WHA Utilities and Power Public Company Limited · SET:WHAUP
WHA Utilities and Power Public — Q4 2021 Earnings Presentation
58 slides from WHA Utilities and Power Public's earnings presentation, Mar 4, 2022
Slide 1: WHA Utilities and Power Public Company Limited
WHA Utilities and Power Public Company Limited 4 Mar 2022 Your Ultimate Solution Partner in Utilities & Power with Environmental Care
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 Overview II Executive Summary III Operating Performance IV Financial Performance V 2022 Plan & Beyond VI Appendix Your Ultimate Solution Partner in Utilities & Power with Environmental Care 3
Slide 4: Vision and Mission
I. Company Overview VISION “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 operations” MISSION • To develop world class utilities and power solutions fitting customer's needs • To vertic
Slide 5: WHAUP is the Flagship Company in Utilities & Power of WHA Group
I. Company Overview WHAUP is the Flagship Company in Utilities & Power Business of WHA Group ▪ #1 Industrial Estate Developer ▪ Exclusive utilities provider ▪ To be one-stop ▪ #1 Logistics developers, with more than 2.5 million ▪ 12 Industrial Estates in Thailand’s in the industrial estates service
Slide 6: Business Overview
I. Company Overview Business Overview Utilities Business Power Business Sole provider of utilities to manufacturers/ factories in leading Active power investor with strategic partnership with leading Thai and industrial estates with a concrete plan to capture increasing international power companies
Slide 7: Utilities Business At A Glance
I. Company Overview Utilities Business At A Glance ✓ 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 8: Utilities Business – Assets Location
I. Company Overview 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 10 operating IEs located in Thailand and 1 IE (WHA Industrial Zone 1, Nghe
Slide 9: Utilities Business – Strong Customer Base
I. Company Overview Utilities Business – Strong Customer Base WHAUP’s has established the strong operation in 84% of WHAUP’s volume are distributed to heavy EEC area. industry. 2021 Volume by IEs 2021 Volume by Industry Petrochemical Others 40% 11% Consumer 9% 5% WHA SIL 13% ESIE 5% WHA CIE 1 Steel
Slide 10: Power Business - Growing Portfolio
I. Company Overview Power Business - Growing Portfolio Continuing Growth from Projects Under Construction and Committed Projects in Pipeline Unit: MWeq under Operation As of 31 Dec 2021, 607 MW under operation (Incl. solar of 57.1* MW) and 35 MW under development 607 MW 590 MW 559 MW 521 MW 2018 201
Slide 11: Power Business – Portfolio Breakdown
I. Company Overview Power Business – Portfolio Breakdown Total Capacity (642 eq MW) : 607 eq MW under Operation + 35 eq MW under development By Type By Off-taker Analysis 3% 0.4% Portfolio Analysis Gas (46%, 297 eq MW) 14% EGAT/ PEA/ MEA 14% Coal (36%, 231 eq MW) Industrial Users Total Portfolio Tot
Slide 12: 2021 Achievement
I. Company Overview 2021 Achievement New Contract of Value-Added Products SET Outstanding Innovation 2021 ✓ Signed a Water Purchase Agreement of Premium Clarified water for the 1.4 mm3 per year with Gulf TS3 & Gulf TS4 for a duration of 25 years New JV Partnership Listed in THSI 2021 Partnered with
Slide 13: 2021 Achievement (Cont'd)
I. Company Overview 2021 Achievement (Cont’d) Enlarging Solar Portfolio ASEAN’s largest Solar Rooftop Project 41 MW New signed in 2021 92 MW Capacity 19.44 MW Accumulated Solar PPA, exceeding the 90 MW target Contract 25-Yr. Expected COD Late 2022 18 MW Achieved COD in 2021 Solar Rooftop & Carpark T
Slide 14: Agenda
