El5-Ener · RUS:ELFV
El5-Ener — Enel OGK-5 — Investor Day (March 2013)
22 slides from El5-Ener's investor day presentation, Mar 26, 2013
Slide 1: Enel OGK-5 Analyst Day
Enel OGK-5 Analyst Day Strategic Plan 2013-17 Moscow March 26, 2013
Slide 2: Agenda
Agenda • 2008-2012 results Major milestones Market evolution and energy margin Fixed costs and EBITDA CAPEX and net debt 2012 key results and achievements • 2013-2017 strategic update Base assumptions New DAM price scenario New market model: Enel OGK-5 position Key priorities Tec
Slide 3: 2008-2012 Results
Enel OGK-5 Analyst Day Strategic Plan 2013-17 2008 – 2012 Results
Slide 4: Major milestones
2008-2012 results Major milestones 2008 2009 2010 2011 2012 1H 2009 LT financing secured at 2H 2009 favorable terms in spite of crisis Zenith project 2H 2010 2H 2011 1H 2008 kick off Reftinskaya Two new CCGT 0.5b EUR raised Enel S.p.A. by 2010 at 4% 90 initiatives in revamping units commissioned acq
Slide 5: Market evolution and energy margin
2008-2012 results Market evolution and energy margin Energy margin evolution (BRUR)1 Fuel cost management Strong dark spread increase over 5 years New CCGTs 1.6 BRUR margin from power sales and 4.2 BRUR capacity Market liberalization revenues generated in 2012 regulated power sales shrinking to ca.
Slide 6: Fixed costs and EBITDA
2008-2012 results Fixed costs and EBITDA Costs evolution EBITDA evolution (BRUR)1 (Th RUR/MW installed, CPI adjusted) Fixed costs O&M costs Key cost cutting initiatives implemented: - O&M personnel restructuring and 1st wave of 3x EBITDA increase over 5 years restructuring of staff functions stemmin
Slide 7: CAPEX and net debt
2008-2012 results CAPEX and net debt CAPEX (BRUR)1 Leverage evolution (BRUR) Net debt Net debt/EBITDA Over 70 BRUR invested in 2008-12 Leverage peak passed including ~30 BRUR into CCGTs at in 2010-2011 Nevinnomysskaya and Sredneuralskaya 1 CAPEX paid 7
Slide 8: 2012 key results and achievements
2008-2012 results 2012 key results and achievements Key results Key facts Earnings growth maintained despite weak market prices Operating results (GWh) Strengthened and enlarged cooperation with 2011 2012 % key fuel suppliers Net power output 42 433 44 509 5% New shareholders: 4 Russian and Internat
Slide 9: 2013-2017 strategic update
Enel OGK-5 Analyst Day Strategic Plan 2013-171 2013 - 2017 strategic update 1 All numbers presented within this chapter are under Enel IFRS IAS unless otherwise indicated
Slide 10: Base assumptions
2013-2017 strategic update Base assumptions GDP growth and CPI, % CPI GDP growth Power demand, TWh1 Installed capacity, GW1 CAGR 12-17: CAGR 12-17: 2.3% 1.4% 1 In Europe+Urals price zone of Russia 10
Slide 11: New DAM price scenario
2013-2017 strategic update New DAM price scenario Impact of new entrants Gas vs. DAM assumptions1 TWh New entrants production replaces ‘old’ TPP’s DAM price lags behind gas tariff growth Net capacity additions in Enel High risk of gas spreads OGK-5 markets in 2013-17: contraction Center: +8.3 GW Sou
Slide 12: New market model: Enel OGK-5 position
2013-2017 strategic update New market model: Enel OGK-5 position Focus areas: Stable and predictable regulatory Continuous monitoring framework and proactive contribution Fair competition not restricted by excessive to government intervention new market model Sufficient margins to promote deve
Slide 13: Key priorities
2013-2017 strategic update Key priorities Market environment and regulatory Efficiency Optimizing plant operations in response Leverage on Enel Group’s expertize in to the evolving market competition delivering excellence projects Continuous monitoring and proactive Optimization of fuel costs via co
Slide 14: Technical KPIs
2013-2017 strategic update Technical KPIs Optimizing plant operations in response to the evolving market competition Installed capacity, GW CCGT and Coal KPIs Coal: 25 MW increase due to CCGT availability revamping 91% 78% CCGT: unchanged Conventional gas: 80MW 2012 2017 decrease due to decommis- si
Slide 15: Energy margin
2013-2017 strategic update Energy margin Optimization of fuel costs via continuous DAM sales (RUR/MWh)1 improvement of supplier portfolio Energy margin, BRUR2 ~32 ~27.5 Capacity sales (TH RUR/MW/month) ‘Kdam’ revision Energy margin growth secured by fuel portfolio optimization and increase in equipm
Slide 16: Fixed costs
2013-2017 strategic update Fixed costs Leverage on Enel Group’s expertize in delivering excellence projects O&M costs Key cost containment actions (Th RUR/MW installed, CPI adjusted) Moderate increase in Final stage of O&M restructuring: Restructuring of O&M costs attributable O&M area, introducti
Slide 17: EBITDA
2013-2017 strategic update EBITDA (BRUR) ~21 ~16.5 2012-2015 EBITDA 15 CAGR: 12% Challenging targets to be achieved by continuous efforts in all company areas 17
Slide 18: CAPEX
2013-2017 strategic update CAPEX Focus on life-extension and environmental investments assuring stable profit generation in the long-term CAPEX 2013-17 Key features Total CAPEX: CAPEX for 2013-17 reduced versus old business plan ~42.5 BRUR RGRES and SGRES revamping projects modified CAPEX by yea
Slide 19: Cash flows
2013-2017 strategic update Cash flows CAPEX optimization to ensure sound cash flow generation Cash flow (BRUR) Operating CF + WC CAPEX ~5 ~5 Debt servicing Inflow Free cash flow Outflow Solid positive free cash flows 19
Slide 20: Conclusions
2013-2017 strategic update Conclusions 2008 2012 2013-17 A prominent player on One of sector leaders in Maintaining the solid the generation market profitability track record of constant earnings growth A promising fuel mix Benchmark setter in cost management Longer-term confidence Acquired by forei
Slide 21: Disclaimer
Enel OGK-5 Analyst Day Strategic Plan 2013-17 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 OGK-5 ’s current expectations and pro
Slide 22: Contacts
Enel OGK-5 Analyst Day Strategic Plan 2013-17 Contacts Alexey Leonov (Head of IR) +7 495 539 31 31 ext. 7631 alexey.leonov@enel.com Visit our website at: www.ogk-5.com (Investor Relations) 22