Naturgy Energy Group, S.a. · BME:NTGY

Naturgy Energy — 9M19 Earnings Presentation

21 slides from Naturgy Energy's earnings presentation, Oct 30, 2019

  1. Slide 1: 9M19 Results

    Naturgy by 9M19 Results 30 October 2019

  2. Slide 2: Agenda

    Agenda 1. 9M19 consolidated results 2. 9M19 results by business unit 3. Conclusions

  3. Slide 3: 9M19 consolidated results

    01 9M19 consolidated results

  4. Slide 4: Key highlights

    Key highlights Key figures (€m, % vs. 9M18)  1 Resilience despite energy scenario headwinds Ordinary EBITDA Ordinary Net Income  2 Acceleration of efficiency plan 3,397 + 5% 991 +13%  3 Strong investment in renewables  4 Value accretive asset rotation Capex Net Debt 5 Dividend payment of 0.473 €

  5. Slide 5: EBITDA evolution (€m)

    EBITDA evolution (€m) + 5% 64 88 3,397 123 3,290 272 3,248 2,976 (87) (39) (107) Including the following FX impacts: €18m €14m - €35m €15m FX: €12m EBITDA Non-ordinary Ordinary Gas & Power Infra. EMEA Infra. LatAm Infra. LatAm Corporate Ordinary Non-ordinary EBITDA 9M18 items EBITDA South North & ot

  6. Slide 6: Net Income evolution (€m)

    Net Income evolution (€m) +13% 134 991 3,917 877 901 (20) (90) (3,040) Net Non-ordinary Ordinary Activity Financial Ordinary Non-ordinary Net income items net result, net items 1 income 9M18 income associates income 9M19 9M18 & other 9M19 Ordinary earnings growth supported by activity Note: 6 1. Of

  7. Slide 7: Cash flow and Net debt evolution (€m)

    Cash flow and Net debt evolution (€m) Cash flow Net debt 9M19 vs. 9M18 EBITDA 3,290 11% (%): avg. cost of debt3 Taxes (150) Net interest cost (478) 3.1% 3.2% Other non-cash items (45) Funds from operations 2,617 17% 15,309 1,176 98 103 15,133 Change in working capital 551 Cash flow from operations 3

  8. Slide 8: 9M19 results by business unit

    02 9M19 results by business unit

  9. Slide 9: Gas & Power

    Gas & Power EBITDA evolution (€m) Highlights  Gas, Power & services sales: higher margins in power supply partially offset by lower gas margins  International LNG: lower volumes and margins 138 68 1,003 impacted by scenario vs. an exceptionally strong 2018 935 41 964 940 (149) (24)  Europe Power

  10. Slide 10: Infrastructure EMEA

    Infrastructure EMEA EBITDA evolution (€m) Highlights  Spain gas networks: Higher volumes and business optimization 1,357 54 48 21 1,480 1,423  Spain electricity networks: Investments into operation 1,333 24 and lower interruption times vs. 9M18 (57)  EMPL: favorable FX and annual tariff increase

  11. Slide 11: Infrastructure South LatAm

    Infrastructure South LatAm EBITDA evolution (€m) Highlights  Chile electricity: higher regulated revenues and 11 716 commercial repositioning 17 4 5 721 652 32 147  Chile gas: higher demand and business optimization 505  Brazil gas: tariff indexation and efficiencies partially offset by FX and lo

  12. Slide 12: Infrastructure North LatAm

    Infrastructure North LatAm EBITDA evolution (€m) Highlights  Mexico gas: higher volumes and margins, new commercial strategy and efficiencies 36 281 (1) 280  Panama electricity: new regulatory period, higher 52 demand/temperatures vs. last year 194 (1) 193 Including the following FX impacts: €8m €

  13. Slide 13: Conclusions

    03 Conclusions

  14. Slide 14: Summary 9M19 results

    Summary 9M19 results  Continued headwinds in energy scenario  Business resilience supported by efficiencies and regulatory stability  Acceleration of efficiency plan  Strong investment in renewables  Value accretive asset rotation Working hard to meet 2019 targets 14

  15. Slide 15: 9M19 results Q&A

    Naturgy by 9M19 results Q&A

  16. Slide 16: Appendix

    Naturgy y Appendix

  17. Slide 17: Alternative Performance Metrics

    Alternative Performance Metrics Naturgy's financial disclosures contain magnitudes and metrics drafted in accordance with International Financial Reporting Standards (IFRS) and others that are based on the Group's disclosure model, referred to as Alternative Performance Metrics (APM), which are view

  18. Slide 18: Alternative Performance Metrics

    Alternative Performance Metrics Alternative performance Reconciliation of values Definition and terms Relevance of use metrics 30 September 2019 30 September 2018 Current and non-current financial debt Gross financial debt (5) - "Cash and cash Euros 15,309 million (7) = 17,073 - 1,716 Net financial

  19. Slide 19: ESG metrics

    ESG metrics ESG metrics 9M19 9M18 Change Comments Health and safety Lost time (LT) incidents (1) units 11 14 -21.4% Improving metrics vs. 9M18 LT Frequency rate (2) units 0.13 0.14 -7.1% Reduced accidents per hour in the period Environment GHG Emissions M tCO2 e 11.60 13.00 -10.8% Coal abatement sup

  20. Slide 20: Disclaimer

    Disclaimer This document is the property of Naturgy Energy Group, S.A. (Naturgy) and has been prepared for information purposes only. This communication contains forward-looking information and statements about Naturgy. Such information can include financial projections and estimates, statements reg

  21. Slide 21: Capital Markets contact

    This presentation is property of Naturgy Energy Group, S.A. Both its content and design are for the exclusive use of its personnel. ©Copyright Naturgy Energy Group, S.A CAPITAL MARKETS tel. 34 912 107 815 e-mail: capitalmarkets@naturgy.com website: www.naturgy.com

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