Gail (india) Limited · NSE:GAIL
Gail (india) — Investor Presentation (June 2021)
35 slides from Gail (india)'s investor presentation, Jun 10, 2021
Slide 1: Investor & Analyst Meet 2021
GAIL (India) Ltd. Investor & Analyst Meet 2021 June 10, 2021, New Delhi
Slide 2: Safe Harbor Statement
Safe Harbor Statement This presentation has been prepared by GAIL (India) Ltd (Company or GAIL) solely for providing information about the Company. The information contained in this presentation is only current as of its date. Certain statements made in this presentation may not be based on historic
Slide 3: Company Mission & Vision
Company Mission & Vision Be the leader in Enhancing quality of natural gas value- life through clean chain and beyond, Mission Vision energy and beyond with global presence, creating value for stakeholders with environmental responsibility
Slide 4: Table of Contents
Table of Contents 1 Company Overview 2 Performance Highlights 3 Industry Outlook & Strategy
Slide 5: Company Overview
Company Overview 5
Slide 6: Major Business Portfolio
0 0 0 0 0 1 2 3 4 4 Major Business Portfolio Gas Transmission Petrochemicals Liquid E&P Renewables & Marketing Hydrocarbons Over 13,389 KM ~14% domestic Five LHC Participation in 118 MW of Wind of Gas Network market share Processing Plants 12 Blocks Power Capacity Long Term Capacity of
Slide 7: Global Presence
Global Presence USA GGUI (Eagle Ford Basin) GGULL (Dominion Cove) CHINA China Gas GAIL-Sabine Pass MYANMAR EGYPT Equity in 2 Retail Myanmar-China Gas Pipeline Gas Companies A1, A3 E&P Blocks SINGAPORE GAIL Global (Singapore) Pte. Limited
Slide 8: Sustainable Development
Sustainable Development In 2021, Vaghodia became the first GAIL location to get Silver rating by CII GreenCo. GAIL embarked upon the journey of adoption of Green Co Rating in FY19-20. GAIL won the leaders award at the ‘Frost and Sullivan and TERI’s Sustainability Awards’ held in 2020. GAIL als
Slide 9: Shareholding Pattern
Shareholding Pattern Others, 7.47% GDR, 0.71% Market Capitalization as on 31st Mar’21 : ` 60,189 crore PRESIDENT OF INDIA, 51.45% 180 7 160 6 FPI, 15.52% Share volume (in Millions) 140 Price (in Rs/Share) 5 120 Paid up Equity 100 4 ` 4,440.39 crore LIC, 8.87% 80 3 60 FINANCIAL 2 INSTITUTIONS/BA 40 N
Slide 10: Corporate Social Responsibility (CSR)
Corporate Social Responsibility (CSR) MAJOR HIGHLIGHTS 1. GAIL UJJAWAL (Education Centric Initiatives): 180 meritorious & marginalized students received residential coaching at GAIL Utkarsh centres for admission into IITs/NITs and other Engineering colleges. 2. GAIL KAUSHAL (Skill Initiatives):
Slide 11: Battle Against Covid-19
Battle Against Covid ‐19 Projects/contributions worth Rs. 80 cr. for relief activities related to COVID-19 Contributed Rs. 50 cr. towards PM CARES FUND Various projects worth Rs. 30 cr. Undertaken (oxygen cylinder, concentrators, PSA plants etc.) Super Specialty ICU unit set up with GAIL’s C
Slide 12: Battle Against Covid-19
Battle Against Covid ‐19 Support extended for providing COVID vaccine related cold chain equipment for Madhya Pradesh [23 nos. Deep freezer (small) & 01 No Refrigerated Truck] and Tripura [16 nos. Ice Lined Refrigerators (small)] Under the initiative of MoPNG, GAIL is setting up PSA oxygen plant
Slide 13: Performance Highlights
Performance Highlights 13
Slide 14: Major Highlights for FY 2020-21
Major Highlights for FY 2020‐21 Hon'ble PM dedicated Kochi-Mangaluru Section of KKMBPL on 5th January’21 & Dobhi- Durgapur Section of JHBDPL at Durgapur to the nation on 7th February ‘21 Received NIL Comments from CAG for the Accounts of FY 2019-20 (11th year in a row) Received Investor Relation (IR
Slide 15: Major Highlights for FY 2020-21 Cont..
