Enel Chile Sa · BCS:ENELCHILE
Enel Chile Sa — Endesa Chile — Q1 2012 Earnings Presentation
32 slides from Enel Chile Sa's earnings presentation, Apr 25, 2012
Slide 1: Endesa Chile 1Q 2012 results
25 | 04 | 2012 endesa chile 1Q 2012 results
Slide 2: Highlights in 1Q 2012
Endesa Chile consolidated results 1Q 2012 Highlights in 1Q 2012 Growth of 7% in electricity demand in the region Growth of 2% in physical sales on a consolidated basis Growth of 9% in operating costs, primarily as a consequence of higher transmission costs in Chile Better gross margins in generation
Slide 3: Results affected by the drought in Chile and high fuel costs
Endesa Chile consolidated results 1Q 2012 Results affected by the drought in Chile and high fuel costs MM US$ * Million Ch$ 1Q 2012 1Q 2011 Change 1Q 2012 Revenues 552,293 573,935 (4%) 1,129 Gross margin 240,994 288,651 (17%) 493 EBITDA 186,803 201,365 (7%) 382 EBIT 140,209 158,600 (12%) 287 Net fin
Slide 4: EBITDA Generation
Endesa Chile consolidated results 1Q 2012 EBITDA Generation Total Installed Capacity: 13,845 MW Total Generation: 13,117 GWh Argentina Argentina Chile Chile 22% 26% 41% 37% Peru Peru 12% 17% Colombia Colombia 21% 24% EBITDA 1Q2012 TTM: US$ 1.962 million Argentina 4% Peru 15% Chile 45% Endesa Brasil
Slide 5: Conservative Commercial Policy
Endesa Chile consolidated results 1Q 2012 Conservative Commercial Policy Physical Sales as of March 2012 Chile Colombia Peru Argentina 1% 18% 8% 32% 27% 53% 28% 67% 64% 82% 20% Regulated Unregulated Spot Physical Sales as of March 2011 Chile Colombia Peru Argentina 2% 9% 18% 32% 33% 48% 66% 25% 66%
Slide 6: Effective Commercial Policy in long term
Endesa Chile consolidated results 1Q 2012 Effective Commercial Policy in long term Consolidated EBITDA (Quarterly) 2001-2012 vs. Chilean SIC Hydrology 2,5 8.000 7.000 2,0 22% 6.000 26% 32% 32% 5.000 Average Volume, Hm3 1,5 27% 26% US $ Millions 28% 27% 4.000 27% 28% 1,0 23% 26% 3.000 25% 26% 24% 26%
Slide 7: Strong Financial Position
Endesa Chile consolidated results 1Q 2012 Strong Financial Position MM US$ Million Ch$ 1Q 2012 1Q 2011 Chg. Chg % 1Q2012 Gross Debt 1,861,469 1,962,337 (100,867) (5%) 3,819 Cash & Equivalents 355,156 373,474 (18,318) (5%) 729 Net Debt 1,506,314 1,588,863 (82,549) (5%) 3,260 Leverage 0.90 0.96 (0.01)
Slide 8: Free Cash Flow
Endesa Chile consolidated results 1Q 2012 Free Cash Flow 2,248 2,098 2,014 1,962 1,070 1,012 779 724 (235) (251) (271) (305) (308) (353) (435) (378) (394) (564) (499) (549) (589) (523) (462) EBITDA Net Financial Result CAPEX Income Tax FCF Dividends 1 2009 2010 2011 1Q2012 ttm Amounts are expressed
Slide 9: Analysis by country – Colombia
Endesa Chile consolidated results 1Q 2012 Analysis by country – Colombia Installed Capacity: 2,914 MW Market Share: 20% EMGESA Cartagena Guavio: 1,213 MW Betania: 541 MW 85% Hydro 2,471 MW Río Bogotá: 716 MW Cartagena: 208 MW Bogotá 15% Thermal Termozipa: 236 MW 444 MW Million US$ 1Q 2012 1Q 2011 Ch
Slide 10: Analysis by country – Chile
Endesa Chile consolidated results 1Q 2012 Analysis by country – Chile Installed Capacity: 5,611 MW Market Share: 32% ENDESA CHILE Tarapaca Los Molles: 18 MW Rapel-Sauzal: 466 MW 62% Hydro D. Almagro–Taltal Maule: 884 MW Laja: 940 MW 3,465 MW Huasco Ralco-Pangue: 1,157 MW Los Molles Tarapaca-G.Atacam
Slide 11: Analysis by country – Peru
