Presentation 1Q12 FINAL · 8/21/2012 · Operation Performances NTPC 97 BLCP 95 Rayong 27 ESCO 25...

Corporate PresentationFinancial Results for the Three-Month Period ended 30 June 2012

21 August 2012

1

Agenda

2

� Highlights

� 2Q12 Financial Results

� EGCO Group’s Overview

3

EGCO completed the acquisition of the following projects:

� 90.00% stake in Theppana Wind Farm Co., Ltd. (13 MW)

� 49.00% stake in Yanhee EGCO Holding Co., Ltd. (28 MW)

� 99.99% stake in SPP Three Co., Ltd. (8 MW)

� 99.99% stake in SPP Four Co., Ltd. (6 MW)

� 60.00% stake in G-Power Source Co., Ltd (16 MW)

4

2Q12 Highlights

On 19 June 2012, the

Cabinet approved EGCO

to build a new 900 MW

combined cycle power

plant at the existing

KEGCO site location.

SCOD will be in July

2016.

On 11 June 2012,

EGCO completed the

acquisition of

additional 45.875%

indirect ownership

interest in Quezon,

bringing EGCO’s

ownership interest in

Quezon to 98%.

Accomplishment

Quezon New Khanom

5

2Q12 Highlights

� 15 May Acquired 60% stake in Absolute Power P Co., Ltd. (APPC)

� 23 May Acquired 99.99% stake in SPP Two Company Limited (SPP2)

Type: Solar Power Plant

Contracted capacity: 8 MW

Location: Saraburi

COD: 2 May 2012

Type: Bio Diesel Plant

Capacity: 300,000 litre per day

Location: Rojana Industrial Park, Rayong

COD: October 2011

6

2Q12 Highlights

� 18 June Acquired 99.99% stake in SPP Five Company Limited (SPP5)

Type: Solar Power Plant

Contracted capacity: 8 MW

Location: Roi Et

COD: 22 June 2012

As of 18 June 2012, EGCO Group

had acquired four solar power

plants with tracking system from

SunEdison with total capacity of

30 MW.

7

Post 2Q12 Highlight

� 16 August Acquired 40% stake in Manambang Muara Enim

Coal Mine (MME)

Type: Open-pit coal mine

Reserve: 140 Million Tons

Coal Type: Sub-bituminous (5,800 kCal/kg)

Location: Muara Enim Regency , South Sumatra

Republic of Indonesia

COD: March 2010

Concession Time: 28 years starting from March 2010MME

Agenda

� Highlights



8

1,681 1,874

68 89

4,310

1,000

2,000

3,000

4,000

5,000

6,000

7,000

2Q11 2Q12

2Q11 VS 2Q12 Net Profit

1,749 1,963+214 or

12.24 %

6,273

Baht Million

9

1,703 1,893

61 93

4,310

1,000

2,000

3,000

4,000

5,000

6,000

7,000

2Q11 2Q12

2Q11 VS 2Q12 Net Profit before FX

1,764 1,986+222 or

12.59%

6,296

Baht Million

10

1,764 1,986

222114 267

132159

-

500

1,000

1,500

2,000

2,500

Operation

Performances

NTPC 97

BLCP 95

Rayong 27

ESCO 25

Roi-Et Green 15

EGCOM Tara 8

Expenses Savings

Rayong 37

KEGCO 81

EGCO 44

Conal (30)

New Projects

Quezon 69

SPP2 2

SPP3 12

SPP4 13

GPS 14

NED 48

IMS 1

Decrease in AP

Rayong (37)

KEGCO (185)

2Q11 VS 2Q12 Net Profit before FX Cont.

YoY

+222 or

12.59%

Baht Million

2Q11

Plants Outage

EGCO Cogen (71)

NKCC (43)

2Q12

1,5421,428

1,695

1,827

11

31%

26%14%

13%

5%

1%2%1%2%

2%3%

12

2Q12 Net Profit before FX Breakdown

GPG (KK2) 603 MB

BLCP 726 MB

Quezon 334 MB

NTPC 307 MB

Rayong 117 MB

Roi-Et Green 31 MBESCO 41 MB

GCC, NKCC, SCC, GYG 31 MB

NED 44 MB

GPS, SPP2, SPP3, SPP4 41 MB

Others 70 MBNote: KEGCO (40), EGCO (270), EGCO-Cogen (49)

