presentation 1Q12 for Web€¦ · 18/05/2012 · GCC, NKCC, SCC, GYG 2%, 33 MB ET 2%, 26 MB ROI-ET...

Corporate PresentationFinancial Results for the Three-Month Period ended 31 March 2012

18 May 2012

1

This presentation was made from the analysis of reliable information in order to assist investment

community to better understand the company's financial status and operation. It also supports the

"Good Corporate Governance Project" of the Securities and Exchange Commission (SEC).

However, the information within this presentation has been derived from the existing factors in the

present time. Therefore, the forward-looking information on this presentation may not occur in

the future if the aforementioned factors or situations are changed. Investors are, however,

required to use their own discretion regarding the use of information contained in this presentation

for any purpose. For further information, please contact Investor Relations Section of the

Electricity Generating Public Company Limited (EGCO) at Tel: (662) 998-5145-8 or Email:

[email protected]

Disclaimer

2

Agenda

� Highlights

� EGCO Group’s Overview

� 1Q12 Financial Results

3

4

Highlights

Significant Events in 2011

� EGCO acquired a 12.50% stake in Xayaburi Power Company Limited (“XPCL”).

� EGCO acquired an additional stake of 26.125% in Quezon Power (Philippines)

Limited Co. (“Quezon”), bringing EGCO’s ownership of Quezon up to 52.125%.

� EGCO acquired 100% of Covanta Philippines Operating Inc. (“CPOI”), which has

renewed registered name to Pearl Energy Philippines Operating Inc. (“PEPOI”).

� Quezon refinanced its project debt enabling the company to pay a closing

dividend of 1,587 million baht (equivalent).

Highlights

Acquired 99.99% stake in SPP4 Company Limited (“SPP4”)

Acquired 90.00% stake in Theppana Wind Farm Co., Ltd. (“Theppana”)

- Type: Wind Power Plant

- Contracted capacity: 2 x 6.9 MW

- Location: Chaiyaphum

- SCOD: March 2013

- Type: Solar Power Plant

- Contracted capacity: 6 MW

- Location: Si Sa Ket/ Ubon Ratchatani

- COD: 24 January 2012

Jan

ua

ry

18

23

In 1Q12, EGCO acquired 5 new renewable power plants with total contracted

capacity of 111 MW.

5

Highlights

Acquired 99.99% stake in SPP3 Company Limited (“SPP3”)


- Contracted capacity: 6 x 9.5 MW

- Location: Nakhon Pathom/Suphan Buri

- SCOD: December 2013



- Location: Si Sa Ket

- COD: 21 February 2012

Feb

rua

ry

27

29

Acquired 49% stake in Yanhee EGCO Holding Co., Ltd. (“Yanhee”)

6

Highlights


- Contracted capacity: 4 x 6.5 MW- Location: Nakhon Sawan (Phase 1-2)

Chai Nat (Phase 3)

Phetchabun (Phase 4)

- COD: Phase 1 - 1 Mar 2012

Phase 2 - 2 Mar 2012

Phase 3 - 5 Mar 2012

- SCOD: Phase 4 - December 2012

Ma

rch

23 Acquired 60% stake in G-Power Source Company Limited (“GPS”)

7

Highlights

� In May 2012, EGCO acquired 45.875% additional stake in Quezon and 100%

in IMS in the Philippines, and 50% stake in a bio diesel plant in Thailand.

Highlights EGCO Group’s Overview 1Q12 Financial Results

Ma

y

11 Signed PSA to acquire 45.875% stake in Quezon, bringing EGCO’s ownership in Quezon to 98%.

Acquired 100% stake in InterGen Management Services (Philippines),

Ltd. (“IMS”).

IMS is a management services company, providing management and

administrative services for all aspects of Quezon.

