Adani Energy Solutions Ltd · NSE:ADANIENSOL
Adani Energy Solutions — Adani Transmission — Q2 FY2020 Earnings Presentation
30 slides from Adani Energy Solutions's earnings presentation, Nov 7, 2019
Slide 1: Q2 and H1 FY2020 Results Presentation
Adani Transmission Limited Q2 and H1 FY2020 Results Presentation 7 November 2019 Conference Call Dial-in is on the last page
Slide 2: Legal Disclaimer
Legal Disclaimer The information contained in this presentation is provided by Adani Transmission Limited (together with its ATL assumes no responsibility to publicly amend, modify or revise any forward looking statements, on the basis subsidiaries, the “Company” or “ATL”) to you solely for your ref
Slide 3: Table of Contents
Table of Contents A Overview B Operational Highlights C Financial Highlights D ESG E Appendix 1 Supplementary Financial Information 2 ATL’s Structure and Presence Q2 and H1 FY20 Results Presentation - November 2019 2
Slide 4: A. Overview
Switchyard at Tiroda Sub-station A. Overview Valve Hall Inspection at Mundra HVDC line
Slide 5: ATL: Largest Private T&D Company in India
ATL: Largest Private T&D Company in India Execution Strength and Pan India Portfolio of operational/ ~INR 281 Bn/ US$ 4,019 Mn 765 KV, 400 KV, 220 KV EHT Presence under-construction Regulated Asset base(1) AC Pan-India network & only EHV Transmission Network (Fully built) private sector co. to opera
Slide 6: ATL's Evolution and Operational Portfolio
ATL’s Evolution and Operational Portfolio Adani Transmission Limited ATL’s Transmission Network (ckt km) has grown 2.7x in 3 years; and Distribution business acquired in FY19 100% 100% 100% 100% 100%(1) 100% 100% 100% 100% 100% 100% ATSCL & WTGL, PPP ATIL MEGPTCL AEML ATBSPL ATRL RRWTL CWRTL STL MTS
Slide 7: Q2 and H1 FY20: Highlights
Q2 and H1 FY20: Highlights Operational Operational Revenue ▪ Transmission: Avg. availability 99.8% in Q2 and 99.9% in H1 Transmission Distribution (Rs. in crore) ▪ Distribution: AT&C loss down 21 bps in Q2 at 8.18% and 62 bps in H1 at 7.97%, 2,588 2,858 114% YoY driven by ongoing technical loss and
Slide 8: B. Operational Highlights
765 kV Koradi Sub-Station in Maharashtra B. Operational Highlights SCADA unit at Mundra SS
Slide 9: Transmission: Operating Performance Underpinned by Strong Capabilities
Transmission: Operating Performance Underpinned by Strong Capabilities Strong operational capabilities and focus on incentive maximization led to consistent performance across assets with 99.8% availability Availability Across Operational Assets(1) (%) Focus on Maximizing Incentives % Normative Ince
Slide 10: Distribution Business (AEML): Strong Operating Metrics
Distribution Business (AEML)1: Strong Operating Metrics Distribution Loss (%) E-payments (%)2 Further grow Target of <6% e-payment 8.59% 47% 49% 8.39% 45% 62 bps 21 bps 8.18% 39% 7.97% H1 FY19 H1 FY20 Q2 FY19 Q2 FY20 Sep 18 Mar 19 Jun 19 Sept 19 Customer Count (mn) Units Sold (MU’s) Supply Reliabili
Slide 11: ATL Project Pipeline at a Glance
ATL Project Pipeline at a Glance Adani Transmission Limited Under acquisition 100% 100% 100% 100% 100% 100% L1 Lakadia Jam Ghatam- Obra-C WRSS – Bikaner - Kharghar NKTL FBTL Banas- Kham- pur Badaun XXI (A) Khetri - Vikhroli kantha baliya North Lakadia- 400kv Karanpura Fategarh Lakadia - Bikaner - Ja
Slide 12: C. Financial Highlights
SCADA unit at our control room at AEML C. Financial Highlights Sub-station Switchyard
Slide 13: P&L: H1FY20 vs. H1FY19
P&L: H1FY20 vs. H1FY19 Sr. No. Particulars H1 FY20 H1 FY20 H1 FY20 H1 FY19 H1 FY19 H1 FY19 % change (Rs. in crore) Transmission Distribution (Consolidated) Transmission Distribution* (Consolidated)* 1 Revenue 1.1 Net Transmission & Distribution Charges 1,318 4,103 5,421 1,073 655 1,728 1.1.a Transmi
Slide 14: P&L: Q2FY20 vs. Q2FY19
P&L: Q2FY20 vs. Q2FY19 Sr. No. Particulars Q2 FY20 Q2 FY20 Q2 FY20 Q2 FY19 Q2 FY19 Q2 FY19 % change (Rs. in crore) Transmission Distribution (Consolidated) Transmission Distribution* (Consolidated)* 1 Revenue 1.1 Net Transmission & Distribution Charges 662 1,914 2,576 544 655 1,199 1.1.a Transmissio
Slide 15: Transmission Business: Revenue and Operating EBITDA Bridge
Transmission Business: Revenue and Operating EBITDA Bridge (Rs. in crore) Q2FY20 - Revenue Bridge YoY Q2FY20 – EBITDA Bridge YoY 800 700 116 700 119 600 (8) 600 7 7 (2) 500 1 (4) 500 662 400 544 400 300 300 623 200 507 Q2 FY20 Due to 7 KEC Bikaner MEGPTCL MEGPTCL - WTPL & Q2 FY19 200 newly acquisiti
Slide 16: Distribution Business: Revenue and Operating EBITDA Bridge
