Snam S.p.a. · MIL:SRG

Snam — Snam Rete Gas — Q3 2009 Earnings Presentation

25 slides from Snam's earnings presentation, Oct 27, 2009

  1. Slide 1: 2009 3Q Results

    2009 3Q Results Milan, October 27th, 2009 www.snamretegas.it

  2. Slide 2: Disclaimer

    Disclaimer Snam Rete Gas’s Chief Financial Officer, Antonio Paccioretti, in his position as manager responsible for the preparation of financial reports, certifies pursuant to paragraph 2, article 154-bis of the Legislative Decree n. 58/1998, that data and information disclosures herewith set forth

  3. Slide 3: Agenda

    Agenda Highlights 2009 3Q Results 3

  4. Slide 4: Highlights

    Highlights Carlo Malacarne Chief Executive Officer 4

  5. Slide 5: Overview

    Overview Financials ƒ Full consolidation of Italgas and Stogit in 3Q 2009 ƒ Resilient transport results despite decreased gas demand ƒ Solid and efficient capital structure Transport Regulation ƒ Ongoing discussion with the Authority for the 3rd regulatory period: final ruling expected in November ƒ

  6. Slide 6: Snam Rete Gas Consolidated Results

    Snam Rete Gas Consolidated Results 9M 2008 9M 2009 (*) ∆% REVENUES (€m) 1,380 1,640 +18.8 EBITDA (€m) 1,092 1,265 +15.6 NET PROFIT (€m) 373 468 +25.5 CAPEX (€m) 740 781 +5.5 (*) Snam Rete Gas 9M figures consolidate Italgas and Stogit from July 1st 6

  7. Slide 7: Operational Data

    Operational Data 9M 2008 9M 2009 Δ% ƒ Gas injected into the network (bcm) 63.4 55.3 -12.7 Transport ƒ Gas pipeline network (km in operation) 31,242 31,557 +1.0 ƒ Storage capacity (bcm) 13.7 14.0 +2.2 ƒ Modulation 8.6 8.9 +3.5 Storage ƒ Strategic 5.1 5.1 -- ƒ Gas moved through storage system (bcm) 9.

  8. Slide 8: Volumes

    Volumes bcm 9M 2008 9M 2009 ∆% ƒ Residential and Commercial 19.9 20.5 +3.1 (weather adjusted) (20.6) (20.3) (-1.7) ƒ Industrial (*) 14.6 12.1 -17.1 ƒ Thermoelectric 25.7 20.4 -20.4 ƒ Other 1.2 1.2 -- Gas consumption (**) 61.4 54.2 -11.8 (weather adjusted) (62.1) (54.0) (-13.2) ƒ Storage & Other (***

  9. Slide 9: SRG Capex

    SRG Capex Update Main Projects €m ~1 bln -14.3% In progress In Progress: Completed 740 ƒ Massafra-Biccari Maintenance 132 634 ƒ Montalbano-Messina 72 ƒ Enna-Montalbano 74 ƒ Tarvisio-Malborghetto Safety 74 ƒ Istrana & Malborghetto comp. stations 180 ƒ Cremona-Sergnano 180 Regional & National ƒ Zimell

  10. Slide 10: Stogit and Italgas Capex

    Stogit and Italgas Capex S. DONATO MIL.SE BRUGHERIO Stogit SERGNANO SETTALA Stogit capex is €m +35.1% CREMA MINERBIO RIPALTA SABBIONCELLO mainly dedicated 200 CORTEMAGGIORE to the Istogramma 2 21 FIUME TRESTE 148 ROMA development of 10 new capacity of the Fiume Treste Extra return 138 179 storage fi

  11. Slide 11: 2009 3Q Results

    2009 3Q Results Antonio Paccioretti Chief Financial Officer 11

  12. Slide 12: Income Statement

    Income Statement €m 9M 2008 9M 2009* Change Revenues 1,380 1,640 +260 Operating expenses - 288 - 375 -87 EBITDA 1,092 1,265 +173 Depreciation & amortisation - 361 - 422 -61 EBIT 731 843 +112 Net interest income (expenses) - 168 - 161 +7 Net income from associates - 14 +14 EBT 563 696 +133 Income tax