Agenda I Company Overview II Executive Summary III Operating Performance IV Financial Performance V 2022 Plan & Beyond VI Appendix Your Ultimate Solution Partner in Utilities & Power with Environmental Care 14
Slide 15: Key Highlights
II. Executive Summary Key Highlights % change % change Unit : MB Q4’20 Q4’21 12M’20 12M’21 YoY YoY Revenue, Normalized Share of Profit and 670.6 684.3 2% 2,605.4 3,016.8 16% Dividend Income Revenue from 458.8 526.6 15% 1,740.8 2,214.6 27% - Utilities Business/1 426.2 475.4 12% 1,639.5 1,926.2 17% -
Slide 16: Agenda
Agenda I Company Overview II Executive Summary III Operating Performance IV Financial Performance V 2022 Plan & Beyond VI Appendix Your Ultimate Solution Partner in Utilities & Power with Environmental Care 16
Slide 17: Utilities Business - Total Sales and Management Volume
III. Operating Performance Utilities Business - Total Sales and Management Volume* 3M 12M YTD Unit : Million M3 +18% Unit : Million M3 +12% -7% 135.0 114.5 +22% 22.5 35.1 18.5 32.6 29.2 +3% 36.1 +23% 5.9 6.1 31.1 5.0 4.4 9.4 2.7 112.5 8.7 8.0 26.5 1.2 29.1 96.0 Domestic 24.2 1.1 49.6 1.0 Domestic Do
Slide 18: Vietnam Utilities Business - SDWTP Sales Volume
III. Operating Performance Vietnam Utilities Business - SDWTP Sales Volume (100%)1/ Unit : Million M3 3M 12M Unit : Million M3 Unit : Million M3 +22% 75.9 63.8 +22% +3% 52.4 17.3 16.8 14.2 Q4'20 Q4'21 Q3'21 2020 (A) 2021 (A) 2021 (B) Note : /1Sales volume at project based on 100% stake. 4 Mar 2022 1
Slide 19: Power Business - IPP Group
III. Operating Performance Power Business - IPP Group 3M Q4’20 Q4’20 Unit : GWh Q4’21 Q4’21 Unit : % AF Energy Dispatch Q3’21 Availability Q3’21 +2% +40% 98.1% 94.0%95.9% 90.0% 93.1% 1,378 1,408 67.9% 1,005 +21% -16% +236% 67 81 97 148 0 44 Gheco-One HHPC Glow IPP Gheco-One Glow IPP 12M 2020 2020 Un
Slide 20: Power Business - SPP Group
III. Operating Performance Power Business - SPP Group 3M Q4’20 Q4’20 Q4’21 Q4’21 Unit : GWh Energy Dispatch Q3’21 Unit : % AF Availability Q3’21 +0.3% -6.8% +0.8% -7.6% 99.3% 97.8% 99.7% 1,761 1,636 1,642 1,339 1,227 1,237 -0.9% -3.9% 409 405 422 EGAT 1 IU 2 1 + 2 Total Total SPP Business 12M Unit :
Slide 21: Power Business - Solar Energy Dispatch
III. Operating Performance Power Business - Solar Energy Dispatch 3M 12M Unit : GWh +128% Unit : GWh 55.8 2.9 +72% +10% 14.8 24.5 52.8 0.6 13.5 0.7 3.3 8.6 0.7 14.2 12.8 21.2 7.9 Q4'20 (A) Q4'21 (A) Q3'21 (A) 12M'20 (A) 12M'21 (A) WHAUP Rooftop Gulf and WHA Gunkul Solar WHAUP Rooftop Gulf and WHA Gu
Slide 22: Agenda
Agenda I Company Overview II Executive Summary III Operating Performance IV Financial Performance V 2022 Plan & Beyond VI Appendix Your Ultimate Solution Partner in Utilities & Power with Environmental Care 22
Slide 23: Financial Highlight 2021 vs 2020
IV. Financial Performance Financial Highlight 2021 vs 2020 Unit: THB mm 2020 2021 YTD Remarks Total Revenue, NSOP and 2,605.4 3,016.8 16% Dividend Income Total Revenue 1,740.8 2,214.6 27% - Utilities Business 1,639.5 1,926.2 17% - Sales volume growth and water tariff adjustment - EPC Revenue recorde
Slide 24: Financial Highlight Q4'21 vs Q4'20
IV. Financial Performance Financial Highlight Q4’21 vs Q4’20 Unit: THB mm Q4’20 Q4’21 YoY Remarks Total Revenue, NSOP and 670.6 684.3 2% Dividend Income Total Revenue 458.8 526.6 15% - Growth in domestic utilities sales volume mainly due - Utilities Business 426.2 475.4 12% to demand from new custom
Slide 25: Utilities Business – Domestic Revenue and Gross Profit Margin
IV. Financial Performance Utilities Business – Domestic Revenue and Gross Profit Margin Total Revenue from Domestic Utilities Business increased by 11.5% YoY for Q4’21 and 17.5% YoY for FY2021. Total Revenue Gross Profit Margin Unit : THB mm +17.5% 47.9% 45.3% 1,926.2 42.5% 44.9% 11.8 149.8 44.8% 44
