Gail (india) Limited · NSE:GAIL
Gail (india) — Investor Day (May 2024)
38 slides from Gail (india)'s investor day presentation, May 17, 2024
Slide 1: Investors' & Analysts' Meet 2024
GAIL (India) Limited Investors’ & Analysts’ Meet 2024 May 17, 2024, Mumbai
Slide 2: Safe Harbor Statement
Safe Harbor Statement This presentation has been prepared by GAIL (India) Ltd (Company or GAIL) solely for providing information about the Company. The information contained in this presentation is only current as of its date. Certain statements made in this presentation may not be based on historic
Slide 3: Company Mission & Vision
Company Mission & Vision Mission Vision Be the leader in natural gas Enhancing quality of life value-chain and beyond, through clean energy with global presence, and beyond creating value for stakeholders with environmental responsibility
Slide 4: Table of Contents
Company Overview Table of Performance Contents Highlights Industry Outlook & Strategy
Slide 5: Company Overview
= Company Overview
Slide 6: Major Business Portfolios
Major Business Portfolios Gas Transmission and E&P marketing • Participation in 13 Blocks • ~ 16,240 KM of NG Pipeline Network • Presence in US & Myanmar • Long Term Portfolio of ~15.5 MMTPA Petrochemicals Renewables • Capacity of 810 KTA at Pata & 280 • 118 MW of Wind Power Capacity KTA at BCPL • 1
Slide 7: Global Presence
Global Presence RUSSIA •Bharat Energy Office USA • GAIL Global (USA) INC CHINA • GAIL Global(USA) LNG LLC • China Gas EGYPT MYANMAR • Equity in 2 Retail Gas • A1 & A3 E&P Blocks Companies • SEAGP SINGAPORE • GAIL Global Singapore PTE Ltd
Slide 8: Shareholding Pattern
Shareholding Pattern Market Capitalization as on 31st Mar’24 : Rs 1,19,108 Cr. 250 8 7 200 6 Share volume (in Millions) Price (in Rs/Share) 5 150 Paid up Equity ` 6,575.10 crore 4 100 3 2 50 1 0 0 Volume Share Price ❑ GAIL’s Market Capitalization crossed Rs. 1 trillion mark for the first time and sh
Slide 9: Performance Analysis
= Performance Analysis
Slide 10: Major Highlights for FY 2023-24
Major Highlights for FY 2023-24 GAIL Secured an “Excellent” MoU rating for FY 2022-23 from DPE GAIL’s Assets and Market Capitalization surpassed Rs. 1 Trillion mark GAIL paid dividend @ 55% of paid up capital for FY’24 (Rs. 3,616 crore) Received “NIL” Comments from CAG for the Accounts of FY 2022-23
Slide 11: Major Highlights for FY 2023-24
Major Highlights for FY 2023-24 Achieved highest ever total annual LPG Transmission volume of 4.395 MMTPA GAIL Vijaipur secured 1st Position with National Award for excellence in Cost Management from ICMAI in Manufacturing Sector, Public – Medium Category GAIL signed an agreement with BPCL for a 15-
Slide 12: Physical Performance
Physical Performance Gas Marketing Mix Gas Transmission Mix Gas Volume Trend (MMSCMD) 3% 120 8% 3% 108 104 111 107 96 96 95 98 20% 89 30% 38% 25% FY24 5% FY24 7% 19% 42% FY20 FY21 FY22 FY23 FY24 APM/NAPM RLNG Spot Mid Term Overseas Sales RIL & BP MDP Gas Transmission Gas Marketing (TMT) Petrochemica
Slide 13: Natural Gas Sector Wise Supply – FY23 Vs. FY24
Natural Gas Sector Wise Supply – FY23 Vs. FY24 (Total 94.91 MMSCMD, % share) (Total 98.45 MMSCMD, % share) 11.88 MMSCMD 41.56 MMSCMD 50.06 MMSCMD 7.51 MMSCMD 13% 8% 44% 41% 41.47 MMSCMD 40.88 MMSCMD 44% 51% 38% 40% 25% 25% 15% 16% 28.79 4.66 12% 10% 11% 33.15 5.32 8% 6.32 3.17 1.79 19.35 20.16 8.42
Slide 14: Financial Performance (Standalone)
Financial Performance (Standalone) (in Rs. crore) Turnover (Gross) Gross Margin (EBITDA) 15,876 15,563 1,43,976 1,30,284 91,426 9,887 9,384 8,450 71,730 56,529 FY20 FY21 FY22 FY23 FY24 FY20 FY21 FY22 FY23 FY24 Profit Before Tax (PBT) Profit After Tax (PAT) 13,590 11,555 10,364 8,836 7,943 6,621 6,38
Slide 15: One Off Transactions – FY 23-24
