Power Grid Corporation Of India Limited · NSE:POWERGRID

Power Grid Corporation Of India — FY2016 Earnings Presentation

45 slides from Power Grid Corporation Of India's earnings presentation, May 27, 2016

  1. Slide 1: Power Grid Corporation of India Limited – Press & Analysts' Meets

    Power Grid Corporation of India Limited Fastest Growing Electric Utility in Asia Press & Analysts’ Meets Mumbai May 27, 2016

  2. Slide 2: Disclaimer

    Disclaimer By attending the meeting where this presentation is made, or by reading the presentation slides, you agree to be bound by the following limitations: • This document has been prepared for information purposes only and is not an offer or invitation or recommendation to buy or sell any secur

  3. Slide 3: Major Highlights

    Major Highlights POWERGRID Overview Sector Overview & Performance Performance (FY16)  Financial  Operational Journey - Last 5 years Performance (FY16) – Consultancy, Telecom, CSR & Sustainability Projects Targeted in FY17 & Status of TBCB Projects Outlook, Investment Programme & Way Forward Major

  4. Slide 4: Major Highlights

    Major Highlights

  5. Slide 5: POWERGRID Stock getting included – Thank You

    POWERGRID Stock getting included1 Thank You for your continued faith & confidence 1- w.e.f. 20-Jun-2016; Source: BSE Notice dated 20-5-16 55

  6. Slide 6: FY16: Major Highlights

    FY16: Major Highlights ₹ 31,788 • Highest ever yearly crore Capitalization • Highest ever TL ckm 13,717 ckm addition (Annual) • Gross Fixed Assets surpassed ₹ 1.5 lakh cr. Financials scale • Annual Income surpassed ₹ 20,000 crore new peaks • Profit After Tax surpassed ₹ 6,000 crore 66

  7. Slide 7: FY16: Other Highlights

    FY16: Other Highlights NER-Agra HVDC World’s longest multi-terminal ±800kV (Pole-I) HVDC Tr. Line commissioned SAARC Additional Link(s) with Nepal & Interconnections Bangladesh completed & operationalised Projects acquired 1st line* successfully charged in time through TBCB * 400kV D/C Khammam – Nag

  8. Slide 8: POWERGRID Overview

    POWERGRID Overview

  9. Slide 9: POWERGRID Today

    POWERGRID Today CENTRAL LISTED GOVT. PAYING Market A ‘NAVRATNA’ SHAREHOLDING TRANSMISSION COMPANY DIVIDEND SINCE Capitalization ENTERPRISE UTILITY since 2007 57.90% 1993-94 ₹ 72,771 crore1  >90% ISTS Transmission Network owned by POWERGRID  Trans. Lines: 1037 Nos. - ~ 129,600 ckm 400kV & above: >9

  10. Slide 10: POWERGRID Group

    POWERGRID Group Government 57.90% Institutions 34.80% Non-Institutions 7.30% of India Shareholding pattern as of 31st March, 2016 Joint Ventures (13) Subsidiaries (11) (% POWERGRID equity holding) (100%) Powerlinks Trans. North Eastern POSOCO Cos. Acquired Ltd. (49%) Trans. Co. (26%) (Grid Managemen

  11. Slide 11: Sector Overview & Performance

    Sector Overview & Performance ONE “00 a1

  12. Slide 12: Power Sector Overview & Performance

    Power Sector Overview & Performance Generation & Power Supply Installed Capacity RE Capacity incl. RE (GW) (GW) At the end of FY12 (Mar-12) 200 24.5 At the end of FY16 (Mar-16) 302 42.8 Addn. in 4 years (Apr12-Mar16) 102 18.3 Addn. in FY16 30 7.1 Per Capita Consumption: 1075 kWh (2015-16 Prov.) Ener

  13. Slide 13: Power Sector Overview & Performance (contd.)

    Power Sector Overview & Performance (contd.) Transmission Infrastructure Transmission X-formation I-R Capacity (ckm) Capacity (MVA) (MW) At the end of FY12 (Mar-12) 257,481 409,551 27,750# At the end of FY16 (Mar-16) 341,551 658,949 58,850# Addn. in 4 years (Apr12-Mar16) 84,070 249,398 31,100 Addn.

