Semirara Mining & Power Corp. · PSE:SCC

Semirara Mining & Power — Q1 2016 Earnings Presentation

28 slides from Semirara Mining & Power's earnings presentation, May 10, 2016

  1. Slide 1: Q1 2016 Briefing

    FT MININ POWER > G& PO Q1 2016 Briefing 10 May 2016

  2. Slide 2: Consolidated Financial Highlights

    CONSOLIDATED FINANCIAL HIGHLIGHTS In million Php, except ratios Q1 2015 Q1 2016 Variance Revenues 7,245 6,657 -8% Coal 3,752 3,940 5% Power 3,492 2,696 -23% Depreciation 565 664 -17% Coal 308 395 28% Power 257 269 5% EBITDA 3,554 3,845 8% EBITDA Margin 49% 58% 18% NIAT 2,511 2,910 16% EPS 2.35 2.72

  3. Slide 3: Segment Financial Highlights

    SEGMENT FINANCIAL HIGHLIGHTS Operating businesses Coal SCPC SLPGC Q1 2015 Q1 2016 Variance Q1 2015 Q1 2016 Variance Q1 2015 Q1 2016 Variance Revenues (In M Php) 5,446 4,642 -15% 3,492 1,656 -53% - 1,061 Ave. Price 2,265 1,593 -30% 3.56 3.90 10% - 4.22 Cost of Sales - MT/Kwhr 1,209 651 -46% 1.90 1.90

  4. Slide 4: Q1 2016 Volume Sold vs Cost of Sales

    Q1 2016 VOLUME SOLD vs COST OF SALES COAL SCPC SLPGC 3,500 3,500 1.90 2.00 290 2.00 800 1.80 1.80 3,000 3,000 700 280 1.60 1.60 2,500 2,500 600 1.40 1.40 270 1.14 2,000 2,000 500 1.20 1.20 400 805 260 1.00 1,500 1,500 1.00 2,913 1,897 300 0.80 424 0.80 250 285 1,000 651 1,000 0.60 200 0.60 0.40 500

  5. Slide 5: Consolidated Revenues and NIAT

    CONSOLIDATED REVENUES AND NIAT Q1 2015 vs Q1 2016 Gross Revenues NIAT 8 4 8% 7 16% 3 6 1.06 3 0.86 3.49 5 2 1.66 1.87 0.69 4 2 3 1 1.37 2 3.75 3.94 1 0.66 1 - (0.01) - (1) 2015 2016 2015 2016 Coal SCPC SLPGC 23%  in revenues, 8%  in NIAT. SCPC’s Calaca Unit 2 was down on maintenance in Q1 2016, re

  6. Slide 6: Cash Generation & Utilization - Consolidated

    CASH GENERATION & UTILIZATION - CONSOLIDATED Q1 2016 10.0 Debt Availment 8.0 Php4.7 Debt Repayment Php5.9 In Billion PHP 6.0 Cash Generation Php1.4 Capex Php0.4 4.0 Cash Beginning Cash End 2.0 Php4.7 Php4.6 - GENERATION UTIIZATION

  7. Slide 7: Consolidated Assets, Liabilities, & Equity

    CONSOLIDATED ASSETS, LIABILITIES, & EQUITY Q1 2015 vs 2016 (Audited) 1% 8% 11% ASSETS LIABILITIES EQUITY 70 60 0 0 50 22 22 40 30 0 1 0 0 20 20 14 7 12 9 20 4 4 10 18 22 15 15 12 12 - (0) (0) (10) 12.31.15 03.31.16 12.31.15 03.31.16 12.31.15 03.31.16 Coal SCPC SLPGC Others

  8. Slide 8: Coal Production

    COAL PRODUCTION Q1 2015 vs Q1 2016 Materials Moved Coal Production 32.0 4.0 31.0 3.5 30.0 3.0 29.0 2.5 28.0 2.0 3.7 30.8 27.0 1.5 2.7 26.0 1.0 25.0 26.3 0.5 24.0 - 2015 2016 2015 2016 17%  in materials moved, 37%  in coal production. Increase in materials moved is due to increase in excavating cap

  9. Slide 9: Coal Sales

    COAL SALES Q1 2015 vs Q1 2016 6 5 REVENUE (billion pesos) / VOLUME (million MT) 4 2.2 ASP ASP 2,204 1,593 3 2.9 0.3 0.6 2 1.7 1.1 0.2 0.1 0.3 2.2 0.3 0.1 1 0.1 1.0 1.3 1.0 0 Rev 2015 Vol 2015 Rev 2016 Vol 2016 Php5.3 B 2.4M MT Php4.6 B 2.9 M MT POWER CEMENT OTHERS EXPORT 21%  in volume sold, 28% 

