WHA Utilities and Power Public Company Limited · SET:WHAUP
WHA Utilities and Power Public — Q2 2019 Earnings Presentation
38 slides from WHA Utilities and Power Public's earnings presentation, Aug 21, 2019
Slide 1: Analyst Meeting No.3/2019
Analyst Meeting No.3/2019 21 August 2019 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 Profile II. Utilities Business III. Power Business IV. Operating Performance V. Performance Highlight VI. Financial Information VII. Outlook 2019B VIII Appendix 3
Slide 4: Vision & Mission
I. Company Profile Vision & Mission 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 n
Slide 5: WHAUP is the Flagship Company in Utilities and Power Business of WHA Group
I. Company Profile WHAUP is the Flagship Company in Utilities and Power Business of WHA Group #1 Logistics developers #1 Industrial Estate To be one-stop service Developer Exclusive utilities provider Built-to-Suit (BTSW): in the industrial estates for Data Center developer World-class sta
Slide 6: Business Overview 2Q'19
I. Company Profile Business Overview Utilities Business Power Business Sole provider of utilities to manufacturers/ factories in leading Active power investor with strategic partnership with leading Thai industrial estates with a concrete plan to capture increasing and international power companies
Slide 7: Agenda
Agenda I. Company Profile II. Utilities Business III. Power Business IV. Operating Performance V. Performance Highlight VI. Financial Information VII. Outlook 2019B VIII Appendix 7
Slide 8: Utilities Business Overview
II. Utilities Business Utilities Business Overview 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 9: Assets Location
II. 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 9 operating IEs plus 5 developing IEs in the future (including Vietnam). 6 1 WHA Chonburi Indu
Slide 10: Business Strategies
II. Utilities Business Business Strategies Current Positioning 5Y Aspiration Industrial Estate Products Developing (Raw Water, Industrial Integrated Solutions Municipal Water CLMV Markets Water and Central to Industrial Users Supply Wastewater Treatment) Thailand’s leader in Domestic: Integrated sol
Slide 11: Agenda
Agenda I. Company Profile II. Utilities Business III. Power Business IV. Operating Performance V. Performance Highlight VI. Financial Information VII. Outlook 2019B VIII Appendix 11
Slide 12: Growing Portfolio
III. Power Business Growing Portfolio Continuing Growth from Projects Under Construction and Committed Projects in Pipeline Targeted 100 MW solar rooftop by 2022; As of 6M’19, 24.2 MW already secured 570 MW 521 MW 486 MW 352 MW 2016 2017 2018 2019B 12
Slide 13: Portfolio Analysis Portfolio Summary
III. Power Business Well-balanced and High Stability Portfolio Conventional Power: 547 Equity MW Secured Highly reliable off-taker (EGAT) Long-maturity Portfolio By Type of Power Plant By Type of Sourcing Industrial Users, 8% Portfolio Analysis IPP 52% Coal 43% SPP 48% Gas 53% Maturity < 20 Years, 2
Slide 14: Business Strategies
III. Power Business Business Strategies “Developer” in Power and Energy Businesses Conventional - IPP : Glow IPP, Gheco-One , Houay Ho Hydropower in Lao PDR Power - SPP : 8 SPPs in operation - Solar Rooftop : 2.6 MW sale to grid & 4.5 MW private-sale. As of 6M’19, 24.2 MW already secured. Renewable
Slide 15: Agenda
Agenda I. Company Profile II. Utilities Business III. Power Business IV. Operating Performance V. Performance Highlight VI. Financial Information VII. Outlook 2019B VIII Appendix 15
Slide 16: Utilities – Operating Performance
