Enel Americas S.a. · BCS:ENELAM
Enel Americas — 9M 2018 Earnings Presentation
29 slides from Enel Americas's earnings presentation, 2018
Slide 1: Enel Américas 9M 2018 results
Enel Américas 9M 2018 results
Slide 2: Highlights of the period
9M 2018 results Highlights of the period EBITDA of 2,374 mUSD, an increase of 11% vs 9M 2017 despite the hyperinflation effect in Argentina and negative fx scenario in Argentina and Brazil Energy sales in generation business increased by 18% due to consolidation of Volta Grande and higher demand in
Slide 3: Market context evolution
9M 2018 results Market context evolution Enel Américas Energy Local Currencies vs USD Annual GDP growth 1 (%) demand2 (%) (YoY%)3 2.9% -11.9% Argentina Argentina-0.2% Argentina -53.0% -2.4% 1.0% 10.5% Brazil Brazil 1.1% Brazil 1.3% -13.3% 1.8% 3.9% Colombia Colombia 1.6% Colombia 2.7% 1.9% 2.5% 3.1%
Slide 4: Regulation update
9M 2018 results Regulation update Argentina • On August 1st, it was applied the inflation adjustment of the Dx tariff. This adjustment was for 50% of the inflation of the period, and the remaining 50% will be applied on February 2019. • Contacts ongoing with the Energy Secretariat to finalize before
Slide 5: Operating highlights
9M 2018 results Operating highlights Net production (TWh) Energy sales (TWh) - 1.9% + 17.6% Generation 31.1 48.6 30.5 41.3 17.3 14.0 12.1 0.1 0.1 Hydro Oil-Gas 17.0 18.3 Coal 9M 17 9M 18 9M 17 9M 18 Distributed Energy (TWh) Number of customers (m) Distribution + 28.1 % + 43.0% 71.0 24.5 55.4 13.9 El
Slide 6: Financial highlights (US$ m)
9M 2018 results Financial highlights (US$ m) 9M 18 Pro-forma IAS 29 IAS 21 9M 18 Reported 9M 17 ∆ yoy Revenues 9,779 68 -505 9,343 7,564 23.5% Contribution Margin 3,738 35 -248 3,526 3,342 5.5% EBITDA 2,489 17 -131 2,374 2,135 11.2% EBIT 1,849 -40 -100 1,709 1,537 11.2% Net Financial Income -377 118
Slide 7: EBITDA evolution (US$ m)
9M 2018 results EBITDA evolution (US$ m) + 11.2% 528 33 2,374 2,135 (133) 199 (388) 9M 2017 EBITDA Fx impact Perimeter and others 1 Margin growth Efficiency Opex Inflation 9M 2018 EBITDA 1. Enel Dx Goiás: USD 12 m, Eletropaulo: USD 147 m, Volta Grande: USD 62 m and others: - USD 22 m. 7
Slide 8: Group EBITDA evolution by business and country (US$ m)
9M 2018 results Group EBITDA evolution by business and country (US$ m) Generation Distribution + 0.7% + 21.9% 1,086 22 1,094 307 1,341 140 30 (8) (1) 1432 14 (28) 1,100 179 (157) 1532 82 (235) 1 1 1 1 9M 17 Fx impact Argentina Brazil Colombia Peru 9M 18 9M 17 Fx impact Argentina Brazil Colombia Peru
Slide 9: Gross Capex (US$ m)
9M 2018 results Gross Capex (US$ m) 1 By activity By business By country Generation Peru Argentina Growth 11% 12% 10% 40% 1,069 1,069 Colombia 23% 1,069 (+0.5% yoy) (+0.5% yoy) (+0.5% yoy) 60% 55% 89% Maintenance Distribution Brazil 1. Accrued capex during 9M18, gross of contributions and connection