  10. Slide 10: Coal Sales Mix

    COAL SALES MIX Q1 2015 vs Q1 2016 Q1 2015 Q1 2016 44% 41% 58% 35% 11% 5% 4% 2% 2.40 M MTs 2.91 M MT 42% 27% 42% 62% 11% 7% 5% 4% Php 5.30 B Php 4.64 B Power Cement Others Export  off-take of power plants,  exports . SCPC’s offtake decreased by 58% due to extended maintenance shutdown in Q1. Lower

  11. Slide 11: SCPC Power Plants' Performance

    SCPC POWER PLANTS’ PERFORMANCE Q1 2015 vs Q1 2016 Gross Gen, Total Plant Ave. Capacity, Total Plant 1,200 1,014 66% 600 6% 1,000 500 800 456 274 400 600 300 400 346 200 558 285 200 346 100 188 - - - - 2015 2016 2015 2016 Unit 2 Unit 1 *Unit 1 Ideal Norm for Capacity Utilization Capacity Factor, Tota

  12. Slide 12: SCPC Power Plants' Availability & Outages

    SCPC POWER PLANTS’ AVAILABILITY & OUTAGES Q1 2015 vs Q1 2016 Availability 4,000 TP 84% 3,500 49% 3,000 77% 2,500 Planned Outage, Hrs 2015 2016 Variance 2,000 TP 42% Unit I 360 - 100% 1,500 Unit II - - -0% 1,000 91% 84% Total Plant 360 - 100% 500 - Unplanned Outage, Hrs 2015 2016 Variance 2015 2016 U

  13. Slide 13: SCPC Energy Sales

    SCPC ENERGY SALES Q1 2015 vs Q1 2016 2015 2016 Variance BCQ Revenue in Pesos, Net 3,080 1,626 -47% BCQ Volume Sold (GWh) 902 422 -53% BCQ, Ave Price 3.41 3.85 13% Spot Sale in Pesos 413 30 -93% Spot Volume Sold (GWh) 80 2 -97% Spot Sales, Ave Price 5.18 13.44 159% Total Revenue in Pesos 3,492 1,656

  14. Slide 14: SCPC Energy Sales Mix

    SCPC ENERGY SALES MIX Q1 2015 vs Q1 2016 2015 2016 9% 8% 6% 1% 1% 4% 0% 8% 78% 83% 982 GWH 424 GWH 12% 1% 6% 2% 1% 10% 7% 4% 73% 85% PHP 3.49 B PHP 1.66 B Meralco Batelec I Trans Asia Spot Others Meralco remains to be the single biggest customer of the Company, accounting for 83% of sales volume and

  15. Slide 15: SLPGC Power Plants' Commissioning

    SLPGC POWER PLANTS’ COMMISSIONING Q1 2015 vs Q1 2016 Gross Gen, Total Plant Ave. Capacity, Total Plant 250 217 200 200 65 71 150 150 100 100 152 50 119 50 - - 0 2015 2016 2015 2016 Unit 4 Unit 3 Capacity Factor, Total Plant 0.35 0.3 0.25 0.2 0.15 33% 0.1 0.05 0 2015 2016

  16. Slide 16: SLPGC Power Plants' Availability & Outages

    SLPGC POWER PLANTS’ AVAILABILITY & OUTAGES Q1 2015 vs Q1 2016 Availability 2,500 TP 51% 2,000 42% 1,500 Planned Outage, Hrs 2015 2016 Unit 3 - 1,176 1,000 Unit 4 - 744 59% Total Plant - 1,920 500 - Unplanned Outage, Hrs 2015 2016 2015 2016 Unit 3 - 96 Unit 3 - 912 Unit 4 - 1,272 Unit 4 - 168 Total 0

  17. Slide 17: SLPGC Energy Sales

    SLPGC ENERGY SALES Q1 2015 vs Q1 2016 2015 2016 BCQ Revenue in Pesos, Net - 951 BCQ Volume Sold (GWh) - 208 BCQ, Ave Price - 4.57 Spot Sale in Pesos - 101 Spot Volume Sold (GWh) - 41 Spot Sales, Ave Price - 2.45 Total Revenue in Pesos - 1,053 Total Volume Sold (GWh) - 250 Composite Ave. Price - 4.22

  18. Slide 18: SLPGC Energy Sales Mix

    SLPGC ENERGY SALES MIX Q1 2016 250 GWH PHP 1.66 B 24% 10% 17% 31% 37% 29% 36% 17% VECO GN Power Spot Others 24% of the total generated energy is sold to SCPC as replacement power of its contracts.

