Tata Power Company Limited · NSE:TATAPOWER
Tata Power — Q1 FY2024 Earnings Presentation
45 slides from Tata Power's earnings presentation, Aug 9, 2023
Slide 1: Q1 FY24 Financial Results (Quarter ending June 2023)
Q 1 F Y 2 4 F I N A N C I A L R E S U LT S (QUARTER ENDING JUNE 2023) 9 AUG 2023
Slide 2: Disclaimer
Disclaimer This document does not constitute or form part of and should not be construed as a prospectus, offering circular or offering memorandum or an offer to sell or issue or the solicitation of an offer to buy or acquire securities of the Company or any of its subsidiaries or affiliates in any
Slide 3: Agenda
04 About Tata Power Agenda 10 Sustainability: Manifesting a Greener Tomorrow 16 Industry Highlights 20 Business Highlights 27 Operational & Financial Highlights 31 Annexures tatapower.com 3
Slide 4: About Tata Power
About Tata Power tatapower.com 4
Slide 5: Glorious history of over 100 years
Glorious history of over 100 years... • Tata Power secures PLI for • 2001:Commissioned first wind 4GW Cell & Module facility in asset of 17 MW at Supa Tamil Nadu • 1910: Company Maharashtra • Commissioned first solar • 2014: Entered into • Resurgent Power Ventures • Takes over distribution • TPREL r
Slide 6: India's most Vertically Integrated Power Company
₹ Crore unless stated … to become India’s most Vertically Integrated Power Company TATA POWER COMPANY LIMITED (TPCL) Q1 FY24 Revenue EBITDA Net Debt PAT*** 15,003 3,005 37,749 1,141 THERMAL GENERATION, COAL & HYDRO RENEWABLES^ TRANSMISSION & DISTRIBUTION ELIMINATIONS/OTHERS (INCL. CORPORATE TAXES ,
Slide 7: Generation assets located across India
Generation assets located across India… Capacity Mix (Domestic + International) DOMESTIC PARTICULARS CAPACITY (MW) 14,294 MW 8,860 MW 1. Gujarat 4,988.5 Total Thermal 14 2. Maharashtra 2,206.5 16 3. Uttar Pradesh 17 2,082.1 12 4. Jharkhand 1,733.0 880 MW 443 MW Hydro Waste Heat Recovery /BFG 5. Raja
Slide 8: As well as a few Global locations
… as well as a few Global locations 2 1 3 P AR T I C U L A R S SUM OF PRESENT C AP AC I T Y ( M W ) 4 1. Dagachhu, Bhutan (Hydro) 126 2. Adjaristsqali, Georgia (Hydro) 187 3. PT CKP, Indonesia (Thermal) 54 4. Itezhi Tezhi, Zambia (Hydro) 120 Grand Total 487 tatapower.com 8
Slide 9: Clean & Green to account for ~51% capacity post project completion
Clean & Green to account for ~51% capacity post project completion Tata Power Capacity Current Operational Capacity share (IN MW ) (IN %) 3 3 Thermal 20 Hydro Wind 6 62 Solar 6 WHRS/BFG* Hybrid Capacity share post completion of projects (IN %) 2 15 Thermal Hydro 49 Wind Total 24 Solar Thermal Hydro
Slide 10: Sustainability: Manifesting a Greener Tomorrow
Sustainability: Manifesting a Greener Tomorrow Carbon Water Zero Waste Net Zero Neutral to Landfill BEFORE 2045 BEFORE 2030 BEFORE 2030 tatapower.com 10
Slide 11: Tata Power's Sustainability Aspirations
Tata Power’s Sustainability Aspirations Meaningful improvement in ESG ratings REPORT / 2022 2021 2020 2019 2018 FINANCI AL YEAR • Become carbon net zero • Education – Train • Improve Sustainability CDP – Climate 35 lakh+ youth as B C C D D before 2045 Disclosures and get Change conservation and STEM
Slide 12: ESG Performance @Tata Power
ESG Performance @Tata Power BAS ELI NE T ARG ET PART IC U L AR S DESCRIPT ION ON GOING ACT IONS VAL UE Y EAR VALU E Y EAR Clean & Green Portfolio 16%* 2015 70% 2030 • 38% RE portfolio as on 30th June 2023 • SBTi Commitment Net Zero • Renewable Portfolio Growth 38.9 Million Tonnes 2023 100% 2045 (Abs
