Aksa Enerji Uretim A.s. · BIST:AKSEN

Aksa Enerji Uretim A.s — FY2015 Earnings Presentation

35 slides from Aksa Enerji Uretim A.s's earnings presentation, Feb 29, 2016

  1. Slide 1: Investor Presentation 29 February 2016

    Investor Presentation 29 February 2016

  2. Slide 2: Key investment highlights

    Key investment highlights 1 Part of a dedicated energy group 2 Largest quoted Independent Power Producer (IPP) in Turkey 3 Strong exposure to growing Turkish electricity market 4 Large portfolio with 17 operational assets totalling 2,211 MW 5 Diversified pipeline of 7 projects adding 496 MW to our p

  3. Slide 3: We are part of a dedicated energy group

    We are part of a dedicated energy group  Entered energy business in 1960s with the production of generating sets  Focused only on the energy sector since then  Gradually expanded into main segments of electricity & natural gas Kazancı Group  Excellent track record in building and integrating ene

  4. Slide 4: We are the largest quoted IPP in Turkey with 2,211 MW installed capacity

    We are the largest quoted IPP in Turkey with 2,211 MW installed capacity IPPs by Installed Capacity 2.800 2.800 2.211 1.665 1.490 (MW) 1.292 1.011 952 365 Enerjisa Limak Aksa Enerji İÇDAŞ Eren Enerji Akenerji Zorlu Enerji Cengiz Enerji AES Entek Source: Information obtained from each IPP’s annual re

  5. Slide 5: We provide strong exposure to the growing Turkish electricity market

    We provide strong exposure to the growing Turkish electricity market 1 Strong Electricity Demand Growth (1) 2 Increasing per Capita Consumption (2) TWh 500 CAGR – High Demand: 7.3% 463 High Demand MWh/pa 450 Scenario 9 400 8 Low 350 7 264 381 Demand 300 Scenario 6 250 CAGR: 5.3% 5 CAGR – Low Demand:

  6. Slide 6: We have 17 assets under operation across Turkey

    We have 17 assets under operation across Turkey 16 1 ÇORUM-İNCESU KIYIKÖY 15 MW 27 MW AKKÖY 15 BOLU-GÖYNÜK 17 13 MW 2 270 MW AYVACIK AYRES 5 MW 3 BALIKESİR KAPIDAĞ 24 MW 4 BALIKESIR ŞAMLI 114 MW Total 2,211 MW 5 MANISA KARAKURT 11 MW 6 ŞIRNAK 14 MANISA 115 MW 24 MW 7 13 ANTALYA MARDIN-2 ŞANLIURFA 11

  7. Slide 7: Each of our assets has key specifications to fortify our strategy

    Each of our assets has key specifications to fortify our strategy A Baseload Natural Gas Fired PP – Antalya D Wind Farms  Located in a favorable wind  One of the most efficient CCGT corridor with high load factors plants in Turkey, with a  7 farms, with a total capacity of capacity of 1,150 MW wi

  8. Slide 8: We have a diversified pipeline of 7 projects adding 496 MW to our portfolio

    We have a diversified pipeline of 7 projects adding 496 MW to our portfolio Current Installed Total Installed Capacity Pipeline Capacity 496 MW 484 MW Hydro 81 MW 12 MW Wind 45 MW 2,707 MW HFO 370 MW 2,211 MW 109 MW 304 MW 270 MW 6 1 7 1.412 MW 1 HFO 1 Hydro 1 Hydro 1 Wind 5 Wind 4 Wind 1 HFO 612 MW

  9. Slide 9: We target to create significant cost improvement with our renewables and lignite fired PP pipeline

    We target to create significant cost improvement with our renewables and lignite fired PP pipeline Targeted Capacity Increases in Renewables & Lignite (MW) MW 10% 12% 20% 28% MWh (+) 81 MW Hydro 700 4000 (+) 16 MW Wind 600 3500 (+) 370 MW HFO 2.1x 135 270 3000 500 81 2500 400 16 135 2000 109 Install

  10. Slide 10: Company Highlights - Cost Structure (TL)

    Company Highlights - Cost Structure (TL) Cost Structure vs. Sales Price (2015) Improving Lower Cost Output % of Weighted Avg. Weighted Avg. Renewables TL/MWh Cost 135 Sales Price 177.6* Local 19% 18% Sourcing 320 14,018 GWh 280 240 4.908 215 9,814 GWh 1.286 48% 59% 185 - 200 35 537 160 35 147 1.664

  11. Slide 11: Company Highlights - Sales mix and prices (TL)

    Company Highlights - Sales mix and prices (TL) Capacity 44% 80% (adj) Utilization TWh 15 14 TWh 14 Balancing Market 13 Northern Cyprus BSM 12 Sales 5 36% Wholesale Bilateral 11 to BSM 10 Retail Bilateral 9 4.2 TWh 8 7 6 Total Contracted 64% 5 86% 3.63.6 Contracted BSM 4 9 Sales 3 2 14% Contracted 0.

