DIPAM ppt Dec 2020 revised...(as on Dec 31, 2020) President of India, 63.17% Foreign Portfolio...
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BHEL CORPORATE PRESENTATION,Dec 2020
Transcript of DIPAM ppt Dec 2020 revised...(as on Dec 31, 2020) President of India, 63.17% Foreign Portfolio...
BHEL CORPORATE PRESENTATION,Dec 2020
This presentation is issued by Bharat Heavy Electricals Limited (the “Company” or “BHEL”) forgeneral information purposes only, without regard to specific objectives, suitability, financialsituations and needs of any particular person and does not constitute any recommendation orform part of any offer or invitation or inducement to sell or issue, or any solicitation of any offer topurchase or subscribe for, any securities of the Company, nor shall it or any part of it or the factof its distribution form the basis of, or be relied on in connection with, any contract orcommitment therefor. This presentation does not solicit any action based on the materialcontained herein. Nothing in this presentation is intended by the Company to be construed aslegal, accounting or tax advice.The presentation contains various financial data and business related data concerning theCompany. Unless otherwise specified, all such data is on a standalone basis, i.e., the Company.Further, such data / figures may have been rounded off to the nearest integer.
Disclaimer
1
Table of Contents
1. BHEL Overview 4
2. Financial Highlights 16
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1. BHEL Overview
3
India’s Flagship Engineering & Manufacturing Company
Strong Engineering & Manufacturing
Base
• Integrated power plant equipment manufacturer with capability to deliver 20,000 MW of power plant equipment per annum
• Catering to all fuel types viz. Coal, Hydro, Nuclear, Gas & Solar • Serving core sectors of industry viz. Power, Transmission, Industrials Systems and
Products, Transportation (Railway), Renewable Energy, Oil & Gas, and Defence & Aerospace
Pan India Presence
• 16 manufacturing units + 2 repair units + 8 service centres • Infrastructure to deal with 150+ project sites (across India and abroad)• About 33,500+ employees• 1 Subsidiary + 3 active Joint Ventures
Global Footprint
• References in 84 countries• About 17,000 MW contracted ,11,000+ MW executed
• 190+ GW capacity installed globally• 32,000+ AC machines supplied • 730+ locos supplied to Indian Railways & Other Industries• >50% of traction equipment in Locos & EMUs of Indian Railways supplied by BHEL• 1.2+ GW Solar PV Portfolio• 640,000+ MVA transmission equipment supplied
Rich Experience
• R&D Expenditure (>2.5% of Turnover) – one of the highest in Indian engineering field
• Filing patent / copyright applications regularly – total 4,849 filingsInnovation
4
upto 31st Dec ’2020
Pan India PresenceBHEL’s Operational Footprint in India
Note: Map not marked to scale. 5
Business Offices1 Bangalore2 Bhubaneswar3 Chandigarh4 Chennai5 Guwahati6 Ranchi7 Jabalpur8 Jaipur9 Kolkata
10 Lucknow11 Mumbai12 New Delhi13 Raipur14 Secunderabad15 Vadodara
Manufacturing Units
Bangalore
Bhopal
Goindwal
Haridwar
Hyderabad
Jagdishpur
Jhansi
Ranipet
Rudrapur
Tiruchirappalli
Thirumayam
Visakhapatnam
14 1 2
3
4
5 6
7
8
9
10
11
12 13
16
15
Regional Offices (Power Sector)
Noida (Northern Region)A
Kolkata (Eastern Region)B
Nagpur (Western Region)C
Subsidiary—Bhel Electrical Machines LTD.,Kasaragod, Kerala
Chennai (Southern Region)D
Corporate Office New Delhi
Corporate R&D Hyderabad
4
65
11A
9
3
8 15
17
7
2114
12 1316
10 D
A3
D12
8
15G
10H E
5
9BB
6
7
13 2
11
C
F14
C
1
4
Single Source with Multiple Solutions for Infrastructure & Industrial Segments
6
Power
Execution of power projects from concept to commissioningProducts:• Thermal: up to 1000
MW BTG ratings • Emission control
equipment-FGD, ESP, SCR
• Gas: gas turbines & generators upto 297 MW
• Hydro: EM Package up to 400 MW
• Nuclear: SG & TG sets upto 700 MWe
Transmission
Wide range of transmission systems & products including EHV & UHV
Products:• Power transformers• Instrument transformers• Shunt reactors• Switchgear• Capacitors• Control & Protection
