Engie S.a. · EURONEXT:ENGI

Engie — Q1 2023 Earnings Presentation

22 slides from Engie's earnings presentation, May 11, 2023

  1. Slide 1: Q1 2023 Financial Information

    Q1 2023 FINANCIAL INFORMATION 11 MAY 2023

  2. Slide 2: Catherine Macgregor, CEO

    CATHERINE MACGREGOR CEO 2 ENGIE MAY 2023

  3. Slide 3: Q1 2023 Highlights

    Q1 2023 FINANCIAL INFORMATION Q1 2023 HIGHLIGHTS Continuous momentum Expanding renewables Update in on financial and platform at full steam discussions on operational delivery with 5.5 GW of projects nuclear in Belgium under construction 3 ENGIE MAY 2023

  4. Slide 4: Strong Q1 2023 Results

    Q1 2023 FINANCIAL INFORMATION STRONG Q1 2023 RESULTS • EBIT ex. nuclear at €3.8bn mainly driven by GEMS and Renewables • Strong Cash flow generation €3.8bn €3.8bn Up 29% organically Up €3.8bn • Robust balance sheet and liquidity 2023 guidance reaffirmed - now expecting NRIgs in upper end of range 4

  5. Slide 5: Operational Progress at Pace

    Q1 2023 FINANCIAL INFORMATION OPERATIONAL PROGRESS AT PACE NETWORKS 01 RENEWABLES • Gas storage levels at 30% in France as of 31 March 2023 RENEWABLES • Biomethane in France: 9.1 TWh / year of production capacity connected to • 37.9 GW 1 of installed capacity GRTgaz & GRDF • 0.4 GW 1 added capacity

  6. Slide 6: Renewables Platform Expanding at Full Steam

    Q1 2023 FINANCIAL INFORMATION RENEWABLES PLATFORM EXPANDING AT FULL STEAM • High level of capacity under construction of at end of March 2023 4 GW 5.5 GW 71 1.8 GW over under construction projects entered in construction 2023 to 2025 in Q1 23 On track Flagship projects: Moray West, Scotland 0.9 GW G

  7. Slide 7: Update in Discussions on Nuclear in Belgium

    Q1 2023 FINANCIAL INFORMATION UPDATE IN DISCUSSIONS ON NUCLEAR IN BELGIUM Extension of the Doel 4 • Alignment has progressed on key topics: and Tihange 3 reactors − legal structure, owned equally by the Belgian State and ENGIE Despite progresses, some important parameters of the agreement still need

  8. Slide 8: Pierre-François Riolacci, CFO

    PIERRE-FRANÇOIS RIOLACCI CFO 8 ENGIE MAY 2023

  9. Slide 9: Strong Operational and Financial Performance in Favorable Energy Market Conditions

    Q1 2023 FINANCIAL INFORMATION STRONG OPERATIONAL AND FINANCIAL PERFORMANCE IN CONTINUED FAVORABLE ENERGY MARKET CONDITIONS Q1 RESULTS €bn, unaudited figures 1 Actual ∆ Gross ∆ Organic 2 EBITDA ex. Nuclear 4.8 +22.8% +21.9% up 30% up 29% EBIT ex. Nuclear 3.8 +29.8% +28.8% gross basis organically CFFO

  10. Slide 10: EBIT ex. Nuclear Up 29% Organically

    Q1 2023 FINANCIAL INFORMATION EBIT EX. NUCLEAR UP 29% ORGANICALLY Strong organic growth mainly driven by GEMS and Renewables EBIT (€m) + €855m organic 3,827 3,827 +948 1,429 OTHERS (o/w (o/w 1,606 +988 GEMS) +12 GEMS) -59 +21 +149 Flex Gen 89 RETAIL Networks Energy +23 Solutions -217 542 FLEX GEN Re

  11. Slide 11: GEMS in Q1 2023

    Q1 2023 FINANCIAL INFORMATION GEMS IN Q1 2023 Year on year variation supported by lower risk Key market drivers1 Q1 Q1 Q1 environment (€/MWh) 2021 2022 2023 • Q1 2022 negative impacts related to Gazprom contracts Prices & France baseload power 53 279 149 considering the risk of physical gas disrupti

