Professional Documents
Culture Documents
Reuni
Reuni
Reuni
January 2013
Light Holdings
100% Lightcom
Comercializadora de Energia S.A.
100%
100%
Distribution
Generation
Institutional
System
Electric Vehicles
Rankings
Among the largest players in Brazil
Integrated Net Revenues 2011 R$ Billion
15.8 12.8 9.8 7.8 6.2 5.4 29.139 25.593 22.932
Cemig
CPFL
Neoenergia
Copel
Light
Energias do Brasil
CPFL
Cemig
Eletropaulo
Neoenergia
Copel
Light2
Souce: Companies reports Note: 1 Captive market + free clients 2 It doesnt consider the consumption of CSN and CSA
Shareholders Structure
BTG PACTUAL 14.29% 2.74% 28.57% 5.50% 28.57% VOTORANTIM 5.50% 28.57% 5.50% PARATI MINORITY SHAREHOLDERS 3.20% 0.42% 96.80% REDENTOR ENERGIA 100% 13.03% 100% 25.64%* 75% 19.23% 25% 6.41% FIP REDENTOR CEMIG
SANTANDER
BANCO DO BRASIL
FOREIGN 57.02%
NATIONAL 42.98%
CEMIG 26.06%
LEPSA
BNDESPAR 13.46%
MARKET 34.41%
Free Float 47.9% Light S.A. (Holding) Percentage in blue: indirect stake in Light
*12.61% (RME) + 13.03%(LEPSA)
Corporate Governance
General Assembly Fiscal Council Board of Directors
Finances Committee
Management Committee
Chief HR Officer
Andreia Ribeiro Junqueira
LGSXY
ADR-OTC
5
Distribution Business
6th largest energy distribution company in Brazil (2011)
LIGHT
4.0 million clients (serving 10 million people) Energy sales (2011) 22.932 GWh 70% of the consumption of Rio de Janeiro state (Brazils 2nd GDP)
Energy Consumption
Distribution
ELECTRICITY CONSUMPTION TOTAL MARKET (GWh) - Quarter
+3.2% +3.5%
4.989
5.144
5.299
5.486
OTHERS 15%
FREE 15%
INDUSTRIAL 7%
21.7C
22.1C
21.7C
22.4C
3Q09
3Q10
3Q11
3Q12
COMMERCIAL 30%
RESIDENTIAL 33%
Note: To preserve comparability in the market approved by ANEEL in the tariff adjustment process. the billed energy of the free customers Valesul, CSN and CSA were excluded in view of these customers planned migration to the Basic Network.
Total Market
ELECTRICITY CONSUMPTION (GWh) TOTAL MARKET 3rd QUARTER
+3.5%
5.299 740
-4.3% +13.3%
5.486 840
1.882
1.801
+1.7%
1.595 155
1.807 180
+4.6%
4.645
3Q11
3Q12
3Q11
3Q12
3Q11
3Q12
RESIDENTIAL
INDUSTRIAL
COMMERCIAL
OTHERS
TOTAL
CAPTIVE
FREE
Others R$ 1.9 bn 0.9% Olimpic Facilities R$ 8.6 bn 4.1% Transformation Industry R$ 40.5 bn 19.1%
-Petrobras (15MW) -CSN (100MW) -Gerdau (30MW) -Usiminas (20MW) -LLX (40MW) -Base Naval(25MW) -Hotel Comfort (3MW) -Gerdau (90MW) -Shop.CampoGde(3MW) - Rolls Royce (3MW)
Rio de Janeiro
-Bio Manguinhos (ND) -Hermes (3MW) -Votorantin (ND) -Ongoing (ND) -Bunge (ND) -AMBEV (2MW) -GE (6MW) -Shop. Metropolitano (10MW)
-Maracan (ND) -Porto Maravilha (ND) -Morar Carioca (ND) -Aeroporto Tom Jobim (5MW) -Estaleiro Inhauma (ND) -Atento (2MW) -Expanso Nova Amrica (4MW) -Expanso Norteshopping (3MW)
-Shopping Village Mall (7MW) - Edifcio Tishman Speyer (5MW) - Expanso Via Parque (2MW) - Casa Granado (3.5MW) - Hospital So Lucas (4MW) - Metr Ipanema (8MW) - Flow Serve (11MW) - Alog Data Center (12MW)
10
Collection
97.7% 97.8%
93.0%
96.3%
102.2% 99.7%
106.2%
TOTAL Total
RETAIL Varejo
Sep/11
Sep/12
3Q11
3Q12
11
Loss prevention
LOSS (12 MONTHS)
43.1% 42.2% 40.7% 40.4% 41.2% 33.8% 7.839 8.047
Reflects exclusion of long term delinquent customers from the billing system, according to Resolution 414 by Aneel.