Endesa Chile consolidated results 1Q 2012 Analysis by country – Peru Installed Capacity: 1,668 MW Market Share: 26% EDEGEL Cuenca Río Rímac: 552 MW 45% Hydro Yanango: 43 MW 747 MW Chimay: 151 MW Ventanilla: 493 MW 55% Thermal Santa Rosa: 429 MW 922 MW Lima: • Edegel (Gx) Million US$ 1Q 2012 1Q 2011
Slide 12: Analysis by country – Argentina
Endesa Chile consolidated results 1Q 2012 Analysis by country – Argentina Installed Capacity: 3,652 MW Market Share: 12% EL CHOCON Hydro El Chocon: 1,328 MW 1,328 MW Million US$ 1Q 2012 1Q 2011 Change Revenues 23 23 (1% ) CIEN Line EBITDA 12 12 (1% ) (2x1.050 MW) Interconnection EBITDA Margin 53.4
Slide 13: Analysis by country - Brazil
Endesa Chile consolidated results 1Q 2012 Analysis by country - Brazil Installed Capacity: 987 MW Market Share: 1% CACHOEIRA Fortaleza Cachoeira: 665 MW Hydro 665 MW Cachoeira Million US$ 1Q 2012 1Q 2011 Change Revenues 69 61 13% Rio de Janeiro EBITDA 45 45 (0% ) EBITDA Margin 64.7% 73.3% (12% ) Phy
Slide 14: Projects Under Construction
Endesa Chile consolidated results 1Q 2012 Projects Under Construction BOCAMINA II • Location: Next to the existing coal-fired plant Bocamina, in Bío-Bío region. • Installed capacity: 370 MW, coal fired. • Estimated investment: US$ 841 million • 1Q 2012, Test on boiler burners and blowing steam pipe
Slide 15: Projects Under Study
Endesa Chile consolidated results 1Q 2012 Projects Under Study Los Condores, hydro Neltume, hydro power plant run-of-the-river plant Installed capacity: Installed capacity: 150 MW 490 MW Punta Alcalde, coal-steam Curibamba, hydro power plant power plant Installed capacity: Installed capacity
Slide 16: HidroAysén
Endesa Chile consolidated results 1Q 2012 HidroAysén • Installed capacity: 2,750 MW. • One of the most efficient hydroelectric projects in the world. • Endesa Chile owns 51% and Colbún 49%. • Renewable resources • CO2 emissions: Reduction of 16.2 million tons/year • Average load factor 77% • May 9,
Slide 17: Market Value and Dividends
Endesa Chile consolidated results 1Q 2012 Market Value and Dividends EBITDA Dividends (US$ Millions) (Ch$xShare) Dividend Yield: 3.5% 32.5 26.8 27.2 2.248 21.3 2.033 2.098 2.014 1.962 1.671 1.503 13.8 2006 2007 2008 2009 2010 2011 2012 ttm 2007 2008 2009 2010 2011 Market Value (US$ Millions) 15,364
Slide 18: Relevant Stock Presence
Endesa Chile consolidated results 1Q 2012 Relevant Stock Presence USA Stock Market Spain Stock Market NYSE (US$) LATIBEX (€) Price 1Q 2012 TTM (Avg) 50.4 Price 1Q 2012 TTM (Avg) 36.3 Max 1Q 2012 TTM 57.6 Max 1Q 2012 TTM 41.3 Min 1Q 2012 TTM 40.5 Min 1Q 2012 TTM 30.4 Daily Avg Trans Vol (million ADR)
Slide 19: Highlights in 1Q 2012
Endesa Chile consolidated results 1Q 2012 Highlights in 1Q 2012 Non-recurrent accounting effect Difficult situation in Chile Revenues and Margin stability Diversified portfolio * US$ 1 equals Ch$ 483.57 corresponding to the average exchange rate for the period 19
Slide 20: Endesa Chile's Investor Relations Team
Endesa Chile consolidated results 1Q 2012 Endesa Chile’s Investor Relations Team Susana Rey Investor Relations Director (56-2) 630 96 06 susana.rey@endesa.cl Catalina Gonzalez Juan Pablo Vicuña Guillermo Berguecio Head of Investor Relations Investor Relations Executive Investor Relations Executive (
Slide 21: Exhibits
Endesa Chile Chile Endesa consolidated results 1Q IR Presentation 2012 1Q2012 EXHIBITS 21
Slide 22: Ownership Structure
