Enel Chile Sa · BCS:ENELCHILE
Enel Chile Sa — Endesa Chile — Investor Presentation (December 2012)
33 slides from Enel Chile Sa's investor presentation, December 2012
Slide 1: Endesa Chile IR presentation
Endesa Chile IR presentation As of December 2012
Slide 2: Our company
Endesa Chile IR presentation YE 2012 Our company Multinational electricity generation company based in Chile. Vast experience, with over 69 years of history. Efficient and diversified investment portfolio of generation assets. Conservative commercial policy leading to revenue and margin stabilit
Slide 3: Ownership Structure
Endesa Chile IR presentation YE 2012 Ownership Structure ENERSIS 92% Chilean Pension Funds 11% 4% 5% Institutional 61% Shareholders 6% ADR Holders 60% 14% Minority Shareholders 60% Other Institutional Shareholders PEHUENCHE, 93% •ENDESA BRASIL, 39% CELTA, 100% AMPLA •COSTANERA, 70% SAN ISIDRO,
Slide 4: A unique portfolio in LATAM's Generation business
Endesa Chile IR presentation YE 2012 A unique portfolio in LATAM’s Generation business COLOMBIA No. 2 2,914 MW inst. capacity BRAZIL Hydro: 2,470 MW 987 MW inst. capacity Thermal : 444 MW Hydro: 665 MW Thermal : 322 MW 20% market share 1% market share in generation PERU No. 1 1,657 MW inst. capacity
Slide 5: Results affected by the drought in Chile and high fuel costs
Endesa Chile IR presentation YE 2012 Results affected by the drought in Chile and high fuel costs 2011 2012 2012 Indicator Change MM ch$ MM ch$ MM US$1 Revenues 2,404,490 2,369,386 (1%) 4,869 Operational Expenses (1,217,260) (1,328,703) 9% (2,731) Contribution margin 1,187,230 1,040,684 (12%) 2,139
Slide 6: EBITDA by Country
Endesa Chile IR presentation YE 2012 EBITDA by Country Total Installed Capacity: 14,185 MW Total Generation : 53,517 GWh Chile Chile Argentina 38% Argentina 42% 21% 26% Peru Peru 16% 12% Colombia Colombia 20% 25% EBITDA 2012: US$ 1,714 million Argentina 3% Chile 35% Peru 17% Endesa Brasil • Endesa C
Slide 7: Prudent Commercial Policy
Endesa Chile IR presentation YE 2012 Prudent Commercial Policy Physical Sales as 2012 Chile Colombia Peru Argentina 4% 5% 18% 30% 28% 30% 53% 66% 65% 82% 19% Regulated Free Clients Spot Physical Sales as 2011 Chile Colombia Peru Argentina 8% 9% 19% 30% 31% 51% 61% 64% 27% 81% 19% Regulated Free Clie
Slide 8: Strong Financial Position
Endesa Chile IR presentation YE 2012 Strong Financial Position 2011 2012 2012 Indicator Change % Change MM Ch$ MM Ch$ MM US$ Gross Debt 1,808,969 1,958,068 (8%) (149,098) 4,080 Cash1 421,282 301,914 40% 119,368 630 Net Debt 1,387,687 1,656,153 (16%) (268,466) 3,450 Leverage 0.91 0.89 (1%) (0.01) 0.8
Slide 9: Free Cash Flow (US$ million)
Endesa Chile IR presentation YE 2012 Free Cash Flow (US$ million) 2.248 2.098 2.014 1.714 1.070 1.012 776 494 (51) (305)(235)(251)(300) (308)(353) (435)(381) (394) (564)(499)(551)(538) (523)(462) EBITDA Net Financial Result CAPEX Income Tax FCF Dividends 2009 2010 2011 2012 1 Payments for additions
Slide 10: Electricity demand Evolution in LATAM
Endesa Chile IR presentation YE 2012 Electricity demand Evolution in LATAM Historic electricity demand growth (CAGR, last ten years) 180% 170% 5.5% 5.3% 160% 4.4% Total Sales in GWh (% growth) 150% 140% 3.3% 130% 2.2% 120% 110% 100% 90% 80% 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 CHIL
Slide 11: Direct relation between GDP and electricity demand
Endesa Chile IR presentation YE 2012 Direct relation between GDP and electricity demand 18000 16000 FINLAND Electricity consumption, per capita (Kwh per year) CANADA 14000 UNITED STATES 12000 AUSTRALIA 10000 8000 JAPAN FRANCE AUSTRIA SPAIN GERMANY IRELAND 6000 UNITED KINGDOM ITALY RUSSIA GREECE 4000
