Enel Chile Sa · BCS:ENELCHILE
Enel Chile Sa — Endesa Chile — Investor Presentation (December 2015)
35 slides from Enel Chile Sa's investor presentation, December 2015
Slide 1: Endesa Chile IR Presentation December 2015
Endesa Chile IR Presentation December 2015
Slide 2: Organization structure
Organization structure ITALY Committed Shareholders 61% CHILE Enersis S.A. 60% 15% Chilean Pension Funds 6% 4% ADRs (Citibank N.A.) 15% 60% Retail Institutional Investors CHILE PEHUENCHE, 93% CELTA, 96% GASATACAMA, 98% COLOMBIA PERU ARGENTINA BRAZIL1 CHILE1 • ENEL BRASIL, 37% •GNL Quintero, 20
Slide 3: Reorganization highlights: Spin-off of Latam assets to Endesa Americas
Reorganization highlights Spin-off of Latam assets to Endesa Americas Enel SpA Enel SpA Enel SpA These companies are 100% 100% 100% expected to Structure as of December 2015 merge in 2H16. Enel Enel Enel Iberoamérica Iberoamérica Iberoamérica 61% 61% 61% >50% 61% Enersis Enersis Enersis Enersis Ener
Slide 4: Endesa Chile Financial Statements
Endesa Chile Financial Statements New structure reported to SVS Endesa Chile Financial Statements Consolidated Financial Statements (Structure reported to SVS) (Proxy including discontinued operations) 2 MM US$ MM US$2 Ch$ million1 2015 2014 Chg. Ch$ million1 YE 2015 YE 2014 Chg. 2015 2015 Revenues
Slide 5: A unique portfolio in Latam's generation business
A unique portfolio in Latam’s generation business BRAZIL No. 2 COLOMBIA 987 MW inst. Capacity 3,459 MW inst. Capacity 2 Hydro: 665 MW Hydro: 3,015 MW Thermal : 322 MW Thermal : 444 MW 1% market share1 22% market share1 PERU No. 1 1,686MW inst. capacity ARGENTINA Hydro: 783 MW No. 2 Thermal : 902 MW
Slide 6: Well diversified generation assets throughout the region
Well diversified generation assets throughout the region Coal: 872 MW Hydro: 9,247 MW Colombia: Installed Capacity: 16,135 MW 3,015 MW 1 Colombia: Brazil1: 236 MW 665 MW Peru: 872 783 MW Chile: 636 MW Chile: 3,456 MW 5,929 COAL Argentina: 1,328 MW HYDRO NCRE 9,247 OIL-GAS Oil-Gas: 5,929 MW NCRE2: 87
Slide 7: Diversified source of EBITDA
Diversified source of EBITDA Including discontinued operations Total Installed Capacity1 Total Generation: 15,148 MW 51,622 GWh Argentina Argentina 23% 22% Chile Chile 41% 35% Peru 11% Peru EBITDA FY15 16% US$1,820 million Colombia 25% Argentina Colombia 6% 27% Peru 16% Chile 43% Enel Brasil • Endes
Slide 8: Balanced Commercial policy
Balanced Commercial policy Physical Sales as of December 2015: 61,046 GWh Chile Colombia Peru Argentina 7% 8% 5% 26% 18% 54% 52% 40% 20% 75% Distribution Unregulated 95% Companies Spot Customers Gwh / Change1 CHILE COLOMBIA PERU ARGENTINA TOTAL REGULATED 17,622 11% 9,070 18% 4,531 (12%) - 0% 31,222
Slide 9: Consolidated financial highlights
Consolidated financial highlights Endesa Chile consolidated (including discontinued operations) MM US$ * Ch$ million1 YE 2015 YE 2014 Change 2015 Revenues 2,846,926 2,446,534 16% 4,349 Costs (1,362,638) (1,119,458) 22% (2,081) Contribution Margin 1,484,287 1,327,076 12% 2,267 EBITDA 1,191,661 1,094,
Slide 10: Revenue stability through long term contracts
Revenue stability through long term contracts Energy contracts with established prices Chile– Contracted energy (TWh) Colombia – Contracted energy (TWh) Contrated energy Chile (TWh) Contrated energy Colombia (TWh) 24 12,0 20 10,0 16 8,0 12 6,0 8 4,0 4 2,0 0 0,0 2015 2016 2017 2018 2019 2020 2021 202
Slide 11: Healthy debt maturity profile
Healthy debt maturity profile Solid financial ratios and investment grade category (BBB+) Financial Debt Maturity1 as of December 2015 • Debt reduction: US$ 455 MM 2.000 1.800 Total Debt: US$ 3,065 MM 1.756 • Cash: US$ 53 MM 1.600 1.400 • Committed Credit Lines: US$ 316 MM, 1.200 1.000 800 • Non-Com
Slide 12: Consolidated Cash Flow Generation
