Enel Americas S.a. · BCS:ENELAM
Enel Americas — Investor Presentation (September 2024)
46 slides from Enel Americas's investor presentation, September 2024
Slide 1: Corporate Presentation
Corporate Presentation Enel Américas September 2024
Slide 2: Key considerations
Key considerations Diversified investment vehicle in the Focus our efforts on strategic countries region with ESG principles integrated in and assets aligned with faster energy our long-term strategy transition and electrification Grids: Focus on countries with Prioritize products and services that
Slide 3: Index
Index 1 Enel Américas at a glance 2 2024-2026 Strategic Plan 3 Q2 & H1 2024 Results 4 Annexes
Slide 4: Enel Américas at a glance
Enel Américas at a glance CNC l
Slide 5: Enel Américas at a glance
Enel Américas at a glance Ownership structure1 2023 H1 2024 Retail Chilean pension 0.84% Reported EBITDA (US$ bn) 3.7 2.1 Funds; 8.04% Institutional Group Net Income (US$ bn) 0.9 2.3 investors; 8.85% CAPEX (US$ bn) 2.7 1.1 Market Cap2 Enel S.p.A US$ 11.5 bn 82.27% Net debt / EBITDA (times) 1.7 0.6 I
Slide 6: Diversified investment vehicle in the region
Diversified investment vehicle in the region Enel Américas is Latin America’s largest private power company Central Brazil Colombia Argentina FY 2023 America Installed 6,526 4,195 705 1,328 12,754 GENERATION capacity (MW)1 Energy sales 34.5 21.6 3.3 1.5 63.9 (TWh) Market share 3% 17% 8% 3% - End use
Slide 7: Gross CAPEX – FY 2023
Gross CAPEX – FY 2023 Investments in Renewables and Grids aligned with our Strategic Plan targets CAPEX by country CAPEX by business1 Asset development2 CAPEX by business 1% 1% 4% 5% 23% 15% US$ 2.7 bn 43% (-14% YoY) US$ 2.7 bn US$ 1.5 bn (-14% YoY) (-6% YoY) 51% 72% 84% Argentina Grids Brazil Gener
Slide 8: Generation
Generation Portfolio mainly represented by renewable technologies Net installed capacity EBITDA (US$ mn) Strategic actions 2% 2% +1% ~1.5 GW added in 2023 7% Clear path to organic growth in 98% renewables 0.3 0.2 0.0 renewable power generation 2023 40% 46% 12.0 GW 52% US$ 1.5 bn Solid pipeline to en
Slide 9: Grids
Grids Regulated business with attractive returns Strategic actions Main KPIs EBITDA1 (US$ bn) 2021 20221 2023 Ensure the highest level of Grid customers quality at the lowest cost (mn) 24.7 21.8 22.2 27% across all grids 2023 Energy 111.7 114.3 103.4 US$ 2.3 bn Improving the digitalization distribut
Slide 10: Grids: clear parameters for our concessions
Grids With clear parameters for our concessions Argentina Brazil Colombia Business model Price cap Price cap Revenue cap WACC 12.5% 11.2% 12.1% real pre tax Next Regulatory 20242 2027-28 2025 Period Regulatory 5 (Río) Period Length 5 4 (Ceará, São 5 (years) Paulo) Metering Owned by Owned by Owned by
Slide 11: 2024-2026 Strategic Plan
2024-2026 Strategic Plan CNC l
Slide 12: Our strategic pillars 2024-26
Our strategic pillars 2024-26 Corporate simplification 1 Focus efforts on strategic countries, completing main processes announced on 2022 2 Grids 3 Generation 4 Customers Focus on countries with Selective investments Prioritize products and constructive regulation, based on a risk-reward services t
Slide 13: Completing M&A execution, optimizing our portfolio in the region
Completing M&A execution, optimizing our portfolio in the region… Corporate simplification execution Net proceeds2 of USD 3.8 bn from deals Argentina: Thermal generation assets closed and signed, with USD 0.9 bn in net debt deconsolidation Brazil: Tx Cien concession Deals ~95% of proceeds & debt dec
