Interconexion Electrica Sa Esp · BVC:ISA
Interconexion Electrica Sa Esp — Investor Presentation (July 2020)
26 slides from Interconexion Electrica Sa Esp's investor presentation, July 2020
Slide 1: Corporate Presentation July 2020
CORPORATE PRESENTATION JULY 2020 1
Slide 2: Multi-latin company group in Energy, Roads and Telecommunications
We are a multi-latin company group, recognized for the excellence of our operations in the Energy, Roads, and Telecommunications business units. 3 Business Units 6 countries and Central 43 America Affiliates and subsidiaries 2
Slide 3: ISA Strategic Cycles
ISA STRATEGIC CYCLES Internationalization Growth and Profitability New Strategic Cycle Diversification Efficiency Revenues USD 3,5 billion 2012 Net 80% outside Colombia Income x3 20% other businesses Sustainable Value Generation4,0 14,0 3,5 12,0 3,0 10,0 2,5 8,0 Revenues 2,0 6,0 Net Income 1,5 4,0 1
Slide 4: Strategic route for 2030
To keep going towards our purpose, we have drawn up a strategic route for 2030 Generate value for the shareholder Ensure corporate validity Create a social and environmental impact Minimum increase of 70% in EBITDA with respect to 2018, reaching a minimum of COP 8,6 trillion in Invest USD 2 billion
Slide 5: Our higher purpose
Our higher purpose is to create an inspiring action from every connection We discovered that the change we wish for this world is within each of us. 5
Slide 6: Our Manifest
OUR MANIFEST 6
Slide 7: Energy
United States Energy 99,99 Mexico Colombia Reliability Central America It's the equivalent In operation doing a lap and a Brazil Under construction half of planet Earth 46.374 Km 7.431 Km and 92.600 MVA * and 15.482 MVA 64.869 km Our and 109.164 MVA current presence including joint ventures Peru Mar
Slide 8: Colombia energy: 71.925 GWh, 26.901 kms, 17.472 MW
100 Compliance with indicators of the Energy and Gas Regulation Commission (CREG) Current presence Colombia Monitoring and control of 26.901 kms 71.925 GWh 17.472 MW of transmission Energy demand Net effective capacity Early alerts to Key signals for long- Key role in Reliability in energy operation
Slide 9: Roads
Roads Colombia 40% USD 3 billion Market share Investment target Peru Distribution of intercity roads 2019-2030 (revenues 2018) Our current presence In operation 907 km Our growth potential ISA signed a contract Under construction ISA and Construcciones agreement to purchase Rutas del Loa El Cóndor c
Slide 10: Telecommunications
Telecommunications United States New York Ashburn Europe Ashburn Los Angeles Dallas Jacksonville Asia Boca Raton PCCS Miami We are an information technology and SAm-1 Mexico telecommunications company, BRUSA specialized in digital solutions. PCCS SAm-1 Colombia Central America SAm-1 Digital Solution
Slide 11: For our shareholders and investors, we guarantee
For our shareholders and investors, we guarantee: High cash generation, with The highest Multi-Latin company leader Long-term business predictable flows and low standards in the region, operating strategic units with predictable, volatility, favored by the of Corporate and essential assets regulated
Slide 12: Highest standards of corporate governance: shareholder structure
We are a company with the highest standards of corporate governance SHAREHOLDER STRUCTURE 60,23% State investments 39,77% Private investors 1.107.677.894 667.196.974 440.480.920 Shares 51,41% The Nation 0,02% 569.472.561 ADR program 371.750 25.280 Shareholders 26,56% 3,35% Local Natural persons inst
Slide 13: High standards of ethics and corporate governance
High standards of ethics Highest regular audit rating in and corporate governance 2017 and 2018 for each of the items Shares and bonds traded on the Fraude Corrupción Colombian Stock Exchange 95% application of Country Code recommendations Board of Directors formed by: Compliance para • 9 members Fi
Slide 14: Diversification by countries and business units
Diversification by countries and business units EBITDA BY COUNTRY Others 1,7% Colombia EBITDA 2015 2016 2017 2018 2019 1Q20 Peru 21,3% 26,8% Energy 69% 71% 78% 83% 83% 85% Roads 28% 25% 19% 15% 15% 12% Chile Brazil 16,8% Telecommunications 3% 3% 3% 2% 2% 3% 33,4% Excluding non-recurrent events in Br