Consolidated Cash Flow Generation (US$million)1 Including discontinued operations 2.000 1.800 1.600 (787) 1.400 1.200 1,377 41 1.000 (305) 800 600 (611) 400 514 200 229 0 Cash and Funds from Capex Funds from assets Financing activities Dividend payment Cash and equivalents Dec-14 operations disposal
Slide 13: Increasing electricity demand in Latam
Increasing electricity demand in Latam 230% Historic electricity demand growth 210% (CAGR, last ten years) 7.4% Total Sales in GWh (%) 190% 170% 150% 4.2% 3.4% 130% 3.1% 2.2% 110% 90% 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Years CHILE COLOMBIA PERU BRAZIL ARGENTINA • Colombia include
Slide 14: Markets with high potential for growth
Markets with high potential for growth Direct relation between GDP and electricity demand 18,000 CANADA Electricity consumption, per capita (Kwh per year) 16,000 FINLAND 14,000 UNITED STATES 12,000 AUSTRALIA 10,000 8,000 JAPAN AUSTRIA FRANCE GERMANY RUSSIA 6,000 SPAIN ITALY UNITED KINGDOM GREECE 4,0
Slide 15: Historical evolution of Endesa Chile's installed capacity
Historical evolution of Endesa Chile’s installed capacity 1% increase in installed capacity through projects under construction 15,148 15,298 1% 1% GasAtacama 13,845 781 MW(3) 1% 12,347 11,726 42% 42% 42% 32% 33% Salaco 145 MW (3) Los Cóndores El Quimbo 150 MW 400 MW (4) 6,002 33% 68% 67% 57% 57% 57
Slide 16: Projects under construction
Projects under construction Los Cóndores • Hydro power plant, run of the river. • Located in San Clemente, in Maule region, Chile. • 150 MW of installed capacity. • Estimated generation of 600 GWh/year. • Estimated load factor: 46%. • Total CAPEX of US$ 662 million. • 24% progress as of December, 20
Slide 17: Market value and dividends
Market value and dividends Including discontinued operations EBITDA (US$ Million1) Market Value (US$ Million1) 1,820 1,446 1,673 1,495 107 1,234 70 291 11,545 10,918 71 85 282 38 9,598 9,748 9,800 216 240 214 629 444 613 755 575 715 790 408 556 566 2011 2012 2013 2014 2015 CHILE COLOMBIA PERU ARGENT
Slide 18: Credit Risk Agencies Recognition
Credit Risk Agencies Recognition Since: Jan. 2010 Apr. 2011 Feb. 2010 Jan. 2010 Apr. 2010 BBB+ Baa2 BBB+ AA (cl) AA Affirmed: Jun. 2015 Dec. 2015 Nov. 2015 Jun. 2015 Dec. 2015 International market Chilean market RATINGS BASED UPON: • Well diversified and efficient assets • Leading market share in th
Slide 19: Endesa Chile's Investor Relations Team
Endesa Chile’s Investor Relations Team Susana Rey Catalina Gonzalez Head of Investor Relations Investor Relations Senior Analyst (56) 22630 9606 (56) 22630 9603 susana.rey@enel.com catalina.gonzalez@enel.com Guillermo Berguecio Francisco Basauri Investor Relations Analyst Investor Relations Analyst
Slide 20: Exhibits
EXHIBITS Endesa Chile Investor Presentation FY2015 USE: Public, Investor Relations 20
Slide 21: Endesa Chile's corporate history
Endesa Chile’s corporate history •September 2004, Ralco hydroelectric •As of December 2015, Endesa Chile and its subsidiaries have 192 electricity units with an • July 1994, Endesa Chile’s stock plant started operations adding 690 MW installed capacity of 15,148 MW begins to trade on the New York of
Slide 22: Installed capacity added in 2015
Installed capacity added in 2015 Colombia El Quimbo (400MW) • Hydro power plant, located in the Huila Department, Colombia • Utilizes the flow coming from the Magdalena River. • Estimated: generation of 2,093 GWh/year, Load factor: 60% • Total CAPEX of US$ 1,231 million*. El Quimbo began commercial
Slide 23: Highlights 4Q15
Highlights 4Q15 Total energy sales rose by 5% in 4Q15 Chilean EBITDA amounted to 297 million dollars in 4Q15, increasing 19% Improved generation mix (+409 GWh hydro generation) Argentina EBITDA amounted to 33 million dollars in 4Q15, increasing over 100% Higher hydro and thermo generation
Slide 24: 4Q15 Results
