Enel Americas S.a. · BCS:ENELAM
Enel Americas — Investor Presentation (August 2023)
44 slides from Enel Americas's investor presentation, August 2023
Slide 1: Corporate Presentation Enel Américas August 2023
Corporate Presentation Enel Américas August 2023
Slide 2: Key considerations
Key considerations Diversified investment vehicle in the Focus our efforts on strategic countries region with ESG principles integrated and assets aligned with faster energy in our long-term strategy transition and electrification Regulated grid business with Supporting our efforts in energy attract
Slide 3: Index
Index 1 Enel Américas at a glance 2 2023-2025 Strategic Plan 3 Q2 & H1 2023 Results
Slide 4: Enel Américas at a glance
Enel Américas at a glance CNC l
Slide 5: Enel Américas at a glance
Enel Américas at a glance Ownership structure1 2022 Institutional Retail investors 0.8% EBITDA (US$ mn) 4,825 7.5% Pension funds 9.4% Group Net Income -443 # shares CAPEX (US$ mn) 3,569 107,281,698,561 Enel S.p.A 82.3% Net debt / EBITDA (times) 1.4 Installed capacity (GW) 16.0 Market Cap2: US$ 14.3
Slide 6: Diversified investment vehicle in the region
Diversified investment vehicle in the region Enel Américas is Latin America’s largest private power company Corporate simplification process ongoing Central Brazil Colombia Argentina Peru FY 2022 America Installed 5,071 3,711 660 4,419 2,255 16,116 GENERATION capacity (MW) Energy sales 43.3 18.8 3.0
Slide 7: Gross CAPEX – FY 2022
Gross CAPEX – FY 2022 Investments in Renewables and Grids aligned with our Strategic Plan targets CAPEX by country CAPEX by business2 Asset development3 CAPEX by business 4% 3% 3% 2%2% 97% SDG-linked1 7% 11% 24% 16% US$ 3,569 mn US$ 3,569 mn US$ 1,861 mn (+20% YoY) (+20% YoY) 52% (+26% YoY) 41% 62%
Slide 8: Generation Portfolio mainly represented by renewable technologies
Generation Portfolio mainly represented by renewable technologies Installed Capacity EBITDA (US$ mn) Strategic actions 6% 2% As of June 2023 +8% 3% ~540 MW added YTD 2023 8% 5% Clear path to organic growth in ~90% renewables1 2.0 2.1 renewable power generation 19% 2022 33% 1.4 13.6 GW 52% US$ 2.1 bn
Slide 9: Robust pipeline of ~54 GW, enabling the path to decarbonization
Robust pipeline of ~54 GW, enabling the path to decarbonization Gross Pipeline (GW)1 ~26 ~1 ~26 ~54 1.9 Gross Pipeline Early Stage BESS Mature In Execution Gross Pipeline by country Gross Pipeline by technology 2% 2% 18% 27% ~54 GW ~54 GW 71% 80% • Brazil Colombia Panama Solar Wind Storage 8 (1) As
Slide 10: ~1.9 GW of capacity in execution
~1.9 GW of capacity in execution, representing ~70% of our remaining 2025 renewable target Projects in execution breakdown By country 2% Country Project MW Tech. Arinos 611 Brazil1 33% Colombia By technology Aroeira 112 Panama 1.9 GW Lagoa dos 65% 314 Ventos V Pedra 194 33% Pintada 1.9 GW Fundacion
Slide 11: Grids: Regulated business with attractive returns
Grids Regulated business with attractive returns Strategic actions Main KPIs EBITDA (US$ bn)1 2020 2021 20221 5% Ensure the highest level of 10% Grid customers quality at the lowest cost (mn) 25.6 26.2 23.3 across all grids 23% 2022 Energy Improving the digitalization distributed (TWh) 115.2 119.8 1
Slide 12: Grids: clear parameters for our concessions
