Slide 1: Full Year Consolidated results
Full Year Consolidated results March 16th, 2023
Slide 2: Full Year 2022 Consolidated results
Full Year 2022 Consolidated results Francesco Starace CEO
Slide 3: Key highlights
Key highlights 1 2022 Results hit the guidance thanks to our integrated and resilient business model Business performance and 2 Operating evolution fully in line with our strategic guidelines managerial actions secured operating and financial 3 Final phase of strategic repositioning: execution well
Slide 4: Enel's integrated business model absorbed the shocks of 2022
1 2 3 4 Enel’s Integrated business model absorbed the shocks of 2022 Ordinary EBITDA by business Ordinary EBITDA evolution (€bn) +3% (0.9) 1.5 8.3 (2.0) 2.0 (0.5) FY 2022 0.4 9.9 19.71 €bn ~1.5 €bn integrated 19.2 12.6 19.7 business 1.7 Integrated 2 FY 2021 Grids Generation Retail & Portfolio Stewar
Slide 5: Operating delivery pushed results above targets
1 2 3 4 Operating delivery capabilities pushed results above targets and supported a structural growth Ordinary EBITDA (€bn) Ordinary Net Income (€bn) +10% +13% ABOVE EBITDA and GUIDANCE ABOVE Net Income ✔ 20.0 6.0 GUIDANCE 19.5 19.7 5.5 ✔ for 2022 5.6 19.0 19.2 18.5 18.0 5.0 5.2 5.4 above the 17.5
Slide 6: Net debt within guidance despite government measures impact
1 2 3 4 Net debt within guidance in spite of 5 €bn impact from governments’ measures still to be recovered Net Debt (€bn) 9.1 €bn FFO thanks to sound recovery in 65.0 58-62 EBITDA and in working capital 62.0 Mid-point of the 60.0 60.1 55.0 ✔ CMD Guidance 50.0 58.0 5.4 €bn government measures’ impact
Slide 7: 2022 strong operating delivery along strategic guidelines
1 2 3 4 2022 continued to show a strong operating delivery, along our strategic guidelines Progressive de-risking of generation Enabling electrification High quality grids RES capacity on total1 Free market customers (mn) SAIDI (min.) +14 pp +4.4 mn -21% 70% 22 300 21 60% 20 50% 250 19 18 40% 66% 21
Slide 8: Strong RES development de-risks our generation
1 2 3 4 A strong RES development, notwithstanding supply chain disruptions, de-risks our generation Yearly additions1 (GW) 2023-25 Additional capacity target1 1.7x 7.00 Residual target covered around 7x 6.00 by the 2023-25 mature pipeline 5.00 9.8 4.00 21 GW 11.2 3.00 5.5 GW to be added in 2023, 5.1
Slide 9: Fixed price sales protected customer base from energy shocks
1 2 3 4 Leveraging on forward hedged generation, fixed price sales protected customer base from energy shocks Free market customers (mn) Fixed sales on total (TWh) Avg. sales price (€/MWh) 350 300 20.00 250 304 19.00 +2.6 mn 200 150 18.00 18.7 100 17.00 FY 2022 50 149 TWh 0 Avg. spot Avg. fixed 16.0
Slide 10: Digital networks ready for distributed generation roll out
1 2 3 4 Digital networks ready to host the accelerated roll out of distributed generation New connections1 (GW) Smart meters (mn) +51% 7.00 New connections requests 6.00 increased 6 times versus 2019 5.00 20.6 4.00 45.8 mn 25.2 New hosting capacity to unlock 5.6 3.00 future value for the energy syst
