Enel Americas S.a. · BCS:ENELAM
Enel Americas — H1 2017 Earnings Presentation
30 slides from Enel Americas's earnings presentation, 2017
Slide 1: Enel Américas 1H 2017 results
Enel Américas 1H 2017 results
Slide 2: Highlights of the period and recent events
1H 2017 results Highlights of the period and recent events EBITDA of USD 1,385 m, an increase of 9.4% vs 1H 2016. Net of one-offs and fx effect EBITDA would have increased by 8,7% Net Income of USD 374 m, a decrease of 26.9% vs 1H 2016 Higher generation sales +2.3 TWh (+9.1%) despite flat demand CEL
Slide 3: Regulation – relevant updates
1H 2017 results Regulation – relevant updates Distribution: Energy Ministry announced a deadline of 120 days to define the scope of the regulatory liabilities to be settled by early November 2017. Argentina Generation: Resolution SEE 287/17: Settled time and conditions of new thermal projects to be
Slide 4: Operating highlights
1H 2017 results Operating highlights Net production (TWh) Electricity sales (TWh) + 2.2% + 9.1% Generation 27.1 20.1 20.5 24.8 17.3 8.6 9.1 0.5 0.1 11.0 11.3 Hydro Oil-Gas 1H 16 1H 17 Coal 1H 16 1H 17 Electricity Distributed (TWh) Number of customers (m) Distribution + 15.7% + 25.2% 36.8 17.0 13.6 3
Slide 5: Financial highlights (US$ m)
1H 2017 results Financial highlights (US$ m) Revenues EBITDA + 31.4% + 8.7% + 9.4% 4,891 3,722 646 CELG 1,385 +88 1,375 31 CELG 1,266 4,245 1,354 -98 1H16 1H17 FX effects One-Off 1 EBITDA ex. 1H 16 1H 17 One-offs and Net Income (without discontinued operations) Net Debt 2 FX effects - 26.9% + 103.1%
Slide 6: Group EBITDA evolution by business and country
1H 2017 results Group EBITDA evolution by business and country (US$ m) Generation Distribution + 3.2% + 13.4% +44 +66 +14 -1 +9 716 +28 27 2 701 -26 +56 -66 694 -19 618 1 1 1 1H 16 FX Impact Colombia Brazil Peru Argentina 1H 17 1 1H 16 FX Impact Colombia Brazil Peru Argentina 1H 17 1. Not including
Slide 7: Focus on Colombia
1H 2017 results Focus on Colombia (US$ m) Generation Distribution Total1 1H 16 1H 17 % 1H 16 1H 17 % 1H 16 1H 17 % Revenues 628 550 -12% 644 760 18% 1,159 1,159 0% Codensa EBITDA 339 335 -1% 215 260 21% 554 595 7% Emgesa Clients: 3.3 m 411 MW Net Income 139 144 3% 89 106 19% 228 250 9% Bogota Capex
Slide 8: Focus on Brazil
1H 2017 results Focus on Brazil (US$ m) Generation Distribution Total1 1H 16 1H 17 % 1H 16 1H 17 % 1H 16 1H 17 % Fortaleza Revenues 257 370 44% 1,066 2,087 96% 1,194 2,301 93% 319 MW EBITDA 131 170 29% 177 283 60% 289 435 50% Enel Dx Ceará Net Income 74 104 39% 25 -30 -218% 126 65 -49% Clients: 3.9
Slide 9: Focus on Peru
1H 2017 results Focus on Peru (US$ m) Generation Distribution Total1 1H 16 1H 17 % 1H 16 1H 17 % 1H 16 1H 17 % Enel Dx Perú Clients: 1.4 m Revenues 350 345 -2% 449 448 0% 697 681 -2% EBITDA 164 149 -9% 112 114 2% 275 263 -4% Net Income 86 66 -22% 54 52 -3% 140 119 -15% Capex 45 24 -46% 56 52 -8% 101