- Type: Coal Fired Power Plant


- Location: Luzon Island, the Philippines

- COD: 30 May 2000

8

Highlights

Acquired 50% stake in Absolute Power P Co., Ltd. (“Absolute”)

Ma

y

15

- Type: Bio Diesel Plant

- Capacity: 300,000 litre per day

(100,000 ton per year)

- Location: Rojana Industrial Park, Rayong

- COD: October 2011

9

AgendaHighlights EGCO Group’s Overview 1Q12 Financial Results

� Highlights



10

EGCO’s Shareholders & Management

BOD

EGAT

4 seats

TEPDIA

4 seats

Independent

Directors

6 seats

President

1 seat

EGAT

25.41%

TEPDIA

23.94%

Thai Investors

19.35%

Foreign Investors

20.87%

NVDR 10.43%

TEPCO

50%

Mitsu-

bishi

50%

Shareholding Structure Board of Directors

Note: As of 16 March 2012 11

Rayong 1,232 NED (Phase 2-4) 15

KEGCO 749 SPP4 6

BLCP 717 SPP3 8

GEC-GPG (KK2) 755 GPS (Phase 1-3) 12

EGCO COGEN 94

GEC-GCC 55

GEC-NKCC 63

GEC-SCC 63

ROI-ET GREEN 7

GEC-GYG 12

QUEZON 262

CONAL-WMPC 19

CONAL-SPPC 10

NTPC (NT2) 380

NED (Phase 1) 3

As of 31 Dec 2011 4,420 Jan-Mar 2012 41

EGCO Group’s Power Plants Portfolio

� As of 18 May 2012, EGCO Group’s portfolio comprises 18 operating power plants

with 3 under development projects of the existing plants and 6 under development

power plants, brining EGCO’s total MW equity of the portfolio to 5,275 MW.

As of 18 May 2012,

EGCO Group has operating

MW equity of 4,461 MW

Unit: MW

12


EGCO Group’s Power Plants Portfolio

Quezon (45.875%) 231

NED (Expansion) 3

GPS (Phase 4) 4

Theppana 13

Yanhee 28

TJ Cogen 125

TP Cogen 125

SK Cogen 125

XPCL 161

Total 814

As of 18 May 2012,

EGCO Group has

under development

MW equity of 814 MW

Unit: MW

13


Investment Strategy

EGCO’s Investment Strategy can be categorized into 3 stages:

Short-Term

- Develop/ acquire renewable

energy projects up to 300 MW

in 2015

- Develop/ acquire power plants

in Thailand and ASEAN region

- Explore opportunities in related

energy business i.e. bio-diesel

and coal mining

Medium-Term

- Negotiate to extend Rayong and

KEGCO’s PPAs

- Prepare for next round of IPP

bidding

- Develop/ jointly invest in IPP

and SPP in Thailand and

ASEAN region

- Expand O&M and engineering

business

Long-Term

- Focus on domestic investment

and neighboring power plants

that sell electricity back to

Thailand

- Develop related energy

business in order to enhance

competitive advantage


14

AgendaHighlights EGCO Group’s Overview 1Q12 Financial Results

� Highlights



15

1Q11 VS 1Q12 Net Profit

234

1,456

1Q12

117

1,107

1Q11

+ 466 or 38%

Net Profit

EGCO & Sub JV

Baht Million

1,224

1,690

1,800

1,600

1,400

1,200

1,000

800

600

400

200

16


1Q11 VS 1Q12 Net Profit before FX

135

1,352

1Q12

104

1,109

1Q11

+ 274 or 23%

Net Profit before FX

EGCO & Sub JV

Baht Million

1,213

1,487

1,800

1,600

1,400

1,200

1,000

800

600

400

200

17


1Q11 VS 1Q12 Net Profit before FX

1,109

1,352

JV

104 135

EGCO & Sub1Q11 1Q12

Baht Million

1,800

1,600

1,400

1,200

1,000

800

600

400

200

1,213

1,487

Total

274 or 23%

31 or 30%

Rayong 109

ESCO 39

KEGCO (34)

