Slide 1: Investor Presentation August 2020
Investor Presentation August 2020
Slide 2: Agenda
Agenda Investor Presentation – Strategic Plan 2020-22 Our positioning Sustainability = Value. Our delivery over time Our vision Our vision in numbers Financial management & Sustainable finance 2020-2022 Strategic plan De-risking long term targets Earnings & targets FY 2019 consolidated results H1 20
Slide 3: Investor Presentation Strategic Plan 2020-22
Investor Presentation Strategic Plan 2020-22
Slide 4: Our positioning
Our positioning
Slide 5: Our positioning
Our positioning A sustainable and fully integrated business model delivering value for shareholders EBITDA by business Total shareholder return 2015-20191 160% 140% 9% 120% 26% 100% 18% 80% 2019 60% 136% 17.9 €bn 40% 1% 20% 46% 57% 0% Enel FTSE MIB Euro Stoxx 46% Utilities SRI2 10.8% 1. From Jan 1st
Slide 6: Enel's leadership in the new energy world
Enel’s leadership in the new energy world1 Our positioning # End users 1st network operator2 74 mn Renewable capacity World’s largest player3 in 46 GW renewables # Customers Largest retail customer base 70 mn worldwide4 1. As of June 30, 2020 5 2. By number of end users. Publicly owned operators not
Slide 7: Sustainability = Value: Our delivery over time
Sustainability = Value Our delivery over time
Slide 8: A sustainable business model that has delivered growth and improved visibility
Sustainability=Value A sustainable business model that has delivered growth and improved visibility EBITDA dynamics (€bn) CAPEX and financial KPIs evolution Traditional model Sustainable model CAGR 2012-15: -1.7% CAGR 2015-19: +4.5% +27% ~10 €bn 12.0 0 ~8 €bn 19 10.0 0 18 ✔ 23% Other 8.00 17 16 ✔ 6.
Slide 9: We have focused our capital allocation on renewables
Sustainability=Value We have focused our capital allocation on renewables… Generation capex: 2015 vs 2019 Renewable and Thermal Production (TWh) -17% 300 17% 244 250 34% ~36% 203 89 ~49% 200 4.6 €bn 5.1 €bn 99 150 66% 100 83% 1551 1031 50 0 2015 2019 2015 2019 ~70% % Development ~80% ~40% % RES Capa
Slide 10: …to become the world leader in renewables
Sustainability=Value …to become the world leader in renewables 2015 2019 Installed capacity1 Installed capacity 37 GW 46 GW Built capacity Built capacity 1 GW 3 GW EBITDA/CAPEX EBITDA/CAPEX 11% 11% >1.2k plants 31 Countries 9 1. Including managed capacity by 3.7 GW
Slide 11: Grid expansion and digitalisation have driven efficiencies and created value
Sustainability=Value Grid expansion and digitalisation have driven efficiencies and created value 2015 2019 End Users End users Bogotá Ceará 61 mn 73 mn Goiás Smart meters Smart meters Lima Rio de Janeiro 38.5 mn 44.7 mn Sao Paulo Smart meters 2.0 Smart meters 2.0 Santiago Buenos Aires 0 mn 13.1 mn
Slide 12: We focused on customers and platforms to seize future opportunities
We focused on customers and platforms to seize Sustainability=Value future opportunities Customers – key metrics New deployments Energy sold (TWh)1 2015 2019 +19% Charging 180 points3 0k 80 k 160 159 140 120 100 134 80 60 Demand 40 Response 0 GW 6.3 GW 20 - 2015 2019 Power cust. (mn)1 ~12 ~17 Batter
Slide 13: A pervasive innovation and digitalisation process drives change
Sustainability=Value A pervasive innovation and digitalisation process drives change in our organization Platformisation process 2017-19 Total investment1 < 2015 2019 > 2020 Pre-Digital Full migration Platform operating ~4.5 strategy to cloud model €bn 2017-19 Cumulated benefit2 Fragmented IT 100% a
Slide 14: Delivery on strategic pillars
Sustainability=Value Delivery on strategic pillars ✔ Industrial Growth ✔ Operational Efficiency ✔ Active Portfolio Management Impact on Group Net Income EBITDA (€bn) Cost Savings (€bn) (€bn) 18 2 0 17 1 16 17.9 0 15 14 17.0 1 1 1.4 0 0.3 13 12 1 1.1 0 0.2 1 0 11 0 10 0 0 9 8 - - 2019 2019 Plan Actua
Slide 15: Value creation and shareholders remuneration
Sustainability=Value Value creation and shareholders remuneration Value creation spread1 (bps) Shareholder return – DPS (€/sh) +250 +105% 400 0.35 350 370 ✔ 0.328 0.30 300 0.25 ✔ 0.28 250 ✔ ~0.24 0.20 200 ✔ 0.15 0.18 150 0.16 0.10 MIN 100 120 0.21 0.28 0.32 DPS 0.05 50 - - 2015 2019 2015 2016 2017 2
Slide 16: Our vision
Our vision
Slide 17: Our strategy addresses dynamically the evolution of sector trends
Our vision Our strategy addresses dynamically the evolution of sector trends Decarbonisation Enabling Ecosystems Infrastructure & Platforms Electrification 16
Slide 18: Global outlook: decarbonisation through new renewable capacity and services
Our vision Global outlook: decarbonisation through new renewable capacity and services Share of renewables on global capacity1 Flexibility and storage2 Demand Response 250 (GW) 200 200 3.5x 150 31% 100 145 35% 50 2018 2040 - 57 Total capacity Total capacity 2020 2030 2040 7.2 TW 15.5 TW 65% 69% 1,40
Slide 19: Global Power Generation: a new global business line
decarbonisation Global Power Generation: a new global business Our vision line to accelerate decarbonisation 20191 Consolidated Capacity1 (GW) # sites 85 81 87 60.0 55.0 Accelerate and facilitate the decarbonisation path ~1,300 50.0 45.0 48 54 40.0 35.0 42 39 37 33 30.0 25.0 Extract synergies and ma
Slide 20: Phasing out of coal production over the plan period and beyond
decarbonisation Our vision Phasing out of coal production over the plan period and beyond… 120 .0 100 .0 80. 0 Coal production 60. 0 (TWh) 40. 0 92.0 64.4 20. 0 37.6 74% 0-2 16.9 10.4 0.0 2012 2018 2019 2022 2024 2030 Coal on total 19 p.p. production 31.1% 25.7% 16.4% 6.8% 3.9% <1% (%) Coal capacity
Slide 21: …with an accelerated renewables deployment
decarbonisation …with an accelerated renewables deployment Our vision 2020-22 GROWTH CLUSTERS GW Target of capacity to be added (GW) Fleet decarbonisation in Italy, Spain and Chile 5.4 1.8x Development through PPA mainly in Brazil and US 5.1 16 14 12 Other developments in countries of 1.1 10 presenc
Slide 22: Further acceleration of renewable additions fueled by organic development
decarbonisation Further acceleration of renewable additions Our vision fueled by organic development Additional capacity evolution: 2019-21 vs 2020-22 plan Renewable capacity evolution (GW) +22% +31% Total capacity 45.8 45.7 59.8 (2.2) 5.6 3.7 3.4 14.1 54.2 2.6 (1.8) 1.7 42.3 42.1 +28% 11.6 65% 14.1
Slide 23: The largest and most diversified pipeline of the industry
decarbonisation Our vision The largest and most diversified pipeline of the industry is fueling future growth ambitions Renewables pipeline (GW) Breakdown by technology As of October 2019 As of June 2020 100 .0 31.4 GW 90. 0 1% 80. 0 70. 0 47% 60. 0 58.6 43.9 GW 50. 0 40. 0 90.0 2.1 52% 3.6 6.1 30.
