Acea S.p.A. · MIL:ACE
Acea — FY2022 Earnings Presentation
19 slides from Acea's earnings presentation, Mar 8, 2023
Slide 1: Acea Group FY 2022 Results Presentation
ACEA GROUP FY 2022 RESULTS PRESENTATION 8 MARCH 2023
Slide 2: 2022: A «Challenging» Market Environment
2022: A «CHALLENGING» MARKET ENVIRONMENT Energy crunch Rising interest Government Delays to Regulation Superbonus and war rates & bills liberalisation Since April 2021, the Increase in financing The authorities have taken a Previously due to start from Rate of remuneration Continuous changes to the
Slide 3: Key Highlights
KEY HIGHLIGHTS March 2022 April 2022 June 2022 July 2022 October 2022 November 2022 December 2022 Closing of sale to Equitix of Closing of acquisition, in Operations started at the Consent received for a Acea Ambiente acquires a Acea Ambiente acquires Completion of first phase of photovoltaic assets
Slide 4: Performance and Delivery 2022
PERFORMANCE AND DELIVERY 2022 P O S I T I V E R E S U LT S D E S P I T E T H E U N C E RTA I N A N D V O L AT I L E S C E N A R I O NET PROFIT AFFECTED BY EXTERNAL FACTORS REVENUE EBITDA EBIT NET PROFIT €5,138m +29% €1,305m +4% €566m -3% €280m -11% Windfall tax LEVERAGE IMPACTED BY ENERGY SCENARIO A
Slide 5: EBITDA 2022
EBITDA 2022 (€m) E B I T D A + 4% MAIN DRIVERS 1,256 14 9 38 1,305 10 (19) (3) Impact of electricity distribution regulation (-€26m) Impact of energy scenario (+€37m) Technical quality bonus for water services (+€27m) Release of Terni plant from obligation to purchase CO2 2021 WATER ENERGY I
Slide 6: EBIT and Net Profit 2022
EBIT AND NET PROFIT 2022 EBIT (€m) NET PROFIT (€m) 581.1 565.9 313.3 318.2 38.5 Windfall tax 279.7 2021 2022 2021 2022 (€m) 2022 2021% CHANGE TAX RATE 2022 37.6% DEPRECIATION 594.6 546.6 +8.8% (tax rate 2021: 30.0%) INCREASE IN PROVISIONS CREDIT LOSS PROVISIONS 113.4 86.2 +31.6% FOR POTENTIAL DETERI
Slide 7: Capex 2022
CAPEX 2022 CAPEX (€m) 88% 12% 63 7 0 10 1,001 ** 931 * (6) (4) 2021 WATER ENERGY GENERATION COMMERCIAL & ACEA OTHER BUSINESSES^ 2022 INFRASTRUCTURE TRADING AMBIENTE AND HOLDCO CAPEX Capex regulated businesses ° (€m) 562^^ 269 30 50 46 44 Capex non-regulated businesses WATER ENERGY GENERATION COMMERC
Slide 8: Cash Flow 2022
CASH FLOW 2022 CASH FLOW (€m) 2022 2021 FREE CASH FLOW EBITDA 1,305 1,256 CHANGE IN WORKING CAPITAL (87) (95) CAPEX* (1,001) (931) SALE OF PHOTOVOLTAIC ASSETS FREE CASH FLOW 217 230 FINANCE INCOME/(COSTS) (97)° (86) COLLECTION OF TECHNICAL QUALITY BONUS (WATER) CHANGE IN PROVISIONS (157) (127) INCOM
Slide 9: Financial Structure 2022
FINANCIAL STRUCTURE 2022 31 Dec 22 31 Dec 21 30 Sept 22 Change Change (€m) LEVERAGE (A) (B) (A) (A-B) (A-C) NET DEBT/ NET DEBT/ NET DEBT/ NET DEBT/ NET DEBT 4,439.7 3,988.4 4,393.0 451.3 46.7 EBITDA EBITDA RAB RAB 31 Dec 2022 31 Dec 2021 31 Dec 2022 31 Dec 2021 Medium/long- 4,722.3 4,792.0 4,706.2 (
Slide 10: Financial Highlights 2022 Water
