Enel Americas S.a. · BCS:ENELAM
Enel Americas — FY2017 Earnings Presentation
30 slides from Enel Americas's earnings presentation, 2018
Slide 1: Enel Américas FY 2017 results
Enel Américas FY 2017 results
Slide 2: Highlights of the period
FY 2017 results Highlights of the period EBITDA of 2,947 mUSD, an increase of 21% vs 2016 13% increase in Gx and 25% increase in Dx Net Income of 1,127 mUSD, an increase of 33% vs 20161 Attributable Net Income to shareholders 709 mUSD, an increase of 25% vs 2016 Acquisitions of Celg, Volta Grande an
Slide 3: Market context in the period showing recovery
FY 2017 results Market context in the period showing recovery Enel Américas Energy Local Currencies vs USD Annual GDP growth 1 (%) demand2 (%) (YoY%)3 -10.1% 2.0% -2.3% Colombia Colombia Colombia 3.2% 1.8% 1.2% -3.5% 2.2% -4.7% Brazil Brazil Brazil 1.1% -0.9% 8.4% 3.9% 1.6% -5.7% Peru Peru Peru 2.5%
Slide 4: Operating highlights
FY 2017 results Operating highlights Net production (TWh) Energy sales (TWh) + 1.5% + 10.8% Generation 40.4 41.1 56.1 50.6 17.3 17.3 18.3 Hydro 22.6 Oil-Gas 22.6 Coal FY 16 FY 17 FY 16 FY 17 Energy Distributed (TWh) Number of customers (m) Distribution + 18.5 % + 22.6% 74.3 17.2 62.7 12.2 Celg 14.1
Slide 5: Financial highlights (US$ m)
FY 2017 results Financial highlights (US$ m) Revenues EBITDA + 37.1% + 21.3% 10,540 + 17.7% 7,686 1,536 Celg 2,945 + 94 2,947 145 Celg + 73 2,503 - 92 9,004 2,430 1 FY 16 FY 17 FY16 2016 One-off FY16 EBITDA FY17 EBITDA FX effects 2017 One-offs 2 FY17 ex. One-offs ex. One-offs and FX effects Net Inco
Slide 6: Group EBITDA evolution by business and country
FY 2017 results Group EBITDA evolution by business and country (US$ m) Generation Distribution + 13.3% + 24.6% + 179 + 11 +6 1,557 + 61 + 57 1,466 2 + 36 + 13 +5 + 51 132 1,294 1,250 + 60 1 FY 16 FX Impact Colombia Brazil Peru Argentina FY 17 1 FY 161 FX Impact Colombia Brazil Peru Argentina FY 171
Slide 7: Efficiencies vs 2015
FY 2017 results Accomplished % accomplished Operational efficiency1 Previous Plan 20193 20173 as of 2017 New Plan 20204 OPEX 234 244 104% 90 S&S2 59 55 93% 12 Cash Optimization 15 15 100% - Tax 50 50 100% - New Perimeter - - 100% 97 Total 358 364 102% 199 Efficiencies vs 2015 1,152 1,059 1. MUSD net
Slide 8: Gross Capex (US$ m)
FY 2017 results Gross Capex (US$ m) 1 By activity By business By country +38.3% +38.3% +38.3% 1,686 1,686 1,686 12% 1,219 1,219 1,219 17% 58% 18% 85% 21% 50% 21% 76% 24% 51% 50% 42% 37% 24% 15% FY 16 FY 17 FY 16 FY 17 FY 16 FY 17 Maintenance Growth Generation Distribution Brazil Colombia Argentina P
Slide 9: Focus on Colombia
FY 2017 results Focus on Colombia (US$ m) Generation Distribution Total1 FY 16 FY 17 % FY 16 FY 17 % FY 16 FY 17 % Revenues 1,152 1,160 1% 1,366 1,543 13% 2,268 2,389 5% EBITDA 647 682 5% 453 521 15% 1,100 1,203 9% Codensa Emgesa Clients: 3.3 m 411 MW Net Income 247 300 22% 164 211 29% 411 511 24% B
