Inox Wind Ltd. · NSE:INOXWIND
Inox Wind — Q2 FY2020 Earnings Presentation
22 slides from Inox Wind's earnings presentation, Nov 8, 2019
Slide 1: Stock exchange cover letter: Earnings Presentation
IWL: NO!: 46: 2019 8th November, 2019 The Secretary The Secretary BSE Limited National Stock Exchange of India Limited Phiroze Jeejeebhoy Towers Exchange Plaza, Bandra Kurla Complex Dalal Street, Mumbai 400 001 Bandra (E), Mumbai 400 051 Fax No. 022-22723121/2037/39/41/61 Fax No. 022-2659 8237/38 Sc
Slide 2: Inox Wind Limited Q2FY20 Investor Update
INOX WIND LIMITED Q2FY20 INVESTOR UPDATE
Slide 3: Disclaimer
DISCLAIMER This presentation and the following discussion may contain “forward looking statements” by Inox Wind Limited (“IWL” or “the Company”) that are not historical in nature. These forward looking statements, which may include statements relating to future state of affairs, results of operation
Slide 4: Discussion Summary
DISCUSSION SUMMARY OPERATIONAL HIGHLIGHTS FINANCIAL HIGHLIGHTS SIGNIFICANT MARKET OPPORTUNITY ORDER BOOK TECHNOLOGY RESULT ANALYSIS WORKING CAPITAL ANALYSIS CASH FLOW AND DEBT ANALYSIS O&M – ANNUITY BUSINESS WIND AUCTIONS WIND SECTOR: GAINING STRENTH MANUFACTURING CAPACITY
Slide 5: Operational Highlights
OPERATIONAL HIGHLIGHTS Operations Successfully Commissioned 50 MW of SECI 1 at Dayapar, Gujarat in July 2019, (150 MW was commissioned in Q1FY20) Execution in progress for 100 MW in Dayapar under Adani connectivity amongst various other projects. Consolidated order book : • Closed a deal for 5
Slide 6: Financial Highlights
FINANCIAL HIGHLIGHTS Financials Given the seasonal impact on Q2FY20 due to heavy monsoon in Gujarat (and pan India) execution was muted. We have utilised the period for optimising working capital. Execution is now in full swing. Lower Revenue and EBITDA due to muted supplies on account of heav
Slide 7: Significant Market Opportunity
SIGNIFICANT MARKET OPPORTUNITY We believe the painful transition from FIT regime to the auction regime is virtually over except a hiccups like delayed power evacuation which is now catching pace and certain project time extension approvals which too are now being acted upon by concerned authoritie
Slide 8: Order Book
ORDER BOOK SECI 3: SECI 4: Particulars Capacity MW 200MW 100MW Auction based order book 990 SECI 2: 300MW Supplied 284 Maharashtra •IWL: 250MW state auction: Net order book 706 •Adani: 50MW 50MW SECI 1: LOI for 3.3 MW from Adani 501.6 300MW Inox Wind Gujarat •IWL: Order state 250MW Book = auction: A
Slide 9: Technology
TECHNOLOGY Inox Wind extends its existing 2MW product Technical Specification offering with the launch of the 3.3 MW wind turbines which are ideally suited for low wind Rated power: 3300 KW regimes in India. Drive Train : DF, 6 Pole Generator Turbine Design : AMSC, Austria The newly launched 3
Slide 10: Result Analysis
RESULT ANALYSIS REVENUES EBITDA & EBITDA MARGIN (%) In Rs. Cr. 437 13.2% 16.3% 58 260 43 139 2.5% 4 Q2 FY19 Q1 FY20 Q2 FY20 Q2 FY19 Q1 FY20 Q2 FY20 REVENUES EBIDTA EBIDTA % PAT & PAT MARGIN (%) 0.4% 2 Q2 FY19 Q1 FY20 Q2 FY20 (14) -5.3% (45) -31.6% PAT PAT % Execution in Q2FY20 was muted given the se
Slide 11: H1 Result Analysis
H1 RESULT ANALYSIS REVENUES EBITDA & EBITDA MARGIN (%) In Rs. Cr. 867 15.1% 11.5% 398 132 47 H1FY19 H1FY20 H1 FY19 H1 FY20 REVENUES EBIDTA EBIDTA % PAT & PAT MARGIN (%) 1.4% 12 -14.5% H1FY19 H1FY20 (59) PAT PAT % Revenues Post Common Infra readiness, focus is on execution and reducing working capita
Slide 12: Working Capital Analysis – Positive Momentum Continues
