Enagas Sa · BME:ENG
Enagas Sa — FY2022 Earnings Presentation
33 slides from Enagas Sa's earnings presentation, Feb 21, 2023
Slide 1: 2022 results and 2023 targets
2022 results and 2023 targets 21 February 2023
Slide 2: Index
Results 2022 Index 01 02 03 04 05 2022 Execution of the 2023 ESG positioning Conclusions 2022-2030 Strategic Plan
Slide 3: Results 2022
Results 2022 as enagas
Slide 4: Context 2022: Europe paves the way on H2 and security of supply
Strategic Plan ESG Results 2022 01 2022 02 2022 - 2030 03 2023 04 Positioning 05 Conclusions 1.1 Context 2022 Europe paves the way on H2 and security of supply Green Deal REPowerEU Roadmap to a climate-neutral Decarbonisation European plan to reduce EU by 2050. goals in the EU dependence on Russia a
Slide 5: In a historic year for security of supply, the Spanish Gas System has been key
Strategic Plan ESG Results 2022 01 2022 02 2022 - 2030 03 2023 04 Positioning 05 Conclusions 1.2 Behaviour of the gas system In a historic year for security of supply, the Spanish Gas System has been key for Spain and Europe ▪ 100% availability ▪ Total exports: +90 % ▪ Expansion of export capacity t
Slide 6: Natural gas demand
Strategic Plan ESG Results 2022 01 2022 02 2022 - 2030 03 2023 04 Positioning 05 Conclusions 1.2 Gas system performance Natural gas demand Total natural gas consumption reached 364.4 TWh in 2022 Total natural gas exports through international connections and LNG vessel refuelling at 68 TWh +90% vs 2
Slide 7: Source of natural gas supply
Strategic Plan ESG Results 2022 01 2022 02 2022 - 2030 03 2023 04 Positioning 05 Conclusions 1.2 Gas system performance Source of natural gas supply 2022 2021 ▪ The Spanish Gas System has positioned itself as an entry point for supplies to Europe, thanks to the high potential of Enagás’ regasificati
Slide 8: Enagás achieved all the targets set for 2022
Strategic Plan ESG Results 2022 01 2022 02 2022 - 2030 03 2023 04 Positioning 05 Conclusions 1.3 Financial results Enagás achieved all the targets set for 2022 Key figures 2022 ▪ Net profit €376 M* ▪ Positive development of net debt in 2022 mainly due to the divestment in GNL Quintero and the good p
Slide 9: Income statement
Strategic Plan ESG Results 2022 01 2022 02 2022 - 2030 03 2023 04 Positioning 05 Conclusions 1.3 Financial results Income statement COMMENTS €M 2022 2021 Var. % ▪ Regulated revenues decreased ▪ Good performance of the results of Total revenues 970.3 991.2 (2.1%) due to application of the 2021- affil
Slide 10: Cash flows and net debt evolution
Strategic Plan ESG Results 2022 01 2022 02 2022 - 2030 03 2023 04 Positioning 05 Conclusions 1.3 Financial results Cash flows and net debt evolution Net debt in 2022 decreased by -19% (€808 M), mainly due to high cash generation, the divestment in GNL Quintero and the good performance of Working Cap
Slide 11: Sound financial structure and strong liquidity position
Strategic Plan ESG Results 2022 01 2022 02 2022 - 2030 03 2023 04 Positioning 05 Conclusions 1.3 Financial results Sound financial structure and strong liquidity position Leverage and liquidity Dec. 2022 Dec. 2021 Liquidity Dec. 2022 Dec. 2021 Current maturity Net debt €3.47 Bn €4.28 Bn Treasury €1.
Slide 12: Contribution to security of supply and decarbonisation process
Strategic Plan ESG Results 2022 01 2022 02 2022 - 2030 03 2023 04 Positioning 05 Conclusions 1.4 Evolution of our affiliates(1/3) Contribution to security of supply and decarbonisation process Enagás Renovable, Spain TLA/GDM/SLM, Mexico ▪ Provisional award of €25.6 M from the PERTE programme to 3 ▪
Slide 13: TGE's evolution in line with the Business Plan 2022-2026
Strategic Plan ESG Results 2022 01 2022 02 2022 - 2030 03 2023 04 Positioning 05 Conclusions 1.4 Evolution of our affiliates (2/3) TGE’s evolution in line with the Business Plan 2022 - 2026 Adjusted EBITDA 2023: 775 – 815 MUSD (~+9% vs 2022) Tallgrass Energy, USA 2022 Results ▪ Adjusted EBITDA 2022:
Slide 14: Trans Adriatic Pipeline (TAP), Europe
Strategic Plan ESG Results 2022 01 2022 02 2022 - 2030 03 2023 04 Positioning 05 Conclusions 1.4 Evolution of our affiliates(3/3) Trans Adriatic Pipeline (TAP), Europe ▪ 31 December 2022 marked two years since the start of ▪ On 1 October 2022, commercial operation of the Greece- natural gas transpor
Slide 15: Gasoducto Sur Peruano (GSP)
Strategic Plan ESG Results 2022 01 2022 02 2022 - 2030 03 2023 04 Positioning 05 Conclusions 1.5 GSP Gasoducto Sur Peruano (GSP) ▪ The arbitration proceedings have proceeded ▪ Legal advisors estimate that the ruling according to the established procedural should be handed down during the first timet
Slide 16: Execution Strategic Plan 2022-2030