Slide 10: Focus on Brazil
FY 2017 results Focus on Brazil (US$ m) Generation Distribution Total1 FY 16 FY 17 % FY 16 FY 17 % FY 16 FY 17 % Revenues 572 830 45% 2,491 4,651 87% 2,780 5,172 86% Fortaleza 319 MW EBITDA 271 302 11% 415 649 56% 644 907 41% Net Income 156 179 15% 51 117 130% 238 269 13% Enel Dx Ceará Clients: 4.0
Slide 11: Focus on Peru
FY 2017 results Focus on Peru (US$ m) Generation Distribution Total1 FY 16 FY 17 % FY 16 FY 17 % FY 16 FY 17 % Enel Dx Perú Revenues 679 730 8% 865 884 2% 1,340 1,405 5% Clients: 1.4 m EBITDA 240 312 30% 211 230 9% 437 539 23% Net Income 95 153 60% 91 105 15% 174 257 48% Capex 99 74 -25% 123 123 0%
Slide 12: Focus on Argentina
FY 2017 results Focus on Argentina (US$ m) Generation Distribution Total1 FY 16 FY 17 % FY 16 FY 17 % FY 16 FY 17 % Revenues 307 300 -2% 982 1,277 30% 1,287 1,574 22% EBITDA 136 171 25% 172 158 -8% 308 327 6% Dock Sud 846 MW Net Income 66 135 104% -31 11 137% 36 148 137% Capex 78 86 10% 171 213 25%
Slide 13: Focus on Argentina: Edesur EBITDA
FY 2017 results Focus on Argentina: Edesur EBITDA (US$ m) + 41 436 + 27 + 210 158 2017 EBITDA Deferred revenues November tariff Past fines update Recurrent EBITDA increase delay 13
Slide 14: From EBITDA to Net income
FY 2017 results From EBITDA to Net income (US$ m) 2,947 2,219 - 728 +9 - 582 1,127 - 519 709 - 417 EBITDA D&A EBIT Financial Non Income tax Net Income Minorities Attr. Net Result Operating Income Results 1 FY 16 2,430 -630 1,800 -439 15 -531 845 - 448 566 1 1. Include Discontinued Operations (170 MU
Slide 15: Free cash flow (US$ m)
FY 2017 results Free cash flow (US$ m) 2,947 - 2971 1,911 - 507 - 233 7133 9724 224 -1,686 - 540 - 315 - 1,385 - 133 - 1,834 EBITDA NWC Taxes paid Net FFO Capex2 FCF Net NCF Extr. FX Effect Change in financial Dividend Operation Net Debt expenses paid 1. CELG NWC contribution: USD 0.1 bn. 2. Capex a
Slide 16: Gross debt breakdown
FY 2017 results Gross debt breakdown1 (US$ m) Gross and Net Debt Gross debt breakdown by currency Gross debt breakdown by country 9.7% 7.9% +16.7% +16.7% 4,988 4,988 4,988 4,273 4,273 4,273 9% 12% 1,639 11% 16% 15% 13% 20% 15% 2,757 35% 35% 22% 22% 3,349 46% 40% 47% 46% 40% 1,516 Dec. 16 Dec. 17 Dec
Slide 17: New Dividend Policy
FY 2017 results New Dividend Policy Attributable Net Income (US$ bn) and paid dividends +99% 1.4 +25% 0.7 0.6 Dividends paid 2016 2017 2018E Dividend Payout 50% 50% 40% 17
Slide 18: Closing remarks: highlights
FY 2017 results Closing remarks: highlights 21% EBITDA growth 25% increase in attributable Net Income Efficiencies target for 2019 already achieved Turnaround process in Celg better than initial estimates Regulatory improvements will allow Enel Américas to continue growing Proposed Dividend Policy f
Slide 19: Exhibits
Exhibits 19
Slide 20: Financial Statements reported (US$ m)