1,414 1,89373

93

4,310

1,000

2,000

3,000

4,000

5,000

6,000

7,000

1Q12 2Q12

13

1Q12 VS 2Q12 Net Profit before FX

+499 or

33.56%1,487

6,296

1,986

Baht Million

2,897 3,307

81 166

4,310

1,000

2,000

3,000

4,000

5,000

6,000

7,000

8,000

9,000

6M11 6M12

14

6M11 VS 6M12 Net Profit before FX

2,978

7,783

+495 or

16.62%3,473

Baht Million

EGCO & Subsidiaries’ Outstanding Loan

Total Outstanding

As of 30 Jun 2012

USD 673 M

Baht 11,596 M

JPY 419 M

Total Outstanding

(Baht Equivalent) Baht 33,269 M

Total Outstanding

As of 31 Mar 2012

USD 109 M

Baht 9,897 M

JPY 419 M

Baht 13,424 M

2Q12 Quezon as JV 2Q12 Quezon Conso.

Total Outstanding

As of 30 Jun 2012

USD 309 M

Baht 11,596 M

JPY 419 M

Baht 21,634 M

16

0.22 0.21 0.210.25 0.26 0.25 0.25 0.25

0.27

0.56

0.00

0.10

0.20

0.30

0.40

0.50

0.60

0.70

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

Debt/Equity

Times (X)

17

Unit: Baht Million

37,152 66,951

EquityTotal

Liabilities

As of 30 June 2012

0.37

Excluding Quezon’s debt

Company Cash Flow Summary

18

6M12

Beginning Balance of Cash and Cash Equivalents 5,674

Net Cash Received from (Payments in) Operating Activities 266

Net Cash Received from (Payments in) Investing Activities

Investment in subsidiaries & JVs (11,179)

Net cash received from short-term investments 1,575

Dividend received from subsidiaries and JVs 1,870

Cash payment in long-term loans to a related party (465)

Others (387) (8,586)

Net Cash Received from (Payments in) Financing Activities

Proceed from long-term loans from financial institution 6,326

Dividend paid to shareholders (1,447)

Others (206) 4,673

Ending Balance of Cash and Cash Equivalent 2,027

0.00

1.00

2.00

3.00

4.00

5.00

6.00

2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011

Interim Final

Historical Dividend Payment

19

Baht/Share

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.

2.252.50

2.753.00

3.25

4.00

4.755.00

5.25 5.25 5.25

Agenda

� Highlights



20

EGAT

25.41%

TEPDIA

23.94%

Thai Investors

19.35%

Foreign Investors

20.87%

NVDR 10.43%

21

EGCO’s Shareholders

TEPCO

50%

Mitsu-

bishi

50%

As of March 16, 2012

* Nuclear Damage Liability Facilitation Fund

NDF*

50.11%

Others

49.89%

NVDR 10.43%

� As of 30 June 2012, EGCO Group’s portfolio comprised 20 operating power plants and

9 in development, bringing EGCO’s total portfolio to 6,191 MW.

22

EGCO Group’s Power Plants Portfolio

Operating Plants Under Development Plants

4,708 MW 1,483 MW

Power

Plant

Equity

MW

Power

Plant

Equity

MW

Power

Plant

Equity

MW

Rayong 1,232 Quezon 493 NED (Expansion) 3

KEGCO 749 Conal-WMPC 19 GPS (4) 4

BLCP 717 Conal-SPPC 10 TWF 12

EGCO Cogen 94 NTPC (NT2) 380 YEH 28

GPG (KK2) 755 NED 18 Khanom 900

GCC 55 SPP2 8 TJ Cogen 125

NKCC 63 SPP3 8 TP Cogen 125

SCC 63 SPP4 6 SK Cogen 125

GYG 12 SPP5 8 XPCL 161

Roi-Et Green 7 GPS (1-3) 12

47

1,483

900

125 125

125

161

-

500

1,000

1,500

2,000

2,500

MW

23

EGCO Group’s Capacity Growth 2012-2020

TP Cogen

125 MW

Khanom

900 MW

TJ Cogen

125 MW

SK Cogen

125 MWXPCL

161 MWNED Ex. 3 MW

GPS 4 MW

TWF 12 MW

YEH 28 MW

24

Domestic

Prospects

International

Prospects

2H12 Outlook

New Business

Lines

IPP Bidding

2021-2026

5,400 MW

SPP

(Cogen/Renewable)