  12. Slide 12: We are shifting bilateral mix towards more profitable commercial clients

    At the same time, we are shifting bilateral mix towards more profitable commercial clients Increasing Contracted Volume Supported by Evolution of Eligibility Limit Affiliated Distribution Regions 1.5x 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 # of Bilateral 245 610 1,275

  13. Slide 13: We have successfully increased efficiencies of our CCGT plants and managed to cut our OPEX

    We have successfully increased efficiencies of our CCGT plants and managed to cut our OPEX to improve our cost base Low Unit Capex Improving Fuel Efficiency US$m/MW TL/MWh 56% 180 54% CCGT 0,4 160 52% Wind 1,4 140 50% 48% 120 Lignite 1,5 46% 100 44% Hydro 1,6 80 42% 2010 2011 2012 2013 2014 2015 0,0

  14. Slide 14: Aksa Enerji- Business Update

    Aksa Enerji- Business Update  Bolu Göynük’s 1st phase (135 MW) became operational in July 2015 and the 2nd phase (135 MW) in January 2016.  Sebenoba WPP’s extention has been completed and a total of 17 MW installed capacity has become operational in 1H15, increasing the installed capacity of WPPs

  15. Slide 15: Aksa Enerji- Business Update

    Aksa Enerji- Business Update  18 MW from Samsun CCGT plant was installed in Şanlıurfa CCGT to increase its capacity to 147 MW.  33 MW from Samsun CCGT plant was installed in Northern Cyprus HFO to increase its capacity to 153 MW.  Remaining 80 MW capacity from Samsun is planned to be deployed to

  16. Slide 16: Ghana PPA- To provide fast track USD based cash generation

    Ghana PPA- To provide fast track USD based cash generation  5 year power purchase agreement (PPA) with Republic of Ghana for installation of a 370 MW HFO plant, electricity generation and the guaranteed sale of this energy.  Approved by the parliament of Republic of Ghana  Can be extended before

  17. Slide 17: 2016 Guidance – Financials

    2016 Guidance – Financials  Sales: 22 TWh ( bilateral and BSM sales)  Revenues: TRY 3.6 bn (adjusted)  Average Aksa Price: TRY 160-163 (vs expected average market price of TRY141)  CAPEX: USD 140 mn  EBITDA: TRY 500 mn 16

  18. Slide 18: Tailored strategy to create sound and secure profitability

    Tailored strategy to create sound and secure profitability Evolution of Capacity and Sales Mix Total Contracted (1) Total Contracted (1) 14% Shifted strategy Fortifying baseload 23% to become baseload strategy & building cost producer effective pipeline 77% Total Spot (2) 86% 2.707 MW Total Spot (2)

  19. Slide 19: The Sector

    a K S a ENERGY The Sector Aksa Energy The Leading IPP in Turkey

  20. Slide 20: Market Highlights- Generation & Consumption

    Market Highlights- Generation & Consumption Generation (GWh) Consumption (GWh) 265.000 270.000 259.439 263.612 260.000 265.000 255.000 260.000 250.381 255.490 250.000 255.000 245.000 250.000 245.484 239.293 240.000 245.000 235.000 240.000 230.000 235.000 225.000 230.000 2013 2014 2015 2013 2014 2015

  21. Slide 21: Market Highlights - Installed Capacity

    Market Highlights - Installed Capacity 2015 Installed Capacity: 73,148 MW Hydro; 35%  Total installed capacity in Turkey has increased by 3,632 MW Ytd to 73,148 MW in 2015 compared to 2014, representing an Wind; 6% increase of 5%. Others; 3% Fuel-oil; 1% Natural gas; 34%  The majority of the new c

  22. Slide 22: Market Highlights - Prices

    Market Highlights - Prices Weighted Average Price (TL) 180,0 176 173  Prices – Weighted average prices were 166 170,0 162 weak in 2015, compared to 2014, due to 160 160,0 156 heavy rain and snow fall increasing 151 149 147 158 production from hydroelectric power 150,0 plants. There is a 14% differe

  23. Slide 23: FY 2015

    a K S a ENERGY FY 2015 Aksa Energy The Leading IPP in Turkey

  24. Slide 24: FY 2015 Results - Snap Shot

    FY 2015 Results - Snap Shot * Adjusted YoY Adjusted YoY Adjusted Adjusted Adjusted Adjusted QoQ 2012 2013 2014 2015 Change 4Q13 4Q14 4Q15 Change 1Q15 1H15 9M15 FY15 Change Installed Capacity (MW) 2.045 2.052 2.140 2.076 -64 MW 2.052 2.140 2.076 -64 MW 2.151 2.160 2.192 2.076 65 MW Sales Volume (GWh)