  19. Slide 19: Key Takeaways

    KEY TAKEAWAYS • Approved ECC amendment on 12 February to increase mining capacity from 8 million tons to 12 million tons • Molave BOI-registration approved 24 February, entitling revenues from production to ITH • Completion of improvement of shipyard facilities; one of the three shiploaders can now

  20. Slide 20: Appendix

    APPENDIX

  21. Slide 21: Comparative Statements of Comprehensive Income - Coal

    COMPARATIVE STATEMENTS OF COMPREHENSIVE INCOME - COAL For the period ending March (in million Php) Q1 2015 Q1 2016 Variance Revenue 5,446 4,647 (799) -15% Costs of Sales 2,907 1,897 (1,010) -35% Gross Margin 2,539 2,750 211 8% Gross Profit Ratio 47% 59% 27% Govt Share 881 693 (188) -21% Gen & Admin

  22. Slide 22: Comparative Statements of Comprehensive Income - SCPC

    COMPARATIVE STATEMENTS OF COMPREHENSIVE INCOME - SCPC For the period ending March (in million Php) Q1 2015 Q1 2016 Variance Revenue 3,519 1,676 (1,843) -52% Contracted Energy 3,084 1,630 (1,454) -47% Spot Sales 413 30 (383) -93% PPD (4) (4) 1 -18% Other Income (Fly Ash) 26 20 (7) -26% Cost of Energy

  23. Slide 23: Comparative Statements of Comprehensive Income - SLPGC

    COMPARATIVE STATEMENTS OF COMPREHENSIVE INCOME - SLPGC For the period ending March (in million Php) Q1 2015 Q1 2016 Variance Revenue - 1,061 1,061 Contracted Energy - 953 953 Spot Sales - 101 101 PPD - (2) (2) Other Income (Fly Ash) - 8 8 Cost of Energy Sales - 285 285 Generation Cost - 138 138 Repl

  24. Slide 24: Comparative Statements of Comprehensive Income - Consolidated

    COMPARATIVE STATEMENTS OF COMPREHENSIVE INCOME - CONSOLIDATED For the period ending March (in million Php) SMC SCPC SLPGC 2015 SMC SCPC SLPGC 2016 Coal 3,752 - - 3,752 3,940 - - 3,940 Power - 3,492 - 3,492 - 1,656 260 1,916 Power Commissioning Income 780 780 REVENUE 3,752 3,492 7,245 3,940 1,656 1,0

  25. Slide 25: Comparative Statements of Financial Position - Consolidated

    COMPARATIVE STATEMENTS OF FINANCIAL POSITION - CONSOLIDATED As of March 2016 vs December 2015 (Audited) – In million pesos SMCSCPC SLPGC SBPG SRPG SCS SEU SCRC SCIP CONSOLIDATED 100% 100% 100% 100% 100% 100% 100% 100% PARENT 03.31.2016 12.31.2015 DIRECT DIRECT DIRECT DIRECT DIRECT DIRECT INDIRECT DI

  26. Slide 26: Comparative Statements of Financial Position - Consolidated

    COMPARATIVE STATEMENTS OF FINANCIAL POSITION - CONSOLIDATED As of March 2016 vs December 2015 (Audited)– In million pesos SMC SCPC SLPGC SBPG SRPG SCS SEU SCRC SCIP CONSOLIDATED 100% 100% 100% 100% 100% 100% 100%INDI PARENT 100% DIRECT 03.31.2016 12.31.2015 DIRECT DIRECT DIRECT DIRECT DIRECT DIRECT

  27. Slide 27: Consolidated Loan Profile

    CONSOLIDATED LOAN PROFILE In Millions Business Dec Jan-Mar Mar Segment 2015 Availment Payment 2016 Coal (USD) 87.2 22.2 28.8 80.2 Coal (PHP Equivalent) 4,101 1,021 1,347 3,694 Coal (PHP) 2,107 2,100 2,107 2,100 Total Coal (PHP) 6,209 3,121 3,454 5,794 SCPC (PHP) 2,300 1,600 1,984 1,916 SLPGC (PHP) 1

  28. Slide 28: Disclaimer

    DISCLAIMER •Semirara Mining and Power Corporation (the “Company”) and its advisors assumes no responsibility or liability regarding actions or decision that may be taken regarding any information resulting from unintentional errors or omissions contained in this document. •In addition, this document

Semirara Mining and Power — Q1 2016 Earnings Presentation on 6ix