2012-2027

8,803 MW

Wind Farm

190 MW

Quezon Expansion

500 MW

Power Plant in

Indonesia

Municipal Waste Power Plant

6.5 MW

25

Domestic

Prospects

International

Prospects

EGCO Group’s Opportunities Outlook

New Business

Lines

Strategic

Project

Acquisition

IPP

Bidding

Cross Border Projects

for Imported Power

Renewable

Energy

Development

& Acquisition

Projects in key ASEAN

countries & regional

market

Quezon

Expansion

Integrated energy business

(Local & International)

SPP

Develop

-ment

IPP and Captive

Power Projects

THANK YOUTHANK YOU

26

AppendixAppendix

27

28

Key Financial Data: FX Variance MD&A

2Q11 2Q12 +/-

EGCO 5.44 (40.00) (45.44)

Rayong Power Plant 0.09 (0.04) (0.13)

KEGCO (0.01) 0.01 0.02

EGCO Cogen (4.28) (6.80) 2.52

Roi-Et Green 2.49 (8.10) (10.59)

QPL (1.71) 96.08 97.79

SPP4 - 0.67 0.67

SPP3 - 0.33 0.33

SPP2 - (0.20) 0.20

BLCP (37.58) (123.11) 85.53

GPG (43.41) (87.25) 43.84

GCC, NKCC, SCC, GYG (15.40) (27.63) 12.23

CONAL (0.82) 1.01 1.83

NTPC 78.53 176.87 98.34

NED (5.23) (0.03) (5.20)

Total Power Generation Business (21.89) (18.19) 3.70

ESCO 7.19 (3.00) (10.19)

PEPOI (0.05) (0.35) 0.30

IMS - (0.85) 0.85

Total Other Business 7.14 (4.20) 11.34

Grand Total (14.75) (22.39) 7.64

Key Financial Data: Financial Ratio Highlights

* FX gains/losses from Income Statements including financial cost from foreign currency loans (EGCO & Subs) and JVs 29

2Q11 2Q12

Debt to Equity (Time) 0.25 0.56

Net Debt to Equity (Time) 0.11 0.42

Net Profit before FX* (Million Baht) 1,749 1,986

EPS (Baht) 3.35 3.77

Operating Cash Flow / share (Baht) 2.47 1.38

BV share (Baht) 110.13 125.44

Key Financial Data: Financial Ratio Highlights

* FX gains/losses from Income Statements including financial cost from foreign currency loans (EGCO & Subs) and JVs 30

6M11 6M12

Debt to Equity (Time) 0.25 0.56

Net Debt to Equity (Time) 0.11 0.42

Net Profit before FX* (Million Baht) 2,978 7,782

EPS (Baht) 5.66 6.60

Operating Cash Flow / share (Baht) 2.47 1.38

BV share (Baht) 110.13 125.44

31

Key Financial Data:Segmental Operating Results, Ended June 30, 2011

Total Grand

EGCO

Rayong

power

plant

KEGCOEGCO

Cogen

Roi-Et

GreenSPP4 SPP3 YEH SPP2 QPL BLCP GPG

GCC,

NKCC,

SCC,

GYG

NED CONAL NTPC GPS

Power

GenerationESCO ET PEPOI IMS

Total

Sales of Electricity - 562 594 503 71 - - - - 1,428 - - - - - - - 3,158 - - - - - 3,158

- Capacity Payment - 546 576 60 13 - - - - - - - - - - - - 1,195 - - - - - 1,195

- Energy Payment - 16 18 443 58 - - - - 1,428 - - - - - - - 1,963 - - - - - 1,963

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

Service Income - - - - - - - - - - - - - - - - - - 90 - 62 - 152 152

Cost of Sales 0 424 437 449 34 - - - - 814 - - - - - - - 2,158 - - - - - 2,158

Cost of Services - - - - - - - - - - - - - - - - - - 65 19 37 - 121 121

Gross Profit (0) 139 157 53 38 - - - - 613 - - - - - - - 1,000 25 49 26 - 100 1,099

EBITDA (166) 373 345 84 38 - - - - 613 1,073 950 172 (4) 98 483 - 4,061 22 47 18 - 88 4,149

EBIT (179) 94 112 43 32 - - - - 526 806 720 123 (4) 66 364 - 2,703 18 41 18 - 77 2,780

Net Profit before FX (324) 90 64 23 16 - - - - 273 631 601 75 (4) 48 210 - 1,704 16 27 18 - 0 1,765

Net Profit (319) 90 64 19 19 - - - - 272 593 558 59 (9) 47 289 - 1,681 23 27 18 - 68 1,749

