Transcript www.iglonline.net

WELCOME TO THE PRESENTATION
ON PERFORMANCE OF
INDRAPRASTHA GAS LIMITED
NOV 05
NATURAL GAS FOR CLEAN & GREEN ENVIRONMENT
1
11
Increase in Sales in Q2

CNG sales volume increased by 9.4% from Q1 FY’06 to Q2 FY’06

PNG sales volume increased by 15.9% from Q1 FY’06 to Q2 FY’06

Overall sales value increased by 17.5% from Q1 FY’06 to Q2 FY’06
Particulars
CNG
F.Y. 2005-06
Q1
Rs. (Lakhs)
Qty. (Lak h Kgs.)
PNG
Rs. (Lakhs)
Qty. (Lak h SCM)
Total
F.Y. 2005-06
Q2
Increase
%
12,269.30
14,336.50
16.8%
740.00
809.71
9.4%
888.50
1,118.74
25.9%
55.38
64.21
15.9%
13,157.80
15,455.24
17.5%
NATURAL GAS FOR CLEAN & GREEN ENVIRONMENT
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Increase in Margin

Gross Profit increased by 19.9% from Q1 FY’06 to Q2 FY’06

Operating Profit increased by 23.0% from Q1 FY’06 to Q2 FY’06

Net Profit After Tax (PAT) increased by 33.5% from Q1 FY’06 to Q2
FY’06
Particulars
F.Y. 2005-06
Q1
Rs. (lakhs)
F.Y. 2005-06
Q2
Rs. (lakhs)
Increase
%
Q on Q
Gross Profit
6,194.50
7,424.33
19.9%
Net Profit before Depreciation Interest
& Taxes (EBDITDA)
4,453.90
5,478.42
23.0%
Net Profit after Tax (PAT)
2,024.30
2,702.51
33.5%
NATURAL GAS FOR CLEAN & GREEN ENVIRONMENT
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Increase in Sales Q 2

CNG sales volume increased by 8.0% from Q2 FY’05 to Q2 FY’06

PNG sales volume increased by 82.9% from Q2 FY’05 to Q2 FY’06

Overall sales value increased by 18.5% from Q2 FY’05 to Q2 FY’06
Particulars
CNG
F.Y. 2004-05
Q2
Rs. (Lakhs)
Qty. (Lak h Kgs.)
PNG
Rs. (Lakhs)
Qty. (Lak h SCM)
Total
F.Y. 2005-06
Q2
Increase
%
12,458.48
14,336.50
15.1%
749.39
809.71
8.0%
582.35
1,118.74
92.1%
35.10
64.21
82.9%
13,040.83
15,455.24
18.5%
NATURAL GAS FOR CLEAN & GREEN ENVIRONMENT
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Increase in Margin