  14. Slide 14: POWERGRID - Major Assets commissioned in FY16

    POWERGRID- Major Assets commissioned in FY16 Transmission Lines Sub-Stations Inter-Regional Capacity 15 Nos. 13,717 ckm 23,578 MVA 12,400 MW Major Lines Sub-stations Inter-Regional • Bareilly-Kashipur, • Vindhyachal PS • V’chal – Satna, V’chal-Satna (2nd line) • New Melli (GIS) •Barh – Gorakhpur • M

  15. Slide 15: Transmission - Congestion Management: Capacity Enhancement

    Transmission- Congestion Management Enhancement of Capacity in last 2 years (FY15, FY16) WR to NR: NEW Grid to SR: Capacity enhanced from 3,700 MW to Capacity enhanced from 3,450 MW to 7,600 MW (105% ↑) 5,900 MW (71% ↑) Targeted increase in Capacity in next 2 years (FY17, FY18) WR to NR: NEW Grid to

  16. Slide 16: Transmission - Congestion Management

    Transmission- Congestion Management I-R Power flow from WR to NR & WR to SR (MUs) 46623 29908 24206 11668 15934 10683 7597 7841 FY13 FY14 FY15 FY16 WR-NR WR - SR > 4x > 2x Source: POSOCO 16

  17. Slide 17: Transmission - Positive Steps towards Project Execution

    Transmission- Positives Steps towards Project Execution Permission to start work after Stage-I/ In-principle approval Improvement in Forest Enhancement in delegation of powers of Regional Offices of MoEFCC Clearance Process Easing Compensatory Afforestation (CA) conditions in TBCB projects Right of

  18. Slide 18: Performance (FY16)

    Performance (FY16)

  19. Slide 19: Performance (FY16) - Financial

    Performance (FY16)- Financial (₹ in crore) Quarter ended Year ended Description Standalone Standalone Income 31.03.2016 31.03.2015 31.03.2016 31.03.2015 - Transmission Charges 5,492 4,468 19,945 16,521 - Consultancy – Services 163 157 465 381 -Telecom 105 79 392 275 - Other Income 201 206 479 603 To

  20. Slide 20: Performance (FY16) - Financial

    Performance (FY16) - Financial (₹ in crore) Description As on 31.03.2016 As on 31.03.2015 Gross Fixed Assets 1,50,052 118,264 Capital Work-in-Progress 46,830 56,292 Debt 1,06,321 93,845 Net Worth 42,598 38,037 Earning Per Share (₹) 11.52 9.52 Book Value per Share (₹) 81.43 72.71 Key Financial Ratios

  21. Slide 21: Performance (FY16) - Billing & Realization

    Performance (FY16) - Financial Billing & Realization Billing Realization %age realization ₹ 19,178 crore ₹ 18,668 crore 97.34% As on 31.03.2016 ~ ₹ 2,596 crore Total Outstanding (50 days billing#) Transmission Outstanding ~ ₹ 367 crore (beyond 60 days) (7 days billing#) Billed but not outstanding ~

  22. Slide 22: Performance (FY16) - Operational

    Performance(FY16) - Operational  Performance during FY16  Availability : 99.72%  Reliability : 0.66 Trippings/ line  Assets as on Mar-16:  Trans. Lines : 1031 Nos. - 129,354 ckm  Sub-stations : 207 Nos. (incl. 24 GIS) - 255,348 MVA (104 sub-stations remotely operated) Voltage Landscape migrati

  23. Slide 23: Journey (Last 5 years)

    Journey (Last 5 years)