FY 2017 results Financial Statements reported (US$ m) FY 16 FY 17 ∆ YoY Revenues 7,686 10,540 37.1% Contribution Margin 3,774 4,555 20.7% EBITDA 2,430 2,947 21.3% EBIT 1,800 2,219 23.3% Net Financial Income -439 -582 32.7% Others 15 9 -41.7% Taxes -531 -519 -2.3% Group Net Income (before dis.) 845 1
Slide 21: EBITDA breakdown (US$ m)
FY 2017 results EBITDA breakdown (US$ m) EBITDA by country EBITDA by business Argentina 11% Generation Peru 18% 40% Colombia 2,947 2,947 48% 52% +21.3% yoy +21.3% yoy 31% Brazil Distribution Net Income1 by country Net Income1 by business Argentina 12% Generation 63% Peru 22% 1,127 43% Colombia 1,127
Slide 22: Operating Exhibits FY 2017
Operating Exhibits FY 2017 Business context in FY 2017 v/s FY 2016 Dx EBITDA Spot Price Dx Sales Gx EBITDA (US$ mn) Electricity Demand1 Gx Output (US$/MWh) (TWh) (US$ mn) (%) (TWh) Colombia Brazil Peru N/A Argentina N/A 1. Enel Américas’ Cumulative Demand. Brazil: Enel Dx Rio, Enel Dx Ceará and Celg
Slide 23: Net installed capacity and Total net production
Operating Exhibits FY 2017 Net installed capacity and Total net production : Breakdown by source and geography Net installed capacity (MW) MW Hydro Oil-Gas Coal Total Colombia 3,056 187 224 3,467 Peru 778 1,200 0 1,979 Brazil 1,035 319 0 1,354 Argentina 1,328 3,091 0 4,419 Total 5,817 4,797 224 11,2
Slide 24: Production mix (TWh)
Operating Exhibits FY 2017 Production mix (TWh) LatAm Colombia + 1.5% - 1.3 % Hydro 40.4 41.1 15.0 14.8 0.8% Oil-gas 1.5% 0.3% 0.4% 42.8% 44.6% 4.0% Coal 2.2% 98.8% 55.8% 55.1% 93.8% FY 16 FY 17 FY 16 FY 17 Peru Brazil Argentina - 14.6% + 10.1% + 13.0 % 8.7 7.4 3.7 4.0 13.1 14.8 52.1% 46.0% 42.9% 47
Slide 25: Distribution companies
Operating Exhibits FY 2017 Distribution companies Energy sold Energy losses Concession Next tariff Distributor Clients City, Country (GWh) (%) area (km2) revision Codensa 3,340,457 13,790 7.8% Bogota, Colombia 14,456 20181 Enel Dx Rio 3,029,751 11,091 20.3% Niteroi, Brazil 32,615 2018 Enel Dx Ceará
Slide 26: Liquidity and credit profile
Financial Exhibits FY 2017 Liquidity and credit profile Liquidity (US$ m) Amount Outstanding Available Committed credit lines 270 0 270 Cash and cash equivalents 1 1,639 0 1,639 Total liquidity 1,909 0 1,909 Credit Profile as of Feb. 2018 S&P Fitch Moody's LT international debt BBB BBB+ Baa3 LT loca
Slide 27: Debt maturity
Financial Exhibits FY 2017 Debt maturity Average residual maturity (years) Debt profile (US$ m) 4.7 2,616 4.3 989 776 607 FY 2016 FY 17 2018 2019 2020 Balance 27
Slide 28: Disclaimer
FY 2017 Results Disclaimer 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
Slide 29: IR Team
FY 2017 Results IR Team • Rafael De La Haza, Head of IR +56 2 2353 4682 • Jorge Velis – IR Santiago de Chile Office +56 2 2353 4552 • Itziar Letzkus – IR Santiago de Chile Office +56 2 2353 4681 • Javiera Rubio – IR Santiago de Chile Office +56 2 2353 4576 • Gonzalo Juarez – IR New York Office +1 (2
Slide 30: CNC
CNC