7.627
7.582
7.665
5.229
5.247
5.316
5.457
5.615
2.328 Sep/11
2.335
2.349 Mar/11
2.381
2.432
63% 37%
Dec/11
Jun/11
Sep/12
Technical losses GWh Non% Non-technical losses / LV Market - Regulatory Risky Area NonNon-Risky Area
12
Actual grid
Medium voltage
Shielded grid
Centralized meter Medium voltage Low voltage
Low voltage
3m
Mechanical Meter
9m
Display
13
Monitoring, reading, cutting and reconnection of customers telemetry MCC (Measuring Center Centralized) Prioritization in areas of high losses and aggressiveness to the network Technology hindering interference in networks inappropriate
72 2010
INDIVIDUAL (ITRON)
2011
Sep /12
CENTRALIZED (LANDIS GYR. CAM and ELSTER)
14
15
16
17
ENERGY SAVED 100 kWh LOST ENERGY 200 kWh BILLED CONSUMPTION 100 kWh BILLED CONSUMPTION INCREASE 100 kWh
OTHER EFFECTS (BY-PRODUCTS): BAD DEBT PROVISION REDUCTION OPERATIONAL COSTS REDUCTION
18
19
Pacified Communities
After 1.605 6% 2%
Alemo Batan
Macacos
64.7 thousand clients inside pacified communities with new meters and network
Andara Salgueiro Formiga S. Marta Cidade de Deus Borel e Casabranca Tabaj. e Cabr. Cantag. e Pavoz. Mang. e Babil.
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Generation Business
Installed Capacity
Installed Capacity 868 MW
51%
100%
SHP Paracambi 13 MW
Paraiba do Sul River
100%
SP HPP Santa Branca
Lajes Complex
100%
100%
100%
22
553 25 53
539 25 52
535 25 206
535 25 228
535 25
535 25
535 25
535 25
535 25
535 25
259
267
272
282
282
282
282
251
243
238
228
228
228
2013
2014
2015
2016
2017
2018
2019
2020
2021
128
135
148
151
155
157
157
157
157
157
Available Energy
Hedge
23
Generation Expansion
Lajes Complex SP
RJ
HPP Itaocara
Installed Capacity: 151 MW The construction is to be started by the end of 2012. Commercial Operational Start: 2nd half of 2015. Preliminary License already issued.
SHP Lajes
Installed Capacity: 17 MW The construction is to be started by the 2nd half of 2012. Operational Start: 2nd half of 2014; Installation License already issued.
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Renova
By the middle of 2011, Light signed an investment agreement of $360 million and the PPA (Power Purchased Agreement) of 400MW of installed capacity to have 25.9% stake at Renova. This year BNDESPAR is becoming a shareholder after a capital increase in Renova. Light keeps a 21.99% stake.
