Enel SpA · MIL:ENEL
Enel SpA — H1 2009 Earnings Presentation
51 slides from Enel SpA's earnings presentation, Jul 31, 2009
Slide 1: 2009 Interim Results
Enel SpA Investor Relations 2009 Interim Results July 31, 2009
Slide 2: Agenda
Enel SpA Investor Relations Agenda • 2009 interim results • Annexes 1
Slide 3: Financial highlights: consolidated
Enel SpA 1H2009 results Investor Relations Financial highlights: consolidated €mn 1H08 1H09 1H08 % pro-forma Revenues 29,316 29,324 28,457 -3.0% EBITDA 7,405 7,322 7,939 8.4% - recurring4 7,400 7,317 7,631 4.2% EBIT 5,285 5,027 5,579 11.0% Group net income 2,851 2,739 3,524 28.7% Net debt 49,9671,2
Slide 4: Financial highlights: 1H2009 Ebitda pro-forma
Enel SpA 1H2009 results Investor Relations Financial highlights: 1H2009 Ebitda pro-forma EBITDA EBITDA pro-forma +1,187 8,818 7,939 -308 Capital gain on Full consolidation 1H09 disposal of Endesa1 1H09 1. 100% Enel GAAP 3
Slide 5: From EBIT to net income
Enel SpA 1H2009 results Investor Relations From EBIT to net income €mn 1H08 1H08 1H09 % pro-forma EBIT 5,285 5,027 5,579 11.0 Net financial charges (1,446) (1,430) (209) -85.4 Interest charges (1543) (1,528) (1,170) -23.4 Fair value of Acciona’s put option 113 113 970 758.4 Other (16) (15) (9) -43.4
Slide 6: Group EBITDA breakdown: 1H2008 pro-forma
Enel SpA 1H2009 results Investor Relations Group EBITDA breakdown: 1H2008 pro-forma €mn 1H08 1H08 pro-forma 1H09 % G&EM - Italy 2,021 1,633 1,877 14.9 Market - Italy 291 295 160 -45.8 I&N - Italy 2,008 1,926 2,016 4.7 International 580 547 698 27.6 Iberia&Latam 2,436 2,332 2,416 3.6 Enel Green Power
Slide 7: Group EBITDA: regulated/unregulated activities
Enel SpA Investor Relations Group EBITDA: regulated/unregulated activities GROUP PRODUCTION MIX 1H09 EBITDA 122.4 TWh 15.1% 40% 11.3% 8% 27.4% 52% 11.7% 30 4.2% Unregulated 30.3% Regulated EGP Forward ForwardSales Sales2010: 2010: Group Group average~~60% average 60% 1H091 Coal Oil & gas Other renew
Slide 8: Focus on forward electricity sales
Enel SpA 1H2009 results Investor Relations Focus on forward electricity sales Level of total production hedged (%) Italy Spain 100 % 100 % 100 % 100 % ~20% ~60-55% ~20% 100% ~100% ~80% ~40-45% 2009 2010 2009 2010 Unhedged Hedged Latam Slovakia 100 % 100 % 100 % 100 % ~30-25% ~19% ~40-35% 100% ~70-75
Slide 9: Group EBITDA evolution (€mn)
Enel SpA 1H2009 results Investor Relations Group EBITDA evolution (€mn) +8.4% +244 -135 +90 +151 +84 +99 +84 7,939 7,322 152 620 68 521 2,416 2,332 698 547 S&H1 EGP Iberia & Latam 2,016 1,926 International I&N Market 160 295 G&EM 1,633 1877 1H08 G&EM Market I&N Inter- Iberia & EGP S&H1 1H09 Italy It
Slide 10: EBITDA evolution - G&EM Italy (€mn)
Enel SpA 1H2009 results Investor Relations EBITDA evolution - G&EM Italy (€mn) +14.9% +225 -139 1,877 +123 +35 1,633 1H08 Generation Gas Ancillary Other 1H09 margin Sales Services 9
Slide 11: G&EM – Italy: fuel cost evolution
Enel SpA 1H2009 results Investor Relations G&EM – Italy: fuel cost evolution +1% 55.1 55.5 Average fuel cost (€/MWh) 1H08 1H09 -3% -6% +15% 360.7 95.0 92.0 338.2 34.0 29.7 1H08 1H09 1H08 1H09 1H08 1H09 Oil (€/ton) Gas (c€/mc) Coal (€/ton) 10