Slide 10: Focus on Argentina (US$ m)
9M 2018 results Focus on Argentina (US$ m) Generation Distribution Total1 9M 18 9M 17 % 9M 18 9M 17 % 9M 18 9M 17 % Revenues 166 209 -20% 744 891 -17% 909 1,099 -17% EBITDA 112 114 -2% 124 99 25% 235 212 11% Dock Sud 846 MW Net Income 68 70 -2% 77 -93 137% 154 -23 137% Costanera Capex 29 18 61% 75 1
Slide 11: Focus on Brazil (US$ m)
9M 2018 results Focus on Brazil (US$ m) Generation Distribution Total1 9M 18 9M 17 % 9M 18 9M 17 % 9M 18 9M 17 % Revenues 673 603 12% 4,846 3,315 46% 5,302 3,684 44% Fortaleza 319 MW EBITDA 186 240 -22% 663 446 49% 808 656 23% Net Income 120 142 -15% 129 31 315% 110 155 -29% Enel Dx Ceará Clients: 4
Slide 12: Focus on Colombia (US$ m)
9M 2018 results Focus on Colombia (US$ m) Generation Distribution Total1 9M 18 9M 17 % 9M 18 9M 17 % 9M 18 9M 17 % Revenues 953 862 11% 1,284 1,140 13% 2,016 1,767 14% EBITDA 562 521 8% 388 389 0% 951 911 4% Codensa Emgesa Clients: 3.4 m 411 MW Net Income 274 232 18% 156 158 -1% 430 390 10% 51 39 31
Slide 13: Focus on Peru (US$ m)
9M 2018 results Focus on Peru (US$ m) Generation Distribution Total1 9M 18 9M 17 % 9M 18 9M 17 % 9M 18 9M 17 % Revenues 582 516 13% 680 658 3% 1,114 1,014 10% Enel Dx Perú Clients: 1.4 m EBITDA 234 211 11% 165 166 -1% 399 376 6% Net Income 130 96 35% 74 74 -1% 201 171 18% Capex 34 32 9% 91 75 21% 12
Slide 14: From EBITDA to Net income (US$ m)
9M 2018 results From EBITDA to Net income (US$ m) 2,374 1,709 (665) 2 1,423 (288) 859 (565) 513 (346) EBITDA D&A EBIT Net financial Non EBT Income tax Net Income Minorities Attr. Net result operating Income results 9M 17 2,135 - 598 1,537 - 493 5 1,049 - 392 657 - 273 384 ∆ yoy 11.2% 11.3% 12.2% 41.
Slide 15: Free cash flow (US$ m)
9M 2018 results Free cash flow (US$ m) 2,374 (512) 1,092 (496) (274) 646 2 423 3 23 (1,069) (514) (491) (242) (2,640) (155) (3,528) EBITDA NWC Taxes paid Net financial FFO Capex 1 FCF Net dividend NCF Financial Extraordinary FX Effect Change in expenses paid receivables operations Net Debt 1. Capex
Slide 16: Gross debt breakdown (US$ m)
9M 2018 results Gross debt breakdown1 (US$ m) Gross and Net Debt Gross debt breakdown by currency Gross debt breakdown by country 7.9% 7.2% + 71.9% + 71.9% 8,573 6% 8,573 8,573 13% 7% 11% 1,696 4,988 23% 23% 4,988 9% 4,988 16% 12% 1,639 13% 6,877 40% 58% 40% 58% 47% 3,349 35% 35% Dec. 17 Sep. 18 Dec
Slide 17: Focus Eletropaulo
9M 2018 results Focus Eletropaulo Last milestones Financial highlights1 (US$ m) Revenues 1,521 EBITDA 125 Total Net Income -7 Gross Capex 132 Net Debt 814 Operating highlights1 Energy distributed (MWh) 13,913 Number of customers 7,190,263 SAIDI (hours) 7.8 SAIFI (times) 4.6 1. Values since June 2018
Slide 18: Closing remarks: highlights
9M 2018 results Closing remarks: highlights Better results than previous year despite the adverse macro scenario in Argentina and Brazil and hyperinflation effect Energy sales in generation and distribution business significantly higher than the same period of last year Eletropaulo’s performance bet