Slide 11: Simplification efforts embedded in our strategic vision
1 2 3 4 Simplification efforts embedded in our strategic vision… Latin America restructuring European repositioning Endesa Slovenkse Sale of 2014 restructuring Elektrarne sale Severenergia Split of Enersis into Enel 2015 Chile and Enel Americas Merger of EGP Chile 2017 into Enel Chile Launch of shar
Slide 12: Entering the final leg of Group's repositioning
1 2 3 4 …now entering the final leg of Group’s repositioning Latin America European Footprint/asset base NET DEBT restructuring repositioning optimization IMPACT Sale of TX in Chile Exit from Russia Gas portfolio value Disposal of Goiás grid crystallization in Chile ✔ 2022 Sale of Fortaleza CCGT Gri
Slide 13: Simple and predictable shareholder remuneration
1 2 3 4 Simple and predictable shareholder remuneration Dividend per share (€/share) Solid and 1.2x 0.46 visible 0.41 improvement in 0.40 0.38 shareholder 0.36 0.358 0.328 0.31 0.26 remuneration 0.21 with TSR at 110%1 from 0.16 0.11 0.06 2015 2019 2020 2021 2022 12 1. As of March 15th,2023
Slide 14: Full Year 2022 Financial results
Full Year 2022 Financial results Alberto De Paoli CFO
Slide 15: Guidance exceeded at EBITDA and Net Income level
Results unaffected by volatile environment: guidance exceeded at EBITDA and Net Income level EBITDA1 Net Income1 Net Debt ✔ 200 00 560 0 70. 00 195 00 190 00 540 0 520 0 ✔ 60. 00 ✔ 50. 00 185 00 500 0 180 00 40. 00 175 00 19.3-19.6 19.7 480 0 5.4 30. 00 58.0-62.0 60.1 5.0-5.3 170 00 460 0 165 00 20.
Slide 16: Investments deployed in 2022 to secure future EBITDA growth
15 €bn investments deployed in 2022 to secure future EBITDA growth Gross capex by business and geography Integrated business 4% 21% 29% 60% of capex deployed to improve 8.6 €bn our integrated business 17% 40% FY 2022 29% Italy Focus on expanding the commodity 14.51 €bn 52% Spain and services offerin
Slide 17: EBITDA above guidance on sound business performance
EBITDA above guidance on sound business performance Ordinary EBITDA by business Own production/Fixed power sales2 RES production/Fixed power sales2 100 % +3 p.p. 90% +1 p.p. 80% 95% 70% 90% 60% 79% 85% 80% 91% 94% 50% 40% 78% 75% 30% 70% 20% 8.3 FY 2021 FY 2022 FY 2021 FY 2022 FY 2022 9.9 19.71 €bn
Slide 18: Integrated business: geographical diversification
Integrated business: geographical diversification ensured economics protection Group Ordinary EBITDA Integrated business: Ordinary EBITDA evolution (€bn) +16% 0.4 12. 0 1.2 0.3 0.4 (0.3) 11. 0 10. 0 1.6 8.3 FY 2022 9.0 19.71 €bn 11.2 (1.5) 11.6 11.2 8.0 7.0 9.9 6.0 5.0 4.0 FY 2021 Italy Iberia Latam
Slide 19: Integrated business: focus on Italy
Integrated business: focus on Italy Ordinary EBITDA EBITDA evolution evolution (€bn) (€bn) -36% 4.5 00 4.0 00 Power Free affected by dynamics on 3.5 00 sourcing costs 3.0 00 0.9 2.5 00 4.2 (1.6) (0.5) 2.0 00 Power Regulated decline driven 1.5 00 (0.3) 2.7 1.0 00 by lower contribution from 0.5 00 reg