Slide 10: Focus on Argentina
1H 2017 results Focus on Argentina (US$ m) Generation Distribution Total1 1H 16 1H 17 % 1H 16 1H 17 % 1H 16 1H 17 % Revenues 171 125 -27% 494 625 27% 663 750 13% Dock Sud EBITDA 60 63 4% 114 43 -62% 174 106 -39% 846 MW Net Income 30 46 51% -8 -86 - 23 -40 -276% Costanera 2.210 MW Capex 40 11 -72% 68
Slide 11: Focus on Argentina: Edesur EBITDA
1H 2017 results Focus on Argentina: Edesur EBITDA (US$ m) - 62.0% 89 +61 114 -41 -4 -23 -17 37 Inflation 43 -39 -8 1 EBITDA 1H 2016 FX effects RTI Impact Updated Fines Quality Fines Demand Opex Others EBITDA 1H 2017 1. Acronym of Integral Tariff Revision (Revisión tarifaria Integral). 11
Slide 12: Gross Capex
1H 2017 results Gross Capex (US$ m) 1 By activity By business By country Maintenance Generation Argentina 11% Colombia 13% 14% 19% 41% Peru 12% 629 629 629 +28.2% yoy +28.2% yoy +28.2% yoy 59% CELG 17% 87% 89% Distribution 55% Brazil Growth 1. Accrued capex during 2017, gross of contributions and co
Slide 13: EBITDA breakdown
1H 2017 results EBITDA breakdown (US$ m) EBITDA by country EBITDA by business Argentina 8% Generation Peru 19% 1,385 42% Colombia 1,385 +9.5% yoy 49% +9.5% yoy 51% 31% Distribution Brazil 13
Slide 14: From EBITDA to Net income
1H 2017 results From EBITDA to Net income (US$ m) 1,385 984 -401 +5 -342 374 -273 206 -168 EBITDA D&A EBIT Financial Non Income tax Net Income Minorities Attr. Net Result Operating Income Results 1 1H 16 1,266 -265 1,002 -259 3 -234 511 -289 390 1 1. Include Discontinued Operations (167 MUSD). 14
Slide 15: Free cash flow
1H 2017 results Free cash flow (US$ m) 1,385 150 1 -277 618 -349 2553 -141 3744 -629 -11 -460 -472 +20 -1,111 -1,563 EBITDA NWC Taxes paid Financial FFO Capex2 FCF Net NCF Extr. FX Effect Change in Expenses Dividend Operation Net Debt paid paid 1. CELG NWC contribution. 2. Capex accrued gross of con
Slide 16: Gross debt breakdown
1H 2017 results Gross debt breakdown (US$ m) Gross and Net Debt Gross debt breakdown by currency Gross debt breakdown by country 9.7% 8.3% +2.9% 4,397 4,397 4,273 4,273 4,273 4,397 13% 10% 15% 11% 1,319 18% 15% 14% 20% 2,757 22% 27% 22% 26% 3,079 47% 46% 44% 46% 44% 1,516 Dec. 16 Jun. 17 Dec. 16 Jun
Slide 17: CELG main indicators
1H 2017 results CELG main indicators EBITDA (mUSD) Clients / Employee 34 31 24 2,179 1,943 7 1,590 1,468 1,436 -35 2014 2015 2016 1Q 1H 2017 2017 2014 2015 2016 1Q 20171H 2017 Quality Indicators Capex (USD) 109 108 27.2 97 90 25.1 40.4 43.2 16.9 17.3 29.0 29.1 39 2014 2015 2016 1H 2017 2014 2015 201
Slide 18: Operational efficiency
1H 2017 results Operational efficiency % accomplished as of June, 2016 1H 2017 2019 2017 OPEX 122 210 234 90% SG&A 32 54 59 92% Cash Optimization 4 11 15 73% Tax 50 50 50 100% Total 208 325 358 91% Efficiencies vs 2015 Already accomplished more than 90 % of total efficiencies announced 1.- MUSD net
Slide 19: Closing remarks: highlights