EGCO Cogen (78)

GPG 324

NTPC 90

NED 32

BLCP (178)

GEC (35)

18

243 or 22%


1Q12 Net Profit before FX by Company

Unit: Baht Million

BLCP 24%, 383 MB

GPG (KK2) 30%, 484 MB

NT2 16%, 263 MB

QUEZON 9%, 143 MB

RAYONG 7%, 118 MB

KEGCO 3%, 54 MB

GCC, NKCC, SCC, GYG 2%, 33 MB

ET 2%, 26 MB

ROI-ET GREEN 2%, 37 MB

ESCO 2%, 33 MB

NED 2%, 28 MB

CONAL 1%, 17 MBPEPOI 1%, 14 MB 19


1Q11 1Q12

Beginning Balance of Cash and Cash Equivalents 7,748 8,402

Net Cash Received from (Payments in) Operating Activities

Profit before corporate income tax 1,326 1,745

Share of profit from interest in JVs (1,109) (1,539)

Others 251 468 61 267

Net Cash Received from (Payments in) Investing Activities

Dividend Received from subsidiaires & JVs 882 1,738

Investment in subsidiaries & JVs (6,277) (1,168)

Others 1 (5,394) (40) 530

Net Cash Received from (Payments in) Financing Activities

Payments on long-term loans and debentures 3,043 (125)

Interest Paid (76) (88)

Others (116) 2,851 (1) (214)

Ending Balance of Cash and Cash Equivalent 5,673 8,985

Cash Flow Summary

20

Unit: Baht Million


Debt/Equity

Unit: Baht Million

0.220.21 0.21

0.250.26 0.25 0.25 0.25

0.27

0.05

0.10

0.15

0.20

0.25

0.30

0.35

0.40

0.45

1Q10 2Q10 3Q10 2010 1Q11 2Q11 3Q11 2011 1Q12

Debt

15,936

Equity

59,743

Times (X)

21


Total Outstanding

As of 31 Mar 2012

USD 109 M

Baht 9,897 M

JPY 420 M

EGCO & Subsidiaries’ Loan Structures

Total Outstanding

(Baht Equivalent)Baht 13,424 M

Loan Structures

(Baht Equivalent)

THB USD YEN

74%25%

1%

22


Historical Dividend Payment

Baht/Share

1.00 1.25 1.25 1.50 1.50 2.00 2.25 2.50 2.50 2.50 2.50

1.25 1.25 1.50

1.50 1.75

2.00

2.50 2.50 2.75 2.75 2.75

-

1.00

2.00

3.00

4.00

5.00

6.00

2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011

2.252.50

2.753.00

3.25

4.00

4.755.00

5.25 5.25 5.25

EGCO has a policy to pay dividend at approximately 40% of the consolidated

net profit after tax, or to increase the dividend amount in a steady manner.23


THANK YOUTHANK YOU

24

[email protected]

BACKUP

25

[email protected]

26

Key Financial Data: FX Variance MD&A

1Q11 1Q12 +/-EGCO (0.78) 79.25 80.03

RAYONG POWER PLANT 0.18 0 (0.18)

KEGCO (0.28) 0 0.28

EGCO COGEN (1.42) 7.46 8.87

ROI-ET GREEN 1.90 11.84 9.94

ESCO 12.99 (0.48) (13.47)

TOTAL SUBs FX 12.60 98.08 85.48

BLCP (9.01) 122.47 131.48

GPG (14.97) 76.90 91.87

GCC, NKCC, SCC, GYG (6.03) 26.91 32.94

CONAL (1.43) 1.57 3.00

NTPC 29.35 (127.23) (156.57)

QUEZON 0.37 3.59 3.22

NED (0.62) 0 0.62

TOTAL JVEs FX (2.34) 104.22 106.56

GRAND TOTAL 10.26 202.32 192.04

Key Financial Data: Financial Ratio Highlights

* FX gains/losses from Income Statements including financial cost from foreign currency loans (EGCO & Subs) and JVs 27