Gross Profit increased by 15.1% from Q2 FY’05 to Q2 FY’06

Operating Profit increased by 15.3% from Q2 FY’05 to Q2 FY’06

Net Profit After Tax (PAT) increased by 28.7% from Q2 FY’05 to Q2
FY’06
Particulars
F.Y. 2004-05
Q2
Rs. (lakhs)
F.Y. 2005-06
Q2
Rs. (lakhs)
Increase
%
Y on Y
Gross Profit
6,449.67
7,424.33
15.1%
Net Profit before Depreciation Interest
& Taxes (EBDITDA)
4,749.53
5,478.42
15.3%
Net Profit after Tax (PAT)
2,100.29
2,702.51
28.7%
NATURAL GAS FOR CLEAN & GREEN ENVIRONMENT
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Comparative Profit & Loss Account
S.No.
Par ticular s
Financial Ye ar
2005-06
Q2
Budge t
Am ount
Financial Ye ar
2005-06
Q2
Unaudite d
%
Am ount
of Sale s
Rs . In Lak hs
Financial Ye ar
2004-05
Financial Ye ar
2005-06
Q1
Unaudite d
%
Am ount
of Sale s
Audite d
%
Am ount
of Sale s
%
of Sale s
Sale s Quantity
788.36
-
809.71
-
740.00
-
2,977.29
-
82.40
-
64.21
-
55.38
-
152.01
-
CNG( In Lakhs Kgs.)
8.57
-
8.80
-
8.13
-
8.16
-
PNG (In Lakhs Scm)
0.90
-
0.70
-
0.61
-
0.42
-
CNG (Qty In La k hs Kgs.)
PNG (Qty In La k hs Scm.)
Ave r age Sale s Pe r Day
Sale s Value
1
CNG
13,325.15
2
PNG
1,289.33
3
Total Tur nove r (1+2)
4
Other Income
5
Total Incom e (3+4)
B
M anufactur ing Expe ns e s
6
Cost Of Gas
5,119.36
35.0%
5,987.01
38.7%
5,210.00
39.6%
18,936.69
36.4%
7
Excise Duty
1,903.61
13.0%
2,045.65
13.2%
1,754.30
13.3%
7,017.70
13.5%
8
(Increase)/Decrease In Stock
-
(1.75)
-
(1.00)
-7.88
-
9
Total( 6+7+8)
7,022.97
-
8,030.92
52.0%
6,963.30
52.9%
25,946.51
-
10
Gr os s Pr ofit (5-4-9)
7,591.51
51.9%
7,424.33
48.0%
6,194.50
47.1%
26,075.35
50.1%
11
2,634.02
18.0%
2,048.29
13.3%
1,821.90
13.8%
7,629.46
14.6%
12
Ope r ating Expe ns e s
Pr ofit Be for e De p., Intt. &
Taxe s EBDITDA (10-11+4)
5,034.75
34.5%
5,478.42
35.4%
4,453.90
33.8%
19225.28
37.0%
13
Depreciation
1,391.88
9.5%
1,377.79
8.9%
1,335.00
10.1%
4,803.30
9.2%
14
Interest
57.51
0.4%
63.61
0.4%
66.60
0.5%
308.90
0.7%
15
Pr ofit Be for e Tax (PBT)
24.5%
4,037.02
26.1%
3,052.30
23.2%
14113.08
27.1%
14,614.48
77.25
14,691.73
-
3,585.36
91.2%
8.8%
-
14,336.50
92.8%
12,269.30
93.2%
49,418.38
95.0%
1,118.74
7.2%
888.50
6.8%
2,603.48
5.0%
15,455.24
0.5%
-
102.39
13,157.80
0.7%
15,557.63
81.30
52,021.86
0.6%
13,239.10
779.39
1.5%
52,801.25
-
(12-13-14)
16
Taxe s
1,317.15
9.0%
1,334.51
8.6%
1,028.00
7.8%
4,844.57
9.3%
17
Ne t Pr ofit Afte r Tax (PAT)
2,268.21
15.5%
2,702.51
17.5%
2,024.30
15.4%
9,268.51
17.8%
(15-16)
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Comparative Profit & Loss Account
S.No.
Particulars
Financial Ye ar
2005-06
Q2
Financial Ye ar
2005-06
Q2
Financial Ye ar
2004-05
Q2
Budge t
Unaudite d
Unaudite d
Am ount
%
Am ount
of Sale s
%
Am ount
of Sale s
Rs . In Lak hs
Financial Ye ar
2004-05
Audite d
%
Am ount
of Sale s
%
of Sale s
Sale s Quantity
788.36
-
809.71
-
749.39
-
2,977.29
-
82.40
-
64.21
-
35.10
-
152.01
-
CNG( In Lakhs Kgs.)
8.57
-
8.80
-
8.15
-
8.16
-
PNG (In Lakhs Scm)
0.90
-
0.70
-
0.38
-
0.42
-
CNG (Qty In La k hs Kgs.)
PNG (Qty In La k hs Scm.)
Ave rage Sale s Pe r Day
Sale s Value
1
CNG
13,325.15
2
PNG
1,289.33
3
Total Turnove r (1+2)
4
Other Income
5
Total Incom e (3+4)
B
M anufacturing Expe ns e s
6
Cost Of Gas
5,119.36
35.0%
5,987.01
38.7%
4,818.15
36.9%
18,936.69
36.4%
7
Excise Duty
1,903.61
13.0%
2,045.65
13.2%
1,773.40
13.6%
7,017.70
13.5%
8
(Increase)/Decrease In Stock
-
(1.75)
