Enel Americas S.a. · BCS:ENELAM
Enel Americas — Q3 2023 Earnings Presentation
42 slides from Enel Americas's earnings presentation, Oct 30, 2023
Slide 1: Third Quarter & Nine Months Consolidated results
Third Quarter & Nine Months Enel Américas Consolidated results October 30th, 2023
Slide 2: Key highlights and operational performance
Q3 & 9M 2023 Key highlights and operational performance Aurelio Bustilho CEO
Slide 3: Q3 2023 key highlights
Q3 2023 key highlights Operational Financial Net debt performance results evolution ~90%1 US$ 1.1 bn2 US$ 6.1 bn REScapacity +20% vs PY -12% vs YE2022 Continued renewables Q3 Adjusted EBITDA increase Net debt decrease due to execution in line with our mainly driven by Dx Brazil and Peru debt deconso
Slide 4: 9M 2023 Enel Américas results
9M 2023 Enel Américas results Improvements across the board of our managed perimeter 9M’22 9M’23 % Installed capacity (GW) 12.9 14.0 +8% Net production (TWh) 32.8 37.6 +15% Energy sales (GW) 56.5 55.1 -2% Grid customers (mn) 23.2 23.6 +2% Energy sales (TWh) 80.0 82.8 +3% Smart meters (th) 229 605 ~2
Slide 5: Generation operational highlights
Generation operational highlights Strong growth in RES net production mainly driven by hydro resources in Colombia Installed capacity (GW) Net production (TWh) -3% -7% 40.5 14.9 39.3 Net production 0.0 0.2 0.4 Hydro 0.4 0.2 13.9 1.0 2.0 3.4 0.8 9.7 3.8 Wind & Solar 6% 2% 4.5 0.8 4.4 10.4 11.1 CCGT 3
Slide 6: Renewables development
Renewables development ~1.0 GW of add. capacity in 9M 2023 in Brazil, Colombia, Peru and Panama 9M CAPEX breakdown Projects in execution Gross pipeline1 (GW) 2% 2% 24% 34% Brazil ~23 US$ Colombia 1.4 1.0 bn Peru GW C. America 66% ~1 ~25 72% ~51 1.4 2 Gross Early Stage BESS Mature In Capacity added o
Slide 7: Grids operational highlights
Grids operational highlights Digitalization efforts and increase in net RAB to drive future growth and profitability Electricity distributed1 (TWh) Grid customers (mn) Quality indicators2-3 SAIDI (hours) SAIFI (times) +420k 9M 2022 9M 2023 9M 2022 9M 2023 +3% 91.3 Argentina 14.1 19.5 4.9 7.5 82.8 26
Slide 8: Gross CAPEX
Gross CAPEX Growth CAPEX mainly captured by Renewables in core countries CAPEX by country CAPEX by business1 Asset development2 CAPEX by business 1% 4% 2% 5% 7% 7% 13% 20% Q3 2023 40% US$ 766 mn US$ 766 mn US$ 431 mn (-8% YoY) (-8% YoY) (+9% YoY) 51% 67% Grids 83% Argentina Renewables Renewables Bra
Slide 9: Economic and financial performance
Q3 & 9M 2023 Economic and financial performance
Slide 10: Financial highlights (US$ mn)
Financial highlights (US$ mn) Adjusted EBITDA increase mainly due Dx Brazil and Gx Colombia Q3 2022 Q3 2023 Δ% YoY 9M 2022 9M 2023 Δ% YoY Reported EBITDA 894 1,000 11.8% 2,930 2,899 -1.0% Adjusted EBITDA Increases in Dx Brazil and Gx Colombia Adjusted EBITDA1 955 1,142 19.6% 3,084 3,542 14.8% Net fi
Slide 11: EBITDA breakdown: Q3 2023 results
EBITDA breakdown: Q3 2023 results Growth across Renewables, Grids, Retail and Enel X EBITDA evolution by business line (US$ mn) EBITDA by country (US$ mn) 3% +12% +26% 149 1,149 Brazil 991 8 1,000 43% US$ Colombia 125 2 1 894 1,000 mn 54% C. America 101 789 (105) (29) 1% 6% Grids Renewables 1 2 Q3'2
Slide 12: EBITDA breakdown: 9M 2023 results