Slide 26: Utilities Business: Share of Profit (Vietnam)
IV. Financial Performance Utilities Business : Share of Profit (Vietnam) If accounting adjustment impact is excluded, share of loss from SDWTP and Cua Lo in 2021 improved by 31.5% YoY and 23.6% YoY, respectively. SDWTP Cua Lo 3M Unit : MB 3M Unit : MB Q4'20 (A) Q3'21 (A) Q4’21(A) Q4'21 (A) Q4'21 (B)
Slide 27: Power Business – Normalized Share of Profit and Dividend Payment
IV. Financial Performance Power Business – Normalized Share of Profit and Dividend Payment Normalized Share of Profit and Dividend Income increased 2.9% YoY for Q4’21 but slightly decreased 1.8% YoY for FY2021. 3M 12M Unit: THB mm Unit: THB mm - 1.8% 2.9% - 4.2% 1,024.3 1,006.3 36.5 50.0 2.9 50.7 5.
Slide 28: Profit and Loss Statement – 2021 (A) Vs 2020 (A)
IV. Financial Performance Profit and Loss Statement – 2021 (A) Vs 2020 (A) Normalized Net Income (NNI) 2021 (A) Vs 2020 (A), +86.6 MB or +11.1% + Positive • Higher Gross Profit before depreciation (+260.9 MB): from power business (+93.5 MB) and utilities business (+167.4 MB) • Lower Financial Cost (
Slide 29: Capital Structure and Financial Ratio
IV. Financial Performance Capital Structure and Financial Ratio Statement of Financial Position Debt Maturity Profile as of 31 Jan 2022 Unit : THB mm Unit : THB mm New bond issuance of 1,000 MB in January 2022 4,200 with 1-year tenor and coupon rate of 1.48% p.a. 3,790 26,172 26,172 25,839 25,839 2,
Slide 30: Historical Dividend Payment
IV. Financial Performance Historical Dividend Payment THB/Share 0.30 0.2525 0.2525 0.2525 0.25 0.2034 0.2115 0.20 To be approved by 2021 Annual General Meeting 0.16 0.16 0.16 of Shareholders (AGM) 0.15 0.10 0.2034 0.2115 0.05 0.0925 0.0925 0.0925 0.00 2017 2018 2019 2020 2021 Interim Dividend Additi
Slide 31: Agenda
Agenda I Company Overview II Executive Summary III Operating Performance IV Financial Performance V 2022 Plan & Beyond VI Appendix Your Ultimate Solution Partner in Utilities & Power with Environmental Care 31
Slide 32: Utilities Business - Expanding Products with Horizontal and Vertical Integration
V. 2022 Plan & Beyond Utilities Business - Expanding Our Products with Horizontal and Vertical Integration Selected Portfolio 2022 Target & Beyond Secured Projects Increasing Conventional Water Sales Innovative Product and Solutions Volume in WHA Industrial Estates Expanding Value-added Utilities So
Slide 33: Utilities Business - Enhance Water Supply Capability in Vietnam
V. 2022 Plan & Beyond Utilities Business - Enhance Our Water Supply Capability in Vietnam (34% Shareholding equity) (100% Shareholding equity) (47% Shareholding equity) • To increase water distribution To increase customers base volume Max 4.38 million m3/yr and water supply coverage areas • To incr
Slide 34: Developing Smart Utilities Platform and Solutions
V. 2022 Plan & Beyond Utilities Business – Developing Smart Utilities Platform and Solutions Off-site monitor and operation control SCADA System GIS model for Remote Monitoring for water distribution system SCADA & UOC for WHAUP’s improvement (Phase 1) • Able to monitor and control all WHAUP’s utili
Slide 35: Power Business – Enlarging Renewables Portfolio
V. 2022 Plan & Beyond Power Business – Enlarging Renewables Portfolio Selected projects commissioning in 2021 Cumulative Target Signed PPA 300 MW 2023(F) SBM3 150 MW Amata City 2022(F) Capacity 2.1 MW 51 MW 92 MW 2021(A) COD : Sep 21 2020(A) Honda Solar Projects Prachinburi Capacity 2.5 MW COD : Jun
Slide 36: Power Business – Enlarging Renewables Portfolio
