Grenergy Renovables S.A · BME:GRE
Grenergy Renovables — FY2019 Earnings Presentation
31 slides from Grenergy Renovables's earnings presentation, Feb 27, 2020
Slide 1: Results Presentation FY 2019 Jan-Dec
RESULTS PRESENTATION FY 2019 Jan-Dec Madrid, 27th February 2020
Slide 2: Disclaimer
DISCLAIMER By attending this presentation and/or by accepting this presentation you will be taken to have represented, warranted and undertaken that you have read and agree to comply with the contents of this disclaimer. The information contained in this presentation (“Presentation”) has been prepar
Slide 3: Key Highlights
KEY HIGHLIGHTS Revenue of 84.5M€ +83% YoY Strong Financial FY19 EBITDA of 18.5M€ in line YoY. FY19 Net Profit of 11.4M€ +20% YoY Performance Leverage1 of 2.2x (Vs 0.2x in FY18) More than 50 MW connected since previous report Impressive Operational Increasing our pipeline by more than +2GW YoY to 4.6G
Slide 4: Index
INDEX 1 FINANCIAL RESULTS 2 PIPELINE & OPERATIONS 3 COMPANY COMMITMENTS 04
Slide 5: 1 Financial Result
1 | FINANCIAL RESULT
Slide 6: Revenue FY19
REVENUE FY19 Total Revenue +83% YoY. Revenues Non-GAAP +122% YoY FY18 vs FY19; €M + 92% Revenue increase in D&C* division FY19 REVENUE + 34% Revenue increase in Services** division ● Energy division will add sales from Q2 2020 0.0 1.4 -18.1 +83% 101.3 102.6 84.5 FY18 REVENUE 1.0 46.3 2.0 43.3 D&C En
Slide 7: EBITDA FY19
EBITDA FY19 Total EBITDA in line with previous year. EBITDA Non-GAAP +63% YoY FY18 vs FY19; €M FY19 EBITDA + 27% EBITDA increase in D&C division ● Energy division will add EBITDA in Q2 2020 0.0 0.1 -4.6 34.6 FY18 EBITDA -11.6 0.2 1.5 18.5 -3.0 30.1 19.8 18.5 D&C Energy Services Corporate Total D&C E
Slide 8: Capex FY19
CAPEX FY19 Grenergy invested 63M€ in Solar PV and Wind projects under construction. €M 1.1 25.0 62.7 13.6 20.8 2.2 Development Wind Project: Wind Project: PV Project: Other Total Capex Capex Kosten Duna Huambos Quillagua Financial close and beginning construction of Quillagua Solar PV project (103 M
Slide 9: Free Cash Flow at Group Level
FREE CASH FLOW AT GROUP LEVEL €M 7.2 -2.6 15.9 22.0 -6.7 28.8 13.1 -62.7 36.0 6.6 Funds from Working Growth Capex Change in Project Debt ST Financial Corporate Other Short End 2018 operation Capital/Other investing WK Investments Green Bond Term debt End 2019 09 SOURCE: Company
Slide 10: Change in Net Debt and Leverage
CHANGE IN NET DEBT AND LEVERAGE Overall leverage growth as expected to 2,2x Net Debt/EBITDA due to growth capex Change in net debt Leverage1 2018 Full year 6.6 1H19 FY19 15.9 2,2x 3.8 -62.7 -41.2 0,5x 0,2x -4.3 -0.6 2018 Funds from Change in Growth IFRS16 Other FY19 Net Debt ND/EBITDA Net Debt Opera
Slide 11: Pipeline & Operations
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Slide 12: Pipeline Update
PIPELINE UPDATE Project Portfolio Project Classification1 < 50% Early Stage Success Rate 2,901MW >4.5 GW > 50% Advanced Development Pipeline Success Rate 960MW 700 MW > 80% Backlog Backlog & Under Success Rate 463MW Construction projects Ready to Build 50 MW connected in the last Construction six mon
Slide 13: Pipeline Update
PIPELINE UPDATE Total pipeline increased by 430MW from previous update (+10% QoQ) SOLAR PV WIND Under Advanced Early Under Advanced Early MW Const Backlog Dev Stage Total MW Const Backlog Dev Stage Total Probability Probability 100% 80% >50% <50% 100% 80% >50% <50% of execution of execution Chile 17
Slide 14: Pipeline Update: Under Construction & Backlog
PIPELINE UPDATE Project Under Construction & Backlog Grenergy is expected to bring almost 700MW to COD during the next months Capital needs for these projects mostly funded Resource Country Project Type MW B20 COD (Hours) Argentina Kosten Wind 24 Yes 5,033 1Q20 Peru Duna Wind 18 Yes 4,900 2Q20 Peru
Slide 15: Pipeline Update: Projects in Advanced Development
PIPELINE UPDATE Projects in Advanced Development 1 GW of projects to be delivered in 2021 and 2022 to achieve our IPP Targets Grenergy´s projects Resource Country Project Type MW COD (Hours) España Belinchon Solar 150 2,.150 4Q21 España Tabernas Solar 300 2,358 4Q21 España JoseCabrera Solar 50 2,156
Slide 16: Built to Own: B2O
BUILT TO OWN: B20 Grenergy to exponentially increase its MW in operation to 1.3GW by end 2022 MW Build to Own (B2O) Kosten 1,323 Duna Huambos Quilagua >500 MWs Escuderos Backlog & Adv. Dev. Projects 763 960 >400 MWs 400 363 200 200 200 103 103 103 24 36 24 36 24 36 20201 20211 20221 Revenues stream