  24. Slide 24: Journey: Asset Creation

    Journey (Last 5 years): Asset Creation Consistent Asset Growth Investment-led Asset Growth…. … Consistent increase in ISTS Infrastructure (₹ in ‘000 crore) TL ('000 ckm) X-fm ('000MVA) S/S (Nos.) Gross Fixed Assets (GFA+WIP) 207 2.37x 192 184 167 255.3 196.1 150 231.7 174.3 149.8 150.1 205.9 120.8 1

  25. Slide 25: Journey: Profitability

    Journey (Last 5 years): Profitability Asset Based Returns & Sustained Profitability…. Income Profit After Tax CAGR: 19% 21,281 17,780 CAGR: 20% 6,027 15,721 13,328 4,979 4,497 10,785 4,235 3,255 FY12 FY13 FY14 FY15 FY16 FY12 FY13 FY14 FY15 FY16 FY12 FY13 FY14 FY15 FY16 (₹ in crore) 25

  26. Slide 26: Journey: Returns to Stakeholders

    Journey (Last 5 years): Returns to Stakeholders …. and enhanced Shareholder returns…. Earning Per Share & Book Value per Share 81.43 72.71 65.78 56.62 11.52 50.73 9.15 9.36 9.52 7.03 FY12 FY13 FY14 FY15 FY16 EPS BV per share (₹ ) Dividend for FY16: ₹ 2.31 per share (including ₹ 1.51 proposed) 26

  27. Slide 27: Journey: Project Efficiency

    Journey (Last 5 years): Project Efficiency Increasing Capitalization & Efficient Project Mgmt. Thrust on Capitalization …and CWIP Management 39,882 Capex Capitalisation Capitalization/ Capex (%) 141% 97% 33,951 86% 31,851 69% CWIP 73% 31,788 (Installed) 21,037 21,479 23,158 22,456 22,584 17,701 20,0

  28. Slide 28: Journey: Employee Efficiency

    Journey (Last 5 years): Employee Efficiency Increased Employee Productivity…. ….and Employee Efficiency ckm/ Employee MVA/ Employee Income/ Employee Profit/ Employee 29.7 247 (Figures ₹ in lakh) 27.1 208 23.7 181 18.5 150 15.0 117 13.5 13.5 11.2 12.3 10.1 70 52 58 48 35 FY12 FY13 FY14 FY15 FY16 FY12

  29. Slide 29: Performance (FY16): Consultancy, Telecom, CSR & Sustainability

    Performance (FY16) Consultancy Telecom CSR & Sustainability ONE “00 29

  30. Slide 30: Performance (FY16): Consultancy - Domestic

    Performance (FY16): Consultancy - Domestic Income (incl. Intl. Business) ₹ 465 crore (22%↑) TS for Eastern DFCI; Orders recd.: 27 Nos. Major IPDS Implementation Project Cost of Orders.: ₹ 810 crore Orders Line & S/S for East Central Railways Ongoing Assignments: 115; Project Cost ₹ 14,826 crore (Bal

  31. Slide 31: Performance (FY16): Consultancy - International

    Performance (FY16): Consultancy- International Footprints: 18 countries Orders recd.: 4 EOIs submitted: 19 Comml. Proposals submitted: 15 New countries approached Major Highlights  New Interconnections with Nepal & Bangladesh - accomplished  Doshi & Charikar Sub-stations & associated lines in Afga

  32. Slide 32: Performance (FY16): Telecom

    Performance (FY16): Telecom 79 New Clients Total Order Income: Book added ₹ 392 crore (43%↑) [(Pvt. (42), Govt(37)] > ₹ 2100 crore • Services provided: Dedicated Leased Lines, Internet, MPLS-VPN, Dark Fiber • Clientele: Telcos, Govt. Deptts., PSUs & Private Cos. , IT Cos.  Infrastructure:  Fiber O

  33. Slide 33: Performance (FY16): CSR & Sustainability

    Performance (FY16): CSR & Sustainability Major Thrust Areas for CSR Rural Skill Education Health Environment Development Development Major CSR Projects undertaken in FY16 • Construction of ~9,500 toilets in ~4,250 schools in 7 States under ‘Swachh Bharat Mission’ of GoI • Skill Development to more t

