Nava Limited · NSE:NAVA
Nava — Nava Bharat Ventures — Q4 FY21 Earnings Presentation
42 slides from Nava's earnings presentation, June 2021
Slide 1: Investor Presentation
Investor Presentation June 2021
Slide 2: Disclaimer
DISCLAIMER Certain statements in this document that are not historical facts are forward looking statements. Such forward-looking statements are subject to certain risks and uncertainties like government actions, local, political or economic developments, technological risks, and many other factors
Slide 3: Agenda
04 Financial Performance Update – Q4 & FY21 15 Company Overview 25 Business Segments
Slide 4: Q4 & FY21
Q4 & FY21
Slide 5: Q4 & FY21 – Consolidated Financial Performance
Q4 & FY21 – Consolidated Financial Performance NET REVENUES (INR Mn) # ADJUSTED EBITDA & EBITDA MARGIN (INR Mn) # PAT & PAT MARGIN (INR Mn) 8,091 48.5% 22.9% 23.1% 6,887 44.2% 3,924 -15 % -22 % 3,043 -14 % 1,851 1,594 Q4 FY20 Q4 FY21 Q4 FY20 Q4 FY21 Q4 FY20 Q4 FY21 NET REVENUES (INR Mn) # ADJUSTED E
Slide 6: Q4 & FY21 – Domestic Financial Performance
Q4 & FY21 – Domestic Financial Performance NET REVENUES (INR Mn) # EBITDA & EBITDA MARGIN (INR Mn) # PAT & PAT MARGIN (INR Mn) 4,093 4,161 32.4% 17.1% 23.0% 1,346 11.6% 943 2% 710 22 % 42 % 502 Q4 FY20 Q4 FY21 Q4 FY20 Q4 FY21 Q4 FY20 Q4 FY21 NET REVENUES (INR Mn) # EBITDA & EBITDA MARGIN (INR Mn) #
Slide 7: Q4 & FY21 - Consolidated Profit & Loss Statement
Q4 & FY21 - Consolidated Profit & Loss Statement Particulars (INR Million) # Q4 FY21 Q4 FY20 YoY (%) FY21 FY20 YoY (%) Revenue from Operations 6,886.7 8,091.0 -14.9% 25,485.0 27,587.2 -7.6% Cost of Goods Sold 2,105 2,390 -11.9% 5,410 7,848 -31.1% Gross Profit 4,782.0 5,701.1 -16.1% 20,075.5 19,738.8
Slide 8: Q4 & FY21 - Domestic Profit & Loss Statement
Q4 & FY21 - Domestic Profit & Loss Statement Particulars (INR Million) Q4 FY21 Q4 FY20 yoy FY21 FY20 yoy Revenue from Operations 4,161 4,093 1.7% 10,938 13607 -19.6% Cost of Goods Sold 2,060 2368 -13.0% 5,363 7682 -30.2% Gross Profit 2,101 1726 21.7% 5,576 5925 -5.9% Gross Margin (%) 50.5% 42.2% 830
Slide 9: Q4 & FY21 – Segmental Performance Highlights (Revenue)
Q4 & FY21 – Segmental Performance Highlights Revenue Breakdown - By Segments (INR Mn) Segments Q4 FY21 Q4 FY20 YoY (%) FY21 FY20 YoY (%) India – Power Operations 1,705 2,082 -18.1% 4,429 7,400 -40.1% Ferro Alloys 2,998 2,739 9.5% 8,470 8,831 -4.1% Zambia – Power Operations 2,633 4,179 -37.0% 14,505
Slide 10: Q4 & FY21 – Segmental Performance Highlights (EBITDA)
Q4 & FY21 – Segmental Performance Highlights EBITDA Breakdown (INR Mn) - By Segments Segments Q4 FY21 Q4 FY20 YoY (%) FY21 FY20 YoY (%) % EBITDA Margin Q4 FY21 Q4 FY20 FY21 FY20 India – Power 648 650 -0.2% 1,113 1,736 -35.9% India - Power 38.0% 31.2% 25.1% 23.5% Ferro Alloys 478 219 118.5% 883 451 9
Slide 11: India Power Operations – Financial & Operating Metrics
India Power Operations – Financial & Operating Metrics Key Operating Metrics Q4 FY21 Q4 FY20 YoY (%) FY21 FY20 YoY (%) Total Power Units Sold (in Million Units) 288 252 14.4% 822 1,013 -18.8% Merchant Sales 113 72 57.6% 174 307 -43.3% ▪ Domestic power division revenues declined in Q4 FY21 primarily
Slide 12: Ferro Alloys Operations – Financial & Operating Metrics
Ferro Alloys Operations – Financial & Operating Metrics Key Operating Metrics Q4 FY21 Q4 FY20 YoY (%) FY21 FY20 YoY (%) Ferro & Silico Manganese Production (tons) 26,567 25,833 2.8% 96,036 1,00,803 -4.7% Sales (tons) 33,392 34,124 -2.1% 95,711 97,998 -2.3% Ferro Chrome Production (tons) 14,861 17,57
Slide 13: Zambia Power Operations – Financial & Operating Metrics
Zambia Power Operations – Financial & Operating Metrics Key Operating Metrics Q4 FY21 Q4 FY20 YoY (%) FY21 FY20 YoY (%) Power Units Sold (in Million Units) 350 590 -40.7% 1,896 2,010 -5.7% Average PLF (%) 54.0% 90.3% - 72.1% 76.3% - USD Millions INR Millions Key Financial Metrics Q4 FY21 Q4 FY20 YoY
Slide 14: Zambia Coal Mining – Financial & Operating Metrics