Slide 14: Selective CAPEX allocation on strategic businesses focused on returns
…with selective CAPEX allocation on our strategic businesses focused on returns… Total CAPEX 2024-261 By country / business line By country By business line Core countries (Brazil & Colombia) capturing most of our investments 1% 3% 1% 1% 5% Focus on Grids, deploying CAPEX on visible and remunerative
Slide 15: Grids investments aimed towards digitalization and profitability
…and Grids investments aimed towards digitalization and profitability… Gross CAPEX1 Grid customers (mn) Energy distributed (TWh) +5% +2% 85.4 87.0 19.5 20.5 1% 4% 0.7 2.9 21% 2023 2026 2023 2026 Proforma Proforma 2024-26 Smart meters USD 3.9 bn Key drivers RAB2 (USD bn) 74% +8% OPEX / CAPEX efficien
Slide 16: High quality standards and lower energy losses to boost profitability
…while focusing on high quality standards, coupled with lower energy losses to boost profitability Key drivers Energy losses (%) SAIDI (hours) SAIFI (times) Quality - 0.7 p.p. - 7% + 3% Investments to improve quality and resiliency, along with lower energy losses 12.0% 7.4 3.9 4.0 11.3% to increase
Slide 17: Reaching 98% renewable capacity, exiting non-core geographies
…reaching 98% renewable capacity, exiting non-core geographies… Gross CAPEX1 Installed capacity (GW) Net production (TWh) 14.6 1.4 12.1 +18% 2.6 3.9 0.2 1.5 42.3 3.4 35.8 3% 1%1% 3.6 1.3 3.5 7.0 0.2 4.9 2023 Disposals Added 2026 2023 2026 2024-26 42% capacity Proforma USD 1.5 bn Hydro Wind Solar The
Slide 18: Customers investments to maximize clients' engagement and satisfaction
Customers investments to maximize clients’ engagement and satisfaction Gross CAPEX1 Free market customers (th) Key drivers +81% 9.4 3% 3% 5.2 Profitability Prioritize products and services that can accelerate electrification (i.e. electromobility and public lighting) 32% 2024-26 2023 2026 USD 0.3 bn
Slide 19: Focusing on Grids with visible and predictable returns
…focusing on Grids with visible and predictable returns… Gross CAPEX EBITDA evolution (USD bn) FY 2023 2023 2026 Quality, Proforma Resiliency & Grids 2.1 OPEX/Grid cust.1 Digitalization management (USD/grid cust.) 30 25 +9% 23% 2.2-2.3 RAB/Grid cust. 2.1 0.2 (USD/grid cust.) 486 503 37% (0.1) 0.1 0.
Slide 20: Growth focus on Generation fully on Renewables
…while the growth focus on Generation is fully on Renewables… Gross CAPEX EBITDA evolution (USD bn) FY 2023 2023 2026 Proforma Maintenance 1.5 EBITDA/MWh 38 42 +24% (USD/MWh) 24% 1.7-1.8 0.01 OPEX/MW (th USD/MW)1 24 18 2024-26 0.28 1.4 (0.01) 0.04 USD 1.5 bn 76% 100% sales coverage through own produ
Slide 21: Boosting electrification through Customers
…and to continue boosting electrification through Customers CAPEX by country EBITDA evolution (USD bn) FY 2023 3% 3% Proforma 0.32 +32% 0.42-0.44 32% 2024-26 USD 0.3 bn 62% 0.33 0.19 (0.03) (0.05) Brazil Colombia Argentina Peru 2023 Fx & CPI OPEX Growth 2026 Proforma 20 Rounded figures. 2023 Proform
Slide 22: Managerial actions and CAPEX optimization drive cash generation
Managerial actions and CAPEX optimization drive cash generation… 13.7 (0.3) (2.2) Managerial actions to improve NWC1 (1.4) 9.7 dynamics.. (5.7) … along with selective capital allocation to drive organic cash (2.0) generation 2.1 1 EBITDA Provisions Taxes paid Net financial FFO Gross Dividends Net FC
Slide 23: Defined uses for funds from corporate simplification
…with defined uses for funds generated from corporate simplification… Proceeds & uses from M&A1 (USD bn) Leverage goals Multiple alternatives to re-leverage the company to a sound level during the plan period Liability management Net debt / EBITDA 1.9 & others 1.7 ~1.0 – 3.8 1.5 1.2 Sao Paulo pensio