1H 2017 results Closing remarks: highlights Almost 9.5% of EBITDA growth Positive operative performance in Generation businesses adding +9.1% generation sales CELG turnaround showing positive results More than 90% of target efficiencies for 2019 already achieved 19
Slide 20: Exhibits
Exhibits 20
Slide 21: Financial Statements reported
1H 2017 results Financial Statements reported (US$ m) 1H 2016 1H 2017 ∆ YoY Revenues 3,722 4,891 31.4% Contribution Margin 1,903 2,192 15.2% EBITDA 1,266 1,385 9.4% EBIT 1,002 984 -1.9% Net Financial Income -259 -342 -32.1% Others 3 5 74.0% Taxes -234 -273 16.5% Group Net Income (before dis.) 511 37
Slide 22: Operating Exhibits 1H 2017: Business context
Operating Exhibits 1H 2017 Business context in 1H 2017 v/s 1H 2016 Dx Ebitda Spot Price Dx Sales Gx Ebitda (US$ mn) Electricity Demand Gx Output (US$/MWh) (TWh) (US$ mn) (%) (TWh) Colombia Brazil Peru Argentina 22
Slide 23: Net installed capacity and total net production
Operating Exhibits 1H 2017 Net installed capacity and Total net production : Breakdown by source and geography Net installed capacity (MW) MW Hydro Oil-Gas Coal Total Colombia 3,056 187 224 3,467 Peru 778 1,200 0 1,978 Brazil 655 319 0 974 Argentina 1,328 3,091 0 4,419 Total 5,817 4,797 224 10,838 T
Slide 24: Production mix
Operating Exhibits 1H 2017 Production mix (TWh) LatAm Colombia + 2.2% + 3.7 % Hydro 20.1 20.5 7.2 7.4 0.4% Oil-gas 2.5% 0.4% 1.2% 6.9% 42.9% 44.5% Coal 3.9% 98.4% 54.6% 55.1% 89.2% 1H 16 1H 17 1H 16 1H 17 Peru Brazil Argentina - 20.7% + 1.4% + 15.3 % 4.3 3.4 1.9 1.9 6.7 7.8 33.6% 47.3% 53.0% 61.4% 7
Slide 25: Distribution companies
Operating Exhibits 1H 2017 Distribution companies Energy sold Energy losses Concession Next tariff Distributor Clients City, Country (GWh) (%) area (km2) revision Codensa 3,292,579 6,783 7.9% Bogota, Colombia 14,456 2017 Enel Dx Rio 2,988,308 5,719 20.2% Niteroi, Brazil 32,615 2018 Enel Dx Ceará 3,9
Slide 26: Liquidity and credit profile
Financial Exhibits 1H 2017 Liquidity and credit profile Liquidity (US$ m) Amount Outstanding Available Committed credit lines 287 0 287 Cash and cash equivalents 1 1,319 0 1,319 Total liquidity 1,606 0 1,606 Credit Profile as of June 2017 S&P Fitch Moody's LT international debt BBB BBB Baa3 LT local
Slide 27: Debt maturity
Financial Exhibits 1H 2017 Debt maturity Average residual maturity (years) Debt profile (US$ m) 2,666 4.7 4.5 666 759 307 2017 2018 2019 Balance FY 2016 1H 17 27
Slide 28: Disclaimer
1Q 2017 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 announcement and include statements regarding the intent
Slide 29: IR Team
1H 2017 Results IR Team • Rafael De La Haza, Head of IR +56 2 2353 4682 • Jorge Velis – IR Santiago de Chile Office +56 2 2353 4552 • Itziar Letzkus – IR Santiago de Chile Office +56 2 2353 4681 • Gonzalo Juarez – IR New York Office +1 (212) 520-1025 • María Luz Muñoz - Executive Assistant +56 2 235
Slide 30: CNC
CNC