-
(0.39)
-
-7.88
-
9
Total( 6+7+8)
7,022.97
-
8,030.92
52.0%
6,591.16
50.5%
25,946.51
-
10
Gros s Profit (5-4-9)
7,591.51
51.9%
7,424.33
48.0%
6,449.67
49.5%
26,075.35
50.1%
11
2,634.02
18.0%
2,048.29
13.3%
1,769.80
13.6%
7,629.46
14.6%
12
Ope rating Expe ns e s
Profit Be fore De p., Intt. &
Taxe s EBDITDA (10-11+4)
5,034.75
34.5%
5,478.42
35.4%
4,749.53
36.4%
19225.28
37.0%
13
Depreciation
1,391.88
9.5%
1,377.79
8.9%
1,178.58
9.0%
4,803.30
9.2%
14
Interest
57.51
0.4%
63.61
0.4%
80.26
0.6%
308.90
0.7%
15
Profit Be fore Tax (PBT)
24.5%
4,037.02
26.1%
3,490.69
26.8%
14113.08
27.1%
14,614.48
77.25
14,691.73
-
3,585.36
91.2%
8.8%
-
14,336.50
92.8%
12,458.48
95.5%
49,418.38
95.0%
1,118.74
7.2%
582.35
4.5%
2,603.48
5.0%
15,455.24
0.5%
-
102.39
13,040.84
0.7%
15,557.63
69.65
52,021.86
0.5%
13,110.49
779.39
1.5%
52,801.25
(12-13-14)
16
Taxe s
1,317.15
9.0%
1,334.51
8.6%
1,390.40
10.7%
4,844.57
9.3%
17
Ne t Profit Afte r Tax (PAT)
2,268.21
15.5%
2,702.51
17.5%
2,100.29
16.1%
9,268.51
17.8%
(15-16)
NATURAL GAS FOR CLEAN & GREEN ENVIRONMENT
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Ratios
S.No.
Ratios
F.Y. 2005-06
Q2
F.Y. 2005-06
Q1
F.Y. 2004-05
1
Gross Profit Ratio (%)
48.0
47.1
50.1
2
Operating Profit Ratio (%)
(EBITDA)
34.8
33.2
35.5
3
Net Profit Ratio (%)
17.4
15.3
17.6
4
Earning Per Share(In Rs.)
1.93
1.45
6.62
5
Book Value Per Share (In Rs.)
25.7
23.8
22.3
NATURAL GAS FOR CLEAN & GREEN ENVIRONMENT
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Ratios
S.No.
Ratios
F.Y. 2005-06
Q2
F.Y. 2004-05
Q2
F.Y. 2004-05
1
Gross Profit Ratio (%)
48.0
49.5
50.1
2
Operating Profit Ratio (%)
(EBITDA)
34.8
35.9
35.5
3
Net Profit Ratio (%)
17.4
16.0
17.6
4
Earning Per Share(In Rs.)
1.93
1.50
6.62
5
Book Value Per Share (In Rs.)
25.7
20.9
22.3
NATURAL GAS FOR CLEAN & GREEN ENVIRONMENT
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GROWTH IN CNG SALES
1999 2000
2000 2001
2001 2002
2002 2003
2003 2004
20042005
20052006
(Lakh kgs /
day)
0.08
0.48
2.67
5.66
7.72
8.16
8.53 **
Compression As on
(Lakh kgs /
Capacity
Year End day)
0.20
1.92
5.82
11.99
16.13
16.88
18.21**
120
134
139**
PARAMETER
AS ON
Daily
Average
CNG Sale
UNIT
No of CNG
Stations
As on
Nos
Year End
30
68
94
107
No of CNG
Vehicles
As on
Nos
Year End
5,200
26,350
57,240
79,123
4
24
52
87
As on
Nos of
Nos
compressors Year End
90,591 94,246 104886**
116
123
139**
** As on 1st Nov 2005
NATURAL GAS FOR CLEAN & GREEN ENVIRONMENT
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10
10
CNG Sales Growth
Lakhs Kgs per day
10.00
7.72
8.00
8.16
8.53*
5.66
6.00
2.67
4.00
2.00
0.00
2001- 2002- 2003- 2004- 20052002 2003 2004 2005 2006
* As on 1st November’2005
NATURAL GAS FOR CLEAN & GREEN ENVIRONMENT
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11
Growth in CNG vehicle population
Figures in Numbers
120000
100000
80000
60000
40000
20000
0
90591 94246
79123
104886*
57240
20012002
2002- 20032003 2004
2004- 20052005 2006
* As on 1st November’2005
NATURAL GAS FOR CLEAN & GREEN ENVIRONMENT
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12
12
Growth in Compression Installed Capacity
Lakhs Kgs per day
20
16.13
15
10
16.88
18.21*
11.99
5.82
5
0
2001- 2002- 2003- 2004- 20052002 2003 2004 2005 2006
* As on 1st November’2005
NATURAL GAS FOR CLEAN & GREEN ENVIRONMENT
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13
13
CNG Stations’ Growth
