Hindustan Petroleum Corporation Limited · NSE:HINDPETRO
Hindustan Petroleum — Investor Presentation (March 2023)
38 slides from Hindustan Petroleum's investor presentation, Mar 16, 2023
Slide 1: Investor Presentation
Questions Hindustan Petroleum Corporation Limited Investor Presentation March 16, 2023 Mumbai
Slide 2: Plan of Presentation
Plan of Presentation Corporate Overview Business Overview Plan of Presentation Performance Overview Future Plans 2 2
Slide 3: Corporate Overview
Corporate Overview
Slide 4: Integrated Refining & Marketing Company
Integrated Refining & Marketing Company Shareholding Profile as of Q3, 2022-23 2.08% ONGC 8.02% 6.10% FPI Mutual Funds 13.25% Non- Institutions Insurance Co. Others • Maharatna Company since 2019 15.65% 54.90% • Operating for 100+years in India Strong presence in India in Oil & Gas Sector • Pan Indi
Slide 5: Legacy of over 100 years
Legacy of over 100 years 2019 2018 1997 Maharatna 1978 status to GoI transfers HPCL 1974 its 51.11% Navratna equity share to 1969 Status to ONGC Merger of HPCL 1962 Caltex Formation of undertaking HPCL by in India into 1955 HPCL Commissioning Amalgamating 1952 of 165 TMTPA ESSO and Stanvac’s name Lu
Slide 6: Core Strengths
Core Strengths Strategically Located Assets World Class Assets • Refineries in East , West , South and North of Country • Refineries connected with cross country pipeline Mumbai • Over 80% product evacuation from refineries through cross country pipelines Refinery • Distribution facilities across co
Slide 7: Global Recognitions
Global Recognitions Global Ratings At par with India's sovereign rating Baa3 (Stable) BBB- (Stable) Recipient of FIPI ‘Oil Marketing Company of the year’ 2021 Recognizing leaders , innovators and pioneers in Oil & Gas Industry in India 7 7
Slide 8: Business Overview
Business Overview
Slide 9: Diversified Portfolio
Diversified Portfolio Marketing* Pipelines 37.4 MMT (Domestic) 4,435 Kms JVs Refining &Subsidiaries 17.8 MMTPA (HPCL Capacity) 11.3 MMTPA (JV Capacity) 19 Numbers E&P Exports* Along with JVs/ 1.7 MMT subsidiary Renewables R&D Wind & Solar 47 Products & 175 MW Technologies Note: All figures are as of
Slide 10: Strategically located Refineries
Strategically located Refineries Refining Capacity in MMTPA Mumbai 9.5 Visakhapatnam 8.3 Guru Gobind Total HPCL 17.8 Refinery (JVC) HMEL (JVC) 11.3 Total (Marketing Rights) 29.1 Mumbai Lube Refinery (Mumbai) : 428 TMTPA Visakh Refinery Refinery Mangalore • Coastal Refineries Refinery • Pipeline conn
Slide 11: Key Features of Refineries
Key Features of Refineries Mumbai Refinery • Commissioned in 1954 with crude processing capacity of 1.25 MMTPA, currently augmented to 9.5 MMTPA capacity • Upgraded to produce BS –VI fuel grade • Diverse product portfolio • Largest Lube Refinery at Mumbai ~ 40% of India’s total Lube production • 80
Slide 12: Pan India Network
Pan India Network Distribution Network Cross country POL Aviation Service POL Depots LPG Plants Lube blending pipeline Terminals Facilities Plant 12 43 70 53 52 6 Customer Touch Points Door to Door EV Charging Retail Outlets LPG Distributors CFA CNG Dispensing Delivery Vehicles Facilities Stations 2
Slide 13: Pipeline Network of HPCL
= —— LPG Pipeline Barwala-Hisar —— [quid POL Pipeline Total Cross country Pipeline Network : 4,435 kms Bathinda - Ramanmandi Bahadurgargh- Trikikalan P/L Bathinda Refinery Ramanmandi-— Bahadurgarh PIL Awa — Salawas P/L Mundra — Delhi P/L Pe Rewari — Kanpur P/L Mundra Palanpur- Vadodara P/L ‘Vadodara
