Cesc Ltd · NSE:CESC
Cesc — Investor Presentation (May 2011)
27 slides from Cesc's investor presentation, May 2011
Slide 1: CESC Limited – Powering India since 1899
CESC Limited Powering India since 1899 May 2011 www.cesc.co.in 1
Slide 2: Group Holding Co.
Group Holding Co. Power Carbon Black Retail Entertainment 2
Slide 3: India Power Situation – Large Latent Demand
India Power Situation Large Latent Demand India’s installed capacity is 170 GW Coal based generation makes up 54% of the total 612 Private sector’s share stood at 21% IEA - Key Energy Statistics 2009 Significant demand-supply gap driving large investments in the power sector Peak Demand expe
Slide 4: CESC Snapshot
CESC Snapshot • 4 thermal plants – Installed capacity of 1225 MW Generation • Meeting peak system demand of 1600 MW • Distribution Licensee for Kolkata and Howrah - 567 sq.km area, Distribution 2.5 mn consumers, 16500 ckt km T&D network • PLF >85%, T&D loss <13% , Collection efficiency 99.5% • Coal
Slide 5: Operating performance
Operating performance: Sales (MU) * Units Generated (MU) * Excluding Export T&D Loss PLF%(excluding peaking Station) * * BBGS Unit 3 fully operational in FY11 5
Slide 6: Tariff & Profitability
Tariff & Profitability Tariff (Rs./ unit) PBT (Rs. Bn) Debt / Equity Ratio EPS (Rs.) *Issue of 31.06 mn equity shares in the scheme of amalgamation with Spencer's retail and 9.56 mn shares via QIP in FY08 6
Slide 7: Growth plans
Growth plans Coal & Gas based IPPs on a PAN India basis Portfolio of Renewable projects (Solar, Wind, Hydro and MSW) Privatization of Distribution Franchisee Aiming to add generating capacities of 7,000 MW in next 7 years 7
Slide 8: Projects in pipeline
Projects in pipeline Capacity Projects CoD Status (MW) Current 1225 Operational Chandrapur 2013 600 Fully under implementation Land in possession. Final Regulatory approval Haldia Phase 1 expected soon. All other approvals in place. ICB 2014 600 process completed 2015 1320 Land in possession. Awaiti
Slide 9: Coal Sourcing Strategy
Coal Sourcing Strategy Thermal power plants to continue to meet the country`s energy requirements CESC would implement IPPs which secures a domestic coal linkage Secure long term off take arrangements of imported coal to meet shortfall if any Landed cost of imported coal to be competitive
Slide 10: Real Estate
Real Estate Being a 110 year old utility CESC has a large unexploited land bank Utilizing idle company assets for additional income generation and Capital appreciation Floated 100% subsidiary “CESC Properties Ltd” to develop real estate projects. Currently developing a 3 acre of land at Cent
Slide 11: Retail Business
ORPG RETAIL BUSINESS 11
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Slide 13: Spencer's Retail
Spencer’s Retail • Rs.10 bn food-first, multi-format retailer established since 1996 • India’s first retail chain introducing Indian consumers to the concept of organized retail • Formats – Hyper & Supermarkets, Convenience Stores • 60 million footfalls per annum • Strong Brand traction with target
Slide 14: How Spencer's Makes Fine Living affordable
How Spencer’s “Makes Fine Living affordable” • A blend of commodity (80%) & indulgence (20%) merchandise with relevant opening price points FINE LIVING AFFORDABLE We’re on top of Bright, clean stores, Superior quality trends so you will category adjacencies products since 1863 find the latest and Ma
