Sterling And Wilson Renewable Energy Limited · NSE:SWSOLAR
Sterling And Wilson Renewable Energy — Q1 FY2023 Earnings Presentation
33 slides from Sterling And Wilson Renewable Energy's earnings presentation, Jul 13, 2022
Slide 1: Stock exchange covering letter for investor presentation
STERLING & wiLson<7 July 13, 2022 BSE Limited National Stock Exchange of India Limited Phiroze Jeejeecbhoy Towers Exchange Plaza Dalal Street Bandra Kurla Complex Mumbai — 400 001 Bandra (East), Mumbai — 400 051 Scrip Code: 542760 Symbol: SWSOLAR Dear Sir/ Ma’am, Sub.: Investor presentation on the U
Slide 2: The future of solar energy is Bright
STERLING & WILS¢ ~~ > =a gv i, i The future of solar energy is xi Bright x as ) a j \ 1 ' ~ >... Aaj Ny SS a a \ i re ‘ “al STERLING AND WILSON RENEWABLE ENERGY LIMITED Investor Presentation - 1Q FY23 ONE OF THE LEADING SOLAR EPC AND O&M SOLUTIONS PROVIDER IN THE WORLD 13 Jul 2022
Slide 3: STERLING & witson<A> This presentation and the accompanying slides (the “Presentation”), which have been
STERLING & witson<A> This presentation and the accompanying slides (the “Presentation”), which have been prepared by Sterling and Wilson Renewable Energy Limited (the “Company”), have been prepared solely for information purposes and do not constitute any offer, recommendation or invitation to purch
Slide 4: Company Overview, Business Overview, Market Opportunity
g STERLING & WILSON vy Company Overview 04 Our Journey 05 06 Business Overview Our Presence 15 16 Market Opportunity Financial Highlights 23 28 Way Forward Beyond Business 30
Slide 5: Who We Are
STERLING & wuson> | WHO WE ARE Leading Solar EPC and O&M Solutions Provider Market Leader Leading Solar EPC We offer Design, Detailed Engineering, Procurement, Construction, Installation, solutions provider in Commissioning and Operations & Maintenance services under turnkey EPC and BoS the world (B
Slide 6: A Global Leader in Solar EPC in Years
STERLING 8 WILSON | A GLOBAL LEADER IN SOLAR EPC IN 8 YEARS 2018 2022 Expanded operations in Reliance New Energy 2016 Australia by acquiring a 2020 acquired 40% stake in controlling stake in GCO Sterling and Wilson Diversified into Ranked 2nd largest O&M Electrical Pty Ltd Renewable Energy Rooftop S
Slide 7: Business Overview
Slide 8: Turnkey EPC solutions for utility-scale and rooftop projects
STERLING & wuson> Turnkey EPC solutions for utility-scale and rooftop projects. Sterling and Wilson Renewable Energy offers a range of turnkey and Balance of System (BoS) solutions for utility-scale, rooftop, and floating solar power projects. The company also offers solar plus storage solutions. Ou
Slide 9: We offer a fully integrated Battery Energy Storage Solution
STERLING & wuson> | CAPABILITIES AND SOLUTIONS We offer a fully integrated Solar + BESS System Modelling Battery Energy Storage Solution Minute level charging & discharging profile Temperature & irradiance modelling Power system modelling & network performance assessment Transient stability analysis
Slide 10: Solar O&M Player Globally
STERLING 8 WILSON | SOLAR O&M PLAYER GLOBALLY O&M Manpower Strength In GWp 544+ in-house team with expertise in advanced technologies FY 2022* Es 6.6 FY 2021 nn 8.4 Value Engineering For Clients FY 2020 Es 7.5 Designing innovative, customized and cost- effective solutions to improve PR and plant FY
Slide 11: What Differentiates Us
STERLING & WILSON | WHAT DIFFERENTIATES US Cost Effective Leveraging the Low-Cost India Base for global execution providing cost Expeditious competitive solutions Quick Decision Making & well-defined internal processes leading to timely execution Je Global Presence One of the only Global Pure-Play S