Slide 20: Power Free: dynamics in Italy
Power Free: dynamics in Italy Fixed sales and coverage (TWh) Unitary margin dynamics (€/MWh) Price 1.5x Unitary margin 160.00 140.00 120.00 ~140 down 70% yoy 100.00 60.00 54 -1 TWh ~90 80.00 60.00 50.00 48 16% Market 40.00 impacted by purchases 20.00 21% unexpected 0.00 40.00 FY 2021 FY 2022 +14 TWh
Slide 21: Grids up by 8% yoy, supported by Latam
Grids up by 8% yoy, supported by the positive performance in Latam Group Ordinary EBITDA Grids ordinary EBITDA evolution (€bn) +8% 8.5 0.5 0.6 7.8 8.3 8.0 FY 2022 (0.3) 7.8 (0.0) 7.5 7.7 (0.1) (0.2) 19.71 €bn 7.0 11.6 6.5 6.0 0.5 5.5 5.0 FY 2021 Italy Iberia RoE Latam Delta FY 2022 Steward. FY 2022
Slide 22: Capex deployment to foster RAB growth
Capex deployment to foster RAB growth Gross capex by nature RAB (€bn) Positive regulatory frameworks Enel Dx Sao Paulo Connections 46.00 +4% Tariff increase approved end of June (c.+12%) 43 45 44.00 32% Perimeter 1.3 42.00 Enel Dx Ceara FY 2022 40.00 42 50% Tariff increase approved in 5.7 €bn 38.00
Slide 23: Net Income above guidance
Net Income above guidance, driven by growth in EBITDA and lower financial expenses Net Ordinary Income evolution (€bn) -3% Amortization increase due to 7.5 higher capex deployed and FX, bad 7.0 debt in line with historical level 6.5 (0.9) 1.4 6.0 Cost of debt at 3.3%, -20 bps yoy (0.6) 0.2 supports
Slide 24: FFO: +8 €bn in Q4 driven by working capital recovery
FFO: +8 €bn in Q4 driven by the expected recovery in working capital Cash flow (€bn) ∆NWC impacts evolution (€bn) 9M FY Govt & regulatory 25.0 (5.0) (2.4) 2.6 measures 20.0 19.7 ( 2.0 ) Energy market (3.7) (2.2) 1.5 15.0 ( 4.2 ) context ( 1.9 ) Capex 1.1 ( 2.4 ) (1.1) - seasonality 10.0 Other & 1.2
Slide 25: Q4 2022: Initial recovery of government measures impact
Q4 2022: Initial recovery of the impact of governments’ measures Government measures impact1 (€bn) FY 2021 9M 2022 FY 2022 Italy 2.4 5.7 4.3 -2.6 €bn System charges elimination Tariffs equalization recognition ~8.0 Coal/gas mandatory stock Spain 0.7 1.7 0.8 5.0 ~5.4 Price cap on gas 2.4 Gas mandator
Slide 26: Net Debt in line with mid-point of guidance range
Net Debt at 60 €bn in line with mid-point of the guidance range Net debt evolution (€bn) ND/EBITDA 3.0x-3.3x 4.00 3.3x 3.50 3.1 1.5 ✔ 5.0 3.00 3.0x (9.1) 14.5 2.50 2.00 Low end of (3.5) the CMD 60.1 1.50 51.7 Guidance 1.00 0.50 0.00 2 Dec. 31, FFO APM Capex Dividend FX Dec. 31, CMD Guidance FY 2022
Slide 27: Group's liquidity remained strong and stable
The Group’s liquidity remained strong and stable over the period in spite of extreme volatility Gross Debt impact from margin calls, governments Liquidity position measures and energy context (€bn) Liquidity position Cash Q1 2022 4.3 3.6 1.4 9.3 25.1 11.1 H1 2022 2.6 5.3 1.4 9.3 25.9 FY 2022 30.62 €
Slide 28: Cost of debt trending down