Slide 17: Build to Own: B2O 2020 IPP Projects
BUILD TO OWN: B2O 2020 IPP Projects on track KOSTEN Wind Project DUNA HUAMBOS Wind Pr oject 24MW COD 1Q20 36MW COD 2Q20 Commissioning phase Building phase PPA 12 YEARS oject oject QUILLAGUA Solar PV Pr ESCUDEROS Solar PV Pr 103MW COD 3Q20 200MW COD 4Q20 Building phase Closing financing in 2Q20 COD: C
Slide 18: Build to Sale: B2S
BUILD TO SALE: B2S Grenergy has secured income and cash for the next two years €M Build to Sell (B2S) Interenergy Eurus AD Capital 74 1 Carbon free 62 +72% 18 Sonnedix JP Morgan Daelim 44 44 20 44 13 +3x +0% 21 13 62 17 23 44 13 10 22 4 +4x 2 4 6 8 8 2015 2016 2017 2018 2019 20201 20211 Strategy ena
Slide 19: Company Commitments
3 COMPANY COMMITMENTS
Slide 20: Commitment with a Deep ESG Strategy
COMMITMENT WITH A DEEP ESG STRATEGY ENVIRONMENTAL SOCIAL GOVERNANCE ● Establish efficient waste ● Establish and coordinate the ● Define the ESG authorities management systems in all impact on communities (social within the governing bodies. production processes. action programs). ● Establish procedure
Slide 21: Commitment with Capital Markets
COMMITMENT WITH CAPITAL MARKETS Listing from Growth Market into the Main market in December 2019 ● Admission to trading into the Main market last LTM Share Price Evolution (€/p.s.) 16th December 2019 20.0 18.0 ● Market capitalization1: 427M€. 16.0 14.0 ● Liquidity on exchange avg.2: c.1M€. 12.0 10.0
Slide 22: Commitment to Mitigate Risks
COMMITMENT TO MITIGATE RISKS ENERGY PRICE RISK MARKET RISK TECHNOLOGY RISK ● Solar hours pool price evolution ● Grenergy is present is six different depends on many unpredictable markets variables ● Grenergy has a consistent ● Difficult to predict energy demand pipeline in two different increase. tec
Slide 23: Appendixes
APPENDIXES
Slide 24: Platform with Relevant Growth Potential
PLATFORM WITH RELEVANT GROWTH POTENTIAL Project Portfolio Project Classification1 Early Stage Projects with technical and financial feasibility: < 50% ● Possibilities to secure land and grid; and/or Success Rate 2,901MW ● Possibilities to sell it to third parties Projects with an advanced technical an
Slide 25: Project Overview: Under Construction
PROJECT OVERVIEW 234 MW Under Construction 163 MW Build to Own – 71MW Build to Sell Country Project Site Type MW Control Interconnect. Environmental Build COD Type rights approvals & Own Kosten ArgentinaChile Wind 24 Obtained Obtained Obtained Yes 1Q20 U.C Peru Quillagua Solar 103 Obtained Obtained
Slide 26: Project Overview: Backlog
PROJECT OVERVIEW 462 MW Backlog 390 MW Build to Own –72MW Build to Sale Country Project Site Type MW Control Interconnect. Environmental Build COD Type rights approvals & Own Chile Dolores Solar 10,8 Secured Submitted Obtained Yes 4Q21 Backlog Chile Teno Solar 11 Obtained Obtained Submitted Yes 1Q21
Slide 27: Project Overview: Advanced Development
PROJECT OVERVIEW 895 MW Advanced Development Proven track record and important conversion rate from Advance Development to Backlog Country Project Site Type MW Control Interconnect. Environmental Build COD Type rights approvals & Own España Jose cabrera Solar 50 Secured Obtained In progress TBD 2Q22
Slide 28: FY19 Results: Profit and Losses
FY19 Results Profit and Losses Solid increase in Net Income (+20% YoY) Profit and losses (€k) FY19 FY18 Delta Revenue 84.530 46.300 83% Income from customer sales 72.290 46.300 56% Income from related from third party sales 12.240 - n.m Procurement (65.291) (21.051) 210% Procurement from third parties
Slide 29: FY19 Results: Balance Sheet
FY19 Results Balance Sheet Balance Sheet (€k) 31/12/19 31/12/18 Var. Non-current assets 88.044 18.715 69.329 Solid balance Intangible assets Fixed asset 9.446 70.347 2.697 14.775 6.749 55.572 position to Assets with right of use 4.564 - 4.564 Deferred tax assets 3.498 956 2.542 finance growth Other fi
Slide 30: FY19 Results: Net Debt
FY19 Results Profit and Losses In spite of important investment activity the company has still ample capacity for finance growth Net Debt 31/12/19 31/12/18 Long-term financial debt 26.097.393 3.117.519 Short-term financial debt 4.841.280 6.089.510 Other long term debt 208.249 266.535 Other short term de
Slide 31: Developers and IPP of Solar PV & Wind Projects
Developers and IPP of SOLAR PV & WIND projects Mexico DF – Lima – Madrid – Santiago – Buenos Aires – Bogotá