Edison Spa · MIL:EDNR

Edison Spa — Q1 2016 Earnings Presentation

12 slides from Edison Spa's earnings presentation, May 2016

  1. Slide 1: First Quarter 2016 Results

    FIRST QUARTER 2016 RESULTS Milan – May, 2016

  2. Slide 2: Agenda

    AGENDA • Business Environment • First quarter 2016 results: • Electric power and hydrocarbons sources and uses • Consolidated financial highlights and capital expenditures • Operating performance • Net financial position and cash flow 2

  3. Slide 3: Market Reference Scenario

    MARKET REFERENCE SCENARIO FY2015 1Q2016 1Q2015  53,7 ICE Brent swap ($/bbl) 35,1 55,2 (36%) 1,11 Exchange rate (€/$) 1,10 1,13 (2%) 48,4 ICE Brent swap (€/bbl) 31,9 49,1 (35%) 32,2 Gas Release 2 (c€/ scm) a) 23,2 39,7 (42%) 23,3 PSV (c€/ scm) 15,3 25,5 (40%) 20,9 TTF (c€/ scm) 13,6 22,5 (40%) 52,3

  4. Slide 4: Electric Power Availability Mix and Gas Demand in Italy

    ELECTRIC POWER AVAILABILITY MIX AND GAS DEMAND IN ITALY Electricity supply mixa) (TWh) FY2015 (TWh) IQ2016 IQ2015  180,9 Thermoelectric production 46,2 45,1 2,5% 44,7 Hydroelectric production 7,9 9,6 (17,6%) 45,1 Other renewable production 11,2 11,1 1,1% 270,7 Net production 65,3 65,8 (0,7%) 46,4 N

  5. Slide 5: Agenda

    AGENDA • Business Environment • First quarter 2016 results: • Electric power and hydrocarbons sources and uses • Consolidated financial highlights and capital expenditures • Operating performance • Net financial position and cash flow 5

  6. Slide 6: Electric Power Sources and Uses in Italy (TWh)

    ELECTRIC POWER SOUCES AND USES IN ITALY (TWh) FY2015 SOURCES IQ2016 IQ2015 % 18,5 Edison production: 4,6 4,6 (0,8%) 14,1 ‐ thermoelectric 3,9 3,7 5,7% 3,4 ‐ hydroelectric 0,3 0,6 (48,5%) 1,0 ‐ wind and other renewables 0,4 0,3 11,8% 70,9 Other purchases (a)(wholesalers, IPEX, etc.) 18,5 17,5 5,9% 8

  7. Slide 7: Hydrocarbons Volumes

    HYDROCARBONS VOLUMES Gas portfolio in Italy (bcm) FY2015 SOURCES IQ2016 IQ2015 % FY2015 USES IQ2016 IQ2015 % 0,5 Productions (a) 0,1 0,1 (13,3%) 2,6 Residential uses 1,3 1,3 (3,8%) 12,7 Imports (pipeline + LNG) 3,6 3,1 17,5% 3,4 Industrial uses 1,0 0,9 18,4% 4,2 Other purchases 1,6 0,8 98,6% 5,7 T

  8. Slide 8: Edison Group – Consolidated Highlights

    EDISON GROUP – CONSOLIDATED HIGHLIGHTS (€ mln) FY2015 1Q2016 1Q2015  CAPEX AND EXPLORATION 11.313 Sales revenues 3.026 3.147 (3,8%) 1.261 EBITDA 172 51 nm 101 95 (795) EBIT (34) (119) (71,4%) 25 41 (862) Profit (loss) before taxes (67) (90) 25,6% (980) Group net income (loss) (76) (153) 50,3% 61 54

  9. Slide 9: Operating Performance Breakdown

    OPERATING PERFORMANCE BREAKDOWN Electric Power Hydrocarbons Corporate, adj. and other Total Edison Group (€ mln) IQ2016 IQ2015 ∆ IQ2016 IQ2015 ∆ IQ2016 IQ2015 ∆ IQ2016 IQ2015 ∆ Sales revenues 1.361 1.703 (20,1%) 1.836 1.676 9,5% (171) (232) 26,3% 3.026 3.147 (3,8%) EBITDA adjusted (*) 43 109 (60,6%)

  10. Slide 10: Edison Group – From EBITDA to Net Result

    EDISON GROUP – FROM EBITDA TO NET RESULT FY2015 (€ mln) IQ2016 IQ2015  1.261 EBITDA 172 51 121 (2.194) Depreciation, amortization and writedowns (114) (150) 36 a) 161 Net change in fair value of commodity derivatives (92) (13) (79) (23) Other income (expense), net 0 (7) 7 (795) EBIT (34) (119) 85 (

  11. Slide 11: Net Financial Position and Cash Flow

    NET FINANCIAL POSITION AND CASH FLOW NET FINANCIAL POSITION (€ mln) 6 (1.147) (1.141) December 31, 2015 March 31, 2016 1Q2016 CASH FLOW (€ mln) 172 (31) 22 (128) (8) Changes in Taxes paid Net financial working capital expenses (21) Net CAPEX (a) 6 Other EBITDA a) Including the deconsolidation effect

  12. Slide 12: Statement

    STATEMENT: As required by Article 154‐bis, Section 2, of the Uniform Finance Law (Legislative Decree No 58/1998), Didier Calvez and Roberto Buccelli, in their capacity as “Dirigenti preposti alla redazione dei documenti contabili societari” of Edison S.p.A., attest that the accounting information co

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