Cost of debt trending down thanks to proactive liability management implemented in 2021 Cost of Gross Debt Average LT Debt maturity (years) 6.0% FLAT 5.5% 8.00 5.0% -80 bps 7.00 4.5% 4.1% 6.00 6.80 6.90 4.0% 3.7% 3.5% 3.3% 5.00 3.5% 4.00 3.0% 3.00 2.5% 2.00 2.0% 1.00 FY 2019 FY 2020 FY 2021 FY 2022
Slide 29: Full Year 2022 Closing remarks
Full Year 2022 Closing remarks Francesco Starace CEO
Slide 30: Closing remarks
Closing remarks Strong 2022 results despite extreme volatility Strategic development Operational and financial resiliency back tested in the last three years continued despite energy crisis Focus on accretive simplification and on growth on integrated margin countries in line with strategy 29
Slide 31: Annexes
Full Year 2022 Consolidated results Annexes
Slide 32: Macroscenario
FY 2022 consolidated results Macroscenario GDP (%) CPI (%) FX against €1 Spot Price (€/MWh) Electricity Demand (TWh) FY 2022 FY 2021 FY 2022 FY 2021 FY 2022 FY 2021 FY 2022 FY 2021 FY 2022 FY 2021 Italy 3.92 6.72 8.20 1.87 - - 304.02 125.46 315.61 319.32 Iberia 5.47 5.52 8.39 3.09 - - 167.66 111.93
Slide 33: Group consolidated net capacity by technology and geography
FY 2022 consolidated results Group consolidated net capacity: breakdown by technology and geography Solar & MW Hydro Wind Geothermal Nuke Oil & Gas Coal CCGT TOTAL Other Italy 12,995 861 776 51 - 2,253 4,720 4,596 26,252 Iberia 4,746 2,882 - 1,665 3,328 2,333 1,644 5,445 22,044 Latin America 10,542
Slide 34: Group consolidated net production by technology and geography
FY 2022 consolidated results Group consolidated net production: breakdown by technology and geography Solar & GWh Hydro Wind Geothermal Nuke Oil & Gas Coal CCGT TOTAL Other Italy 11,584 1,256 5,407 64 - 171 17,260 12,718 48,460 Iberia 4,477 5,709 - 1,855 26,508 4,450 997 20,719 64,715 Latin America
Slide 35: Group total additional capacity
FY 2022 consolidated results Group total additional capacity1: breakdown by technology and geography Solar & MW Hydro Wind Geothermal Nuke Oil & Gas Coal CCGT TOTAL Other Italy 551 68 3 21 - - - - 643 Iberia 5 337 - 567 - - - - 908 Latin America 1 492 14 857 - 3 - 4 1,370 Argentina - - - - - - - - -
Slide 36: Renewable projects in execution
FY 2022 consolidated results Renewable projects in execution: breakdown by technology and geography1 Solar & MW Wind Hydro Geothermal BESS Total Other Italy 29 8 - 373 1,734 2,144 Iberia 9 20 - 1,357 25 1,410 Latin America 1,638 159 - 2,067 203 4,067 Rest of Europe 1 - - 84 - 85 North America 36 - -
Slide 37: Renewables pipeline
FY 2022 consolidated results Pipeline Renewables Pipeline (GW) 2023-25 Additional capacity target2 Capacity in execution 462 74 11.2 245 21 GW Residual target 9.8 132 11.2 2023 target in execution 100% Gross Pipeline BESS 1 Early stage Mature In execution 2024 target in execution 70% 1. It includes
Slide 38: Mature pipeline
