Aksa Enerji Uretim A.s. · BIST:AKSEN
Aksa Enerji Uretim A.s — FY2019 Earnings Presentation
34 slides from Aksa Enerji Uretim A.s's earnings presentation, Feb 28, 2020
Slide 1: Transforming into a Global Energy Player - Earnings Presentation
TRANSFORMING INTO A GLOBAL ENERGY PLAYER... EARNINGS PRESENTATION 28 FEBRUARY 2020 P O W E R B E Y O N D B O R D E R S
Slide 2: Turkish Market
NNT he N\A / | LAG? XN OK WAG NAL
Slide 3: Market Highlights: FY 2019 Key Figures
MARKET HIGHLIGHTS FY 2019 – Key Figures GENERATION BY FUEL TYPE FY2018 GENERATION BY FUEL TYPE FY2019 Generation via natural gas Wind decreased by 12 ppts YoY due to Hydro 20% 7% Wind 7% Others Others low spark spread. 3% Hydro 4% 31% Fuel Oil 1% Fuel Oil On the other hand, generation 1% from hydro
Slide 4: Installed Capacity Changes by Fuel Type
MARKET HIGHLIGHTS Installed Capacity Changes by Fuel Type FY2019 – FY2018 CAPACITY CHANGES When new and decommissioned Fossil Renewable capacities are netted off, there is an increase of 727 MW in 1.400,00 lignite&coal, 534 MW in wind, 1.200,00 1.000,00 234 MW in natural gas, 202 MW 800,00 600,00 in
Slide 5: Generation & Consumption
MARKET HIGHLIGHTS Generation & Consumption In 2019, electricity generation and consumption decreased by 0,6% YoY. GENERATION (GWh) CONSUMPTION (GWh) 300.000 300.000 250.000 250.000 200.000 200.000 150.000 292.779 150.000 292.172 291.022 290.444 100.000 100.000 50.000 50.000 - - 2018 2019 2018 2019 3
Slide 6: Natural Gas Prices vs Spot Energy Prices
MARKET HIGHLIGHTS Natural Gas Prices vs Spot Energy Prices BOTAŞ NATURAL GAS TARIFF vs ENERGY PRICES (TRY) 500 1700 1800 1650 1600 1600 1550 1550 1550 1550 450 1755 1700 1650 400 1600 1600 1550 1550 1550 1550 Margin recovery in generation 350 1300 from natural gas has not 300 332 322 878 878 complet
Slide 7: Turkish Operations
TURKISH OPERATIONS OPERATIONS
Slide 8: Turkish Operations – USD based visibility in coal fired PP
Turkish Operations – USD based visibility in coal fired PP • The regulator amended the “Purchase of Electricity from Private Companies Operating Bolu, TRNC, Ghana, Only Domestic Coal-Fired Power Plants” for 2019 and beyond. Mali and Madagascar power • TRY denominated power purchases of EUAS are part
Slide 9: Turkish Operations
Turkish Operations • Local power plants’ production in FY2019 was 27% lower YoY since: High margin coal fired business along with o Bolu Göynük CFPP was in planned maintenance between April-June, one unit at a time. peak hour generation at o CCGT PPs were utilised at peak hours to maximise profitabi
Slide 10: Turkish Operations – Bolu Coal Fired PP Benefits from High Price Scheme
Turkish Operations – Bolu Coal Fired PP Benefits from High Price Scheme The YoY increase (+14%) in spot EÜAŞ PURCHASE TARIFF vs AVG SPOT PRICES (TRY) energy prices improved the 350 profitability of our local coal 317 322 fired power plant, Bolu Göynük, 298 316 significantly. We sell about half 300 2
Slide 11: Overseas Operations - The Tariff Structure
Overseas Operations - The Tariff Structure • The tariffs of Aksa Energy’s overseas power plants, including the one in TRNC and CTA-2 Power Plant, which is operated on behalf of Madagascar, consist of two components: Hard currency 1. The first component is the guaranteed capacity charge that yields a
Slide 12: Overseas Operations - Ghana/Madagascar/Mali/TRNC