EBITDA breakdown: 9M 2023 results Generation and Grids lead adjusted EBITDA expansion EBITDA evolution by business line (US$ mn) EBITDA by country (US$ mn) 3% -1% +19% 516 3,415 258 3,070 Brazil 2,930 282 2,899 38% US$ 2,589 (25) (29) Colombia (172) 2,899 mn C. America (341) 59% (6) 1% 7% Grids Rene
Slide 13: Cash flow (US$ mn)
Cash flow (US$ mn) Lower FFO mainly due to higher NWC (569) CVA, PIS/COFINS and Conta Escassez Hidrica (217) Pension provisions (196) Bad debt provisions 2,899 (926) US$ 1,132 mn growth CAPEX (553) (479) 942 (2,044) (1,102) 1 2 3 4 EBITDA NWC Taxes paid Net financial FFO CAPEX FCF expenses 9M 2022 2
Slide 14: Debt (US$ mn)
Debt (US$ mn) Net debt/EBITDA ratio remains stable Gross and net debt1 Net debt evolution Gross debt breakdown Sep. 23 - 11% - 11% 199 10% 6,868 1,102 (1,530) Currency 6,078 BRL 8,046 (906) 346 US$ 7,159 28% COP 1,178 7.2 bn 1,081 62% USD 6,868 6,078 0.3% 1.3% Dec. 22 2 Sep. 23 Dec. 22 FCF Dividend
Slide 15: Closing remarks
Closing remarks Solid operational results across all businesses Strong financial position to execute our organic CAPEX plan Continued development and delivery of new renewable capacity, fostering green electrification Assets disposal plan on track; 2024-26 Strategic Plan to be released at the end of
Slide 16: Annexes
Q3 & 9M 2023 Annexes ry Cl
Slide 17: Current scenario
Current scenario Local currencies, inflation, electricity distributed and interest rates Macroeconomic variables1 Electricity distributed Interest rates Local currencies Inflation3 vs USD ∆% Q32 ∆% 9M2 September September ‘23 vs ‘22 ‘23 vs ‘22 2022 2023 0.8% Argentina September September Argentina -
Slide 18: Regulation Update Q3 2023
Regulation Update Q3 2023 • Resolution ENRE 573/2023 – On July, the regulator approved the new tariff charts to be applied as from August 1, 2023. There is no change in the remuneration of the distribution company (VAD). • Resolution 815/2023 – The Chocón concession term is extended for 100 days, in
Slide 19: Operating exhibits
Operating exhibits Net installed capacity & Total net production: Breakdown by source and geography Net installed capacity (MW) MW Hydro Wind Solar Oil-Gas CCGT Coal Total Argentina 1,328 0 0 0 0 0 1,328 Brazil 1,272 3,158 1,234 0 0 0 5,664 Colombia 3,097 0 419 175 0 226 3,917 Peru 793 132 302 721 4
Slide 20: Operating exhibits: Distribution companies
Operating exhibits Distribution companies Energy sold SAIDI SAIFI Energy Concession Next tariff Distributor Clients City, Country LTM (GWh) (hours) (times) losses (%) area (km2) review Edesur 2,638,905 18,216 19.5 7.5 16.9% Buenos Aires, Argentina 3,309 2023 Enel Dx Rio 3,078,977 13,024 8.6 4.2 19.7
Slide 21: Operating exhibits: Enel X KPIs
Operating exhibits Enel X KPIs Sep. 2022 Sep. 2023 Δ% Charging points1 (th) 8.0 11.0 38% Street lighting (th) 936 900 -4% e-Buses (#) 1,188 3,403 >100% M&R2 contracts (th) 584 877 +50% PV3 (MWp installed) 36 41 +16% Credit cards (th) 944 920 -2% 21 (1) Includes charging points managed by Enel X Way;
Slide 22: Financial exhibits: Reported results
Financial exhibits Reported results Q3 2023 Q3 2022 ∆YoY 9M 2023 9M 2022 ∆YoY Revenues 3,437 3,488 -1% 9,808 10,489 -6% Gross Margin 1,381 1,313 +5% 4,048 4,179 -3% OPEX (381) (419) -9% (1,149) (1,249) -8% Reported EBITDA 1,000 894 +12% 2,899 2,930 -1% D&A1 (287) (1,094) -74% (902) (1,864) -52% EBIT
