1Q20 Results Discussion slide image

1Q20 Results Discussion

Private early stage portfolio Renewable energy business overview (cont'd) Valuation highlights | 31 March 2020 GEORGIA CAPITAL Financial metrics (GEL millions) 2017 2018 2019 1Q19 GEL millions, unless otherwise noted 31-Mar-20 At acquisition price (GCAP share) 151 GCAP ownership* 100% 31-Dec-19 Change 1Q20 Change Revenue NMF NMF 16.2 NMF 6.6 NMF 107 41.4% EBITDA (1.7) (0.8) 13.1 (0.2) 4.5 NMF 65% 35ppts Cash flow from operations (1.5) (0.7) 2.8 (0.1) 6.9 NMF * Following the buyout of the 34.4% minority shareholder in GRPC on 25 February 2020, Renewable Energy consists of wholly-owned hydro and wind power plants with 91MW installed capacity in aggregate. Renewable energy platform Development Capex 76.6 68.3 32.9 11.3 11.1 -1.8% Key points Hydro: 210 MW Of which operational 71MW Wind: 228 MW Of which operational 21MW Renewable energy projects overview | 31 March 2020 Greenfield MWs projects Cost per MW Gross generation Gross capacity PPA PPA tariff tenor Current stage (US¢/kWh) (GWh)1 factor years Mestiachala HPPS 50 1.2 174 39.8% 15 5.5 Zoti HPPS 46 1.3 173 43.0% 15 5.1 Bakhvi 2 HPP 36 1.3 136 43.2% 15 5.5 Operational² Under Construction Feasibility Strong performance of high-quality renewable assets, acquired in 4Q19. GEL 5m insurance proceeds for business interruption ("BI") reimbursement for 2019 revenues from 50MW Mestiachala HPPS. ➤ The remaining GEL 5m BI reimbursement for 2019 revenues is expected to be received in 2Q20. ➤ The 30MW Mestiachala HPP resumed operations in 2019, while the restoration works continue on the 20MW Mestiachala HPP. Racha HPPS 38 1.5 169 50.8% Feasibility Wind Tbilisi 54 1.3 191 40.3% 10 6.5 Development Wind Kaspi 1Q20 performance 54 1.3 195 41.2% 10 6.5 Development Wind (other) 99 1.4 340 39.2% 10 6.5 Darchi HPP 19 1.4 89 53.3% 10 5.6 Recent acquisitions Hydrolea HPPS 21 1.8 105 Qartli Wind Farm Total 21 1.4 438 85 1,657 58.5% 47.1% 8-10 5.6 13 6.5 Feasibility Feasibility Operational Operational GEL thousands, unless otherwise noted Mestiachala HPPs² Revenue 482 Hydrolea 1,576 Qartli Wind Farm 4,582 Of which, Bl reimbursement 326 ➤ Projects under construction and under feasibility stages were put on hold in light of the COVID-19 outbreak until there is more certainty regarding the effects of COVID-19 on the business landscape and the Georgian economy. (1) (2) Generation capacity refers to target gross annual generation. The first phase (30MW) was launched on 8 April 2019, followed by the second phase (20MW) on 4 June 2019. Mestiachala HPPs were flooded and taken offline in late July 2019. Following the rehabilitation, 30 MW generation unit was recommissioned in December 2019, while the restoration works continue on the 20MW HPP. EBITDA (150) 1,086 3,917 Generation (Gwh) 0.9 9.2 23.4 Page 48
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