Adani Power Limited · NSE:ADANIPOWER
Adani Power — Q3 FY2023-24 Earnings Presentation
36 slides from Adani Power's earnings presentation, Jan 25, 2024
Slide 1: Adani Power Limited Analyst Presentation - Q3 FY 2023-24
Adani Power Limited Analyst Presentation - Q3 FY 2023-24 25th January 2024
Slide 2: Consolidated financial highlights for Q3 FY 2023-24
APL: Consolidated financial highlights for Q3 FY 2023-24 INR Crores Continuing Revenue Continuing EBITDA Reported PBT +1415% +72% +242% 3,210 13,405 5,059 7,773 1,479 212 Q3 FY23 Q3 FY24 Q3 FY23 Q3 FY24 Q3 FY23 Q3 FY24 EBITDA growth due to higher dispatches Revenue growth due to high availability, P
Slide 3: Consolidated operating highlights for Q3 FY 2023-24
APL: Consolidated operating highlights for Q3 FY 2023-24 Commercial Generation Despatch Performance Sales Mix (%) Availability under PPAs Performance (PLF %) (BU) Merchant / Short +46% (%) 69% Term +82% 57.1 95% 62% 93% 94% 92% 14% 17% 16% 17% 47% 42% 39.1 21.5 86% 83% 84% 83% 11.8 Q3 FY23 Q3 FY24 9
Slide 4: Disclaimer
Disclaimer Certain statements made in this presentation may not be based on historical information or facts and may be “forward-looking statements,” including those relating to general business plans and strategy of Adani Power Limited (“APL”) and its subsidiaries , associates, and joint ventures (c
Slide 5: Table of Contents
Table of Contents 1 Adani Portfolio 2 Adani Power Limited 3 APL Quarterly Performance Highlights 4 Debt Profile 5 ESG Practice at APL 6 Conclusion 5
Slide 6: Adani Portfolio Overview
01 Adani Portfolio Overview STRICTLY CONFIDENTIAL
Slide 7: Adani Portfolio: A World class infrastructure & utility portfolio
Adani Portfolio: A World class infrastructure & utility portfolio Flagship Infrastructure & Utility Core Portfolio Primary Industry Emerging B2C Materials, Metal & Incubator Energy & Utility Transport & Logistics Direct to consumer Mining (72.6%) (56.4%) (73.2%) (65.9%) (100%) (63.2%) AGEL AESL APSE
Slide 8: Adani Portfolio: Decades long track record of industry best growth with national footprint
Adani Portfolio: Decades long track record of industry best growth with national footprint Secular growth with world leading efficiency National footprint with deep coverage Growth 3x 6 Growth 4x 6 EBITDA 70% 1,2 EBITDA 92% 1,4 AEL APSEZ Growth 3x 6 Growth 1.4x 6 AGEL ATGL Adani’s Core Infra. Platfo
Slide 9: Adani Portfolio: Repeatable, robust & proven transformative model of investment
Adani Portfolio: Repeatable, robust & proven transformative model of investment Phase Development Operations Post Operations Center of Excellence Project Management & Assurance Group AIMSL1 Policy -Strategy - Risk Origination Site Development Construction Operation Capital Management Activity • Anal
Slide 10: Adani Power Limited (APL): Multifaceted Power Producer
02 Adani Power Limited (APL) : Multifaceted Power Producer STRICTLY CONFIDENTIAL
Slide 11: APL: Multifaceted power producer
APL: Multifaceted power producer Core Business Embedded Expertise Value Enhancement Emerging Opportunities Training and Vendor Power Generation Logistics Waste Management Development Solid fuel and fly ash: High quality manpower India’s largest private Value creation out of Sourcing and disposal dev
Slide 12: Strategically located, diversified operating fleet
APL: Strategically located, diversified operating fleet 100% 100% 100% Raipur Raigarh Udupi Tiroda Mahan Kawai Mundra Godda Mahan (Chhattis- (Chhattis- (Karnataka) (Maharashtra) Ph-I (MP) (Rajasthan) (Gujarat) (Jharkhand) Ph-II (MP) garh) garh) Hinterland Category Coastal, Utility Near-Pithead Plant