Slide 12: EBITDA evolution - Market Italy (€mn)
Enel SpA 1H2009 results Investor Relations EBITDA evolution - Market Italy (€mn) -45.8% 295 -75 -60 160 1H08 Free Regulated 1H09 market market 11
Slide 13: EBITDA evolution - I&N Italy (€mn)
Enel SpA 1H2009 results Investor Relations EBITDA evolution - I&N Italy (€mn) +4.7% -213 +308 1,926 +45 -50 2,016 1H08 Energy Connection HVG Other 1H09 margin fees Capital Gain 12
Slide 14: EBITDA evolution - International (€mn)
Enel SpA 1H2009 results Investor Relations EBITDA evolution - International (€mn) +27.6% +76 698 +16 83 +26 +33 44 547 7 28 117 91 Russia France & Belgium 456 422 SEE Centrel 1H08 Centrel SEE France Russia 1H09 & Belgium 13
Slide 15: Focus on Russia
Enel SpA 1H2009 results Investor Relations Focus on Russia 2 Unit price1 (€/MWh) Production (TWh) 13.8 13.2 21.0 17.3 1H08 1H09 1H08 1H09 Dark spread (€/MWh) Spark spread (€/MWh) 0.7 0.2 3.5 3.2 1H08 1H09 1H08 1H09 1. Wholesale unit price excluding capacity payment 14 2. Rub/Eur exchange rate as of
Slide 16: EBITDA evolution: focus on Endesa
Enel SpA Investor Relations 1H2009 results EBITDA evolution: focus on Endesa1 +7.1% +208 +26 3,736 32 3,487 +15 6 1,553 1,345 Other Latam Iberia 2,151 2,136 1H08 Iberia Latam Other 1H09 1. 100% Endesa results as released on July 28, 2009. Endesa’s GAAP 15
Slide 17: EBITDA evolution: focus on Enel Green Power (€mn)
Enel SpA Investor Relations 1H2009 results EBITDA evolution: focus on Enel Green Power (€mn) +19% +87 +9 +2 +1 620 521 1H08 Italy Americas Spain Other 1H09 16
Slide 18: Enel Green Power Capacity & Production
Enel SpA Investor Relations 1H2009 results Enel Green Power Capacity & Production1 France Enel Green Power MW (+251%) Total MW (+8.3%) 1H08 1H09 1H08 1H09 8 28 4222 4572 NorthAmerica TWh (+394%) Total TWh (+14%) 1H08 1H09 MW (+37.5%) 1H08 1H09 8.7 9.9 0.003 0.013 1H08 1H09 Romania, 573 788 Bulgaria
Slide 19: Net debt evolution (€mn)
Enel SpA Investor Relations 1H2009 results Net debt evolution (€mn) -5,7973 December Cash-flow from Capex1 Net financial Taxes Dividends2 Extraordinary June 31, 2008 operations charges activities 30, 2009 -49,967 -51,000 -54,000 -55,764 Discontinued operations Discontinued -795 -2,701 operations +5,
Slide 20: Agenda
Enel SpA Investor Relations Agenda • 2009 interim results • Annexes 19
Slide 21: Production mix
Enel SpA 1H2009 results - Operational annexes Investor Relations Production mix -8.8% 46.4 (TWh) 42.3 (TWh) 7.6% 4.8% Group production mix 16.6% 27.4% Domestic 32.8% +5.1% Domestic 31.8% 6.5% 6.3% 116.5 (TWh) 122.4 (TWh) 39.3% 26.9% 9.7% 15.1% 1H08 1H09 18.7% 11.3% 27.4% +14.3% 26.0% 14.8% 11.7% 4.2
Slide 22: 1H2009 group installed capacity: breakdown by source and location
Enel SpA 1H2009 results - Operational annexes Investor Relations 1H2009 group installed capacity: breakdown by source and location MW Hydro RES Nuclear Coal CCGT Oil & gas TOTAL - other ST/OCGT Italy 14,430 1,051 - 6,200 5,946 12,698 40,325 Iberia 4,794 1,174 3,642 5,804 2,1971 6,3232 23,934 Centrel
Slide 23: 1H2009 group net production: breakdown by source and location