Grids With clear parameters for our concessions Argentina Brazil Colombia Peru Business model Price cap Price cap Revenue cap Price cap WACC 12.5% 11.2% 12.1% 12.04% real pre tax Next Regulatory 20232 2027-28 2025 2026 Period Regulatory 5 (Río) Period Length 5 4 (Ceará, São 5 4 (years) Paulo) Meteri
Slide 13: 2023-2025 Strategic Plan
2023-2025 Strategic Plan CNC l
Slide 14: Our strategic actions
Our strategic actions 1 Corporate simplification to focus our efforts to strategic countries and assets 2 Continue deployment of RES capacity, supported by a robust pipeline 3 Reinforce growth of grids to enable the energy transition, investing in modernization and digitalization 4 Boost customer ce
Slide 15: Corporate simplification process, refocusing our portfolio
Corporate simplification process, refocusing our portfolio and presence in the region… Strategic rationale Countries Focus on countries that are more 1 advanced in the energy transition and Guatemala Panama Brazil electrification Costa Rica Colombia Exit from Argentina 2 Foster renewable penetration
Slide 16: More flexibility in CAPEX allocation on strategic businesses
…allowing more flexibility in CAPEX allocation on our strategic businesses… Total CAPEX 2023-251 Grids remains as the business By business line By country with highest investments level 1% 1% 3% 10% 10% Brazil capturing most of our 4% 5% investments US$ 5.0 bn 51% US$ 5.0 bn 51% Incorporation of Ren
Slide 17: Decarbonization to reach Zero Emissions by 2040
with Decarbonization as a main strategic guideline to reach Zero Emissions by 2040… 2020 2016 2017 2018 2019 2022 2023 2027 2040 2021 Spin-off: Volta Grande Enel Distribución Capital structure Enel Américas acquisition Sao Paulo optimization to Merger of 11.3 GW of Exit from Completely Zero (former
Slide 18: Reaching 98% renewable installed capacity
…reaching 98% renewable installed capacity during the plan period, exiting non-core geographies… Generation Installed Capacity (GW) Net Production (TWh) CAPEX 2023-251 71% renewables1 +37% 44.8 29% 32.6 6.2 24% 43% 29% 2022 16.11 38.6 3% US$ 2.1 bn 17% 4% 2022 2025 11% Pro forma 2 2% 40% Energy sale
Slide 19: Grids enabling electrification, digitalization, new services & products
With our grids enabling electrification, digitalization, new services & products… Modernization of grids to accelerate the energy transition, 1 driven by electrification and digitalization Secure a stable supply of energy, through integrated portfolios, 2 leading the market liberalization in the reg
Slide 20: Investment plan to modernize infrastructure
…through our investment plan to modernize infrastructure… Grids Unitary margin (US$/MWh) Energy distributed (TWh) CAPEX 2023-251 27 28 +5% 72.8 +2% 69.2 5% 2022 2025 2022 2025 29% Pro forma 2 Pro forma 2 US$ 2.5 bn Grid customers (mn) Energy losses 66% +6% -0.9 p.p. 15.1 16.0 11.9% 11.0% Brazil Colo
Slide 21: Digitalization supported by smart meter deployment
…to deliver digitalization, supported by the significant deployment of smart meters… RAB (US$ bn) OPEX/Grid customer2 (US$/grid cust.) Smart Meter is the +21% 6.2 7.6 30 -8% 28 enabler of the Digital DSO for the Energy Transition, bringing significant 2022 2025 2022 2025 benefits to society Pro form
Slide 22: New services and products to accelerate electrification