Slide 12: Expected Evolution for Endesa Chile Installed Capacity
Endesa Chile IR presentation YE 2012 Expected Evolution for Endesa Chile Installed Capacity Percentage increase over installed capacity, year 2011 (13.845 MW) 18% 490 740 188 6% 150 88 145 145 400 400 3% 350 350 350 13,845 13.845 13.845 13.845 2011 2012 Under Construction On Basic Engineering Year 2
Slide 13: New Plant Start-Up Increasing Capacity
Endesa Chile IR presentation YE 2012 New Plant Start-Up Increasing Capacity Bocamina II • Thermal, coal fired power plant • Located in Coronel, Bío-Bío region • 350 MW of installed capacity • Estimated load factor: 65% • Capex: US$ 841 MM Investment • On October 29th, 2012, Bocamina II started its c
Slide 14: Projects Under Construction
Endesa Chile IR presentation YE 2012 Projects Under Construction El Quimbo • Hydro power plant. • Located in Huila Department • Utilizes stream coming from Magdalena river • 400 MW of installed capacity • Estimated load factor: 60% • River detour in March 2012 • Capex: US$ 837 MM investment • Estima
Slide 15: Projects Under Construction
Endesa Chile IR presentation YE 2012 Projects Under Construction Salaco Chain (optimization) • Repowering the minor plants to reach a 260 MW power. • Located in the Bogota River system. • Optimization works started on January 2013. • 145 MW will be added to the current capacity (482 GWh/year). • Est
Slide 16: Projects Under Study
Endesa Chile IR presentation YE 2012 Projects Under Study Los Cóndores • Hydro power plant • Located in San Clemente, in Maule region • 150 MW of installed capacity • Estimated load factor: 46% • EIS approved. Punta Alcalde • Thermal, coal-steam power plant • Located in Huasco, in Atacama region (SI
Slide 17: Projects Under Study
Endesa Chile IR presentation YE 2012 Projects Under Study Renaico • Wind farm • Located in Araucanía region (SIC) • 88 MW of installed capacity • EID approved for the generation plants. Curibamba • Hydro power plant • Located in Junín department, utilizes streams coming from Comas and Uchubamba rive
Slide 18: Projects Under Study
Endesa Chile IR presentation YE 2012 Projects Under Study Neltume • Hydro power plant, run of the river • Located in Panguipulli, in Los Ríos region (SIC). • 490 MW of installed capacity. 18
Slide 19: Projects Under Study: Hidroaysén
Endesa Chile IR presentation YE 2012 Projects Under Study Hidroaysén • Hydro power plant located in Aysén region • 2,750 MW of installed capacity • EIS approved for the generation plants (5) • One of the most efficient hydroelectric projects in the world, using renewable resources • Average load fac
Slide 20: Market Value and Dividends
Endesa Chile IR presentation YE 2012 Market Value and Dividends EBITDA 1 Dividends (US$ Million) (Ch$ per Share) 2.248 32.5 2.033 2.098 2.014 26.8 27.2 1.671 1.714 21.3 1.503 13.8 3.02 3,04 3 2006 2007 2008 2009 2010 2011 2012 2007 2008 2009 2010 2011 2012 Market Value 2 (US$ Million) 15,364 13,963
Slide 21: Endesa Chile's Investor Relations Team
Endesa Chile IR presentation YE 2012 Endesa Chile’s Investor Relations Team Susana Rey Catalina Gonzalez Investor Relations Director Head of Investor Relations (56-2) 2630 9606 (56-2) 2630 9603 susana.rey@endesa.cl cbgs@endesa.cl Juan Pablo Vicuña Guillermo Berguecio Investor Relations Executive Inv
Slide 22: EXHIBITS
Endesa Chile IR presentation YE 2012 EXHIBITS 22
Slide 23: Highlights of 2012