Slide 13: Excellent revenue visibility and fuel security
APL: Excellent revenue visibility and fuel security Capacity tie-up (%) Fuel cost recovery mix (%) Regulated Utility 6% Fuel cost pass 19% through TBCB-State DISCOMs 26% 33% Escalable energy 81% 9% TBCB-Private charge with 74% change-in-law 6% Transnational 60% Others (Sovereign) Offtake risk Fuel c
Slide 14: Fuel management & logistics – Key competitive advantage
APL: Fuel management & logistics – Key competitive advantage Fuel management is key to revenue stability Plant and Mine Locations Only IPP in India with in-house, mine-to-plant logistics capability Handling approx. 60 MMTPA coal, 13 MMTPA Fly Ash Kawai Constant attention to multiple agencies and tou
Slide 15: Technology usage for reliability – ENOC
APL: Technology usage for reliability – ENOC ENOC (Energy Network Operating Centre) − Remote monitoring, diagnosis, and troubleshooting Centralized Management − Centralized power scheduling for optimum capacity utilisation Real Time Data Availability − Real time data access, enabling smooth and agil
Slide 16: Ensuring high availability for despatch
APL: Ensuring high availability for despatch Average Operational Capacity (MW) Commercial Availability under LT PPAs (%) 91% 89% 90% 89% 14,985 13,650 83% 12,450 12,450 79% 11,810 10,480 FY19 FY20 FY21 FY22 FY23 9M FY24 FY19 FY20 FY21 FY22 FY23 9M FY24 PLF (%) Sales (BU) 64 59 57 55 53 67% 52 64% 62
Slide 17: Strong growth in revenues and operating margins
APL: Strong growth in revenues and operating margins Total Revenues (Rs. Crore) Finance Cost (Rs. Crore) +13% CAGR 46,400 5,657 43,041 5,315 5,106 31,686 4,095 26,362 27,842 28,150 3,334 2,568 FY19 FY20 FY21 FY22 FY23 9M FY24 FY19 FY20 FY21 FY22 FY23 9M FY24 Reported EBITDA (Rs. Crore) PAT Growth (R
Slide 18: APL Quarterly Performance Highlights
03 APL Quarterly Performance Highlights STRICTLY CONFIDENTIAL
Slide 19: Key Highlights for Q3 FY 23-24
APL: Key Highlights for Q3 FY 23-24 Business Highlights ✓ Prepaid secured long term debt amounting to ~Rs. 810 Crores during Q3 FY24 and ~Rs. 250 Crores during Jan 2024. ✓ CERC issued an order on 4th January 2024 regarding the true-up petition of Udupi power project (Section 62 project) for tariff p
Slide 20: Growing power demand supporting higher volumes
Growing power demand supporting higher volumes Commercial Availability^ PLF Generation (BU) Sales (BU) 92% 94% 90% 89% 61.7 57.1 69% 62% 42.0 39.1 47% 42% 23.1 21.5 12.7 11.8 Q3 FY23 Q3 FY24 9M FY23 9M FY24 Q3 FY23 Q3 FY24 9M FY23 9M FY24 Power demand in key States (BU)* 153.8 137.1 104.1 109.8 76.1
Slide 21: Secure revenue stream with upside from open capacities
Secure revenue stream with upside from open capacities Sales Mix and Volume Q3 FY23 Q3 FY24 9M FY23 9M FY24 11,805 MU 21,523 MU 39,136 MU 57,138 MU 14% 17% 16% 17% +82% +46% 86% 83% 84% 83% PPA Merchant/Short term PPA Merchant/Short term PPA Merchant/Short term PPA Merchant/Short term 13,650 MW 15,2
Slide 22: Fuel sourcing and logistics prowess ensures continuous availability
Fuel sourcing and logistics prowess ensures continuous availability Fuel Mix and Volume Q3 FY23 (MT) Q3 FY24 (MT) 9M FY23 (MT) 9M FY24 (MT) 8.06 MT 13.53 MT 26.83 MT 37.31 MT 16% 21% 38% 46% +68% 54% +39% 62% 84% 79% Domestic Imported Domestic Imported Domestic Imported Domestic Imported Fuel cost p
Slide 23: All-round improvement reflected in sustained strong profitability