Slide 14: Focus on Research and Development
Focus on Research and Development R&D Achievements New Technologies / Products 47 demonstrated Patents Applied 416 Total Patents granted 154 R&D Technology and Product Technology / Products : Under areas of Fuel Additives, Catalysts, Bio products, Process chemicals, Hygiene Products, Specialty Produ
Slide 15: Digitally Enabled Operations
Digitally Enabled Operations Central Data Centre at Hyderabad • 450 locations connected • e-enabled business processes • 24x7 Operation centre 15 15
Slide 16: Emphasis on Talent Management
Emphasis on Talent Management Induction 2010 Capability Building Structured Induction process Behavioural / Functional to Learn, Grow and Lead and Technical training SAMAVESH Recognition Leadership Rewarding Values for Building Strong driving Performance Leadership Pipeline 16 16
Slide 17: Joint Ventures and Subsidiaries
Joint Ventures and Subsidiaries 17 17
Slide 18: CSR: Touching Lives Every Way
CSR : Touching Lives Every Way CSR : Touching lives Every Way Touching ~30 lakh lives since implementation of CSR Rules, 2014 18 18
Slide 19: Performance Overview
Performance Overview
Slide 20: Financial Highlights: FY 2021-22
Financial Highlights : FY 2021-22 CSR : Touching lives Every Way Profit After Tax EBITDA Rs. 6,383 Crore Rs. 13,146 Crore Highest Turnover Dividend 3,72,642 Crore Rs. 14/- per share 20 20
Slide 21: Quick Snapshot: April-December 2022
Quick Snapshot : April-December 2022 Highest Ever Revenue from Operations Rs. 3,51,748 Crore Highest Ever Market Sales of 32.34 MMT - Growth of 13.6% Highest Ever Refinery Thruput of 14.13 MMT - 105% Refinery Capacity Utilization. Refinery Reported GRM US$ 11.40 / bbl Consolidated Net Loss Rs 10,589
Slide 22: Quick Snapshot: Q3 2022-23
Quick Snapshot : Q3 2022-23 Revenue from Operations Rs. 1,16,127 Crore Highest Ever Market Sales of 11.25 MMT - Growth of 6.7% Highest Ever Refinery Thruput of 4.83 MMT - 108% Refinery Capacity Utilization. Refinery Reported GRM US$ 9.14 / bbl Consolidated Net Profit Rs 444 Crore 22 22 22
Slide 23: Key Financials
Key Financials 38,677 44.9 CAGR 13,146 CAGR CAGR 9.8% 13,123 11.4% 21.5% 5,156 6.4 2011-12 2021-22 March-12 March-22 2011-12 2021-22 EBITDA (Rs. Crore) Net worth (Rs. Crore) EPS (Rs./Share)* *Adjusted EPS. 23 23
Slide 24: Return to Stakeholders
Return to Stakeholders Return to shareholders Market Cap (Rs. Crore)* HPCL Share buy back Maximum buy back price Bonus share Issue Rs. 250 per share 2 38,209 47.99% increase Sep 2016 (2:1) from 28th Oct 20 254.25 171.80 186.75 CAGR 6 14.0% 10,267 28/10/20 04/11/20 14/05/21 July 2017 (1:2) HPCL share
Slide 25: CAPEX - Investing for the Future
CAPEX- Investing for the Future 19,000 Capex (Rs. Crore) 3.00 16,753 17,000 Debt Equity Ratio 16,085 2.50 15,000 14,630 2.00 13,000 12,661 11,000 1.50 1.12 1.04 9,000 7,023 1.00 7,000 0.50 5,000 3,000 - Mar 17 2017-18 2018-19 2019-20 2020-21 2021-22 Mar 22 Value Creation thru Effective Leveraging Ca
Slide 26: Future Plans
Future Plans
Slide 27: Enhancement of Refining & Marketing Infrastructure
Enhancement of Refining & Marketing Infrastructure Sectoral Overview – Oil HPCL -Capacity expansion to meet growing demand Oil Demand by Scenario: India (Unit : Million Barrels per Day) 6.7 5.9 4.7 • New 9 MMTPA Refinery and Petrochemical at Barmer in 2021 2030 Rajasthan STEPS APS • Enhancing capaci
Slide 28: Pursue growth opportunities in Natural Gas
