Jindal Steel Limited · NSE:JINDALSTEL
Jindal Steel — Jindal Steel & Power — Q2 FY21 Earnings Presentation
34 slides from Jindal Steel's earnings presentation, Oct 30, 2020
Slide 1: Investor presentation filing cover letter
JINDA Ai OG CE STEEL & POWER October 30, 2020 BSE Limited National Stock Exchange of India Limited Corporate Relationship Department, Exchange Plaza, 5t Floor, 1s Floor, New Trading Ring, Plot No. C/1, G Block Rotunda Building, P J Towers, Bandra-Kurla Complex, Bandra (F), Dalal Street, Fort, Mumbai
Slide 2: Q2 FY'21 Industry Update & Key Performance Highlights
Q2 FY’21 Industry Update & Key Performance Highlights 30th October, 2020
Slide 3: Forward-looking statements disclaimer
This presentation may contain certain forward looking statements concerning Steel & power sector , Economy and JSPL’s future business prospects and business profitability, which are subject to a number of risks and uncertainties and the actual results could materially differ from those in such forwa
Slide 4: Q2 FY'21 Highlights
Q2 FY’21 HIGHLIGHTS INDUSTRY UPDATE COMPANY UPDATE
Slide 5: Revenue & EBITDA in FY20
REVENUE & EBITDA IN FY20 (Figures in Rs. Crores) REVENUE (Rs. In Cr) Standalone Consolidated 39,388 36,944 27,844 22,706 18,350 19,943 20,070 19,626 18,632 27,730 26,228 17,523 15,114 14,691 13,687 15,502 13,518 12,852 FY 12 FY 13 FY 14 FY 15 FY 16 FY 17 FY 18 FY 19 FY 20 EBIDTA (Rs. In Cr) (Figures
Slide 6: JSPL Consolidated Debt Bridge - 1HFY21
JSPL CONSOLIDATED DEBT BRIDGE- 1HFY21 50000 5363 45000 40000 2213 710 141 35000 2 30000 25000 20000 35919 15000 28910 10000 5000 0 Net Debt as on 31st Debt reduction Addition in Debt Due Fx Impact(Reduction Net Debt Reduction Movement in Cash & Net Debt as on 30th Mar'20 to Moratorium Interest due t
Slide 7: Q2 FY'21 Industry Update
Q2 FY’21 INDUSTRY UPDATE HIGHLIGHTS COMPANY UPDATE
Slide 8: Economy on path of recovery, with healthy steel demand forecasted
Economy under path of recovery, with healthy steel demand forecasted ahead > IMF Growth Projection > Sept 20, PMI surge to highest in over 8 years > GST Collection tending to normalcy FY20 FY 21 2020 (e ) 2021 (e ) 2022 (e ) 60 56.8 28% 113866 104% 8.2% 8.8% 8.0% 55 54.5 52 51.8 95480 5.8% 5.2% 4.2%
Slide 9: International Steel Prices remain firm amid Raw Material Supply Concerns
International Steel Prices remains firm amid Raw Material Supply Concerns International Raw Material Price Trend ($/MT) International Steel Price Trend ($/MT) Iron ore Fines 62% (CFR China) Prime Hard Coking coal, FOB Aus HRC Export FOB China Indian Billet Export FOB 159 151 514 517 505 491 467 466
Slide 10: Power Business
POWER BUSINESS Sector-wise PLF (%) Energy Requirement vs Availability (in BUs) 90 1275 1290 86 84 85 1300 82 1213 85 81 79 1200 1143 1268 1284 80 76 1114 1205 74 75 73 72 73 1069 71 1100 70 1135 996 1002 1091 70 65 1000 71 64 937 1031 65 62 67 68 61 60 862 66 900 831 960 60 56 56 58 55 909 59 60 55
Slide 11: IEX Clearing Price Trend