One Off Transactions – FY 23-24 Particulars Amount ( Rs. in crores) ❖Gas Marketing Segment ▪ Custom Duty Receivables (cargos imported from UAE) 155 ▪ TDS Refund from Income Tax Dept on Overseas Purchase 79 ❖Gas Transmission Segment ▪ Booking of Spot Gas – @ Higher price ~ $ 40 per MBG (172) ▪ Provis
Slide 16: Balance Sheet as on 31st March 2024
Balance Sheet as on 31st March 2024 (Rs in crore) Equity & Assets Liabilities 1,09,528 1,09,528 Non Current Equity Liabilities Current Assets Assets 64,179 45,349 18,528 91,000 Equity Share Non Current Current Other Equity PPE 42,666 Capital Liabilities Liabilities 57,604 6,575 25,145 20,204 CWIP 15
Slide 17: Key Financial Ratios
Key Financial Ratios PAT to Net Worth (in %) Return on Capital Employed Debt to Equity Ratio ( in %) 0.29 21 20 0.22 16 16 15 14 11 11 0.13 0.14 0.15 10 10 FY20 FY21 FY22 FY23 FY24 FY20 FY21 FY22 FY23 FY24 FY20 FY21 FY22 FY23 FY24 Share Price (in Rs./Share)$ Earning Per Share$ (in Rs./Share) Market
Slide 18: Financial Performance (Consolidated Basis)
Financial Performance (Consolidated Basis) Turnover (Gross) Gross Margin (PBDIT) (in Rs. crore) 18,086 16,986 1,45,531 1,33,130 12,818 10,079 10,323 92,636 72,414 57,208 FY20 FY21 FY22 FY23 FY24 FY20 FY21 FY22 FY23 FY24 Profit Before Tax Profit after Tax 12,256 15,464 9,899 12,595 9,422 10,429 7,725
Slide 19: Revenue Reconciliation on Consolidated Basis - FY24
Revenue Reconciliation on Consolidated Basis - FY24 (in Rs crore) Revenue Entity Elimination Consolidated Revenue (Gross) GAIL 1,30,638 (8,339) 1,22,299 GGSPL 6,231 (5,279) 952 GGUI 6,206 (6,100) 106 TNGCL 282 - 282 GAIL GAS 10,944 (1,113) 9,831 BGCL 30 - 30 KLL 407 (407) - GMPL - - - Consolidated R
Slide 20: PAT Reconciliation on Consolidated Basis - FY24
PAT Reconciliation on Consolidated Basis - FY24 (in Rs crore) % Share holding as Investment (Net) Particulars FY24 on 31st Mar 24 on 31st Mar 24 GAIL 8,836 Subsidiaries 4,569 415 GAIL GAS 100% 2,050 318 GGSPL 100% 48 11 GGUI 100% 187 (13) Bengal Gas Company Limited 90% 670 (11) Konkan LNG Limited 93
Slide 21: Capital Expenditure Profile
Capital Expenditure Profile FY 2023-24 FY 2024-25E (in Rs crore) 11,426 Cr. ~ 11,500 Cr. 2100, 18% 2,650, 23% 3,407 , 30% 1,200 , 11% 3463, 30% 200, 2% 150, 1% 219, 2% 1000, 9% 37, 0% 3300, 29% 5200, 45% Pipeline City Gas Distribution (Equity) Petrochemical E&P Equity Investments Operational Capex &
Slide 22: Actual Capex & Capital Commitment in Major Projects
Actual Capex & Capital Commitment in Major Projects (in Rs./crore) Lengths of Commissioned Expected Completion Capital Actual Capex up Name of Projects Pipelines Approved Cost length (Km) Date Commitment to 31.03.2024 (Km)/Capacity Major Pipeline Projects Dhamra-Angul P/L (JHBDPL 2A) 413 413 Commiss
Slide 23: Sustainable Development
Sustainable Development GAIL has set a target to achieve Net-Zero GAIL has set a target to achieve Net-Zero (scope 1 and (scope 1 and scope 2) status by 2040 while scope 2) status by 2040 while reducing scope 1 and Scope reducing scope 1 and Scope 2 emissions by 2 emissions by 100% and Scope 3 emiss
Slide 24: GAIL Hriday – CSR Initiatives
GAIL Hriday – CSR Initiatives UNNATI Rs. 13.28 crore SAKSHAM HARIT Rs. 1.80 crore Rs. 19.34 crore AROGYA KAUSHAL Rs. 90.03 crore Rs. 7.79 crore SASHAKT UJJWAL Rs. 8.13 crore Rs. 24.49 crore Others Rs. 10.85 crore GAIL spends 2.47% i.e. ~ Rs. 175.71 crore (including set off) under CSR initiatives for
Slide 25: Corporate Social Responsibility (CSR)
Corporate Social Responsibility (CSR) Major Highlights 1. GAIL UJJAWAL (Education Centric Initiatives): ▪ 210 meritorious & marginalized students received residential coaching at GAIL Utkarsh centres- Kanpur, Varanasi & Haldwani for admission into IITs/NITs and other Engineering colleges as well as
Slide 26: Industry Outlook
Industry Outlook Natural Gas Segment
Slide 27: Global Energy Scenario – Evolving Narrative