IV. Operating Performance Utilities – Operating Performance Utilities Portfolio Growth – Sale & Management Volume Million m3/ year 120 100 105 100 82 53 54 WWT -1% YoY 34 35 80 RW -3% YoY 25 18 18 60 17 17 IW +4% YoY 31 32 34 13 9 8 40 43 49 53 26 28 20 31 32 34 0 2013 2014 2015 2016 2017 2018 6M'18
Slide 17: Power Business - IPP Group
IV. Operating Performance Power Business - IPP Group 6M’18 6M’18 Energy Dispatch 6M’19 Availability 6M’19 GWh % AF 100.0% 100.0% 2,760 95.6% 2,215 76.1% 231 301 38 0 Gheco-One HHPC Glow IPP Gheco-One Glow IPP 17
Slide 18: Power Business - SPP Group
IV. Operating Performance Power Business - SPP Group EGAT GWh Energy Dispatch IU 440 444 3,234 414 420 429 420 432 434 434 419 2,992 407 409 390 380 356 112 110 102 796 100 124 117 110 114 76 87 99 687 98 86 89 58 333 332 332 332 330 327 320 312 310 310 309 2,438 305 303 297 291 2,306 6M'18 6M'19 6M
Slide 19: Agenda
Agenda I. Company Profile II. Utilities Business III. Power Business IV. Operating Performance V. Performance Highlight VI. Financial Information VII. Outlook 2019B VIII Appendix 19
Slide 20: Financial Highlight 2Q'19
V. Performance Highlight Financial Highlight 2Q’19 Unit : THB mm 2Q’19 YoY Remarks Total Revenue 475.1 +12.2% - Higher Sales Volume mainly from COD of 2 SPPs (GNLL2 and Other SPP), existing and new IEs customers - Utilities Business 473.6 +12.1% - Higher other utilities revenue which mainly represen
Slide 21: Financial Highlight 6M'19
V. Performance Highlight Financial Highlight 6M’19 Unit : THB mm 6M’19 YoY Remarks Total Revenue 934.5 +10.5% - Higher Sales Volume mainly from COD of 2 SPPs (GNLL2 and Other SPP), existing and new IEs customers - Utilities Business 931.6 +10.3% - Higher other utilities revenue which mainly represen
Slide 22: Agenda
Agenda I. Company Profile II. Utilities Business III. Power Business IV. Operating Performance V. Performance Highlight VI. Financial Information VII. Outlook 2019B VIII Appendix 22
Slide 23: Consolidated Financial Statement
VI. Financial Information Consolidated Financial Statement Total Revenue and Share of Profit and Dividend Income was recorded at Baht 2,056.4 million in 6M’19 Utilities = Utilities Operating Revenue + Other Utilities Revenue Power = Normalized Share of Profit/1 and Dividend Income + Solar Project Re
Slide 24: Utilities Performance
VI. Financial Information Utilities Performance Total Revenue from Utilities Business was recorded at Baht 931.6 million in 6M’19 Total Revenue - Utilities Business Gross Profit Margin - Utilities Business Units: THB mm Units: % 931.6 844.7 79.2 3.6 80.7 78.5 40.1% 35.3% 131.5 33.1% 34.4% 34.7% 137.
Slide 25: Power Performance
VI. Financial Information Power Performance Total Share of Profit and Dividend Income was Baht 1,121.9 million in 6M’19 Share of Profit and Dividend Income Normalized Share of Profit by Power Plant Units: THB mm Units: THB mm 835.0 1,121.9 956.1 30.0 695.0 256.9 590.4 380.5 782.7 275.8 30.0 152.1 32
Slide 26: Consolidated Performance
VI. Financial Information Consolidated Performance Consolidated EBITDA/1 and EBITDA Margin Consolidated Net Profit and Net Profit Margin/3 Unit : THB mm Unit : THB mm 3,000.0 78.8% 72.3% 100.0% 2,500.0 100.0% 63.4% 74.7% 40.2% 67.1% 55.2% 61.2% 75.7% 50.0% 2,500.0 70.5% 68.8% 71.2% 51.8% 62.4% 55.7%
Slide 27: Capital Structure and leverage ratio
VI. Financial Information Capital Structure and leverage ratio Statement of Financial Position Debt Maturity Profile Unit : THB mm Unit : THB mm 23,773 23,773 22,992 22,992 14,049 13,079 4,000 736 802 2,390 8,988 9,111 1,290 1,320 0 0 1 2018 2 3 4 5 2Q’19 6 2018 2019 2020 2021 2022 2023 2024 2025 Bo