Figures in Numbers
150
94
107
120
134
139*
100
50
0
2001- 2002- 2003- 2004- 20052002 2003 2004 2005 2006
* As on 1st November’2005
NATURAL GAS FOR CLEAN & GREEN ENVIRONMENT
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14
Growth of CNG & PNG Sale
Figures in MMSCM
1999 2000
TOTAL CNG
SALE(MMSCM)
TOTAL PNG
SALE (MMSCM)
TOTAL SALE
(MMSCM)
TOTAL DAILY
AVERAGE SALE
(MMSCM)
2000 2001
2001 2002
2002 2003
2003 2004
2004 2005
2005 2006 *
3.76
21.75
121.81
266.41
367.30
387.05
204.33
3.25
5.35
5.93
7.17
10.88
16.14
11.96
7.01
27.10
127.74
273.58
378.18
403.19
216.28
0.02
0.07
0.35
0.75
1.03
1.10
1.18
* Upto 30 Sep 2005
NATURAL GAS FOR CLEAN & GREEN ENVIRONMENT
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15
Growth of CNG Vehicles
Figures in numbers
1st April 1st April 1st April
2000
2001
2002
1st April 1st April 1st April 1st Nov
2003
2004
2005
2005
Buses
18
400
4231
8874
10199
10480
10761
Auto
0
14000
35678
49810
59027
62048
63962
RTV
0
250
2165
4934
5267
5469
5258
Others
5182
11700
15166
15505
16098
16249
24905
Total
5200
26350
57240
79123
90591
94246
104886
Source : Transport Department
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16
Growth of CNG Vehicle
Figures in numbers
80000
60000
1st April 2000
1st April 2001
1st April 2002
40000
1st April 2003
20000
1st April 2004
1st April 2005
1st Nov 2005
0
B uses
A uto
RT V
Other s
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17
CNG Station Network
Figures in numbers
STATION
IGL
DTC
BPCL
IOCL
HPCL
IBP
TOTAL
MOTHER
39
23
0
0
0
0
62
ONLINE
14
0
7
9
4
5
39
DAUGHTER
0
0
1
2
1
0
4
DAUGHTER
BOOSTER
6
0
13
5
7
3
34
TOTAL
59
23
21
16
12
8
139
As on 1st November 2005
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18
Reduction in Measurement losses
15%
10.4%
10%
4.0%
4.3%
5%
4.5%
3.5%
2.2%*
0%
FY'-01
FY'02
FY'03
FY'04
FY'05
FY'06
* As on 1st November 2005
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19
Growth of PNG users
Figures in numbers
CATEGORY
April-03 April-04 April-05
1st Nov
2005
April-01
April-02
Domestic
2821
4111
7719
15245
23307
35900
Small
Commercial
15
37
72
100
140
174
Large
Commercial
5
5
11
18
30
37
Total
2841
4153
7802
15363
23477
36111
NATURAL GAS FOR CLEAN & GREEN ENVIRONMENT
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20
20
Capex
Rupees in Million
6000
5085
4627
3883
4000
2468
1455
2000
0
FY'05
FY'04
FY'03
FY'02
FY'01
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21
ROCE & RONW
26
28
33
31
30
40
28
Value in %
6
4
20
3
1
30
10
0
FY'05
FY'04
FY'03 FY'02
ROCE
FY'01
RONW
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Payouts :Dividend Policy
Dividend Policy provides liberal payout
Track record
Year
% of equity
payout as % of NP
FY03
5
13.0
FY04
15
25.5
FY05
20
30.2
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23
Shareholding pattern
As on 30/09/05
Promoters
Foreign Institution Investors
6
13
45
5
M utual Funds
Government of NCT of Delhi
10
21
Indian Financial Institutions &
Banks
Public / Others
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24
Revenue Mix of IGL
CNG
4%
94%
1%
1%
Large
commercial
Small commercial
Household
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Cost of CNG Vs Petrol & Diesel
Operating Cost Rs. /KM
3 Rs
2.9
2.5
2
1.9
CNG
Diesel
Petrol
1.5
1
0.86
0.5
0
CNG Diesel
Petrol
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26
New Markets - growth