IEX CLEARING PRICE TREND RTC Power Exchange Prices – W3 Region (Rs./kWh) 6.30 5.73 5.30 4.69 4.57 FY 15-16 4.30 3.97 FY 16-17 FY 17-18 3.68 4.02 3.58 FY 18-19 3.45 3.33 3.68 3.68 3.30 3.33 FY 19-20 3.05 3.30 3.06 3.38 3.32 3.06 FY 20-21 3.33 3.32 3.22 3.19 2.77 3.20 3.19 2.57 2.73 2.92 2.91 2.42 2.4
Slide 12: Installed Capacity in India as on 30th Sep 2020
Installed Capacity in India as on 30th Sep 2020 is 373 GW vis-à-vis 363 GW as on 30th Sep 2019 206 203 46 45 38 37 36 31 25 25 22 22 Coal Hydro Wind Gas Solar Others Installed Capacity GW (Sep 20) Installed Capacity GW (Sep 19) Source: CEA
Slide 13: Q2 FY'21 Highlights
Q2 FY’21 HIGHLIGHTS INDUSTRY UPDATE COMPANY UPDATE
Slide 14: Business Segments
BUSINESS SEGMENTS STEEL POWER GLOBAL VENTURES Current Capacities – Domestic & Global 8.6 MTPA Steel IPP – 3400MW Coal & Iron Ore 3.11 MTPA Iron ore CPP – 1634 MW Mines 9 MTPA Pellet Plant
Slide 15: Steel Capacities Across Life Cycle
STEEL CAPACITIES ACROSS LIFE CYCLE IRON MAKING LIQUID STEEL FINISHED STEEL (8.45 MTPA) (8.60 MTPA) (6.55 MTPA) WRM 0.60 MTPA DRI 3.12 MTPAin deail Capacity (Wire Rod Mill) (Direct Reduced Iron) Rail Mill 0.75 MTPA SMS 8.60 MTPA (Steel Melting Shop) BSM 0.60 MTPA (Beam & Structure Mill) BF 5.33 MTPA
Slide 16: Detailed Plant Wise Capacities
DETAILED PLANT WISE CAPACITIES Raigarh Angul Barbil Patratu JPL Mining (Chhattisgarh) (Odisha) (Odisha) (Jharkhand) BF 2.125 CGP 225,000 MTPA Nm3/Hr DRI 1.32 MTPA BF 3.2 MTPA WRM Capacity in deail 0.60 SMS 3.6MTPA DRI 1.8 MTPA MTPA Iron Plate Mill 1.00 SMS 2.5 MTPA Pellet Tamnar Ore MTPA Plant 3400
Slide 17: Manifold Growth in Capacity in Last 6 Years
MANIFOLD GROWTH IN CAPACITY IN LAST 6 YEARS FY ‘14 FY ‘20 STEEL - INDIA 3 MTPA 8.6 MTPA ~2.86x POWER 1,000 MW 3400 MW 3.4x PELLET 4.5 MTPA 9 MTPA ~2x All major capex completed – scale of growth is approx. Three Times
Slide 18: Growth on Track
GROWTH ON TRACK PRODUCTION IN FY19 PRODUCTION IN FY20 GROWTH STEEL – INDIA* 5.59 MT 6.30 MT 13% ROM- MOZAMBIQUE 1.71 MT 2.50 MT 47% (COKING COAL) PELLET 7.08 MTPA 7.28 MTPA 3% ROM-SOUTH AFRICA (ANTHRACITE COAL) 0.34 MT 0.43 MT 27% *incl. Pig Iron ;
Slide 19: JSPL Standalone Key Financials
JSPL STANDALONE KEY FINANCIALS (Rs. In Crores) Q1 FY 21 Q2 FY 21 PARAMETER Q2 FY 21 Q2 FY 20 6,741 8,667 Gross Revenue* 8,667 7,509 6,281 7,859 Net Revenue 7,859 6,573 1,828 2,435 EBITDA 2,435 1,255 29% 31% EBITDA % 31% 19% 562 568 Depreciation + Amortization 568 582 604 554 Interest 554 657 663 1,3
Slide 20: JSPL - Power Capacities
JSPL - POWER CAPACITIES Independent Power Projects (IPP) CAPACITY CONFIGURA PROJECT FUEL STATUS (MW) TION TAMNAR 1 1,000 Coal 4x250 MW Operational TAMNAR 2 2,400 Coal 4x600 MW Operational Captive power projects (within JSPL) Raigarh CAPACITY PROJECT FUEL CONFIGURATION STATUS Tamnar (MW) Angul DCPP,
Slide 21: Jindal Power Limited
JINDAL POWER LIMITED 96.43% subsidiary of JSPL EUP -I EUP -II EUP -III 1000MW (4 X 250) 1200MW (2 X 600) 1200MW (2 X 600)