Slide 28: Agenda
Agenda I. Company Profile II. Utilities Business III. Power Business IV. Operating Performance V. Performance Highlight VI. Financial Information VII. Outlook 2019B VIII Appendix 28
Slide 29: 2019 Plan: Utilities Business
VII. Outlook 2019B 2019 Plan: Utilities Business Market Product Capture Key Deliverables Expansion Innovation Vietnam New WHA IEs Wastewater Reclamation, Opportunity Non-WHA IEs RO Water, Demineralized Water, Raw Water, Industrial Target Sales & Smart Water Solution, Water, Municipal Water, Wastewat
Slide 30: 2019 Plan: Power Business - Power Portfolio Growth
VII. Outlook 2019B 2019 Plan: Power Business Power Innovative Energy Capture Key Deliverables Portfolio Solution Vietnam Growth Smart Grid, Energy Storage Opportunity System, Captive Gas Power Renewable Solar Plant, Floating Solar Energy in Focus 570 Installed Explore potential Solar power Equity MW
Slide 31: Enhance Products Offering to Provide Total Solution Energy Services
VII. Outlook 2019B 2019 Plan: Power Business Enhance Products Offering to Provide Total Solution Energy Services Leverage on Industrial Estates’ Customers Base Focus on Industrial Sales Strong Partnership with Leading International Energy Players Natural Gas Distribution Projects 3 WHANGD 3 - Upcomi
Slide 32: Vietnam Project - Duong River Surface Water Plant JSC
VII. Outlook 2019B Vietnam Project - Duong River Surface Water Plant JSC Company and Project Overview Capacity Expansion Plan Timeline Duong River Surface Water Plant JSC (“the Company”) was Significant contribution to WHAUP’s utilities business established in June 2016. The Company built and
Slide 33: Water Demand – Vietnam
VII. Outlook 2019B Water Demand – Vietnam The North: • Population : 33.4 mn • Area : 116,327 km2 • Water supply volume per capita per day is 72 litre The Central: • Population : 25.8 mn • Area : 150,473 km2 • Water supply volume per capita per day is 43 litre The South: • Population : 34.5 mn • Area
Slide 34: Water Demand – Hanoi
VII. Outlook 2019B Water Demand – Hanoi Hanoi Water Consumption is fast-rising due to population growth and continuing urbanization Estimated Clean Water Demand and Planned Clean Water Supply in Hanoi* Urban Industrial Rural (million m3/year) 343.9 million m3/year 13.6 million m3/year 190.7 million
Slide 35: Water Demand – Household Consumptions
VII. Outlook 2019B Water Demand – Household Consumptions Hanoi’s population is increasing at 2.1% p.a. and rapid economic growth improves living conditions of the people Hanoi’s Populations and Density (2011 – 2025F) Hanoi’s Population Density 2.7 000 2.5 2.6 2.6 2.7 2.5 2.3 2.4 2.4 000 2.2 2.2 2.3
Slide 36: Water Demand – Duong Water
VII. Outlook 2019B Water Demand – Duong Water Potential Opportunities from SDWTP’s covered area and nearby areas Clean water demand for SDWTP’s coverage area is increasing rapidly. With prosper socio-economic growth, water demand in the area is expected to grow at a CAGR of 5% until 2030 . Especia
Slide 37: Agenda
Agenda I. Company Profile II. Utilities Business III. Power Business IV. Operating Performance V. Performance Highlight VI. Financial Information VII. Outlook 2019B VIII Appendix 37
Slide 38: Shareholders and Management Structure
VIII. Appendix Shareholders and Management Structure Shareholding Structure Board of Directors Foreign Institutions Ms. Jareeporn Jarukornsakul Mr. David Richard Nardone 1% Retail 17% Chairman of Board of Directors Director Domestic Institutions 9% WHA Group Mr. Vivat Jiratikarnsakul Mr. Wisate Chun
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