EDP Renewables SA · EURONEXT:EDPR
EDP Renewables SA — EDP Renováveis — Q1 2011 Earnings Presentation
22 slides from EDP Renewables SA's earnings presentation, May 4, 2011
Slide 1: 1Q 2011 Results
1Q 2011 Results 4th May, 2011 www.edprenovaveis.com
Slide 2: Agenda
Agenda I Highlights of the period II 1Q11 Operating and financial performance III Outlook and conclusion
Slide 3: Highlights of the period
» ~ /)| Highlights of the period
Slide 4: Strong operational performance
Strong operational performance Executing capacity • Capacity added: +1.2 GW YoY; +188 MW in 1Q11 (best 1st quarter) increase • On track to achieve 2011 capacity increase target (800-900 MW) Delivering strong • Top-class assets delivering 33% load factor output growth • Output grew 21% YoY backed on
Slide 5: Financial management delivering solid results
Financial management delivering solid results • EBITDA +19% YoY and Net Income +16% YoY on the back of the Achieving solid operational performance double digit growth • Higher Cash-Flow from operating assets: +18% YoY to €173m • Debt reduced by €0.2bn: funding needs covered by Cash-Flow and Reducing
Slide 6: 1Q11 Operating and financial performance
1Q11 Operating and financial performance
Slide 7: Installed capacity increased 21% YoY to 6.9 GW
Installed capacity increased 21% YoY to 6.9 GW YoY Capacity Increase 2011 Quarterly Additions (EBITDA GW + Eólicas PT(1)) (EBITDA MW + Eólicas PT) % of 2011E additions +1.2 GW +21% +800-900 6.9 5.7 c22% +188 1Q10 1Q11 1Q 2Q 3Q 4Q 2011E • Ongoing growth: 1.2 GW installed in the last 12 months and 188
Slide 8: Quality assets and portfolio diversification to deliver top-notch load factor
Quality assets and portfolio diversification to deliver a recurrent global top- top-notch load factor Load Factor 1Q11 Portfolio Diversification (1) (%) (MW) 1Q10 1Q11 Portugal France Belgium EU 34% 29% Poland Romania Spain PJM US 31% 35% MISO WECC EDPR 33% 33% NYISO SPP ERCOT • EU: lower wind resou
Slide 9: Electricity generated in the 1Q11 increased 21%
Electricity generated in the 1Q11 increased 21% reflecting capacity additions and quality load factors YoY Electricity Output (1) Electricity Output Breakdown (1) (TWh) (%) +21% 4.4 +0.7 3.6 +0.1 Regulated 45% 45% 51% Frameworks Long-Term 35% 38% Contracts 35% Spot & Short- 20% 14% 17% term hedges 1
Slide 10: Selling price slightly declining YoY on different output mix
Selling price slightly declining YoY on different output mix, but recovering vis- vis-à-vis 4Q10 EDPR price evolution: YoY and QoQ Price Evolution by Market (€/MWh) -3% • Positive evolution in all European +5% markets 60 • Stability of prices backed by regulatory 58 +5% YoY 55 frameworks +5% QoQ • H
Slide 11: Revenues reached €284m, in a 17% YoY increase
Revenues reached €284m, 284m, in a 17% YoY increase… Revenues Main drivers for Revenues performance (€ million) +17% Strong electricity output increase 284 US +37%; EU +7% 242 Stable top-sector net capacity factor of 33% Different portfolio mix: US production increased to 55% of total output 1Q10 1Q
Slide 12: EBITDA growth in line with electricity output
EBITDA growth in line with electricity output EBITDA (1) EBITDA: Geographic Breakdown (2) (€ million) (€ million) EBITDA margin +19% 220 220 +36% 185 +9% 80 ($109m) 36% 141 64% 1Q10 EU US 1Q11 EU US 1Q11 81% 72% 77% Top-sector EBITDA margin Notes: (1) Includes €-0.4m in 1Q11 and €-4m in 1Q10 from Ot
Slide 13: Net profit of €49m (+16% YoY)
Net profit of €49m 49m (+16% YoY) YoY) reflecting the operational performance Net Profit (€ million) YoY % Strong operational growth and higher EBITDA +19% +16% EBITDA margin (77% in 1Q11) 49 Reflecting the ongoing growth plan D&A +27% execution and higher PPA amort.(1) 43 Financial Higher avg. Debt
Slide 14: Operating Cash-Flow increased 18% to €173 million
Operating Cash- Cash-Flow increased 18% to €173 173 million 1Q11: Net Profit to Cash-Flow YoY Operating Cash-Flow (Before Capex) (€ million) (€ million) +18% 173 -5 147 +85 173 +38 49 Financial Non-Cash Working Operating 1Q10 1Q11 Net Profit Costs Items Capital Cash-Flow Invested capital continues t
Slide 15: Operating Cash-Flow covered 90% of 1Q capex
Operating Cash- Cash-Flow covered 90% of 1Q capex 1Q11: Source and Use of Funds(1) (€ million) Source of Funds Use of Funds 97 463 301 47 173 191 Operating Cash and Debt Equipment Other Capex Cash-Flow Equivalents Payment Suppliers Payments • Gross Debt declined €0.2bn: funding needs covered by Oper
Slide 16: Funding strategy to support growth and portfolio risk management
Funding strategy to support growth and portfolio risk management 1Q11: Debt Profile Debt Maturity (1) (%) (€m) 3,000 2,000 EUR 52% Fixed 91% 1,000 USD 41% Variable 9% PLN/BRL 8% 0 Type Currency 2011 2012 2013 2014 2015 2016 2017 >2018 Debt structure designed to match EDPR’s business model and Cash-F
Slide 17: Outlook and Conclusions
~ p Outlook and Conclusions
Slide 18: EDPR to manage a diversified portfolio of 7.5 GW by Dec-2011
EDPR to manage a diversified portfolio of 7.5 GW by Dec- Dec-2011 2011E added capacity Quality assets, lower unitary capex and (EBITDA MW + Eólicas PT) higher Cash-Flow from operations 800-900 Executing projects >200 with secured top-line visibility 461 Capital expenditures below €1bn Funding needs
Slide 19: Conclusions
Conclusions Solid operating and financial growth on the back of strong electricity output increase Increased Cash-Flow capabilities of existing assets underlining EDPR wind farms’ high quality On track to add 800-900 MW in 2011 18
Slide 20: Disclaimer
Disclaimer This presentation has been prepared by EDP Renováveis, S.A. (the "Company") solely for use at the presentation to be made on the 4th of May 2011. By attending the meeting where this presentation is made, or by reading the presentation slides, you acknowledge and agree to be bound by the f
Slide 21: IR Contacts
IR Contacts Rui Antunes, Head of IR Francisco Beirão Diogo Cabral E-mail: ir@edprenovaveis.com Phone: +34 914 238 402 Fax: +34 914 238 429 EDP Renováveis online Next Events Roadshow London: 10-11 May 2011 Site: www.edprenovaveis.com Santander Portuguese Conference in Lisbon: 19 May 2011 BPI / NYSE E
Slide 22: edp renovaveis
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