Slide 24: High level visibility on deployment goals
decarbonisation Our vision High level visibility on deployment goals 2020-22 Renewables growth1: addressed share vs pipeline2 (GW) 45. 0 2020 ~100% 43.9 GW Coverage 2020-22 pipeline by year 2021 83% 40. 0 ~ 3.4x 35. 0 2022 36% Residual target Beyond 29.5 30. 0 70% secured COD 2022 25. 0 20. 0 15. 0
Slide 25: Strategy strongly supports our path towards full decarbonisation by 2050
decarbonisation Our vision Strategy strongly supports our path towards full decarbonisation by 2050 Scope 1 & Scope 3 CO2 emissions evolution 600 .000 500 .000 -70% 400 .000 465 FULL decarbonisation 411 BY 2050 Scope 11 300 .000 (g CO2/kWh) 296 200 .000 254 100 .000 125 0.0 00 2007 2017 2019 2020 20
Slide 26: Global outlook: electricity is winning the energy battle
Our vision Global outlook: electricity is winning the energy battle Share of electricity on total final energy consumption1 End use avg. investments needed for electrification (‘000 TWh) (USD Tn/year) +11.5 ~2x 2 1.2 0 23 34.6 2 1.0 0 + 1 bn electric cars 2 1 ~2.5x 24% 43% 0.8 0 1 + 2.8 bn air cond.
Slide 27: Retail will position ahead of electrification trends
Electrification Retail will position ahead of electrification trends, Our vision paving the way for further growth Power customers Power volumes sold Unitary consumption (mn) (TWh) (MWh/client) 40. 0 12 35. 0 200 .0 10 30. 0 +67% +23% 8 Developed 25. 0 20. 0 150 .0 6 -26% markets 15. 0 28.6 100 .0 1
Slide 28: New services enable decarbonisation and electrification of consumption
Ecosystems & Platforms Our vision New services enable decarbonisation and electrification of consumption Decarbonisation through new services Enabling electrification Revenues from Demand Response (GW) Storage (MW) Charging points1 (k) Electrification services (€mn) 1.6x 4.0x 8.9x 2.2x 12 500 800 60
Slide 29: Global outlook: networks as the backbone of a sustainable electric system
Our vision Global outlook: networks as the backbone of a sustainable electric system Energy system evolution Average yearly investments in networks (USD bn)1 800 700 +85% 600 500 400 300 200 500 Aggregator 100 270 TSO 0 2010-2018 2019-2040 DSO DSO TSO Average investments in smart meters and grids (U
Slide 30: Development of Infrastructure and Networks centered on digitalisation, quality and efficiency
Enabling Infrastructure Our vision Development of Infrastructure and Networks centered on digitalisation, quality and efficiency Digitalisation Quality of service Efficiency Smart meters 2.0 (mn) SAIFI1 (n) Opex/End user (€) >2x -9% -16% 35. 00 3.25 44.0 0 30. 00 3.20 28.8 42.0 0 25. 00 3.15 3.10 40
Slide 31: Towards a platform company
Our vision Towards a platform company Distribution Retail Enel X Activities Products Global Front End Asset Operator Customer Management Customers Prosumers Asset Owner Digital layer Unique database & Network Digital Twin Back End Assets Buy Standardized Suppliers & (e.g. charging Physical Cities as
Slide 32: A fully sustainable capex plan
Our vision A fully sustainable capex plan Total gross capex by business and by nature 2020-22 Asset development by business 2020-22 4% 41% 4% 6.5 7% 66% 28.7 €bn 28.7 €bn 27% 17.2 €bn 17.2 5.0 3% 44% 4% Networks Enel X Asset development Retail EGP Customers Networks Enel X Conventional generation As
Slide 33: Sustainable, profitable, digitalised and customer centric
Sustainable, profitable, digitalised and customer Our vision centric 2015 2019 2022 Renewables focus Owned RES capacity/Total capacity1 41% 50% 60% CO2 Footprint Specific CO2 emissions g/kWh 409 296 220 Coal power plants # 19 12 7 Networks end users mn 61 73 75 Smart meters 2.0 mn - 13.1 28.8 Retail
Slide 34: Purpose driven strategy promotes sustainable value creation for shareholders
Purpose driven strategy promotes sustainable value Our vision creation for shareholders Value creation spread1 (bps) Shareholder return – DPS (€/sh) +28% CAGR 0.4 5 2019-22 450 0.4 0.42 + 8.6% 440 0.3 5 2 0.40 0.37 400 0.3 0.328 370 350 0.2 5 0.2 300 Min DPS 0.1 5 0.32 0.35 0.37 0.40 +7.7% 0.1 250 0
Slide 35: Strategic Plan 2020-2022
2020-2022 Strategic Plan
Slide 36: Strategic plan at a glance
2020-22 Strategic Plan Strategic plan at a glance Cumulated organic capex1 vs previous plan (€bn) EBITDA (€bn) +11% 24 +12% 22 29 27 20 25 18 23 28.7 20.1 16 25.9 21 19 14 17.9 12 17 15 10 2019-21 2020-22 2019 2022 Net Income (€bn) Net Debt (€bn) 7 +27% 51 +5% 6.5 49 6 47 5.5 45 5 4.5 43 4 6.1 41 47
Slide 37: Focus on profitability, value creation and balance sheet
2020-22 Strategic Plan Focus on profitability, value creation and balance sheet Profitability Return on invested capital Credit metrics +300 bps +200 bps +400 bps 0.3 5 14. 0% 35. 0% 12. 0% 30. 0% 0.3 0 30% 10. 0% 25. 0% 29% 9.6% 10.2% 25% 26% 27% 0.2 5 8.0 % 20. 0% 6.0 % 8.2% 15. 0% 0.2 0 19% 4.0 %
Slide 38: Our vision in numbers
2020-2022 Our vision in numbers
Slide 39: Organic capex up by 11% to pursue strategic vision
Our vision in numbers Organic capex up by 11% to pursue strategic vision Organic capex by GBL1: 2019-21 vs 2020-22 (€bn) €bn +2.8 Decarbonisation 14.4 28.7 30. 0 25.9 Electrification 2.3 1.2 25. 0 2.4 20. 0 11.8 11.1 15. 0 Enabling Infrastructure 11.8 10. 0 10.0 12.5 1.1 5.0 Ecosystems & Platforms 0
Slide 40: Sound EBITDA growth reflecting strategic priorities
Sound EBITDA growth reflecting strategic priorities… Our vision in numbers Cumulated EBITDA (€bn) EBITDA evolution 2019-22 (€bn) +3% +13% 0.4 (0.5) 0.7 20.00 0.4 20.1 FY 2019 1.3 0.1 59 57 17.9 55 53 17.8 58.0 56.1 51 49 47 45 15.00 1 2 2019-21 2020-22 EBITDA EGP Conventional Retail Networks Enel X
Slide 41: …supported by ongoing delivery and focus on efficiencies
…supported by ongoing delivery and focus on Our vision in numbers efficiencies Opex evolution (€bn) Efficiencies by business -9% FY 2019 0.5 (0.1) 5% 8.5 (1.2) 26% 8.5 7.7 38% 1.2 €bn 31% 2019E CPI & Growth & Efficiency 2022 Forex Perimeter 32% Net operating expenses on gross margin 28% 40
Slide 42: Profitability of generation enhanced by decarbonisation
decarbonisation Our vision in numbers Profitability of generation enhanced by decarbonisation Global Power Generation EBITDA (€bn) Main KPIs1 +23% FY 2019 10.0 0 9.00 2019 2022 2019 2022 6.2 7.6 8.00 7.00 6.2 0.5 Total Production Gross Margin/MWh Nuke (TWh) 229 249 (k€/MWh) 41 44 6.00 0.5 5.00 Total
Slide 43: Conventional generation focuses on flexibility and efficiencies
decarbonisation Our vision in numbers Conventional generation focuses on flexibility and efficiencies Gross capex 2019-21 vs 2020-22 (€bn) 2019-22 EBITDA evolution (€bn) -24% 100% earmarked +6% 3.0 for development beyond 2022 2.5 FY 2019 2.5 0.6 1.9 1.6 0.2 2.0 (0.1) (0.4) 0.3 0.7 0.1 1.7 1.6 1.5 1.