Slide 15: Long-term business units with a low risk profile and high cash generation
Long-term business units with a low risk profile and high cash generation Figures in USD billions USD 1,9 USD 1,8 2,0 4,0 USD 1,8 4,5 3,4 1,8 USD 1,5 4,0 1,6 USD 1,4 1,4 2,9 3,5 1,2 2,5 2,1 3,0 2,5 1,0 2,0 0,8 0,6 1,5 0,4 1,0 0,2 USD 1,4 USD 1,6 USD 1,8 USD 1,9 USD 1,9 0,5 - - 2020 2021 2022 2023 20
Slide 16: Sustained growth with profitability
Sustained growth with profitability 13,1% 12,8% 13,2% 13,1% 12,1% ROE 9,1% 8,9% 2015 2016* 2017* 2018 2019 1Q20 *Excluding non-recurrent events in Brazil Average Colombian issuers, 2018 8,7% Source: Bloomberg Figures as of March 2020 16
Slide 17: Attractive returns for shareholders
Attractive returns for shareholders DIVIDEND COP 675 20% COP 542 COP 552 CAGR 3,7% COP 392 COP 268 COP 288 2015 2016 2017 2018 2019 2020 Dividend Yield Average 2015 - 2020 PAYOUT ISA 50% 56% 54% Average 48% 45% 42% 42% 40% 20% 2015 2016 2017 2018 2019 2020 Debugging non-recurrent events 17
Slide 18: ISA's share performance
ISA’s share performance MULTIPLES AND Closing price SHARE 06/30/2020 INFORMATION COP 18.800 3,6x 21.000 June2020 19.000 BVC: ISA CB 17.000 OTC: IESFY 15.000 YTD % 13.000 ISA: -4,08% COLCAP: -32,12% 11.000 9.000 Average volume per day ISA: USD 2,13 million 7.000 5.000 Maximum historical price 2014 20
Slide 19: Growing financial results, focused on sustainable value (revenues, EBITDA)
Growing financial results, focused on sustainable value Excluding non-recurrent events in Brazil Figures in USD million BY COUNTRY Others REVENUES 2,5% CAGR Peru 2014-2018 Colombia 18,8% 30,0% USD 2.310 12,1% USD 2.054 USD 1.774 USD 1.872 USD 1.465 USD 586 2015 2016 2017 2018 2019 1Q20 Brazil Chile
Slide 20: Growing financial results: net income and net margin
Growing financial results, focused on sustainable value Excluding non-recurrent events in Brazil Figures in USD million CAGR NET INCOME 2014-2019 USD 433 USD 465 23,6% USD 313 USD 199 USD 217 USD 107 2015 2016 2017 2018 2019 1Q20 NET MARGIN 21,1% 20,1% 18,3% 13,6% 16,7% 12,2% 2015 2016 2017 2018 201
Slide 21: Operating cash result
Operating cash result Excluding non-recurrent events in Brazil Figures in USD million BY COUNTRY Others 2,8% Peru Colombia 29,4% 34,7% USD 171 Chile Brazil 12,5% 20,6% BY BUSINESS Increase Decrease Roads 9,7% Telco 4,8% Energy 85,5% Figures as of March 2020 21
Slide 22: Growth in assets, supported by profitability and diversification
Growth in assets, supported by profitability and diversification Excluding non-recurring events in Brazil Figures in USD million 2015 1Q20 82,6% Others Others 0,8% USD 12.631 1,5% Colombia Peru Colombia Peru 19,4% 25,0% 18,1% 18,9% USD 7.606 USD 6.916 USD 4.113 Brazil Chile 22,3% Brazil 27,4% USD 5.
Slide 23: Solid financial structure that supports the credit rating
Solid financial structure that supports the credit rating Credit rating 6,12 6,17 6,14 5,96 EBITDA / Finacial Expenses 5,73 ISA's credit rating reflects the low risk Net Debt / EBITDA profile of its business units and a stable 2,68 2,72 Net Debt / EBITDA limit and predictable cash flow. 2,45 3,01
Slide 24: A relevant stakeholder in the economies of the region: 2020-2024 Capex
We are a relevant stakeholder in the economies of the region Figures in USD million 2020-2024 Capex The investment amount for the period is Others USD 4.363 million (COP 15 trillion) 0,1% Peru 21,2% Colombia C O M M I TT E D I N V E S T M E N T 26,8% USD 1.841 Chile USD 1.198 Brazil 18,7% USD 664 33
Slide 25: Working towards growth with sustainable value creation
ISA is a company that is working towards growth with sustainable value creation. 25
Slide 26: Investor Relations contact
Carolina Botero Londoño Investor Relations Chief Financial Officer InvestorRelations@isa.com.co Telephone: +574 315 74 70 Ethics lines: lineaetica@isa.com.co DEMC Conexionesqueinspiran.isa.co www.isa.co 26
ISA (Interconexión Eléctrica S.A. E.S.P.) — Investor Presentation (July 2020) on 6ix