Results 2022 02 Execution Strategic Plan 2022-2030
Slide 17: Execution of the Strategic Plan
Strategic Plan ESG Results 2022 01 2022 02 2022 - 2030 03 2023 04 Positioning 05 Conclusions 2.1 Execution of the Strategic Plan Execution of the Strategic Plan Other developments in the Core business Asset rotation international assets and adjacent businesses ▪ Next commissioning of Musel as a ▪ Sa
Slide 18: Asset rotation
Strategic Plan ESG Results 2022 01 2022 02 2022 - 2030 03 2023 04 Positioning 05 Conclusions 2.1 Execution of the Strategic Plan Asset rotation TAP acquisition ▪ Agreement with Axpo for the acquisition of its 5% stake in TAP ▪ Investment: €168 M (4% Enagás and 1% Fluxys). ▪ Enagás reinforces the ful
Slide 19: Historic agreement in the EU: H2Med
Strategic Plan ESG Results 2022 01 2022 02 2022 - 2030 03 2023 04 Positioning 05 Conclusions 2.2 Growth post 2026 Historic agreement in the EU: H2Med H2Med: First hydrogen corridor between Spain, France and Portugal, supported by Germany ▪ RepowerEU’s first major hydrogen corridor, with the aim of i
Slide 20: Spanish H2 Backbone
Strategic Plan ESG Results 2022 01 2022 02 2022 - 2030 03 2023 04 Positioning 05 Conclusions 2.2 Growth post 2026 Spanish H2 Backbone Enagás’ Hydrogen Day (19 January) highlighted Europe’s and Spain’s commitment to the development of renewable hydrogen infrastructures Transmission and storage projec
Slide 21: H2MED and axes of the Spanish H2 Backbone calendar
Strategic Plan ESG Results 2022 01 2022 02 2022 - 2030 03 2023 04 Positioning 05 Conclusions 2.2 Growth post 2026 H2MED and axes of the Spanish H2 Backbone calendar STUDIES CBA (Cost Benefit Analysis) IMPLEMENTATION Engineering START Feasibility studies Environmental impact study Permitting Procurem
Slide 22: 2023 a pivotal year for the future of green hydrogen
Strategic Plan ESG Results 2022 01 2022 02 2022 - 2030 03 2023 04 Positioning 05 Conclusions 2.3 Expected regulatory developments 2023 a pivotal year for the future of green hydrogen ▪ Update of the Integrated ▪ Publication of the list of ▪ Publication of the third ▪ Approval by the National Energy
Slide 23: 2023
Results 2022 03 2023
Slide 24: Control of operating expenses
Strategic Plan ESG Results 2022 01 2022 02 2022 - 2030 03 2023 04 Positioning 05 Conclusions Control of operating expenses Implementation of the Efficiency Plan in line with the Strategic Plan 2022 - 2030 Evolution of recurrent operating expenses 0% ~+4% 2021 2022 2023 Note: These data include recur
Slide 25: 2023 Targets
Strategic Plan ESG Results 2022 01 2022 02 2022 - 2030 03 2023 04 Positioning 05 Conclusions 2023 Targets ▪ Net profit ▪ EBITDA ▪ Dividends from affiliates ▪ Net Debt €310 M - €320 M* ~ €770 M €190 M - €200 M ~ €3.7 Bn ▪ Net investment in ▪ Efficiency plan for ▪ Financial structure ▪ Dividend policy
Slide 26: ESG positioning
Results 2022 04 ESG positioning
Slide 27: ESG Leadership
Strategic Plan ESG Results 2022 01 2022 02 2022 - 2030 03 2023 04 Positioning 05 Conclusions 4.1 ESG Key achievements / progress in 2022 ESG Leadership Milestones 2022 Enagás is included for the fifteenth consecutive year in the Dow Jones Sustainability Index (DJSI) with a score of 88 and a Top 5% S
Slide 28: Sustainability and Decarbonisation Strategy
Strategic Plan ESG Results 2022 01 2022 02 2022 - 2030 03 2023 04 Positioning 05 Conclusions 4.2 Main long-term commitments Sustainability and Decarbonisation Strategy Strategic objectives Decarbonisation of our operations and our value chain Emission reduction targets Scope 1 and 2 (tCO2e) Emission
Slide 29: 2023 Sustainable Management Plan
Strategic Plan ESG Results 2022 01 2022 02 2022 - 2030 03 2023 04 Positioning 05 Conclusions 4.2 2023 Targets 2023 Sustainable Management Plan Notable Initiatives Natural capital and Sustainability due Climate action: Transparency: People: biodiversity: diligence: ▪ Plan for electrification ▪ Report
Slide 30: Conclusions
Results 2022 a enagas Conclusions
Slide 31: Conclusions
Strategic Plan ESG Results 2022 01 2022 02 2022 - 2030 03 2023 04 Positioning 05 Conclusions Conclusions ▪ Enagás has achieved all the targets set for ▪ Targets for 2023 as foreseen in the Strategic 2022. Plan 2022 - 2030. ▪ Higher degree of execution of the Strategic ▪ 2023 will be the year when th
Slide 32: Limitations
Strategic Plan ESG Results 2022 01 2022 02 2022 - 2030 03 2023 04 Positioning 05 Conclusions Limitations ▪ This document may contain market assumptions, information from various sources and forward-looking statements regarding the financial conditions, operating results, business, strategy and plans
Slide 33: Thank you very much
Thank you very much