Major Highlights for FY 2020‐21 Cont.. Interim Dividend for FY 2020-21 is Rs. 5 per share amounting to Rs. 2,238 crore GAIL successfully closed the Buyback of equity shares worth 2.5% of Net worth at ~ Rs. 1,274 crore (Incl. Tax) Capex for FY 2020-21 ~ Rs. 7,000 crore, Part of JHBDPL Project (Dobhi-
Slide 16: Physical Performance
Physical Performance Gas Volume Trend Gas Marketing Mix Gas Transmission Mix (MMSCMD) 105 107 108 104 100 97 96 1% 89 10% FY21 81 85 8% 9% 8% 0% 38% 10% FY21 48% FY21 0% 23% 45% FY17 FY18 FY19 FY20 FY21 APM/NAPM RLNG PMT Spot Mid Term Overseas Sales Gas Transmission Gas Marketing Petrochemicals Sale
Slide 17: Gas Sourcing & Sector Wise Supply
Gas Sourcing & Sector Wise Supply FY 2019‐20 FY 2020‐21 (Total 84.60 MMSCMD, % share) (Total 80.28 MMSCMD, % share) 35.41 MMSCMD 42.62 MMSCMD 42% 47% 58% 53% 49.19 MMSCMD 37.66 MMSCMD 38% 42% 23% 20% 19% 20% 17% 21% 21.22 24 4.12 1.8 8.27 2 2 9 15.18 14.33 15 10.57 9.11 10 11 7 Fertilisers Power CGD
Slide 18: Financial Performance (Standalone)
Financial Performance (Standalone) (in Rs. crore) Turnover (Gross) Gross Margin (PBDIT) 74,808 71,730 10,774 9,887 56,529 8,649 8,450 48,789 53,690 7,287 FY17 FY18 FY19 FY20 FY21 FY17 FY18 FY19 FY20 FY21 Profit Before Tax (PBT) Profit After Tax (PAT) 9,085 6,621 7,943 6,026 6,958 6,386 4,618 4,890 5
Slide 19: Balance Sheet as on 31st March 2021
Balance Sheet as on 31st March 2021 ( in Rs./crore) Assets Equity & Liabilities 73,310 73,310 Non Current Current Equity Liabilities Assets Assets 46,611 26,699 63,657 9,653 Equity Share Non Current Current PPE 33,375 Other Equity Capital Liabilities Liabilities 42,171 CWIP 11,903 4,440 15,482 11,21
Slide 20: Key Financial Ratios
Key Financial Ratios PAT to Net Worth (in %) Return on Capital Employed Debt to Equity Ratio ( in %) 18 15 16 15 15 0.16 13 13 0.14 11 11 11 0.09 0.06 0.03 FY17 FY18 FY19 FY20 FY21 FY17 FY18 FY19 FY20 FY21 FY17 FY18 FY19 FY20 FY21 Earning Per Share (in Rs./Share) Share Price (in Rs./Share) Market Ca
Slide 21: Financial Performance (Consolidated Basis)
Financial Performance (Consolidated Basis) (in ` crore) Turnover (Gross) Gross Margin (PBDIT) 12,818 75,912 72,414 11,657 10,079 57,208 8,758 49,237 54,556 7,237 FY17 FY18 FY19 FY20 FY21 FY17 FY18 FY19 FY20 FY21 Profit Before Tax Profit after Tax 9,422 9,831 10,429 6,546 6,136 6,936 7,725 4,799 5,18
Slide 22: Capital Expenditure Profile
Capital Expenditure Profile FY 2020‐21 FY 2021‐22E (in ` crore) ~ 7,000 Cr. ~ 6,600 Cr. 500, 8% 1,285 , 18% 750, 11% 200, 3% 200, 3% 764, 11% 200, 3% 93, 1% 119, 2% 262, 4% 4457, 64% 4750, 72% Pipeline City Gas Distribution (Equity) Petrochemical E&P Equity Investments Operational Capex * capital ex
Slide 23: Industry Outlook
Industry Outlook Natural Gas Segment 23
Slide 24: Global Energy Consumption - Comparison
Global Energy Consumption ‐ Comparison Figures rounded off Region Oil Natural Gas Coal Nuclear Energy Hydro electric Renewables World 33.1% 24.2% 27.0% 4.3% 6.4% 5.0% Asia Pacific 27.8% 12.2% 47.5% 2.2% 6.2% 4.2% China 19.7% 7.8% 57.6% 2.2% 8.0% 4.7% India 30.1% 6.3% 54.7% 1.2% 4.2% 3.5% India & Chi
Slide 25: Global energy demand growth from emerging economies
Global energy demand growth from emerging economies Currently, China biggest driver of global energy consumption (24%) followed by US (17%), EU (12%), Middle East (6.65), India (5.9%) & Russia (5.2%) Going Forward :- • India is expected to be largest source of energy demand growth out to 2050. •