Slide 44: Renewable capex tailored to maximise economic value of decarbonisation
decarbonisation Our vision in numbers Renewable capex tailored to maximise economic value of decarbonisation Capex EBITDA/Capex IRR-WACC spread GROWTH CLUSTERS GW (€bn) (%) (bps) Fleet decarbonisation in Italy, Spain and 5.4 5.6 12-13% >200 Chile Development through PPA mainly in Brazil 5.1 4.7 12-1
Slide 45: Renewable capex to maximise economic value of decarbonisation
decarbonisation Our vision in numbers Renewable capex to maximise economic value of decarbonisation Renewables asset development capex 2020-22 (€bn) 2019-22 EBITDA evolution (€bn) +28% 6% FY 2019 1.3 - 39% 4.6 5.9 11.5 €bn 4.6 55% Asset development capex 11.5 2019E Asset Asset 2022 development manag
Slide 46: Higher share of organic capex increases EBITDA evolution
decarbonisation Our vision in numbers Higher share of organic capex increases EBITDA evolution Asset development capex evolution (€bn) Cumulated EBITDA growth (€bn) +8% +33% 2.5 11.5 10.6 (1.6) 0.7 2.4 1.6 BSO 1.8 (0.1) 9.0 +28% Old plan BSO Organic New plan Old plan BSO fee Organic New plan 1 2019-
Slide 47: Retail EBITDA growth due to platformisation
Electrification Our vision in numbers Retail EBITDA growth due to platformisation and related activities Retail gross capex 2020-22 (€bn) 2019-22 EBITDA evolution (€bn) +13% +13% FY 2019 41% FY 2019 3.6 3.3 3.6 3.3 3.2 3.2 0.1 0.4 0.3 1.2 €bn 0.6 0.8 82% 80% Free market 68% 2.2 2.3 59% 20% Regulated
Slide 48: Networks capex focused on quality and efficiencies
Enabling Infrastructure Our vision in numbers Networks capex focused on quality and efficiencies Networks gross capex 2020-22 (€bn) Operating performance RAB (€bn) 2019 2022 5% 13% 27% 50.0 0 ~ 43 ~45 Opex/end user 42.5 35.61 (€/cust) 11.8 €bn 40.0 0 ~12 ~14 5% 30.0 0 SAIFI2 (n) 3.2 2.9 50% 20.0 0 ~
Slide 49: Infrastructure & networks set to improve cash generation
Enabling Infrastructure Our vision in numbers Infrastructure & networks set to improve cash generation 2019-22 EBITDA evolution (€bn) FFO-CAPEX2 (€bn) +9% +5% 8 FY 2019 0.4 (0.1) 8.2 0.3 7.5 - 0.1 8.9 7 8.2 6.5 7.7 7.3 6 5.5 2019E Argentina Connections Tariffs, Efficiency FX1 2022 2019-21 2020-22 Vo
Slide 50: Enel X will capture new opportunities with customers
Ecosystems & Platforms Our vision in numbers Enel X will capture new opportunities with customers Gross Capex 2020-22 2019-22 EBITDA evolution (€bn) 5x 0.3 0.5 FY 2019 42% 58% 1.1 €bn 0.2 0.1 0.1 Enabling businesses 2019E Enabling Scale-up 2022 businesses businesses Scale-up business 49
Slide 51: ~12% of 2020-2022 capex to generate ~800€mn EBITDA post 2022
~12% of 2020-2022 capex to generate ~ 800€mn Our vision in numbers EBITDA post 2022 2020-2022 Investments (€bn) Yearly EBITDA impact post 2022 (€mn) 30. 0 3.5 25. 0 ~2.4 Decarbonisation ~650 20. 0 28.7 ~1.1 ~150 15. 0 Enabling infrastructure 25.2 10. 0 5.0 Total yearly EBITDA 0.0 ~800 Gross Capex Ca
Slide 52: Financial management & Sustainable finance
2020-2022 Financial management & Sustainable finance
Slide 53: Debt evolution reflecting capital allocation dynamics
Financial management Debt evolution reflecting capital allocation dynamics Net debt evolution (€bn) Source of funds allocation 2020-22 (€bn) +1.4 50. 0 45. 0 1.4 (28.7) 40. 0 FY 2019 49.0 35. 0 42.1 47.0 45.2 30. 0 45.0 25. 0 43.0 20. 0 (14.7) 41.0 ~46.8 ~47.3 ~47.3 ~45.9 15. 0 39.0 10. 0 37.0 5.0 3
Slide 54: Improving credit metrics
Financial management Improving credit metrics Credit metrics Long term credit rating Rating Outlook 29% 4.5 0 35% 26% 26% 27% 4.0 0 25% 30% 3.5 0 25% Standard & Poors BBB+ Stable 3.0 0 20% 2.5 0 15% 2.5x 2.5x 2.5x 2.4x Moody’s Baa2 Positive 2.3x 2.0 0 10% 1.5 0 5% 1.0 0 0% Fitch A- Stable 0.5 0 -5%
Slide 55: Continued reduction in cost of debt
Financial management Continued reduction in cost of debt Financial strategy for 2020-22 (€bn) Cost of debt evolution (2019-22) Expected Current total 4.6% Amount 4.7% cost1 cost 4.5% 4.5% 4.4% 4.4% Bond refinancing 5.5 1.7% 3.7% (40) 4.3% bps (40) bps (50) (70) Bank loans and other 4.1 0.9% 2.8% 4.1
Slide 56: Our journey to Sustainable Finance
Our journey to Sustainable Finance… Financial management Path to SDG bonds Our SDG bonds Cost of issuance discount Size Maturity KPI USD 55%3 Issue 1.5 $bn 2024 20%2 Res. Capacity 10%1 SDG Bonds 55%3 Green 2.0 €bn 2024/27 - Res. Capacity Bonds EUR Plain Vanilla Focus on Issue 125 Bonds sustainable 0
Slide 57: …will support cost of debt reduction throughout the period
…will support cost of debt reduction throughout the Financial management period Sustainable Finance evolution (2019-2030) Expected impact on cost of debt 120 .0 100 .0 -15 bps -5 bps -15 bps 80. 0 22% 23% 60. 0 43% 2019 2022 2030 40. 0 57% 77% 78% 20. 0 0.0 Brown Kd SDG Kd 1 notch 2 notch Sustainabi
Slide 58: De-risking long term targets
De-risking long term targets
Slide 59: 2020-22 EBITDA centered on sustainable businesses
2020-22 EBITDA centered on sustainable businesses De-risking our long term targets and benefitting from improved risk profile Cumulated EBITDA evolution (€bn) Cumulated EBITDA 2020-22 60. 00 0.8 2.2 1 58 (0.9) (0.5) 0.4 80% 55. 00 56 1 58 €bn 20% 50. 00 EBITDA Argentina Coal Efficiencies Contracted
Slide 60: Renewables' contribution to growth secured across the board
Operating deployment: renewables’ contribution to De-risking our long term targets growth secured across the board Development secured1 2020-22 Production secured Variance in renewable production 120 .0 2020-2022 Additional Capacity 14.1 79% 2020-22 (GW) 100 .0 Gap to target (GW) 4.2 2020-22 80. 0 ~
Slide 61: Over 90% of generation energy margin covered by sales to customer base
Operating deployment: over 90% of generation De-risking our long term targets energy margin covered by sales to customer base Integrated margin1 – energy margin vs retail margin Hedging position on price driven production Ren & Nuke 160 % Production1 60.0 hedged price vs Pool price +19% +10% (%) 201