Other Business

Total

Other

Business

2Q11 Power Generation

32

Key Financial Data:Segmental Operating Results, Ended June 30, 2012

Total Grand

EGCO

Rayong

power

plant

KEGCOEGCO

Cogen

Roi-Et

GreenSPP4 SPP3 YEH SPP2 QPL BLCP GPG

GCC,

NKCC,

SCC,

GYG

NED CONAL NTPC GPS

Power

GenerationESCO ET PEPOI IMS

Total

Sales of Electricity - 553 405 288 94 35 45 - 14 1,905 - - - - - - - 3,340 - - - - - 3,340

- Capacity Payment - 510 390 0 13 - - - - - - - - - - - - 914 - - - - - 914

- Energy Payment - 44 14 288 81 35 45 - 14 1,905 - - - - - - - 2,426 - - - - - 2,426

Sales of Water - - - - - - - - - - - - - - - - - - - 74 - - 74 74

Service Income - - - - - - - - - - - - - - - - - - 170 - 67 3 241 241

Cost of Sales - 394 381 334 44 11 14 - 5 1,139 - - - - - - - 2,321 - 20 - - 20 2,342

Cost of Services - - - - - - - - - - - - - - - - - - 117 - 40 2 159 159

Gross Profit - 160 24 (46) 50 24 31 - 10 766 - - - - - - - 1,018 52 54 27 2 136 1,154

EBITDA 4,175 398 197 (3) 45 41 45 (15) 11 775 1,114 931 128 91 83 658 50 8,726 47 49 21 2 119 8,845

EBIT 4,162 121 (35) (40) 40 25 28 (15) 7 630 861 704 63 69 40 550 35 7,246 42 43 21 2 109 7,354

Net Profit before FX 4,054 117 (40) (49) 31 13 12 (15) 2 334 726 603 31 44 18 307 14 6,202 41 35 16 1 0 6,295

Net Profit 4,015 117 (40) (56) 23 14 12 (15) 2 430 602 516 3 44 19 483 14 6,185 38 35 16 0 89 6,273

Power Generation2Q12

Total

Other

Business

Other Business

Net Generation

GWh

Electricity Sales

MM Baht

Rayong Power Plant BLCP KK 2 KEGCO

(Block I)

(Block I)

NT 2

(9 Month)

• 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). 33

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

Operating Performance (IPPs) :

Million Baht

Major Maintenance Expenses for the Year 2011

34

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

35

Quarter Total

Actual Actual Budget Budget

Spare Parts 0.92 17.06 41.20 30.81 89.99

Service Charge 8.18 25.17 65.31 75.66 174.32

Total 9.10 42.23 106.51 106.47 264.31

Quarter Total

Actual Actual Budget Budget

Spare Parts 13.08 37.40 86.17 59.03 195.68

Service Charge 16.07 33.63 95.17 18.70 163.57

Total 29.15 71.03 181.34 77.72 359.25

1 2 3 4

Rayong Power plant

1 2 3 4

KEGCO

Operating Performance (IPPs) : Operating Performance Equivalent Availability Factor

36

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


CCGT #1 99.00 99.95 97.14 98.78 98.91 - 88.16 -

CCGT #2 98.88 99.95 97.89 98.69 90.76 - 97.16 -

CCGT #3 98.38 99.35 79.21 90.89 98.91 - 97.28 -

CCGT #4 99.44 99.87 98.26 98.78 77.72 - 69.10 -

KEGCO


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


Barge #2 91.00 98.76 91.00 99.75 91.00 - 90.85 -

CCGT #3 81.82 86.77 88.60 74.60 88.60 - 86.35 -

2012

Plant Type1Q12 2Q12 3Q13 4Q12

2011


2012


2011


Operating Performance (IPPs) :Net Generation and Fuel Consumption

37

Rayong Power PlantCCGT #1- 4 1Q11 2Q11 3Q11 4Q11 1Q12 2Q12

Net Generation

- By Natural Gas (GWh) 474 592 402 658 1,138 1,101

- 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 9,515,501

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

KEGCOBarge # 2 1Q11 2Q11 3Q11 4Q11 1Q12 2Q12

Net Generation

- By Natural Gas (GWh) 178 237 140 139 141 145

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

Fuel Consumption


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

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

Net Generation

- By Natural Gas (GWh) 1,296 1,202 1,349 1,274 1,192 983

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

Fuel Consumption


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

2012

2012

2011

2011

Presentation 1Q12 FINAL · 8/21/2012 · Operation Performances NTPC 97 BLCP 95 Rayong 27 ESCO 25...

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