Shareholder Structure
December 2012
FIP Santa FIP Caixa Barbara Outros; Ambiental 6.1% 4.0% Santander 7.1% 3.0%
RR Participaes 21.99%
Auctions Performance The biggest winner in the Reserver Energy Auction of 2009 The biggest winner in the Reserver Energy Auction of 2010 2nd largest winner in the Auction A-3 of 2011 Companys Portfolio 41.8 MW of SHPs in operation under the PROINFA contract 294.4 MW of wind energy under construction to start the operation in Jul/2012
Controlling Shareholders
64.6% CS Light 32.3% CS 0% PS RR Participaes 32.3% CS 0% PS
Light 21.99%
Location
Wind Farms Inventory (SHPs) Basic Projects (SHPs)
808.3 MW of contracted wind energy to be delivered between 2013 until 2017 Pipeline 5.8 GW under development Projects in the same area providing synergies and scale gains
(1)
25
Renova Contracts
Operation Startup (Estimated) Installed Capacity (MW) Estimated Energy (MW average) Average Load Factor (%) CAPEX/MW installed (R$ MN) Contract Tariff (R$/MW)
182.06 160.65 130.76 100.91 90.07 -
Term (years)
Index
SHPP
20
IGPM
41.8
61.3
24.2
4.901
BNB Contracted
LER 2009
14
20
IPCA
293.6
50.8
148.9 (*)
3.996
BNDES Contracted
LER 2010
20
IPCA
162.0
52.7
86.8 (*)
3.878
BNDES Eligibility
Y-3 2011
IPCA
Mar 2014
212.8
50.5
108.1 (*)
3.245
BNDES Eligibility
Y-5 2012
20
IPCA
Jan 2017
22.4
PPA Light 1
10 (E)
20
IPCA
Sep 2015
200.0
50.5(E)
100 (E)
3.245
PPA Light 2
10 (E)
20
IPCA
Sep 2016
200.0
50.5 (E)
100 (E)
3.245
Loan
-
Sites
26
Assured Energy (Average MW) 4.571 MW Reservoir 516 Km Flooded area/generation ratio of 0.05 Km/MW 5.000 families affected Estimated project cost (April 2010) R$ 25.8 billion
Other Informations:
49.0% CS 100.0% PS 74.5% of total stock 51.0% CS 0.0% PS 25.5% of total stock
Amaznia Energia will own 9.77% of the enterprise. Construction works estimated to take 9 years. Transaction does not affect Light s dividend flow
Amaznia Energias equity in the project estimated at R$ 150 million (Apr. 2010), to be disbursed over 6 years. Expansion of generation portfolio: Increases Lights total generation portfolio by 280 MW
Terms for sale of electricity generated already set. Regulated Market: 70%; Free Market: 20%; Self-producers: 10%.
27
Guanhes
TOTAL CAPEX R$ Million
PCH Installed Capacity (MW) Assured Energy (MW average) ANEEL Authorization Operation - Start up Authorization Term Dores de Guanhes 14 8 11/22/2002 Dec/13 Senhora do Prto 12 6.77 10/08/2002 Dec/13
269.2
Jacar 9 5.15 Fortuna II 9 5.11 Total 44 25.03
Equity
60.2 57.8
Debt
151.2
28
+ 59.3%
280 171 13 74* 942 9 77 22 1.500
855
Installed Capacity
Current Capacity
SHP Lajes
HPP Itaocara
(+) Renova
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Results
Net Revenue
NET REVENUE BY SEGMENT (3Q12)*
Generation 6.8%
+6.2%
5.129.7
+5.5%
5.450.2 470.0
* Eliminations not considered ** Construction revenue not considered
8.9%
556.9
1.657.1 230.6
1.748.0 170.3
10.6%
4.572.8
4.980.2
1.426.5
1.577.7
3Q11
3Q12
9M11
9M12
31
974.0
951.8
312.5
300.2
R$ MN
Provisions
PCLD Contingencies
Depreciation Total
80.6 312.5
69.3 300.2
-14.0% -4.0%
234.5 974.0
212.9 951.8
-9.2% -2.3%
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EBITDA
+4.8%
915.5
959.1
Distribution 67.9%
+12.4%
Generation 29.5%
239.8
269.5
Commercialization 2.6%
Margin: (EBITDA Margin: 8.1%)
2T11 3Q11
2T12 3Q12
1S11 9M11
1S12 9M12
33
EBITDA
EBITDA 9M11/9M12 (R$ MN)
+18.9%
+4.8%
EBITDA 9M11
Net Revenue
Provisions
EBITDA 9M12
34
Net Income
NET INCOME 9M11/9M12 (R$ MN)
392
210
9M11 9M11
EBITDA
Financial Result
Taxes
Others
9M12 9M12
35
Dividends
DIVIDENDS AND DIVIDEND YIELD PAYOUT AND DIVIDEND POLICY
16.2% 12.4% 11.6% 795 554 595 556 87 469 439 87 352 50%