Endesa Chile IR presentation YE 2012 Highlights of 2012 Lower hydro generation in Chile, mainly explained by a third consecutive year of a severe drought. 6% growth of installed capacity in Chile, related to Bocamina II start up. 14% decrease in consolidated EBITDA explained by our operations in Chi
Slide 24: Argentina
Endesa Chile IR presentation YE 2012 Argentina Installed Capacity: 3,652 MW Market Share: 12% Total Generation: 11,289 GWh EL CHOCÓN Hydro El Chocón: 1,328 MW 1,328 MW Million US$ 2011 2012 Change Revenues 99 101 2% EBITDA 55 56 3% CIEN Line (2x1,050 MW) Interconnection EBITDA Margin 54.9% 55.8% 2
Slide 25: Peru
Endesa Chile IR presentation YE 2012 Peru Installed Capacity: 1,657 MW Market Share: 23% Total Generation: 8,740 GWh EDEGEL Cuenca Río Rímac: 552 MW 45% Hydro Yanango: 43 MW 746 MW Chimay: 151 MW Ventanilla: 485 MW 55% Thermal Santa Rosa: 426 MW 911 MW Million US$ 2011 2012 Change Lima: • Edegel (Gx
Slide 26: Chile
Endesa Chile IR presentation YE 2012 Chile Installed Capacity1: 5,961 MW Market Share: 33% Total Generation: 20,194 GWh Tarapaca ENDESA CHILE Los Molles: 18 MW Rapel-Sauzal: 466 MW D. Almagro–Taltal Maule: 875 MW 58% Hydro Huasco Laja: 940 MW 3,456 MW Ralco-Pangue: 1,157 MW Los Molles San Isidro Tar
Slide 27: Colombia
Endesa Chile IR presentation YE 2012 Colombia Installed Capacity: 2,914 MW Market Share: 20% Total Generation: 13,294 GWh EMGESA Guavio: 1,213 MW Cartagena Betania: 541 MW 85% Hydro 2,470 MW Río Bogotá: 716 MW Cartagena: 208 MW 15% Thermal Bogotá Termozipa: 236 MW 444 MW Million US$ 2011 2012 Change
Slide 28: Brazil
Endesa Chile IR presentation YE 2012 Brazil Installed Capacity: 987 MW Market Share: 1% Total Generation: 5,177 GWh CACHOEIRA Hydro Fortaleza Cachoeira: 665 MW 665 MW Million US$ 2011 2012 Change Revenues 260 319 23% Cachoeira EBITDA 193 229 19% Rio de Janeiro EBITDA Margin 74.0% 71.9% (3% ) Physica
Slide 29: Installed Capacity, and Energy Generation
Endesa Chile IR presentation YE 2012 Installed Capacity, and Energy Generation MW 12M 2012 Chile Colombia Brazil Peru Argentina Total Total 5,961 2,914 986.7 1,657 3,652 15,172 Hydro 3,456 2,471 665 746 1,328 8,666 Installed Nuclear - - - - - - Capacity Coal 636 236 - - - 872 Oil-Gas 1,782 208 322 9
Slide 30: Healthy Debt Profile and Credit Risk Ratings
Endesa Chile IR presentation YE 2012 Healthy Debt Profile and Credit Risk Ratings Financial Debt US$ Millions 2013 2014 2015 2016 2017 Balance TOTAL Chile 668 140 220 16 13 928 1,985 Argentina - - - 230 36 7 273 Perú 54 54 36 60 50 83 336 Colombia - 119 80 164 23 1,099 1,486 TOTAL 952 310 428 99 181
Slide 31: Principal Financial Ratios
Endesa Chile IR presentation YE 2012 Principal Financial Ratios Net debt/EBITDA EBITDA/Net financial expenses 8.9 2.0 2.0 8.0 7.4 1.5 1.5 1.5 5.6 5.7 2008 2009 2010 2011 2012 2008 2009 2010 2011 2012 Endesa Chile 2011 2012 Financial Expense Coverage1 6.5 5.2 ROE (%) 18.1% 9.2% ROA (%) 9.2% 6.4% 1 EB
Slide 32: Relevant Stock Presence
Endesa Chile IR presentation YE 2012 Relevant Stock Presence American Stock Market Chilean Stock Market Spanish Stock Market NYSE (US$)1 BOLSA DE SANTIAGO (CLP) LATIBEX (€) Price 2012 (Avg) 49.1 Price 2012 (Avg) 808.5 Price 2012 TTM (Avg) 1.3 Max 2012 55.4 Max 2012 894.0 Max 2012 TTM 1.5 Min 2012 40
Slide 33: Endesa Chile IR presentation YE 2012
Endesa Chile IR presentation YE 2012 “This document is the property of ENDESA and therefore must not be disseminated or published without ENDESA's prior written consent. The content of this document is provided for information purposes only and therefore has no contractual substance and should not b