Jsw Energy Limited · NSE:JSWENERGY
Jsw Energy — Q4 FY2022 Earnings Presentation
46 slides from Jsw Energy's earnings presentation, May 3, 2022
Slide 1: Q4 and FY22 Results Presentation
Q4 and FY22 Results Presentation May 3, 2022
Slide 2: Forward Looking and Cautionary Statement
Forward Looking and Cautionary Statement This presentation has been prepared by JSW Energy Limited (the “Company”) based upon information available in the public domain solely for information purposes without regard to any specific objectives, financial situations or informational needs of any parti
Slide 3: Commenced operations at 225 MW Solar plant in Vijayanagar
Commenced operations at 225 MW Solar plant in Vijayanagar, Karnataka
Slide 4: FY 2022: Key Achievements
FY 2022: Key Achievements • Achieved Leadership Band (A-) in Climate Disclosure Project (CDP) – Highest rating in the power sector in India • Safety recognitions by British Safety Council for all Thermal plants including the prestigious “Sword of Honor” for Barmer • Net Generation higher by 4% YoY a
Slide 5: Key Highlights for Q4FY22 (1/2)
Key Highlights for Q4FY22 (1/2) • Overall Generation: higher by 15% YoY in Q4, driven by higher long term sales • Total Hydro Generation: higher by 15% YoY in Q4 due to better hydrology Operational • Total Thermal Generation: higher by 15% YoY in Q4 driven by higher long term sales • Highest-ever Qu
Slide 6: Key Highlights for Q4FY22 (2/2)
Key Highlights for Q4FY22 (2/2) • Group Captive 958 MW Wind & Solar: commenced operations at 225 MW solar plant in Apr’22; balance wind capacities commissioning from Q1 FY24 Strategic Update • SECI IX & X 1.26 GW Wind projects: Phase-wise commissioning from Q2 FY23 on 2.5 GW • Kutehr HEP 240 MW: PPA
Slide 7: Agenda
Agenda Sustainability Strategic Update Operational & Financial Performance Growth Strategy Business Environment Appendix JSW Energy Q4 FY22 Results Presentation 7
Slide 8: Agenda
Agenda Sustainability Strategic Update Operational & Financial Performance Growth Strategy Business Environment Appendix JSW Energy Q4 FY22 Results Presentation 8
Slide 9: Continuing our Health & Safety Excellence Journey
Continuing our Health & Safety Excellence Journey All Figures are for Q4 FY22 Zero severe injuries/fatalities in Q4 LTIFR (FY22): 0.099 75% of all JSWEL contractors covered by JSW CARES audit. 2 Contractors achieve 5 Star rating & 5 contractors achieve 4 Star in a stringent Internal Assessment 68,00
Slide 10: Sustainability: Framework and Priorities
Sustainability: Framework and Priorities 17 Focus Areas with 2030 Targets from 2020 as Base Year Governance & Oversight by Sustainability Committee Climate Change: Committed to being carbon neutral by 2050 Renewable Power: Enhance the renewable Mr. Sunil Goyal power to 2/3rd of our Total Installed C
Slide 11: Sustainability: Targets and Strategy
Sustainability: Targets and Strategy SD Targets FY20 Actuals FY30 Targets Improvement Strategic Initiatives and Approach • Increased share of renewable energy for deep decarbonization Climate • GHG Emissions 0.76 0.304 • Process efficiency improvements Change 60% tCO2e/ MWh • Replacement of condense
Slide 12: Sustainability: FY22 Performance
Sustainability: FY22 Performance Key Highlights Performance • 119 MU energy savings achieved in FY22 Ash Utilisation (%) Climate • Ratnagiri - Energy savings of 108 kwh/day in compressor operations due to Change modification in air supply & LDO system 100% 100% • Commissioned 1.06 MWp Captive Solar