Enel SpA 1H2009 results - Operational annexes Investor Relations 1H2009 group net production: breakdown by source and location GWh Hydro RES Nuclear Coal CCGT Oil & gas TOTAL - other ST/OCGT Italy 16,621 2,719 - 13,893 7,030 2,042 42,305 Iberia 3,920 1,524 7,684 7,174 1,8431 3,9992 26,144 Centrel 2,
Slide 24: Generation mix - Italy
Enel SpA 1H2009 results - Operational annexes Investor Relations Generation mix - Italy 42,305 40,325 2,042 7,030 12,698 13,893 5,946 6,200 2,719 1,051 16,621 14,430 Capacity (MW) Production (GWh) Other renewables Coal Oil & gas1 Hydro CCGT 1. Including turbogas 23
Slide 25: Generation mix - Centrel & South Eastern Europe
Enel SpA 1H2009 results - Operational annexes Investor Relations Generation mix - Centrel & South Eastern Europe Slovakia Greece 10,316 1,269 5,295 148 6,643 131 1,254 1,712 2,329 2,404 Capacity (MW) Production (GWh) Capacity (MW) Production (GWh) Bulgaria 1,720 748 Other renewables Coal Hydro Nucle
Slide 26: Generation mix – Russia, North America & France
Enel SpA 1H2009 results - Operational annexes Investor Relations Generation mix – Russia, North America & France Russia North America 17,285 1,223 8,550 788 674 8,198 474 4,575 8,735 549 3,623 314 Capacity (MW) Production (GWh) Capacity (MW) Production (GWh) France 28 Other renewables Coal Oil & gas
Slide 27: Electricity and gas
Enel SpA 1H2009 results - Operational annexes Investor Relations Electricity and gas Electricity (TWh) Gas (bcm) 1.2% 7.3% 3.8% Sales: 29.3% Breakdown by country 38.6% 49.1% 70.7% Electricity (TWh) Gas (bcm) 3.7% 8.7% Distribution: 30.7% Breakdown by country 65.6% 91.3%1 Italy Iberia e Latam SEE Rus
Slide 28: Italian electricity sales market
Enel SpA 1H2009 results - Operational annexes Investor Relations Italian electricity sales market1 Regulated market2 (TWh) Free market3 (TWh) Enel’s free customers4 (thousand) -5.9% 109.2 +7.8% 102.8 2,385 25.8 -14.2% -10.1% 27.8 1,858 50.1 -15.3% 43.0 83.4 75.0 43.1 36.5 -7.1% 7.0 6.5 1H08 1H09 1H0
Slide 29: Enel’s electricity and gas distribution
Enel SpA 1H2009 results - Operational annexes Investor Relations Enel’s electricity and gas distribution Volumes distributed in Italy1 (TWh) Volumes distributed abroad (TWh) -8.2% -8.2% 128.7 118.1 67.3 61.8 1H08 1H09 1H08 1H09 Volumes distributed (bcm)2 Gas end users (thousand)2 +7.8% -8.0% 2.5 2,2
Slide 30: Enel’s gas sales
Enel SpA 1H2009 results - Operational annexes Investor Relations Enel’s gas sales Volumes sold (bcm) Customers (thousand)1 +20% -8.9% 3,702 4.5 3,084 4.1 1017 498 1.2 1.2 2,586 2,685 3.3 2.9 1H08 1H09 1H08 1H09 Italy International 29
Slide 31: EBITDA evolution - Services & Holding (€mn)
Enel SpA 1H2009 results – Financial annexes Investor Relations EBITDA evolution - Services & Holding1 (€mn) +124% +63 152 +21 68 1H08 Import Other 1H09 1. Including Engineering and Innovation division 30
Slide 32: EBIT by business area (€mn)
Enel SpA 1H2009 results – Financial annexes Investor Relations EBIT by business area (€mn) +11.0% 5,579 +336.7% S&H 5,027 98 EGP 507 +17.1% Iberia & Latam 433 21 International 1,462 +9.8% I&N 1,332 Market G&EM 392 +16.3% 337 1,596 +6.1% 1,504 154 -105.8% 1,246 1,533 +23.0% -9 1H08 1H09 31
