Power Grid Corporation Of India Limited · NSE:POWERGRID
Power Grid Corporation Of India — Q1 FY2013 Earnings Presentation
38 slides from Power Grid Corporation Of India's earnings presentation, Jul 25, 2012
Slide 1: Analysts' Meet 25 July, 2012
₹ Analysts’ Meet 25 July, 2012
Slide 2: Disclaimer
Disclaimer By attending the meeting where this presentation is made, or by reading the presentation slides, you agree to be bound by the following limitations: This document has been prepared for information purposes only and is not an offer or invitation or recommendation to buy or sell any securit
Slide 3: Agenda
Q1FY12-13: Financial Highlights Q1 FY12-13: Performance Highlights XII Plan: Investment Programme XIII Plan: Power Sector Overview Updates on Upcoming Business Opportunities 3 One Nation, One Grid
Slide 4: Q1FY12-13: Financial Results
Q1FY12-13: Financial Results 4 One Nation, One Grid
Slide 5: Financial Performance- Q1 FY12-13
Financial Performance- Q1 FY12-13 Income up by Gross Margin PAT up by 27% in up by 31% in 23% in Q1(FY’13) as Q1(FY’13) as Q1(FY’13) as against 9% in against 8% in against 0.28% Q1(FY’12) Q1(FY’12) in Q1(FY’12) (₹ in crore) FY 2011-12 QTR -I (FY2011-12) QTR-I (FY 2012-13) Income * Transmission Charg
Slide 6: Financial Performance- Q1 FY12-13
Financial Performance- Q1 FY12-13 Gross Block Assets Assets Commissioned commissioned up by 9% in ₹ 4073 Cr in ₹ 4073 Cr in Q1(FY’13) as Q1(FY’13) Q1(FY13) against 3% in against ₹ 802 Cr surpassed Q1(FY’12) in Q1(FY’12) Capex of ₹ 3007 Cr in Q1(FY13) (₹ in crore) As on 31.03.2012 As on 30.06.2011 As
Slide 7: Q1 FY12-13: Performance Highlights
Q1 FY12-13: Performance Highlights 7 One Nation, One Grid
Slide 8: Project Execution
Project Execution 10592 7927 2078 2028 2395 721 ckm Tr. Line GW-ckm FY12 Q1 FY12 Q1 FY13 Till Till Till FY13 Jul’12 2510 ckm Jul’12 Jul’12 2734 GW- 6 Nos. 18463 ckm S/S MVA 8 One Nation, One Grid
Slide 9: Project Execution
Project Execution (₹ in crore) FY13 Target 20,000 Till Till date Jul’12 FY13 3752 5000 9 One Nation, One Grid
Slide 10: Major Projects Commissioned
Project Execution (₹ in crore) Major Projects Commissioned • Balia-Bhiwadi HVDC (Pole-II) • System Strengthening for Sasan • Supplementary DVC • Other System Strengthening lines in various regions 10 One Nation, One Grid
Slide 11: Other Initiatives & Opportunities
Other Initiatives & Opportunities Efficiency Enhancement Initiatives Emerging Opportunity Perform-Achieve-Trade • Capex Efficiency Scheme by GoI Established dedicated transportation/ logistics cell for facilitating delivery of major equipment/ material at site • Aims to improve energy efficiency in
Slide 12: Operations
Operations Asset Management Grid Management (POSOCO) Lines Sub-Stations 730 Nos. 155 Nos. IR Transfer increases by 22% 95,072 ckm 136,358 MVA ~ 1100 Nos. Transformers & Reactors Availability 99.92% Reliability 0.16 trippings/ line New Initiatives Aerial Patrolling of Transmission Lines • 800km stret
Slide 13: Operations (REC Mechanism) & Telecom