Slide 12: Track Record
STERLING 8 WILSON | TRACK RECORD Strong Execution Record Strong Balance Sheet Core of Project Execution Commissioned: 8,463.07 MWp June 22 Net worth: INR 596 cr Global Manpower Strength: 2,374 Under-Construction: 2,797.36 MWp June 22 Net D/E: 0.22x Annual Global Installation in MWp Ratio of actual P
Slide 13: Technical and Supply Chain: Modules, Inverters, Trackers
STERLING & wuson> | TECHNICAL AND SUPPLY CHAIN MODULES Bi-Facial Framed Mono-PERC Poly C-Si Thin Film Poly c-Si, DG Total of 447 MWp Total of 1266 MWp Total of 5500+ MWp Total of 220 MWp Total of 1830 MWp INVERTER TRACKER String Inverter Central Inverter 2P iO mast ea Huawei /Sungrow ABB / SMA / Sun
Slide 14: Technical and Supply Chain: Foundation, Structures, Cabling
STERLING & wuson> | TECHNICAL AND SUPPLY CHAIN FOUNDATION Screw Ramming Concrete Pile Pre-Drill with Ramming Ballast Foundation Total of 1177 MW Total of 400 MW Total of 4700+ MW Total of 282 MW Total of 54 MW FIXED STRUCTURE FLOATING STRUCTURE CABLING SYSTEM East - West South Facing C&T CAB System
Slide 15: Technical and Supply Chain: Module Cleaning and Software
STERLING & wuson> | TECHNICAL AND SUPPLY CHAIN MODULE CLEANING SOFTWARE Inhouse Software PV SYST E-TAP PSSE Fully Automatic Semi Automatic Manual Manual CIVIL-3D Robotic Cleaning Truck with Brush With Water Truck With Pipelines PV CASE Total of 1177 MW Total of 388 MW Total of 151 MW Total of 3000+
Slide 16: Across the Globe
STERLING & wisonC> | ACROSS THE GLOBE Q UK 3 Kazakhstan Jordan © Spain @ 9 © USA USA “SLIM Morocco @ Evo) EVP: @ ® UAE © Vietnam Saudi Arabia. ©) Thatland © Mexico MENA @ % 2192,48MWp Oman g Philippines India 9 India Malaysia 9 Kenya 6351.75 MWp 9 Indonesia g © Zambia Singapore . . Namibia Q Southea
Slide 17: Market Opportunity
Slide 18: Solar is Cheaper, Faster, Consistent
| SOLAR IS CHEAPER.. FASTER.. CONSISTENT SOLAR PV LCOE IS NOW THE LOWEST GLOBALLY $/MWh 150 14% ~ Onshore wind = = ~ Fixed-axis PV 420 “ == @ Tracking PV ‘ . as C0 om Gas =) 90 60 30 1H 2H 1H 2H 1H 2H 1H 2H 1H 2H 1H 2H 1H 2H 1H 2H 1H 2014 2015 2016 2017 2018 2019 2020 2021 2022 Source: BNEF (1) The
Slide 19: Solar Installations to Grow at ~15% CAGR in Key Markets
| SOLAR INSTALLATIONS TO GROW AT ~15% CAGR IN KEY MARKETS Annual Utility-Scale PV installations (GW) 2022E 2025E CAGR 21-25E India 9.8 10.8 11.8 18.6 14.6% South-East Asia & Australia 1.7 1.9 Ad} 48 41.3% Middle East and North Africa 3.8 2.9 5.1 9.8 35.6% Rest of Africa 1.2 1.7 2.0 4.0 23.9% Europe
Slide 20: Regional market developments in the US, EU and Germany
© United States Solar EPC activity had stalled considerably in President Biden’s directive in June 2022 has given THCY22 due to Dept of Commerce relief to module imports from the 4 countries for investigation on import of modules from 4 additional 2 years South-East Asian countries Expiry of tax cre
Slide 21: Mega Projects
| MEGA PROJECTS Project Name (Of: JeF- raja Expected Start UAE Abu Dhabi PV scheme 1.5 GW 2023 Oman Manah 1 and 2 1 GW 2023 Saudi Arabia PIF Phase 2 3.2 GW 2023 Project Name Location Technology Timeline HyDeal Ambition Europe 95 GW Solar Completion by 2030 Hydrogen City project USA 60 GW of Solar &
Slide 22: PSU Market - A Huge Opportunity to Tap Into
| PSU MARKET - A HUGE OPPORTUNITY TO TAP INTO Commisoned Under Execution Projected Pipeline (GWp) capacity (GWp) (GWp) FY22-23E FY23-24E FY24-25E NTPC 2.22 3.8 5.8 5.2 6.2 NHPC 0.05 2.3 0.8 1.0 1.2 SJVNL 0.07 1.6 0.7 1.8 2.2 Coal India - 0.3 0.5 0.8 1.0 REMCL / RITES 0.07 ° 0.2 0.3 0.4 NLC 1.96 - 0.
