Sterling And Wilson Renewable Energy Limited · NSE:SWSOLAR
Sterling And Wilson Renewable Energy — Q3 FY22 Earnings Presentation
22 slides from Sterling And Wilson Renewable Energy's earnings presentation, Feb 15, 2022
Slide 1: Cover letter to stock exchanges
February 15, 2022 BSE Limited National Stock Exchange of India Limited Phiroze Jeejeebhoy Towers Exchange Plaza Dalal Street Bandra Kurla Complex Mumbai – 400 001 Bandra (East), Mumbai – 400 051 Scrip Code: 542760 Symbol: SWSOLAR Sub.: Investor presentation on the Unaudited Consolidated and Standalo
Slide 2: Analyst and Investor Presentation Q3 and 9m FY22
STERLING AND WILSON SOLAR LIMITED STERLING AND WILSON RENEWABLE ENERGY LIMITED (Formerly Sterling and Wilson Solar Limited) Analyst Presentation Q3 and Investor 9m FY22 Presentation Noor Abu Dhabi - World’s Largest Single Location Solar Project 14 November February 2022 2019
Slide 3: Safe Harbor
Safe Harbor This presentation and the accompanying slides (the “Presentation”), which have been prepared by Sterling and Wilson Renewable Energy Limited (the “Company”), have been prepared solely for information purposes and do not constitute any offer, recommendation or invitation to purchase or su
Slide 4: RNEL completes acquisition of 40% stake in SWREL
RNEL completes acquisition of 40% stake in SWREL ✓ Reliance New Energy Limited (RNEL), a wholly-owned subsidiary of Reliance Industries Ltd (Reliance) has completed acquisition of 40% stake in SWREL via combination of Primary Investment, Secondary Purchase and Open Offer through a series of transact
Slide 5: Solar Industry – Significant factors driving growth
Solar Industry – Significant factors driving growth Tax incentives and favorable government policies globally for renewable sector will drive the sector growth. More concrete policy frameworks are opening the door for mega projects, hydrogen and storage investments Solar PV COP26 – Commitment to pha
Slide 6: SWREL is well positioned to address global market opportunity
SWREL is well positioned to address global market opportunity through its well crafted Strategy Strengthen brand and reputation Offering Value add to Customers through 07 01 early engagement Diversify into project Digitalization and development in large markets Automation in Execution 06 02 like US,
Slide 7: Our Global presence (11.8 GW EPC Portfolio)
Our Global presence (11.8 GW EPC Portfolio) 5 Maps not to scale. All data, information, and maps are provided "as is" without warranty or any representation of accuracy, timeliness or completeness
Slide 8: Key Highlights for 9mFY22
Key Highlights for 9mFY22 ✓ Revenue for 9mFY22 increased by 11% to Rs 4,128 crore ✓ Gross margins impacted significantly primarily on account of increase in modules prices and accounting for liquidated damages cost based on settlement done/ under discussion ✓ Net debt free as at 31 Dec 2021 with net
Slide 9: Key factors impacting order finalisation and execution timelines
Key factors impacting order finalisation and execution timelines ✓ Pandemic leading to postponement of planned ✓ Significant price volatility cross auction and extended financial Delayed Decision components and commodities Price Volatility closure and PPA deadlines Making impacting order finalizatio
Slide 10: Key input prices have slightly softened in recent months
Key input prices have slightly softened in recent months Module price trends (price in Freight rates Ex China (per 40 USD per Wp) feet container) 0.278 LATAM Australia 18,400 Key Highlights 0.258 0.248 15,000 13,500 0.221 There has been an unprecedented increase in costs of modules, commodities 9,
Slide 11: Unexecuted Order Value (UOV) Movement
Unexecuted Order Value (UOV) Movement INR Crore [EPC Revenue] +1,969* +33 -3,955 Gross UOV as on 14th Feb 2022 -2,030# 9,127 +183 India +232 Europe 10.5% Africa 7,097 27.0% 0.4% 5,327 5,559 INR 5,559 crore Australia UOV as on Adjustments Restated Price Orders in Other Projects UOV as on New Orders U