Operations (REC Mechanism) & Telecom REC Mechanism Telecom Q1FY12 Q1FY13 Q1 Highlights Registered Capacity (MW) 240 514 > 2x • 9 new clients added REC Issued (Nos.) 59,863 612,191 > 10x • 6 from Govt sector (incl. UIDAI, Ministry of Tourism) REC Traded (₹ in crore) 5.27 113.31 > 21x • 3 from Private
Slide 14: Consultancy
Consultancy Domestic International Under execution Under execution * 116 Assignments * 17 Assignments * Projects worth ₹ 12,800 * Projects worth ₹ 2,700 crore (Balance Cost) crore (Balance Cost) Q1 Orders: 4 Q1 Orders: 9 (incl. 2 new clients & 2 (5- Govt & new countries) 4-Private Sector) Proposals/
Slide 15: Revenue Collection Efficiency
Revenue Collection Efficiency (₹ in crore) Outstanding as on date Monthly Billing 950 Outstanding > 60 days 529 Equivalent to 8 days of billing Being paid in installments 285 Balance Outstanding > 60 days 244 Petition filed with CERC to facilitate Regulation of Power Supply by Generation Company 15
Slide 16: XII Plan: Investment Programme
XII Plan: Investment Programme 16 One Nation, One Grid
Slide 17: Power Sector Overview – XII Plan
Power Sector Overview – XII Plan Generation • Peak Demand 198GW • Capacity Addition 88 GW • Capacity Addition RE 30 GW Transmission • Fund Reqt. (₹ 180,000 crore) Distribution • Fund Reqt. ₹ 306,235 crore • inter-State (incl. Pvt) ₹ 125,000 crore • incl. ₹ 9500 crore for Smart Grid • intra-State ₹ 5
Slide 18: Investment Programme
Investment Programme (₹ in crore) FY16-17 FY12-13 21000 20000 FY15-16 FY13-14 20000 19000 FY14-15 20000 Projects/ Schemes Capital Outlay Investment Approved - ₹ 84,000 crore Contracts awarded for Project Cost: ₹ 70,000 crore Tariff Based Consultancy Competitive assignment/ Sub- Transnational Bidding
Slide 19: Funding Programme
Funding Programme Investment planned in Debt-Equity ratio of 70:30 Requirement Sources Equity ₹ 28,000- 30,000 cr through Internal Accruals Total Domestic Market Investment • Bonds • Line of Credit from SBI Programme of ₹ 100,000 Foreign Currency Debt crore • Govt. guaranteed funds from IFIs like Wo
Slide 20: Debt Profile
Debt Profile 20 One Nation, One Grid
Slide 21: XI Plan Investments
XI Plan Investments ( in crore) Investment FY08 FY09 FY10 FY11 FY12 Total Capex 6,656 8,167 10,617 12,077 17,814 55,331 Debt 4,365 5,504 7,941 8,046 12,714 38,570 i) Domestic 2,769 3,695 5,351 6,348 10,698 28,861 ii) Foreign 1,596 1,809 2,590 1,698 2,016 9,709 Domestic: 63:37 67:33 68:32 79:21 84:16
Slide 22: Domestic Borrowings – Bonds
Domestic Borrowings – Bonds ( in crore) Tenure: Door-to-Door: 15 years • FY13: 1st Bond Issue in June 2012: ₹ 4000 crore @ 9.30% • SBI Line of Credit for ₹ 5000 crore tied up 22 One Nation, One Grid
Slide 23: Domestic Borrowings – Bonds (Coupon)
Domestic Borrowings – Bonds (Coupon) Coupon for POWERGRID G-Sec Rate AAA Bond Coupon 10.29% 10.10% 10.10% 9.64% 9.47% 9.50% 9.46% 9.41% 9.34% 9.24% 9.64% 9.29% 9.47% 9.40% 9.33% 8.99% 9.35% 9.30% 8.91% 8.91% 9.25% 9.25% 9.20% 8.80% 8.69% 8.90% 8.84% 8.84% 8.83% 8.80% 8.72% 8.69% 8.64% 8.57% 8.52% 8.