Slide 33: Balance sheet
Enel SpA 1H2009 results – Financial annexes Investor Relations Balance sheet €mn December 31, 2008 June 30,2009 % Net financial debt 49,967 55,764 +12 Shareholders’ equity 26,295 40,837 +55 Net capital employed 76,262 96,601 +27 32
Slide 34: Debt structure
Enel SpA 1H2009 results – Financial annexes Investor Relations Debt structure • Average debt maturity: 5 years and 4 months • Average cost of debt: 4.6%1 • (Fixed+hedged)/Total long-term debt: 62% • (Fixed+hedged)/Total net debt: 55% • Rating: S&P’s = A-/A-2 Outlook stable; Moody’s = A2/P-1 Outlook
Slide 35: Enel’s group financial debt evolution as of June 30, 2009
Enel SpA 1H2009 results – Financial annexes Investor Relations Enel’s group financial debt evolution as of June 30, 2009 Enel Group (excluding Endesa) Endesa1 Group - Total €mn 12.31.2008 06.30.2009 12.31.2008 06.30.2009 06.30.2009 Bank loans – maturities > 12m 25,867 20,852 3,525 8,056 28,908 Bonds
Slide 36: Enel’s group financial debt by subsidiary as of June 30, 2009
Enel SpA 1H2009 results – Financial annexes Investor Relations Enel’s group financial debt by subsidiary as of June 30, 2009 €mn Enel SpA Endesa EFI EIH Slovenské EP ED Other Total Bonds 13,765 6,466 2,606 522 194 - - 152 23,705 Bank loans 12,787 8,909 7,073 - 58 742 1,647 1,327 32,543 Preferred sha
Slide 37: Enel’s group financial debt
Enel SpA 1H2009 results – Financial annexes Investor Relations Enel’s group financial debt Average cost of debt Average residual maturity 5.2% 5.5% 4.7% 5.1% 7:7 7:7 4.4% 4.4% 4.3% 4.6% 4.6% 6:4 5:10 5:2 5:4 4:9 4:11 4:4 1 1 2001 2002 2003 2004 2005 2006 2007 2008 2009 2001 2002 2003 2004 2005 2006
Slide 38: Enel long-term debt maturity profile (€mn)
Enel SpA 1H2009 results – Financial annexes Investor Relations Enel long-term debt maturity profile (€mn)1 Endesa Enel Group excluding Endesa 28,505 5,505 13,591 4,336 23,000 5,272 4,782 2,942 3,461 1,905 9,255 685 3,385 1,566 3,367 2,257 1,895 1,397 <12m 2H2010 2011 2012 2013 After 2013 1. As of Ju
Slide 39: Enel Group liquidity analysis excluding Endesa (€mn)
Enel SpA 1H2009 results – Financial annexes Investor Relations Enel Group liquidity analysis excluding Endesa (€mn) June 30, 2009 Amount Outstanding Available 36M credit facility for Endesa acquisition 2,506 2,506 - 60M credit facility for Endesa acquisition 7,828 7,828 - 2009 credit facility for En
Slide 40: Endesa liquidity analysis (€mn)
Enel SpA 1H2009 results – Financial annexes Investor Relations Endesa liquidity analysis (€mn) June 30, 2009 Amount Outstanding Available Total committed credit lines 9,882 2,697 7,185 Other short-term bank debt – uncommitted lines 1,388 479 909 Total credit lines 11,270 3,176 8,094 Commercial paper
Slide 41: Generation & Energy Management - Italy
Enel SpA 1H2009 results – Financial annexes Investor Relations Generation & Energy Management - Italy €mn 1H08 1H08 pro-forma 1H09 % Revenues 10,865 10,325 9,294 -10.0 EBITDA 2,021 1,633 1,877 14.9 EBIT 1,583 1,246 1,533 23.0 Capex 527 417 376 -9.8 Headcount 6,8291 6,8291 6,656 -2.5 1. Figure as of
Slide 42: Market - Italy
