Tenaga Nasional Bhd · MYX:TENAGA
Tenaga Nasional Bhd — Q3 FY2016 Earnings Presentation
24 slides from Tenaga Nasional Bhd's earnings presentation, Jul 28, 2016
Slide 1: Presentation to Analysts
PRESENTATION TO ANALYSTS Unaudited Consolidated Results for the 3rd Quarter FY2016 ended 31st May 2016 28th July 2016 Prepared by: tenaga_ird@tnb.com.my Investor Relations & Management Reporting Department GROUP FINANCE DIVISION
Slide 2: Agenda
AGENDA RESULTS HIGHLIGHTS RESULTS DETAILS QUESTION & ANSWER 2
Slide 3: Key Highlights
KEY HIGHLIGHTS 5.6% Improvement in Revenue Resulted in 6.3% Increase in Profit After Tax • 4.5% unit electricity demand growth in Peninsular Malaysia 9MFY2016 9MFY2015 YoY Revenue RM33.29 bn RM31.54 bn 5.6% Profit After Tax RM5.58 bn RM5.25 bn 6.3% 3
Slide 4: Electricity Growth in Peninsula
ELECTRICITY GROWTH IN PENINSULA 4.5% Growth in Electricity Demand FY 2015 FY 2016 UNITS SALES 1Q 2Q 3Q 4Q 1Q 2Q 3Q Gwh 10,973 10,976 10,761 11,009 11,101 10,820 10,604 Industrial Growth (%) 3.1 1.6 1.7 0.1 1.2 (1.4) (1.5) Gwh 9,018 8,860 8,990 9,361 9,369 9,404 9,804 Commercial Growth (%) 3.4 3.1 1.
Slide 5: System Weekly Maximum Demand (Peninsula)
SYSTEM WEEKLY MAXIMUM DEMAND (PENINSULA) For FY2011 to FY2016 Peak Demand: 17,788 MW (20/04/16) MW 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr 18,000 17,500 17,000 16,500 16,000 15,500 15,000 14,500 14,000 13,500 13,000 12,500 Peak Demand YoY Growth (%) 12,000 FY 2011 15,476 MW 9/5/2011 2.7 FY 2012 15,826 MW 20
Slide 6: Generation Mix (Peninsula)
GENERATION MIX (PENINSULA) Quarterly Analysis Increase in Coal Generation with Commissioning of Tg Bin 4 in Mar’16 % 3.4 7.0 3.6 4.3 4.1 4.0 3.2 1.1 0.1 0.6 0.4 0.7 0.1 0.1 46.3 45.2 44.1 49.3 50.0 56.2 47.0 49.2 51.1 51.0 45.9 46.5 45.5 39.9 1Q 2Q 3Q 4Q 1Q 2Q 3Q FY'15 FY'15 FY'15 * FY'15 FY'16 FY'1
Slide 7: Capital Expenditure
CAPITAL EXPENDITURE Major Projects Represent 51.4% of Total CAPEX RM mn 4,942.6 5,805.8 6,361.1 7,689.6 7,651.2 8,000.0 7,500.0 7,000.0 6,500.0 6,000.0 3,730.5 5,500.0 3,935.6 51.4% 5,000.0 2,892.7 2,332.5 4,500.0 1,694.1 4,000.0 O 486.6 3,500.0 O 535.8 O 484.6 O 375.7 3,000.0 O 436.3 2,500.0 D 2,04
Slide 8: Status of Major Projects
STATUS OF MAJOR PROJECTS Hulu Terengganu Janamanjung Unit 5 Connaught Bridge Hydro (265MW) 93% COD Oct 2017 1,000MW COMPLETED 250MW COD Dec 2015 (U1 & U2) COMPLETED COD 27th Feb 2016 385MW Tembat 15MW Aug 2016 (U3) Sep 2016 (U4) 97% Jimah East Power Ulu Jelai Hydro Prai 17% COD 2,000MW 98% COD 372MW
Slide 9: Headline Key Performance Indicators
HEADLINE KEY PERFORMANCE INDICATORS INITIATIVES 9MFY’16 FY’15 • Return on Assets (ROA) (%) 6.7 6.6 • Company CPU (sen/kwh) 34.2 35.1 • Revenue from Non-Regulated 1.8 2.6 Business (RM bn) • Equivalent Plant Availability 87.9 88.8 Factor (EAF) (%) • Transmission System Minutes (mins) 0.38 0.77 • Distr
Slide 10: Agenda
AGENDA RESULTS HIGHLIGHTS RESULTS DETAILS QUESTION & ANSWER 10
Slide 11: Quarterly & Yearly Analysis
QUARTERLY & YEARLY ANALYSIS Improved Group EBITDA Margin Attributed by Higher Revenue Mainly From 4.5% Demand Growth in Peninsula ANALYSIS OF EBITDA MARGIN & COAL PRICES % RM/mt RM mn 1QFY'16 2QFY'16 3QFY'16 9MFY'16 9MFY'15 254.1 246.0 Total Units Sold (GWh) 28,503.2 28,279.3 29,235.2 86,017.7 82,12
Slide 12: Details of Revenue
DETAILS OF REVENUE 5.6% Increase in Total Revenue Mainly From 4.5% Demand Growth in Peninsula 9MFY'16 9MFY'15 Grow th UNITS SOLD GWh GWh % - TNB 81,149.7 77,678.9 4.5 - EGAT (Export) 1.1 4.9 (77.6) - SESB 3,769.2 3,646.0 3.4 - LPL 1,097.7 792.1 38.6 Total Units Sold (GWh) 86,017.7 82,121.9 4.7 REVEN