Pursue growth opportunities in Natural Gas Sectoral Overview – Natural Gas HPCL Participation in entire value chain Natural Gas Demand by Scenario: India (Unit : Billion Cubic Meters) 115 110 66 2021 2030 • 5 MMTPA LNG Import Terminal at Chhara Port STEPS APS in Gujarat Source: World Energy Outlook
Slide 29: Foraying into Petrochemicals
Foraying into Petrochemicals Sectoral Overview -*Petchem HPCL Capacity Building & Marketing Plans *Petchem Demand : India (Unit : Million Metric Tonnes) 69 44 2021-22 2029-30 • 9 MMTPA Refinery and Petrochemical Capacity under construction *Petrochemicals considered : Polymers ( polyethylene/poly pr
Slide 30: Expanding footprints in Alternate Energy
Expanding footprints in Alternate Energy Sectoral Overview - Renewables HPCL – Participation in Emerging Opportunities Renewables Generation : India (Unit : TWh) 956 990 337 2021 2030 STEPS APS • Expanding footprints in Renewables Source: World Energy Outlook 2022 • Ethanol blending (E20) targeted t
Slide 31: Thrust on R&D, Innovation and Digital Technologies
Thrust on R&D , Innovation and Digital Technologies Own State-of-the Art R&D Centre Leveraging Innovation Leveraging Digital Technologies • Digital strategy in place • Curating future technologies • ‘Idea Junction’ to capture • Digital initiatives are under • Working towards developing 22 Innovative
Slide 32: HPCL Net Zero Plan: Development of Roadmap
HPCL Net Zero Plan: Development of Roadmap HPCL Net Zero plan - Announcement on 31st Jan 2022 • HPCL is committed to conduct business with an objective of preserving the environment and contributing to sustainable development. • HPCL is in the process of developing a validated roadmap with the help
Slide 33: Continued ESG Focus
Continued ESG Focus Environment Management Systems (EMS) by major Locations Emission monitoring Systems Ethanol blending at level of 10.49% (ESY)* Over 2GW of renewable energy in planning Sustainability agenda Environment aligned with UN SDG 3.81 crore LPG Cylinders under PMGKY Support t
Slide 34: Robust Capital Expenditure Plans
Robust Capital Expenditure Plans (Rs. Crore) Capex 2022-23 Business Segment 23% 38% 2022-23 Refinery with R&D 5,500 Marketing Infrastructure 4,300 4% Natural Gas 650 5% Bio Fuels & Renewables 650 30% Equity investments in 3,400 JVC/Subsidiaries Refinery with R&D Marketing Infrastructure Total 14,500
Slide 35: Major Ongoing Projects
Major Ongoing Projects Refining • Visakh Refinery Capacity expansion to 15MMTPA • 9 MMTPA Integrated Refinery cum petrochemical project, Barmer ~1,00,000 Crore Pipelines • Haldia Panagarh pipeline Project • Bathinda Sangrur pipeline Project ~1,000 Crore Natural Gas • 5 MMTPA LNG Terminal, Chhara Guj
Slide 36: Experienced Management Team
Experienced Management Team Mr. Pushp Kumar Joshi, Chairman & Managing Director • He is a Doctorate in Human Resource Management, Post Graduate in Human Resource Management from XLRI, Jamshedpur and Bachelor of Law from Andhra University. Prior to this, he was Director, HR of the Corporation from Au
Slide 37: Disclaimer
Disclaimer The information contained in this material have been obtained from sources believed to be reliable, but no representation or warranty express or implied, is made that such information is accurate or complete and it should not be relied upon as such. The information contained in this mater
Slide 38: Thank you
Questions Thank you
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