Nishat Power Limited · PSX:NPL
Nishat Power — Investor Presentation (November 2023)
14 slides from Nishat Power's investor presentation, November 2023
Slide 1: Nishat Power Limited Corporate Briefing Session
NISHAT POWER LIMITED Corporate Briefing Session on Annual Audited Accounts for the Financial Year ended June 2023
Slide 2: Contents
Contents Company Brief Operational Highlights Financial Highlights Strategic/Operational Developments Agreements Challenges Business outlook Questions and Answers
Slide 3: Company Brief
Company Brief 200 MW RFO Fired – Combined Cycle Thermal Power Plant Term of Power Purchase Agreement – 25 years Located at 66KM on Multan Road, Tehsil Pattoki Subsidiary of Nishat Mills Limited with 51% equity ownership Established under the “Power Policy 2002” Incorporated in year 2007
Slide 4: Operational Highlights
Operational Highlights Capacity Utilization %age 50% 46% 45% 39% 40% 35% 31% 31% 30% 25% 20% 16% 15% 10% 5% 0% Year 2019 Year 2020 Year 2021 Year 2022 Year 2023 The plant operated at average capacity of 31.35% with 538GWh during the year (2022: 46.42% with 794GWh). The slowdown in overall economic a
Slide 5: Operational Highlights
Operational Highlights Capacity Utilization (%age) Financial Year 2023 vs 2022 FY 2022 FY 2023 80% 73% 72% 67% 67% 69% 65% 70% 66% 65% 65% 60% 56% 52% 50% 43% 40% 38% 32% 31% 30% 21% 15% 20% 15% 9% 10% 6% 0% 0% 1% 1% 0% Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Overall reduction in utilization
Slide 6: Financial Highlights
Financial Highlights Rs in million FY 2022 FY 2023 25,000 23,684 23,069 20,000 15,000 10,000 5,000 3,875 4,573 3,323 4,091 11.55 9.38 - Sales Gross Profit Net Profit Earning per Share Profits have increased mainly due to increase in tariff indexation and reduction in short term mark up costs due to
Slide 7: Financial Highlights
Financial Highlights Rs/ M.Ton FY 2022 FY 2023 200,000 154,181 150,000 118,165 100,000 50,000 - Wtd. Avg. HFO Price Avg Furnace oil prices have increased ~ 30% over the course of FY 2023
Slide 8: Strategic/Operational Developments
Strategic/Operational Developments Maintenance Reserve The maintenance of Power Plant involves cyclical running hours based activities and its related costs. Management considers that the remaining balance of maintenance reserve of Rs. 2.636 billion created out of retained earnings of the Company in
Slide 9: Timeline of Significant Events
Agreements Timeline of Significant Events Date Description Master Agreement, PPA Amendment Agreement and other agreements. 12-Feb-21 FIFO payment method being followed by the Power Purchaser. Capacity dispute related Other Force Majeure Event 68 days Period June 09, 2021 to completed for settlement
Slide 10: Challenges
Challenges Receivables and Circular Debt. Rs in mln Trade Receivable - FY 2022 & 2023 19,483 19,725 20,000 17,316 15,954 15,624 15,412 14,152 15,142 15,000 11,533 10,000 9,286 8,300 7,465 6,005 5,000 4,425 4,145 3,710 - Sep/21 Dec/21 Mar/22 Jun/22 Sep/22 Dec/22 Mar/23 Jun/23 Receipts in Quarter Tota
Slide 11: Challenges
Challenges Rs in mln Liquidity & Dividend Payouts 20,000 18,964 70% 18,233 18,000 15,643 61% 60% 16,000 48% 14,152 14,000 50% 12,329 11,533 12,000 40% 10,000 30% 8,000 6,000 17% 14% 20% 20% 6,420 4,000 14% 4,751 4,579 4,488 10% 2,000 3,642 - - 0% 2018 2019 2020 2021 2022 2023 Short term borrowings R
Slide 12: Business Outlook
Business Outlook Circular Debt • We foresee circular debt to remain a challenge for the government and the energy sector particularly in the near future, particularly due to increase in fuel prices, unless concrete policy measures are taken to address the underlying causes. Capacity Utilization • Th
Slide 13: Questions and Answers
NISHAT POWER LIMITED Questions and Answers
Slide 14: Thank You
NISHAT POWER LIMITED Thank You