Slide 13: Strong Governance Framework
Strong Governance Framework CSR & Sustainability Board Committee Apex Leadership Sustainability Framework- Governance SBU Heads Tata Power has a well-established sustainability governance structure to benchmark, implement, and monitor sustainability aligned decisions and actions. The CSR and Corpora
Slide 14: Transitioning to non-fossil fuel-based generation by FY 2045
Transitioning to non-fossil fuel-based generation by FY 2045 Leading utility transition Leading utility transition to clean to clean energy by Evolving energy by evolving generation mix generation mix • Over 1/3rd of Tata Power’s 16% generating capacity comes from 38% clean and green energy sources
Slide 15: Empowering Communities
Empowering Communities CSR Mission To work with communities in the vicinity 3.7 Mn TOUCHING LIVES 85+ DISTRICTS IN of our operations or as specially identified, to gain their acceptance of co-existence by 1 7 S TAT E S addressing salient development imperatives **Tata Power has made a major leap in
Slide 16: Industry Highlights
Industry Highlights tatapower.com 16
Slide 17: Strong Correlation between GDP and Power Generation Growth
Strong Correlation between GDP and Power Generation Growth India has one of the lowest Ratio of Power Generation Monthly Power Demand All India Coal-Based Power Consumption per Capita Growth to GDP Growth has rebounded in Jun-23 Generation Plants’ PLF at 68% increased in the past 5 years (IN %) (IN
Slide 18: Renewable Energy accounted for ~77% of Capacity additions in Q1 FY24
Renewable Energy accounted for ~77% of Capacity additions in Q1 FY24 Total Installed Capacity in India 4.2 GW added in Jun-23 5.8 GW Capacity added in Q1 Renewable (incl. Hydro) accounted for currently stands at ~422 GW FY24 ~77% of Q1FY24 Capacity additions (IN GW ) (IN MW ) (IN %) Thousands 4.0 3%
Slide 19: Polysilicon and Thermal Coal Prices have corrected sharply
Polysilicon and Thermal Coal Prices have corrected sharply Price Movement of Polysilicon & Wafer Price Movement of Cell & Module Coal Prices (US$/t) 40 40 1.2 1.2 0.28 35 35 0.28 11 450 30 30 0.23 0.23 400 0.8 0.8 25 25 350 0.18 300 0.18 20 20 0.6 0.6 250 15 15 0.13 200 0.4 0.4 0.13 150 10 10 0.2 0.
Slide 20: Business Highlights
Business Highlights tatapower.com 20
Slide 21: Q1 FY24 Highlights
Q1 FY24 Highlights Tata Power has been Tata Power has been Partnered with recognised as India's most recognised by Fortune India TP Saurya Limited Ayodhya Development attractive employer brand by as “Employer of the Future” in (subsidiary of TPREL) signs Authority to install EV “Randstad Employer Br
Slide 22: Solar Utility Scale EPC Update
Solar Utility Scale EPC Update WELL DIVERSIFIED UTILITY TPSSL- Large EPC Order Book BUSINESS SCALE ORDER BOOK (IN ₹ CRORE) UPDATES CUSTOMER ORDER BOOK (₹ CR) • First ever capacitor bank commissioned in KSEB Tata Power Group 7,658 110 MW project SJVN 3,986 • Orders have already been placed for 1.6 GW
Slide 23: Tata Power – EZ Charge
Tata Power – EZ Charge BUSINESS HIGHLIGHTS OPERATIONAL EV CHARGING PLATFORM HIGHLIGHTS STATISTICS • Tata Power has energised a total of 160+ EV Public and Captive Chargers (Energized) 150k+ Registered Users charging points in Rajasthan (25 in Q1 FY24) 3,778 593 127 23 across key highways Cities and
Slide 24: Solar Rooftop, Group Captive and Pump Business – Q1 Highlights
