Enel SpA · MIL:ENEL
Enel SpA — Q1 2007 Earnings Presentation
36 slides from Enel SpA's earnings presentation, May 9, 2007
Slide 1: 1Q2007 Consolidated Results
1Q2007 Consolidated Results Luigi Ferraris - Executive VP Accounting, Planning and Control Rome, May 9, 2007
Slide 2: Agenda
Enel SpA Investor Relations Agenda 1Q2007 Results Questions & Answers Annexes 2
Slide 3: Financial highlights
Enel SpA 1Q2007 Results Investor Relations Financial highlights €mn 1Q06 1Q07 % Revenues 10,251 9,728 -5,1 EBITDA 2,107 2,332 +10,7 Group net income 842 943 +12,0 Net debt 11,6901 14,994 +28,3 1. As of December 31, 2006 3
Slide 4: Operational data: Enel's total electricity sales (TWh)
Enel SpA 1Q2007 Results Investor Relations Operational data: Enel’s total electricity sales (TWh) +7.8% +7.8% 43.1 40.0 International 2.5 7.7 Italy 37.5 35.4 1Q06 1Q07 4
Slide 5: Operational data: Italian market overview (TWh)
Enel SpA 1Q2007 Results Investor Relations Operational data: Italian market overview (TWh) -1.6% -1.6% 86.5 85.1 Import 7.4 13.1 Net production 52.7 51.7 Enel Net production 28.6 22.3 Pumped storage -2.2 -2.0 consumption 1Q06 1Q07 5
Slide 6: Operational data: Enel's domestic electricity sales
Enel SpA 1Q2007 Results Investor Relations Operational data: Enel’s domestic electricity sales Free customers2 (thousand) Electricity – Total market sales1 (TWh) 458 -1.6% -1.6% 81.0 79.7 +3.2% +3.2% Regulated Other 12.5 12.9 market -16.9% Enel 32.6 -16.9% 27.1 57 +1.3% +1.3% Free 31.4 Other 31.0 ma
Slide 7: Operational data: Italian gas market overview (bcm)
Enel SpA 1Q2007 Results Investor Relations Operational data: Italian gas market overview (bcm) 30.0 -12.7% 0.5 -12.7% 26.2 0.4 Other 8.1 Thermoelectric 8.3 5.5 Industrials 5.3 Residential & Commercial 15.9 12.2 1Q06 1Q07 Source: Ministry of the Economic Development and Enel estimates 7
Slide 8: Operational data: Enel's domestic gas sales
Enel SpA 1Q2007 Results Investor Relations Operational data: Enel’s domestic gas sales Gas – Total volumes sold (bcm) Gas – Enel customers (thousand) -14.3% -14.3% +6.4% +6.4% 2,347 2,205 2.1 1.8 1Q06 1Q07 1Q06 1Q07 8
Slide 9: Operational data: Group total production (TWh)
Enel SpA 1Q2007 Results Investor Relations Operational data: Group total production (TWh) -1.3% -1.3% 32.0 31.6 International 3.4 9.3 Domestic 28.6 22.3 1Q06 1Q07 9
Slide 10: Operational data: Group total production mix (%)
Enel SpA 1Q2007 Results Investor Relations Operational data: Group total production mix (%) -1.3% -1.3% 32.0 TWh 31.6 TWh 10.5 31.0 17.1 Oil & Gas ST/OCGT 13.6 Gas CCGT 31.0 Coal Nuclear 29.8 Other renewables 13.0 Hydro 5.6 5.8 19.8 22.8 1Q06 1Q07 10
Slide 11: Operational data: Group total electricity distribution
Enel SpA 1Q2007 Results Investor Relations Operational data: Group total electricity distribution Electricity – Volumes distributed (TWh) -2.5% -2.5% 67.8 66.1 International 3.2 3.2 Domestic 64.6 62.9 1Q06 1Q07 11
Slide 12: Operational data: Enel's domestic gas distribution
Enel SpA 1Q2007 Results Investor Relations Operational data: Enel’s domestic gas distribution Gas – Volumes distributed (bcm) Gas – End users (thousand) -22.2% -22.2% +3.6% +3.6% 1.8 1,965 2,036 1.4 1Q06 1Q07 1Q06 1Q07 12
