Enbw Energie Baden-wuerttemberg Ag · XETR:EBK
Enbw Energie Baden-wuerttemberg — EnBW Energie Baden-Württemberg — Investor Presentation (September 2024)
35 slides from Enbw Energie Baden-wuerttemberg's investor presentation, September 2024
Slide 1: Investor presentation September 2024
Slide 2: EnBW at a glance
power generation, trading, transmission & distribution, energy sales and e-mobility • Generation capacity: >12 GW • Revenues: €44.4 bn • ESG ratings: AA (MSCI), A- (CDP) • Power generation: 27 TWh • Adj. EBITDA: €6.4 bn • EU taxononomy-aligned capex: 87% • Electricity and gas grids: 179,000 km • Ret
Slide 3: Adjusted EBITDA development 2019-2030
in € bn 6.4 5.5 – 6.3 4.6 – 5.2 4.0 2.8 3.0 2.4 2019 2020 2021 20221 2023 Guidance Target 2024 2030 • Uncertainty in • Power price • Decline in European commodity markets volatility power prices (2022) (2023) (2024) 1 Restated figures. 3
Slide 4: 6M 2024 highlights
• Solid first half results across all segments in line with expected normalization of commodity and energy prices €2.6 bn €0.9 bn • Group adj. EBITDA guidance for 2024 reiterated and on track to achieve Adj. EBITDA Adj. net profit 6M 2023: €3.5 bn 6M 2023: €1.7 bn €4.6 – 5.2 bn • Successful green bo
Slide 5: Progress on energy transition KPIs
+0.2 GW (to 6.5 GW) -1 GW (to 3.5 GW) 1.5 GW (under construction) Installed renewables capacity1 Coal-based capacity H2-ready new flexible capacity 55% 3% (-1% pt yoy) >800 km (under construction) Renewables installed capacity share Coal-based revenues TSO power links projects 5 GW -100 g/kWh (to 29
Slide 6: Adjusted EBITDA by segment 6M 2024
in € m €4.6 - 5.2 bn 3,498 Guidance 2024 912 - Pumped storage earnings contribution below exceptionally high 2,588 level in the previous year 596 1,695 855 - Return to normalized earnings level after very high earnings 68% low-risk contribution in 2023 55% low-risk earnings -26% earnings 1,157 1,021
Slide 7: Net cash investments 6M 2024
in € m Net cash investments Co-financing/divestments 2,480 13% 13% 1,584 Sustainable Generation Infrastructure Renewable Energies 2,160 €2.5 bn Thermal Generation and Trading 6M 2024 System Critical Infrastructure 1,602 35% Smart Infrastructure for Customers +57% 38% 320 -18 6M 2023 6M 2024 87% of t
Slide 8: Guidance 2024
in € bn • Decline on the back of the falling energy prices and lower hedged generation margins 4.6 2.6 - 3.1 • Increased capacity in renewables Guidance 2024 • Higher earnings from grids through returns 4.6 – 5.2 1.8 1.9 - 2.2 from increased investments 2023: 6.4 • No repetition of negative one-offs
Slide 9: Strategy update with outlook to 2030
Focus on the infrastructure aspects of existing energy-related business fields Update of the strategy 2025 with an outlook to the period up to 2030: Main goal of the strategy: • Rigorously push forward the expansion of the energy infrastructure Development of a balanced and diversified business port
Slide 10: Targets 2030
0.7 - 1.0 ≥ 70% 10% ≥85% Low-risk Taxonomy-aligned earnings share 30% CAPEX 1 (Adj. EBITDA Grids and 5.5 - 6.3 Renewables) 40 € bn 2.7 - 3.0 € bn 2.3 - 2.6 60% Net investments2 2024-30: €22 bn Sustainable Generation Infrastructure System Critical Infrastructure Smart Infrastructure for Customers Env
Slide 11: Generation portfolio transformation
0.2 GW 1.3 GW 2.2 GW • Significant expansion of the portfolio 0.9 GW 0.1 GW • Renewable portfolio increases to 13.4 GW 12.2 GW 1.5 GW 75-80 % 10 – 11.5 GW by 2030 o/w 2.5 GW o/w 5.7 GW Renewables Renewables Renewables • Thermal generation is gas-based; (19%) (47%) coal-free in 2028 1.0 GW 1.0 GW • S
Slide 12: Decarbonization path aligned to Paris Agreement