  34. Slide 34: Projects Targeted for FY17 & Status of TBCB Projects

    Projects Targeted for FY17 & Status of TBCB Projects ONE “00 34

  35. Slide 35: Projects in FY17

    Projects in FY17 Transmission Lines Sub-Stations Inter-Regional Capacity 15,000 GW-ckm 20 Nos. 12,300 MW Major Lines Sub-stations Inter-Regional • Gaya-Varanasi, Varanasi-Kanpur-Jhatikara • NP Kunta • Pachkula-Patiala; Sikar-Jaipur • Salem (Dharmapuri) • Aurangabad-Boisar; Navsari-Boisar; Kala-Kudus

  36. Slide 36: Status of TBCB Projects (upto Mar'16)

    Status of TBCB Projects (upto Mar’16) Cost-wise Participation Success [Annual Levelised Tr. Charges] 23 Projects 9 (39%) ₹ 1643 crore (47%) SPV & Date of Incorporation Completion ALTC (₹ in cr.) Current Status POWERGRID NM Trans. Ltd. (Mar-12) Oct-16 99 Construction under Progress POWERGRID Vizag Tr

  37. Slide 37: Outlook, Investment Programme & Way Forward

    Outlook, Investment Programme & Way Forward ONE “00 37

  38. Slide 38: Power Sector Outlook

    Power Sector Outlook Capacity addition for Apr17-Mar22 period • Generation initially envisaged for the period ‘Apr17 to Mar22’ (i.e. FY18-FY22) • 86 GW (conventional) • 30 GW (Renewables) • Reworking of Generation & Trans. Plan – under process by GoI Source: CEA/ MNRE 38

  39. Slide 39: Power Sector Outlook (contd.)

    Power Sector Outlook (contd.) For Renewables: Revised Target 175GW by 2022 Solar- 100 GW Wind- 60 GW Others- 15 GW Solar Capacity Addn.- Year wise Solar: 100 GW Targets • Upto FY16: 6.7 GW (Actual as on 31.3.16) • Ultra Mega Solar Parks: 20 GW • FY17: 12 GW • Rooftop: 40 GW • FY18: 15 GW • Distribut

  40. Slide 40: POWERGRID Outlook: Total Works in Hand

    POWERGRID Outlook (as on Apr’16) Ongoing Projects approx. ₹ 94,000 crore New Projects approx. ₹ 34,000 crore TBCB Projects approx. ₹ 16,000 crore (as per Empowered Committee Estimate) Total Works in Hand: ₹ 1,44,000 crore (approx.) 40

  41. Slide 41: Planned Investment (Apr12-Mar17)

    Planned Investment (Apr12-Mar17) Planned Capital Annual Capex Plan Outlay* [*Projects: Ongoing Projects; Tariff Based Bidding Projects; Projects assigned by GoI; Green Energy Corridors; Intra-State Projects; Transnational Interconnections ] FY12-13: FY13-14: FY14-15: FY15-16: FY16-17: ₹110,000 ₹20,0

  42. Slide 42: Way Forward

    Way Forward Strengthening the Core Transmission Business through  Capital Efficiency  Operational Efficiency  Process Innovation Tapping Opportunities in International Transmission Business through  Consultancy  EPC  Asset Ownership (subsequently) Increasing Telecom Business by  Leveraging to

  43. Slide 43: Major Recognitions

    Major Recognitions

  44. Slide 44: Major Recognitions

    Major Recognitions Fastest Growing Electric Utility in Asia for 2nd successive year Only Indian PSU in the Platts Top50 Fastest Growing Energy Companies 2015 • Source: Platts Top 250 Energy Company Rankings 2014 & 2015 POWERGRID – Only Indian Company among ‘One of the Best Three Asian Companies whic

  45. Slide 45: Presentation available at www.powergridindia.com

    Presentation available at www.powergridindia.com

Power Grid Corporation of India — FY2016 Earnings Presentation on 6ix