FY 2022 consolidated results Mature pipeline1 By technology By geography By COD 3% 12% 11% 12% 32% 9% 11% 132 GW 132 GW 132 GW 75% 32% 23% 65% 34% 2024 Wind Italy North America 2025 Solar Iberia Rest of Europe >2025 Hydro & Others Latin America Africa, Asia & Oceania 1. It excludes BESS mature pipel
Slide 39: Enel Grids KPIs
FY 2022 consolidated results Enel Grids KPIs1 Electricity distributed2 (TWh) Grid customers (mn) Smart meters2 (mn) FY 2022 FY 2021 FY 2022 FY 2021 FY 2022 FY 2021 Italy 220.4 226.9 31.7 31.6 31.6 31.4 Iberia 131.8 131.2 12.5 12.4 12.3 12.2 Latin America 139.9 136.4 25.4 28.2 0.7 0.6 Argentina 17.5
Slide 40: Retail KPIs
FY 2022 consolidated results Retail KPIs Power Gas 1 1 Customers (mn) Volumes (TWh) Customers (mn) Volumes (bscm) FY 2022 FY 2021 FY 2022 FY 2021 FY 2022 FY 2021 FY 2022 FY 2021 Italy 21.4 21.8 97.2 92.8 4.6 4.2 4.7 4.4 Iberia 10.5 10.3 79.0 79.5 1.8 1.7 4.9 5.2 Latin America 25.4 28.3 135.1 127.9 -
Slide 41: Enel X and Enel X Way KPIs
FY 2022 consolidated results Enel X and Enel X Way KPIs Enel X Way Enel X Public Charging points (k) Street lighting (mn) Electric buses (#) Storage BTM (MW) Demand Response (GW) FY 2022 FY 2021 FY 2022 FY 2021 FY 2022 FY 2021 FY 2022 FY 2021 FY 2022 FY 2021 Italy 18.3 15.2 1.6 1.5 154 17 - - 0.6 1.
Slide 42: Capex
FY 2022 consolidated results Capex1 (€mn) Conventional Generation & Services Enel Grids EGP Retail Enel X 2 Total Global Trading & Other FY 2022 FY 2021 FY 2022 FY 2021 FY 2022 FY 2021 FY 2022 FY 2021 FY 2022 FY 2021 FY 2022 FY 2021 FY 2022 FY 2021 Italy 408 303 2,714 2,554 821 406 460 427 96 69 141
Slide 43: Asset development Capex
FY 2022 consolidated results Asset development Capex1 (€mn) Conventional Generation & Services Enel Grids EGP Retail Enel X 2 Total Global Trading & Other FY 2022 FY 2021 FY 2022 FY 2021 FY 2022 FY 2021 FY 2022 FY 2021 FY 2022 FY 2021 FY 2022 FY 2021 FY 2022 FY 2021 Italy 316 207 1,318 1,355 632 244
Slide 44: Revenues
FY 2022 consolidated results Revenues1 (€mn) Conventional Generation & Services Enel Grids EGP Retail Enel X 2 Total Global Trading & Other FY 2022 FY 2021 FY 2022 FY 2021 FY 2022 FY 2021 FY 2022 FY 2021 FY 2022 FY 2021 FY 2022 FY 2021 FY 2022 FY 2021 Italy 55,389 22,816 6,963 7,326 2,149 2,725 32,6
Slide 45: Reported EBITDA
FY 2022 consolidated results Reported EBITDA1 (€mn) Conventional Generation & Services Enel Grids EGP Retail Enel X 2 Total Global Trading & Other FY 2022 FY 2021 FY 2022 FY 2021 FY 2022 FY 2021 FY 2022 FY 2021 FY 2022 FY 2021 FY 2022 FY 2021 FY 2022 FY 2021 Italy 2,578 (277) 3,676 3,455 (564) 1,160
Slide 46: Ordinary EBITDA
FY 2022 consolidated results Ordinary EBITDA1 (€mn) Conventional Generation & Services Enel Grids EGP Retail Enel X 2 Total Global Trading & Other FY 2022 FY 2021 FY 2022 FY 2021 FY 2022 FY 2021 FY 2022 FY 2021 FY 2022 FY 2021 FY 2022 FY 2021 FY 2022 FY 2021 Italy 2,735 464 3,707 3,836 (562) 1,184 4
Slide 47: Reported EBIT
FY 2022 consolidated results Reported EBIT1 (€mn) Conventional Generation & Services Enel Grids EGP Retail Enel X 2 Total Global Trading & Other FY 2022 FY 2021 FY 2022 FY 2021 FY 2022 FY 2021 FY 2022 FY 2021 FY 2022 FY 2021 FY 2022 FY 2021 FY 2022 FY 2021 Italy 2,424 (1,465) 2,326 2,119 (885) 886 (