  25. Slide 25: FY 2015 Results - Adjusted

    FY 2015 Results - Adjusted * 1Q 2015 2Q 2015 3Q 2015 4Q 2015 1H 2015 9M 2015 FY 2015 MWh TL/MWh MWh TL/MWh MWh TL/MWh MWh TL/MWh MWh TL/MWh MWh TL/MWh MWh TL/MWh Bilateral Agreements (end user) 204.998 171,52 37.305 169,83 195.541 167,36 - - 242.302 171,26 437.843 169,52 437.843 169,52 Northern Cypr

  26. Slide 26: Financial highlights 2015 Consolidated income statement

    Financial highlights 2015 Consolidated income statement Net sales & EBITDA (TL mn) 2.320 712 EBITDA Margin EBITDA Margin 4Q14: 15.1% 1.957 2014: 17.6% 4Q15: 12.4% 2015: 17.5% 448 344 436 68 88 Net Sales EBITDA Net Sales EBITDA 4Q14 4Q 15 2014 2015 Operating income & Net income (TL mn) 42 288 208 24

  27. Slide 27: Financial highlights FY 2015 Net financial debt and repayment schedule

    Financial highlights FY 2015 Net financial debt and repayment schedule Net financial debt (TL mn) 3.000 74% 80% 61% 62% 70% 2.500 55% 55% 2.538 52% 60% 2.000 50% 1.500 1.781 40% 1.270 1.280 1.306 30% 1.000 1.138 20% 500 10% - 0% 2010 2011 2012 2013 2014 2015 6.0 4.2 4.0 4.2 5.2 5.8 Net Financial Deb

  28. Slide 28: Financial Highlights FY 2015

    Financial Highlights FY 2015

  29. Slide 29: Consolidated income statement

    Consolidated income statement (TL mn) 2011 2012 2013 2014 2015 1Q 2015 2Q 2015 3Q 2015 4Q 2015 Net sales 1315,4 1840,6 1786,0 1957,4 2320,0 353,4 502,9 751,2 712,4 Cost of sales -1088,0 -1604,0 -1565,9 -1710,8 -2001,6 -295,4 -383,4 -658,9 -664,0 Gross profit 227,4 236,6 220,1 246,6 318,3 58,0 119,6

  30. Slide 30: Consolidated balance sheet

    Consolidated balance sheet (TL mn) Assets (TL mn) 2012 2013 2014 2015 Cash and cash equivalents 40,6 22,3 34,2 48,5 Trade receivables net 245,9 142,3 88,7 182,6 Due from related parties and shareholders 593,9 0,0 4,4 0,0 Inventory 135,5 250,0 269,2 415,4 Derivative Financial Instruments – 2,7 2,7 0,

  31. Slide 31: Consolidated statement of cash flows

    Consolidated statement of cash flows (TLmn) 2010 2011 2012 2013 2014 2015 Net income (loss) before tax 84,7 -116,5 226,5 -156,1 26,6 -234,6 Depreciation and amortisation 71,7 92,5 105,3 111,8 121,5 145,2 Other adjustments 14,7 231,2 -53,1 193,9 82,0 314,6 Change in w orking capital 18,64 -20,3 -189,

  32. Slide 32: Appendix

    a K S a ENERGY Appendix Aksa Energy The Leading IPP in Turkey

  33. Slide 33: Licence Portfolio (Operational)

    Licence Portfolio (Operational) Power Plant License Owner Fuel Type Installed Capacity (MW) % Mardin-1 Aksa Energy Fuel-oil 32 Mardin-2 Rasa Elektrik Fuel-oil 33 Northern Cyprus Aksa Cyprus Fuel-oil 153 İdil (Şırnak) İdil İki Energy Fuel-oil 24 Total Fuel-Oil fired power plants 242 11% Antalya NGCC

  34. Slide 34: Ongoing Investments and Revised Licence Portfolio

    Ongoing Investments and Revised Licence Portfolio Planned Acquisitions from Kazancı Holding Additional Capacity Completion  Planned acquisition from Power Plant Investment License Owner Fuel Type (MW) Year Kazancı Holding:  Datça 12 MW WPP Datça Licenced Kazancı Holding Wind 12 2016 licence 12 Und

  35. Slide 35: Contact- Investor Relations

    Contact- Investor Relations Özlem McCann Head of IR Ozlem.McCann@aksa.com.tr +90 216 681 1053 Rüzgarlıbahçe Mah. Selvi Çıkmazı No:10 Kavacık Beykoz, Istanbul 34

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