All-round improvement reflected in sustained strong profitability Snapshot of Profit & Loss Account INR Crores Summary Income Statement Q3 FY24 Q3 FY23 +/- 9M FY24 9M FY23 +/- Effective Capacity (MW) 15,250 13,650 14,985 13,650 Continuing Operating Revenue 13,143 7,602 73% 36,380 25,961 40% Continui
Slide 24: Revenue Bridge
Revenue Bridge Growth in Revenues Q3 FY23 to Q3 FY24 INR Crores (-) 50 1,824 3,808 13,405 13,355 7,773 Q3 FY23 Continuing Revenue Higher volumes and tariffs Inclusion of Godda power Q3 FY24 Continuing Revenue Prior period items (Q3 FY24) Q2 FY24 Reported Revenue plant Growth in Revenues 9M FY23 to 9
Slide 25: EBITDA Bridge
EBITDA Bridge Growth in EBITDA Q3 FY23 to Q3 FY24 INR Crores 5,632 2,016 35 5,059 (-) 50 5,009 1,479 Continuing EBITDA Q3 Increase in Continuing Increase in fuel cost Increase in other Continuing EBITDA Q3 Prior period items (Q3 Q3 FY24 Reported FY23 revenue operating expenses FY24 FY24) EBITDA Grow
Slide 26: Debt profile
04 Debt profile STRICTLY CONFIDENTIAL
Slide 27: Consolidated Debt Profile
Consolidated Debt Profile INR Crores Particulars As on 31st Dec 2023 As on 31st Mar 2023 Senior Secured Loans (Rupee Term Loans + ECB) Existing entities 25,041 21,494 Under-construction project 8,228 Total Senior Secured Loans 25,041 29,722 Working Capital Loans 5,941 5,672 Inter-Corporate Deposits
Slide 28: Deleveraging of balance sheet and stronger net worth
Deleveraging of balance sheet and stronger net worth Senior Term Debt / Equity Ratio (times) ▪ Significant reduction in senior 5.32 debt through prepayment as well 3.90 as regular repayments despite acquisitions and addition of 2.57 project debt for the Godda plant. 1.86 0.99 ▪ Improvement in operat
Slide 29: ESG Practice at APL
05 ESG Practice at APL STRICTLY CONFIDENTIAL
Slide 30: Adani: Robust ESG assurance framework
Adani: Robust ESG assurance framework Guiding Principles United Nations Global Sustainable GRI Standards Guiding Compact Development Goals Policies Principles Policy Structure Focus Area - UNSDG Environment Policy Covered in • Climate Action E Business Responsibility (BR) • No Poverty ESG Policy • Z
Slide 31: Track record and emission reduction plan
APL: Track record and emission reduction plan In its endeavor for climate readiness, APL is aligning its business model with latest technologies in climate efficient manner Climate Awareness Climate Readiness Statutory limit (3.5) 2.55 2.37 Sp. Water 2.19 2.22 2.35 2.25 2.07 2.14 Consumption (m3 / M
Slide 32: Adopted UN Sustainable Development Goals
APL: Adopted UN Sustainable Development Goals Our Key Social Initiatives mapped to UNSDG United Nations Sustainable Development Goals 2030 • Mobile Heath Care unit: 204,282+ treatments provided through 8 MHUs • Health insurance benefits for ~ 9,502 people Health by issuing health cards Multiple Loca
Slide 33: ESG rating and performance highlights
APL: ESG rating and performance highlights ESG Rating Highlights ✓ B Score For fulfilling climate change and water security commitments from CDP (Carbon Disclosure Project) for 2022. ✓ Score of 54/100 in Corporate Sustainability Assessment (CSA) by S&P Global, which is better than world electric uti
Slide 34: Conclusion
06 Conclusion STRICTLY CONFIDENTIAL
Slide 35: Key Takeaways
APL: Key Takeaways ▪ 81% of capacity contracted under LT / MT PPAs, most of which offer fuel cost pass through or tariff Revenue escalation, yielding excellent revenue visibility and cash flow stability. Visibility ▪ Near-pithead capacity enjoys logistics cost advantage, enabling higher offtake and
Slide 36: Thank You
adani Power THANK YOU