Slide 1: Nine Months 2016 Results
NINE MONTHS 2016 RESULTS Milan, November 2016 | 1
Slide 2: Business Environment
BUSINESS ENVIRONMENT € bing EDISON
Slide 3: Market Reference Scenario
MARKET REFERENCE SCENARIO FY2015 IH2016 IH2015 3Q2016 3Q2015 9M2016 9M2015 53,7 ICE Brent swap ($/bbl) 41,0 59,4 (31%) 47,0 51,2 (8%) 43,0 56,7 (24%) 1,11 Exchange rate (€/$) 1,12 1,12 (0%) 1,12 1,11 0% 1,12 1,11 0% 48,4 ICE Brent swap (€/bbl) 36,7 53,3 (31%) 42,1 46,1 (9%) 38,5 50,9 (24%) 321
Slide 4: Electric Power Availability Mix in Italy
ELECTRIC POWER AVAILABILITY MIX IN ITALY FY15 1H16 1H15 3Q16 3Q15 9M16 9M15 182,9 Thermoelectric production 83,8 84,8 (1,1%) 46,4 49,9 (7,0%) 130,2 134,6 (3,3%) 46,4 Hydroelectric production 21,5 24,7 (13,2%) 12,2 12,5 (2,6%) 33,7 37,3 (9,6%) 43,1 Other renewable production 24,4 23,6 3,3% 12,3
Slide 5: Gas Demand in Italy
GAS DEMAND IN ITALY FY15 1H16 1H15 3Q16 3Q15 9M16 9M15 28,4 Services & residential users 16,2 16,9 (4,3%) 2,1 1,9 9,1% 18,2 18,8 (3,0%) 16,0 Industrial users 8,6 8,3 2,7% 3,7 3,6 2,7% 12,3 11,9 2,7% 20,8 Thermoelectric users 10,1 9,2 10,5% 5,9 6,0 (0,6%) 16,1 15,2 6,1% 1,7 Auto consumption and
Slide 6: 9 Months 2016 Results
9 MONTHS 2016 RESULTS • Electric power and hydrocarbons sources and uses • Consolidated financial highlights and capital expenditures • Operating performance • Net financial debt and cash flow | 6
Slide 7: Electric Power Volumes in Italy
ELECTRIC POWER VOLUMES IN ITALY SOURCES USES (TWh) (TWh) 67,7 +1.3% 68,5 67,7 +1.3% 68,5 +5.2% 0,8 1,9 0,8 2,7 (28.2%) 8,8 (33.7%) 10,9 11,7 13,3 +7.6% 53,3 54,1 59,7 +1.4% 54,4 +9.9% 9M2015 9M2016 9M2015 9M2016 Wind & other renewable production Other sales (c) (wholesalers, IPEX, etc.) End customer
Slide 8: Hydrocarbons Volumes: Gas Portfolio in Italy
HYDROCARBONS VOLUMES GAS PORTFOLIO IN ITALY SOURCES USES (bcm) (bcm) +28.8% 15,5 +28.8% 15,5 12,1 4,4 12,1 0,1 87.8% 6,0 2,4 +56.7% 3,9 +21.8% 4,9 10,8 4,1 9,2 +17.2% +18.2% 2,9 2,4 +3.0% (2.6%) 0,4 0,4 -0,1 1,7 1,7 9M2015 9M2016 9M2015 9M2016 Production (a) Imports (pipeline + LNG) Residential uses
Slide 9: Hydrocarbons Volumes: E&P Operations
HYDROCARBONS VOLUMES E&P OPERATIONS GAS PRODUCTION OIL PRODUCTION (mcm) (kbbl) 1.508 = 1.498 3.206 3.231 +0.8% 373 +3% 384 (14.1%) 1.677 1.953 1.135 (1.9%) 1.114 1.554 1.253 +24.0% 9M2015 9M2016 9M2015 9M2016 International production (b) Domestic production (a) International production (b) Domestic
Slide 10: Group Consolidated Highlights
GROUP CONSOLIDATED HIGHLIGHTS (€ mln) FY2015 9M2016a 9M2015 Net capex & net financial investmentsb) 11.313 Sales revenues 7.974 8.309 (4,0%) 400 1.261 EBITDA 489 272 79,8% 2 (795) EBIT (10) (157) nm 106 (862) Profit (loss) before taxes (72) (180) 60,0% (980) Group net income (loss) (107) (231) 53,
Slide 11: Operating Performance Breakdown
OPERATING PERFORMANCE BREAKDOWN Electric Power Hydrocarbons Corporate, adj. and other Total Edison Group (€ mln) 9M2016 9M2015 ∆ 9M2016 9M2015 ∆ 9M2016 9M2015 ∆ 9M2016 9M2015 ∆ Sales revenues 4.063 4.997 (18,7%) 4.362 3.873 12,6% (451) (561) 19,6% 7.974 8.309 (4,0%) Adjusted EBITDA (*) 182 287 (36,6
Slide 12: From Consolidated EBITDA to Net Result
FROM CONSOLIDATED EBITDA TO NET RESULT (€ mln) FY2015 (€ mln) 9M2016 9M2015 1.261 EBITDA 489 272 217 (2.194) Depreciation, amortization and writedowns (360) (450) 90 a) 161 Net change in fair value of commodity derivatives (133) 43 (176) (23) Other income (expense), net (6) (22) 16 (795) EBIT (10)
Slide 13: Net Financial Debt and Cash Flow
NET FINANCIAL DEBT AND CASH FLOW (€ mln) Impact of Fenice NFP for (1.147) (59) (1.206) €93mln, consolidated NET FINANCIAL since Aprile 1, 2016 DEBT (1038) 1038 Impact of the reclassification of the non current portion of loans Dec 31, 2015 Dec 31, 2016 receivable from Elpedison Sa €75mln among Other
Slide 14: Statement
STATEMENT As required by Article 154-bis, Section 2, of the Uniform Finance Law (Legislative Decree No 58/1998), Didier Calvez and Roberto Buccelli, in their capacity as “Dirigenti preposti alla redazione dei documenti contabili societari” of Edison S.p.A., attest that the accounting information con