Implementing new services and products with innovation to accelerate electrification… Enel X & Enel X Way CAPEX 2023-251 Main KPIs 2022 2025 Pro forma2 15% Charging points3 (th) 6.8 30.4 ~4x Street lighting (th) 505 872 +73% US$ 0.14 bn 47% 38% e-Buses (#) 2,427 3,860 +59% M&R4 contracts (th) 543 1,
Slide 23: Market liberalization strengthens in the region
…at the same time that market liberalization strengthens in the region… Retail Energy sold (TWh) Market Share in Free Market CAPEX 2023-251 44% 25.8 4% 17.9 +3 p.p. 12% 11% 9% 2022 2025 Pro forma 2 US$ 0.2 bn 85% Free customers (th) 46% 2022 2025 6.4 Pro forma 2 4.4 Brazil Colombia Peru Market share
Slide 24: ~100% of Generation EBITDA from Renewables
…with ~100% of Generation EBITDA coming from Renewables… EBITDA evolution 2022-2025 (US$ bn) Contracted energy (TWh) Financial KPIs Brazil3 2022 2025 Proforma EBITDA/MWh +24% 97% 98% (US$/MWh)4 28 44 1.7 – 1.9 84% 0.12 0.28 0.03 0.03 0.02 0.12 OPEX/MW 1.5 (th US$/MW)5 27 18 0.1 (0.01) (0.04) 2023 20
Slide 25: Adding new renewable capacity of ~3.5 GW
…adding new renewable capacity of ~3.5 GW @2025… Asset Development CAPEX Additional capacity 2023-25 2023-25 4% 1% 1% Capacity (GW) 10% @2022 @2025 24% 31% 1.6 3.3 42% US$ 1.7 bn ~3.5 GW 29% 58% 2.6 4.1 Brazil Colombia C. America 4.9 4.9 Brazil Colombia Peru Stewardship Brazil C. America Stewardship
Slide 26: Focusing Grids on large metropolitan areas
…and focusing Grids on large metropolitan areas in the region… EBITDA evolution 2022-2025 (US$ bn) RAB (US$ bn) Financial KPIs +2% 2022 +21% 2025 Proforma 7.6 1.5 0.04 0.004 0.07 1.5 – 1.6 Unitary margin 27 28 6.2 (US$/MWh) (0.08) OPEX/Grid cust. 37 28 (US$/grid cust.) RAB/Grid cust. (US$/grid cust.
Slide 27: Boosting products and services through Retail and Enel X
…and continue to boost new products and services through Retail and Enel X EBITDA evolution 2022-2025 (US$ bn) EBITDA evolution 2022-2025 (US$ bn) -11% +17% 0.3 0.23 – 0.24 0.04 ~0.1 0.02 0.08 (0.02) 27% (0.004) (0.03) 2025 41% 2025 0.23 – 0.24 ~0.1 (0.03) 59% 73% Brazil Colombia 2022E Fx &CPI OPEX
Slide 28: Net debt reduction to focus on liability management
Net debt reduction to focus on liability management in countries with high interest rates… Net debt / EBITDA Interest rate evolution CAPEX 1.4x 2022 2023 commitments (US$ bn) Selic 13.2% 12.4% 3.01 IBR 7.5% 10.1% 1.6 0.0x 2022 2023 (1) Includes stewardship 27
Slide 29: Debt matching functional currency, natural hedge
…with debt that matches the functional currency of our operations, creating a “natural hedge” Gross debt structure By currency By country By interest rate 2% Fixed 10% 36% 38% 2025 2025 2025 US$ 5.6 bn US$ 5.6 bn US$ 5.6 bn 62% 62% 90% BRL COP USD Brazil Colombia Floating 28
Slide 30: 2023-2025 targets
2023-2025 targets 2022 2023 2024 2025 Total 2023-25 EBITDA (US$ bn) 4.8 4.1-4.4 3.5-3.6 3.5-3.6 11.1 -11.6 Group Net Income (US$ bn) 0.0 1.2-1.3 1.0-1.1 1.0-1.1 3.2-3.4 CAPEX (US$ bn) 3.6 2.0 1.5 1.5 5.0 Dividends (US$ bn) - 0.36-0.38 0.30-0.32 0.30-0.32 0.96-1.01 29
Slide 31: Q2 & H1 2023 Results
Q2 & H1 2023 Results CNC l
Slide 32: Generation – Operational highlights
Generation – Operational highlights Strong growth in RES net production driven by better hydrology and capacity execution Installed capacity (GW) Net production & energy sales (TWh) -1% -2% 25.6 25.4 Net production 0.1 0.2 Hydro 12.5 3.0 1.2 3.0 0.0 0.2 12.2 3.9 Wind & Solar 6% 2% 2.7 0.5 0.8 0.7 5.
