Transportadora De Gas Del Sur Sa Class B · BCBA:TGSU2
Transportadora De Gas Del Sur Sa Class B — Gas Transporter of the South — Q2 2023 Earnings Presentation
20 slides from Transportadora De Gas Del Sur Sa Class B's earnings presentation, Aug 7, 2023
Slide 1: Buenos Aires, Argentina, August 7, 2023
Buenos Aires, Argentina, August 7, 2023 During the 2Q2023, total comprehensive income amounted to Ps. 12,101 million, or Ps. 80.38 per share (Ps. 37.61 per ADS), compared to a total comprehensive income of Ps. 11,439 million, or Ps. 15.20 per share (Ps. 75,98 per ADS) in the second quarter ended on
Slide 2: Operating profit for 2Q2023
Operating profit for 2Q2023 amounted to Ps. 15,119 million, which was Ps. 4,968 million below 2Q2022. This variation was mainly due to lower revenues from the Natural Gas Transportation and Production and Commercialization of the Natural Gas Liquids (Liquids) segments amounting to Ps. 4,207 million
Slide 3: Breakdown of operating costs and expenses
The breakdown of operating costs, administrative and commercialization expenses , excluding depreciation, for 2Q2023 and 2Q2022 is shown in the table below:
Slide 4: Operating costs and administrative and selling expenses increase
Operating costs and administrative and selling expenses increased by Ps. 1,291 million in 2Q2023 from 2Q2022. This variation was due to higher: (i) cost of natural gas consumed for liquids production (higher price due to exchange rate increase, while US dollar price was lower, and volume; partially
Slide 5: Natural Gas Transportation
Natural Gas Transportation Operating profit of the Natural Gas Transportation segment was Ps. 67 million in 2Q2023 compared to a profit of Ps. 3,803 million in 2Q2022.
Slide 6: Natural gas transportation revenues share
Natural gas transportation revenues accounted for approximately 24% and 29% of total revenues in 2Q2023 and 2Q2022, respectively. Revenues from this segment are derived mainly from firm natural gas transportation contracts which represent approximately 85% and 84%, respectively, of the total revenue
Slide 7: Tariff increase and Liquids Production and Commercialization
This tariff segment, subject to ENARGAS regulation, received its last tariff increase of 95% starting April 29, 2023. Previously, and effective on March 1, 2022, we received a tariff increase of 60%. The decrease in operating profit was mainly due to lower revenues following the tariffs adjustment,
Slide 8: Liquids segment operating profit
The operating profit of this business segment for 2Q2023 was Ps. 2,289 million below 2Q2022, reaching Ps. 10,272 million (compared to Ps. 12,560 million recorded in 2Q2022). This decrease was mainly due to lower revenues of Ps. 1,212 million and an increase in the cost of natural gas consumed of Ps.
Slide 9: Liquids volumes and revenues by market
2Q2023 2Q2022 (in tons) Local market Ethane 103,858 80,699 23,159 Propane 56,667 70,735 (14,068) Butane 45,682 45,928 (246) Subtotal 206,207 197,362 8,845 Foreign market Propane 38,374 1,019 37,355 Butane 14,067 1,668 12,399 Natural gasoline 28,551 31,675 (3,124) Subtotal 80,992 34,362 46,630 Total
Slide 10: Other Services and Telecommunications
Other Services and Telecommunications The Other Services business segment includes mainly services provided by tgs in Vaca Muerta, representing approximately 17% and 13% of our total revenues for 2Q2023 and 2Q2022, respectively.
Slide 11: Edificio Madero Office –
Transportadora de Gas del Sur S.A. 6 Edificio Madero Office – 355 Cecilia Grierson St. 26 th floor (C1107CPG), Autonomous City of Buenos Aires, Argentina. https://www.tgs.com.ar/investors/Press-releases 2Q2023 EARNINGS RELEASE
Slide 12: Financial position analysis
Financial position analysis Net debt As of June 30, 2023, our negative net debt amounted to Ps. 7,673 million compared to the positive net debt of Ps. 18,341 million as of December 31, 2022. Our total net financial debt is denominated foreign currency, different from the Argentine peso, for both per
Slide 13: Edificio Madero Office –
Transportadora de Gas del Sur S.A. 7 Edificio Madero Office – 355 Cecilia Grierson St. 26 th floor (C1107CPG), Autonomous City of Buenos Aires, Argentina. https://www.tgs.com.ar/investors/Press-releases 2Q2023 EARNINGS RELEASE
Slide 14: Reconciliation of free cash flows
Below is a reconciliation of the free cash flows for the 2Q2023 and 2Q2022:
Slide 15: 2Q2023 vs. 2Q2022 cash flow
2Q2023 vs. 2Q2022 During 2Q2023, cash flow provided by operating activities amounted to Ps. 19,070 million, while in 2Q2022 cash flow used in operating activities it amounted to Ps. 5,669 million. This was mainly due to lower income tax payments (the balance of which was cancelled through the use of
Slide 16: Financial Information for three-month and six-month periods
Transportadora de Gas del Sur S.A. Financial Information for the three-month and six-month periods ended June 30, 2023 and 2022 (In millions of Argentine pesos, except for per share and Per ADS information in pesos or where otherwise indicated) 292023 292023 12023 6M2022 Natural Gas Transportation 1
Slide 17: Edificio Madero Office –
Transportadora de Gas del Sur S.A. 11 Edificio Madero Office – 355 Cecilia Grierson St. 26 th floor (C1107CPG), Autonomous City of Buenos Aires, Argentina. https://www.tgs.com.ar/investors/Press-releases 2Q2023 EARNINGS RELEASE
Slide 18: Edificio Madero Office –
Transportadora de Gas del Sur S.A. 12 Edificio Madero Office – 355 Cecilia Grierson St. 26 th floor (C1107CPG), Autonomous City of Buenos Aires, Argentina. https://www.tgs.com.ar/investors/Press-releases 2Q2023 EARNINGS RELEASE
Slide 19: Edificio Madero Office –
Transportadora de Gas del Sur S.A. 13 Edificio Madero Office – 355 Cecilia Grierson St. 26 th floor (C1107CPG), Autonomous City of Buenos Aires, Argentina. https://www.tgs.com.ar/investors/Press-releases 2Q2023 EARNINGS RELEASE
Slide 20: Signatures
Transportadora de Gas del Sur S.A. 14 Edificio Madero Office – 355 Cecilia Grierson St. 26 th floor (C1107CPG), Autonomous City of Buenos Aires, Argentina. https://www.tgs.com.ar/investors/Press-releases SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant h
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