in GW 6M 24: 4.5 reduction of 4.3 coal-fired 2027 2030 2035 generation capacity 2026 2028 by ~0.9 GW1 3.5 Hard coal Fuel switch projects Coal phase-out Climate neutrality 3.6 2.6 Start of commercial (subject to framework Scope 1 & 2 3.5 Lignite 2.3 operation conditions) emissions 2.6 1.7 1.4 All coa
Slide 13: Funding strategy and credit strength
—EnBW a) Funding strategy and credit strength
Slide 14: Funding strategy
• Refinancing of maturing liabilities • Funding of corporate growth • EnBW’s assets are typically characterised by long life cycles • Decision based on market demand, maturity profile & interest levels • First green bond issued in 2018 • Target 2030: at least 85% of all new issues to be sustainable
Slide 15: Share of green bonds to total outstanding
in % 3 6 2131 4 52 Public senior bond EUR Share of green Public hybrid bond USD Green bonds to total 21 Instrument Private placement Currency GBP outstanding Conventional mix mix Promissory note CHF bonds 48 USPP JPY 66 93 3 15 21 Target share Sustainable Tier Senior Fixed/ Fix sustainable Conventio
Slide 16: Green Financing Framework
100% EU taxonomy- Eligible Project Contribution to aligned • First published in 2018 and most recently green activity category UN SDGs EU taxonomy updated in 2024 4.1 Electricity generation using • Alignment with ICMA Green Bond Principles & • Solar (PV) energy generation solar photovoltaic technolo
Slide 17: Allocation to green bonds
Allocation to green bonds 100% 80% 60% 40% 20% 0% Senior bond 2018 Hybrid bond 2019 Hybrid bond 20201 Hybrid bond 2021 Senior bond 2022 Senior bond 2023 Hybrid bond 2024 Senior bond 2024 (€0.5 bn) (€1.0 bn) (€0.5 bn) (€0.5 bn) (€1.0 bn) (€1.5 bn) (€0.5 bn) (€1.2 bn) The proceeds will be fully alloca
Slide 18: Investment highlights
• Demonstrated resilience across cycles and crises • >93% of share capital owned by Baden-Wuerttemberg (third-largest German state) and OEW (an association of counties) • Target 2024-30: ≥70% share of regulated grids and contracted or guaranteed • €40 bn of gross investments 2024-2030 with ≥85% taxo
Slide 19: Additional information
Additional information 17 25 26 27 28 29 30 Segment overview Net debt Retained cash flow Total investments Financial calender IR contacts Important note —EnBW
Slide 20: Sustainable Generation Infrastructure
• Joint ventures with bp to build 5.9 GW offshore wind farms in the UK by 2029 • Power generation and marketing of electricity, district heating, trading, gas storage • 30% of all investments will be on the expansion of wind farms and solar parks and the construction of climate-friendly, H2-ready po
Slide 21: Renewable Energies
0.1 1.0 1.0 • Adj. EBITDA 2023: €1.7 bn2 (27% of total adj. EBITDA) • Investments 2023: €1.2 bn • Employees 2023: 7,563 (Sustainable Generation Infrastructure) 1 5.7 • Generation capacity 2023: 5.7 GW (47% of total generation capacity) 1.0 GW 1.5 • Electricity generated 2023: 13 TWh (48% of total ge
Slide 22: Offshore wind projects
Morven Dreekant Morgan He Dreiht Mona Location United Kingdom Location Germany, North Sea Location Germany, North Sea 3 GW (leases) Mona and Morgan Capacity 1 GW Capacity 960 MW Capacity 2.9 GW Morven 2029/30e Mona and Morgan Commissioning 2031 Commissioning 2025 Commissioning 2035e Morven Without E
Slide 23: Thermal Generation and Trading
0.5 1.2 • Adj. EBITDA 2023 (including trading): €2.9 bn (46% of total adj. EBITDA) 0.9 • Investments 2023: €0.6 bn • Employees 2023: 7,563 (Sustainable Generation Infrastructure) 1 0.6 6.5 • Generation capacity 2023: 6.5 GW (53% of total generation capacity) GW Gas • Electricity generated 2023: 14 T
Slide 24: H2-ready gas power plants under construction
100% taxonomy- aligned Heilbronn CCGT, 675 MW CODe 2026 • FID in March 2022 • All 3 projects under construction Stuttgart-Münster, GT plant, 124 MW • Reduces carbon emissions immediately by 55% CODe 2025 • Dispatchable hydrogen-ready gas power plants pave the way to exit coal Altbach/Deizisau • Supp
