Slide 1: 1Q 2016 consolidated results
1Q 2016 consolidated results May 10, 2016
Slide 2: Agenda
1Q 2016 consolidated results Agenda Delivery on strategic plan Financial results Closing remarks 1
Slide 3: Delivery on strategic plan
1Q 2016 consolidated results Delivery on strategic plan
Slide 4: Opening remarks
1Q 2016 consolidated results Opening remarks EBITDA net of forex up by 7% on like-for-like basis thanks to efficiency and growth Latam grows by over 40% net of forex despite economic slowdown Operational efficiency delivery ahead of plan 30% of yearly target already achieved +0.2 GW of additional c
Slide 5: Delivery on strategic pillars
1Q 2016 consolidated results Delivery on strategic pillars 2016-19 strategic plan targets 1Q 2016 delivery 1 Operational efficiency Total savings of 0.3 €bn 2016 cash costs target: -0.9 €bn 2 Industrial growth 0.2 €mn growth EBITDA in 1Q 2016 2016 growth EBITDA target: +0.8 €bn 2016 growth EBITDA
Slide 6: Operational efficiency (€mn)
1Q 2016 consolidated results Operational efficiency1 (€mn) Maintenance capex Opex2 Cash cost -19% -7% -9% 2,857 2,592 2,231 2,084 626 508 2 1Q 2015 1Q 2016 1Q 2015 1Q 2016 1Q 2015 1Q 2016 2016 target: 3.1 €bn 2016 target: 8.5 €bn 2016 target: 11.6 €bn 2019 target: 2.8 €bn 2019 target: 8.3 €bn 2019 t
Slide 7: Operational efficiency: opex evolution
1Q 2016 consolidated results Operational efficiency: opex evolution Opex evolution1,2 (€mn) Opex by business3 -7% -18% Networks -7% €/end user 58.5 56.8 54.3 47.9 FY 2014 FY 2015 LTM 2019 -1% -20% Renewables (56) 11 (102) k€/MW 76.0 78.7 75.1 61.0 2,231 FY 2014 FY 2015 LTM 2019 2,084 -11% -10% Conve
Slide 8: Industrial growth: operational achievements
1Q 2016 consolidated results Industrial growth: operational achievements Networks Retail Renewables Conventional generation 2015-16 2015-19 2015-16 2015-19 2015-16 2015-19 2015-16 2015-19 Free End users +0.7 mn +3.6 mn +1.3 mn +4.1 mn Additions +1.7 GW +9.2 GW Additions +0.4 GW +0.6 GW customers Sma
Slide 9: Industrial growth: capex in execution
1Q 2016 consolidated results Industrial growth: capex in execution1 2016-19 growth capex In execution by geography In execution by business 2% 3% 42% 9% 46% 38% 14% 17 €bn 9.1 €bn 9.1 €bn 54% 10% 44% 8% 29% 1% In execution Latam Iberia Tenders awarded Networks Generation Italy RoW To be addressed Re
Slide 10: Industrial growth: recently awarded renewable auctions
1Q 2016 consolidated results Industrial growth: recently awarded renewable auctions Mexico Peru Enel competitive advantage Technology Solar PV Wind / Solar PV / Hydro First utility scale plants Capacity 1,000 MW 326 MW Global procurement Production 2,250 GWh 1,200 GWh Multiple bids approach Capex
Slide 11: Group simplification: update on Latam restructuring
1Q 2016 consolidated results Group simplification: update on Latam restructuring Minimun 120 days 2Q 2016 3Q 2016 First day of trading EGMs to approve Share distribution Annual Ordinary Meetings the merger of new companies in New York of Enersis, Endesa Chile End of Tender Offer and share distributi
Slide 12: Financial results
1Q 2016 consolidated results Financial results
Slide 13: Financial highlights (€mn)
1Q 2016 consolidated results Financial highlights (€mn) 1Q 2016 1Q 2015 ∆ yoy Like-for-like Revenues 17,872 19,970 -11% Reported EBITDA 4,017 4,023 -% Ordinary EBITDA1 3,871 4,023 -4% +2% (5) Reported EBIT 2,670 2,625 +2% Ordinary EBIT 2,524 2,625 -4% Reported Group net income 939 810 +16% Group net
Slide 14: Market context in the period (change yoy)
1Q 2016 consolidated results Market context in the period (change yoy) Electricity demand Average spot power prices (€/MWh) Currencies vs. euro1 Italy -1.5% 51.8 Italy -24% USD/EUR 2% 39.6 Spain -1.3% 45.8 Spain -33% CLP/EUR -10% 30.7 Chile 4.0% 129.7 Chile -54% COP/EUR -29% 59.5 Colombia 6.0% 67.0