Overseas Operations- Ghana/Madagascar/Mali/TRNC • Generation at overseas power plants was parallel to the previous year, up by 1% in volume. Volumes maintained o In the African power plants, the dispatch orders continue to be driven by their in FY2019 need to manage their balance sheet and the amoun
Slide 13: Financial & Operational Highlights FY2019
FINANCIAL & OPERATIONAL HIGHLIGHTS FY2019
Slide 14: Sales Breakdown (Turkey + TRNC)
FINANCIAL HIGHLIGHTS FY2019 Results Sales Breakdown (Turkey + TRNC) 4Q 2018 1Q 2019 2Q 2019 3Q 2019 4Q 2019 FY 2018 FY 2019 MWh TRY/MWh MWh TRY/MWh MWh TRY/MWh MWh TRY/MWh MWh TRY/MWh MWh TRY/MWh MWh TRY/MWh Northern 174.622 755 174.854 701 175.484 777 179.710 743 175.800 747 704.314 649 705.848 742
Slide 15: Sales Breakdown (Turkey+TRNC vs Africa)
FINANCIAL HIGHLIGHTS FY 2019 Results Sales Breakdown (Turkey+TRNC vs Africa) 4Q 2018 1Q 2019 2Q 2019 3Q 2019 4Q 2019 FY 2018 FY 2019 MWh TRY/MWh MWh TRY/MWh MWh TRY/MWh MWh TRY/MWh MWh TRY/MWh MWh TRY/MWh MWh TRY/MWh TURKISH MARKET 3.058.963 273 2.988.191 301 3.577.429 275 4.101.233 289 4.817.096 28
Slide 16: FY 2019 Results Snapshot
FINANCIAL HIGHLIGHTS FY 2019 Results Snapshot QoQ 4Q YoY 4Q 2018 1Q 2019 2Q 2019 3Q 2019 4Q 2019 FY 2018 FY 2019 YoY Change Change Change Installed Capacity* 1.946 MW 1.946 MW 1.946 MW 1.946 MW 1.946 MW - - 1.946 MW 1.946 MW - Sales Volume (GWh) 3.229 3.260 3.871 4.323 5.058 17.0% 56.6% 15.143 16.51
Slide 17: Further improvement in Net Financial Debt/EBITDA ratio
FINANCIAL HIGHLIGHTS FY2019 Results Further improvement in Net Financial Debt/EBITDA ratio EBITDA (TRY mn) NET FINANCIAL DEBT/EBITDA 1600 10,0 1400 8,0 1200 1.467 6,3 1000 5,6 5,6 6,0 5,2 800 4,0 3,6 600 1.033 2,1 400 443 435 2,0 493 200 0,0 0 2014 2015 2016 2017 2018 2019 2015 2016 2017 2018 2019 1
Slide 18: Net Financial Debt – $173mn YoY Debt Reduction
FINANCIAL HIGHLIGHTS FY2019 Results Net Financial Debt – $173mn YoY Debt Reduction Aksa Energy’s net financial debt NET FINANCIAL DEBT (USD mn) decreased from USD 860 mn in YE2015, when the decision to 900 expand to Africa was taken, to 860 USD 736 mn in YE2017 through 800 asset sales. 780 736 700 N
Slide 19: Regional EBITDA Breakdown
FINANCIAL HIGHLIGHTS FY2019 Results Regional EBITDA Breakdown REVENUES (TRY mn) Although 77% of the revenues 1.282 are generated from Turkey and 23% TRNC, African power plants Turkey+Northern Cyprus generated 61% of the EBITDA in 4.297 Africa FY19 due to their high margin 77% FX based sales. EBITDA
Slide 20: EBITDA Breakdown by Currency & Fuel
FINANCIAL HIGHLIGHTS FY 2019 Results EBITDA Breakdown by Currency & Fuel EBITDA BY FX RATE Hard currency portion of the EBITDA constitutes 73% of the 27% total in FY19. TRY BASED HARD CURRENCY 73% EBITDA BY FUEL TYPE 10% 17% Coal PPA Natural Gas 73% 16
Slide 21: Consolidated Income Statement
FINANCIAL HIGHLIGHTS Financial Highlights FY 2019 Consolidated Income Statement NET SALES & EBITDA (TRY MN) EBITDA Margin EBITDA Margin FY18: 22% 4Q18: 23% FY19: 26% 4Q19: 21% 5.579 1.779 4.669 1.033 1.467 1.183 364 277 Net Sales EBITDA Net Sales EBITDA FY2018 FY2019 4Q2018 4Q2019 OPERATING INCOME &
Slide 22: Net Financial Debt & Repayment Schedule
FINANCIAL HIGHLIGHTS Financial Highlights FY 2019 Net Financial Debt & Repayment Schedule NET FINANCIAL DEBT (TRY mn) 4000,0 90% 3500,0 80% 3000,0 85% 70% 76% 60% 2500,0 67% 62% 62% 50% 2000,0 40% 1500,0 45% 30% 1000,0 20% 500,0 1.781 2.501 2.744 2.777 3.692 3.142 10% - 0% 5.2 5.6 6.3 5.6 3.6 2.1 20
Slide 23: Net Financing Expense Coverage Improves