Slide 24: Reducing the cost and risk profile of gross debt
…while we reduce the cost and risk profile of our gross debt… 2026 Gross debt structure Cost of debt evolution By currency By interest rate Financial Expenses 0.69 0.48 0.39 0.36 (USD bn) 13.4% Fixed 13.3% 12.2% 9.7% 9% 9.2% 8.9% 45% 5.2% USD 5.3 bn USD 5.3 bn 4.0% 55% 91% 2023 2024 2025 2026 BRL CO
Slide 25: Strong liquidity position and smooth maturities calendar
…and with a strong liquidity position and smooth maturities calendar Liquidity available1 Debt maturity by year1 (USD bn) Maturities / 33% 13% 19% Gross debt Cash 5.3 1.4 USD 3.0 bn 1.6 2.7 Available committed 1.5 credit lines 1.1 2024 2025 2026 Total + USD 3.8 bn of net proceeds from 2024-26 our co
Slide 26: Strategic Plan targets 2024-26
Strategic Plan targets 2024-26 EBITDA (USD bn) Group net income (USD bn) CAPEX (USD bn) +6% +19% CAGR 23-26 CAGR 23-26 4.4-4.6 1.4-1.5 4.3-4.5 3.0 0.3-0.4 3.7 1.0-1.1 2.3 0.9 1.6 4.1-4.2 2023 2024 2026 Proforma 2023 2024 2026 2023 2024 2026 Disposals 25 Rounded figures. 2023 Proforma excludes Argent
Slide 27: Q2 & H1 2024 Results
Q2 & H1 2024 Results CNC l
Slide 28: Completion of sale of Peruvian assets
Completion of sale of Peruvian assets Closing of accretive sale, simplifying corporate structure and refocusing on core countries Américas Distribution assets Generation assets Proceeds and Uses USD 4.4 bn1 USD 3.1 bn USD 1.3 bn Total proceeds Cash-in received for the sale Cash-in received for the s
Slide 29: Main developments in Brazil
Main developments in Brazil Commitments and positive regulatory updates to reaffirm long-term investments Américas Commitments with Brazilian gov’t Concession renewal decree Investment plan – Grids Brazil Focus on our investment, industrial Non-onerous renewal, does not Enel Dx Ceará and hiring plan
Slide 30: Gross CAPEX Q2 2024 H1 2024
Gross CAPEX Completing renewable projects in core countries, continued focus on Grids Américas CAPEX by country CAPEX by business1 Asset development2 CAPEX by business 1% 7% 4% 22% Q2 2024 32% 39% US$ 512 mn US$ 512 mn US$ 225 mn (-32% YoY) (-32% YoY) (-49% YoY) 60% 64% 71% Argentina Grids Brazil 3%
Slide 31: Generation operational highlights
Generation operational highlights 97% emission-free production, strong growth in energy sales in Brazil Américas Net installed capacity (GW) Net production1 (TWh) 18.6 +2% 19.0 +8% 0.5 10.3 0.2 1.2 1.5 9.6 0.3 Hydro 0.2 0.8 5.1 5.6 0.6 Wind 2% 2.9 3.7 Solar 12.1 11.4 Coal 98% renewables 5.9 5.6 98%
Slide 32: Renewables development
Renewables development ~0.7 GW added capacity in Brazil and Colombia Américas H1 CAPEX breakdown1 Projects in execution Net capacity Expected Country & tech Project remaining COD Arinos2 97 MW 2024 12% 15% (514 MW built) Guayepo II 34 MW 2024 USD Brazil 0.7 (156 MW built) 0.4 bn Colombia GW Guayepo
Slide 33: Grids operational highlights
Grids operational highlights Strong growth led by Brazil; quality indicators affected by climate events Américas Electricity distributed (TWh) Grid customers (mn) Quality indicators1 SAIDI (hours) SAIFI (times) +5% +400k H1 2023 H1 2024 H1 2023 H1 2024 Edesur 18.5 16.9 6.8 8.0 50.6 53.4 22.0 22.4 Sã
Slide 34: Financial highlights
Financial highlights EBITDA increase mainly due to Grids Colombia, Grids Argentina, and Gx Brazil Américas EBITDA Net income Net debt (USD bn) (USD bn) (USD bn) +9% 2.1 4.5x 2.3 6.5 1.9 -65% 1.8 H1 2.3 0.5 0.5 H1 2023 H1 2024 H1 2023 H1 2024 Dec. 2023 Jun. 2024 Sale of Peruvian assets effect 1.8 Q2