Slide 19: Exhibits
Exhibits 19
Slide 20: EBITDA and NI breakdown (US$ m)
9M 2018 results EBITDA and NI breakdown (US$ m) EBITDA by country EBITDA by business Argentina Generation 10% Peru 16% 2,374 40% Colombia 2,374 45% +11.2% yoy 55% +11.2% yoy 34% Brazil Distribution Net Income by country Net Income by business Argentina Generation 17% 58% 859 859 48% Colombia +30.7%
Slide 21: Operating Exhibits 9M 2018
Operating Exhibits 9M 2018 Business context in 9M 2018 v/s 9M 2017 Spot Price Dx Sales Gx EBITDA Dx EBITDA Electricity Demand1 Gx Output (US$ m) (US$/MWh) (TWh) (US$ m) (%) (TWh) N/A Argentina N/A Brazil Colombia Peru 1. Enel Américas’ Cumulative Demand. Brazil: Enel Dx Rio, Enel Dx Ceará, Enel Dx G
Slide 22: Net installed capacity and total net production
Operating Exhibits 9M 2018 Net installed capacity and Total net production: Breakdown by source and geography Net installed capacity (MW) MW Hydro Oil-Gas Coal Total Argentina 1,328 3,091 0 4,419 Brazil 1,035 319 0 1,354 Colombia 3,093 183 224 3,500 Peru 792 1,193 0 1,985 Total 6,249 4,786 224 11,25
Slide 23: Production mix (TWh)
Operating Exhibits 9M 2018 Production mix (TWh) LatAm Argentina - 1.9% - 7.2 % Hydro 31.1 30.5 11.5 10.7 0.3% Oil-gas 0.3% Coal 45.1% 39.8% 88.1% 78.5% 54.6% 59.9% 11.9% 21.5% 9M 17 9M 18 9M 17 9M 18 Brazil Colombia Peru - 8.7% - 3.6% + 17.8 % 3.1 0.9% 11.4 6.1 2.8 0.4% 11.0 0.9% 5.2 19.2% 0.8% 56.8
Slide 24: Distribution companies
Operating Exhibits 9M 2018 Distribution companies Energy sold Energy losses Concession Next tariff Distributor Clients City, Country (GWh) (%) area (km2) revision Edesur 2,547,580 13,615 13.2% Buenos Aires, Argentina 3,309 2022 Enel Dx Rio 2,967,013 8,192 20.8% Niteroi, Brazil 32,615 2023 Enel Dx Ce
Slide 25: Liquidity and credit profile
Financial Exhibits 9M 2018 Liquidity and credit profile Liquidity (US$ m) Total Used Available Committed credit lines 1,302 350 952 Cash and cash equivalents 1 1,696 0 1,696 Total liquidity 2,998 0 2,648 Credit Profile as of Oct. 2018 S&P Fitch Moody's LT international debt BBB BBB+ Baa3 LT local de
Slide 26: Debt maturity
Financial Exhibits 9M 2018 Debt maturity Average residual maturity (years) Debt profile (US$ m) 4.3 3.0 Eletropaulo 2,173 acquisition debt 3,766 1,119 683 832 FY 2017 9M 18 2018 2019 2020 Balance 26
Slide 27: Disclaimer
9M 2018 Results 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 presentation and include statements regarding the intent
Slide 28: Contact us
9M 2018 Results Contact us Rafael De La Haza Head of Investor Relations Enel Américas Jorge Velis Investor Relations Manager Enel Américas Itziar Letzkus Investor Relations Enel Américas Javiera Rubio Email Investor Relations Enel Américas ir.enelamericas@enel.com Phone Gonzalo Juárez +562 23534682
Slide 29: CNC
CNC