Redeia Corporacion Sa · BME:RED
Redeia Corporacion Sa — Redeia — 9M 2023 Earnings Presentation
20 slides from Redeia Corporacion Sa's earnings presentation, October 2023
Slide 1: Results for the first nine months 2023
Results for the first nine months 2023 October 2023 redeia Valuing the essentials
Slide 2: Agenda
1. Highlights & nine months 2023 results. 2. 2023 Outlook. 3. Progress on the 2021-2025 Plan. Results for the first nine months of 2023.October 2023 2
Slide 3: Highlights
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Slide 4: Regulatory update and increase in TSO investments
Regulatory update TSO investments grow by 88% reaching €513m, to enable Approval by the European Commission of the key the energy transition. legislation of Fit for 55 in October, setting a 2030 target Leaders in integration of renewable energies, which of at least 42.5% of energy from renewab
Slide 5: Key figures 9M23
€ 1,598 M €1.183 M €535 M Revenues** EBITDA Net Profit € 1,555 M in 9M22 € 1.182 M in 9M22 € 551 M in 9M22 € 622 M € 4,971 M € 991 M Investments Net financial debt FFO € 485 M in 9M22 € 4,634 M Dec. 22 € 999 M in 9M22 * Payment day on 5th January 2024. **Including revenues and share of profits of co
Slide 6: Income statement: >83% related to regulated business
€M 9M23 9M22 Δ€M Δ% 9M23 9M22 Δ€M Δ% TSO 904.0 917.2 -13.2 -1.4 Revenues* 1,597.8 1,554.8 +43.0 +2.8 International 80.6 62.2 +18.4 +29.6 Other income and OWC** 82.7 57.6 +25.1 +43.6 Satellite 97.4 109.9 -12.5 -11.4 Operating expenses -497.5 -430.0 -67.5 +15.7 Fibre optic 83.2 81.3 +1.9 +2.3 Gross op
Slide 7: Revenues by business
€M Regulated business Spain (-0.3 %): higher revenues from System Operation (€6.4 M) following the review 4 1,598 of parameters for 2023-25 and higher projects for third 26 23 parties (+€4.7 M), offset by a fall in transmission 1,555 6 activity due to the impact of the new criteria established by
Slide 8: Operating expenses
€M + €67.5 M +15.7 % 15 498 33 29 430 9 Comparable Non-comparable + €53 M + 3.5 % 9M22 Operating costs Chira Soria costs International construction Change in perimiter Rest of recurring expenses 9M23 Operating costs projects Chira-Soria construction costs of €29 M not contemplated in 9M22. At the
Slide 9: EBITDA evolution
+0.1 % 1,182 18 6 1,183 2 12 13 9M22 EBITDA TSO International Satellite Fibre optic Other 9M23 EBITDA Lower contribution from TSO due to lower transmission revenues and higher operating expenses. Positive contribution from the international business due to the commissioning of assets, changes in
Slide 10: Net profit evolution
€M -2.9 % 5 552 1 1 12 535 12 9M22 Net profit EBITDA Amortisations and Net financial results Corporate tax Minorities 9M23 Net profit other Amortizations and other in line with previous year. Improved financial result due to the management of cash surpluses and lower average gross debt, partiall
Slide 11: Investments: TSO €513M (+88% vs. 9M22)
€M TSO: € 513 M (+88 % vs. 9M22) +28 % Development of the transmission grid amounted to €463 M, due 622 to greater efforts in the construction of new lines and substations, together with progress in new interconnection with 485 TSO France. International Storage in the Canary Islands €35 M. Satel
Slide 12: Cash flow and Net Debt/EBITDA 3.3x
€M Operating cash flow 214 M€ 3.3 x 5.700 500 Net Debt/EBITDA 5.300 127 4,971 2.9 x in 9M22 4.900 991 4,634 556 4.500 622 19.8 % 4.100 3.700 777 ‘A-’ FFO/Net Debt* 3.300 Stable outlook 2.900 Fitch and S&P 26.7 % in 9M22 2.500 2022 FFO Change in Investments Dividends Hybrid bond Other 9M23 working ca
Slide 13: Gross debt structure and maturities
Gross debt structure Maturities €M 4% 2% 4% Eurobond Non-current Loans 31% Long term Credits 59% USPP Other and onwards Liquidity 3% Loans 31% Syndicated loans € 2,430 M 42% 2.13 % 4.7 years 59 % Credit facilities Cost of debt Average life ESG Financing 1,53 % in 9M22 5.2 years in 9M22 42 % in FY22
Slide 14: 2023 outlook
Slide 15: 2023 outlook: TSO investments
> 700 TSO Investments Greater commissioning of assets and update in M€ the System Operator remuneration. Progress of the Chira-Soria project. 877 819 > 80 % > 700 672 Contribution of new lines acquired in Brazil 564 530 and assets commissioned. 493 439 414 421 426 392 413 405 Start of Amazon
Slide 16: Progress of the Strategic Plan 2021-2025
Progress of the Strategic Plan 2021-2025
Slide 17: 2021-2025 investments and progress in 9M23
2021-2025 Investments Progress of the 9M23 period €M TSO Telecommunications ~4,800 ~€ 3,700 M ~€ 700 M 4,400 TSO International Telecommunications 40% 48% 52% ~3,700 Other 3,350 60% Executed Pending International ~€ 300 M * Initial Plan New target 2021-2025 2021-2025 *International Business initial 2
Slide 18: Financial efficiency 2025 and sustainable dividend policy
Financial eficiency 2025 Sustainable dividend policy EBITDA >70 % 1 €/per share MARGIN Floor 0.8 €/per share FFO/Net Debt RATIO >15 % Net Debt/EBITDA RATIO <5x 2021 2022 2023 2024 2025 Maintaining a solid CREDIT RATING Results for the first nine months of 2023.October 2023 18
Slide 19: Redeia: Valuing the essentials
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Slide 20: Disclaimer
This document has been produced by Redeia Corporación, S.A. (hereinafter Redeia) This disclaimer should be taken into consideration by all the individuals or entities at for the sole purpose expressed herein. It should not in any event be construed as an whom this document is targeted and by those w