Slide 15: Operational highlights
1Q 2016 consolidated results Operational highlights Installed capacity (GW) Net production (TWh) -3% -8% 89.7 87.4 Renewables 10.5 72 10.7 66 Conventional generation 79.2 76.7 37% 34% Load factor FY 2015 1Q 2016 1Q 2015 1Q 2016 Electricity distributed (TWh) Number of customers1 (mn) -% +4% 106 106 2
Slide 16: Operational highlights – Generation
1Q 2016 consolidated results Operational highlights – Generation Installed capacity (GW) Net production (TWh) -3% -8% - (2.5) (0.6) (4.3) 89.7 - 0.2 71.9 (2.1) 1.1 87.4 66.0 FY 2015 Nuclear Thermal Hydro Other 1Q 2016 1Q 2015 Nuclear Thermal Hydro Other 1Q 2016 Renewables Renewables 15
Slide 17: Operational highlights – Distribution
1Q 2016 consolidated results Operational highlights – Distribution Electricity distributed (TWh) End users (mn) -% +1% (0.2) 0.4 0.1 (0.3) (0.1) - 61.5 106.1 61.0 105.5 1Q 2015 Italy Iberia Latam East 1Q 2016 1Q 2015 Latam Rest of 1Q 2016 Europe World 16
Slide 18: Ordinary EBITDA evolution (€mn)
1Q 2016 consolidated results Ordinary EBITDA evolution (€mn) -4% +2% (252) 90 (195) 102 19 4,023 84 3,852 3,871 3,771 1 2 1Q 2015 One-offs 1Q 2015 Growth Efficiency Scenario Forex 1Q 2016 One-offs 1Q 2016 ordinary adjusted Energy adjusted ordinary margin & retail 1. Includes: +173 €mn CO2 swap trans
Slide 19: Ordinary EBITDA breakdown
1Q 2016 consolidated results Ordinary EBITDA breakdown By geography1 By business1 5% 12% 21% 44% 26% 3.9 €bn 3.9 €bn 20% 42% 18% 12% Latam Iberia Networks Generation Italy Renewables Retail Renewables East Europe Regulated / quasi-regulated 71% of total EBITDA from regulated and quasi-regulated busi
Slide 20: Group adjusted EBITDA by business (€mn)
1Q 2016 consolidated results Group adjusted EBITDA by business (€mn) +2% Retail 178 (50) (195) Retail 533 €mn (24) 710 €mn 110 62 Renewables Renewables 486 €mn 3,852 462 €mn 3,771 Generation Generation 995 €mn 994 €mn Networks Networks 1,759 €mn 1,734 €mn 1Q 2015 Global Global Global Retail Services
Slide 21: Global Renewable Energies: EBITDA analysis (€mn)
1Q 2016 consolidated results Global Renewable Energies: EBITDA analysis (€mn) -14% -5% (50) 54 (14) (52) North America (12) North America - 94 €mn 536 128 €mn 486 462 462 Latin America Latin America 87 €mn 101 €mn Europe3 Europe3 355 €mn 233 €mn 1Q 2015 One-offs 1 1Q 2015 Growth Efficiency Scenario
Slide 22: Group adjusted EBITDA by geography (€mn)
1Q 2016 consolidated results Group adjusted EBITDA by geography (€mn) +2% Renewables Renewables 486 €mn 462 €mn East Europe 298 (29) (24) (20) East Europe (195) 233 €mn 197 €mn 59 (8) Latam Latam 693 €mn 3,852 800 €mn 3,771 Iberia Iberia 802 €mn 794 €mn Italy Italy 1,570 €mn 1,629 €mn 1Q 2015 Italy
Slide 23: EBITDA Italy by business (€mn)
1Q 2016 consolidated results EBITDA Italy by business1 (€mn) +5% +4% 146 (9) - Retail 16 (24) (54) Retail 414 €mn 1,629 1,629 560 €mn 1,554 1,570 Generation Generation 213 €mn 159 €mn Networks Networks 897 €mn 889 €mn 1Q 2015 One-offs 2 1Q 2015 Infrastructures Generation Retail Services 1Q 2016 One-
Slide 24: From ordinary EBITDA to net ordinary income (€mn)
1Q 2016 consolidated results From ordinary EBITDA to net ordinary income (€mn) (1,347) 3,871 (817) 2,524 (546) (366) 1,707 795 Ordinary D&A EBIT Financial EBT Income Minorities Group EBITDA expenses taxes net ordinary & other 1 income 1Q 2015 (€bn) 4.0 (1.4) 2.6 (0.7) 1.9 (0.7) (0.4) 0.8 Change YoY
Slide 25: Cash flow (€mn)
1Q 2016 consolidated results Cash flow (€mn) (288) (1,168) 3,871 (80) (796) (1,650) 1,539 508 Maintenance 1,142 Growth (111) (206) (317) 150 (167) Ordinary Provisions 1 Working Income Financial FFO 2 Capex Free Net Net free Extraordinary Net free EBITDA capital taxes expenses cash dividend cash i
Slide 26: Net debt evolution (€mn)
