Inox Wind Ltd. · NSE:INOXWIND
Inox Wind — Q2 FY2019 Earnings Presentation
22 slides from Inox Wind's earnings presentation, Nov 5, 2018
Slide 1: Exchange disclosure cover letter for earnings presentation
IWL: N01: 48: 2018 05thNovember, 2018 The Secretary The Secretary BSE Limited National Stock Exchange of India Limited Phiroze J eejeebhoy 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 S
Slide 2: Inox Wind Limited Q2FY19 Investor Update
INOX WIND LIMITED Q2FY19 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 QUARTERLY HIGHLIGHTS Q2 RESULT ANALYSIS H1 RESULT ANALYSIS WORKING CAPITAL ANALYSIS CASH FLOW AND DEBT ANALYSIS WIND SECTOR: GAINING STRENTH NEW DAWN AT THE END OF A PERFECT STORM ORDER BOOK MANUFACTURING CAPACITY PROJECT SITES TECHNOLOGY O&M – ANNUITY BUSI
Slide 5: Quarterly Highlights
QUARTERLY HIGHLIGHTS Inox Wind continues to be profitable during the quarter on back of the ongoing delivery of our SECI-1 orders. This is the 2nd quarter of profitability post a turbulent FY18 which was affected due to the transition of wind sector to the auction regime. The quarter saw deliver
Slide 6: Q2 Result Analysis
Q2 RESULT ANALYSIS REVENUES EBITDA & EBITDA MARGIN (%) In Rs. Cr. 437 12.2% 53 -20 80 Q2 FY18 Q2 FY19 Q2 FY18 Q2 FY19 -25.4% REVENUES EBIDTA EBIDTA % PAT & PAT MARGIN (%) 0.4% 2 Q2 FY18 Q2 FY19 -46 -58.0% PAT PAT % Q2FY19 results reflect the turnaround with the ongoing execution of SECI orders under
Slide 7: H1 Result Analysis
H1 RESULT ANALYSIS REVENUES EBITDA & EBITDA MARGIN (%) In Rs. Cr. 867 14.3% 124 186 -34 H1FY18 H1FY19 H1 FY18 H1 FY19 -18.1% REVENUES EBIDTA EBIDTA % PAT & PAT MARGIN (%) 1.4% 12 H1FY18 H1FY19 -45.7% (85) PAT PAT % Revenues H1FY19 results reflect the turnaround with the ongoing execution of SECI ord
Slide 8: Working Capital Analysis – Positive Momentum Continues
WORKING CAPITAL ANALYSIS – POSITIVE MOMENTUM CONTINUES • Inventory levels gradually stabilizing on back of continued SECI execution over the year. •Net Receivables: Continued reduction in net receivables of Rs. 307 cr in Q2FY19 from Q1FY19. The closing net receivable balance includes significant par
Slide 9: Cash Flow and Debt Analysis
CASH FLOW AND DEBT ANALYSIS Net debt remains at a healthy 0.36x (vs 0.49x in Q2FY18). 8
Slide 10: 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. 6-10 5.5 3-5 3.2 3.3 2.3 2.3 2 1.7 1.7 1.7 FY2010 FY2011 FY2012 FY2013 FY2014 FY2015 FY2016 FY2017 FY2018 FY2019E* FY2020E* Feed I
Slide 11: New Dawn at the End of a Perfect Storm
NEW DAWN AT THE END OF A PERFECT STORM Feb, 17: 1st SECI States stop signing The wind sector comes wind auction PPAs and refuse to to a complete stand still conducted honor signed PPAs Some of the challenges faced - Inventory pile up Oct, 17: SECI-2 Sept, 17: CERC conducted post issues transmission
Slide 12: Wind Auctions
WIND AUCTIONS Auction Month Volume (MW) SECI 1 February 2017 1050 MW Tamil Nadu August 2017 500 MW SECI 2 October 2017 1000 MW Gujarat December 2017 500 MW SECI 3 February 2018 2000 MW Maharashtra March 2018 500 MW SECI 4 April 2018 2000 MW NTPC August 2018 1200 MW SECI 5 September 2018 1200 MW Tota
Slide 13: Order Book
ORDER BOOK Particulars Capacity SECI 3: 200MW Auction based order book 950 MW SECI 2: 300MW •IWL: 250MW Supplied 170 MW •Adani: 50MW SECI 4: 100MW Net order book 780 MW SECI 1: 300MW Inox Wind In Advance stages of closure > 600 MW Maharashtra •IWL: 250MW Order state auction: Would take the total ord
Slide 14: 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 15: Project Sites: Leadership Across Wind Rich States
PROJECT SITES Amongst the largest project site allottees in Gujarat, Rajasthan and Madhya Pradesh Rajasthan Expanded presence in Andhra Pradesh and Gujarat Madhya Pradesh Karnataka and Kerala Maharashtra Sufficient project site inventory for installation of an aggregate capacity of more than 5
Slide 16: Technology
TECHNOLOGY Moving towards bigger turbines on the same platform Inox Wind is in advanced stages of Higher Energy Lower Energy Higher Returns Yield Cost launching its next generation multi megawatt wind turbine to further reduce levelized cost of electricity (LCoE) and 20% provide superior returns t
Slide 17: O&M – Annuity Business
O&M – ANNUITY BUSINESS Inox Wind has an installed wind turbine base of approx 2.4GW in India with multi year O&M agreements We expect this revenue stream to pick up strongly in the coming years as the fleet size increases on back of strong auction order inflow. O&M revenues are noncyclical in
Slide 18: Shareholding Structure
SHAREHOLDING STRUCTURE Inox Wind Share Price (Rs) Market Data As on 02.11.18 (BSE) 160 150 140 Market capitalization (Rs. Cr) 1950 130 120 Price (Rs.) 88 110 100 No. of shares outstanding (Cr) 22 90 80 70 Face Value (Rs.) 10.0 Source - BSE Source - BSE % Shareholding – As of 30th Sept 2018 % Key Ins
Slide 19: Detailed Financials: Consolidated P&L Statement
DETAILED FINANCIALS CONSOLIDATED P&L STATEMENT 18
Slide 20: Detailed Financials: Consolidated Balance Sheet Statement
DETAILED FINANCIALS CONSOLIDATED BALANCE SHEET STATEMENT 19
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, FY16-17 as per Ind AS Revenue from Operations EBIDTA (Inc OI) & EBIDTA Margin % PAT & PAT Margin % 19.0% 14.2% 4,451 17.4% 17.6% 18.3% 8.4
Slide 22: Thank You
THANK YOU Mr. Jitendra Mohananey Chief Financial Officer Contact No: 0120 6149600 Email : [email protected] 21