Gunkul Engineering Public Company Limited Opportunity Day 12 September 2018
Content I. Company Overview II. Financial Highlight III. Investment Highlights IV. Industry Outlook V. Projects Update 2 Strictly Private and Confidential
Section I: Company Overview
Gunkul Overview Gunkul Engineering PLC (“Gunkul”) operates across the entire renewable energy value chain Founded in 1982 as an electrical equipment trader. Gunkul later Reliable manufacturer and supplier of over 5,000 electrical expanded into manufacturing, EPC business, and filed for IPO in 1 equipment and products 2010 to grow its renewable generation business Trader, manufacturer and EPC contractor: Complete value chain business model provides end-to-end solution in the development of renewable energy projects Arrester Disconnecting SF6 gas switch Low-voltage Renewable energy power producer: Power projects with Switch switch contracted capacity (1) of 546.1 equity MW in Thailand, Reputable one-stop renewable energy EPC and O&M 2 Myanmar, Japan and Malaysia (approx. 64% solar, 34% wind, service provider with over 15% market share in Thailand and 2% gas). As of Q2 2018, we have ~282.7 equity MW in operation Approx. US$ 665.92 Million market capitalization as of 31 July 2018 (SET:GUNKUL Gunkul Shareholders (2) Others Thai NVDR 37.4% 2.2% Bua Luang Long Term World-class renewable energy projects with a visible and 3 Equity Fund robust pipeline across Asia Gunkul Group (3) (4) 2.2% 49.8% UOB Kay Hian (HK) 2.9% Siam Commercial Bank 3.1% Mr. Gunkul Dhumrongpiyawut 4.2% Notes: (1) Including operational, under construction, and secured pipeline. (2) As of July 2018 (3) Gunkul Group is a holding company with the Dhumrongpiyawut family owning 99.6% of the Group (4) Dhumrongpiyawut family accounts for 54.0% of Gunkul 4 Strictly Private and Confidential
From Equipment Trading to Renewable Energy Gunkul transformed itself from a trading company with volatile earnings to a renewable energy player that has stable cashflow and high margins Target to 1 st wind project Solar PV module manufacturing achieve 1,000 contracted 1 of 4 manufacturers in Thailand 100 Secured PPA for Founded as an equity MW by producing solar PV modules under Thai 60MW Wind Energy electrical 2020 Industrial Standard Initial Public Offering Development (WED) equipment trader 2013 1982 1992 2010 2011 2012 2014 2015 2017 2018 Entered into renewable 1 st gas engine power plant 1 st Japan Solar Project 1 st Solar Rooftop 1 st Malaysia Set up factory Wind project MOU in energy Myanmar for Private PPA Solar Project sector as EPC and O&M manufacturing contractor 25MW gas engine power 31.8MW solar power Signed MOU with plant in Myanmar (GKMCP) plant in Japan (Sendai) Structured the 29.99 MW or Myanmar Ministry of Supplied and set up Solar Rooftop 20.99 Equity MW Electric Power to develop Thailand’s business to be solar power plant 1,000MW Wind Project Solar roof business Private PPA in Malaysia first wind turbine for EGAT which the off- Expanded into solar roof 1 st solar project taker are business along with reputable reputable partners Secured PPA for 30.9MW companies Gunkul Chubu Powergen (GCPG) Gunkul’s EBITDA from Renewable Power is Expected to Increase from 86% in 2017 to 88% and 92% by 2018 and 2019 2017 EBITDA Breakdown 2018F EBITDA Breakdown 2019F EBITDA Breakdown 14% 11% 8% 86% 89% 92% Note: Renewable Power Generation 5 Based only on the secured 513.1 equity MW in our portfolio and only 371.3MW to be COD by 2019 Trading & EPC Strictly Private and Confidential
High Quality Renewables Asset Portfolio Solar Farm ( 207.1 MW) Gas-Fired Plant ( 12.8 MW) Under Construction ( 4 Projects) Fully COD ( 1 Projects) Total Gross / Equity (MW) 25.0 / 12.8 Total Gross /Equity (MW) 207.1 / 207.1 JAPAN MYANMAR Type Scheme Thailand Japan Malaysia Myanmar Total Solar Farm ( 96.1 MW) Feed in Tariff 68.9 207.1 21.0 - 297.0 Adder 27.2 - - - 27.2 Fully COD ( 6 Projects) Feed in Tariff - - - - - THAILAND Total Gross / Equity (MW) 157.9 / 96.1 Adder 170.0 - - - 170.0 Feed in Tariff - - - 12.8 12.8 Wind Farm ( 170.0 MW) Adder - - - - - Feed in Tariff 2.8 - - - 2.8 Fully COD ( 2 Projects) Adder - - - - - Total Gross / Equity (MW) 120.0 / 120.0 Private PPA 36.3 - - - 36.3 Under Construction ( 1 Project) Total 305.2 207.1 21.0 12.8 546.1 Total Gross / Equity (MW) 50.0 / 50.0 MALAYSIA Solar Rooftop ( 2.8 MW) Fully COD (9 Projects) Total Gross / Equity (MW) 5.5 / 2.8 Private PPA Solar Rooftop ( 36.3 MW) Fully COD ( 1 Project) Solar Farm ( 20.99 MW) Total Gross / Equity (MW) 1.0 / 1.0 Under Construction ( 1 Projects) Under Construction ( 3 Projects) Total Gross / Equity (MW) 29.99 / 20.99 Total Gross / Equity (MW) 35.3 / 35.3 6 Note: (1) The figure is as of 16 Aug, 2018 Strictly Private and Confidential