Slide 62: Currency exposure: a low bottom line impact
De-risking our long term targets Currency exposure: a low bottom line impact from volatile currencies 2020-22 EBITDA by currency Cumulated impact 2020-222 (€bn) EBITDA Group NI 11% BRL (0.69) 0.84 (0.21) 0.24 ARS (0.12) 0.15 (0.03) 0.06 58 €bn1 28% 61% CLP (0.06) 0.09 (0.00) 0.00 Other (0.39) 0.48 (
Slide 63: Excellent credit quality and well distributed maturities
De-risking our long term targets Excellent credit quality and well distributed maturities Net Debt/EBITDA of top European Utilities1 Liquidity and debt maturity by year (€bn) 25 20 5 4.4x 15 4.5 26.5 13.5% 4 3.3x 5.7% 9.7% 2.5x 3.5 10 3 2.3x 18.4 3 2.5 2 1.5 5 7.2 1 6.2 0.5 3.6 0 0 1.4 2019 2022 Ava
Slide 64: Earnings & Targets
2020-2022 Earnings & Targets
Slide 65: Sustainable strategy delivers earnings growth of 27%
Sustainable strategy delivers earnings growth of 27% Earnings and targets Group net ordinary income (€bn) Steady operational growth driving net income +27% performance 7.0 6.1 6.5 5.8 Sustainable finance and managerial actions 6.0 5.4 5.6 5.5 granting adequate and cheap funding 4.8 5.0 4.5 4.0 3.5 A
Slide 66: Visible value creation for our shareholders
Visible value creation for our shareholders Earnings and targets 2019-22 Earnings growth 2019 2020 2021 2022 CAGR Ordinary EBITDA (€bn) 17.9 18.61 19.4 20.1 +3.9% Net ordinary income (€bn) 4.8 5.42 5.8 6.1 +8.3% 2019-22 Value creation CAGR Pay-out ratio 70% 70% 70% 70% - Implicit DPS (€/sh) 0.328 0.
Slide 67: Closing remarks
Closing remarks
Slide 68: Closing remarks
Closing remarks Accelerating decarbonisation through renewables growth and coal phase out Future proofing operations ahead of electrification of consumption Solid balance sheet with ample liquidity Sustainable value creation for all stakeholders Significant growth opportunities beyond the plan 67
Slide 69: FY 2019 Consolidated results
FY 2019 Consolidated results
Slide 70: Full Year 2019 Consolidated results
Full Year 2019 Consolidated results March,19 2020
Slide 71: COVID-19 Business continuity management and risks assessment
COVID-19 Business continuity management and risks assessment Francesco Starace CEO
Slide 72: Business continuity management: our people
COVID-19 Business continuity management: our people Remote working trends % of employees on remote working Remote working: c.35,300 total number of people +13x 1 0 0 52% 14,700 6,300 RoW: 14,300 0 0 4% - Pre COVID19 Post COVID19 Crisis management: Global Task Force set up in February 2020, outbreak
Slide 73: Business continuity management: our assets
COVID-19 Business continuity management: our assets ✓ 100% remote operational management of ✓ Complete remote management of all the renewable assets, 100% remote monitoring of activities, including call centers conventional generation ✓ Customer interactions through digital channels ✓ Optimization o
Slide 74: Risk assessment: strategic deployment not affected
COVID-19 Risk assessment: strategic deployment not affected, resilient business set up Macroeconomic Risks Business Risks Financial Risks GDP & Commodities: Prices: 2020 production sold Strong coverage and forward: Latin America leverage ratios set to ✓ 80% contracted and 100%, Europe >80% improve o
Slide 75: Full Year 2019 Consolidated results
Full Year 2019 Consolidated results Francesco Starace CEO
Slide 76: Key highlights of the year
Key highlights of the year Strong financial Push on Grid Free market Rating results decarbonisation digitalisation growth improvements +11% +3 GW Fitch A- EBITDA Renewables +5.9 mn +1.2 mn Moody’s Baa2/+ Smart +17% - 4.1 GW Customers MSCI AAA meters 2.0 CDP A Net Income Coal 75
Slide 77: Delivering on a fully sustainable capex plan
Delivering on a fully sustainable capex plan Capex increased by 17% yoy Capex by business and by nature Capex asset development by business 5%3%2% 2% 18% 2% 8% 28% 39% FY 2019 FY 2019 FY 2019 10 €bn 23% 10 €bn 59% 5.9 €bn 43% 68% Networks Enel X Asset development Networks Enel X Retail EGP Customers
Slide 78: Decarbonisation: Global Power Generation
Decarbonisation Global Power Generation A single business line to enhance opportunities of the energy transition Installed capacity and production evolution in 20191 (GW) Emission free share of production2 110 .0 51% emission free 57% emission free 235 86.5 84.7 213 90. 0 70. 0 127 43.1 - 4.2 GW 38.
Slide 79: Renewables capacity evolution
Decarbonisation Renewables capacity evolution Continued delivery on renewable growth with more than 3,000 MW built Renewable capacity evolution 2019 (GW) Total capacity 43.4 3.0 0.7 (1.3) 45.8 Capacity delivery: set new record with more than 3,000 MW built 0.1 - Managed (0.7) c. 2,400 MW added only
Slide 80: High level visibility on deployment goals
Decarbonisation High level visibility on deployment goals 2020-22 Renewables growth1: addressed share vs pipeline2 (GW) 2020 ~100% 35.9 GW 35.9 GW Pipeline Coverage ~~6.8x 7.4x 2021 30. 0 by year 63% Residual target 25. 0 2022 35% 16.2 Beyond 2022 20. 0 15. 0 62% addressed 14.1 19.7 2020-22 pipeline
Slide 81: Focus on coal phase out
Decarbonisation Focus on coal phase out Acceleration of decarbonisation with coal capacity down by 4.1 GW Coal production (TWh) Coal capacity (GW) Coal production on total1 Coal capacity on total1 Coal production almost halved in 2019 -42% -26% 4.1 GW of coal capacity (4 power 16.0 0 64.4 15.8 plant
Slide 82: Retail: progressive shift towards more profitable free markets
Electrification Retail Progressive shift towards more profitable free markets Free markets Total power customers (mn) (mn) +1.2 Free market customers up by 1.2 mn driven by Italy 16.0 17.2 65.4 64.1 60. 00 16.0 17.2 End of Italian regulated tariff: 2.2 1.7 50. 00 2021 for SME, 2022 for retail 40. 00
Slide 83: Networks: continued effort on grid digitalisation
Networks Enabling Infrastructure Continued effort on grid digitalisation with meters 2.0 almost doubled Electricity distributed (TWh) Smart meter 2.0 (mn)1 +5.9 mn smart meters 2.0 installed +4% +82% 14.0 0 500 .00 504 12.0 0 13.1 450 .00 484 10.0 0 ~30% smart meters 2.0 on total 8.00 400 .00 6.00 7