Slide 24: Foreign Currency Borrowings
Foreign Currency Borrowings Balance Loans to be utilized during XII Plan ₹ 14,000 crore1 3,125 2,275 1,015 1,035 767 685 World Bank ADB Supplier's Credit Loans signed (million $) Balance (million $) 1- Balance Loans as on 31st Mar, 2012 (Exchange Rates as on 31-Mar-2012) 24 One Nation, One Grid
Slide 25: Debt Structure & Liquidity Position
Debt Structure & Liquidity Position Sources of Funds(%) FY12 Application of Funds (%) FY12 Debt maturity Profile (₹ in crore) Reserves Construction Equity Non-Current 22.99% Advances 5.64% Investments 6.21% up to 3Y Deferred Tax & 1.34% other Current Grants over 10Y 9,226 0.17% Construction 14,788 1
Slide 26: XII Plan Investment
XII Plan Investment ( in crore) Investment FY13 FY14 FY15 FY16 FY17 Total Capex 20,000 19,000 20,000 20,000 21,000 100,000 Debt Requirement 14,000 13,300 14,000 14,000 14,700 70,000 Already Tied Up 8,000 5,200 3,600 2,800 2,400 22,000 Domestic 5,000 1,000 1,000 1,000 8,000 Foreign 3,000 4,200 2,600
Slide 27: XIII Plan: Power Sector Overview
XIII Plan: Power Sector Overview 27 One Nation, One Grid
Slide 28: XIII Plan: Power Sector Overview
XIII Plan: Power Sector Overview Generation Capacity Addition Capacity Addition RE Peak Demand 79 GW 31 GW 283GW Transmission Distribution Fund Reqt. Fund Reqt. Fund Reqt. Total Fund ₹ 230,000 crore ckm MVA for Smart for Smart Reqt. addition addition Grid City 130,000 300,000 ₹ 254,000 inter-State i
Slide 29: Updates on Upcoming Business Opportunities
Updates on Upcoming Business Opportunities 29 One Nation, One Grid
Slide 30: Smart Grid/ City
Smart Grid/ City DPRs submitted Smart City (Puducherry) Firozabad (UP)/ Katra (J&K) • Work to commence in Aug’12 Pre-Feasibility Studies (interim arrangement) Chitradurga (Karnataka)/ Tuticorin (TN)/ • Phase-I expected by Sep’12 to Gandhinagar (Jammu)/ Charar-e-Sharif , Gulmarg, demonstrate in limit
Slide 31: Green Energy Corridors- Grid Integration of Renewable Energy
Green Energy Corridors- Grid Integration of Renewable Energy GREEN ENERGY CORRIDORS Transmission Plan for Envisaged Renewable Capacity ₹ 42,000 crore investment in transmission for 40 GW Planning of intra-State/inter-State Study Report on Green Energy Corridors Transmission requirements Submitted to
Slide 32: Typical Connection Arrangement of RE Generation Farm with Grid
Typical Connection Arrangement of RE Generation Farm with Grid RE Generation/Developer Intra State ISTS FARM 690V/33kV RES - 1 33/132kV 132/220kV 33/132kV RES - 2 220/400kV RES - 3 New Substation LOCATION - 1 FARM 690V/33kV/220kV RES - 7 FARM 690V/33kV/66kV RES - 4 690V/33kV/220kV RES - 8 66/220kV 2
Slide 33: Green Energy Corridors- Grid Integration of Renewable Energy
Green Energy Corridors- Grid Integration of Renewable Energy 33 One Nation, One Grid
Slide 34: Business Opportunities
Business Opportunities Backward Integration • Joint venture companies contemplated for manufacturing of material and equipment JVs with States for intra-State Transmission • Discussions under way with Bihar, Odisha, Jharkhand, Chhatisgarh, Manipur, UP, MP, Tamil Nadu, Karantaka Distribution • RGGVY
Slide 35: Thank You
Our Motivation - Your Confidence ET Investor’s Guide 23-Apr-2012 Cover Story- The Fading Jewels “PowerGrid is the only Navratna company which is doing well…..” Analysts’ Recommendations1 Current 1mth 2mths 3mths Buy 18 18 16 16 Outperform 14 13 12 11 Hold 3 3 3 3 ET Investor’s Guide 11-Jun-2012 Unde
Slide 36: Annexure: POWERGRID Today
Annexure: POWERGRID Today 36 One Nation, One Grid
Slide 37: POWERGRID Today
POWERGRID Today CENTRAL LISTED COMPANY CONSISTENTLY RATED A NAVRATNA DIVIDEND PAYING TRANSMISSION with GoI ‘EXCELLENT’ BY GoI ENTERPRISE SINCE 1993-94 UTILITY shareholding 69.42% Intra-State Transmission Transmission Green Energy Corridors Grid Existing Management Upcoming Smart Grid/ Smart CIty Bus
Slide 38: POWERGRID Today
POWERGRID Today Operating Tr. Lines S/S & MVA Telecom Grid Mgt Innovations Parameters 155 Nos. (42 remotely > 25,000 km Administering Technology Availability: 95,072 ckm operated 99.92% fiber optic REC network Mechanism (1200kV) incl. 10 unmanned) Inter- Market Reliability: Regional NKN & NOFN Sub-H
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