equipment• HVDC terminals • Flexible AC transmission
Transportation
Locos and wide range of traction propulsion equipment
Products:• Electric locomotives up
to 6000 HP, Diesel-Electric locomotives up to 1400 HP
• Electrics and Propulsionequipment for EMUs/ Locos
Defence & Aerospace
y
Strategic equipment for Indian defence forces for over 20 years
Products: • Super Rapid Gun Mount• IPMS for Naval ships• Turret Casting For T72
Tanks• Integrated Platform
Management System For Naval Ships
• Compact Heat Exchanger For LCA
• Space Grade Solar Panel
• Space Grade Li-ion Battery
Single Source with Multiple Solutions for Infrastructure & Industrial Segments
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Energy Storage Solutions
Focus on electric mobility, battery storage & railway track electrification
Products: • Energy Storage, Power
Conditioning & Energy Management Systems
• Complete Containerized Solutions
• Electric Vehicle Chargers• Electric Power Train• Lithium Ion Battery
Packs• EPC solutions for railway
electrification
Industrial Products& Systems
Wide Range Of Industrial Products
Products: • Oil Rigs • Well Head & X-mas
Tree Valves• Fabricated Equipment• Boiler Feed Pumps• Compressors • AC Alternators &
Motors• Valves
Renewable Energy
EPC solutions for Solar PV Power Plants, with and without Battery Energy Storage System
Ground mounted, Roof top, canal top and floating solar power plants
Products: • Solar cells and modules• Power Control Unit
(PCU) for solar PV plants
Water
Turnkey solutions for power plants, industries and municipal segments
Products:• Pre Treatment Plant • Sea Water Reverse
Osmosis and Demineralization Plant
• Effluent Treatment Plant
• Sewage Treatment Plant and Tertiary Treatment Plant
• Zero Liquid Discharge System
One of the ten “Maharatna” CPSEs
Listed on BSE on 12th October 1992Listed on NSE on 03rd November 1994
Market Cap*: INR 16,958 Cr
Share Price of face value Rs. 2 52 wk High / Low: INR 56.5/INR 19.7*
* are as on 26/03/2021 ( Source: www.bseindia.com)8
Shareholding Pattern (as on Dec 31, 2020)
President of India, 63.17%
Foreign Portfolio
Investors, 4.34%
Insurance companies & Mutual Funds, 13.12%
Qualified Institutional
Buyers & Banks, 1.42%
Public, 15.84%
Others, 2.11%
BHEL is the undisputed leader amongst Indian power plant equipment manufacturers
BHEL’s Electric Utility Installed Base in India(As on March 31, 2020)
Jammu and Kashmir
Himachal Pradesh
Uttarakhand
Punjab
Haryana
Delhi
RajasthanUttar Pradesh
Gujarat
Maharashtra
Goa Andhra Pradesh
Karnataka
Kerala
Tamil Nadu
Telangana
Orissa
Madhya PradeshChhatisgarh
West Bengal
Bihar
Sikkim
JharkhandTripura
Meghalaya
Mizoram
Manipur
NagalandAssam
Arunachal Pradesh
Hydro Gas and CCP Diesel Coal NuclearLegends
Coal, Gas, Nuclear, Diesel and Hydro Projects Contribution in total installed capacity*(As on March 31, 2020)
Contribution in thermal power generation(During FY 2019-20)
9 $ excluding Industrial sets in India and overseas installations; values rounded off* Coal, Gas & CCP, Diesel, Nuclear & Hydro
BHEL53%
Others47%
BHEL57% Others
43 %
MWCoal 1,28,315Gas and CCP 7,622
Diesel 199 Nuclear 3,340 Hydro 20,997Total 1,60,474$
Project Execution PerformanceCommissioning/Synchronization (MW)
15,059
8,570
4,1495,904 4,786
FY16 FY17 FY18 FY19 FY20
References in 84 countries across all six continents of the world and Offices in 4 countries
Global Presence
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First large turnkey project export by Indian co. – Libya (1977)
Consistent Performance –~17,000 MW contracted and ~11,000 MW executed
Presence in all segments– Thermal– Hydro– Oil & Gas– Solar– Transmission
Executing 6 GW projects outside India
− Executing the largest ever export order of 2 x 660 MW Maitree Super Thermal Power Project, Bangladesh
Bagged 900 MW Arun-3 Hydroelectric, Nepal- largest hydro project of Nepal
Bagged 40MW Rahughat Hydro project, Nepal
Continuous focus on R&D
Building Indigenous Technology Capabilities
• Strong engineering and R&D base for in-house development of indigenous technologies
• Technology collaboration agreements with leading global manufacturing and engineering companies.