4Q15 Results Endesa Chile consolidated (including discontinued operations) Million US$ 4Q15 4Q14 Chg % Million US$ 4Q15 4Q14 Chg % CONSOLIDATED Revenues 161 146 19% PERU Revenues 1,237 972 27% EBITDA 79 79 -1% EBITDA 542 495 10% EBITDA MARGIN 50% 52% (5%) EBITDA MARGIN 42% 45% (7%) Physical Sales (G
Slide 25: Argentina 2015 Results
Argentina 2015 Results COSTANERA Million US$ 2015 2014 Change Revenues 154 115 34% EBITDA 64 45 40% Thermal Installed Capacity: 3,652 MW EBITDA Margin 41% 39% 5% 2,324 MW Market Share*: 12% Hydro Physical Sales (GWh) 8,168 7,051 16% Total Generation: 11,406 GWh 1,328 MW EL CHOCON Million US$ 2015 20
Slide 26: Chile 2015 Results
Chile 2015 Results Installed Capacity: 6,351 MW Market Share*: 32% Total Generation: 18,294 GWh Tarapaca GasAtacama Los Molles: 18 MW D. Almagro– Rapel-Sauzal: 466 MW Taltal ENDESA CHILE Maule: 875 MW 54% Hydro Huasco Laja: 940 MW 3,456 MW Million US$ 2015 2014 Chg % Ralco-Pangue: 1,157 MW Los Molle
Slide 27: Colombia 2015 Results
Colombia 2015 Results Installed Capacity: 3,459 MW Market Share*: 21% Total Generation: 13,705 GWh Guavio: 1,213 MW Betania: 541 MW 87% Hydro EMGESA Río Bogotá: 861 MW 3,015 MW El Quimbo: 400 MW Million US$ 2015 2014 Chg % Revenues 1,190 1,151 3% Cartagena: 208 MW 13% Thermal Termozipa: 236 MW 444 M
Slide 28: Peru 2015 Results
Peru 2015 Results Installed Capacity: 1,686 MW Market Share*: 18% Total Generation: 8,218 GWh Cuenca Río Rímac: 582 MW 47% Hydro EDEGEL Yanango: 43 MW 783 MW Million US$ 2015 2014 Chg % Chimay: 152 MW Revenues 584 540 8% Ventanilla: 484 MW 53% Thermal EBITDA 291 282 3% Santa Rosa: 419 MW 902 MW EBIT
Slide 29: Brasil 2015 Results
Brasil 2015 Results Installed Capacity: 987 MW Million US$ 2015 2014 Chg Market Share*: 1% BRASIL ENEL Revenues 3,080 3,467 (11%) Total Generation: 4,398 GWh EBITDA 555 914 (39%) Thermal Fortaleza: 322 MW 322 MW EBITDA Margin 18% 26% (32%) Hydro Cachoeira: 665 MW 665 MW 2015 2014 Chg CACHOEIRA Milli
Slide 30: Summary
Summary Net Income attributable to shareholders increased 17% in 2015 Higher energy sales of 8% El Quimbo is currently in commercial operation Rating Agencies have reaffirmed Endesa Chile in BBB+ (stable) EBITDA increased by 9%, explained by a significant improvement in Chile Endesa Chile Investor P
Slide 31: Installed capacity and energy generation
Installed capacity and energy generation 2015 Results MW CHILE COLOMBIA 2 PERU ARGENTINA TOTAL HYDRO 3,456 3,015 783 1,328 8,582 Installed COAL 636 236 0 0 872 Capacity (MW) OIL-GAS 2,173 208 902 2,324 5,607 NCRE 87 0 0 0 87 Total 6,351 3,459 1,686 3,652 15,148 Gwh / Change1 CHILE COLOMBIA PERU ARGE
Slide 32: Strong financial position
Strong financial position (Million Ch$) 2015 2014 Chg. Chg % MM US$ 2015 Gross Debt 2,063,062 2,116,462 (53,400) (3%) 2,905 Cash 149,738 336,629 (186,890) (125%) 211 Net Debt 1,913,323 1,779,833 133,490 7% 2,694 Leverage 1.05 1.05 - 0% 1.05 Financial Expenses 4.51 4.64 (0,13) (3%) 4.51 Coverage 1Amo
Slide 33: Healthy debt maturity profile in each country
Healthy debt maturity profile in each country Financial Debt Maturity1, as of December 2015 US$ Millions 2016 2017 2018 2019 2020 Balance TOTAL Chile 260 10 10 112 44 1,089 1,525 Argentina 37 15 3 2 2 31 91 Perú 75 27 37 16 10 17 183 Colombia 155 108 82 128 89 704 1,266 TOTAL 527 161 133 258 146 1,8
Slide 34: Strong performance paired with a conservative financial policy
Strong performance paired with a conservative financial policy 5.000 20,0 4.000 15,9 3.535 3.336 15,0 3.116 3.106 2.994 2.933 3.000 2694 11,3 2.248 2.097 10,0 2.014 1.977 1.920 1.820 2.000 7,4 1.661 8,9 8,0 7,1 5,4 5,0 1.000 1,5 1,5 1,5 2,1 1,5 1,5 1,5 - - 2009 2010 2011 2012 2013 2014 2015 Net Debt
Slide 35: Forward-looking statements
This presentation contains statements that could constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements appear in a number of places in this announcement and include statements regarding the intent, belief or current expecta