Slide 84: Enel X: development ramp up of value added services
Ecosystems and Platforms Enel X Development ramp up of our value added services New energy services Infrastructure deployment Demand Response (GW) Storage (MW) +2% +57% FY 2018 FY 2019 +63% Charging points1 (k) 49 80 6 120 6 6.3 110 100 6 6.2 6 80 Public lighting -4% 6 (mn points) 2.5 2.4 70 60 6 40
Slide 85: Shareholder remuneration
Shareholder remuneration EPS (€/sh) DPS (€/sh) +33% +32% +18% +17% 0.40 0.35 0.53 0.30 0.37 0.47 0.25 0.328 0.40 0.20 0.28 0.15 0.10 0.05 0.00 2018 2019 2020 2018 2019 2020 Min. guaranteed DPS 0.28 0.32 0.35 84
Slide 86: Full Year 2019 Financial results
Full Year 2019 Financial results Alberto De Paoli CFO
Slide 87: Financial highlights (€mn)
Financial highlights (€mn) EBITDA1 Net Income1 FFO Net Debt ✔ ✔ ✔ ✔ 17,905 4,767 11,630 45,175 +11% +17% +5% +10% FY 2018 16,158 4,060 11,075 41,0892 1. Ordinary figures 86 2. As of December 31st 2018. IFRS 16 impact from January 1st, 2019
Slide 88: Ordinary EBITDA evolution
Ordinary EBITDA evolution1 Performance supported by our sustainable and integrated business model EBITDA evolution (€bn) Ordinary EBITDA by GBL +11% 1% 20.00 18% 0.0 0.1 0.8 46% 0.2 17.9 €bn 0.1 0.5 17.9 9% (11% yoy) 15.00 16.2 26% 0.6 0.9 10.00 EBITDA 2018E EGP Conventional Retail Networks Enel X S
Slide 89: Operational efficiency
Operational efficiency Efficiencies reached 300€mn in 2019 OPEX evolution (€mn) Efficiencies by business 8,9 00.0 -1% 186 8,7 00.0 22% 140 8,5 00.0 8,590 (194) 8,582 97 8,506 FY 2019 47% 0.3 €bn 8,3 00.0 (313) 8,1 00.0 31% 7,9 00.0 7,7 00.0 FY 2018 Perimeter IFRS 16 FY 2018 Efficiency CPI & FX Devel
Slide 90: Enel Green Power
Decarbonisation Enel Green Power Robust sustained growth EBITDA evolution (€mn) EBITDA FY 2019 by geography +2% 4,80 0.00 2% 4,70 0.00 Higher prices more than offset 4,60 0.00 lower volumes 27% 4,634 48% FY 2019 4,543 4,50 0.00 4,40 0.00 Impact from large Q4 investments 4.6 €bn 4,30 0.00 not yet vis
Slide 91: Conventional generation and Global trading
Decarbonisation Conventional generation and Global trading Performance driven by higher nuclear prices and continued efficiencies EBITDA evolution (€mn) EBITDA FY 2019 by geography 2,00 0.00 +45% 11% 6% 1,80 0.00 1,60 0.00 Higher nuclear prices and volumes 1,40 0.00 1,616 FY 2019 1.6 €bn 1,20 0.00 4
Slide 92: Infrastructure and Networks
Enabling Infrastructure Infrastructure and Networks EBITDA growth driven by Enel DX Sao Paulo and efficiencies EBITDA evolution (€mn) EBITDA FY 2019 by geography 11,0 00.00 +11% 10,0 00.00 1% Enel DX Sao Paulo consolidation 25% and outstanding performance 9,00 0.00 8,00 0.00 8,228 FY 2019 47% 8.2 €b
Slide 93: Retail: performance propelled by free market
Electrification Retail Performance propelled by free market EBITDA evolution (€mn) Energy sold1 (TWh) +7% +3% Higher margins in Iberia and Latin 3,079 3,287 America 400 .00 350 .00 327 336 599 546 300 .00 c.9% cost to serve reduction 172 250 .00 163 mainly in Italy 200 .00 2,53 2,68 150 .00 3 8 164
Slide 94: Profit & loss (€mn)
Profit & loss (€mn) FY 2019 FY 2018 ∆ yoy Ordinary EBITDA 17,905 16,158 +11% Higher D&A mainly due to IFRS16, consolidation of Enel DX Sao Paulo and higher investments D&A (6,809) (6,365) +7% EBIT 11,096 9,793 +13% Lower cost of debt by around 40bps Financial expenses1 (2,413) (2,370) +2% Results fr
Slide 95: Cash flow (€bn)
Cash flow (€bn) Solid FFO generation supports increasing capex 12.0 17.9 10.0 (1.8) (0.0) 8.0 (1.8) 6.0 (2.7) 4.0 11.6 (10.0) 2.0 - 1.7 1 3 Ordinary ∆ Provisions ∆Working Income Financial FFO Capex FCF EBITDA capital taxes expenses 2 & other PY 16.2 (1.9) 1.1 (1.7) (2.6) 11.1 (8.5)4 2.5 Delta YoY +1
Slide 96: Debt (€bn)
Debt (€bn) Cost of debt declined by 40 bps, Net Debt impacted by FX and IFRS16 Gross debt Net debt evolution 50 +7% 48 46 4.0 1.1 61.5 57.4 44 42.5 45.2 60 9.0 (0.6) 6.7 42 1.4 50 7.3 IFRS 16 8.2 40 IFRS 16 40 1.4 (1.7) 38 30 41.1 36 20 41.1 45.2 34 10 32 30 - 1 2 Jan 1, 2019 Dec 31 2019 Jan 1, 2019
Slide 97: Closing remarks
Closing remarks More than 50% of NO evidence of Ample liquidity 2019 strong our people significant available and financial results as working remotely impacts thanks to strong balance a consequence of a a resilient and sheet to face strong operational No disruptions on diversified volatile scenarios
Slide 98: H1 2020 Consolidated results
H1 2020 Consolidated results
Slide 99: H1 2020 Consolidated results
H1 2020 Consolidated results July 29, 2020
Slide 100: H1 2020 Consolidated results
H1 2020 Consolidated results Francesco Starace CEO
Slide 101: Key highlights of the period
Key highlights of the period Resilient Push on Visible shareholder Group simplification performance decarbonisation remuneration 2020 Ordinary NI Accelerating coal Reached 65% in Net Income set to grow mid- phase out Enel Chile high single digit +6% Renewables DPS backed by COVID-19 Ongoing swap on
Slide 102: Market context deteriorated further over Q2
Market context deteriorated further over Q2… Currencies vs. euro1 (∆ yoy) Electricity demand (∆ yoy) Avg. spot power prices (∆ yoy) Q2 Q1 H1 Q2 Q1 H1 Q2 Q1 H1 - -35% -34% Italy -14% -5% -9% Italy -51% -33% -42% ARS/EUR 34 % - Spain -13% -3% -8% Spain -52% -36% -44% BRL/EUR 26 -13% -20% % Brazil -9%
Slide 103: Stimulus approved is set to overcome the crisis
…but stimulus approved is set to overcome the crisis and provide support for the next ten years European level Country level Unprecedented funds allocation to support a Simplification Decree green recovery ✓ Streamlined processes to support and accelerate ✓ Additional investments in power infrastruc
Slide 104: Investments confirmed and in line with previous year
Investments confirmed and in line with previous year Resilient capex program to improve visibility on mid-term targets Capex by business and by nature Asset development capex by business Capex addressed 2% 2% by year1 4% 2% 6% 20% 22% 2020E ~100% 41% H1 2020 H1 2020 H1 2020 4.1 €bn 4.1 €bn 2.5 €bn 2