• Indigenous capabilities in thermal power plants upto 1000 MW, Nuclear sets upto 700 Mwe, Gas turbines upto 297 MW, Hydro turbines upto 400 MW
• Focus on Clean Coal Technologies• Currently developing India’s first Coal fired Advanced Ultra Super Critical (AUSC) plant technology along with NTPC and IGCAR• Developing technology for coal to methanol production • Emission control equipment – NOx, SOx and particulate control
• Development of advanced transportation systems including 3 phase AC EMU propulsion system, Regenerative Braking System for electric locomotives, propulsion system for higher rating locomotives, & conversion of diesel to electric locomotives
• Transmission systems & products including higher rating Gas Insulated Substation up to 400kV; 765 & 1200 kV UHV AC Transformer & Reactors
• Renewable energy technologies such as balance of systems components for solar power plants, higher efficiency solar cells
• Electric mobility solutions including indigenous propulsion systems for electric vehicles, charging infrastructure, among others
• Development of Energy Storage Systems including Grid Connected BESS (Lithium-ion, Flow battery & Advanced lead acid battery) , Battery packaging & battery management systems
• Development of IIOT solutions for Remote Monitoring and Diagnostics of power plants, Predictive maintenance and efficiency optimization
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Rajesh Sharma
Raj Kamal Bindal
Manish Kapoor
Board of Directors
Functional Directors Independent Directors Govt. Nominee Directors
Subodh GuptaDirector (Finance)
Kamalesh DasDirector (Engineering, Research & Development)
Anil KapoorDirector (Human Resources & Power (Addl.Charge))
Renuka GeraDirector (IndustrialSystems & Products)
Shashank PriyaAS&FA, Ministry of Commerce & Industry
Amit MehtaJoint SecretaryDHI, Ministry of Heavy Industries & Public Enterprises
Dr. Nalin ShinghalChairman & Managing
Director
Since January 2021
Board of Directors-structure
The composition of Board of Directors of BHEL hasan appropriate mix of Executive Directors representedby Functional Directors including CMD, and Non-executive Directors represented by GovernmentNominees & Independent Directors, to maintain theindependence of the Board and to separate the Boardfunctions of management and control.
The total number of Directors sanctioned for BHELBoard is 16 represented by 6 Functional Directors(incl. CMD), 2 Govt. Nominee Directors and 8Independent Directors.
As on 31st Dec 2020, there exist 5 vacancies ofIndependent Directors (including one independentwomen director) which is under consideration of DHI,GoI.
Corporate Governance
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Corporate Governance Compliances
Code of Business Conduct & Ethics for Board Members andSenior Management Personnel – in place
Board level periodic reviews of compliance reports for alllaws applicable to BHEL
Vigil mechanism in place to report genuine concerns ofDirectors & Employees
All the requisite Board level committees are functional inBHEL with the composition in line with the requirements ofCompanies Act, Listing Regulations & SEBI Guidelines
Code of Conduct in place for regulating & reporting tradingby Designated Persons & their Immediate Relatives and forFair Disclosure in compliance with SEBI guidelines on thematter
Risk Management Committee in place to review the Riskgovernance structure, risk assessment & managementframe work, guidelines, policies & processes for riskassessment & management
Resolution of 100% Shareholders’ complaints at eachquarter end
Awards & recognition
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Golden Peacock award for
Environment management
2019
Dun & Bradstreet
PSU Award-Engg.
category2019
9 National Safety
Awards 2019-highest
number by an organisation.