Slide 26: Energy demand growth – Indian context
Energy demand growth – Indian context Selective Indicators for India Key Indicators as a % of Global Average • Energy consumption has more than doubled since 2000, propelled upwards by a growing population and a continuous period of rapid economic growth. Covid-19 impact expected to be mitigated Q4
Slide 27: India is among the top gas consuming countries globally
India is among the top 13 gas consuming countries globally 1 BCM = 2.74 MMSCMD Gas Consumption Top 15 Gas consuming countries globally in (in BCM) Growth Share of gas in PE Pipeline Length 2020 2008‐19 (%) (KM) 2008 2019 1 US 628.9 846.6 2.7% 32.2% 500,000 2 Russian Federation 422.7 444.3 0.7% 53.7%
Slide 28: Natural gas consumption – Historical & Present
Natural gas consumption – Historical & Present Natural Gas Consumption in India (MMSCMD) In MMSCMD 200 176 175 180 162 167 166 157 153 Others, 31.91, 19% 160 143 141 143 140 127 Fertilizer, 48.72, 30% 120 109 95 100 90 85 85 87 88 Petrochemical, 8.42, 5% Sectoral 79 83 76 80 68 75 93 90 Breakup 51 5
Slide 29: Structural Reforms towards a Gas Based Economy
Structural Reforms towards a Gas Based Economy Enhancing domestic gas production Pricing guidelines for domestic gas Marketing & Pricing freedom - difficult & new fields (HPHT) Discovered Small Field Coal Bed Methane Developing gas infrastructure Completion of National Gas Grid North Eas
Slide 30: One Nation-One Grid - Infrastructure Expansion on-going
One Nation‐One Grid ‐ Infrastructure Expansion on‐ going Ladakh UT J & K UT LNG Terminals (2014) Existing Pipelines (2014) New Pipelines laid (2019) New LNG Terminals (2019) Under Construction P/L Approved P/L North East Grid (SPV) Envisaged Upcoming terminals (length of pipelines in km)
Slide 31: CGD is focus area to grow in coming years
CGD is focus area to grow in coming years CGD in India after 9th & 10th Round (March 21) • 41 Entities ‐ 407 Districts ‐ 232 GAs • Expansion is under progress to cover 70% of population and 53% of geographic area • Target to provide 42 million additional DPNG connections and 8000 CNG stations by 203
Slide 32: Petrochemical Segment
Petrochemical Segment 32
Slide 33: Petrochemical Business Outlook
Petrochemical Business Outlook Indian Petrochemicals industry likely to reach $ 250 billion by 2025 India’s per capita consumption of plastics is just 11 kg vs. China per capita consumption of 45 kg. World average per capita consumption of Plastics is ~30 Kg with US consuming as high as 109 Kg
Slide 34: Petrochemical Business Outlook
Petrochemical Business Outlook Indian HDPE & LLDPE Demand v/s Capacity HDPE+LLDPE Actual Projections (in KTA) 2019‐20 2020‐21 2021‐22 Indian HDPE & LLDPE Demand HDPE (1) 2,530 2,690 2,860 demand is higher than LLDPE (2) 2,391 2,631 2,876 capacity and gap is expected HDPE + LLDPE 4,921 5.321 5,736 to
Slide 35: Our Touch Points
Our Touch Points For Institutional Investors For Retail Investors & Analysts Shri R K Jain, Shri A K Jha, Executive Director (Finance & Accounts) Company Secretary E-mail ID: [email protected] E-mail ID: [email protected] GAIL (India) Ltd. 16, Bhikaiji Cama Place, R.K. Puram, New Delhi-110066 www.