.6 956.1 COD in May 2017 • Completion of Gulf TS1 695.9 338.9
Slide 30: Consolidated Performance
VI. Financial Information Consolidated Performance Consolidated EBITDA/1 and EBITDA Margin Consolidated Net Profit/2 and Net Profit Margin/3 Unit : THB mm Unit : THB mm Quarter YTD Quarter YTD 1800.0 80.0% 2500.0 100.0% 1600.0 53.9% 72.5% 73.3% 55.2% 60.0% 1800.0 100.0% 72.3% 1800.0 80.0% 56.7% 77.1
Slide 31: Capital Structure and leverage ratio
VI. Financial Information Capital Structure and leverage ratio Statement of Financial Position Debt Maturity Profile Unit : THB mm Unit : THB mm 21,378 22,845 22,845 21,378 12,577 12,815 4,000 871 744 2,390 7,930 9,286 1,290 1,320 0 0 2017 2 2018 2019 2020 2021 2022 2023 2024 2025 1 3 4 5 2Q’18 6 Bo
Slide 32: Agenda
Agenda I. Company Profile II. Performance Highlight III. Utilities Business IV. Power Business V. Operating Performance VI. Financial Information VII. Outlook 2018F Appendix 32
Slide 33: 2018 Plan: Utilities Business
VII. Outlook 2018F 2018 Plan: Utilities Business Extend our Leadership in Industrial Estate Utilities Current Products/Services in Existing WHA ID’s IEs Business To continuously build up reputation and trust by improving service quality and enhancing R&D Continue Expanding Markets HESIE3 To grow
Slide 34: 2018 Plan: Power Business
VII. Outlook 2018F 2018 Plan: Power Business Leverage WHA Group’s Resources and Customer Base To capture huge opportunity from IE roof and over 2 million sqm logistics roof areas - Offering service to customers - Exploring solar rooftop opportunity outside WHA ID IEs Exploring municipal waste to
Slide 35: 2018 Outlook – Visible Growth From Both Businesses
VII. Outlook 2018F 2018 Outlook – Visible Growth From Both Businesses UTILITIES AND SALES MANAGEMENT VOLUME Revenue growth will come from enlargement of sales and management volume Demand increase from new land sales customers 100 109 Million M3 Higher consumption from current Million M3 customers’
Slide 36: Agenda
Agenda I. Company Profile II. Performance Highlight III. Utilities Business IV. Power Business V. Operating Performance VI. Financial Information VII. Outlook 2018F Appendix 36
Slide 37: Shareholders and Management Structure
Appendix Shareholders and Management Structure Shareholding Structure Board of Directors Foreign Institutions, Retail, Mr. David Richard Nardone 1% 13% Ms. Jareeporn Jarukornsakul Chairman of Board of Directors Director Domestic Institutions, 12% WHA Group, Mr. Vivat Jiratikarnsakul Mr. Wisate Chung
Slide 38: Well-Balanced Portfolio with Strategic Location
Appendix Well-Balanced Portfolio with Strategic Location Operating Plants Samutprakarn Alternative Power Huoay Ho Glow IPP WHA Gunkul Hydropower IPP Combined Cycle IPP Total MW : 152.0 MW Total MW : 713.0 MW WHA ESIE 1 Solar VSPP COD in 1999 COD in 2003 Total MW : 3.3 MW Located in
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