Slide 23: Financial exhibits: Effects on EBITDA
Financial exhibits Effects on EBITDA Q3 2022 Q3 2023 Δ% YoY 9M 2022 9M 2023 Δ% YoY Reported EBITDA 894 1,000 11.8% 2,930 2,899 -1.0% Goiás (46) 0 (139) 0 Fortaleza (20) 0 (87) 0 Cien (15) (0) (40) (13) Thermal Gx Argentina (25) 0 (74) (17) FX effect 0 (8) 0 157 Peru 166 149 495 516 Adjusted EBITDA 9
Slide 24: Generation business results
Generation business results Quarter & YTD results Q3 EBITDA evolution (US$ mn) 9M EBITDA by country (US$ mn) 2% +32% EBITDA in Colombia +1% explained by higher hydro 7% production and prices +16% 457 462 37% 397 +15% EBITDA in Brazil1 due to 1,254 growth in renewables (-7% YoY) 54% ~100% of EBITDA c
Slide 25: Grids business results
Grids business results Quarter & YTD results Q3 EBITDA evolution (US$ mn) 9M EBITDA by country (US$ mn) +20% Solid electricity distributed growth in Brazil and Colombia +33% 26% 564 470 424 +36% EBITDA in Brazil1 on tariff 1,734 indexation (+5% YoY) 74% Tariff reviews in Brazil in line with expectat
Slide 26: Argentina (US$ mn) Quarter results
Argentina (US$ mn) Quarter results Generation 1 Grids1 Total 2 Q3 2022 Q3 2023 % Q3 2022 Q3 2023 % Q3 2022 Q3 2023 % Revenues 55 2 -96% 251 271 8% 306 273 -11% Procurements -3 -2 -44% -192 -198 3% -195 -200 3% and Services OPEX -22 0 <-100% -81 -69 -14% -103 -70 -32% EBITDA 30 1 -98% -21 4 <-100% 8
Slide 27: Argentina (US$ mn) YTD results
Argentina (US$ mn) YTD results Generation 1 Grids1 Total 2 9M 2022 9M 2023 % 9M 2022 9M 2023 % 9M 2022 9M 2023 % Revenues 159 48 -70% 670 771 15% 828 819 -1% Procurements -8 -4 -49% -509 -612 20% -518 -618 19% and Services OPEX -60 -14 -76% -214 -210 -2% -275 -229 -17% EBITDA 92 29 -68% -53 -51 -5%
Slide 28: Brazil (US$ mn) Quarter results
Brazil (US$ mn) Quarter results Generation 1 Grids1 Total 2 Q3 2022 Q3 2023 % Q3 2022 Q3 2023 % Q3 2022 Q3 2023 % Revenues 328 277 -16% 2,137 1,789 -16% 2,415 2,076 -14% Procurements -117 -84 -28% -1,609 -1,204 -25% -1,668 -1,291 -23% and Services OPEX -38 -33 -13% -185 -183 -1% -254 -240 -6% EBITDA
Slide 29: Brazil (US$ mn) YTD results
Brazil (US$ mn) YTD results Generation 1 Grids1 Total 2 9M 2022 9M 2023 % 9M 2022 9M 2023 % 9M 2022 9M 2023 % Revenues 1,005 819 -19% 6,387 5,330 -17% 7,181 6,173 -14% Procurements -378 -265 -30% -4,580 -3,472 -24% -4,728 -3,743 -21% and Services OPEX -93 -88 -6% -614 -534 -13% -775 -697 -10% EBITDA
Slide 30: Colombia (US$ mn) Quarter results
Colombia (US$ mn) Quarter results Generation 1 Grids1 Total 2 Q3 2022 Q3 2023 % Q3 2022 Q3 2023 % Q3 2022 Q3 2023 % Revenues 368 518 41% 415 535 29% 694 998 44% Procurements -145 -220 52% -239 -347 45% -297 -512 73% and Services OPEX -17 -26 53% -28 -30 10% -45 -57 26% EBITDA 206 273 32% 148 158 6%
Slide 31: Colombia (US$ mn) YTD results
Colombia (US$ mn) YTD results Generation 1 Grids1 Total 2 9M 2022 9M 2023 % 9M 2022 9M 2023 % 9M 2022 9M 2023 % Revenues 1,047 1,287 23% 1,366 1,443 6% 2,264 2,581 14% Procurements -381 -541 42% -774 -892 15% -988 -1,282 30% and Services OPEX -62 -67 9% -88 -90 2% -151 -164 9% EBITDA 605 679 12% 505
Slide 32: Peru (US$ mn) Quarter results