Slide 13: Sustainability: Initiatives and Disclosures
Sustainability: Initiatives and Disclosures Key Sustainability Initiatives during Q4 JSW Hydro Energy launched an online ESG Profile • New plantations of Mango (600+ plants) near premises of Ratnagiri plant • Planted ~200 sapling of Chilgoza pine (Pinus gigardiana) at slopes near Sholtu (Himachal Pr
Slide 14: Sustainability: Empowering Our Communities
Sustainability: Empowering Our Communities Health & Nutrition Education & Learning • ~16,000 beneficiaries who availed health care services through • Added 600+ children from various zila parishads, trusts, other multi-specialty hospitals, clinic and OPDs schools in Ratnagiri and Barmer through the
Slide 15: Sustainability: Recognition of Global Best Practices
Sustainability: Recognition of Global Best Practices JSW Energy received Silver Shield Award for JSW Energy’s Integrated Reporting recognized in the Sustainability Reporting by ICAI Global LACP Vision Awards • JSW Energy won the prestigious ICAI Silver Shield Award for • JSW Energy recognized by LAC
Slide 16: Agenda
Agenda Sustainability Strategic Update Operational & Financial Performance Growth Strategy Business Environment Appendix JSW Energy Q4 FY22 Results Presentation 16
Slide 17: Being at the forefront of Energy Transition
Being at the forefront of Energy Transition JSWEL’s Twin Engines of Growth: Well-positioned for significant value creation Scaling to 20 GW by 2030 via Renewables Being future-ready : New Energy Solutions Under-Construction 20 GW Energy Storage: Hydro Pumped Storage (PSP) and Battery Operational Sto
Slide 18: Robust Balance Sheet & Cashflows to aid growth
Robust Balance Sheet & Cashflows to aid growth Large balance sheet headroom to pursue growth Healthy internal accruals & financial flexibility to opportunities support long term growth Existing Portfolio (4.8 GW): • Strong credit metrics : • Generating healthy CF & mid-teen equity returns2 Figures i
Slide 19: Progress Update on Renewable Projects (1/3)
Progress Update on Renewable Projects (1/3) 2.5 GW Renewable Projects Portfolio Plant Capacity (MW) Segment Location PPA/Offtake Commissioning Group Captive – Operational from 225 Solar Karnataka 25-Year; JSW Steel JSW Steel Apr’22 SECI - IX 810 Wind Tamil Nadu 25-Year; SECI progressively from SECI
Slide 20: Progress Update on Renewable Projects (2/3)
Progress Update on Renewable Projects (2/3) 1250 MW SECI-IX & X Wind, Tamil Nadu • WTG Foundation Reinforcement works in progress in Tuticorin • Switchyard Equipment erection completed JSW Energy Q4 FY22 Results Presentation 20
Slide 21: Progress Update on Renewable Projects (3/3)
Progress Update on Renewable Projects (3/3) 240 MW Kutehr HEP, Himachal Pradesh • Diverted river stream in the barrage successfully • Completed ~70% (14.6 km) tunneling work (up from ~60% in Q3) well ahead of timelines JSW Energy Q4 FY22 Results Presentation 21
Slide 22: Agenda
Agenda Sustainability Strategic Update Operational & Financial Performance Growth Strategy Business Environment Appendix JSW Energy Q4 FY22 Results Presentation 22
Slide 23: Operational Performance – Q4 FY22
Operational Performance – Q4 FY22 Net Generation (MU) Hydro: PAF and PLF 15% • Hydro PAF and PLF higher YoY Q4 FY21 Renewable 95% 100% 1,391 MW Hydro* 384 443 Short Term Q4 FY22 • Renewable Net Generation higher by 15% 9 MW Solar Long Term YoY due to higher water flow at hydro plants 384 443 14% 15%
Slide 24: Operational Performance – FY22
