Tata Power Company Limited · NSE:TATAPOWER
Tata Power — Investor Presentation (June 2021)
20 slides from Tata Power's investor presentation, Jun 3, 2021
Slide 1: Reimagining Tata Power 2.0: An All-Round Industry Leader
Reimagining Tata Power 2.0 An All-Round Industry leader Lighting up a Billion Lives 3rd June 2021 …Message Box ( Arial, Font size 18 Bold)
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: Think Big, Customer @ Center: Utility of the Future
PORTFOLIO TRANSFORMATION NEW BUSINESS THINK From a 30% clean portfolio CUSTOMER From a commodity player BIG to over 60 % Renewables @ Center to a service provider for portfolio in FY’25 the end consumer GROWTH SCALE UP CUSTOMER EXPLOSION SUSTAINABILITY INNOVATE From 12.8 GW to 25 GW From a ~ 3 milli
Slide 4: Existing businesses strengthened, growth areas showing traction
FY19 FY21 EXISTING BUSINESSES STRENGTHENED, GROWTH AREAS SHOWING TRACTION; DELEVERAGING & PROMOTER FUNDING FORTIFIED BALANCE SHEET 35% of total capacity 40% Revenue (in ₹ crore) PAT (in ₹ crore) Moving towards Clean Energy 33,079 1,424 Overall capacity of 13,442 MW (incl UC) 1,231 29,493 28,948 2,94
Slide 5: …Message Box ( Arial, Font size 18 Bold)
…Message Box ( Arial, Font size 18 Bold)
Slide 6: Underpenetrated electricity market and rising demand
Substantially Underpenetrated Electricity Market Rising Population & Urbanization fuels growth Peak Electricity Demand (GW) 12,984 36% FY20 184 10,059 31% 26% 28% FY19 177 7,035 23% 3,927 18% 20% 3,125 2,875 2,090 FY18 164 1,181 1.2 1.4 1.0 0.7 0.8 FY17 160 USA Australia Germany China World MENA Mex
Slide 7: Solar rooftop, solar pumps and EV charging market outlook
Solar Rooftop Solar Pumps Electric Vehicle Charging • Market size expected to be ~ 30 GW • Projected market size of ~₹ 19,500 crore • ~ 9.6 to 14.3 million electric vehicles are by FY26 (FY21 est. ~ 6.6 GW) in FY26 expected to be on road by FY26 • Adoption driven by tariff arbitrage • Opportunity to
Slide 8: Growth Aspiration (FY25) and Key Capabilities: Rooftop Solar
Growth Aspiration (FY 25) Key Capabilities & Differentiators ➢ TRUST OF BRAND TATA 30%+ Market Share Top Line: ₹ 5,000 Cr+ ➢ BEST IN CLASS GENERATION FROM SOLAR World Class Engineering Superior quality Higher plant & Installation Services solar components Uptime: 24*7 Service ➢ ONE STOP SOLUTION PRO
Slide 9: Solar Pumps: Growth Potential and Key Capabilities
Growth Potential Key Capabilities & Differentiators 1,138 40 Off-Grid 1,200 ➢ Trusted Brand ➢ Over 30+ years of On-Grid Manufacturing Market Size (INR ‘000 Crs) 900 1,000 Number of Pumps (‘000) 30 No. of Pumps - Annual 694 13 800 20 503 12 600 10 400 ➢ Strategic tie-ups with ➢ Extensive network of 2
Slide 10: EV charging: leading player in India
EV PASSENGER VEHICLE SALES SEEING AN UPTICK TATA POWER EMERGED AS LEADING EV CHARGING PLAYER IN INDIA 6-8 Lac 4W 5,905 4W 543 Public Charging Points 3,000 Home Chargers 2,814 4W 102 Cities 27 city pairs on Nat Highways FY 20 FY 21 FY 26P 80 Ultra High Capacity Bus Prestigious Golden award for Charge
Slide 11: Growth Segments