FINANCIAL HIGHLIGHTS 2022 HIGHLIGHTS (€m) 2022 2021 % change (A) (B) (A/B) EBITDA 669.0 655.3 +2.1% WATER - ACEA ATO2 452.3 436.6 +3.6% INCLUDING GAS - ACEA ATO5 30.2 33.7 -10.4% DISTRIBUTION - Gori 70.5 79.0 -10.8% - Adf 63.5 62.8 +1.1% - SII Terni 14.4 13.8 +4.3% Equity-accounted water companies 2
Slide 11: Financial and Operational Highlights 2022 Energy Infrastructure
FINANCIAL AND OPERATIONAL HIGHLIGHTS 2022 HIGHLIGHTS ENERGY NUMBER OF INFRASTRUCTURE TOTAL (€m) 2022 2021 % change ELECTRICITY PODs (A) (B) (A/B) DISTRIBUTED (‘000s) GWh) EBITDA 352.2 371.6 -5.2% 9,172 9,355 - areti 351.3 374.6 -6.2% - Public lighting 0.9 (3.0) n/s CAPEX 268.8 274.5 -2.1% 1,647 1,65
Slide 12: Financial and Operational Highlights 2022 Generation
FINANCIAL AND OPERATIONAL HIGHLIGHTS 2022 HIGHLIGHTS TOTAL ENERGY GENERATION (€m) 2022 2021 % change PRODUCED (GWh)* (A) (B) (A/B) 710 650 EBITDA 89.8 79.5 +13.0% CAPEX 30.3 **23.4 +29.5% 2021 2022 PRICE AND VOLUME EFFECTS DECONSOLIDATION OF SOSTEGNI TER LAW DECREE Effect of energy price rises PHOTO
Slide 13: Financial and Operational Highlights 2022 Commercial & Trading
FINANCIAL AND OPERATIONAL HIGHLIGHTS 2022 HIGHLIGHTS (€m) 2022 2021 % change (A) (B) (A/B) COMMERCIAL & EBITDA 90.0 80.5 +11.8% TRADING CAPEX 49.6 49.4 +0.4% TOTAL ENERGY SOLD NUMBER OF TOTAL GAS SOLD NUMBER OF GAS (GWH) ELECTRICITY (M m 3 ) CUSTOMERS (‘000s) CUSTOMERS (‘000s) 8,256 7,742 1,694 1,41
Slide 14: Financial and Operational Highlights 2022 Acea Ambiente
FINANCIAL AND OPERATIONAL HIGHLIGHTS 2022 HIGHLIGHTS ACEA TREATMENT AND DISPOSAL (KTONNES) ELECTRICITY SOLD (GWh) AMBIENTE 2022 2021 % change (€m) (A) (B) (A/B) 1,715 EBITDA 101.6 63.7 +59.5% 1,515 328 322 CAPEX 46.2 36.1 +28.0% 2021 2022 2021 2022 EBITDA EBITDA FROM WTE CHANGE IN SCOPE OF CO2 Main
Slide 15: Key ESG Highlights
KEY ESG HIGHLIGHTS E N V I R O N M E N TA L , S O C I A L , G O V E R N A N C E A N D E C O N O M I C P E R F O R M A N C E 8.6m Inhabitants served, 36 GWh of energy CORNICION8,6 m produced (+16%) from AVANZAMENTO Italy’s largest water approx. 20,027 kNm3 RIFACIMENTO company WATER ACEA of biogas pro
Slide 16: Key ESG Highlights
KEY ESG HIGHLIGHTS E N V I RO N M E N TA L , S O C I A L , G OV E R N A N C E A N D E C O N O M I C P E R F O R M A N C E SUSTAINABILITY COMMUNITY SUPPLIERS ACEA’S Covid-19 VACCINATION HUB 78% of QUALIFIED SUPPLIERS have delivered over 171k doses (closed from 1 January completed a self-assessmen
Slide 17: Key ESG Highlights: Ratings
KEY ESG HIGHLIGHTS R AT I N G S C O N F I R M A C E A ’ S S O L I D E S G P O S I T I O N SUSTAINABILITY RATINGS UPGRADED TO 81.58/100 «Leader ESG Identity», further Acea’s presence in Bloomberg GEI confirmed improving position to 16/86 companies January 2023 June 2022 UPGRADED TO 62/100 The agency
Slide 18: Q&A Session
Q&A SESSION AC E A G R O U P F Y 2 0 2 2 R E S U LT S RO M E , 8 M A R C H 2 0 2 3 18
Slide 19: Disclaimer
DISCLAIMER THIS PRESENTATION CONTAINS CERTAIN FORWARD-LOOKING STATEMENTS THAT REFLECT THE COMPANY’S MANAGEMENT’S CURRENT VIEWS WITH RESPECT TO FUTURE EVENTS AND FINANCIAL AND OPERATIONAL PERFORMANCE OF THE COMPANY AND ITS SUBSIDIARIES. THESE FORWARD-LOOKING STATEMENTS ARE BASED ON ACEA S.P.A.’S CURR