Operational Performance – FY22 Net Generation (MU) Hydro: PAF and PLF • Hydro PAF up YoY - 2% 5,641 5,535 FY21 103% 107% Renewable • Renewable Net Generation slightly lower by 1,391 MW Hydro* Short Term FY22 2% YoY due to lower water flow at hydro plants 5,641 5,480 50% 48% 9 MW Solar Long Term • Ov
Slide 25: Consolidated Financial Performance
Consolidated Financial Performance Total Revenue1 (` Crore) EBITDA (` Crore) and EBITDA Margins 22% 32% • Q4 Total Revenue and EBITDA 8,736 increase mainly attributable to one-off 4,138 7,160 revenue in JSW Hydro Energy. This 3,144 FY21 99% one-off was on account of tariff true- 64% FY21 FY22 up ord
Slide 26: EBITDA Bridge
EBITDA Bridge Figures in ` Crore Q4 FY JSW Energy Q4 FY22 Results Presentation 26
Slide 27: Net Debt Movement
Net Debt Movement Figures in ` Crore Net Debt increase with growth capex while strong cashflows continue to support balance sheet JSW Energy Q4 FY22 Results Presentation * Includes unencumbered bank balances, FDs, and liquid mutual funds 27
Slide 28: Superior Financial Risk Profile
Superior Financial Risk Profile Net Debt (` Crore) Net Worth (` Crore) 17,415 15,939 15,789 16,082 13,900 14,507 6,719 6,963 6,565 6,509 6,206 6,021 Dec-20 Mar-21 Jun-21 Sep-21 Dec-21 Mar-22 Dec-20 Mar-21 Jun-21 Sep-21 Dec-21 Mar-22 Leverage Ratios Wt. Average Cost of Debt Net Debt/Equity Net Debt/T
Slide 29: Healthy Trade Receivables
Healthy Trade Receivables Consolidated Trade Receivables* (` Crore ) • Receivables days decline to 59 days at Mar’22 from 69 days at Mar’21 • Receivables flat YoY at the end of FY22. This is in contrast to the power sector scenario which has witnessed 18% increase** 1800 YoY 1600 1400 1,307 1,356 1,
Slide 30: Agenda
Agenda Sustainability Strategic Update Operational & Financial Performance Growth Strategy Business Environment Appendix JSW Energy Q4 FY22 Results Presentation 30
Slide 31: Indian Economy
Indian Economy Real GDP Growth • High frequency economic indicators depict mixed recovery signals 30.0% • Services PMI prints are encouraging, on easing pandemic related 20.1% restrictions, while Manufacturing PMI moderates 15.0% 8.4% 5.4% 4.6% 3.3% 3.0% 5.4% • GST collections are healthy in Q4; the
Slide 32: Power Demand
Power Demand Power Demand Growth YoY • Power demand in FY22 saw a strong increase of 7.9% 38% YoY +40.0% • A strong pickup in economic activity coupled with +30.0% a low base effect 17% 22% +20.0% 4% 2% 9% 11% 0% 3% • In FY21 demand had declined by 1.2% YoY +10.0% 6% 4% 11% 2% 3% when Covid-19 led r
Slide 33: Power Generation
Power Generation Power Generation Growth YoY Segment-wise Share in Generation Total 39% Generation 1,376 1,389 1,382 1,490 +40.0% (BU) 3.1% 3.8% 3.7% 3.7% +30.0% 22% 9.2% 10.0% 10.6% 11.4% +20.0% 16% 9.8% 11% 11% 6% 11.2% 10.9% 10.2% 8% 8% +10.0% 4% 5% 5% 5% 5% 1% 0% 1% 0% 3% -2% 3% 2% -10% -10.0% -
Slide 34: Installed Capacity (1/2)
Installed Capacity (1/2) As on March 31, 2022 Sector-wise Installed Capacity Segment-wise Installed Capacity Central, State, 109.9 GW 104.9 GW +5,007 MW* Renewable, 99.0 GW 24.8% 26.2% +471 MW* 27.5% +458 MW* 399.5 GW 399.5 GW Thermal, 46.7 GW Hydro, 59.1% 236.1 GW +210 MW* 11.7% +890 MW* Private, 4
Slide 35: Installed Capacity (2/2)
Installed Capacity (2/2) Overall Segment-wise Net Capacity Addition (GW) RE Segment-wise Net Capacity Addition (GW) 17.3 15.5 0.5 0.4 14.0 1.1 12.1 0.3 12.0 0.1 0.5 9.4 9.4 15.5 8.6 0.9 7.4 8.6 7.4 0.5 1.6 2.1 0.4 13.9 1.6 4.3 4.1 3.4 6.5 6.4 5.5 1.4 FY19 FY20 FY21 FY22 FY19 FY20 FY21 FY22 Thermal R
Slide 36: Merchant Market – Day Ahead Market