IGL has been given the final NOC to participate
in the development of infrastructure for
marketing of CNG and PNG in the markets of
Greater Noida and Ghaziabad.
We have also been invited to participate in
Sonipat and Panipat markets. We have yet to do
the DFR study.
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Growth Strategy of IGL
Capitalize on the future regulatory initiatives for CNG business
Improve penetration of PNG business :

Focus on area surrounding existing CNG infrastructure

Target large consumers (Residential complex, industrial estate)

Penetration of network at marginal capital outlay
Tap industrial demand by supply of R-LNG at market driven
price to industrial customers
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Growth Strategy of IGL

Recently We have signed MOU with BPCL for supply of
R-LNG for our industrial customers.

Supply of CNG to Railways : Pilot project successful

Created a platform wherein LCV can get financed from
bankers on CNG kits
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Risks & Mitigations

Gas Price Increase




Adverse Regulatory Intervention




Recent increase already passed on to customers
CNG price still remains competitive vis-à-vis petrol and diesel
Any future increase can also be dealt with in the same way
Unlikely in near future
May result in legal monopoly
May also be advantageous for expansion in neighbouring towns
Availability of Gas


Firm allocation from Govt. of India
New discoveries, LNG and Pipe Gas from Myanmar and Iran
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DISCLAIMER: This presentation contains forward-looking statements
which may be identified by their use of words like “plans,” “expects,” “will,”
“anticipates,” “believes,” “intends,” “projects,” “estimates” “discussions” or
other words of similar meaning. All statements that address expectations or
projections about the future, including, but not limited to, statements about
the strategy for growth, product development, market position,
expenditures, and financial results, are forward-looking statements.
Forward-looking statements are based on certain assumptions and
expectations of future events. The companies referred to in this
presentation cannot guarantee that these assumptions and expectations
are accurate or will be realised. The actual results, performance or
achievements, could thus differ materially from those projected in any such
forward-looking statements. These companies assume no responsibility to
publicly amend, modify or revise any forward looking statements, on the
basis of any subsequent developments, information or events, or
otherwise.
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THANK YOU
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