  12. Slide 12: Cash Flow from Operations

    Q1 2023 FINANCIAL INFORMATION CASH FLOW FROM OPERATIONS Strong WCR improvement driven by positive margin calls, price effects and timing effect in ‘tariff shields’ mechanisms Change in WCR: +3.1 -0.2 -0.1 (€bn) +0.5 Other Taxes & changes interest 3.8 Supply tariff shields in WCR paid +1.8 Gas invent

  13. Slide 13: Strong Deleveraging, Rating Maintained

    Q1 2023 FINANCIAL INFORMATION STRONG DELEVERAGING, RATING MAINTAINED Net Financial Debt Leverage ratios (€bn) 4.0x 24.1 +0.1 +0.3 -0.1 -3.8 +0.7 Scope Dividends Others 3 22.6 +1.4 Nuclear phase-out 2 CFFO Capex 1 2.8x Dec Mar 2.5x 2022 2023 1.8x 1.6x 2.73% 3.95% Average cost of gross debt Dec 22 Mar

  14. Slide 14: FY 2023 Guidance Confirmed

    Q1 2023 FINANCIAL INFORMATION FY 2023 GUIDANCE CONFIRMED NRIgs in the upper end of the range Rating Key assumptions 1 “Strong investment grade” FX: Economic Net Debt / EBITDA €10.9 - 11.9bn ≤ 4.0x over the long term • €/USD: 1.08 • €/BRL: 5.56 Market commodity forward prices Dividend as at 31 March

  15. Slide 15: Summary

    Q1 2023 FINANCIAL INFORMATION SUMMARY Continuous momentum Expanding renewables Update in on financial and platform at full steam discussions on operational delivery with 5.5 GW of projects nuclear in Belgium under construction 15 ENGIE MAY 2023

  16. Slide 16: Additional Material

    ADDITIONAL MATERIAL

  17. Slide 17: Q1 2023 EBIT Change by Activity

    Q1 2023 FINANCIAL RESULTS – ADDITIONAL MATERIAL Q1 2023 EBIT CHANGE BY ACTIVITY Y/Y change (€m) Gross FX / Scope Organic Key drivers for organic change  Higher hydro volumes in Europe  Lower DBSO margins BRL appreciation RENEWABLES +167 +149  Higher prices in Europe (mainly benefitting hydro) Eol

  18. Slide 18: EBIT Breakdown

    Q1 2023 FINANCIAL RESULTS – ADDITIONAL MATERIAL EBIT BREAKDOWN Q1 2023 Rest of Latin Northern (€m) France Europe America America AMEA Others TOTAL RENEWABLES 232 146 242 23 3 (6) 638 NETWORKS 657 50 219 (1) (3) 921 ENERGY SOLUTIONS 142 74 (1) (9) 15 (14) 207 FLEX GEN 426 59 12 51 (7) 542 RETAIL (70)

  19. Slide 19: Guidance: Commodity Forward Price Assumptions

    Q1 2023 FINANCIAL RESULTS – ADDITIONAL MATERIAL GUIDANCE 2023 updated commodity forward prices assumptions Main commodity forward prices1 Main commodity forward prices (31 March 2023) (30 December 2022) Basis for the confirmed 2023 indications Basis for the initial 2023 indications and and guidance

  20. Slide 20: Outright Power Production in Europe

    Q1 2023 FINANCIAL RESULTS – ADDITIONAL MATERIAL OUTRIGHT POWER PRODUCTION IN EUROPE Nuclear and Hydro Hedged positions and captured prices (% and €/MWh) 74 77 70 59 As at 31 March 2023 Belgium and France Captured prices are shown: • before specific Belgian nuclear and French CNR hydro tax contributi

  21. Slide 21: Disclaimer

    DISCLAIMER Important Notice The figures presented here are those customarily used and communicated to the markets by ENGIE. This message includes forward- looking information and statements. Such statements include financial projections and estimates, the assumptions on which they are based, as well

  22. Slide 22: For More Information About ENGIE

    FOR MORE INFORMATION ABOUT ENGIE +33 1 44 22 66 29 ir@engie.com https://www.engie.com/en/financial-results FOR MORE INFORMATION ABOUT Q1 2023 RESULTS: https://www.engie.com/en/finance/results/2023 22 ENGIE MAY 2023

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