Solar Rooftop, Group Captive and Pump Business – Q1 Highlights ROOFTOP SOLAR AND GROUP CAPTIVES SOLAR PUMP Revenue Revenue (In ₹ Crore) (In ₹ Crore) Q1 FY 24 549 Q1 FY 24 170 Q4 FY 23 1,097 Q4 FY 23 97 Q1 FY 23 561 Q1 FY 23 241 457 MW orders w on in Q1 Pumps Installed YTD (In%) • Order Book (Incl. G
Slide 25: Odisha Discoms – Q1FY24 Highlights
Odisha Discoms –Q1FY24 Highlights STRONG OPERATIONAL PERFORMANCE ACROSS ALL DISCOMS TH E F T M E TE R S SUBSTATIONS PRE-TAKEO VER L O AD R E P L AC E D AU TO M A T E D AR R E AR S (MW) (in lakhs) (No’s) C O L L E C TE D ( ₹ C r s ) REDUCING AT&C LOSSES => PROM ISING GROWTH Q1 Upto Q1 Upto Q1 Upto Q1
Slide 26: Solar Cell & Module Manufacturing project remains on track
Solar Cell & Module Manufacturing project remains on track MARCH 2023 JULY 2023 4 GW MODULE FACILITY First module production expected by end of Sep-23 MARCH 2023 JULY 2023 4 GW CELL FACILITY First cell production expected in Q4 FY24 tatapower.com 26
Slide 27: Operational & Financial Highlights
Operational & Financial Highlights tatapower.com 27
Slide 28: Q1 FY24 Operational Highlights
Q1 FY24 Operational Highlights Generation - Availability Plant Load or Capacity Utilization Factor AT&C Losses - Distribution IN % IN % IN % 100 100 98 99 98 100 100 100 79 97 77 93 8.8 8.9 87 8.0 8.0 66 79 73 6.3 5.7 46 45 54 41 38 35 26 25 25 23 23 12 0.8 15 0.5 8 0.4 Thermal Mundra MO Hydro WIND
Slide 29: Financial Highlights
Financial Highlights 15th consecutive quarter of PAT growth (Y-o-Y) Revenue EBITDA* Underlying EBITDA 2% 18% 43% -3% (including share of JVs and Associates) 15% 2% Q1 FY24 15,003 Q1 FY24 3,005 Q1 FY24 3,356 Q4 FY23 12,755 Q4 FY23 3,101 Q4 FY23 3,280 Q1 FY23 14,776 Q1 FY23 2,107 Q1 FY23 2,910 *Report
Slide 30: Comfortable Debt Position For Sustainable Growth
Comfortable Debt Position For Sustainable Growth Net Debt Sequential increase in Net Debt due to higher Working Capital and Capex (IN ₹ CRORE) (IN ₹ CRORE) Q1 FY24 37,749 Q4 FY23 35,328 Q3 FY23 38,131 Balance Sheet Continues to Strengthen Q4 FY23 Cash from Income WC Changes Dividend Interest Busines
Slide 31: Annexures
Annexures tatapower.com 31
Slide 32: Consolidated Performance – Q1 FY24
Consolidated Performance – Q1 FY24 ₹ Crore unless stated Particulars Op Income EBITDA^^ PAT Q1 FY24 Q1 FY23 Q1 FY24 Q1 FY23 Q1 FY24 Q1 FY23 Consolidated before exceptional items 15,003 14,776 3,005 2,107 906 884 Standalone & Key Subsidiaries Tata Power (Standalone) 5,006 5,270 1,486 1,271 446 421 Ma
Slide 33: Tata Power (Consolidated) Performance
Tata Power (Consolidated) Performance ₹ Crore unless stated Particulars Q1 FY24 Q1 FY23 Var Quarter Variance Remarks Higher sales and power prices in Odisha discoms, capacity Operating Income 15,003 14,776 227 addition in renewables and order impact in MPL Operating Expenses 12,270 12,812 542 Operat
Slide 34: Tata Power (Standalone) Financial Performance
Tata Power (Standalone) Financial Performance ₹ Crore unless stated Particulars Q1 FY24 Q1 FY23 Var Quarter Variance Remarks Operating Income 5,006 5,270 (264) Operating Expenses 3,963 4,721 758 Lower generation and fuel price Operating Profit 1,043 549 493 Other Income 443 722 (278) Lower dividend
Slide 35: Maithon Power Limited - Highlights
Maithon Power Limited - Highlights ₹ Crore unless stated Particulars Q1 FY24 Q1 FY23 Var Quarter Variance Remarks Generation (MUs) 1,998 2,000 (2) Sales (MUs) 2,013 1,960 53 Availability (%) (Plant) 96% 95% 1% PLF % 87% 87% 0% Financials Favourable order impact for heat rate, Settlement with Operati