Zambia Coal Mining – Financial & Operating Metrics Key Operating Metrics Q4 FY21 Q4 FY20 YoY (%) FY21 FY20 YoY (%) Coal Sales to outsiders (In MTPA) 1,08,633 33,640 222.9% 3,75,412 2,41,016 55.8% USD Millions INR Millions Key Financial Metrics Q4 FY21 Q4 FY20 YoY (%) FY21 FY20 YoY (%) Q4 FY21 Q4 FY2
Slide 15: Company Overview
% NAVA BHARAT Company Overview
Slide 16: Quick Snapshot
Quick Snapshot Leading Business Group ▪ Diversified organization with interests in power generation, O&M Ferro Alloys services, ferro alloys, coal mining and health care ▪ Leading manufacturer & exporter of Manganese and Chromium Alloys ▪ Operates in different geographies spanning across India, Sout
Slide 17: Company Structure
Company Structure Ferro-Alloys Power Mining Healthcare Nava Bharat Energy India Ltd. Nava Energy Pte. Ltd. Nava Holding Pte. Ltd. Nava Bharat (Singapore) Pte. Ltd. Nava Bharat Ventures (Standalone) (100% Owned Subsidiary) (100% Owned Subsidiary) (Step-down Subsidiary) (100% owned subsidiary) Telanga
Slide 18: Diversified Geographic Presence
Diversified Geographic Presence Domestic Operations – Facilities Chart on India Map Global Operations – Facilities Chart on Global Map Note: Sugar & Allied Business including a sugar Processing Plant of 4,000 TCD, and Power Plant of 9 MW in Andhra Pradesh, has been classified as Discontinued Operati
Slide 19: Key Milestones in 40+ Years
Key Milestones in 40+ Years Commenced Global Acquired Forayed into Ferro Silicon Manganese & footprint - with Maamba Healthcare- Operations at Chrome Alloys establishment Collieries Ltd. enabled Operations at of 100% - Largest coal services in Paloncha, Kharagprasad, subsidiary in mine in South Indi
Slide 20: Key Management Team
Key Management Team Mr. D Ashok, Chairman Mr. P Trivikrama Prasad, MD • MBA from USA with 37 years experience in all facets of project • MBA from USA with 37 years experience in sugar industry, management, manufacturing and strategy. corporate planning and financial management. • Oversaw the growth
Slide 21: Analyzing Yearly Financials – Consolidated Operations
Analyzing Yearly Financials – Consolidated Operations Revenue EBITDA CAGR: 17% CAGR :42% 13,934 13,183 12,003 29,460 27,587 25,485 8,624 23,478 13,867 3,214 FY17 FY18 FY19 FY20 FY21 FY17 FY18 FY19 FY20 FY21 Revenue (INR Mn) EBITDA (INR Mn) PAT Debt Equity Ratio CAGR: 56% 5,308 5,507 1.3 1.1 3,390 0.
Slide 22: 55%+ of Total Revenue & EBITDA is Largely Non-cyclical
55%+ of Total Revenue & EBITDA is Largely Non-cyclical Zambia Ferro Zambia Power Others Power Alloys Coal (India) (India) (20-Year (India) Mining PPA) Captive Merchant Ferro Chrome Ferro & Silico (Tata Conversion) Manganese * Revenue (INR Mn) 3,448 981 1,872 6,597 2,533 14,505 3,544 Contribution % 1
Slide 23: Key Strengths: Recurring Revenue & Captive Resources
Key Strengths: Recurring Revenue & Captive Resources Business Strengths Benefits i) CPP 204 MW ii) Conversion Agreement with TATA i) Substantial cost savings Ferro Alloys: Steel for Ferro Chrome ii) Steady revenue from TATA steel conversion Manganese Alloys & Ferro Chrome iii) Import tie up for bulk
Slide 24: Value Creation - Growth & Value Unlocking Initiatives
Value Creation - Growth & Value Unlocking Initiatives Non-core Asset Monetisation: • Monetise 20 MW IPP Power plant in Andhra Pradesh • Large land bank in Hyderabad, and Dharmavaram (near Kakinada Port) in Andhra Pradesh • Sugar plant & project land, Samalkot, Andhra Pradesh Drive Higher Revenue Gro
Slide 25: Discussing Our Business Segments
DISCUSSING OUR BUSINESS SEGMENTS Indian Ferro Indian Power Indian Sugar & Healthcare Zambia Power Zambia Mining Indian Ferro Alloys Indian Power Allied Healthcare Zambia Power Zambia Mining Alloys
Slide 26: Indian Power Business
NAVA BHARAT Indian Power Business
Slide 27: Indian Power Assets: Ideal Mix of CPP & IPP