Endesa Chile consolidated results 1Q 2012 Ownership Structure 4% 17% 92% 4% 61% 60% 15% 60% ENERSIS Chilean Pension Funds ADR Holders Other Inst Shareholders Minority Shareholders PEHUENCHE, 93% •ENDESA BRASIL, 39% PANGUE, 95% •COSTANERA, 70% AMPLA CELTA, 100% •EMGESA, 27% •EDEGEL, 62% •EL CHO
Slide 23: A unique portfolio in LATAM's Generation business
Endesa Chile consolidated results 1Q 2012 A unique portfolio in LATAM’s Generation business Colombia No. 2 Brazil 2,914 MW inst. capacity 987 MW inst. capacity 20% market share 1% market share in generation Peru No. 1 1,668 MW inst. capacity 26% market share Argentina No. 1 Chile No. 1 3,652 MW inst
Slide 24: Installed Capacity, Output
Endesa Chile consolidated results 1Q 2012 Customers Installed Capacity, Output MW as of 1Q 2012 Chile Brazil Peru Colombia Argentina Total Total 5,611 987 1,668 2,914 3,652 11,180 Hydro 3,456 665 746 2,471 1,328 7,338 Installed Nuclear 0 0 0 0 0 0 Capacity Coal 286 322 0 236 0 843 Oil-Gas 1,782 0 92
Slide 25: Healthy Debt Profile
Endesa Chile consolidated results 1Q 2012 Healthy Debt Profile Financial Debt US$ Million 2012 2013 2014 2015 2016 Balance TOTAL Chile 230.3 419.8 153.7 219.4 15.3 923.5 1,961.9 Argentina 103.1 66.4 56.5 35.1 34.3 - 295.3 Perú 52.0 52.1 50.5 33.7 57.4 129.2 374.9 Colombia 170.2 - 79.0 139.5 - 798.0
Slide 26: Principal Financial Ratios
Endesa Chile consolidated results 1Q 2012 Principal Financial Ratios Net debt/EBITDA EBITDA/Net financial expenses 8,9 2,0 8,0 7,4 7,3 1,5 1,6 1,5 1,5 5,6 1 2008 2009 2010 2011 1Q12 TTM 1 2008 2009 2010 2011 1Q12 TTM Endesa Chile 1Q12 1Q11 Net Debt/ EBITDA 1.6 1.6 ROE (%) 16.4% 23.2% ROA (%) 9.10% 1
Slide 27: Integrated risk management capability
Endesa Chile consolidated results 1Q 2012 Integrated risk management capability Output and sales targets Risk variables affecting margins for future years • Rainfall 100% • Growth in demand Extreme • Fuel prices hydro volatility Spot • Exchange rates • Inflation Hydro 75% Regulated Risk limit and un
Slide 28: Evolution of demand for electricity in LATAM
Endesa Chile consolidated results 1Q 2012 Evolution of demand for electricity in LATAM 170% 162% 161% 160% 150% 146% Total Sales in GWh (%) 140% 133% 130% 118% 120% 110% 100% 90% 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 Year CHILE COLOMBIA PERU BRAZIL ARGENTINA 28
Slide 29: Seasonal Streaming from Hidroaysen and SIC rivers
Endesa Chile consolidated results 1Q 2012 Seasonal Streaming from Hidroaysen and SIC rivers 1,400 1,400 1,200 1,200 1,000 1,000 Water Flow [ m³ /s] 800 800 600 600 400 400 200 200 - - Apr-10 may jun jul ago sep oct nov dec Jan-11 feb mar Tim eline MAIPO RIVER IN CABIMBAO BIOBIO RIVER IN RUCALHUE MAU
Slide 30: Corporate Governance Excellence – LIRA 2011
Endesa Chile consolidated results 1Q 2012 Corporate Governance Excellence LATIN AMERICA´S INVESTOR RELATIONS AWARDS – LIRA 2011 •Best Communication of Corporate Governance: 1st Place •Best Communication of Financial Results: 1st Place •Best Investor Relations Officer: 3rd Place •Best Investor Relati
Slide 31: Disclaimer
Endesa Chile consolidated results 1Q 2012 Disclaimer This presentation contains statements that could constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements appear in a number of places in this announcement and include state
Slide 32: Endesa Chile consolidated results 1Q 2012
Endesa Chile consolidated results 1Q 2012