  13. Slide 13: Revenues

    Revenues €m 9M 2008 9M 2009 Change Regulated revenues 1,364 1,623 +259 Transport 1,349 1,344 -5 Revenues 1,313 1,304 -9 Pass-through revenues 36 40 +4 LNG 15 15 - Storage - 68 +68 Distribution - 196 +196 Other revenues 16 22 +6 Consolidation adjustments* - -5 -5 TOTAL REVENUES 1,380 1,640 +260 (*) S

  14. Slide 14: Operating Expenses

    Operating Expenses €m 9M 2008 9M 2009 Change Regulated activities costs 286 377 +91 Controllable fixed costs 157 219 +62 of which: Transport 157 155 -2 Variable costs 91 92 +1 Other 38 66 +28 Non regulated activities 2 3 +1 Consolidation adjustments - -5 -5 TOTAL COSTS 288 375 +87 Transport 288 301

  15. Slide 15: EBIT Analysis: business breakdown

    EBIT Analysis: business breakdown €m 1,265 422 144 34 17 55 371 843 110 38 1,066 695 EBITDA Depreciation & EBIT amortisation Srg and Gnl Stogit Italgas 15

  16. Slide 16: EBIT Analysis

    EBIT Analysis €m 731 9M 2008 -36 Δ Srg and Gnl +38 3Q Stogit +110 3Q Italgas 843 9M 2009 16

  17. Slide 17: Income Statement

    Income Statement €m 9M 2008 9M 2009* Change Revenues 1,380 1,640 260 Operating expenses - 288 - 375 - 87 EBITDA 1,092 1,265 +173 Depreciation & amortisation - 361 - 422 - 61 EBIT 731 843 +112 Net interest income (expenses) - 168 - 161 +7 Net income from associates - 14 +14 EBT 563 696 +133 Income ta

  18. Slide 18: Storage Activity: Stogit

    Storage Activity: Stogit €m 9M 2008 9M 2009 ℵ% Revenues 228 252 +10.5% of which: modulation service 180 200 +11.1% strategic storage 47 51 +8.5% Operating costs 46 40 -13.0% EBIT 135 160 +18.5% Net profit 66 88 +33.3% 18

  19. Slide 19: Distribution Activity: Italgas

    Distribution Activity: Italgas €m 9M 2008 9M 2009 ℵ% Revenues 524 613 +17.0% of which: regulated 489 578 +18.2% other revenues 35 35 - Operating costs 214 204 -4.7% EBIT 211 305 +44.5% Net Profit 128 211 +64.8% 19

  20. Slide 20: Balance Sheet

    Balance Sheet €m Dec, 31 2008 Sep, 30 2009 Change Net Invested Capital 9,809 15,025 +5,216 Fixed assets 10,302 16,776 +6,474 Tangible fixed assets 10,263 15,741 +5,478 Intangible fixed assets 39 741 +702 Equity-accounted and other investments - 294 +294 Net working capital - 464 - 1,656 - 1,192 Rece

  21. Slide 21: Fixed Assets

    Fixed Assets €m 10,302 Dec 31, 2008 +6,110 Fixed assets from acquisition ƒ Stogit 2,306 as at Jun 30, 2009 ƒ Italgas 3,804 ƒ 9M Srg and Gnl 634 +781 New investments ƒ 3Q Stogit 67 ƒ 3Q Italgas 80 -422 Depreciation +6 Other 16,776 Sep 30, 2009 21

  22. Slide 22: Net Working Capital

    Net Working Capital €m -464 Dec 31, 2008 -948 Stogit and Italgas net working capital as of Jun 30, 2009 -331 Srg and Gnl 9M change in net working capital -17 Stogit 3Q change in net working capital Italgas 3Q change +104 in net working capital -1,656 Sep 30, 2009 22

  23. Slide 23: Net Financial Debt

    Net Financial Debt €m 6,236 Dec 31, 2008 -132 Free cash flow 2009 -3,444 Share capital increase Stogit: 1,588 +4,512 Purchase price Italgas: 2,924 Stogit: 1,068 Acquired companies net financial +2,181 debt Italgas: 1,113 +247 Final Dividend 2008 9,600 Sep 30, 2009 23

  24. Slide 24: Q & A Session

    ia snamretegas ~ Q & A Session 2 en ry

  25. Slide 25: 2009 3Q Results

    2009 3Q Results Milan, October 27th, 2009 www.snamretegas.it

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