Jindal Steel Limited · NSE:JINDALSTEL
Jindal Steel — Jindal Steel & Power — Q4 FY2020 Earnings Presentation
40 slides from Jindal Steel's earnings presentation, May 25, 2020
Slide 1: Exchange intimation letter: Investor Presentation
May 25, 2020 BSE Limited National Stock Exchange of India Limited Corporate Relationship Department, Exchange Plaza, 5th Floor 1st Floor, New Trading Ring, Plot No. C/1 , G Block Rotunda Building, P J Towers, Bandra-Kurla Complex, Bandra (E), Dalal Street, Fort, Mumbai- 400 001 Mumbai-400 051 Securi
Slide 2: Q4 FY'20 Industry Update & Key Performance Highlights
Q4 FY’20 Industry Update & Key Performance Highlights 25th May, 2020
Slide 3: Forward looking statements disclaimer
This presentation may contain certain forward looking statements concerning Steel & power sector , Economy and JSPL’s future business prospects and business profitability, which are subject to a number of risks and uncertainties and the actual results could materially differ from those in such forwa
Slide 4: Q4 FY'20 Highlights
Q4 FY’20 HIGHLIGHTS INDUSTRY UPDATE COMPANY UPDATE
Slide 5: Revenue & EBITDA in FY20
REVENUE & EBITDA IN FY20 (Figures in Rs. Crores) REVENUE (Rs. In Cr) Standalone Consolidated 39,388 36,944 27,844 22,706 18,350 19,943 20,070 19,626 18,632 27,730 26,228 17,523 15,114 14,691 13,687 15,502 13,518 12,852 FY 12 FY 13 FY 14 FY 15 FY 16 FY 17 FY 18 FY 19 FY 20 EBIDTA (Rs. In Cr) (Figures
Slide 6: JSPL Consolidated Debt Bridge
JSPL CONSOLIDATED DEBT BRIDGE 50000 Debt Bridge FY20 (Rs. In Crores) 45000 3894 40000 1161 485 35000 30000 25000 20000 39137 35919 15000 10000 5000 0 Net Debt as on 1st April'19 Debt reduction Fx Impact(Addition due to FX ) Movement in Cash & Cash Net Debt as on 31st Mar'20 Equivalents In Opening De
Slide 7: Q4 FY'20 Industry Update
Q4 FY’20 INDUSTRY UPDATE HIGHLIGHTS COMPANY UPDATE
Slide 8: Indian Steel Industry: FY20 Major Highlights
Indian Steel Industry : FY20 Major Highlights (All Fig in Mt) Crude Production 111 109 The Crude steel production decreased by 1.5 % (y-o-y) 1.5% The Primary producers production down by 1% (63 Mt) while Other Producers production down by 2.5% (46 Mt) , (share of production 58:42) FY19 FY20 99 1
Slide 9: Raw Material prices remained firm
Raw Material prices remained firm > Iron Ore : 62% CFR China ($/MT) > Met Coal : PLV FOB Australia ($/MT) 120 204 208 109 197 99 97 181 93 91 93 92 92 90 86 88 156 160 85 83 155 145 149 149 134 136 131 117 Aug-19 Apr-19 Jun-19 Apr-20 Jan-20 Nov-19 Feb-20 Jul-19 Sep-19 Oct-19 Mar-20 May-19 Dec-19 Cur
Slide 10: Power Business
POWER BUSINESS Sector-wise PLF (%) Energy Requirement vs Availability (in BUs) 90 1275 1290 86 84 85 1300 82 1213 85 81 79 1200 1143 1268 1284 80 76 1114 1205 74 75 73 72 73 1069 71 1100 70 1135 996 1002 1091 70 65 1000 71 64 937 1031 65 62 67 68 61 60 862 66 900 831 960 60 56 56 58 55 909 59 60 55
Slide 11: IEX Clearing Price Trend
IEX CLEARING PRICE TREND 6.30 RTC Power Exchange Prices – W3 Region (Rs./kWh) 5.73 5.30 4.69 4.57 FY 15-16 4.30 3.97 FY 16-17 FY 17-18 3.68 4.02 3.58 FY 18-19 3.45 3.33 3.68 3.68 3.30 3.33 FY 19-20 3.30 3.38 3.32 3.05 3.06 FY 20-21 3.33 3.32 3.19 3.20 3.19 3.22 3.06 2.92 2.86 2.91 2.57 2.85 2.67 2.7
Slide 12: Installed Capacity in India as on 31st Mar 2020
Installed Capacity in India as on 31st Mar 2020 is 370 GW vis-à-vis 356 GW as on 31st Mar 2019 205 201 46 45 38 36 35 28 25 25 22 21 Coal Hydro Wind Gas Solar Others Installed Capacity GW (Mar 20) Installed Capacity GW (Mar 19) Source: CEA
Slide 13: Q4 FY'20 Highlights Industry Update
Q4 FY’20 HIGHLIGHTS INDUSTRY UPDATE COMPANY UPDATE
Slide 14: Business Segments