Slide 12: Consolidated Profit & Loss – 9mFY22
Consolidated Profit & Loss – 9mFY22 INR Crore Q3FY22 Q3FY21 9mFY22 9mFY21 FY2021 Key Highlights Revenue from Operations 1,495 1,312 4,128 3,716 5,081 Gross Margin (post project MTM) 10 94 (72) 325 328 Revenue increased by 11% in 9MFY22 to Rs 4,128 crore Gross Margin % 0.7% 7.2% (1.7%) 8.7% 6.5%
Slide 13: Consolidated Balance Sheet
Consolidated Balance Sheet INR Crore Dec-21 Mar-21 Key Highlights Sources of Funds Increase in shareholders’ fund is mainly on account of the preferential issue to Shareholders Funds 1,062 658 Borrowings from Banks 280 468 RNEL amounting to Rs 1,100 crore. The same is partially offset against loss
Slide 14: Analysis of receivables > 1 year as at Dec 2021
Analysis of receivables > 1 year as at Dec 2021 Mix of receivables > 1 year as at Sep 2021 – Rs 403 crore Comments Key receivables outstanding for more than 1 year of Rs 403 cr as at Others Dec 2021 comprise 14% ▪ Matter under NCLT - Net Receivables is Rs 61 crore (after ECL provision Argentina of
Slide 15: IL&FS Receivables assured by Embassy Energy
IL&FS Receivables assured by Embassy Energy Facts Claims Status Management assessment The Company had entered into a contract for a 100 MW AC Photovoltaic plant in the state of Karnataka During the year ended 31 March 2020, the Company The Company has sought legal opinion regarding the with IL
Slide 16: Consolidated Cashflow
Consolidated Cashflow INR Crore 9MFY22 9MFY21 FY21 Key Highlights (Loss) /Profit before tax (787) 60 (340) Cash flow from Operations Adjustments for noncash / other items 180 8 96 ▪ Increase in working capital on account of BG encashment of Rs 588 Operating profit before working capital changes (6
Slide 17: Way Forward
Way Forward ✓ Short term outlook continues to be challenging Industry ✓ Majority of order finalization in H2FY22 pushed to FY23 Outlook ✓ Market expected to get better from Q2FY23 Target ✓ Significant opportunities in US, Europe and Australia market large EPC ✓ Pursue development activities to secur
Slide 18: Target large Solar EPC markets – US, Europe and Australia
Target large Solar EPC markets – US, Europe and Australia US PV Installation historical data and forecast, 2010-2026 US market ✓ Most prominent and steady market of ~25 GW in 2022 with 75% in utility scale ✓ The recent US government policies have given a significant impetus to the growth of Solar an
Slide 19: Target large Solar EPC markets – India
Target large Solar EPC markets – India ✓ As of September 2021, India had 101.53 GW of renewable energy capacity India PV Installation historical data, 2017-2021 and represents ~38% of the overall installed power capacity ✓ The country is targeting about 450 GW of installed renewable energy capacity
Slide 20: Grow O&M portfolio in large International markets
Grow O&M portfolio in large International markets O&M market in 2020 (ex China and Japan) ✓ Global O&M market size of 180 GW in 2020 Australia, 8 Middle East & ✓ O&M market size will grow as more Solar capacity additions are done Africa, 10 ✓ Globally ranked as 4th largest O&M player in 2020 as per
Slide 21: Tap opportunities for pure BESS or Solar + BESS projects
Tap opportunities for pure BESS or Solar + BESS projects Annual installations of battery energy storage ✓ Battery Energy Storage Systems (BESS) and Energy storage systems (ESS) to grow 2x in next 4 years to $12 Billion annually GW hrs 82 78 ✓ US, China and Australia are the large markets in BESS 63
Slide 22: THANK YOU
THANK YOU For further information, please contact: Company : Investor Relations Advisors : Sterling and Wilson Renewable Energy Limited Strategic Growth Advisors Private Limited CIN: L74999MH2017PLC292281 CIN: U74140MH2010PTC204285 Mr Vishal Jain Mr Jigar Kavaiya / Mr. Parin Narichania Head – Invest
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