Slide 13: EBITDA evolution (€mn)
Enel SpA 1Q2007 Results Investor Relations EBITDA evolution (€mn) +225 +225 +141 -57 2,332 +59 2,107 +25 +57 68 43 985 928 Market G&EM N&I International 905 846 1 S&H 176 317 114 57 1Q06 Market G&EM I&R International S&H 1Q07 1. Including intercompany adjustments 13
Slide 14: EBITDA evolution: domestic market division (€mn)
Enel SpA 1Q2007 Results Investor Relations EBITDA evolution: domestic market division (€mn) +25 +25 +12 68 +13 43 1Q06 Regulated Free 1Q07 market market 14
Slide 15: EBITDA evolution: domestic G&EM division (€mn)
Enel SpA 1Q2007 Results Investor Relations EBITDA evolution: domestic G&EM division (€mn) +57 +57 +141 -92 985 928 +8 1Q06 Generation Fair value Non 1Q07 margin Bilateral recurring contracts with SB 15
Slide 16: EBITDA evolution: domestic I&N division (€mn)
Enel SpA 1Q2007 Results Investor Relations EBITDA evolution: domestic I&N division (€mn) +59 +59 +11 905 846 +48 846 894 1Q06 Electricity Gas 1Q07 16
Slide 17: EBITDA evolution: international division (€mn)
Enel SpA 1Q2007 Results Investor Relations EBITDA evolution: international division (€mn) +141 +141 -30 +189 -3 -29 +20 +1 -12 317 -7 12 1 54 31 176 -18 27 Iberia 19 Slovakia Romania 72 Bulgaria North America 189 South America 11 Russia 30 France 44 15 Iberia Slovakia Romania Bulgaria North South Ru
Slide 18: EBITDA evolution: services & holding (€mn)
Enel SpA 1Q2007 Results Investor Relations EBITDA evolution: services & holding1 (€mn) -57 -57 114 -52 -23 +18 57 1Q06 Import Non Other 1Q07 recurring 1. Including intercompany adjustments 18
Slide 19: Net debt evolution (€mn)
Enel SpA 1Q2007 Results Investor Relations Net debt evolution (€mn) -3,304 -3,304 Cash flow Extra- Net FY06 from Capex ordinary financial 1Q07 operations activities charges -698 -11,690 +1,871 -4,330 -147 -14,994 19
Slide 20: Agenda
Enel SpA Investor Relations Agenda 1Q07 Results Questions and Answers Annexes 20
Slide 21: Operational data: Enel's domestic production mix (%)
Enel SpA Investor Relations Operational data: Enel’s domestic production mix (%) -6.3TWh -22.0% 28.6TWh 22.3TWh 15.2 24.3 19.3 CCGT 21.3 Hydro Coal 26.0 Oil & Gas Other 33.0 renewables 34.5 14.9 5.0 6.5 1Q06 1Q07 21
Slide 22: Operational data: Enel's International production mix (%)
Enel SpA Investor Relations Operational data: Enel’s International production mix (%) +5.9TWh +173.5% 3.4TWh 9.3TWh 23.7 44.2 Nuclear Hydro Coal 62.3 26.5 Oil & Gas Other renewables 25.8 2.0 0.1 12.0 3.4 1Q06 1Q07 22
Slide 23: Income statement
Enel SpA Investor Relations Income statement € mn 1Q06 1Q07 % Operating revenues 10,251 9,728 -5.1% Operating costs 7,967 7,396 -7.2% EBITDA 2,107 2,332 10.7% % of revenues 21% 24% EBIT 1,583 1,709 8.0% % of revenues 15% 18% 23
Slide 24: From EBIT to EPS
Enel SpA Investor Relations From EBIT to EPS € mn 1Q06 1Q07 % EBIT 1,583 1,709 8.0% Net financial charges -131 -125 -4.6% EBT 1,452 1,584 9.1% Net income (including third parties) 875 987 12.8% Group net income 842 943 12.0% EPS (€) 0.14 0.15 24
Slide 25: Balance sheet
