25 July 2013 ABB India Overview

Transcription

1 25 July 2013 ABB India Overview

2 A global leader in power and automation technologies Leading market positions in main businesses 135,000 employees in about 100 countries $38 billion in revenue (2011) Formed in 1988 merger of Swiss and Swedish engineering companies Predecessors founded in 1883 and 1891 Publicly owned company with head office in Switzerland

3 Power and productivity for a better world ABB s vision As one of the world s leading engineering companies, we help our customers to use electrical power efficiently, to increase industrial productivity and to lower environmental impact in a sustainable way.

4 How ABB is organized Five global divisions Power Products $10.3 billion 35,000 employees (2011 revenues, consolidated) Power Systems $7.7 billion 19,500 employees ABB s portfolio covers: Electricals, automation, controls and instrumentation for power generation and industrial processes Power transmission Distribution solutions Low-voltage products Discrete Automation and Motion $8.4 billion 27,500 employees Low Voltage Products $5.0 billion 21,000 employees Motors and drives Process Automation $7.8 billion 28,500 employees Intelligent building systems Robots and robot systems Services to improve customers productivity and reliability

5 Shaping the world we know today through innovation Pioneering technology since 1883 Founding fathers Steam turbine Turbochargers Gas turbine Industrial robot Gas-insulated switchgear Gearless motor drives HVDC Variable-speed motor drives Electric propulsion systems Extended control systems Ultrahigh voltage

6 Power and automation are all around us You will find ABB technology orbiting the earth and working beneath it, crossing oceans and on the sea bed, in the fields that grow our crops and packing the food we eat, on the trains we ride and in the facilities that process our water, in the plants that generate our power and in our homes, offices and factories

7 ABB India Presence, Trends and Opportunities

8 Indian Macro economy A Decade of progress Between : GDP trebled from less than US$ 0.5t to US$ 1.3t. Per Capita GDP rose 2.5x from US$ 427 to US$ 1058 Clocked a real GDP CAGR of 7.2% Service sector grew from 49% of GDP to 57% of GDP Growth was largely financed with savings rate increasing from 24% to 34% Merchandise trade (Imports+Exports) as a percentage of GDP nearly doubled from 22% to 40% Forex reserves expanded 7 times to US$ 280bn Source: India Strategy Motilal Oswal report January 2011

9 India - Macro Overview Macroeconomics: Declining IIP and exports with increasing inflation and trade deficit Increasing competition: Changing Rules of the Game and eligibility Criteria Increasing margin pressures: Interest costs and delay project investments Technology - Price equation: India high on better technology at a lower price Global footprint: Leverage India for optimizing cost and talent pool National Manufacturing Policy: Catalyst to sustain economic growth Investment in infrastructure: $1 trillion between Rail: Electrification of km + Metro planned in over 12 cities

10 India Power and Industry Segment Learnings Power Segment Demand supply gap still 10-12% Over 12% of installed capacity is more than 30 years old Delicensing & Increased Participation of Private Players : 6% in 2006 to 29% in May go upto 52 % by 2017 Delay in projects land acquisition and environmental clearances National Grid: thousand ckm planned by 2017 Industry Segment 10-12% growth in consumption led by rising middle class 2020:100 mn jobs. 2025: 200 m jobs Auto sector to contribute 10% of GDP by 2016 Huge opportunities in energy efficiency space Industrial Zones with special incentives for green technologies Month DD, Year Slide 10

11 ABB in India Strong local presence since 1928 HARIDWAR FARIDABAD VADODARA NASHIK MUMBAI BANGALORE MYSORE KOLKATA + Cluster countries 12 Manufacturing facilities 23 Marketing offices 4 Training centers 8 Service centers 3 Logistics warehouses 2 Power & Automation Engineering Centers ABB s largest R&D Center Listed on Bombay and National Stock Exchange, India Head office, Bangalore Key manufacturing/ project units * As on 2011 June * Does not include Baldor and K-tech acquisitions

12 ABB in India 1.7+ BUSD in revenues, employees* Power Products Power Systems Discrete Automation and Motion Low Voltage Products Process Automation 2,732 Employees 462 MUSD 20,446 MINR 2,476 Employees 554 MUSD 24,491 MINR 1,524 employees 417 MUSD 18,440 MINR 1,016 employees 121 MUSD 5,355 MINR 2,078 employees 315 MUSD 13,948 MINR ABB India portfolio: Electricals, automation, controls and instrumentation for power generation and industrial processes Power transmission Distribution solutions Low-voltage products PLCs, variable frequency drives, motors for discrete automation and process industries ABB in India is the 5 th largest contributor to the group business volumes *Regular employees + Trainees Revenues include all legal entities; Figures rounded off to 0 decimal;1 USD: INR

