Enel Chile Sa · BCS:ENELCHILE
Enel Chile Sa — Enel Distribución Chile — Investor Presentation (June 2017)
26 slides from Enel Chile Sa's investor presentation, Jun 1, 2017
Slide 1: Enel Distribución Chile Analyst Update Meeting
Enel Distribución Chile Analyst Update Meeting Andreas Gebhardt Simone Tripepi Santiago, June 1st, 2017
Slide 2: Agenda
Enel Distribución Chile Agenda Business Overview, Regulatory Framework and Financial Results 2016 Market Strategic Plan 2017 - 2019 1
Slide 3: Business Overview
Business Overview La Serena Santiago Concepción • Enel Dx Chile is the largest electricity distribution company in terms of energy sales and the second in terms of number of customers at country level. • We operates through a indefinite concession granted by the Ministry of Energy (2,066 Kms2) • The
Slide 4: Electricity business
Electricity business Transmission Distribution (Natural Monopoly) (Natural Monopoly) “Nacional” “Transmisión Zonal” Related (Transmission) (Subtransmission) services Light meter rental Pole rental Disconnection and Consumers Consumers Reconnection of services VI: USD 8.5 millions VI: USD 860 million
Slide 5: Remuneration and Tariff processes
Remuneration and Tariff processes • Remuneration regulated by Annualized Investment Value (investment, useful life, discount rate) + Efficient Operation and Tx Maintenance Costs • Price Cap Revenue Cap [2018 – 2019: transitional process] [2020 – 2024: new tariff process] Concession • Indefinite ad
Slide 6: 2016 Results – Operating highlights
2016 Results – Operating highlights Distributed Energy (TWh) End Users (Th) SAIDI1 (minutes) Energy losses (%) + 0.2% + 2.5% (8.0%) 0% 15.9 15.9 1,781 1,826 225 207 5.3 5.3 2015 2016 2015 2016 2015 2016 2015 2016 1, SAIDI: System Average Interruption Duration Index 5
Slide 7: 2016 Financial Results
2016 Financial Results USD Millions EBITDA Recurrent Margin* Opex +4% +3% -9% 395 407 274 284 131 120 2015 2016 2015 2016 2015 2016 Recurrent Margin* exclude extraordinary revenues and costs 6
Slide 8: Agenda
Enel Distribución Chile Agenda Business Overview, Regulatory Framework and Financial Results 2016 Market Strategic Plan 2017 - 2019 7
Slide 9: Gross Margin, USD millions 2015 vs 2016
2015 vs 2016 Gross Margin, USD millions Free Market VAS +3% +11% 19 28 29 17 2015 2016 2015 2016 8
Slide 10: Context: Distribution and Market in Chile
Context: Distribution and Market in Chile Market liberalization and energy commercialization The growth since 2015 and 2016 is focused in adding potentially free customers to the portfolio and multi sites clients (such as chains of shopping malls) Status of contracting of Free Customers ~ 2.300 407
Slide 11: Opportunity in free and potentially free market
Opportunity in free and potentially free market Business Opportunity Strengths: Free Market Potentially Free Market • Commercial structure adapted to customer needs not offered by ▪ 90 customers ▪ 516 customers competitors North Zone (27 Gx, 63 Dx) • Bundling with energy efficiency project Metropoli
Slide 12: VAS Business Lines
VAS Business Lines Strategy Capture the full value of Our objective is to be existing customers and We have solutions to recognized from the the potential to expand some of the main customer as the beyond the concession We do not sell challenges of our reliable partner to area with innovative produc
Slide 13: Urban Development
Transforming innovation and pilot into sustainable business URBAN DEVELOPMENT Description To develop and promote an aggressive offer to position ourselves in the market (CCTV cameras, cellular microcells, LED screens and ornamental lighting and buildings) Objetive To install 150 antennas with WOM To
Slide 14: Electric Bus Transantiago
Transforming innovation and pilot into sustainable business ELECTRIC BUS TRANSANTIAGO Description To develop value propositions for future public transport tenders, promoting electric mobility Objetive To implement electric bus fleet in Transantiago Ministry of Transport began the incorporation of 9
Slide 15: E-Commerce
Increase VAS sales E-COMMERCE Description Boosting mass sales through an on-line technology platform, flexible and close to customers Objetive Massify VAS e-sales 40% of the sales of air conditioning are by this channel. It's already a reality! 14
Slide 16: Gross Margin, USD Millions 2016 vs 2019
2016 vs 2019 Gross Margin, USD Millions Free Market VAS +53% +117% 41 44 29 19 2016 2019 2016 2019 15
Slide 17: Agenda
Enel Distribución Chile Agenda Business Overview, Regulatory Framework and Financial Results 2016 Market Strategic Plan 2017 - 2019 16
Slide 18: Operational KPIs 2017 - 2019
Operational KPIs 2017 - 2019 Distributed Energy (TWh) End Users (millions) + 8% +7% 17,1 2,0 15,9 1,8 2016 2019 2016 2019 17
Slide 19: Operational Efficiencies
Operational Efficiencies SAIDI1 (minutes) Energy Losses (%) (18%) (4%) 207 5,3 5,1 170 2016 2019 2016 2019 Quality plan Energy losses reduction Reduction of the interruptions duration, installing equipment and Improvements in balance and energy recovery systems which can allow to remotely operat
Slide 20: Operational Efficiencies
Operational Efficiencies Cash Cost / End User (1) Synergies in processes and systems -18% Process reengineering In / outsourcing optimization 101 Convergence of ICT systems 83 Operational Excellence Synergies and savings achieved Optimization of suppliers contracts Best practice sharing
Slide 21: Digitalization Strategy
Digitalization Strategy Remote Control y Quality Plan Global Distribution System Smart Meters E4E Workforce Management Big Data – Data Analytics 20
Slide 22: Growth investments 2017-2019
Growth investments 2017-2019 Growth Capex by topic (USD Millions) Key Figures + 150 thousands connected end users 14% 40% ~470 Cumulative Growth EBITDA ~90 USD MM 46% Time to EBITDA < 2 años Smart Meters Conexiones Connectionsy&Transmisión Transmission Calidad Quality, yEfficiency Eficiencia& Others
Slide 23: Enel Chile – Looking forward
Enel Chile – Looking forward Looking forward - Other business (PSVA’s & Future projects) Public Lighting Energy efficiencies Distributed Generation Electric Transportation Presence outside our In 2016, approximately Initiatives within and outside First electric bus on public concession area.
Slide 24: Financial Targets
Financial Targets USD millions EBITDA CAPEX + 37% + 85% 389 223 284 120 2016 2019 2016 2019 23
Slide 25: Thank you
enet Thank you
Slide 26: Disclaimer
DISCLAIMER This presentation does not constitute an offer to sell any securities and is not soliciting an offer to buy any securities in any jurisdiction. This presentation contains certain “forward-looking statements” regarding anticipated financial and operating results and statistics and other fu
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