FINANCIAL HIGHLIGHTS Financial Highlights FY 2019 Net Financing Expense Coverage Improves OPERATING INCOME vs. NET FINANCING EXPENSE Significant improvement in net financing expense 300 3,00 coverage by operating 250 income. 2,57 2,56 2,50 Millions 200 2,20 150 2,00 1,85 100 1,60 1,51 1,50 50 1,20 1
Slide 24: Share Performance
Share Performance AKSA ENERGY (AKSEN TI) AKSA ENERGY (AKSEN TI) Aksa Energy trades on 5,00 30.000.000 BIST 100, BIST 50 & 4,50 25.000.000 Sustainability indices 4,00 3,50 20.000.000 DAILY VOLUME PRICE (TRY) 3,00 2,50 15.000.000 2,00 10.000.000 1,50 27 February 2020 1,00 5.000.000 • MCAP TRY 2,152 bn
Slide 25: Effect of Brent Oil and FX Rate Changes on Receivables
Effect of Brent Oil and FX Rate Changes on Receivables 7,00 2000,0 5,87 5,94 5,62 5,51 5,66 5,36 6,00 1.802 1.856 1500,0 4,36 1.724 5,00 3,80 3,81 1.539 1.549 4,00 1.284 1000,0 1.113 3,00 901 2,00 500,0 675 424 371 401 353 375 325 339 1,00 233 255 - 0,00 4Q17 1Q18 2Q18 3Q18 4Q18 1Q19 2Q19 3Q19 4Q19
Slide 26: Consolidated Income Statement
FINANCIAL HIGHLIGHTS Consolidated Income Statement (TRY) 31.12.2017 31.12.2018 31.03.2019 30.06.2019 30.09.2019 31.12.2019 Net sales 3.599.311.868 4.669.249.102 1.155.422.198 2.312.965.207 3.799.886.130 5.578.594.781 Cost of sales (3.283.982.668) (3.933.709.353) (892.164.845) (1.749.780.328) (2.996.
Slide 27: Consolidated Balance Sheet
FINANCIAL HIGHLIGHTS Consolidated Balance Sheet Assets TL 2017 2018 31.03.2019 30.06.2019 30.09.2019 2019 Cash and cash equivalents 59.577.791 53.026.362 116.463.204 91.628.426 131.910.302 121.503.123 Trade receivables net 759.563.092 1.403.203.217 1.655.650.367 1.928.922.870 1.988.589.860 1.863.493
Slide 28: Consolidated Statement of Cash Flow
FINANCIAL HIGHLIGHTS Consolidated Statement of Cash Flow (TRY mn) 2017 2018 2019 Net income (loss) before tax 290.120.538 150.478.434 455.343.289 Depreciation and amortisation 225.000.265 394.018.340 485.469.510 Other adjustments 113.887.076 591.075.108 199.391.238 Change in working capital -400.634
Slide 29: 2020 Guidance
2020 GUIDANCE Gay,
Slide 30: 2020 Guidance
FINANCIAL HIGHLIGHTS 2020 GUIDANCE REVENUES: TRY 5.259 mn 2020 EBITDA BREAKDOWN EBITDA: TRY 1.445 mn CAPEX: TRY 155 mn African power plants are forecast to account for 72% of the projected EBITDA for 2020. Turkey & TRNC In 2020, Bolu Goynuk Thermal Energy Power Plant and Ali Metin Kazancı Natural Ga
Slide 31: Appendix
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Slide 32: Operational Assets
Operational Assets Power Plant License Owner Fuel Type Installed Capacity (MW) % Northern Cyprus Aksa Cyprus Fuel-oil 153 Ghana Aksa Energy Fuel-oil 370 Mali Aksa Energy Fuel-oil 40 Madagascar Aksa Energy Fuel-oil 66 Total Fuel-Oil Fired Power Plants 629 32% Antalya NGCC Aksa Energy Natural Gas 900
Slide 33: Contact Investor Relations
Contact Investor Relations Özlem McCann Director Head of Investor Relations and Corporate Communications Ozlem.McCann@aksa.com.tr +90 216 681 1053 Rüzgarlıbahçe Mh. Özalp Çıkmazı No:10 Kavacık / Beykoz, Istanbul
Slide 34: Disclaimer
Disclaimer Aksa Energy has prepared this presentation for the sole purpose of providing information, which contains forward-looking statements that reflect the Company management’s current views with respect to certain future events. Although it is believed that the expectations reflected in these s
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