E.on Se · XETR:EOAN
E.on — H1 2000 Earnings Presentation
17 slides from E.on's earnings presentation, Aug 17, 2000
Slide 1: Welcome to E.ON's Conference Call First Half Results 2000
Welcome to E.ON`s Conference Call First Half Results 2000 August 17, 2000
Slide 2: Agreement between E.ON and BT
Agreement between E.ON and BT • E.ON receives a Put-Option to sell its 45% stake in VIAG Interkom to BT between 1st of January to 31st of January 2001 • BT receives a Call-Option to acquire a 45% stake in VIAG Interkom between 1st of May to 31st of July 2001 • The excercise price for Put and Call-Op
Slide 3: E.ON Group's 1st Half Results
E.ON Group`s 1st Half Results • Accounting and valuation policies are not yet harmonized • Former VIAG numbers are based on International Accounting Standards (IAS) • Former VEBA numbers are based on US GAAP, insofar as permissible under German GAAP • The results are simply added together and are no
Slide 4: Group Performance (1)
Group Performance (1) € in millions 1st half 2000 1st half 1999 +/- % Group External Sales 46,881 34,878 +34 Group Internal Operating Profit 1,712 1,896 -10 Electricity 1,118 1,665 -33 Oil 55 -27 - Chemicals 379 377 +1 Telecommunications -274 -374 +27 Real estate 39 79 -51 Other Activities 454 129 +
Slide 5: Group Performance (2)
Group Performance (2) € in millions 1st half 2000 1st half 1999 +/- % Group Internal Operating Profit 1,712 1,896 -10 Net book gains 4,464 1,875 +138 Cost-management and restructuring expenses -116 -81 -43 Other non-operating earnings -620 -200 -210 Foreign E&P taxes 224 118 +90 Pretax Income 5,664
Slide 6: Electricity - Power supply (pro forma figures)
Electricity - Power supply (pro forma figures)* kWh in millions 1st half 2000 1st half 1999 +/- % Standard-rate customers 15,908 15,189 +4,7 Special-rate customers 26,891 24,399 +10,7 Distributors 61,422 49,878 +22,9 Foreign utilities 14,450 6,606 +118,7 Traders 3,327 1,664 +100,0 Total power suppli
Slide 7: Electricity - Internal Operating Profit
Electricity - Internal Operating Profit in millions PreussenElektra +/-% Bayernwerk +/- % Total +/- % 1st half 2000 1st half 1st half 2000 1st half 1st half 2000 vs. 99 2000 vs. 99 2000 vs. 99 Sales Volume (kWh) 63,101 +17 41,120 +16 104,221 +16 Sales (€) 4,031 +4 2,325 -17 6,356 -5 Internal Operati
Slide 8: Electricity - German industrial power prices
Electricity - German industrial power prices in Pf/kWh 16.000 14.000 13.558 13.535 13.524 13.524 13.497 13.453 12.000 11.244 11.244 11.262 11.262 11.262 11.257 11.248 10.000 8.000 6.000 4.000 2.000 0 Jul 99 Aug 99 Sep 99 Oct 99 Nov 99 Dec 99 Jan 00 Feb 00 Mar 00 Apr 00 May 00 Jun 00 Jul 00 Source: V
Slide 9: Electricity - Price comparison special-rate customers
Electricity - Price comparison special-rate customers* in Pf/kWh July 2000 July 1999 +/- Pf/kWh +/- % VEAG 12.163 14.175 -2.01 -14.19 EnBW 13.131 13.512 -0.38 -2.82 Bayernwerk 10.270 13.653 -3.38 -24.78 BEWAG 12.120 13.720 -1.60 -11.66 Germany 11.248 13.558 -2.31 -17.04 VEW 12.835 13.163 -0.33 -2.49
Slide 10: Electricity - Price comparison standard-rate customers
Electricity - Price comparison standard-rate customers* in Pf/kWh June 2000 June 1999 +/- % PreussenElektra 25.78 27.20 -5.25 Bayernwerk 30.03 32.36 -7.21 BEWAG 28.32 31.46 -9.98 EnBW 30.15 29.65 +1.69 HEW 29.72 31.92 -6.88 RWE 26.17 27.28 -4.09 VEW 27.80 30.80 -9.74 * average prices, incl. electric
Slide 11: Oil - Key figures
Oil - Key figures € in millions 1st half 2000 1st half 1999 Internal Operating Profit 55 -27 Upstream 71 -20 Downstream 9 33 Others -25 -40 Average crude oil price ($/barrel) 26.8 13.4 Refinery margins ($/ton) 20.4 11.0 Hedging losses -104 -38
Slide 12: Chemicals - Internal Operating Profit
Chemicals - Internal Operating Profit € in millions Degussa-Hüls +/-% SKW Trostberg +/- % Total +/- % +/- % adj.* 1st half 2000 1st half 1st half 2000 1st half 1st half 1st half 1st half 2000 vs. 99 2000 vs. 99 2000 2000 vs. 99 2000 vs. 99 Sales 7,644 - 2,068 +20 9,712 +3 +28 Internal Operating 276
Slide 13: Telecommunications - Key figures
Telecommunications - Key figures € in millions 1st half 2000 1st half 1999 Sales 467 239 Internal Operating Profit -274 -374 Mobile Communications by Country Market Share Germany: 1,800,000 subscribers 6% Austria: 730,000 subscribers 16% Switzerland: over 600,000 subscribers 17% France: over 3,800,0
Slide 14: Real estate - Key figures
Real estate - Key figures € in millions 1st half 2000 1st half 1999 Sales 563 515 Internal Operating Profit 39 79 • Energy Services: - Income is now distributed over the entire 12-month period instead of a lump sum in one quarter • Number of housing units sold: - 585 units vs. 1,307 units - Full yea
Slide 15: Internal Operating Profit - Other Activities
Internal Operating Profit - Other Activities € in millions 1st half 2000 1st half 1999 +/- % VAW Aluminium 156 102 +53 Distribution/Logistics 330 118 +180 Stinnes 104 74 +41 VEBA Electronics 153 22 +596 Klöckner & Co. 73 23 +217 Schmalbach Lubeca 22 18 +22 Gerresheimer Glas 8 9 -11 Silizium-Wafer -6
Slide 16: Outlook
Outlook • Full year Group internal operating profit to be lower in 2000 than in 1999 • Electricity‘s full year earnings to come in markedly below the prior year`s showing • Oil`s internal operating profit will be considerably higher year-on-year • Chemicals to report higher earnings than in 1999 • T
Slide 17: Summary
Summary • The First Half Results are gratifying • In the Electricity division, the worst is behind us, but we will continue to cut costs further • Focus and streamline our portfolio rapidly • A strong competition player worldwide, especially in Europe