V. 2022 Plan & Beyond Power Business – Enlarging Renewables Portfolio Selected Solar projects commissioning in 2022 Actively Explore Waste-to-Energy opportunity Current WTE : CCE 2022 & Beyond Prinx Chengshan Capacity 19.44 MW Leverage knowledge from existing CCE Project Explore various sources of w
Slide 37: Power Business – Smart Energy Solutions
V. 2022 Plan & Beyond Power Business – Smart Energy Solutions Innovative Energy Solution for Increased Opportunities and Efficiency P2P Energy Trading Smart Microgrid WHAUP collaborates with PEA in studying and implementing P2P Energy Trading System in WHA’s Industrial Estates, Thailand’s first IEs
Slide 38: 2022 Operating Target
V. 2022 Plan & Beyond 2022 Operating Target Introducing Innovation Utilities And Smart Solutions Business Power Business Water Sales and Management Volume Secured Power Purchase Agreement 700 642 Equity MW Equity MW 153/2 135/1 million m3 million m3 2021A 2022F 2021A 2022F To be Asia's leader in Uti
Slide 39: 5-Yr (2022 - 2026) Financial Target
V. 2022 Plan & Beyond 5-Yr (2022 - 2026) Financial Target Total Revenue, Normalized share of profit and dividend % EBITDA Margin income > 50% Unit : THB mm ≈6,000 3,017 CAPEX ≈ 10,000 MB 2021 (A) 2026 (F) 4 Mar 2022 39
Slide 40: Q&A
Q&A 4 Mar 2022 40
Slide 41: IR Contact
IR CONTACT WHA Utilities and Power Public Company Limited Finance and Investor Relations Department 777 WHA TOWER, 22nd Floor, Unit 2203-2205, Moo 13, Debaratna Road (Bangna-Trad) KM.7, Bang Kaeo, Bang Phli, Samut Prakarn 10540 Email: ir@wha-up.com Website: www.wha-up.com 24 Nov 2021 41
Slide 42: Agenda
Agenda I Company Overview II Executive Summary III Operating Performance IV Financial Performance V 2022 Plan & Beyond VI Appendix Your Ultimate Solution Partner in Utilities & Power with Environmental Care 42
Slide 43: Financial Highlight Q4'21 vs Q3'21
VI. Appendix Financial Highlight Q4’21 vs Q3’21 Unit: THB mm Q3’21 Q4’21 QoQ Remarks Total Revenue, NSOP and 761.4 684.3 -10% Dividend Income Total Revenue 524.5 526.6 0.4% - Utilities Business 481.3 475.4 -1% - Revenue from Solar Rooftop projects continued to - Power Business 36.0 40.8 14% increase
Slide 44: Profit and Loss Statement – Q4'21 (A) vs Q4'20 (A)
VI. Appendix Profit and Loss Statement – Q4'21 (A) vs Q4'20 (A) Normalized Net Income (NNI) Q4’21 (A) Vs Q4’20 (A), -132.7 MB or -24.4% + Positive • Higher Gross Profit before Depreciation (+24.3 MB): due to power business (+17.7 MB) and utilities business (+6.6 MB) • Lower Financial Cost (+12.5 MB)
Slide 45: Shareholders and Management Structure
VI. Appendix Shareholders and Management Structure Shareholding Structure Board of Directors Foreign Retail, Ms. Jareeporn Jarukornsakul Mr. David Richard Nardone Institutions, 16.1% Director 3.5% Chairman of Board of Directors Domestic Institutions, 1/ 6.7% WHA /1 Mr. Vivat Jiratikarnsakul Dr. Niph
Slide 46: Latest Water Situation in EEC Area
VI. Appendix Latest Water Situation in EEC Area Figure 1 : Figure 2 : Water Level of Dokkrai, Nongplalai, and Klongyai Reserviors Water Level of Prasae Reservoir Source : Eastwater (as of 18 Feb 2022) 4 Mar 2022 46
Slide 47: Framework and Strategy Sustainability at WHAUP
VI. Appendix Framework and Strategy Sustainability at WHAUP WHAUP has adopted WHA Group’s 5-Year Sustainability Framework to drive corporate sustainability actions to build upon, and align with the Group’s business direction to become “Your Ultimate Solution Partner”. To achieve its aspiration, the
Slide 48: Materiality Assessment on Sustainability
VI. Appendix Materiality Assessment on Sustainability Materiality Issues Environment Dimension Environment Dimension • Water Management • Waste Management • Climate Change • Energy Management • Air Emission • Biodiversity Social Dimension Social Dimension • Human Capital Development • Talent Attract