Peru (US$ mn) Quarter results Generation 1 Grids1 Total 2 Q3 2022 Q3 2023 % Q3 2022 Q3 2023 % Q3 2022 Q3 2023 % Revenues 187 221 18% 254 276 8% 441 496 12% Procurements -67 -113 70% -171 -187 9% -237 -300 26% and Services OPEX -20 -23 14% -16 -26 61% -36 -49 35% EBITDA 100 84 -16% 68 63 -7% 168 147
Slide 33: Peru (US$ mn) YTD results
Peru (US$ mn) YTD results Generation 1 Grids1 Total 2 9M 2022 9M 2023 % 9M 2022 9M 2023 % 9M 2022 9M 2023 % Revenues 538 620 15% 760 848 12% 1,298 1,468 13% Procurements -176 -253 44% -507 -567 12% -682 -820 20% and Services OPEX -65 -72 11% -53 -65 23% -118 -137 17% EBITDA 297 295 -1% 200 216 8% 49
Slide 34: Central America (US$ mn)
Central America (US$ mn) Quarter & YTD results Central America Q3 2022 Q3 2023 % 9M 2022 9M 2023 % Revenues 72 91 26% 214 234 9% Procurements -16 -53 >100% -76 -117 54% and Services OPEX -9 -9 1% -26 -37 43% EBITDA 48 29 -39% 112 80 -29% Net Income 29 12 -59% 62 -42 <-100% Gross Capex 5 7 32% 24 25
Slide 35: Financial position
Financial position Liquidity, debt maturities and credit profile Liquidity position Debt maturities (US$ bn) Credit profile 3.8 Baa2/Stable Average maturity of (October 2022) 3.3 years 42% BBB-/Stable 2.0 (February 2023) US$ 2.6 bn 58% 1.0 BBB+/Stable 0.4 (July 2023) 2023 2024 2025 After 2025 AA/Sta
Slide 36: Yearly improvements in our scores ESG positioning
Yearly improvements in our scores ESG positioning 4.2 4.4 91 AA AA AA AA 3.5 3.8 90 81 83 84 1 2019 2020 2021 2022 2019 2020 2021 2022 2019 2020 2021 2022 2023 Scale from CCC to AAA Scale from 0 to 5 Scale from 0 to 100 67 A- 85 87 53 56 81 83 47 B 2019 2020 2021 2022 2019 2020 2021 2022 20212 2022
Slide 37: Corporate governance structure
Corporate governance structure Shareholders’ meeting Audit firm 43% BoD’s composition Board of Directors (7 members) 57% Executive Independent Functions: Directors Committee Audit committee Sustainability committee Related parties' transactions 37
Slide 38: Board composition
Board composition Board of Directors Board of Directors’ diversity Borja Acha Besga Chair 43% 29% Francesca Gostinelli Director 14% Age Gender diversity 14% diversity Giulia Genuardi Director 29% 71% 41-50 51-60 Male Female 61-70 over 70 José Antonio Vargas Director 14% 14% Directors’ Committee (C)
Slide 39: Policies, principles and codes
Enel Américas - Policies, principles and codes Ethics, Integrity, Human Rights, and Diversity • Ethical code • Zero Tolerance Plan for Corruption • Global Compliance Program on Corporate Criminal Liability • Criminal Risk Prevention Model • Compliance Program for Free Competition Regulations • Human
Slide 40: Disclaimer
Q3 & 9M 2023 Consolidated results Disclaimer This presentation contains statements that could constitute forward-looking statements. These statements appear in a number of places in this presentation and include statements regarding the intent, belief or current expectations of Enel Américas and its
Slide 41: Contact us
Q3 & 9M 2023 Consolidated results Contact us Contacts Email - ir.enelamericas@enel.com Channels Website Mobile App www.enelamericas.com Enel Américas Investors Rafael de la Haza Head of Investor Relations Download App iOS Android Investor Relations team Jorge Velis Javiera Rubio Nicolás Gracia Franc
Slide 42: CNC
CNC