Slide 22: PPA Arrangements
PPA ARRANGEMENTS PERIOD QUANTUM PROJECT BUYER TYPE FROM TO (MW) TAMNAR II Tamil Nadu Long Term Feb-14 Sep-28 400 (PHASE 1) TAMNAR II Long Term Jun-16 May-41 200 (PHASE 1) KSEB TAMNAR II Long Term Oct-17 Sep-42 150 (PHASE 1) TAMNAR II Long Term After commercial operation 60 (PHASE 1) Chhattisgarh of
Slide 23: JPL Key Financials
JPL KEY FINANCIALS (Rs. In Crores) Q1 FY 21 Q2 FY 21 PARAMETER Q2 FY 21 Q2 FY 20 856 990 Turnover 990 947 368 302 EBITDA * 302 299 43% 31% EBITDA % 31% 32% 257 260 Depreciation + Amortization 260 292 211 209 Interest 209 214 20 (58) PBT (58) (64) 39 (1) PAT (1) (35) 285 317 Cash Profit 317 228 2,179
Slide 24: Key Contractual Arrangements for JPL
KEY CONTRACTUAL ARRANGEMENTS FOR JPL TAMNAR-I, 1,000 MW (EUP I) TAMNAR-II - 1,200 MW (EUP II) TAMNAR-II - 1,200 MW (EUP III) Long term linkage from Coal sourced through – Coal sourced through – Mahanadi Coal Limited FSA market purchase and e- market purchase and e- (MCL) and South Eastern auct
Slide 25: Summary of International Operations
SUMMARY OF INTERNATIONAL OPERATIONS MOZAMBIQUE, AFRICA 5 MTPA coal mine in Mozambique’s coal-rich Moatize region SOUTH AFRICA, AFRICA AUSTRALIA JSPL’s Kiepersol Colliery produces Anthracite coal, 60.38% stake in Wollongong Coal sold domestically and internationally. Ltd which comprises of two
Slide 26: Holding Structure for Global Operations
HOLDING STRUCTURE FOR GLOBAL OPERATIONS Jindal Steel & Power Ltd Listed Operating Entity in India Jindal Steel & Power (Mauritius) Ltd Holding company for overseas business Australia South Africa Mozambique Coking Coal Anthracite Coal Thermal/ Coking Coal
Slide 27: JSPL Consolidated Key Financials
JSPL CONSOLIDATED KEY FINANCIALS (Rs. In Crores) Q1 FY 21 Q2 FY 21 PARAMETER Q2 FY 21 Q2 FY 20 8,047 9,804 Gross Revenue* 9,804 8,626 7,585 8,990 Net Revenue 8,990 7,688 2,202 2,702 EBITDA 2,702 1,518 29% 30% EBITDA % 30% 20% 864 873 Depreciation + Amortization 873 929 924 798 Interest 798 938 417 1
Slide 28: COVID Response: JSPL Remains Committed to Serve the Nation
COVID 19 RESPONSE: JSPL REMAINS COMMITTED TO SERVE THE NATION
Slide 29: Key Customers & Adding...
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Slide 30: Odisha
ODISHA INTEGRATED STEEL PLANT , ANGUL PELLET PLANT, BARBIL
Slide 31: Chhattisgarh
CHHATTISGARH INTEGRATED STEEL PLANT,RAIGARH STEEL FABRICATION PLANT, PUNJIPATRA HEAVY MACHINERY DIVISION, RAIPUR TAMNAR,3400 MW POWER PLANT
Slide 32: Jharkhand
PANTHER JINDAL? JHARKHAND WRM & BRM, PATRATU
Slide 33: For any information please contact
For any information please contact: - Mr. Nishant Baranwal – Head, Investor Relations Tel : +91 11-41462198 Mobile:+91 8800690255 Email: - nishant.baranwal@jindalsteel.com Mr. Gourav Sancheti– Asst. Manager, Investor Relations Tel : +91 0124-6612317 Mobile:+91 9038240683 Email: - gourav.sancheti@jin
Slide 34: Thank You!
To the Taskforce guarding INDIA against the Corona Virus Pandemic Thank You !