Slide 49: Sustainability Development Highlight – Environment
VI. Appendix Sustainability Development Highlight Environment Dimension Climate Change and Energy Management Promoting Clean Energy to Our Customers Offers an all-in solar rooftop service package for customers in Thailand including permitting, design and engineering, construction and installation, a
Slide 50: Sustainability Development Highlight – Environment
VI. Appendix Sustainability Development Highlight Environment Dimension Climate Change and Energy Management Integrating Battery with Solar Energy at WHAUP’s Water Plants Energy Saving Conduct feasibility studies to install solar rooftop panels coupled with battery energy in Office Buildings storage
Slide 51: Sustainability Development Highlight – Environment 3R
VI. Appendix Sustainability Development Highlight Environment Dimension Climate Change and Water Management Water Reclamation projects Reduce Re-use and Recycle (3R) Apply 3R to preserve water. By reducing water, WHAUP optimized the production and distribution efficiency since process design to redu
Slide 52: Sustainability Development Highlight – Waste Management
VI. Appendix Sustainability Development Highlight Environment Dimension Waste Management Chonburi Clean Energy (CCE) Plastic Waste Reduction Sludge to Fertilizer Advanced waste-to- Reduce 20,487 energy power plant bottles of plastic located at WHA waste by stop Chonburi Industrial serving plastic Es
Slide 53: Social Dimension – WHA Clean Water for Planet Learning Center
VI. Appendix Sustainability Development Highlight Social Dimension WHA CLEAN WATER FOR PLANET LEARNING CENTER OBJECTIVES 1. To be the learning center showcasing WHA's innovative water management expertise. 2. To be the learning center showcasing WHA expertise in Logistics and supply chain developmen
Slide 54: Social Dimension – Caring for the Environment
VI. Appendix Sustainability Development Highlight Social Dimension Caring for the Environment WHAUP Constructed Wetland Systems, considered a natural technology that is eco-friendly, cost effective and easy to maintain delivered to Pluak Daeng Sub-District Office in Rayong Province. Demonstrate the
Slide 55: Governance and Economic Dimension – Demineralized Water
VI. Appendix Sustainability Development Highlight Governance and Economic Dimension Innovative Project : Demineralized Water Innovation Highlight ✓ Sustainable Water Resource Management Large-scale Project ✓ Sustainable Raw Water Sourcing Maximum Capacity Minimized risk of adverse effects from Water
Slide 56: Governance and Economic Dimension – Smart Utilities & Power
VI. Appendix Sustainability Development Highlight Governance and Economic Dimension SMART Utilities & Power SCADA System Smart Metering Unified Operation Center (UOC) for Remote Monitoring Enhance the Traceability of Utilities Provided Help monitor the wastewater Converted the installed analog water
Slide 57: Governance and Economic Dimension – Risk Management
VI. Appendix Sustainability Development Highlight Governance and Economic Dimension Risk Management Code of Business Conduct 100% of employees at 100% of employees all levels are trained on have been risk management by communicated on the 2022 Code of Conduct Data Security Customer Relationship Mana
Slide 58: Listed in THSI SET Sustainability Index
VI. Appendix Listed in ‘THSI’ SET Sustainability Index WHAUP has been listed in 2021 Thailand Sustainability Investment (THSI) ENVIRONMENTAL Index or selected as one of the ‘Sustainable Stock’, for 2 consecutive years. This reflects the company’s potential to grow a sustainable business with good co
WHA Utilities and Power Public Company — Q4 2021 Earnings Presentation on 6ix