Slide 105: Renewables capacity overtakes thermal capacity
Decarbonisation Global Power Generation Renewables capacity overtakes thermal capacity accelerating the decarbonisation path Installed capacity and production evolution1 (GW) Emission free share of production2 110 .0 56% emission free 67% emission free 105 86.2 82.9 90 90. 0 70. 0 - 6.6 GW 36.5 53 4
Slide 106: On course to set a new delivery record despite COVID-19
Global Power Generation – Enel Green Power Decarbonisation On course to set a new delivery record despite COVID-19 outbreak Renewable capacity evolution1 (GW) 45.8 46.4 4.00 0.0 800 MW built year to date 3.50 (0.3) 3.00 2.50 2.00 3.7 3.5 1.50 1.00 0.8 c. 3,200 MW of new capacity - expected for FY 20
Slide 107: Extensive pipeline to support investments acceleration
Global Power Generation – Enel Green Power Decarbonisation Extensive pipeline to support investments acceleration 2020-22 Renewables growth (GW) Renewables pipeline Coverage by year 2020 ~100% 2021 83% 2022 36% Mature 16. 0 Pipeline 14. 0 14.1 0.8 12. 0 9.1 10. 0 102 GW 44 58 8.0 6.0 4.0 70% secured
Slide 108: Acceleration of de-coal process
Global Power Generation – Conventional generation Decarbonisation Acceleration of de-coal process vis-a-vis CMD targets Coal capacity evolution 2019-2022 (GW) Coal production (TWh) Coal capacity below 10 GW 2.1 GW coal shut down -18% Coal Phase out Revenues from coal 2.6% on total acceleration 10. 0
Slide 109: Networks: improvement in quality, ongoing smart meter deployment
Enabling Infrastructure Networks Improvement in quality, ongoing smart meter deployment, reduction in distributed energy due to COVID-19 Electricity distributed (TWh) Smart meter 2.0 (mn)1 -8% 48% Network digitalisation +4.8 mn smart meters 2.0 installed 260 .00 16.0 0 250 .00 14.0 0 14.9 No exposur
Slide 110: Retail and Enel X: improved positioning to leverage electrification
Electrification, Ecosystem & Platforms Retail and Enel X Improved positioning to leverage electrification trends Retail Enel X and new infrastructures Free market Free market power customers (mn) energy sold (TWh)2 H1 2019 H1 2020 +600k -9% +41% Charging points3 (k) 63 89 90 82 17 100 90 17 19 Deman
Slide 111: H1 2020 Financial results
H1 2020 Financial results Alberto De Paoli CFO
Slide 112: Financial highlights (€mn)
Financial highlights (€mn) EBITDA1 Net Income1 FFO Net Debt 8,794 2,405 2,052 50,411 -% +6% -58% +12% H1 2019 8,763 2,277 4,922 45,1752 1. Ordinary figures 111 2. As of December 2019
Slide 113: FX and COVID-19 impact on demand and bad debt
FX and COVID-19 impact on demand and bad debt in the first semester (€bn) Net of Ordinary FX Demand Bad debt COVID-19 & FX COVID-19 resulted into a sharp decline in volumes affecting particularly Latam where EBITDA 8.8 0.37 0.30 9.47 offsetting mechanism are under study Bad debt provisioning increas
Slide 114: Ordinary EBITDA flat yoy despite COVID-19 and FX devaluation
Ordinary EBITDA flat yoy despite COVID-19 and strong FX devaluation Net of FX 1.6 Net of FX Resiliency of European Resiliency networks of European I&N supported supported by -3% +3% solid by regulatory frameworks Latam networks exposed to volumes 1.1 3.8 H1 2020 Net of FX 8.81 €bn Integrated margin
Slide 115: Operational efficiency
Operational efficiency Efficiencies accelerated in Q2 OPEX evolution (€mn) Efficiencies by business -7% 4,5 00.0 9% 31% 12 4,0 00.0 4,244 21% (173) (125) (29) 3,929 H1 2020 3,5 00.0 (356) 3,574 173 €mn 3,0 00.0 2,5 00.0 39% 2,0 00.0 H1 2019 Efficiency CPI & FX Develop. & Perimeter H1 2020 Spain H1 2
Slide 116: Global Power Generation
Global Power Generation Decarbonisation Performance supported by a 10% increase in unitary margins EBITDA evolution (€mn)1 EBITDA by geography1 +9% Performance driven by growth of 5% installed capacity 3,70 0 3,085 3,369 32% 29% H1 2020 3,20 0 Benefit from short position 1,073 3.4 €bn 2,70 0 811 and
Slide 117: GPG - Enel Green Power
GPG - Enel Green Power Decarbonisation Operating performance driven by new capacity deployed EBITDA evolution (€mn)1 EBITDA by geography +1% More than 100 €mn contribution 5% 2,32 0.00 from additional capacity 41% 32% 2,30 0.00 H1 2020 Opex/MW declined by 2% 2,296 2.3 €bn vs last year 2,28 0.00 2,27
Slide 118: GPG - Conventional generation and trading
Decarbonisation GPG - Conventional generation and trading Short position and efficiencies EBITDA evolution (€mn)1 EBITDA by geography 1,40 0.00 +32% Benefit from short position 1% 13% 1,20 0.00 in Spain 7% 1,073 H1 2020 1,00 0.00 c. 55 €mn efficiencies in the 800 .00 58% 1.1 €bn 811 semester mainly
Slide 119: Infrastructure and Networks
Enabling Infrastructure Infrastructure and Networks Flat yoy despite volume exposed regulation and FX in Latam EBITDA evolution (€mn) EBITDA by geography 4,50 0.00 -2% European networks protected by regulatory frameworks 29% 2% 4,00 0.00 3,921 3,849 c. 80 €mn volumes impact in Latam 1,138 781 H1 202
Slide 120: Retail
Electrification Retail Business affected by lockdowns, operations up and running EBITDA evolution (€mn)1 Free Market – Energy sold (TWh)2 -6% -4% Free market:+500k customers in Italy 32.1 30.3 Stable customer base in Spain 7.7 8.4 +9% 1,661 1,591 Italy 24.4 21.9 -10% Regulated Volumes decline affect
Slide 121: Profit & loss (€mn)
Profit & loss (€mn) H1 2020 H1 2019 ∆ yoy Ordinary EBITDA 8,794 8,763 -% Net Income increase net of FX devaluation D&A (3,339) (3,210) +4% +9% vs previous year EBIT 5,455 5,553 -2% Minorities reduction supported by our Financial expenses1 (1,119) (1,241) -10% simplification effort Results from equit
Slide 122: Cash flow (€bn)
Cash flow (€bn)1 ~2 €bn extraordinary 10.0 1.2 €bn to be recovered by YE 8.0 8.8 (1.0) 6.0 (0.4) 4.0 (3.5) 2.0 (0.9) ((1.0) 2.1 - (2.1) -2.0 (4.1) -4.0 Ordinary ∆ Provisions 2 Provision ∆Working Income Financial FFO Capex FCF 3 EBITDA reversal in capital taxes expenses Spain & other PY 8.8 (0.6) (1.