WORKING CAPITAL ANALYSIS – POSITIVE MOMENTUM CONTINUES In Rs. Cr. Particulars Mar-18 Jun-18 Sep-18 Dec-18 Mar-19 Jun-19 Sep-19 Inventory 929 779 764 756 944 933 1,086 Net Receivables 1,060 1,175 1,305 1,446 1,261 1,058 723 Payables 536 635 838 956 889 1,083 1,103 Others 214 137 52 19 103 (103) (122)
Slide 13: Cash Flow and Debt Analysis
CASH FLOW AND DEBT ANALYSIS In Rs. Cr. Particulars Q2FY20 Q1FY20 FY19 FY18 FY17 Opening Net Debt (849) (916) (705) (779) (641) Cash Profit (26) 3 27 (133) 347 Net Working Capital 183 202 26 565 (163) Capex (95) (77) (113) (177) (303) Others (3) (61) (151) (180) (19) Closing Net Debt (791) (849) (916
Slide 14: O&M – Strong Annuity Model
O&M – STRONG ANNUITY MODEL Inox Wind has multi year O&M agreements for its fleet across customers and from the upcoming new financial year, a significant part of the WTGs will be beyond the free O&M/warranty period. Moreover, with the increase in the fleet size on the back of strong auction orde
Slide 15: Wind Auctions
WIND AUCTIONS Auction Period Volume (MW) SECI 1 – SECI 3 Feb’17 – Mar’18 4050 MW State Auctions Feb’17 – Mar’18 1500 MW SECI 4 April 2018 2000 MW NTPC August 2018 1200 MW SECI 5 September 2018 1200 MW Hybrid 1 December 2018 840 MW SECI 6 February 2019 1200 MW Gujarat May 2019 745 MW Hybrid 2 May 201
Slide 16: Wind Sector: Gaining Strength
WIND SECTOR: GAINING STRENGTH Withdrawal of AD Reintroduction of AD The sector witnessed an (GW) & GBI Provision & GBI Provision abrupt transition to the auction regime. 5.5 3-5 3.2 3.3 2.3 2.3 2 1.7 1.7 1.7 1.5 FY10 FY11 FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19 FY20E* Feed In Tariff Regime (FIT) Auc
Slide 17: Manufacturing Capacity
MANUFACTURING CAPACITY CURRENT CAPACITY (MW) Una, Barwani, Rohika, Plant Location Himachal Madhya Total Gujarat Pradesh Pradesh Nacelles & Hubs 1,100 - - 1,100 Blades - 800 800 1,600 Towers - 300 300 600 Well positioned to take advantage of the growing market. Potential to debottleneck our nacel
Slide 18: Shareholding Structure
SHAREHOLDING STRUCTURE Inox Wind Share Price (Rs) Market Data As on 07.11.19 (BSE) 110 100 Market capitalization (Rs. Cr) 787 90 80 Price (Rs.) 35.45 70 60 No. of shares outstanding (Cr) 22 50 40 Face Value (Rs.) 10.0 30 Sep/2018 Nov/2018 Jan/2019 Mar/2019 May/2019 Jul/2019 Sep/2019 Nov/2019 Source
Slide 19: Detailed Financials: Consolidated P&L Statement
DETAILED FINANCIALS CONSOLIDATED P&L STATEMENT (In Rs Lakhs) Q2FY20 Q2FY19 YoY Q1FY20 QoQ H1FY20 H1FY19 YoY Income a) Revenue from operation (net of taxes) 13,861 43,666 25,959 39,820 86,711 Other Income 473 500 494 967 829 Total Income from operations (net) 14,334 44,166 -68% 26,453 -46% 40,787 87,
Slide 20: Detailed Financials: Consolidated Balance Sheet Statement
DETAILED FINANCIALS CONSOLIDATED BALANCE SHEET STATEMENT As of As of As of As of Particulars (Rs. in Lakhs) Particulars (Rs. in Lakhs) 30-Sep-19 31-Mar-19 30-Sep-19 31-Mar-19 Assets EQUITY AND LIABILITIES (1 ) Non-current assets (1) Equity (a) Property, Plant and Equipment 108,184 94,272 (a) Equity
Slide 21: Financial Summary
FINANCIAL SUMMARY ROE: PAT/Avg. Equity, ROCE: EBIT/Avg. Capital Employed [(Capital Employed = Equity + Total Debt) Consolidated financials, FY13-15 as per IGAAP, FY16-19 as per Ind AS Revenue from Operations EBIDTA (Inc OI) & EBIDTA Margin % PAT & PAT Margin % 19.0% 17.4% 14.2% 4,451 17.6% 18.3% 8.4
Slide 22: Thank You
THANK YOU Jitendra Mohananey Group Financial Controller Contact No: 0120 6149600 Email : Investors.iwl@inoxwind.com 21