1Q 2016 consolidated results Net debt evolution (€mn) -901 Dec 31, 2015 Mar 31, 2016 continuing Net free Extraordinary Asset held continuing operations cash flow activities Forex for sale 1 operations 36,644 37,545 (306) 317 (150) (762) Lowest ever net debt level since 2007 1. FY 2015: net debt of a
Slide 27: Debt and financial expenses (€mn)
1Q 2016 consolidated results Debt and financial expenses (€mn) Gross and net debt Net financial expenses on debt -9% -% 52,760 48,183 10,640 6,279 4,575 5,260 37,545 653 651 36,644 FY 2015 1Q 2016 1Q 2015 1Q 2016 Net debt Financial receivables Cash Further liability management actions to optimize gr
Slide 28: Forward sales
1Q 2016 consolidated results Forward sales1 Italy 2016 Italy 2017 62 TWh 65 TWh Regulated / Achieved Regulated / Achieved quasi regulated 10% quasi regulated 10% 30% Price2 46 €/MWh 30% Price2 41 €/MWh Price driven Price driven 80% vs. plan vs. plan Spread driven 60% Spread driven 60% Spread3
Slide 29: Closing remarks
1Q 2016 consolidated results Closing remarks
Slide 30: Closing remarks
1Q 2016 consolidated results Closing remarks 1Q 2016 progression confirms delivery on all key strategic pillars Strong set of results thanks to high degree of diversification Positive contribution from Latam and resilient performance in Italy and Iberia despite challenging macro environment 2016 fin
Slide 31: Annexes
Investor presentation 1Q 2016 consolidated results Annexes
Slide 32: From EBITDA to net income (€mn)
1Q 2016 consolidated results From EBITDA to net income (€mn) 1Q 2016 1Q 2015 1Q 2016 1Q 2015 ∆ yoy 1 1 ∆ yoy reported reported ordinary ordinary EBITDA 4,017 4,023 -0.1% 3,871 4,023 -3.8% D&A 1,347 1,398 1,347 1,398 EBIT 2,670 2,625 1.7% 2,524 2,625 -3.8% Net financial charges (852) (767) (852) (767
Slide 33: EBITDA reported matrix (€mn)
1Q 2016 consolidated results EBITDA reported matrix (€mn) Global Generation Global Infrastructures Global Renew able Services 3 3 Retail Total Total & Trading & Netw orks Energies & Other 1Q 2016 1Q 2015 1Q 2016 1Q 2015 1Q 2016 1Q 2015 1Q 2016 1Q 2015 1Q 2016 1Q 2015 1Q 2016 1Q 2015 Italy 305 213 88
Slide 34: EBITDA from Reported to Adjusted: breakdown by geography
1Q 2016 consolidated results EBITDA from Reported to Adjusted: breakdown by geography Global East 1Q 2016 Italy Iberia Latam Renewable Other Total Europe Energies Reported 1,775 794 800 197 462 (11) 4,017 Extraordinary items 146 - - - - - 146 Ordinary 1,629 794 800 197 462 (11) 3,871 One-offs - - -
Slide 35: EBITDA from Reported to Adjusted: breakdown by business line
1Q 2016 consolidated results EBITDA from Reported to Adjusted: breakdown by business line Global Global Global Services 1Q 2016 Generation Infrastructures Renewable Retail Total & Holding & Trading & Networks Energies Reported 1,140 1,734 462 710 (29) 4,017 Extraordinaty items 146 - - - - 146 Ordina
Slide 36: Operational efficiency: opex (€mn)
1Q 2016 consolidated results Operational efficiency: opex (€mn) -7% -7% 2,246 15 2,231 2,084 - 2,084 Personnel 1,169 1,166 1,097 1,097 -6% External costs -6% 1,222 1,210 1,132 1,132 Capitalized costs (145) (145) (145) (145) 1 1 1Q 2015 One-offs 1Q 2015 1Q 2016 One-offs 1Q 2016 Reported Adjusted Adju
Slide 37: Forward sales
1Q 2016 consolidated results Forward sales Chile Colombia 100% 100% 90% 90% 90% 75% 2016 2017 2019 2016 2017 2019 73 70 67 51 51 56 Peru Brazil 100% 100% 100% 100% 100% 80% 2016 2017 2019 2016 2017 2019 51 52 49 54 53 62 36 Hedged production Unhedged production - Average price (€/MWh)
Slide 38: Capex
1Q 2016 consolidated results Capex1 By activity By business By geography 1% 6% 31% 9% 40% 33% 13% 1.65 €bn 1.65 €bn 1.65 €bn 48% 69% 21% 17% 11% 1% Networks Generation Latam Iberia Retail Renewables Italy North America Maintenance Growth Other East Europe Other 1. Gross of contribution. Includes ass