Slide 123: Debt (€bn)
Debt (€bn) Net debt evolution Gross debt 55 +3% 2.6 1.0 2.1 61.5 63.6 50 (0.7) 50.4 50.4 0.2 60 5.9 Cash 45 9.0 7.3 Fin. receivables 7.3 50 45.2 40 40 30 20 45.2 50.4 Net debt 35 10 30 - 1 Dec 31, 2019 IFRS 16 FCF Dividends Active portfolio FX June 30,2020 Dec 31, 2019 Jun 30, 2020 paid management C
Slide 124: Strong financial position
Strong financial position Abundant liquidity to support business continuity Liquidity position and LT debt maturites (€bn) Credit metrics 30.0 2019 2020 26.5 ND/EBITDA 25.0 (LTM) 2.7x 2.8x Cash 5.9 20.0 18.0 Bank Loans Rating Outlook 15.0 5.3 & Others Committed S&P BBB+ Stable 10.0 20.6 credit lines
Slide 125: Limited impact on 2020 targets from scenario deterioration
Limited impact on 2020 targets from scenario deterioration Shareholder remuneration - DPS (€/sh) 2020 +9% 2020E target +7% Ordinary EBITDA (€bn) 18.6 c. 18.0 0.37 0.36 0.36 0.35 Net ordinary income (€bn) 5.4 5.0-5.2 0.35 0.34 0.33 0.328 Net debt (€bn) 0.32 46.8 48-49 0.31 2019 @MIN @5.2€bn NOI guara
Slide 126: Closing remarks
Closing remarks Strategy DPS to increase by at Solid results accelerating on 2020 earnings set least +7% yoy despite a global energy to grow mid-high supported by challenging 0.35 €/sh trends supporting single digit environment Minimum DPS growth 125
Slide 127: Annexes
2020-2022 Annexes
Slide 128: Agenda
Agenda Page Macro scenario 129 Conventional generation 132 EGP 135 Financial annexes Infrastructure & Networks 139 Retail 143 Enel Group 148 2020 – 2022 Sustainability Plan 156 Focus on People Centricity 158 ESG annexes Focus on Corporate Governance 161 Focus on Innovation & Cybersecurity 167 127
Slide 129: Financial annexes
2020-2022 Financial annexes
Slide 130: Macro scenario
2020-2022 Macro scenario
Slide 131: GDP, CPI, FX
Macro scenario GDP, CPI, FX GDP (%) CPI (%) FX against €1 2020 2021 2022 2020 2021 2022 2020 2021 2022 Italy 0.5 0.6 0.7 1.3 1.5 1.7 n. m. n. m. n. m. Iberia 2.0 1.7 1.5 1.7 1.8 1.9 n. m. n. m. n. m. Latin Am erica A rgentina (1.3) 1.4 1.8 48.6 34.8 22.9 77.8 95.2 115.2 B razil 2.6 2.6 2.5 4.1 3.9 3
Slide 132: Commodities' prices
Commodities’ prices Macro scenario 2019 2020 2021 2022 Gas TTF (€/MWh) 13.5 19.2 19.5 19.7 Gas Henry Hub ($/m m btu) 2.5 3.1 3.1 3.1 Gas PSV (€/MWh) 16.0 20.9 21.1 21.3 Oil Brent ($/bbl) 64.1 65.0 65.0 66.0 Coal API2 ($/ton) 61.0 75.0 76.0 78.0 CO2 (€/ton) 24.8 23.5 24.0 24.5 131
Slide 133: Conventional generation
2020-2022 Conventional generation
Slide 134: Conventional generation: installed capacity
Installed capacity1 (GW) Conventional generation By technology By geography 8% 9% 32% 34% 35% 12% 15% 2019 2022 41% 2019 2022 29% 32% 36.5 GW 42.2 GW 42.2 GW 36.5 GW 18% 21% 38% 30% 28% 18% Nuke CCGT Coal Oil & Gas Italy Latin America Iberia Rest of Europe Nuke CCGT Coal Oil & Gas Total 2019 2020 20
Slide 135: Conventional generation: production
Production1 (TWh) Conventional generation By technology By geography 20% 25% 17% 24% 16% 18% 2019 22% 2022 25% 2019 2022 129.7 TWh 35% 106.0 TWh 129.7 TWh 40% 106.0 TWh 37% 15% 43% 29% 16% 18% Nuke CCGT Coal Oil & Gas Italy Latin America Iberia Rest of Europe Nuke CCGT Coal Oil & Gas Total 2019 2020
Slide 136: EGP
2020-2022 EGP
Slide 137: EGP consolidated capacity
EGP Consolidated capacity1 (GW) By technology By geography 13% 2% 15% 2% 7% 52% 2% 27% 2% 16% 33% 3% 2019 67% 2022 2019 2022 42.1 GW 1% 54.2 GW 42.1 GW 54.2 GW 24% 32% 34% 19% 31% 18% Italy Latin America North America Hydro Wind Solar & Other Geothermal Iberia Rest of Europe Africa, Asia & Oceania H
Slide 138: EGP consolidated production
EGP Consolidated production1 (TWh) By technology By geography 13%2% 2% 18% 4% 45% 24% 19% 6% 12% 2% 2019 63% 2022 2019 2% 2022 5% 12% 99.4 TWh 143.3 TWh 99.4 TWh 143.3 TWh 10% 27% 38% 49% 47% Italy Latin America North America Hydro Wind Solar & Other Geothermal Iberia Rest of Europe Africa, Asia & O
Slide 139: EGP consolidated additional capacity and pipeline
EGP Consolidated additional capacity and pipeline1 (GW) Consolidated additional capacity by technology COD 2020-2022 Pipeline by geography 1% Wind 2020-22 Solar COD 49% 11.62 GW 50% 2020 2021 2022 Total Hydro Italy 0.0 0.5 1.6 2.1 Iberia 0.1 1.0 1.8 2.9 Latin America - 0.3 4.8 5.1 Rest of Europe 0.0
Slide 140: Infrastructure & Networks
2020-2022 Infrastructure & Networks
Slide 141: Electricity distributed, End users, Smart meters
Electricity distributed, End users, Smart meters1 Infrastructure & Networks Electricity distributed (TWh) End users (mn) Smart meters (mn) 2019 2020 2021 2022 2019 2020 2021 2022 2019 2020 2021 2022 Italy 224.6 226.5 226.8 227.1 31.5 31.5 31.5 31.6 31.4 31.4 31.4 31.6 Iberia 126.5 127.0 128.4 129.8
Slide 142: Current regulatory framework in Europe
Infrastructure & Networks Current regulatory framework in Europe1 Italy Iberia Romania WACC real pre tax 6.9% 5.9% 6.0% 2019 Next Regulatory 20242 2026 2024 Period Regulatory Period 4+4 6 5 Length (years) Metering Owned by Owned by Owned by Ownership DSO DSO DSO Smart meter Yes No Yes inclusion in R
Slide 143: Current regulatory framework in Latin America
Infrastructure & Networks Current regulatory framework in Latin America1 Argentina Brazil Chile Colombia Peru WACC real pre tax 10.0%2 12.5% 12.3% 11.79% 12.0%2 2019 Next Regulatory 2022 2023 Nov 2020 2024 Nov 2022 Period Regulatory Period 5 (Rio, Goias) 5 4 5 4 Length (years) 4 (Ceará, São Paulo) M
Slide 144: Retail
2020-2022 Retail
Slide 145: Power & gas customers and volumes
Power & gas customers and volumes1 Retail Power Gas Customers (mn) Volumes (TWh) Customers (mn) Volumes (bsmc) 2019 2022 2019 2022 2019 2022 2019 2022 Italy 23.7 18.5 97.5 92.6 4.1 4.4 4.7 4.7 Free Market 9.2 18.5 62.0 92.6 4.2 4.4 4.7 4.7 Regulated 14.4 - 35.6 - - - - - Iberia 10.6 10.7 89.4 103.1
Slide 146: Power unitary margin and opex per client
Retail Power unitary margin and opex per client Power unitary margin Opex per client (€/MWh) 1 (€/customer) 2019 2022 2019 2022 Italy 22.3 20.2 26.0 22.9 Iberia 10.5 9.8 35.5 30.5 Latin America 3.8 3.0 14.4 12.5 Rest of Europe 6.3 10.4 16.2 11.3 1. Includes only power free market 145
Slide 147: Italian power market 2019
Italian power market 2019 Customers (mn) Energy sold (TWh) Enel Enel Enel Enel market share1 market share2 market share1 market share2 40% 36.8 18.5 239.3 286.2 4.5 7.2 53% 24% 18.3 14.0 205.3 220.1 2.8 29.5 47% 15.5 46.8 34.1 14.8 66.1 32.0 Regulated 79% Free 50% Total Regulated Free Total 84% 27%