Distribution Business: Revenue and Operating EBITDA Bridge (Rs. in crore) Q2FY20 - Revenue Bridge YoY Q2FY20 – EBITDA Bridge YoY 2,000 600 89 6 137 1,900 500 3 21 18 400 1,800 89 1,956 300 14 3 1,700 496 1,819 200 1,600 253 100 1,500 Q2 FY 20 Income from Transmission CSS from Fuel Other income Q2 FY
Slide 17: ATL Financing Prowess: Diversified funding sources and debt maturity
ATL Financing Prowess: Diversified funding sources and focus on debt maturity & cost rationalization Diversified Debt Mix (30 Sept 2019) Extended Maturity Profile: Improved Returns and Low Refinancing Risk INR Bond INR Masala Bond US$ Bond Loans CP ECB FY16 <1Y 1 to 5 Y >5Y H1 FY20 2% 1% 12% 12% 12%
Slide 18: D. ESG
Routine Inspection of control panel at Alwar SS, Rajasthan D. ESG Maintenance work at Warora SS, Maharashtra
Slide 19: ESG initiatives during the quarter
ESG initiatives during the quarter Safety – Always First Sustainability & Communities Environmental Initiatives Safety Initiatives Communities GreeNoble ▪ Training: Initiated First-Aid training ▪ Preparation and approval of CSR Plan ▪ An Initiative for recognizing employees program for all site empl
Slide 20: Key Corporate Governance Initiatives in H1 FY20
Key Corporate Governance Initiatives in H1 FY20 Conducted a 2-day workshop for our Reconstituted Audit Committee management team in association with to comprise only of Independent CII on Sustainability and Governance Directors from June 2019 onwards Published Integrated Annual Report for FY19, base
Slide 21: E-1. Appendix – Supplementary Financial Information
Thermography scanning at Mahendragarh, Haryana E-1. Appendix – Supplementary Routine inspection at Akola SS, Maharashtra Financial Information
Slide 22: P&L: Q2FY20 vs. Q1FY20
P&L: Q2FY20 vs. Q1FY20 Q2 FY20 Q2 FY20 Q2 FY20 Q1 FY20 Q1 FY20 Q1 FY20 (Rs. in crore) Sr. No. Particulars % change Transmission Distribution (Consolidated) Transmission Distribution (Consolidated) 1 Revenue 1.1 Net Transmission & Distribution Charges 662 1,914 2,576 656 2,189 2,845 1.1.a Transmissio
Slide 23: Balance Sheet: H1 FY20 vs. FY19
Balance Sheet: H1 FY20 vs. FY19 (Rs. in crore) As at As at As at As at Particulars 30th Sept, 31st March, Particulars 30th Sept, 31st March, 2019 2019 2019 2019 EQUITY AND LIABILITIES ASSETS Equity Non-current Assets Equity Share Capital 1,100 1,100 Property, Plant and Equipment 22,648 22,837 Unsecu
Slide 24: Cash-flow Statement: H1 FY20 vs. H1 FY19
Cash-flow Statement: H1 FY20 vs. H1 FY19 (Rs. in crore) For the period For the period Sr. No. Particulars ended ended 30 Sept., 2019 30 Sept., 2018 Cash flow from operating activities Profit before taxes 585 367 Operating Profit before working capital changes 2,123 1,065 A. Net cash generated from /
Slide 25: Consolidated Debt Profile and Key Ratios
Consolidated Debt Profile and Key Ratios Particulars Q2 FY20 Q1 FY20 Q4 FY19 Ratios (LTM, 30 Sept 2019) 30-Sep-19 30-Jun-19 31-Mar-19 Obligor 6,933 6,791 7,224 Particulars Actual Ratio Target GMR/WRSSS 979 1,002 1,028 Consolidated: Recently Operational Projects/Acq. 2,307 2,310 2,152 Debt Service Co
Slide 26: Credit Rating
Credit Rating International- Obligor Group SPV Ratings - Domestic Rating Agency Facility Rating/Outlook Company Rating Agency Rating Outlook Last Surveillance Fitch Dollar Bond, Masala Bond BBB-/Stable ATL CARE, India Rating AA+ Stable Apr-19/Feb-19 S&P Dollar Bond, Masala Bond BBB-/Stable AEML CARE
Slide 27: E-2. Appendix – ATL's Structure and Presence
Tower Inspection at site in Barmer, Rajasthan E-2. Appendix – ATL’s Structure and Presence Recordkeeping at Morena SS, Madhya Pradesh
Slide 28: ATL Ownership Structure
ATL Ownership Structure Promoters Public 74.9% 25.1% 100%1 100% Transmission SPVs Distribution SPV 15 Operating SPVs, 6 under construction SPVs Adani Electricity Mumbai Limited (AEML) acquired with effect from 29 August 2018 Ckt Kms2 Ckt Kms Average remaining Concession Life Catering to 3 Mn+ Connec
Slide 29: ATL Geographic Footprint
ATL Geographic Footprint Transmission1 Distribution1 BHAYANDAR MIRA ROAD MIRA ROAD NORTH NORTH DAHISAR DAHISAR ZONE ZONE BORIVALI BORIVALI KANDIVLI KANDIVLI KANDIVALI KANDIVL OFFICE OFFICE I MALAD MALAD DINDOSHI CENTRAL CENTRAL OFFICE OFFICE ZONE ZONE GOREGAON SOUTH SOUTH JOGESHWARI JOGESHWAR CENTRA
Slide 30: Conference Call Information
Conference Call Information Thursday, 7th November, 2019 at 4:00 pm IST Universal Dial-In (India): +91 22 6280 1448 / +91 22 7115 8332 International Toll Free: Hong Kong: 800964448 Singapore: 8001012045 UK: 08081011573 USA: 18667462133 International Toll: Hong Kong: 852-30186877 Singapore: 65-315757