Enel SpA 1H2009 results – Financial annexes Investor Relations Market - Italy €mn 1H08 1H08 pro-forma 1H09 % Revenues 11,139 11,065 10,613 -4.1 EBITDA 291 295 160 -45.8 EBIT 149 154 -9 -105.8 Capex 22 22 26 18.2 Headcount 4,1701 4,1701 4,003 -4.0 1. Figure as of December 31, 2008 41
Slide 43: Infrastructure & Network - Italy
Enel SpA 1H2009 results – Financial annexes Investor Relations Infrastructure & Network - Italy €mn 1H08 1H08 pro-forma 1H091 % Revenues 3,302 3,146 3,471 +10.3 EBITDA 2,008 1,926 2,016 +4.7 EBIT 1,539 1,504 1,596 +6.1 Capex 672 625 520 -16.8 Headcount 20,3941,2 20,3941,2 21,141 +2.5 1. Excluding as
Slide 44: International
Enel SpA 1H2009 results – Financial annexes Investor Relations International €mn 1H08 1H08 pro-forma 1H09 % Revenues 2,020 1,965 2,649 34.8 EBITDA 580 547 698 27.6 EBIT 355 337 392 16.3 Capex 390 190 417 119.5 Headcount 16,8651 16,8651 16,312 -3.3 1. Figure as of December 31, 2008 43
Slide 45: Iberia & Latam
Enel SpA 1H2009 results – Financial annexes Investor Relations Iberia & Latam €mn 1H08 1H08 pro-forma 1H09 % Revenues 8,631 8,180 7,149 -12.6 EBITDA 2,436 2,332 2,416 3.6 EBIT 1,637 1,332 1,462 9.8 Capex 949 896 894 -0.2 Headcount 17,8271 17,8271 26,787 50.3 1. Figure as of December 31, 2008 44
Slide 46: Enel Green Power
Enel SpA 1H2009 results – Financial annexes Investor Relations Enel Green Power €mn 1H08 1H08 pro-forma 1H09 % Revenues - 852 863 1.3 EBITDA - 521 620 19.0 EBIT - 433 507 17.1 Capex - 364 326 -10.4 Headcount - 2,4321 2,693 10.7 1. Figure as of December 31, 2008 45
Slide 47: Services & Holding
Enel SpA 1H2009 results – Financial annexes Investor Relations Services & Holding1 €mn 1H08 1H08 pro-forma 1H09 % Revenues 1,431 1,430 1,322 -7.6 Holding 337 337 356 5.6 Services & other 554 553 509 -8.0 Engineering & Innovation 540 540 457 -15.4 EBITDA 69 68 152 123.5 Holding (21) (21) 54 n.m. Serv
Slide 48: Services & Holding - Continued
Enel SpA Financial annexes: 1Q2009 results Investor Relations Services & Holding - Continued1 €mn 1H08 1H08 pro-forma 1H09 % Capex 33 33 31 -6.1 Holding 5 5 - n.m. Services & other 28 28 31 10.7 Headcount 6,1752 6,1752 6,157 -0.3 Holding 749 749 716 -4.4 Services & other 4,406 4,406 4,301 -2.4 Engen
Slide 49: Focus on capex by business area (€mn)
Enel SpA 1H2009 results – Financial annexes Investor Relations Focus on capex by business area(€mn)1 +1.7% D&A 2,547 2,590 2,145 31 52 33 113 364 326 898 894 896 190 417 291 625 420 520 22 26 27 417 376 344 S&H 1H08 1H09 1H09 EGP Iberia & Latam International I&N Market G&EM 48 1. Continuing operatio
Slide 50: Disclaimer
Enel SpA Investor Relations Disclaimer This presentation contains certain statements that are neither reported financial results nor other historical information (“forward-looking statements”). These forward-looking statements are based on Enel S.p.A.’s current expectations and projections about fut
Slide 51: Contact us
Enel SpA Investor Relations Contact us Investor Relations Team (investor.relations@enel.com) • Luca Torchia (Head of IR) +39 06 83053437 • Pedro Cañamero +39 06 83055292 • Elisabetta Ghezzi +39 06 83052708 • Donatella Izzo +39 06 83057449 • Federica Todaro +39 06 83059502 • Angela Tretola +39 06 830