BUSINESS SEGMENTS STEEL POWER GLOBAL VENTURES Current Capacities – Domestic & Global 8.6 MTPA Steel* 2.4 MTPA Steel IPP – 3400MW 3.11 MTPA* Iron ore Coal & Iron Ore CPP – 1634 MW 9 MTPA* Pellet Plant Mines *Domestic
Slide 15: Steel Capacities Across Life Cycle
STEEL CAPACITIES ACROSS LIFE CYCLE IRON MAKING LIQUID STEEL FINISHED STEEL (10.25 MTPA) (11.00 MTPA) (7.95 MTPA) WRM 0.60 MTPA Capacity DRI 4.92 MTPAin deail RUBM 0.75 MTPA SMS 11.00 MTPA MLSM 0.60 MTPA BF 5.33 MTPA Plate Mill 2.20 MTPA BRM 3.80 MTPA
Slide 16: Detailed Plant Wise Capacities
DETAILED PLANT WISE CAPACITIES Raigarh Angul Barbil Patratu Oman JPL Mining (Chhattisgarh) (Odisha) (Odisha) (Jharkhand) CGP BF 2.125 MTPA 225,000 DRI 1.8 Nm3/Hr MTPA DRI 1.32 MTPA BF 3.2 MTPA WRM Capacity in deail 0.60 SMS DRI 1.8 MTPA 3.6MTPA MTPA SMS 2.5 SMS 2.4 Iron Plate Mill MTPA Pellet Tamnar
Slide 17: Manifold Growth in Capacity in Last 6 Years
MANIFOLD GROWTH IN CAPACITY IN LAST 6 YEARS FY ‘14 FY ‘20 STEEL - INDIA 3 MTPA 8.6 MTPA ~2.86x POWER 1,000 MW 3400 MW 3.4x OMAN 0 MTPA 2.4 MTPA Add PELLET 4.5 MTPA 9 MTPA ~2x All major capex completed – scale of growth is approx. Three Times
Slide 18: Growth on Track
GROWTH ON TRACK PRODUCTION IN FY19 PRODUCTION IN FY20 GROWTH STEEL – INDIA* 5.59 MT 6.30 MT 13% STEEL – OMAN 1.71 MT 1.87 MT 9% ROM- MOZAMBIQUE 1.71 MT 2.50 MT 47% (COKING COAL) PELLET 7.08 MTPA 7.28 MTPA 3% ROM-SOUTH AFRICA 0.34 MT 0.43 MT 27% (ANTHRACITE COAL) *incl. Pig Iron
Slide 19: JSPL Standalone Key Financials
JSPL STANDALONE KEY FINANCIALS (Rs. In Crores) Q3 FY 20 Q4 FY 20 PARAMETER Q4 FY 20 Q4 FY 19 7,542 6,767 Gross Revenue* 6,767 8,544 6,640 5,930 Net Revenue 5,930 7,402 1,352 1,562 EBITDA 1,562 1,440 20% 26% EBITDA % 26% 19% 570 568 Depreciation + Amortization 568 576 634 623 Interest 623 980 148 372
Slide 20: JSPL - Power Capacities
JSPL - POWER CAPACITIES Independent Power Projects (IPP) CAPACITY CONFIGURA PROJECT FUEL STATUS (MW) TION TAMNAR 1 1,000 Coal 4x250 MW Operational TAMNAR 2 2,400 Coal 4x600 MW Operational Captive power projects (within JSPL) Raigarh CAPACITY PROJECT FUEL CONFIGURATION STATUS Tamnar (MW) Angul DCPP,
Slide 21: Jindal Power Limited EUP I, II, III
JINDAL POWER LIMITED 96.43% subsidiary of JSPL EUP -I EUP -II EUP -III 1000MW (4 X 250) 1200MW (2 X 600) 1200MW (2 X 600)
Slide 22: PPA Arrangements
PPA ARRANGEMENTS PERIOD QUANTUM PROJECT BUYER TYPE FROM TO (MW) TAMNAR II Tamil Nadu Long Term Feb-14 Sep-28 400 (PHASE 1) TAMNAR II Long Term Jun-16 May-41 200 (PHASE 1) KSEB TAMNAR II Long Term Oct-17 Sep-42 150 (PHASE 1) TAMNAR II Long Term After commercial operation 60 (PHASE 1) Chhattisgarh of
Slide 23: JPL Key Financials
JPL KEY FINANCIALS (Rs. In Crores) Q3 FY 20 Q4 FY 20 PARAMETER Q4 FY 20 Q4 FY 19 784 913 Turnover 913 999 257 333 EBITDA 333 267 33% 36% EBITDA % 36% 27% 292 334 Depreciation + Amortization 334 324 219 208 Interest 208 236 (111) (188) PBT (188) (37) (83) (134) PAT (134) 11 181 265 Cash Profit 265 36
Slide 24: Key Contractual Arrangements for JPL
KEY CONTRACTUAL ARRANGEMENTS FOR JPL TAMNAR-I, 1,000 MW (EUP I) TAMNAR-II - 1,200 MW (EUP II) TAMNAR-II - 1,200 MW (EUP III) Long term linkage from Coal sourced through – Coal sourced through – Mahanadi Coal Limited FSA market purchase and e- market purchase and e- (MCL) and South Eastern auct
Slide 25: Summary of International Operations
SUMMARY OF INTERNATIONAL OPERATIONS SHADEED, OMAN 1.8 MT DRI , 2.4 MT SMS Plant & 1.4MTPA Rebar Mill – an Integrated Steel Plant MOZAMBIQUE, AFRICA 5 MTPA coal mine in Mozambique’s coal-rich Moatize region SOUTH AFRICA, AFRICA AUSTRALIA JSPL’s Kiepersol Colliery produces Anthracite coal, 60.