Enel SpA Investor Relations Balance sheet € mn FY06 1Q07 % Net financial debt 11,690 14,994 28.3% Shareholders' equity 19,025 20,521 7.9% Net capital employed 30,715 35,515 15.6% 25
Slide 26: EBIT by business area (€mn)
Enel SpA Investor Relations EBIT by business area (€mn) +126mn +8.0% 1,709 1,583 33 +83.3% 18 Market 754 +8.5% 695 G&M I&N +6.9% International 697 652 S&H +52.0% 127 193 -64.8% 91 32 1Q06 1Q07 26
Slide 27: Market
Enel SpA Investor Relations Market € mn 1Q06 1Q07 Revenues 5,889 5,615 EBITDA 43 68 EBIT 18 33 Capex 9 4 1 Headcount 5,176 5,147 1. As of December 31, 2006 27
Slide 28: Generation & Energy Management
Enel SpA Investor Relations Generation & Energy Management € mn 1Q06 1Q07 Revenues 4,536 4,023 EBITDA 928 985 EBIT 695 754 Capex 151 223 Headcount 9,573 1 9,569 1. As of December 31, 2006 28
Slide 29: Infrastructure & Network
Enel SpA Investor Relations Infrastructure & Network € mn 1Q06 1Q07 Revenues 1,375 1,383 Power 1,261 1,262 Gas 114 121 EBITDA 846 905 Power 775 823 Gas 71 82 EBIT 652 697 Power 599 638 Gas 53 59 Capex 288 315 1 Headcount 24,701 24,244 1. As of December 31, 2006 29
Slide 30: International activities
Enel SpA Investor Relations International activities € mn 1Q06 1Q07 Revenues 607 1,059 EBITDA 176 317 EBIT 127 193 Capex 37 144 Headcount 13,861 1 13,821 1. As of December 31, 2006 30
Slide 31: Services & Holding
Enel SpA Investor Relations Services & Holding € mn 1Q06 1Q07 Revenues 540 482 Holding 304 210 Services and other 236 272 EBITDA 1 108 53 Holding 68 -11 Services and other 40 64 EBIT 1 85 28 Holding 65 -15 Services and other 20 43 1. Excluding inter-company adjustments equal to €4mn in 1Q07 and €6mn
Slide 32: Services & Holding - Continued
Enel SpA Investor Relations Services & Holding - Continued € mn 1Q06 1Q07 Capex 15 12 Holding 0 1 Services and other 15 11 Headcount 5,237 1 5,317 Holding 652 681 Services and other 4,585 4,636 1. As of December 31, 2006 32
Slide 33: Capex by business area (€mn)
Enel SpA Investor Relations Capex by business area (€mn) +198mn +39.6% 698 Market 4 -55.6% G&M 223 +47.7% I&N 500 International 9 Services & Holding 151 +9.4% 315 288 +289.2% 144 -20.0% 37 15 12 1Q06 1Q07 33
Slide 34: Debt structure
Enel SpA Investor Relations Debt structure Average debt maturity: 5 years and 6 months Average cost of debt: 4.7% (Fixed+hedged)/Total long-term debt: 81% (Fixed+hedged)/Total net debt: 62% Rating: S&P’s = A+/A-1 C.W. negative; Moody’s = Aa3/P-1 C.W. negative € mn FY06 1Q071 % Long-term 11,104 11,51
Slide 35: Disclaimer
Enel SpA Investor Relations Disclaimer THESE SLIDES HAVE BEEN PREPARED BY THE COMPANY SOLELY FOR THE USE AT ENEL’S CONFERENCE CALL ON FIRST QUARTER 2007 RESULTS. THE INFORMATION CONTAINED HEREIN HAS NOT BEEN INDEPENDENTLY VERIFIED. NONE OF THE COMPANY OR REPRESENTATIVES SHALL HAVE ANY LIABILITY WHAT
Slide 36: Contact us
Enel SpA Investor Relations Contact us Investor Relations Team: Luca Torchia: +39 06 8305 3437 Massimiliano Bevignani: +39 8305 7023 Donatella Izzo: +39 06 83057449 Ijung Park: +39 06 83052062 Fausto Sblandi: +39 06 83052226 Federica Todaro: +39 06 8305 9502 investor.relations@enel.it Visit our webs