Slide 15: Macro Environment
Macro Environment • FY 08-09 : Rapid growth to establish Pan India presence • All retailers grew aggressively in FY 08-09 taking store rents and salaries to unsustainable levels • FY 09 -10 : Closures and consolidation – focus on Category A markets • Strong Industry meltdown in FY 09-10 making the m
Slide 16: Spencer's Story in Three R's – Realized, Reorganized and Revitalized
Spencer’s Story in Three R’s – Realized, Reorganized and Revitalized 1. Realized: Learnings from the 2. Reorganized: Spencer’s got 3. Revitalized: Spencer’s is now hyper growth frenzy its act together Oct’08 to ready to ride India's Next Sep’09) Trillion Dollar wave (Oct’ 09 During 2005-2007, organi
Slide 17: Spencer's Footprint – April 2011
Spencer’s Footprint – April 2011 Hyper TA Supers Dailies Regions States s >15 SAS TOTAL (‘000) 3k -15k <3k k • TA Hypers – 505 K sft WB 177 6 1 12 0 19 East • TA Supers – 86 K sft TOTAL 177 6 1 12 0 19 Maharashtra 97 2 0 12 4 18 • TA Small stores – 335 K sft West Gujarat 24 1 0 0 0 1 • SAS - 23 K sf
Slide 18: Hyper & Super footprint – April 2011
Hyper & Super footprint – April 2011 Hypers Supers NCR 21 Hypers – 505K sqft Hypers : Ghaziabad, Gurgaon Super : Faridabad, MMX mall, Indirapuram 13 Supers – 86K sqft Siliguri Lucknow Gorakhpur Allahabad Durgapur Vadodara Kolkata Mumbai Hypers : South City, Mani Square, Rash Behari, Axis mall Warang
Slide 19: Financials
Financials H1 FY10 H2 FY11 TA 0.9 0.91 Revenue/Sft 758 976 RGM% 18.10% 18.91% RGM/Sft 137 185 Rent/Sft 55 56 Opex/Sft 108 110 Store EBITA/sqft -26 18 Store EBITA(Rs Mn) -25 16 RODC Cost(Rs Mn) 73 50 Corp Cost(Rs Mn) 43 60 Advt(Rs Mn) 14 17 Corp EBITA(Rs Mn) -156 -111 All Figures In Avg per month 19
Slide 20: Same Store Sales growth robust
Same Store Sales growth robust Sales/Sft / Mth (in Rs) Categories 2009-10 2010-11 % Growth April 735 883 20% May 823 948 15% June 812 931 15% July 838 999 19% Aug 947 1056 11% Sep 827 946 14% Oct 971 1063 9% Nov 856 999 17% Dec 897 1066 18% Jan 944 1044 11% Food has highest share ~ 60% Feb 792 895 1
Slide 21: Private Label
Private Label FMCG / Food FMCG / Non- Food 21
Slide 22: Private Label
Private Label General Merchandise Apparel Formal Wear Casual Wear Ethnic Wear 22
Slide 23: Pvt Label Contribution
Pvt Label Contribution % Mix 50.0% 50.0% 43.2% 44.0% 45.0% 43.1% Staples 39.9% 39.5% 40.0% 40.0% 36.5% Apparel 35.0% 31.4% 30.8% 29.4% 30.0% 24.7% 25.0% 25.0% Gen Merchandise 20.0% 18.4% 17.0% 16.5% 15.2% 13.9% 15.0% 11.3% Total 13.4% 12.4% 12.2% 10.0% 11.3% 12.1% 7.0% FMCG 4.1% 4.2% 3.7% 5.0% 2.3%
Slide 24: Specialty Brands - Strategy
Specialty Brands - Strategy • Au bon pain (ABP) – bakery café chain • Operates 9 Cafe’s in Bangalore covering a Trading Area of 8354 sft. • All stores are EBITDA positive • State of Art factory of 16500 sft • Proof of Concept tested, looking forward to aggressive expansion • Looking at a roll out pl
Slide 25: ORPG
ORPG Rice bowls | “gnboups ee Osffee ee Firbac SANDWICH FESI he ere U/@e (Cu & wo 3 au bon pain = eiieagtiage, ame a hy & ka?” a _ an 2s ‘
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Slide 27: Thank You
THANK YOU The materials contained herein (the “Materials”) are for use at this presentation only and not for further distribution by you or any other person. Neither the Materials, nor anything contained herein, shall form the basis of, or be relied on in connection with, any contract to purchase or