1Q11 1Q12

Debt to Equity (Time) 0.26 0.27

Net Debt to Equity (Time) 0.10 0.04

Net Profit before FX* (Million Baht) 1,213 1,487

EPS (Baht) 2.32 3.21

Operating Cash Flow / share (Baht) 0.89 0.51

BV share (Baht) 105.96 113.48

ROE (%) 2.23 2.87

P/E – Local (Time) 40.11 28.98

P/E – Foreign (Time) 40.97 29.29

28

Key Financial Data:Segmental Operating Results, Ended March 31, 2011

Subsidiaries Joint Ventures Grand

Power Generation Others Total Power Generation Total

EGCORayong power plant

KEGCOEGCO Cogen

Roi-Et Green

ESCO ET PEPOI SPP4 SPP3

EGCO& Subs

BLCP GPG

GCC, NKCC, SCC, GYG

NED CONAL NTPC QPL

Sales of Electricity - 565 565 493 63 - - - - - 1,685 - - - - - - - - 1,685

- Capacity Payment - 552 547 60 10 - - - - - 1,169 - - - - - - - - 1,1 69

- Energy Payment - 13 18 432 53 - - - - - 516 - - - - - - - - 516

Sales of Water - - - - - - 68 - - - 68 - - - - - - - - 68

Service Income - - - - - 53 - - - - 53 - - - - - - - - 53

Cost of Sales (0) 505 337 421 35 - - - - - 1,297 - - - - - - - - 1,297

Cost of Services - - - - - 41 19 - - - 60 - - - - - - - - 60

Gross Profit 0 60 229 72 28 12 49 - - - 449 - - - - - - - - 449

EBITDA 31 292 405 102 27 (1) 47 - - - 903 979 490 194 (4) 75 533 271 2,537 3,440

EBIT 18 13 164 60 21 (6) 40 - - - 310 726 283 123 (4) 45 417 232 1,821 2,131

Net Profit before FX (72) 9 88 40 19 (6) 26 - - - 104 561 160 68 (4) 22 173 129 1,109 1,213

Net Profit (72) 9 88 38 21 7 26 - - - 117 552 145 63 (5) 21 202 129 1,107 1,224

3M2011

Total-JVEs

Holding

29

Key Financial Data:Segmental Operating Results, Ended March 31, 2012

Subsidiaries Joint Ventures Grand

Power Generation Others Total Power Generation Total

EGCORayong power plant

KEGCOEGCO Cogen

Roi-Et Green

ESCO ET PEPOI SPP4 SPP3

EGCO& Subs

BLCP GPG

GCC, NKCC, SCC, GYG

NED CONAL NTPC QPL

Sales of Electricity - 536 459 423 97 - - - 23 15 1,553 - - - - - - - - 1,553

- Capacity Payment - 505 442 36 13 - - - - - 996 - - - - - - - - 996

- Energy Payment - 31 17 387 84 - - - 23 15 557 - - - - - - - - 557

Sales of Water - - - - - - 69 - - - 69 - - - - - - - - 69

Service Income - - - - - 185 - 97 - - 282 - - - - - - - - 282

Cost of Sales - 367 333 453 38 - 21 - 7 4 1,223 - - - - - - - - 1,223

Cost of Services - - - - - 123 - 70 - - 192 - - - - - - - - 192

Gross Profit - 170 126 (31) 59 63 49 27 16 10 489 - - - - - - - - 489

EBITDA 17 402 290 13 48 47 46 19 5 (2) 885 810 808 142 56 83 608 437 2,943 3,828

EBIT 4 122 59 (24) 44 42 40 19 5 (2) 309 549 589 70 43 40 501 347 2,140 2,448

Net Profit before FX (99) 118 54 (38) 37 33 26 14 (2) (7) 135 383 484 33 28 17 263 143 1,352 1,487

Net Profit (21) 118 54 (31) 49 33 26 14 (2) (7) 234 506 561 59 28 19 136 147 1,456 1,690

3M2012

Total-JVEs

Holding

22,586 22,568 22,045

24,010

23,900

22,251

23,554

24,571 24,882

25,178 25,551

25,682

20,000

21,000

22,000

23,000

24,000

25,000

26,000

27,000

� In 2012, Peak Demand hit the record high on 23 Mar at 24,464 MW.