Slide 26: Holding Structure for Global Operations
HOLDING STRUCTURE FOR GLOBAL OPERATIONS Jindal Steel & Power Ltd Listed Operating Entity in India Jindal Steel & Power (Mauritius) Ltd Holding company for overseas business Oman Australia South Africa Mozambique 2.4 MTPA Steel plant Coking Coal Anthracite Coal Thermal/ Coking Coal
Slide 27: JSPL Consolidated Key Financials
JSPL CONSOLIDATED KEY FINANCIALS (Rs. In Crores) Q3 FY 20 Q4 FY 20 PARAMETER Q4 FY 20 Q4 FY 19 10,203 9,674 Gross Revenue* 9,674 11,304 9,300 8,835 Net Revenue 8,835 10,159 1,820 2,220 EBITDA 2,220 1,845 20% 25% EBITDA % 25% 18% 1,018 757 Depreciation + Amortization 757 2373 1,002 1,008 Interest 1,0
Slide 28: JSPL's response to COVID-19
JSPL Contributed Rs. 25 crores to JSPL’s JSPL has committed to supply free the PM Cares Fund oxygen if any hospital in the states of Chhattisgarh and Odisha is short of response Each JSPL Employee has contributed to Oxygen the PM cares Fund to COVID- JSPL has upgraded its hospitals to fight the JSPL
Slide 29: JSPL's Three Phase Response to the Crisis – COVID-19
JSPL’S THREE PHASE RESPONSE TO THE CRISIS – COVID -19 JSPL adopted a three phase response to battle COVID-19 – Respond, Return & Reform. The 3 phases kick in one by one as the COVID-19 curve progresses across the Nation with ‘Respond’ being JSPL’s immediate reaction to the outbreak; ‘Return’, being
Slide 30: JSPL's Immediate Response to COVID-19
JSPL’S IMMEDIATE RESPONSE TO COVID-19 1. Respond 2. Return 3. Reform 16 March 2020 01 April 2020 Health Facilities up gradation Launched Connecting with Local Organization-Wide communities Engagement Plans Portal for COVID -19 updates 20 March 2020 with series of Work from Home Webinars 07 Mar
Slide 31: Battling the Lockdown – The People's Perspective
BATTLING THE LOCKDOWN – THE PEOPLE’S PERSPECTIVE 1. Respond 2. Return 3. Reform In the second phase, JSPL endeavored to recognize the people's perspective and adopted measures to ensure their holistic well-being, thereby ensuring business continuity during and after lockdown. JSPL takes cognizance o
Slide 32: Reform: Way to New Normal
REFORM : WAY TO NEW NORMAL 1. Respond 2. Return 3. Reform The key to winning in the new realm rests on the resilience and agility we build in the organization today. The crisis is an ultimate test of our strength and JSPL’s success would depend on our ability to leverage the lessons of today and ref
Slide 33: COVID Response: JSPL Remains Committed to Serve the Nation
COVID 19 RESPONSE: JSPL REMAINS COMMITTED TO SERVE THE NATION
Slide 34: Key Customers & Adding...
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Slide 35: Odisha
ODISHA INTEGRATED STEEL PLANT , ANGUL PELLET PLANT, BARBIL
Slide 36: Chhattisgarh
CHHATTISGARH INTEGRATED STEEL PLANT,RAIGARH STEEL FABRICATION PLANT, PUNJIPATRA HEAVY MACHINERY DIVISION, RAIPUR TAMNAR,3400 MW POWER PLANT
Slide 37: Jharkhand
PANTHER JINDAL? JHARKHAND WRM & BRM, PATRATU
Slide 38: Jindal Shadeed, Oman
JINDAL SHADEED, OMAN
Slide 39: Investor relations contact
For any information please contact: - Mr. Nishant Baranwal – Head, Investor Relations Tel : +91 11-41462198 Mobile:+91 8800690255 Email: - nishant.baranwal@jindalsteel.com Mr. Gourav Sancheti– Asst. Manager, Investor Relations Tel : +91 0124-6612317 Mobile:+91 9038240683 Email: - gourav.sancheti@jin
Slide 40: Thank You!
To the Taskforce guarding INDIA against the Corona Virus Pandemic Thank You !
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