Renewable industry driven by 3 Ds – Decarbonization, Decentralization & Digitization Utility Scale Will continue to be driven by high-capacity (Development & targets, abundant capital & new technologies like storage, hybrid models etc. EPC) B2B Solar Module & Make in India policies to open up opport
Slide 12: Market position in renewables, rooftop, pumps and EV chargers
Renewables Utility Scale EPC (MWp) Renewable Capacity (GW) Commissioned Installed 15.0 6,726 In Pipeline Pipeline 5,764 10.2 3,664 7.3 3,180 5.3 4.7 4.0 1,675 1,610 4,164 2,953 4.8 2,089 2,025 3.0 1,120 910 1.7 1.4 2.7 2.1 TPSSL S&W Mahindra L&T Vikram BHEL Adani Green ReNew Azure SB Energy Tata Pow
Slide 13: Sector investment earmarked for T&D; opportunities from reforms
25% SECTOR INVESTMENT EARMARKED FOR T&D THRUST TO IMPROVE DISCOMS PRESSURE OPPORTUNITIES EMERGING FROM REFORMS Power Capex from FY 21-25 AT&C losses ACS-ARR Gap ₹ (figs in ₹ '000 crore) p.u. Amendment Bill ₹3.05 lac cr reform 2021 Comprehensive scheme for system 156 327 18.90% reforms 0.42 Delicensi
Slide 14: …Message Box ( Arial, Font size 18 Bold)
…Message Box ( Arial, Font size 18 Bold)
Slide 15: Utility of the Future
Lead in Utility Sector ESG practices Total Generation - 25 GW • DSJI Sustainability Index Constituent by 2025 • Improve current MSCI ESG ‘BB’ ratings of which RE - 15 GW • 60% ‘Clean and Green’ Portfolio by 2025 & ₹ 22k Cr EPC, Rooftop • Benchmark in Water & Waste Mgt by 2025 & Pump Revenue Scale-up
Slide 16: FY25 capacity, customer and revenue growth targets
2X CAPACITY GROWTH TO 25 GW – 2/3RD PORTFOLIO ‘CLEAN & POTENTIAL UPSIDE TO FY25 TARGET OF 8X CONSUMERS & 2X GREEN’ T&D REVENUE GROWTH WITH LARGE ADDITION FROM ODISHA FY 25 CAPACITY MIX ₹ 25,000 crore ₹ 11,976 crore 20 Mln Distribution 2.6 Mln Privatization Hybrid; Opportunities Solar; 7,005 7,000 ;
Slide 17: Capex plan and shift in capital employed
₹ 60,000-65,000 CR CAPEX TILL CAPITAL EMPLOYED - FY 25 CAPITAL EMPLOYED FY 25 Service AS ON 31st MAR 21 Business 3% Customer Reg Thermal CGPL & Service Trans & Business Thermal & & Hydro Coal Dist 21% 5% Hydro 5% 7% 13% CGPL & Coal Renewables 39% 30% Reg T&D 17% Reg Reg Thermal T&D Renewables & Hydr
Slide 18: Target growth driven by RE, distribution and customer service
TARGET GROWTH DRIVEN BY RE, DISTRIBUTION & CUSTOMER SERVICE BUSINESS All figures in ₹ crore Revenue Profit after Tax > 2x > 3x 33,079 28,948 1,231 1,424 FY 20A FY 21A FY 25 Target FY 20A FY 21A FY 25 Target TARGET ROE GROWTH WITH IMPROVED CREDITWORTHINESS Return on Capital Employed & Equity Debt Met
Slide 19: Our ESG Journey
Our ESG Journey Empower a billion lives through sustainable, affordable & innovative energy …Message Box ( Arial, Fontsolutions size 18 Bold)
Slide 20: Thank You!
Disclaimer: The contents of this presentation are private & confidential. Please do not duplicate, circulate or distribute without prior permission. Thank You! Website: www.tatapower.com Email Id: investorrelations@tatapower.com Contact: +91 (0) 22 6717 1305 Private and Confidential | …Message Box (
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