Global Energy Scenario – Evolving Narrative • Global energy system is evolving - New energy policies, transition to zero-carbon tech, energy security concerns, and economic & population growth. • Some tensions in energy markets have receded - numerous risks remain and the current relative calm may n
Slide 28: Gas Demand – Global Scenario
Gas Demand – Global Scenario • Buyers pursue long-term supply for energy security – upswing in contracting shows industry’s commitment to LNG • Milder winter, high gas storage levels, modest economic recovery in China and lower demand in Europe helped balance the global gas market during 2023. • Low
Slide 29: Primary Energy Mix - India
Primary Energy Mix - India 502.46 1.65% 6.45% 28.99% 245.46 59.34% 2.16% 54.63 1.41% 18.27 11.95 13.97 Gas Oil Renewables Nuclear Coal Hydro Gas Oil Renewables Nuclear Coal Hydro Source wise primary energy supply in mtoe Source: https://iced.niti.gov.in/energy
Slide 30: Indian Energy Scenario
Indian Energy Scenario • Net Zero by 2070 India’s Decarbonization Target • 500 GW Renewable/cleaner fuel based power generation capacity • Energy self reliance by 2047 • Energy demand in India is growing rapidly and primary energy consumption is expected to more than double by 2050 (BP Energy Outloo
Slide 31: All India Natural Gas Consumption – Historical
All India Natural Gas Consumption – Historical In MMSCMD 200 187 175 178 180 167 166 165 162 Others, 45.46, 160 153 143 141 143 24% Fertilizer, 57.50, 140 89 31% 93 88 75 79 73 120 49 51 68 90 58 100 Sectoral Break-up Petchem, 7.29, FY 2023-24 80 4% (in MMSCMD) 60 95 98 Refinery, 15.94, 40 90 85 85
Slide 32: Natural Gas Consumption in India
Natural Gas Consumption in India • India is the fourth largest LNG market and will be one of the biggest drivers for future LNG demand growth. • Indian buyers announced 11.65 MMTPA of SPAs since 2023 – Recent signings have narrowed the gap between contractual supply and demand – Increasing demand an
Slide 33: Gas infrastructure in India - One Nation-One Grid
Gas infrastructure in India - “One Nation-One Grid” Operational 24,723 km pipelines Authorized 33,347 km pipelines Fig: PNGRB |Natural Gas Pipelines Network in India - as on 31st December, 2023 GJPL DBNPL S. No. Existing Re-gas Terminals Re-gas Capacity Capacity Utilization (MMTPA) (Apr 2023 - Fe
Slide 34: City Gas Distribution – Making gas accessible to public
City Gas Distribution – Making gas accessible to public CNG Stations 6,456 18,000 DPNG 1,25,66,034 12,50,00,000 2021 *Till Feb 2024 2030 CGD Growth: ▪ With increased focus of Govt on CGD sector, it is expected to grow at a CAGR of more than 12% in coming years CGD up to 11th round (300 GAs) Source:
Slide 35: Petrochemical Business Outlook
Petrochemical Business Outlook ❑ India’s per capita consumption of plastics is just 14 kg vs. China per capita consumption of 83 kg. ❑ World average per capita consumption of Plastics is ~39 Kg with US consuming as high as 93 Kg per capita India’s per capita consumption is one of the lowest in Asia
Slide 36: New Initiatives
Compressed Bio Gas (CBG) •403 LOIs for 2261 TPD of CBG issued •GAIL is market leader in CBG sales through CBG-CGD Synchronization scheme •Target to set up 26 CBG plants across India in the next 3-4 years •TruAlt’s JV - Leafinti Bioenergy Ltd - set up 10 plants aiming at ~33 Million kgs production Ne
Slide 37: New Initiatives
Small Scale LNG •2 SSLNG plants (capacity~18 MT/Day) - installed at Vijaipur •MoU signed with the Galileo for manufacturing of skids in India •Truck Loading Facility: Dhabhol - 2 Truck Loading Bay ~12 no of tankers/day LNG/CNG in transportation New •Promoting gas in heavy transport, mining etc. •Pil
Slide 38: Our Touch Points
Our Touch Points For Institutional Investors For Retail Investors & Analysts Shri Sashi Menon, Shri Mahesh Kumar Agarwal, Executive Director (Finance & Accounts) Company Secretary E-mail ID: sashimenon@gail.co.in E-mail ID: mahesh.agarwal@gail.co.in GAIL (India) Ltd. 16, Bhikaiji Cama Place, R.K. Pu