Governance Now PSU
awardIn Research &
innovation2020
Indian Green Energy Award 2019
Governance Now PSU
awardIn HR
Excellence & Reskilling of Employees
2020
Governance Now PSU
awardIn Geo
strategic reach2020
Golden Peacock National
Quality Award 2020
2. Financial Highlights
15
Financial Highlights
Turnover(Rs Crore)
EBITDA(1)(Rs Crore)
Notes: (1) EBITDA = Earning before charging Interest cost, Tax, Depreciation & Amortization.* FY16 onward data is based on IND-AS
Profit After Tax(Rs Crore)
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25,09127,740 27,850 29,349
20,491
FY16 FY17 FY18 FY19 FY20
*
131
1,827
2,626 2,820
348
FY16 FY17 FY18 FY19 FY20
*
(710)
496 807
1,215
(1,473)
FY16 FY17 FY18 FY19 FY20
*
Order Book Receipts(Rs. Crore)
43,727
23,489
40,932
23,859 23,547
FY16 FY17 FY18 FY19 FY20
Financial Highlights
Total Equity(Rs Crore)
Note: (1) Working Capital calculated as Inventories + Trade Receivables – Trade Payables* FY16 onward data is based on IND-AS,
^ Excluding Rs. 245 crore of net investment in Subsidiary & Joint Ventures
Capex (Rs Crore)
Dividend #(Rs Crore)
Working Capital(1)(Rs Crore)
17
32,181 32,294 32,601
31,400
29,181
FY16 FY17 FY18 FY19 FY20
*
311 294249
272
333
FY16 FY17 FY18 FY19 FY20
^
98
387
668 696
FY16 FY17 FY18 FY19
# Dividend on accrual basis- interim dividend and proposed final dividend for the year
33,557 31,863 35,493 38242 36471
9,602 7,372 6,259 8113 8905
(9,488) (9,340) (11,066) (12,079) (9,900)
33,671 29,895 30,686 34,276 35476
FY16 FY17 FY18 FY19 FY20
Trade Receivables Inventories Trade Payables
*
* BHEL Board did not recommend Final Dividend for FY2019-20 due to COVlD-19 & extraordinary circumstancesfaced by the company. However an interim equity dividendof 40% has been paid for 2019-20
Financial Performance* (Up-to Q3 for year 2020-21)
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In Rs. crore
* Unaudited Financial results
Parameters Q1 Q2 Q3
Turnover 1897 3444 4203
PBT -1196 -737 -293
PAT -897 -556 -231
Order Inflow 1485 3723 3889
Total order book, as on 31st Dec 2020, stands at Rs. 1,06,686 Crore
Additional Information
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JVs and Subsidiaries
Bharat Heavy Electricals Limited
Government of India (“GoI”) Others
Subsidiaries
BHEL Electrical Machines Limited
Operational Joint Ventures
BHEL GE Gas Turbine Services Pvt. Ltd.
NTPC – BHEL Power ProjectsPvt. Ltd. (NBPPL)
Raichur Power Corporation Limited
51%
50%
26%
50%(1)
63.17% 36.83%
Source: Company data.Note: (1) One share less than 50%.20
Glossary
Term Description
AUSC Advanced Ultra Supercritical
CPSE Central Public Sector Enterprises
EHV Extra High Voltage
EM Electro-Mechanical
EMU Electric Multiple Unit
EPC Engineering, Procurement and Construction
BESS Battery Energy Storage Solutions
ESP Electrostatic Precipitator
FGD Flu Gas De-sulphurization
HVDC High Voltage Direct Current
IGCAR Indira Gandhi Centre for Atomic Research
IPMS Integrated Platform Management Systems
LCA Light Combat Aircraft
NTPC National Thermal Power Corporation
PCU Power Control Unit
PS Mkt Power Sector Marketing
SCR Selective Catalytic Reduction
SPV Solar Photovoltaic
UHV Ultra High Voltage
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