Slide 36: Prayagraj Power Generation Co. Ltd. - Highlights
Prayagraj Power Generation Co. Ltd. - Highlights ₹ Crore unless stated Particulars Q1 FY24 Q1 FY23 Var Quarter Variance Remarks Generation (MUs) 3,235 3,023 212 Sales (MUs) 3,051 2,847 205 Availability (%) 88% 74% 14% PLF % 75% 70% 5% Financials Higher tariff in merchant sales and Operating Income 1
Slide 37: Tata Power Delhi Distribution Ltd. - Highlights
Tata Power Delhi Distribution Ltd. - Highlights ₹ Crore unless stated Particulars Q1 FY24 Q1 FY23 Var Quarter Variance Remarks Purchase (MUs) 2,795 3,188 (393) Sales (MUs) 2,626 2,982 (356) Revenue Per Unit 9.70 8.82 0.88 PPC Per Unit 8.09 6.61 (1.49) AT&C losses (%) 5.7% 8.0% 2.3% Financials Lower
Slide 38: Q1 FY24 Odisha Discoms – Highlights
Q1 FY24 Odisha Discoms – Highlights ₹ Crore unless stated Particulars TPCODL TPSODL TPWODL TPNODL Purchase (MUs) 3,202 1,170 3,165 1,908 Sales (MUs) 2,444 884 2,597 1,631 Revenue per unit 5.5 6.2 6.3 5.7 Power Cost per unit 3.3 2.3 4.4 3.6 Actual Technical losses (%) 24% 24% 18% 15% Actual AT&C loss
Slide 39: RE Generating Companies
RE Generating Companies* ₹ Crore unless stated Particulars Q1 FY24 Q1 FY23 Var Quarter Variance Remarks Capacity - Total (MW) 4,102 3,623 479 Capacity - Wind (MW) 965 928 38 Capacity - Solar (MW) 3,136 2,695 441 Generation (MUs) 2,146 1,896 250 Sales (MUs) 2,123 1,873 250 Avg PLF (%) - Solar 25% 24%
Slide 40: Tata Power Solar Systems Limited – Highlights
Tata Power Solar Systems Limited – Highlights ₹ Crore unless stated Particulars Q1 FY24 Q1 FY23 Var Quarter Variance Remarks Operating Income 1,492 1,353 139 Higher execution of EPC projects Operating expenses 1,452 1,340 (111) Operating profit 40 12 28 Upfront loss reversal due to extension of Othe
Slide 41: Renewables – Consolidated View
Renewables – Consolidated View ₹ Crore unless stated Key Parameters - Renewables Q1 FY24 Q1 FY23 Revenue 2,089 2,090 EBITDA 908 778 PAT 240 181 Gross Debt 16,374 17,184 Net Debt 12,592 16,882 Net Worth 12,444 8,222 Note: EBITDA includes other income tatapower.com 41
Slide 42: Regulated - Equity And Assets
Regulated - Equity And Assets ₹ Crore unless stated Particulars Q1 FY24 Q4 FY 23 Q3 FY 23 Q2 FY 23 Regulated Equity Mumbai Operation 4,642 4,639 4,394 4,380 Jojobera 548 542 542 522 Tata Power Delhi Distribution (100%) 1,945 1,931 1,861 1,846 TP Central Odisha Dist Ltd (100%) 590 590 504 504 TP Sout
Slide 43: Key Segments - Debt Profile
Key Segments - Debt Profile ₹ Crore unless stated Total Gross Debt (LT + ST) Company Quarterly movement Remarks Q1 FY24 Q4FY23 QoQ Q1 FY23 YoY Coal SPVs + TPIPL 4,610 4,722 112 4,676 66 TPDDL 2,245 2,442 197 2,831 586 TPREL & Subsidiaries 12,178 11,727 (451) 11,564 (614) Capex for additional capacit
Slide 44: Tata Power - Debt Profile
Tata Power- Debt Profile ₹ Crore unless stated Consolidated Particulars Q1 FY24 Q4FY23 Q1 FY23 Rupee Forex Total Total Total Long term 26,536 2,608 29,144 30,708 30,014 Short term 10,900 1,187 12,087 9,201 11,007 Current Maturity of LT 8,353 814 9,167 9,065 8,672 Total Debt 45,788 4,610 50,398 48,97
Slide 45: Investor Relations
www.tatapower.com I N V E S T O R R E L AT I O N S T E A M : Mr. Soundararajan Kasturi Mr. Rajesh Lachhani Chief – Treasury & Investor Relations Head – Investor Relations Email: kasturis@tatapower.com Email: rajesh.lachhani@tatapower.com M: +91 82912 04022 M: +91 9742947821