Vision: T o Become an Asia’s Leading Renewables Company Gunkul will continue to grow in Renewable Business to transform itself into a company with stable income and high margin 169,305 THB Million (1) Expand EPC business into Transmission Line & Substation 1. PEA’s Outstanding Project (2019-2023) sectors which support Thailand Electrical System PEA in Transmission Line & Substation By 2020, step to secure 1,000MW by increasing 2. Others Total (MW) 472 207 121 100 113 capacity through domestic and international Existing (MW) 272 207 21 - 13 Potential deal (MW) 200 - 100 100 100 Enhance Company’s Growth by entering into a Private Reputable Department Stores 3. Industrial / Companies Producer Segment Embrace new technology to drive growth and expose new 4. opportunities to invest in next step, including small scale Smart Living by Gunkul customers Notes: (1) https://www.pea.co.th/Portals/0/Document/cpd/60-4%20PEA%20Website.pdf 7 Strictly Private and Confidential
Section II: Financial Highlights
Financial Position Total Assets, Liabilities, and Equities IBD / Equity 0.19x 0.68x 0.85x 1.37x 1.70x 2.4x 0.8 1.2 0.8 1.0 0.8 1.0 Current Ratio THB MM 35,122 35,122 1,392 3,031 30,377 30,377 3,958 2.41x 2,489 30,000 1,049 3,157 25,596 25,596 4,338 3,310 Mainly decrease in accounts 2,468 receivable and inventory due 4,822 to the decrease in EPC 3,605 1.70x service revenue 18,815 18,815 20,000 2,000 19,553 1.37x 3,930 13,516 3,497 8,562 29,771 2,678 2,442 24,991 0.85x 3,369 10,000 0.68x 463 592 19,523 663 7,239 7,239 484 1,507 12,641 4,580 4,580 2,261 1,078 1,151 9,803 9,749 9,385 225 405 8,590 20 663 1,098 447 178 0.19x 212 4,654 3,257 3,360 3,121 0 Assets Assets Liabilities Assets Liabilities Assets Liabilities Assets Liabilities Assets Liabilities Liabilities &Equity &Equity &Equity &Equity &Equity &Equity 2013 2014 2015 2016 2017 2Q2018 Other Non- Cash Other Current Assets Non-Current Assets Current Debt Other Current Liabilities Non-Current Debt Total Equity Current Liabilities Total Interest Bearing Debt / Equity (times) 9 Strictly Private and Confidential
Revenue Breakdown & Earnings Breakdown by Business Unit EBIT 54% 24% 22% 39% 36% 38% 33% Margin Net Profit 42% 18% 15% 19% 15% 22% 13% Margin 52% Decrease in EPC service Decrease in Trading Revenue THB MM revenue while EBITDA while Power Generation *Normal Operation Margin and Net Profit Margin Revenue, which has higher 29.5% include Gain on disposal EBITDA Margin and Net Profit investment in Gunkul Chubu Margin, has increased Powergen (“GCPG”) 6,000 Manufacturing and Trading Revenue EPC and O&M Revenue Power Generation Revenue 4,855 5,000 4,460 EBIT Net Profit 1% 4,000 14% 32% 3,367 2,976 3,000 1% 2,767 27% 2,045 2,194 85% 43% 49% 35% 2,000 1% 31% 34% 1,436 35% 868 615 44% 712 816 1,000 541 674 42% 478 50% 63% 42% 359 +749 25% 24% 21% 67 0 Revenue EBIT Net Profit Revenue EBIT Net Profit Revenue EBIT Net Profit Revenue EBIT Net Profit Revenue EBIT Net Profit Revenue EBIT Net Profit Revenue EBIT Net Profit 2013 2014 2015 2016 2017 6M 6M 2017 2018 10 Strictly Private and Confidential
Revenue Breakdown & Earnings Breakdown by Business Unit EBIT 54% 24% 22% 39% 36% 31% 17% Margin Net Profit 42% 18% 15% 19% 15% 16% 2% Margin Decrease in EPC service Decrease in Trading Revenue THB MM revenue while EBITDA while Power Generation Margin and Net Profit Margin Revenue, which has higher include Gain on disposal EBITDA Margin and Net Profit investment in Gunkul Chubu Margin, has increased Powergen (“GCPG”) 6,000 Manufacturing and Trading Revenue EPC and O&M Revenue Power Generation Revenue 4,855 5,000 4,460 EBIT Net Profit 1% 4,000 14% 32% 3,367 2,976 3,000 1% 2,767 27% 2,045 2,194 85% 43% 49% 35% 2,000 1% 31% 34% 35% 868 615 44% 712 1,000 541 674 42% 688 50% 478 63% 42% 359 25% 67 24% 21% 0 Revenue EBIT Net Profit Revenue EBIT Net Profit Revenue EBIT Net Profit Revenue EBIT Net Profit Revenue EBIT Net Profit Revenue EBIT Net Profit Revenue EBIT Net Profit 2013 2014 2015 2016 2017 6M 6M 2017 2018 11 Strictly Private and Confidential
Recommend
More recommend