Merchant Market – Day Ahead Market YoY Trend: Monthly Average Merchant Tariff (`/unit) Linear Trend: Monthly Average Merchant Tariff (`/unit) 10.00 12.00 9.00 8.00 10.00 7.00 8.00 6.00 5.00 6.00 4.00 4.00 3.00 2.00 2.00 1.00 Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar 0.00 Apr-08 Apr-10 Apr-12 A
Slide 37: Agenda
Agenda Sustainability Strategic Update Operational & Financial Performance Growth Strategy Business Environment Appendix JSW Energy Q4 FY22 Results Presentation 37
Slide 38: Operational Performance – Net Generation
Operational Performance – Net Generation Net Generation Location Capacity Q4 FY22 Q4 FY21 Change FY22 FY21 Change YoY YoY % MUs MUs % MUs MUs % LT 90% 1,290 1,085 +19% 5,270 5,255 +0% Ratnagiri (1,200 MW) Total 100% 1,355 1,172 +16% 5,514 5,677 (3%) Barmer (1,080 MW) LT 100% 1,608 1,526 +5% 6,515 6,
Slide 39: Operational Performance – PLF
Operational Performance – PLF Plant Load Factor (PLF) Location Capacity Q4 FY22 Q4 FY21 FY22 FY21 Remarks – Q4 FY22 YoY LT 90% Higher PPA tie-up partially offset by 85 (*104) 59 (*66) 61 (*79) 71 (*85) Ratnagiri (1,200 MW) maintenance activities Total 100% 57 (*69) 50 (*55) 57 (*73) 59 (*69) Barmer
Slide 40: Consolidated Financial Results
Consolidated Financial Results FY22 FY21 Particulars in ` Crore Q4 FY22 Q4 FY21 8,736 7,160 Total Revenue1 2,655 1,614 4,138 3,144 EBITDA 1,346 677 47% 44% EBITDA Margin(%) 51% 42% 3,542 3,070 EBITDA (Adjusted)2 821 603 777 896 Finance Cost 100 257 683 822 Interest Cost 170 183 94 74 Exceptional3 (6
Slide 41: Entity-wise Financial Results
Entity-wise Financial Results Entity-wise Revenue from Operations FY22 FY21 Particulars in ` Crore Q4 FY22 Q4 FY21 3,643 2,898 Standalone1 1,081 729 2,667 2,665 JSW Energy (Barmer) 740 625 1,856 1,223 JSW Hydro Energy2 812 123 72 72 JPTL 18 18 8,167 6,922 Consolidated* 2,441 1,570 Entity-wise EBITDA
Slide 42: Q4 & FY22 Performance – JSW Hydro Energy Ltd
Q4 & FY22 Performance – JSW Hydro Energy Ltd Key Highlights Q4 & FY22: Healthy Operational and Financial Performance Operational Performance Revenue & EBITDA includes one-off impact due to write-back of truing-up provision due to receipt of True-up tariff order of Period UoM Q4 Q4 Karcham Wangto
Slide 43: Annexure 1: Re-organisation of Green and Grey Business
Annexure 1: Re-organisation of Green and Grey Business To facilitate growth and unlock value for the shareholders, the renewable energy business will be housed under ‘JSW Neo Energy Limited’, a wholly owned subsidiary of the Company, while the thermal business will continue to be housed in the Compa
Slide 44: Broad Corporate Structure : Existing
Broad Corporate Structure : Existing Ratnagiri – 1,200 MW Hydro Entities Vijayanagar – 860 MW JSW Energy Limited Nandyal – 18 MW Solar/Wind Solar – 10 MW Entities Total – 2,088 MW JSW Hydro Energy Limited JSW Energy (Barmer) Jaigad Power Transco JSW Power Trading Co. (1,391 MW) JSW Future Energy Lim
Slide 45: Broad Corporate Structure : Post re-organisation
Broad Corporate Structure : Post re-organisation Ratnagiri – 1,200 MW Vijayanagar – 860 MW Hydro Entities JSW Energy Limited Nandyal – 18 MW Solar/Wind Total – 2,078 MW Entities JSW Neo Energy JSW Energy (Barmer) Jaigad Power Transco JSW Power Trading Co. 3,859 MW Limited (1080 MW) Limited* Limited
Slide 46: Investor Relations Contact
JSW Steel Limited Investor presentation Investor Relations Contact: ir.jswenergy@jsw.in August, 2020 JSW Energy ESG Profile: https://www.jsw.in/energy/jsw-energy-esg