19 slides from Galp Energia, Sgps S.a. Class B's earnings presentation, May 2022
Slide 1: 1Q22 Results
1Q22 RESULTS May 2022 1 1Q22 Results
Slide 2: Disclaimer
Disclaimer This document may include forward-looking statements, including, without limitation, regarding future results, namely cash flows, dividends, and shareholder returns; liquidity; capital and operating expenditures; performance levels, operational or environmental goals, targets or commitmen
Slide 3: Recent developments
01 Recent developments 1Q22 overview 3 1Q22 Results
Slide 4: Prompt response to the Russia – Ukraine war
Prompt response to the Russia – Ukraine war Galp deplores the Russian acts of aggression against the people of Ukraine Business continuity Social response First Integrated Energy Company announcing Donation of fuel and related costs for humanitarian elimination of direct or indirect exposure to
Slide 5: 1Q22 highlights
1Q22 highlights Strong performance Excl. margin supported by macro accounts conditions and operational improvement € 869 m +74% YoY € 30 m € 254 m RCA Ebitda FCF Robust operational results, with upside limited by pricing € 638 m € 2.4 bn € 1.6 bn lag effects and working capital Adj. OCF 1 43% YoY +
Slide 6: 1Q22: Upstream
1Q22: Upstream Strong contribution benefiting from macro and operational improvement 131 kboepd Quarter highlights Outlook WI Production +5% YoY Higher production reflecting FY22 production guidance improved operational flat YoY and hedging 102 $/bbl performance and lower maintenance levels c.6 mbbl
Slide 7: 1Q22: Commercial
1Q22: Commercial Recovery trend despite seasonal weaker contribution 1.3 k Quarter highlights Outlook EV charging points 2x YoY Oil volumes sold following Q2/Q3 to benefit from market recovery and seasonal effects, namely in 1.7 mton increasing electricity and gas customer base retail and aviation O
Slide 8: 1Q22: Industrial & Energy Management
1Q22: Industrial & Energy Management Strong refining performance offset by macro volatility led supply impacts 6.9 $/boe Quarter highlights Outlook Refining margin (inc. energy and CO2 Improving industrial Sines fully available expecting costs) operational and safety normal utilisation, despite > 90
Slide 9: 1Q22: Renewables & New Businesses
1Q22: Renewables & New Businesses Strong renewables performance and advancing in exciting new opportunities 243 GWh Quarter highlights Outlook Ren. generation + 27% YoY New 50 MW solar PV project 150 MW solar PV brought brought online in Spain online in April 1.2 GW Increased generation from Expecti
Slide 10: Expanding solar and wind portfolio funnel
Expanding solar and wind portfolio funnel to support Galp renewables operational targets Galp renewable funnel of 9.6 GW Recent developments Operating capacity 12 GW 1.2 GW New agreements to acquire the rights of solar PV and wind projects in Brazil 0.3 GW >4 GW Adding up to 4.6 GW 216 MW 1.2 GW 1.4
Slide 11: Executing our distinctive investment proposition
Executing our distinctive investment proposition to thrive through the energy transition Growth from Growth from Competitive shareholder established businesses low carbon businesses distribution Bacalhau and Coral projects being Deploying new renewable solar 2021 final interim dividend to be paid in
Slide 12: Financial overview
02 Financial overview 1Q22 results 12 1Q22 Results
Slide 13: 1Q22: Strong performance
1Q22: Strong performance supported by macro conditions and operational improvement Upstream 803 m 576 m 129 m € 869 m High cash contribution from improved performance and € RCA Ebitda € OCF € Net capex1 macro 1Q22 Group RCA Ebitda Commercial Contribution impacted by € 56 m € 55 m € 6m seasonality an
Slide 14: 1Q22: RCA Ebitda of €869 m
1Q22: RCA Ebitda of €869 m Strong operating income 1Q22 P&L (€ m) Ebit reflecting non-cash impairment in Upstream of €120 m related with exploration and appraisal assets in Brazil 26 Associates up YoY reflecting the (31) 869 increasing contribution from renewables (330) 538 RCA net income of €155 m,
Slide 15: Adjusted operating cash flow of €638 m
Adjusted operating cash flow of €638 m with cash conversion limited by temporary working capital effects 1Q22 Cash flow (€ m) Includes €224 m from High OCF supported by Upstream and derivatives margin Industrial contributions accounts 179 CFFO reflecting a WC build from the spike in the commodities
Slide 16: 2022 outlook
2022 outlook Capturing supportive environment while reshaping portfolio Plan’s assumptions Upstream Brent $75/bbl | Refining margin $4-5/boe | Solar captured price €150/MWh FY22 production guidance unchanged with operational contribution driven by strong oil price environment Upside from 2022 expect
Slide 17: Appendix
03 Appendix galp.com
Slide 18: Key guidance for 2022
Key guidance for 2022 Operational indicators Financial indicators (consolidated, except otherwise stated) Upstream RCA Ebitda € bn c.2.7 Flat YoY WI production kboepd Upstream € bn c.2.2 (2021: 127) Upstream production costs $/boe <3 Commercial €m c.300 Commercial Industrial & Energy Management €m 2
Slide 19: galp.com
galp.com