Slide 25: System Critical Infrastructure
• Expansion of electricity and gas transport grids • Transmission and distribution grids for electricity and gas • Preparation of grid infrastructure for future demands (mobility, heat pumps, • Water supply and provision of grid-related services decentralized energy) 9,777 21,157 • Adj. EBITDA 2023:
Slide 26: SuedLink and ULTRANET projects
Bruns- Wilster büttel Emden SuedLink ULTRANET 2 GW corridor End of 2026 Corridor ~700 km2 A-Nord (~450 km)3 TransnetBW contribution Osterath • ~40 km power lines • Converter Philippsburg ULTRANET SuedLink 2x2 GW corridor End of 2028 ~340 km4 Bergrheinfeld (~40 km)3 TransnetBW contribution • ~450 km
Slide 27: Smart Infrastructure for Customers
• Focus on expanding fast-charging infrastructure for e-mobility to 30,000 • Sale of electricity and gas, in addition to telecommunications points by 2030 • E-mobility and home storage systems for solar electricity • Expansion of household energy solutions, such as photovoltaics and storage 0.7 • Ad
Slide 28: E-mobility and fast-charging network
Most popular electromobility app > 2.7 million • EBITDA break-even expected in 2024 in Germany! downloads of EnBW mobility+ app • Ranked as the winner in consumer tests as Germany’s largest and best electromobility supplier and rated as VERY GOOD as a charging network > 700,000 operator for the thir
Slide 29: Retained cash flow
in € m in € m 4,832 3,217 2,238 +50% 880 -61% 20222 2023 6M 20232 6M 2024 1 After covering interest expenses, taxes and dividend payments, the retained cash flow is available to the company for investment without the need to raise additional debt. | 2 Figures restated. 29
Slide 30: Total investments
in € m in € m Net cash investments Net cash investments Co-financing / Divestments 4,903 Co-financing/divestments 2,480 2,740 3,154 1,584 2,160 2,768 1,602 +56% +57% 2,163 320 386 -18 2022 2023 6M 2023 6M 2024 87% taxonomy-aligned1 90% taxonomy-aligned1 80% in growth projects 87% in growth projects
Slide 31: Net debt development
in € bn +8% • Debt repayment 2.2 potential target of 0.1 12.6 ≥15%1 -0.3 -0.4 Current credit ratings: 11.7 • A-/Baa1 0.1 -0.9 • Commitment to maintain solid investment grade ratings Net debt RCF Adjusted Net cash Equity credit of Change in pension Others Net debt 31.12.2023 working capital investmen
Slide 32: Financial calendar
Download now (PDF, 4.7 MB) 12 November 2024, 02:00 p.m. (CET) Download now (PDF, 3.6 MB) Investor and analyst conference call Download now (PDF, 11.5 MB) Download now (PDF, 5.6 MB) Download now (PDF, 8.6 MB) Download now (PDF, 2.5 MB) Open in browser now 32
Slide 33: IR contacts
SVP Finance, M&A Head of Investor Relations Senior Manager and Investor Relations Investor Relations +49 721 63 16 102 +49 721 63 12 210 +49 721 63 12 060 ma.muench@enbw.com l.zikmundova@enbw.com j.vonwietersheim@enbw.com Manager Manager Manager Investor Relations Investor Relations Investor Relatio
Slide 34: Important note
No offer or investment recommendation Forward-looking statements This presentation is prepared for information purposes only. It does not constitute an offer, an invitation or a This presentation, which has been prepared by EnBW, includes statements that are, or may be deemed to be, recommendation t
Slide 35: Investor Relations
Investor Relations investor.relations@enbw.com +49 721 63-12060 Durlacher Allee 93 76131 Karlsruhe, Germany Companies registered office: Karlsruhe, Germany Local court Mannheim ⋅ HRB no. 107956 Chairman of the Supervisory Board: Lutz Feldmann Board of management: Dr. Georg Stamatelopoulos (Chairman)
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