Edison Spa · MIL:EDNR
Edison Spa — FY2017 Earnings Presentation
14 slides from Edison Spa's earnings presentation, March 2018
Slide 1: Full Year 2017 Results
FULL YEAR 2017 RESULTS Milan, March 2018 | 1
Slide 2: Business Environment
BUSINESS ENVIRONMENT • Electric power and gas demand in Italy • Energy prices trend | 2
Slide 3: Electric Power Availability Mix in Italy
ELECTRIC POWER AVAILABILITY MIX IN ITALY (TWh) 314.3 +2.0% 320.4 37.0 +2.0% 37.7 27.7 +10.5% 30.6 Pumping 17.5 (0.2%) 17.5 Net import 43.8 (14.3%) 37.5 Other renewable production Wind production National generation +1.9% Hydroelectric production +4.6% 190.8 199.5 Thermoelectric production (2.5) (2.4
Slide 4: Gas Demand in Italy
GAS DEMAND IN ITALY 74.7 70.4 +6.1% (bcm) 2.2 2.1 +8.7% 25.4 23.4 System uses and losses Thermoelectric users 16.7 +6.9% 17.9 Industrial users Services and residential users 28.2 +3.5% 29.2 FY2016 FY2017 Gas demand increased by +6.1% across all sectors, thanks to higher gas generation, the recovery
Slide 5: Market Reference Scenario
MARKET REFERENCE SCENARIO BRENT PSV (€c/scm) Avg FY2017: 20.7 Avg FY2017: 54.8 $/bbl Avg FY2016: 16.5 48.6 €/bbl Avg FY2016: 45.1 $/bbl 40.8 €/bbl PUN TWA Avg FY2017: 53.9 Avg FY2016: 42.7 CSS1 Avg FY2017: 5.2 Avg FY2016: 2.7 (€/MWh) (€/MWh) Full Year 2017 results | 5 1. Clean Spark Spread Source: E
Slide 6: Full Year 2017 Results
FULL YEAR 2017 RESULTS • Electric power and hydrocarbons sources and uses • Consolidated financial highlights and capital expenditures • Operating performance • Net financial debt and cash flow | 6
Slide 7: Edison - Electric Power Volumes in Italy
EDISON - ELECTRIC POWER VOLUMES IN ITALY SOURCES USES (TWh) (TWh) 91.2 (19.1%) 91.2 (19.1%) 2.5 1.1 11.6 (11.3%) 73.7 73.7 (3.5%) 16.8 2.2 1.1 (5.6%) (1.8%) 10.9 16.4 79.6 70.8 (21.1%) (23.8%) 62.8 54.0 FY2016 FY2017 FY2016 FY2017 Hydroelectric production Other sales (b) (wholesalers, IPEX, etc.) En
Slide 8: Edison - Hydrocarbons Volumes
EDISON - HYDROCARBONS VOLUMES GAS PORTFOLIO IN ITALY SOURCES USES (bcm) (2.7%) (bcm) (2.7%) 21.9 21.3 21.9 21.3 0.5 (16.2%) 0.4 2.6 (6.1%) 2.4 (13.4%) 5.9 6.8 4.0 +13.5% 4.5 7.3 (0.1%) 7.3 +3.3% 14.6 15.1 8.0 (12.0%) 7.1 (0.1) FY2016 FY2017 FY2016 FY2017 Imports (pipeline + LNG) Other purchases Othe
Slide 9: Edison - Hydrocarbons Volumes: E&P Operations
EDISON - HYDROCARBONS VOLUMES E&P OPERATIONS GAS PRODUCTION OIL PRODUCTION (mcm) (kbbl) (3.4%) +7.7% 4.143 4.001 2.073 1.924 (16.1%) 437 521 2.163 (13.3%) 1.874 +16.6% 1.636 1.403 1.980 +7.4% 2.127 FY2016 FY2017 FY2016 FY2017 International production (a) Domestic production (b) International product
Slide 10: Group Consolidated Highlights
GROUP CONSOLIDATED HIGHLIGHTS (€ mln) FY2016 a) FY2017 D Net capex & financial investmentsb) Sales revenues 11,034 9,940 (9.9%) EBITDA 653 803 23.0% 496 44 EBIT (260) 42 nm 6 80 Profit (loss) before taxes (347) (41) nm 88 379 6 68 Group net income (loss) (389) (176) 54.8% 235 196 Net capex & net fin
Slide 11: Operating Performance Breakdown
OPERATING PERFORMANCE BREAKDOWN Electric Power Hydrocarbons Corporate and other Total Edison Group (€ mln) FY2016 FY2017 ∆ FY2016 FY2017 ∆ FY2016 FY2017 ∆ FY2016 FY2017 ∆ Sales revenues 5,682 5,127 (9.8%) 6,031 5,592 (7.3%) (679) (779) (14.7%) 11,034 9,940 (9.9%) Adjusted EBITDA (*) 242 265 9.5% 505
Slide 12: From Consolidated EBITDA to Net Result
FROM CONSOLIDATED EBITDA TO NET RESULT (€ mln) FY2016 FY2017 D EBITDA 653 803 150 Depreciation, amortization and writedowns (734) (655) 79 Despite the improvement in the of which: writedowns (256) (169) 87 performance of industrial activities, the of which: exploration costs (68) (80) (12) Group rec
Slide 13: Net Financial Debt and Cash Flow
NET FINANCIAL DEBT AND CASH FLOW (€ mln) (1062) Creates the best conditions to strengthen the position in FURTHER renewables, energy efficiency and +946 expand the customer base, starting REDUCTION OF NET from the acquisition of Gas FINANCIAL DEBT Natural’s Italian operations closed (116) in Februar
Slide 14: Statement
STATEMENT As required by Article 154-bis, Section 2, of the Uniform Finance Law (Legislative Decree No 58/1998), Didier Calvez and Roberto Buccelli, in their capacity as “Dirigenti preposti alla redazione dei documenti contabili societari” of Edison S.p.A., attest that the accounting information con