Slide 48: From EBITDA to net income
FY 2022 consolidated results From EBITDA to net income1 (€mn) FY 2022 FY 2021 FY 2022 FY 2021 ∆ yoy ∆ yoy reported reported 2 ordinary ordinary 2 EBITDA 19,918 17,233 15.6% 19,683 19,210 2.5% D&A (8,725) (9,682) (7,554) (6,975) EBIT 11,193 7,551 48.2% 12,129 12,235 -0.9% Net financial charges (2,456
Slide 49: D&A reported
FY 2022 consolidated results D&A reported (€mn) 1 FY 2022 FY 2021 ∆ yoy Generation and Trading 1,312 3,455 -62.0% Enel Green Power 1,507 1,619 -6.9% Grids 3,782 2,774 36.3% Retail 1,543 1,310 17.8% Enel X 308 232 32.8% Others and adjustments 273 292 -6.5% Total 8,725 9,682 -9.9% 48
Slide 50: Long-term debt structure
FY 2022 consolidated results Long-term debt1 structure By currency Interest rate Long term By currency After swap composition credit ratings 49% Rating Outlook 82% 18% S&P BBB+ Negative 71.9 €bn 1% 71.9 €bn 71.9 €bn 6% 2% Moody’s Baa1 Negative 1% 4% 1% 2% 82% 1% 3 38% 10% Fitch BBB+ Stable EUR USD B
Slide 51: Debt structure by instrument
FY 2022 consolidated results Debt structure by instrument (€bn) EGP SpA Latin North Africa, Asia Debt by instrument Enel Spa EFI and Central Italy Iberia Europe Total America America and Oceania Others Bonds 4.36 41.09 - - 0.01 4.62 1.61 - - 51.69 Bank Loans 1.53 - 0.23 3.81 5.99 3.29 1.19 - 0.11 16
Slide 52: Debt maturity coverage split by typology
FY 2022 consolidated results Debt maturity coverage split by typology (€bn) Available liquidity1 33.5 Bank Loans and Others 7.1 Bonds 11.1 30.6 €bn 19.5 26.4 10.9 8.4 8.4 4.3 7.0 3.1 1.8 2.8 1.8 1.2 6.6 5.2 5.3 6.6 Available committed 1.6 credit lines2 2023 2024 2025 2026 2027 After 2027 Cash 1. Liq
Slide 53: Balance sheet
FY 2022 consolidated results Balance sheet (€mn) FY 2022 FY 2021 Δ 1 Net financial debt 60,068 51,693 16.2% Shareholders' equity 42,082 42,342 -0.6% 1 Net capital employed 102,150 94,035 8.6% 1. FY 2021 restated figure 52
Slide 54: Headcount
FY 2022 consolidated results Headcount 1 FY 2022 FY 2021 ∆ yoy Generation and Trading 6,447 7,847 -17.8% Enel Green Power 9,397 8,989 4.5% Distribution 30,262 33,263 -9.0% Retail 5,418 6,148 -11.9% Enel X 2,875 3,352 -14.2% Others and adjustments 10,725 6,680 60.6% Total 65,124 66,279 -1.7% 53
Slide 55: Disclaimer
FY 2022 consolidated results Disclaimer This presentation contains certain forward-looking statements that reflect the Company’s management’s current views with respect to future events and financial and operational performance of the Company and its subsidiaries. These forward-looking statements ar
Slide 56: Contact us
FY 2022 consolidated results Contact us Contacts Email investor.relations@enel.com Phone +39 06 8305 7975 Investor Relations App Monica Girardi iOS Android Head of Group Investor Relations Investor Relations team Federico Baroncelli Serena Carioti Federica Dori Fabrizio Ragnacci Danielle Ribeiro Da