Slide 13: Details of Revenue: Sectoral Analysis
DETAILS OF REVENUE: SECTORAL ANALYSIS Commercial Sector (Peninsula) Recorded Y-o-Y Growth of 6.4% LOW VOLTAGE Shop Lots & Retail Business GWh 2400 2100 1800 Y-o-Y 6.4% 1500 Oct Jul Jun Nov Sept Aug Apr Feb Jan Mar Dec May MEDIUM VOLTAGE MEDIUM VOLTAGE (PEAK/OFF-PEAK) Shopping Malls, Office Buildings
Slide 14: Details of Revenue: Sectoral Analysis con't
DETAILS OF REVENUE: SECTORAL ANALYSIS con’t Industrial Sector (Peninsula) Recorded Y-o-Y Growth of (0.6%) ELECTRONICS PETROCHEMICAL GWh GWh 500 180 160 450 140 400 120 Y-o-Y (1.5%) Y-o-Y (11.2%) 350 100 Oct Mar May Jul Jun Sept Nov Jan Apr Dec Aug Feb Oct Mar May Jun Jul Sept Nov Dec Jan Apr Aug Feb
Slide 15: Operating Expenses
OPERATING EXPENSES 4.2% Increase in Group Operating Expenses Variance Variance RM mn 9MFY'16 9MFY'15 RM mn % Capacity Payment 3,017.5 3,091.8 74.3 2.4 Energy Payment 6,115.9 6,564.7 448.8 6.8 Total IPPs Purchases/Costs 9,133.4 9,656.5 523.1 5.4 15,739.9 16,009.6 (269.7) Fuel Costs 6,606.5 6,353.1 (2
Slide 16: Generation Mix (Peninsula)
GENERATION MIX (PENINSULA) Year-on-Year Analysis 2.3% Decrease in Fuel Costs Mainly due to Lower LNG Price Table 1: Fuel Costs (RM mn) Units Generated (Gwh) Fuel Variance Fuel Variance 9MFY'16 9MFY'15 9MFY'16 9MFY'15 Type RM mn % Type Gwh % Gas 5,806.4 5,574.9 231.5 4.2 Gas & LNG 38,245.4 41,198.2 (
Slide 17: Fuel Costs (TNB & IPPs - Peninsula)
FUEL COSTS (TNB & IPPs - PENINSULA) 2.3% Decrease in Fuel Costs Mainly due to Lower LNG Price Fuel Costs Units Generated Dist. TNB, 0.0 Coal IPP Coal IPP Dist. TNB, 0 24.9 Dist. IPP, 0.1 Coal TNB 21.3 19.0 Dist. IPP, 0.4 Oil TNB, 0.3 Coal TNB Coal IPP Hydro Coal IPP Oil TNB, 1.0 3.8 Oil IPP, 0.0 17.
Slide 18: Coal Requirements
COAL REQUIREMENTS Average Coal Price for 9MFY’16 was at USD56.2/MT @ RM234.7/MT Average Coal Price FY’10 FY’11 FY’12 FY’13 FY’14 FY’15 9MFY’16 (CIF) (USD/metric tonne) 88.2 106.9 103.6 83.6 75.4 66.0 56.2 (RM/metric tonne) 293.8 325.9 321.9 259.5 244.6 236.0 234.7 Tonne (mn) 30.0 With commissioning
Slide 19: Debt Exposure & Gearing
DEBT EXPOSURE & GEARING Higher Debt due to Sukuk Issuance for Jimah East Power 31st May’16 (RM bn) 31st Aug’15 (RM bn) 8.3% 14.5% 2.81 Total Debt: 3.59 34.0 8.2% 2.80 Total Debt: 24.7 7.1% Net Debt: Net Debt: 1.76 16.9 15.8 0.1% 0% 78.3% 83.5% 0.02 0.00 19.33 28.39 RM YEN USD Others Statistics 31st
Slide 20: Shareholding
SHAREHOLDING Foreign Shareholding Recorded At Around 27% Main Shareholding as at May’16 Foreign Shareholding 26.93% Khazanah Nasional 10.6 6.0 26.90% Berhad 11.7 Employees Provident 10.4 Fund Board 15.3 5.4 Permodalan Nasional Bhd 26.9 15.1 16.4 (%) 22.8 Other Corporations & Govt. Agencies Malaysian
Slide 21: Agenda
AGENDA RESULTS HIGHLIGHTS RESULTS DETAILS QUESTION & ANSWER
Slide 22: Disclaimer
DISCLAIMER All information contained herein is meant strictly for the use of this presentation only and should not be used or relied on by any party for any other purpose and without the prior written approval of TNB. The information contained herein is the property of TNB and it is privileged and c
Slide 23: Contact Details
CONTACT DETAILS For further enquiries, kindly contact us at: INVESTOR RELATIONS & MANAGEMENT REPORTING DEPARTMENT Tenaga Nasional Berhad 4th Floor, TNB Headquarters No.129, Jalan Bangsar, 59200 Kuala Lumpur, MALAYSIA Tel : +603 2296 5566 Fax : +603 2284 0095 Email : tenaga_ird@tnb.com.my Website : w
Slide 24: Thank You
THANK YOU Unaudited Consolidated Results for the 3rd Quarter FY2016 ended 31st May 2016
Tenaga Nasional Berhad — Q3 FY2016 Earnings Presentation on 6ix