Slide 148: Spanish power market 2019
Spanish power market 2019 Customers (mn) Energy sold (TWh) Enel Enel market share1 market share1 18.3 29.4 226.6 253.9 30% 55.3 32% 81.2 17.4 28.5 171.4 11.2 0.9 33% 172.7 31% 11.2 27.3 26.0 0.0 0.9 1.3 43% 30% Regulated 48% Free 34% Total Regulated Free Total Business Residential 147 1. Customers:
Slide 149: Enel Group
2020-2022 Enel Group
Slide 150: Gross Capex
Gross Capex1 (€bn) Enel Group Cumulated gross capex by GBL2 Cumulated gross capex by geography3 10%1% 4% 41% Networks 3% Italy 4% Retail 32% Iberia 7% Conventional generation Latin America 28.7 €bn 28.7 €bn Enel X 32% Rest of Europe EGP North America 44% 22% Africa, Asia & Oceania Global Generation
Slide 151: Asset development capex
Asset development capex1 (€bn) Enel Group Cumulated asset development capex by GBL2 Cumulated asset development capex by geography3 27% Networks 15% 1% Italy 3% 29% 4% Retail 3% Iberia Conventional generation Latin America 17.2 €bn 17.2 €bn Enel X Rest of Europe EGP 32% North America 20% 66% Africa,
Slide 152: Asset management capex
Asset management capex1 (€bn) Enel Group Cumulated asset management capex by GBL2 Cumulated asset management capex by geography3 2% Networks 3% Italy 30% Iberia 20% Retail 64% 36% Latin America 6.5 €bn Conventional generation 6.5 €bn Rest of Europe EGP North America 16% 29% Africa, Asia & Oceania Gl
Slide 153: Customers capex
Customers capex1 (€bn) Enel Group Cumulated customers capex by GBL2 Cumulated customers capex by geography3 2% 5% Networks 1% Italy 12% Iberia 43% 5.0 €bn 64% Retail 31% 5.0 €bn Latin America Rest of Europe 24% Enel X North America 18% Africa, Asia & Oceania Global Generation Conventional Generation
Slide 154: Ordinary EBITDA
Ordinary EBITDA1 Enel Group By GBL2 By geography3 20.1 17.9 20.1 17.9 Italy Networks 3% 4% 43% 3% 4% Iberia 46% Retail 33% 29% Latin America Conventional generation 17% 21% Rest of Europe 21% 18% 8% Enel X North America 1% 9% 2% EGP 29% 42% 39% Africa, Asia & Oceania 26% 2019 2022 2019 2022 Conventi
Slide 155: Baseload power price & production sold forward
Enel Group Baseload power price & production sold forward Baseload price 2020 2021 Italy (€/MWh) 60.2 59.8 Iberia (€/MWh) 53.2 53.5 Production sold forw ard 2020 2021 2022 price % price % price % 1 Italy (€/MWh) 56.9 100% 52.2 67% 51.2 23% Iberia (€/MWh)1 73.6 100% 72.1 92% ̴ 72.0 30% Brazil (USD/MW
Slide 156: Environmental, Social and Governance annexes
2020-2022 Environmental, Social and Governance annexes
Slide 157: Sustainability Plan
2020-2022 Sustainability Plan
Slide 158: 2020-2022 Sustainability Plan
Sustainable business model, driving change through 2020-2022 Sustainability Plan innovation 157 Enel public committment to United Nations (7.1, 4, 8, 13)
Slide 159: Focus on People Centricity
2020-2022 Focus on People Centricity
Slide 160: Engaging People we work with
Engaging People we work with Focus on People Centricity Plan actions 2019 2020-2022 targets Promotion of digital skills’ dissemination 46% of people involved in digital 100% of people involved in digital among all employees skills training skills training Gender - % of women in selection 42% women i
Slide 161: Engaging local Communities
Engaging local Communities Focus on People Centricity Plan actions 20191 2020-2022 targets High-quality, inclusive and fair education 1.3 mn beneficiaries 2.5 mn beneficiaries in 20301 Access to affordable and clean energy 7.9 mn beneficiaries 10.0 mn beneficiaries in 20301 Employment and sustainabl
Slide 162: Focus on Corporate Governance
2020-2022 Focus on Corporate Governance
Slide 163: Corporate governance structure
Focus on Corporate Governance Corporate governance structure 78% Shareholders’ meeting Audit firm BoD’s composition 11% 11% Board of Statutory Board of Directors1 Auditors (3 members) Non executive Executive (9 members2) Independent Nomination and Control and Risks Related Parties Committee Corporat
Slide 164: Board composition
Focus on Corporate Governance Board composition Board of Directors Board of Directors’ diversity Chair 33% Michele Crisostomo (C) Corp. Governance & Sust. C. 44% CEO and Age Gender Francesco Starace diversity 22% diversity General Manager 45% 56% (C) Control & Risks C. Cesare Calari Nomination & Com
Slide 165: CEO's short-term variable remuneration
CEO’s short-term variable remuneration1 Focus on Corporate Governance Macro objective Objective Type of target Weight2 Entry (50%) Target (100%) Over (150%) Ordinary consolidated Profitability 35% 5.25 €bn 5.35 €bn 5.41 €bn Economic net income Efficiency Group Opex 20% 8.28 €bn 8.12 €bn 8.04 €bn Eco
Slide 166: Long-term variable remuneration
Focus on Corporate Governance Long-term variable remuneration1 Macro objective Objective Type of target Weight5 Target (130%)6 Over I (150%) Over II (280%)6 Enel’s TSR from Enel’s TSR from Enel’s TSR > Performance TSR2 50% 100% to 110% 110% to 115% 115% of TSR Market of TSR Index of TSR Index Index
Slide 167: Enel group's listed companies
Enel group’s listed companies Focus on Corporate Governance 70.1% 64.9%1 65.0%2 56.4% Chile Américas3 Russia 93.5% 99.1% 99.9% 100% 100% Enel Gx Chile Enel Dx Chile Enel Argentina Enel Brasil Enel Perú 96.5% 92.6% 75.7% Enel Gx Piura 83.2% 83.6% Pehuenche Enel Gx Costanera Enel Dx Perú Enel Gx Perú
Slide 168: Focus on Innovation & Cybersecurity
2020-2022 Focus on Innovation & Cybersecurity
Slide 169: Innovation
Focus on Innovation & Cybersecurity Innovation Plan actions 2020-2022 targets 10 innovation hubs ~83 partnerships 5 innovation labs1 Implementation in the business of 30 projects with startups Promoting global Crowdsourcing 12 innovation partnership and upporting high-potential >400.000 solver commu
Slide 170: Cyber security
Cyber security Focus on Innovation & Cybersecurity Plan actions 2020-2022 targets 2 mn Risky emails blocked1 (#) every day Coverage of web 100% of internet web applications exposed to applications protected internet with advanced Connections to dangerous 400K through advanced cyber security websites
Slide 171: Disclaimer
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 are based on Enel S.p.A.’s curr
Slide 172: Contact us
Contact us Contacts Email investor.relations@enel.com Phone +39 06 8305 7975 Monica Girardi Channels Head of Group Investor Relations Website Mobile App Investor Relations team Enel.com Enel Investors Federico Baroncelli Francisco Basauri Serena Carioti Federica Dori Follow us Federica Pozzi Fabrizi