Slide 33: Grids – Operational highlights
Grids – Operational highlights Digitalization efforts and increase in net RAB to drive future growth and profitability Electricity distributed1 (TWh) Grid customers (mn) Quality indicators2-3 SAIDI (hours) SAIFI (times) +390k H1 2022 H1 2023 H1 2022 H1 2023 +3% Argentina 14.6 18.5 4.9 6.8 60.7 26.5
Slide 34: Gross CAPEX Q2 2023 H1 2023
Gross CAPEX Growth CAPEX mainly captured by Renewables in core countries Adj. CAPEX by country Adj. CAPEX by business1 Adj. asset development2 CAPEX by business 2% 2% 1% 2% 3% 6% 5% 14% 23% Q2 2023 42% US$ 804 mn US$ 804 mn US$ 460 mn (+4% YoY) (+4% YoY) (+32% YoY) 52% 64% Grids 84% Argentina Renewa
Slide 35: Financial highlights (US$ mn)
Financial highlights (US$ mn) Adjusted EBITDA increase mainly due to better results in Dx Brazil Q2 2022 Q2 2023 Δ% YoY H1 2022 H1 2023 Δ% YoY Reported EBITDA 1,030 955 -7.4% 2,036 1,899 -6.7% Adjusted EBITDA Increases in Dx Brazil and 1 renewables, partially offset by Fx Adjusted EBITDA 1,069 1,210
Slide 36: Debt (US$ mn)
Debt (US$ mn) Peru deconsolidation & additional cash in from disposals improves Net debt/EBITDA ratio Gross and net debt1 Net debt evolution Gross debt breakdown Jun. 23 - 20% 11% - 5% 49 6,868 573 Currency (1,467) BRL 8,046 5,463 24% US$ 7,639 (907) 348 COP 1,178 7.6 bn USD 2,176 65% 6,868 5,463 1%
Slide 37: Annexes
Corporate Presentation Annexes
Slide 38: With continuous improvement in our key KPIs
With continuous improvement in our key KPIs Enel X Retail1 2020 2021 2022 Delivery points (Th#) +11% Charging stations (Th #) 1.8 3.3 7.3 5.1 4.6 Smart lighting 3.5 (final light points, mn#) 0.8 0.8 0.9 e-Buses (Th #) 0.1 0.9 2.4 2020 2021 2022 Energy sold (TWh) PV +20% (MWp installed) 19 30 37 24.4
Slide 39: Yearly improvements in our ESG scores
Yearly improvements in our scores ESG positioning 4.2 4.4 94 AA AA AA AA 3.5 3.8 90 81 83 84 1 2019 2020 2021 2022 2019 2020 2021 2022 2019 2020 2021 2022 2023 Scale from CCC to AAA Scale from 0 to 5 Scale from 0 to 100 67 A- 85 87 53 56 81 83 47 B 2019 2020 2021 2022 2019 2020 2021 2022 20212 2022
Slide 40: Corporate governance structure
Corporate governance structure Shareholders’ meeting Audit firm 43% BoD’s composition Board of Directors (7 members) 57% Executive Independent Functions: Directors Committee Audit committee Sustainability committe Related parties transactions 39
Slide 41: Board composition
Board composition Board of Directors Board of Directors’ diversity Borja Acha Besga Chair 43% 29% Francesca Gostinelli Director 14% Age Gender diversity 14% diversity Giulia Genuardi Director 29% 71% 41-50 51-60 Male Female José Antonio Vargas Director 61-70 over 70 14% 14% Directors’ Committee (C)
Slide 42: Contact us / Thank you
Corporate Presentation Contact us Contacts Email - ir.enelamericas@enel.com Channels Website Mobile App www.enelamericas.com Enel Américas Investors Rafael de la Haza Head of Investor Relations Download App iOS Android Investor Relations team Jorge Velis Javiera Rubio Nicolás Gracia Francisco Basaur
Slide 43: Disclaimer
Corporate Presentation Disclaimer This presentation contains statements that could constitute forward-looking statements. These statements appear in a number of places in this presentation and include statements regarding the intent, belief or current expectations of Enel Américas and its management
Slide 44: CNC
CNC