GE T&D Q4FY17 Concall Summary

Financial Highlights

• 11.5 billion worth order intake realized in the fourth quarter with a growth of 5%
• Overall yearly growth of 28% realized in terms of order intake
• 27% YoY growth in Sales for the fourth quarter and 23% growth over the year
• Overall PAT growth of 71% from 270 million last year to 461 million for the quarter.
• Total loss of 867 million was realized over the year compared to a profit of 345 million last year
• Recommendation from Board to provide a dividend of 90% of face value (Rs. 1.8 per share)

 Perspective on T&D market

• Holding back from fresh CAPEX
• No new plants foreseen in the near future, especially thermal plants.
• Impact of GST – Expecting improvements due to positive steps taken by Government of India and RBI on NPA of the banks and banking ordinance.

Discoms

• UDAY Scheme takes care of losses
• Pressures building up from regulatory commissions for improvement in performance and making their balance sheets self sustaining
• Expected CAPEX for improvement of networks

Renewable Segment

• Additional focus on Solar and Wind
• Expected to be implemented as per plan by the Government of India and MNRE.
• Solar tariffs are at an all-time low

Key events in last financial year

• Successfully commissioned Pole-1 of Phase-1 of Champa 800kV HVDC project
• Power grid project for 765 kV bay extension in Phagicommissioned at record time
• Tata Power’s 70 MW solar project at Bhadla
• 110kV GIS S/S in Kollam along with 16 km cable line
• Delivered 200 units of 765kV shunt reactor
• Commissioned greater than 1200 bays of novel Substation Automation System

Order Book

• First of its kind 765 kV GIS S/S for BGR Energy
• Hardoi S/S near Lucknow for UPPTCL
• A TATA Project, NTPC Super Thermal Power Project in Telangana, Electrical BoP of GIS and AIS
• Power Grid
  • 765 kV, 400 kV AIS S/S extension in Jharsuguda
  • 80 MVAR 765kV Shunt Reactor supply for Champa and Gaya
  • 400 kV S/S for CSPTCL in Chattisgarh
  • Solar Power Projects like ReNew Power and Inox

Future Strategic perspective

• Consolidation and Cost Optimization of T&D business
• Penetration into newer areas of demand with high margin businesses
• Leveraging opportunities on Tier-2 countries and neighboring countries like Nepal, Bhutan, Sri Lanka, and Bangladesh etc.
• Moving into Renewable sector, which is a promising prospect in India

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Q4FY17 Investor ppt

Q4FY17 Investor ppt