Indian Power Assets: Ideal Mix of CPP & IPP Power plants with capacity of 434MW are spread across over the states of Telangana, Odisha & Andhra Pradesh Standalone Operations Wholly Owned Subsidiary - NBEIL Location Paloncha, Telangana Kharagprasad, Odisha Andhra Pradesh Paloncha, Telangana 114 MW 15
Slide 28: CPP provides stability to earnings in Indian Power Business
CPP provides stability to earnings in Indian Power Business PLF India Power Revenue (INR Mn) 14,0 00 67% 67% 12,0 00 11,371 62% 64% 59% 54% 53% 10,0 00 49% 5,064 8,336 46% 8,00 0 7,557 7,528 2,694 6,00 0 2,605 2,482 4,430 4,00 0 460 6,307 5,642 4,952 5,046 2,00 0 3,970 - FY17 FY18 FY19 FY20 FY21 FY1
Slide 29: Nava Bharat
NAVA BHARAT
Slide 30: Ferro Alloys - Moving away from Cyclicality
Ferro Alloys - Moving away from Cyclicality Ferro Alloys business has been one of the key drivers of growth Ferro Alloys in Brief… • Company’s Ferro Alloys capacities are supported by captive power giving them inherent advantage over competitors. Location Paloncha, Telangana Kharagprasad, Odisha • C
Slide 31: Ferro Alloys – Key Financial & Operating Metrics
Ferro Alloys – Key Financial & Operating Metrics Production (tons) & Capacity Utilization (%) 180 ,000 86% 91% 92% 100 % 84% 90% 77% 160 ,000 76% 80% 82% 140 ,000 81% 77% 70% 120 ,000 60% 95,301 105,032 100,803 96,036 60% 100 ,000 74,838 50% 68,423 68,657 64,820 61,171 80,0 00 57,109 40% 60,0 00 30%
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Slide 33: Healthcare Operations
Healthcare Operations We have forayed into healthcare-enabled services with initial focus in Singapore and Malaysia Key Highlights • Asset-light model - Services covering diagnosis, drug procurement to administration. • Acquired 65% stake in TIASH Pte Ltd. that provided entry to healthcare enabled s
Slide 34: Operation & Maintenance
Operation & Maintenance 34
Slide 35: Operations & Maintenance Services
Operations & Maintenance Services NBVL’s Subsidiary “Nava Energy Pte Ltd” Provides Operations and Maintenance Related Services for MCL’s Power Plant in Zambia. This Generates a Stable Cash Flow Stream which is being repatriated to India • NBVL’s wholly-owned subsidiary “Nava Energy Pte Ltd” provides
Slide 36: Zambia Power
NAVA BHARAT Zambia Power
Slide 37: Zambia Power – Only Thermal Power Plant in Zambia
Zambia Power – Only Thermal Power Plant in Zambia Maamba Collieries Limited (NBVL’s 65% Subsidiary) is the only Thermal Power Producer in Zambia Making it an Indispensable Asset Given Zambia’s Power Deficit Status and Excessive Dependence on Hydropower Mamba Collieries Limited – Zambia Power Plant O
Slide 38: Zambia Power – Financial & Operating Metrics
Zambia Power – Financial & Operating Metrics Key Operating Metrics FY18 FY19 FY20 FY21 Power Units Sold (in Million Units) 958 1,732 1,781 1,896 Availability (%) 69.4% 87.0% 76.6% 77.7% Average PLF (%) 62.1% 74.6% 76.3% 72.1% Realisation per unit (USD) 0.11 0.12 0.11 0.12 Currency USD (In Millions)
Slide 39: Zambia Coal Mining
NAVA BHARAT Zambia Coal Mining
Slide 40: Zambia Coal Mining – Effectively Complements Power Business
Zambia Coal Mining – Effectively Complements Power Business Maamba Collieries Limited (NBVL’s 65% Subsidiary) Operates the Largest Coal Mine in Zambia – Supplying High-Grade Coal to Industrial Customers like Lafarge, Dangote and others. Majority of the Billing is in USD, and we realize the amounts w
Slide 41: Zambia Coal Mining – Financial & Operating Metrics
Zambia Coal Mining – Financial & Operating Metrics Key Operating Metrics FY17 FY18 FY19 FY20 FY21 CAGR (%) Coal Sales to outsiders 276,486 326,612 233,754 241,016 3,75,412 8% (Metric Tons Per Annum) Currency USD (In Millions) INR (In Millions) Key Financial Metrics FY17 FY18 FY19 FY20 FY21 CAGR (%)
Slide 42: Contact
VSN Raju Nachiket Kale / Chintan Mehta Vice President & Company Secretary Dickenson World Nava Bharat Ventures Ltd Tel : + 91 99209 40808 / +91 9892183389 Tel : + 91 40 2340 3501 Email : nava.bharat@dickensonworld.com Email : vsnraju@nbv.in 42