Slide 35: EBITDA breakdown: H1 2024 results
EBITDA breakdown: H1 2024 results Increase explained by Grids Argentina, Grids Colombia, and Fx effect Américas EBITDA evolution by business line (USD bn) EBITDA breakdown +9% 1% 3% +10% Argentina USD Brazil 2,056 2,072 38% 1,899 16 Colombia 1,868 193 14 10 2,072 mn 58% (31) (29) C. America 12% Grid
Slide 36: Cash flow (USD bn)
Cash flow (USD bn) Strong CAPEX investment to drive future growth Américas 2.07 (0.40) (0.45) USD 0.51 bn Asset development CAPEX (0.36) 0.86 (1.07) (0.21) 1 2 3 4 EBITDA NWC Taxes paid Net financial FFO CAPEX FCF expenses H1 2023 1.90 (0.57) (0.34) (0.23) 0.76 (1.33) (0.57) (1) Net working capital;
Slide 37: Liability management actions led to gross debt decrease
Debt (USD bn) Liability management actions in Brazil led to a significant gross debt decrease Américas Gross and net debt1 Net debt evolution Gross debt breakdown - 17% - 65% 8.1 21% Currency 6.7 BRL 1.6 (1.4) 6.5 0.2 0.3 USD 47% COP 6.7 bn USD Liability mgmt. (4.2) 32% (1.2) Brazil 4.5 (0.2) Colomb
Slide 38: Annexes
Corporate Presentation Annexes
Slide 39: GDP, CPI and FX
GDP, CPI and FX 2024-2026 Strategic Plan GDP CPI FX against USD 2024 2025 2026 2024 2025 2026 2024 2025 2026 Argentina -2.4% -0.9% 2.3% 125% 189% 73% 1,168 1,466 1,703 Brazil 2.5% 1.5% 2.5% 4.7% 4.2% 3.9% 5.0 5.0 5.0 Colombia 1.5% 1.8% 2.7% 11.2% 5.7% 4.0% 4,200 4,200 4,215 Peru 1.8% 2.9% 3.0% 6.6%
Slide 40: With continuous improvement in our key KPIs
With continuous improvement in our key KPIs Customers 2021 2022 2023 Delivery points (Th#) +18% 5.2 Charging stations1 (Th #) 3.2 7.1 9.6 3.9 4.4 Smart lighting (final light points, mn#) 0.4 0.5 0.7 e-Buses 2021 2022 2023 (Th #) 0.9 2.4 3.4 Energy sold (TWh) PV2 (MWp installed) 30 36 53 +12% 17.9 20
Slide 41: ESG raters and rankings
ESG raters and rankings AAA 92 AA AA AA AA 4.4 4.4 4.5 90 4.2 81 83 84 3.8 2019 2020 2021 2022 2023 2020 2021 2022 2023 2024 2019 2020 2021 2022 2023 Scale from CCC to AAA Scale from 0 to 5 Scale from 0 to 100 83 85 87 84 67 67 A- A- 81 53 56 B 47 B- C 2019 2020 2021 2022 2023 2019 2020 2021 2022 20
Slide 42: Corporate governance structure
Corporate governance structure Shareholders’ meeting Audit firm 29% BoD’s composition 14% Board of Directors (7 members) 57% Executive Independent Non-executive elected by Enel SpA Functions: Directors Committee Audit committee Sustainability committee Related parties' transactions 41
Slide 43: Board composition
Board composition Board of Directors Board of Directors’ diversity Borja Acha Besga Chair 14% Director José Antonio Vargas Directors’ Committee Gender diversity Alberto De Paoli Director 86% Male Female Luca Lo Voi Director 14% 14% Britaldo Soares Director 14% 29% Tenure 29% Nationality diversity di
Slide 44: Thank you.
Corporate Presentation Contact us Contacts Email - ir.enelamericas@enel.com Channels Website Mobile App www.enelamericas.com Enel Américas Investors Jorge Velis Head of Investor Relations Download App iOS Android Investor Relations team Nicolás Gracia Claudio Ortiz Francisco Basauri – ESG Thank you.
Slide 45: Disclaimer
Corporate Presentation Disclaimer This presentation contains statements that could constitute forward-looking statements. These statements appear in a number of places in this presentation and include statements regarding the intent, belief or current expectations of Enel Américas and its management
Slide 46: CNC
CNC
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