Erg S.p.a. · MIL:ERG
Erg — 9M 2023 Earnings Presentation
18 slides from Erg's earnings presentation, Nov 14, 2023
Slide 1: 3Q and 9M 2023 Results
3Q AND 9M 2023 RESULTS Paolo Merli - CEO 14 November 2023
Slide 2: Disclaimer
DISCLAIMER This document contains certain forward-looking information that is subject to a number of factors that may influence the accuracy of the statements and the projections upon which the statements are based. There can be non assurance that the projections or forecasts will ultimately prove t
Slide 3: Agenda
AGENDA ❑ 3Q 2023 Highlights - Key Figures - Recent Developments ❑ Results Review - Business Environment - 9M 2023 Production & EBITDA - Investments ❑ Key Financials - Profit & Loss - Cash Flow Statement ❑ 2023 Guidance and Conclusions
Slide 4: Highlights: Key Figures
HIGHLIGHTS: KEY FIGURES(1) EBITDA(2) (€ mn) CAPEX (€ mn) 390 823 365 605 EBITDA Margin International 377 Italy 118 102 Corporate 65 9M 2022 9M 2023 3Q 2022 3Q 2023 9M 2022 9M 2023 3Q 2022 3Q 2023 Net Profit(3) (€ mn) NFP (€ mn) 149 1,434 1,406 115 35 35 9M 2022 9M 2023 3Q 2022 3Q 2023 31/12/2022 30/
Slide 5: Main Achievements in 3Q 2023 to Date
MAIN ACHIEVEMENTS IN 3Q 2023 TO DATE Transformation in a pure RES player completed with the sale of CCGT thermal plant Growth/financial Start-up of the second repowered windfarm in Sicily at Camporeale (50MW) Structure Launched Buy Back Programme for a max 2.5% Completed the construction at Garnacha
Slide 6: Results Review
RESULTS REVIEW Michele Pedemonte - CFO
Slide 7: Business Environment
BUSINESS ENVIRONMENT All-in Wind Prices(1) (€/MWh) All-in Solar Prices(1) (€/MWh) Italy France Germany Poland Romania Bulgaria UK Spain Sweden (1) Prices net of clawback measures 7
Slide 8: A Snapshot of 9M and 3Q 2023 Results: Production
A SNAPSHOT OF 9M AND 3Q 2023 RESULTS: PRODUCTION 9M 2023 9M 2022 Δ Energy Production (GWh): 3Q 2023 3Q 2022 Δ 9M 2023 9M 2022 1,933 1,745 188 Italy: 584 493 91 1,716 1,533 183 • Wind 492 404 88 54% 52% 217 212 5 • Solar 92 89 3 4,214 3,625 879 733 146 France: 229 187 43 GWh GWh 797 650 147 • Wind 19
Slide 9: A Snapshot of 9M and 3Q 2023 Results: EBITDA
A SNAPSHOT OF 9M AND 3Q 2023 RESULTS: EBITDA 9M 2023 9M 2022 Δ Adjusted EBITDA (€ mn): 3Q 2023 3Q 2022 Δ 3Q 2023(1) 3Q 2022(1) 214 234 (20) Italy: 66 85 (19) 146 172 (26) • Wind 36 59 (24) 68 62 6 • Solar 30 25 5 39% 31% 49 37 12 France: 8 7 1 €102 Italy €118 • Wind 6 5 1 43 32 11 mn Europe mn 5 5 0
Slide 10: Investments
INVESTMENTS 823 605 Sweden France Spain 377 UK M&A: 610(1) Eastern Europe M&A: Germany 514(3) Italy M&A: 184(2) Corporate 65 9M 2022 9M 2023 3Q 2022 3Q 2023 (1) M&A CAPEX related to Valentia Solar acquisition in Spain (€96mn - closing on January 31, 2022), plus Siena solar acquisition (€118mn – clos
Slide 11: Key Financials
salt KEY FINANCIALS
Slide 12: Adjusted P&L
ADJUSTED P&L 9M 2023 9M 2022 Euro millions 3Q 2023 3Q 2022 365 390 Adjusted EBITDA (1) 102 118 (161) (166) Amortization and depreciation (52) (59) 204 224 Adjusted EBIT 50 60 (6) (18) Net financial income (expenses) (1) (6) 0 0 Net income (loss) from equity investments 0 0 198 206 Adjusted Results b
Slide 13: Extraordinary Clawback and Windfall Taxes Effects
EXTRAORDINARY CLAWBACK AND WINDFALL TAXES EFFECTS 9M 2023 9M 2022 At EBITDA level (€ mn): 3Q 2023 3Q 2022 9M 2023 9M 2022 At NET PROFIT (1) level (€ mn): 3Q 2023 3Q 2022 374 411 EBITDA gross of clawback measures 104 133 156 169 Net Profit gross of clawback measures / Windfall taxes 36 49 9 21 (-) Cl
Slide 14: 9M 2023 Cash Flow Statement
9M 2023 CASH FLOW STATEMENT NFP Commodities Derivatives (€ mn) 152 (365) 377 (10) 10 (104) (88) 1,434 1,406 Equity Adj. Net Debt(1) Dividend Adj. CAPEX & Net working Financial Tax & Adj. Net Debt(1) distribution from 31/12/2022 paid(2) EBITDA(3) Acquisitions capital(4) charges(5) Others(6) 30/9/2023
Slide 15: 2023 Guidance
2023 GUIDANCE Paolo Merli - CEO
Slide 16: Installed Capacity Evolution to Date
INSTALLED CAPACITY EVOLUTION TO DATE Net capacity = +369MW Solar 149 (36) 3,313 47 25 Wind 42 50 2,944 92 526 309 2,418 Gross capacity = +405MW 2,109 Creag Partinico Dismantled Expected Camporeale 2020 2021 2022 Riabhach Monreale repowered Greenfield Fregenal Garnacha WTGs repowered 2023 Keep delive
Slide 17: Assets Under Construction
ASSETS UNDER CONSTRUCTION Mineo-Militello-Vizzini (RPW) Roccapalumba Salemi-Castelvetrano (RPW) (MW) 28 387(1) 101MW to be, 47MW 76MW to be, 47 51MW Δ vs as-is 50MW Δ vs as-is COD: 2Q 2024 COD: 4Q 2023 COD: 4Q 2024 Producibility: 2,300 heq 59 Producibility: 2,300 heq Producibility: 2,100 heq Bourgog
Slide 18: 2023 Guidance
2023 GUIDANCE Adjusted EBITDA (€ mn) CAPEX (€ mn) Adjusted NFP(3) (€ mn) 480-520(2) 490-520(2) 500-600 1,400-1,500 1,406 377 365(1) 9M 2023 Last 2023 New 2023 9M 2023 2023 9M 2023 2023 Actual Guidance Guidance Actual Guidance Actual Guidance Actual Guidance Guidance range (1) Net of clawback measure