Slide 39: Capex by business (€mn)
1Q 2016 consolidated results Capex by business1 (€mn) +23% 1,650 S&H2 6 -45% 1,340 Renewables 11 +68% Services&Holding 2 800 Latam Renewables 475 -29% Latam Iberia Iberia 227 +10% 320 East Europe 170 East Europe Italy 154 +23% 150 122 Italy 258 297 +15% 1Q 2015 1Q 2016 1. Continuing operations (excl
Slide 40: Gross debt structure
1Q 2016 consolidated results Gross debt structure Long term debt by currency Long term debt by currency after swap Interest rate composition 58% 85% 20% 47.1 €bn 3% 47.1 €bn 11% 3% 80% 1% 6% 2% 5% 20% 3% 1% 2% EUR USD BRL CLP EUR USD BRL Floating Fixed + Hedged COP Other GBP CLP COP Other 39
Slide 41: Debt structure by instrument (€bn)
1Q 2016 consolidated results Debt structure by instrument (€bn) Global East Europe Debt by instrument Enel Spa EFI Italy Iberia Latam Renewable Total & Other Energies Bonds 13.56 18.78 - 0.10 3.38 - 0.43 36.25 Bank loans - - 3.26 0.64 0.84 3.10 0.45 8.29 Tax partnership - - - - - 1.07 - 1.07 Other l
Slide 42: Debt maturity coverage split by typology (€bn)
1Q 2016 consolidated results Debt maturity coverage split by typology (€bn) 24.1 19.8 5.0 Available committed credit 13.5 lines1 19.1 6.9 Short term2 1.3 5.3 4.1 4.3 Bank Loans and 1.1 3.5 Cash 6.3 Others 1.6 0.9 5.6 1.0 1.0 3.4 4.2 Bonds 1.5 2.5 1Q 2016 2016 2017 2018 2019 2020 After 2020 1. Of whi
Slide 43: Group total net installed capacity by technology and geography
1Q 2016 consolidated results Group total net installed capacity: breakdown by technology and geography Solar Oil&Gas MW Hydro1 Wind Geothermal Nuclear Coal CCGT Total & Other ST/OCGT Italy 12,418 720 761 84 - 6,478 4,535 3,504 28,500 Iberia 4,763 1,616 - 46 3,318 5,168 5,445 2,417 22,773 Latam 9,981
Slide 44: Group total net production by technology and geography
1Q 2016 consolidated results Group total net production: breakdown by technology and geography Solar Oil&Gas GWh Hydro1 Wind Geothermal Nuclear Coal CCGT Total & Other ST/OCGT Italy 3,434 435 1,478 16 - 7,545 1,731 49 14,688 Iberia 2,385 1,209 - 49 6,461 3,641 1,304 1,624 16,673 Latam 8,065 877 - 12
Slide 45: EGP projects in execution by technology and geography (MW)
1Q 2016 consolidated results EGP projects in execution: breakdown by technology and geography (MW) Business unit Wind Hydro Geo Solar Other Total Italy 8 10 - - 17 35 Greece 154 - - - - 154 Europe 162 10 - - 17 189 Brazil 442 102 - 807 - 1,351 Chile 224 - 38 147 - 409 Costa Rica - 50 - - - 50 Mexico
Slide 46: EGP projects under construction by technology and geography (MW)
1Q 2016 consolidated results EGP projects under construction : breakdown by technology and geography (MW) Business unit Wind Hydro Geo Solar Other Total Italy 8 10 - - 17 35 Greece - - - - - - Europe 8 10 - - 17 35 Brazil 180 102 - 412 - 694 Chile 224 - 38 147 - 409 Costa Rica - 50 - - - 50 Mexico 2
Slide 47: EGP projects ready to build by technology and geography (MW)
1Q 2016 consolidated results EGP projects ready to build : breakdown by technology and geography (MW) Business unit Wind Hydro Geo Solar Other Total Italy - - - - - - Greece 154 - - - - 154 Europe 154 - - - - 154 Brazil 262 - - 395 - 657 Chile - - - - - - Costa Rica - - - - - - Mexico - - - - - - Pa
Slide 48: Contact us
1Q 2016 consolidated results Contact us Investor Relations Team (investor.relations@enel.com) Tel. +39 06 8305 7975 Visit our website at: www.enel.com (Investor Relations) 47
Slide 49: Disclaimer
1Q 2016 consolidated results Disclaimer This presentation contains certain forward-looking statements that reflect the Company’s management’s current views with respect to future events and financial and operational performance of the Company and its subsidiaries. These forward- looking statements a