� It also made the new high for another six times with the highest of 26,121 MW on 26 Apr.

� EGAT expected power demand growth of approximately 5-6% in 2012 .

Highlights

1st High: 24,464 MW

Record High: 26,121 MW


30

Peak Demand Comparison

14,000

15,000

16,000

17,000

18,000

19,000

20,000

21,000

22,000

23,000

24,000

25,000

26,000

27,000

28,000

January February March April May June July August September October NovemberDecember

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

Peak Demand 23,900.21 MW (May 24, 2011)

2012

31


Record High: 26,121 MW

Net Generation

GWh

Electricity Sales

MM Baht

Rayong Power Plant BLCP KK 2 KEGCO

(Block I)

(Block I)

NT 2

• REGCO and KEGCO receive the capacity payment (Rayong Power Plant) or availability payment (KEGCO) for maintaining the availability of the power plants, regardless of whether the electric power will be supplied to EGAT or not.

• EGAT is the sole offtaker for electricity produced by Rayong Power Plant and KEGCO under long term cost-plus based Power Purchase Agreements (PPAs). 32

3,895

2,249 2,952

4,783

2,127

6,006 5,577 5,643 5,476 5,816

9,723 10,175 10,018 10,036 10,617

3,397

8,960 9,329 9,857 8,813

- - -

4,976

6,361

2007 2008 2009 2010 2011

3,574 3,894 3,722 2,535 2,258

4,237 3,212 2,319 2,788 2,170

20,104 20,255

17,909 17,706 17,868

7,164

20,741 22,506 22,750 22,655

- - -

6,317 7,672

2007 2008 2009 2010 2011

Operating Performance (IPPs) :Annual Net Generation & Electricity Sales for the Year 2007-2011

(9 Month)

(9 Month)

Operating Performance (IPPs) :

Million Baht

Major Maintenance Expenses for the Year 2011

33

Quarter Total

Actual Actual Actual Actual

Spare Parts 52.75 15.01 0.88 71.08 139.72

Service Charge 82.17 44.15 8.65 61.06 196.02

Total 134.92 59.16 9.53 132.13 335.74

Quarter Total


Spare Parts 11.79 26.95 34.00 14.68 87.41

Service Charge 11.87 78.36 6.51 12.39 109.13

Total 23.66 105.31 40.51 27.06 196.55

Rayong Power Plant

1 2 3 4

KEGCO

1 2 3 4

Quarter Total


Spare Parts 52.75 15.01 0.88 71.08 139.72

Service Charge 82.17 44.15 8.65 61.06 196.02

Total 134.92 59.16 9.53 132.13 335.74

Quarter Total


Spare Parts 11.79 26.95 34.00 14.68 87.41

Service Charge 11.87 78.36 6.51 12.39 109.13

Total 23.66 105.31 40.51 27.06 196.55

Rayong Power Plant

1 2 3 4

KEGCO

1 2 3 4

Operating Performance (IPPs) :Major Maintenance Expenses for the Year 2012

Million Baht

34

Quarter Total

Actual Budget Budget Budget

Spare Parts 0.92 22.01 41.20 30.81 94.94

Service Charge 8.18 33.36 65.31 75.66 182.50

Total 9.10 55.37 106.51 106.47 277.44

Quarter Total

Actual Budget Budget Budget

Spare Parts 13.08 45.24 86.17 59.03 203.52

Service Charge 16.07 19.60 95.17 18.70 149.54

Total 29.15 64.84 181.34 77.72 353.06

Rayong Power plant

1 2 3 4

KEGCO

1 2 3 4

Operating Performance (IPPs) : Operating Performance Equivalent Availability Factor