13 India country organization 2013 Bazmi Husain Country Manager Pitamber Shivnani Power Products Amlan Datta Majumdar Chief Financial Officer Giandomenico Testi Chief Technology Officer N Venu Power Systems Raja Radhakrishnan Country HR Manager Ralph Schutheiss Legal and Integrity R Narayanan Discrete Automation & Motion Madhav Vemuri Country Service Manager TK Sridhar Investor Relations Priteesh Mahajan Process Automation Tajinder Vohra Country Operations Officer -TBD- Sustainability Raimondo Salandra Low Voltage Products Subir K Pal Communications, Business development and Marketing ABB Group July 25, 2013 Slide 13

14 ABB in India Local Investment in Manufacturing Vadodara: First manufacturing facility Most recent - Wind Mill Generators in set up 2010, International quality certification (ISO 9001,14001,18001 certified) Manufacturing and/or assembly performed in locations across India, much of which supplies local demand Global factories for Power Products, Low Voltage Products and Discrete Automation and Motion Manufacturing facilities have unique energy savings systems such as solar panels for energy and water recycling systems

15 ABB in India Global Corporate Research Center Highlights Established in 2002 in India R&D footprint with 40% of BUs Lifecycle support for over 30 products 29 invention disclosures approved No. of engineers: University cooperation with IIT, IISC Bangalore, IIIT Bangalore Research cluster areas Control and optimization Industrial communications Industrial software systems Network management systems 800xA Robotics and drives

16 ABB in India Global Industrial Services Process competencies Process Automation Metals, Minerals, Oil, Gas & Petrochemicals, Pulp & Paper, Marine and Plant Electrification Process competencies Power Systems Grid Systems, Substation Automation and Power Generation Engineering operation centers located in Bangalore and Chennai with 900 employees, delivering engineering for prestigious projects worldwide Local delivery of a variety of projects ranging from aluminum smelter electrification to inter-state electrical grid control Two Engineering Centers

17 Our customers Some of the biggest names in the Indian Industry

18 India s energy challenges Reduce linkage between growth, energy use and emissions Meeting these challenges requires the India to: Reduce the correlation between economic growth and energy use Reduce the correlation between energy use and emissions Energy efficiency Renewable sources of energy Industry / Govt. Push.BSE Green Index, PAT Audits

19 TWh /mmtoe Opportunity to reduce carbon footprint There is scope for improvement when we compare India with other countries Electrical Energy Available per Unit of Primary Energy Consumed to produce it World India China USA Power Generation Total Auxiliary Power Consumption in Power Plants is 8.34% of the Production World Average Benchmark 3.99% Power Transmission & Distribution Total Losses in T&D is 33% of power handling capacity. Benchmark: Germany 4%. 11% lost in Transmission, 22% in distribution. India: Energy - Supply Efficiency

20 North East to Agra UHVDC transmission Worlds highest capacity power interconnect Customer s need Development of renewable hydro power 1730 km from load centre ABB s response ± 800 kv UHVDC, 6000/8000 MW Multi terminal Customer s benefits High efficiency > 95 % ROW ~ 40% of eqvt. 765 kv AC system Reliable transmission forced unavailability < 0.5 %

21 Improving capacity, reliability and efficiency in the grid Pioneer in smart technologies Challenge Delhi, India: Electrify one of the largest metro projects in Asia Maharashtra, India: State of the art, turnkey electrification solution for thermal power plant that supplies increased power to western grid ABB solution Custom engineered SCADA solution Maximum efficiency, optimal space use with minimal losses Modular ebop solution for 300MW generating units that provide optimized and integrated solutions for complete plant electricals Bangalore, India: Improve reliability in grid serving 53 million people in Karnataka Network management with real-time control Key building block for smart grid

22 Tackling society s challenges on path to low-carbon era Helping customers do more using less Challenge India/Bangladesh: Provide a complete automation solution for world s longest trans national, single-belt conveyor India: Help the largest steel blast furnace in India maximize their production efficiency ABB solution Custom engineered System 800xA control solution Energy efficient drives and motors 800xA automation solution helps to increase productivity from 7850 tons per day to 9000 tons per day India: Complete electrical and automation solution for one of the largest cement manufacturers in the world Composite solution with plant electrics, drives and motors Elimination of hardware communication between MCC and DCS by using Profibus with intelligent MCC

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