Slide 23: Key Costs Have Begun to Subside
| KEY COSTS HAVE BEGUN TO SUBSIDE ow —=—=—_—_C————————————_—_—_ 4 oe Se ee ee o f 0.28 re = Australia LATAM y . 0.27 0.27 18,400 : 0.26 15,000 , 14,000 i ' : 0,000 , 0.22 i !i i 0.19 7,900 , 200; 1,800 | Sep'20 i re, Mar'21 ry Sep'21 Dec'21. Mar'22 rT Wr Wi ee t i Sep’20 T Mar’21 T T Sep‘21 Dec’21 M
Slide 24: 1Q FY 2023
STERLING & WILSON 7 | 1Q FY 2023
Slide 25: Key Highlights for 1Q FY23
STERLING & wuson> | KEY HIGHLIGHTS FOR 1Q FY23 e« Revenue increased by 0.9% in 1QFY23 to Rs 1,206 crore ¢ Net debt of Rs 131 crore as of 30 June 2022 (0.22x Net D/E) « Gross margins remain suppressed primarily on account of e Advance and performance bank guarantees encashed by four International EPC
Slide 26: Consolidated Profit & Loss - 1Q FY23
STERLING & wuson> | CONSOLIDATED PROFIT & LOSS - 1Q FY23 NTR Ol goy gs fonts) oni 7, Q4FY22 FY2022 INR Crore Q1FY23 Revenue from Operations 1,206 1,195 1,071 5,199 Revenue from Operations Gross Margin (post project MTM) (180) 28 (59) (503) - International EPC 1,000 Gross Margin % (14.9%) 2.3% (5.5%)
Slide 27: Consolidated Balance Sheet
STERLING & wuson> CONSOLIDATED BALANCE SHEET REO coy Jun-22 El ea Breakdown of Net Debt (INR Crore) Sources of Funds Term debt : : Shareholders Funds 596 905 Working capital related debt 403 435 Borrowings from Banks 403 435 Total 999 1,340 Total Debt 403 435 Application of Funds Less: Cash and Bank
Slide 28: Order Book & Pipeline
g STERLING & WILSON vy | ORDER BOOK & PIPELINE Unexecuted Order Value Movement Gross UOV as on 30 June 2022 LATAM India +7 +0 -1,162 3.47 MENA 44.3% T T T T Australia UOV as on 31 Mar Forex adjustments Order inflow in 1Q Projects executed in UOV as on 30 Jun 21.9% 2022 FY23 1Q FY23 2022 13.1% FY23 B
Slide 29: Way Forward - Regain the Position of World's Largest Solar EPC Player
| WAY FORWARD - REGAIN THE POSITION OF WORLD’S LARGEST SOLAR EPC PLAYER EN Industry Fa Target large Jet Expand new a Grow O&M Outlook e «, EPC markets aah businesses ‘& Portfolio Unprecedented commodity super ¢ Reliance group’s investment in * Round-The-Clock Renewable O&M market size to grow as mor
Slide 30: Way Forward - Domestic Capacity Building Underway
Outlook srenune s.mson | WAY FORWARD - DOMESTIC CAPACITY BUILDING UNDERWAY SWREL has commenced preparations to scale domestic EPC team commensurate with the anticipated scale of work +42 EA +120 44 ee emma 615 maa ----- --07 ;I 1,516 | m=] I I G I 1 o i ; : Ht a i I rT +195 +33 : o ‘= ° a ee __e m s
Slide 31: Beyond Business
Slide 32: Sustainability and CSR initiatives
STERLING & wuson> As a responsible organization, we strive to ensure the well being of all our stakeholders, by placing sustainability at the heart of everything we do. \ L ) s IDF CSR Award of Excellence 2018 \ f x y For Participation in Resource Mobilization for Humanitarian Causes if ae Health Na
Slide 33: For further information, please contact
STERLING & eos For further information, please contact: Company : Investor Relations Advisors : Sterling and Wilson Renewable Energy Limited Strategic Growth Advisors Private Limited CIN: L74999MH2017PLC292281 CIN: U74140MH2010PTC204285 Mr Sandeep Mathew Mr Jigar Kavaiya / Mr. Parin Narichania Head
Sterling and Wilson Renewable Energy — Q1 FY2023 Earnings Presentation on 6ix