9.5%
8.7%
100%
100%
97.2%
2008 2008
2009 2009
2010 2010
2011 2011
2007 2007
2008 2008
2009 2009*
2010 2010
2011 2011
9M12 9M12
Payout
Dividend Policy
36
Indebtedness leverage
Net Debt (R$ MM) and Net Debt / EBITDA
Rating (brA + )
Rating (Aa2.br)
3.383
3.622
2.8
1.1
1.2
1.2
2008
2010
Sep/12
37
Indebtedness
NET DEBT
3.143.5 3.621.6
582
754
855
1.477
2013
2014
2015
2016
After 2016
COST OF DEBT
9.84% 5.30% 11.08% 11.01% 8.54% 8.54% 3.09%
CDI/Selic 74.2%
TJLP 23.5%
US$/Euro 0.4%*
4.87%
4.51%
2009
2011
Sep/12 Sep/12
* Considering Hedge
38
Investments
CAPEX (R$MN)
+32.5%
928.6 169.9
-10.9%
527.8 45.8
507.6
482.0
2008
2009
2010
2011
9M11
9M12
39
Major upcoming events Integration of favelas Pro-business environment New plants investments Expansion of the existing ones Market growth
New PPAs starting in 2013 and 2014 Revenues increase with no aditional costs. Very active trading subsidiary
Progress in the Technology Program New network and meters in the pacified favelas Smart metering development Zero Losses Area Program
Listed in Novo Mercado of Bovespa; Board Committees very active Included in the Sustainability Index (ISE) of Bovespa for the fifth year.
Investment in Renova. Belo Monte and Guanhes (total of 548 MW) SHP Paracambi Operational Start SHP Lajes under construction.
Sound Dividend Policy: minimum 50% of net income; Average payout over last five years: 91%
40
Important Notice
This presentation may include declarations that represent forward-looking statements according to Brazilian regulations and international movable values. These declarations are based on certain assumptions and analyses made by the Company in accordance with its experience, the economic environment, market conditions and future events expected, many of which are out of the Companys control. Important factors that can lead to significant differences between the real results and the future declarations of expectations on events or business-oriented results include the Companys strategy, the Brazilian and international economic conditions, technology, financial strategy, developments of the public service industry, hydrological conditions, conditions of the financial market, uncertainty regarding the results of its future operations, plain, goals, expectations and intentions, among others. Because of these factors, the Companys actual results may significantly differ from those indicated or implicit in the declarations of expectations on events or future results. The information and opinions herein do not have to be understood as recommendation to potential investors and no investment decision must be based on the veracity, the updated or completeness of this information or opinions. None of the Companys assessors or parts related to them or its representatives will have any responsibility for any losses that can elapse from the use or the contents of this presentation. This material includes declarations on future events submitted to risks and uncertainties, which are based on current expectations and projections on future events and trends that can affect the Companys businesses. These declarations include projections of economic growth and demand and supply of energy, in addition to information on competitive position, regulatory environment, potential growth opportunities and other subjects. Various factors can adversely affect the estimates and assumptions on which these declarations are based on.
41
Contacts
Gustavo Werneck
IR Manager + 55 21 2211 2560 gustavo.souza@light.com.br
www.light.com.br/ri
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