35

Rayong Power Plant

Target EAF (%) Actual EAF (%) Target EAF (%) Actual EAF (%) Target EAF (%) Actual EAF (%) Target EAF (%) Actual EAF (%)

CCGT #1 64.89 68.69 85.72 90.35 97.56 99.40 95.02 97.60

CCGT #2 88.22 92.73 95.87 98.94 97.72 99.44 68.62 73.43

CCGT #3 97.66 99.30 78.40 84.42 96.57 98.95 96.36 97.61

CCGT #4 87.43 93.06 96.51 98.38 96.97 99.43 95.07 97.52

Rayong Power Plant

Target EAF (%) Actual EAF (%) Target EAF (%) Actual EAF (%) Target EAF (%) Actual EAF (%) Target EAF (%) Actual EAF (%)

CCGT #1 99.00 99.95 97.14 - 98.91 - 88.16 -

CCGT #2 98.88 99.95 97.89 - 90.76 - 97.16 -

CCGT #3 98.38 99.35 79.21 - 98.91 - 97.28 -

CCGT #4 99.44 99.87 98.26 - 77.72 - 69.10 -

KEGCO

Target EAF (%) Actual EAF (%) Target EAF (%) Actual EA F (%) Target EAF (%) Actual EAF (%) Target EAF (%) Actu al EAF (%)

Barge #1 93.00 88.94 89.27 98.12 - - - -

Barge #2 42.47 46.15 79.00 86.97 91.00 94.01 90.49 100.00

CCGT #3 96.00 99.51 88.27 93.47 96.00 95.15 86.14 94.55

KEGCO

Target EAF (%) Actual EAF (%) Target EAF (%) Actual EA F (%) Target EAF (%) Actual EAF (%) Target EAF (%) Actu al EAF (%)

Barge #2 91.00 98.76 91.00 - 91.00 - 90.85 -

CCGT #3 81.82 86.77 88.60 - 88.60 - 86.35 -

2011

Plant Type1Q12 2Q11 3Q11 4Q11

2012


2011


2012


Operating Performance (IPPs) :Net Generation and Fuel Consumption

36

Rayong Power Plant 2012CCGT #1- 4 1Q11 2Q11 3Q11 4Q11 1Q12

Net Generation

- By Natural Gas (GWh) 474 592 402 658 1,138

- By Secondary Fuel (GWh) 0.05 0.14 - - 0.16

Fuel Consumption

- By Natural Gas (MMBTU) 4,149,687 5,179,906 3,504,009 5,728,762 9,823,707

- By Secondary Fuel (Million Litre) 0.01 0.03 - - 0.04

KEGCO 2012Barge # 2 1Q11 2Q11 3Q11 4Q11 1Q12

Net Generation

- By Natural Gas (GWh) 178 237 140 139 141

- By Secondary Fuel (GWh) - 1.38 - - -

Fuel Consumption


- By Secondary Fuel (Million Litre) 0.01 0.22 - - -

CCGT # 3 1Q11 2Q11 3Q11 4Q11 1Q12

Net Generation

- By Natural Gas (GWh) 1,296 1,202 1,349 1,274 1,192

- By Secondary Fuel (GWh) - - - - -

Fuel Consumption


- By Secondary Fuel (Million Litre) - 0.01 - 0.02 -

2011

2011

presentation 1Q12 for Web€¦ · 18/05/2012 · GCC, NKCC, SCC, GYG 2%, 33 MB ET 2%, 26 MB ROI-ET...

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Transcript of presentation 1Q12 for Web€¦ · 18/05/2012 · GCC, NKCC, SCC, GYG 2%, 33 MB ET 2%, 26 MB ROI-ET...