View
6
Download
0
Category
Preview:
Citation preview
1
9M19 CONSOLIDATED RESULTS NOVEMBER 13th 2019
November 13th 2019
9M19 Consolidated Results
2
9M19 CONSOLIDATED RESULTS NOVEMBER 13th 2019
Agenda
9M19 Results 6
Closing Remarks 16
Highlights 3
Annexes 17
3
9M19 CONSOLIDATED RESULTS NOVEMBER 13th 2019
Highlights
4
9M19 CONSOLIDATED RESULTS NOVEMBER 13th 2019
26.9
26.3 26.5
28.4
25.526.4
24.0
25.2
27.8
31.4
26.5 26.7
20
22
24
26
28
30
32
Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep
Monthy energy demand
Previous Year
Demand Evolution – Last 12 months
DEMAND AS REPORTED (TWh)
Highlights (1/2)
Note: 2017 final figures, 2018 and 2019 preliminary figures
Increasing contribution from wind and PV production
9M19 data:
▪ National Demand at 242 TWh, o/w 36% covered by RES
▪ Net Total Production at 216 TWh
Wind increased by 14%
PV increased by 6%
YoY
Change
9M2019
Δ %
-0.1%
9M19 9M18
241.9 242.2
Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep
2.1% -1.3% -1.5% 4.4% -2.2% -5.0% -0.6% -2.9% 2.9% 3.1% -0.2% -1.2%
5
9M19 CONSOLIDATED RESULTS NOVEMBER 13th 2019
Strong capex acceleration confirmed
9M 2019 Key Figures
1. 9M18 revenues reclassified in accordance with new IFRS. No impact at EBITDA level
2. Attributable to Terna
9M 2018€mn
Revenues
EBITDA
Group Net Income2
Capex
Δ vs 9M189M 2019
1,666 1,6051
1,278 1,230
553 542
670 561
Highlights (2/2)
+4%
+4%
+2%
+19%
8,250 7,899Net Debt
FY 20189M 2019
6
9M19 CONSOLIDATED RESULTS NOVEMBER 13th 2019
9M19 Results
7
9M19 CONSOLIDATED RESULTS NOVEMBER 13th 2019
1,605 1,666
1,481 1,518
118130
61737 12 11
9M18 ∆RegulatedActivities
∆Non Regulated
Activities
∆International
Activities
9M19
Revenues
Note: figures may not add up due to rounding
1. Including IFRIC12
2. Construction margin, including IFRIC12
Insourcing attività di O&M Rete FS Capex execution as a driver of our domestic growth
1 2
€mn +60
+3.8%
Regulated Activities1
Non Regulated Act.
International Act.2
9M 2019 results
8
9M19 CONSOLIDATED RESULTS NOVEMBER 13th 2019
118 130
6
17124 1211 148
9M18 ∆Non Regulated
Activities
∆International
Activities
9M19
1,451 1,480
17
28 10 -1
2712 11
1,481 1,518
9M18 ∆
Transmission &
Dispatching
∆
Other
∆
IFRIC12
9M19
Revenues Analysis
€mn
REGULATED€mn
NON REGULATED AND INTERNATIONAL
+37
+2.5% +23
+18.8%
Tamini’s turnaround ongoing
Transmission & Dispatching
OtherIFRIC 12
Note: figures may not add up due to rounding
9M 2019 results
Non Regulated Act.
International Act.
9
9M19 CONSOLIDATED RESULTS NOVEMBER 13th 2019
375 387
288 285
81 94
68-3 13 2
9M18 ∆RegulatedActivities
∆Non Regulated
Activities
∆International
Activities
9M19
1
+12
+3.3%
€mn
Opex
Note: figures may not add up due to rounding
1. Including IFRIC12
Insourcing attività di O&M Rete FS Efficiency program well on track
9M 2019 results
Regulated Activities1
Non Regulated Act.
International Act.
10
9M19 CONSOLIDATED RESULTS NOVEMBER 13th 2019
8194
6
132
887
103
9M18 ∆Non Regulated
Activities
∆International
Activities
9M19
156 160
120
4 -6 -1
114
12 11
288 285
9M18 ∆
Labour Costs
∆
External Costs
& Other
∆
IFRIC12
9M19
Opex Analysis
Insourcing attività di O&M Rete FS Skills insourcing as a driver of improved performance
€mn
REGULATED€mn
NON REGULATED AND INTERNATIONAL
-3
-1.1%+15
+17.5%
Labour CostsExternal Costs & Other
IFRIC 12
Note: figures may not add up due to rounding
9M 2019 results
Non Regulated Act.
International Act.
11
9M19 CONSOLIDATED RESULTS NOVEMBER 13th 2019
1,193 1,233
40
9M18 ∆ 9M19
1,230 1,278
9M18 9M19
EBITDA
Insourcing attività di O&M Rete FS Robust EBITDA improvement
€mn
TOTAL EBITDA€mn
REGULATED
€mn
NON REGULATED AND INTERNATIONAL
+48
+3.9%
Note: figures may not add up due to rounding
9M 2019 results
37 45
8
9M18 ∆ 9M19
12
9M19 CONSOLIDATED RESULTS NOVEMBER 13th 2019
1,278
842
553 542
436
61
227
EBITDA D&A EBIT NetFinancialExpenses
Taxes GroupNet Income
GroupNet Income
9M18
From EBITDA to Net Income
Note: figures may not add up due to rounding1. Attributable to Terna. Excluding 2.1 €mn of Minorities in 9M19 and 3.5 €mn in 9M18
Solid value creation for our shareholders
1
€mn
1
+2% YoY
9M 2019 results
13
9M19 CONSOLIDATED RESULTS NOVEMBER 13th 2019
595
7%
93%
Incentivized Investments (5.6% +1%) Other Regulated (5.6%)
68 40
434 554
59
75561670
9M18 9M19
Incentivized Investments Other Regulated Other
Capex
Insourcing attività di O&M Rete FS Strong Group’s commitment to serve Italian energy transition
TOTAL CAPEX€mn
21
REGULATED CAPEX
Note: figures may not add up due to rounding
1. I-NPR1+O-NPR1 in line with ARERA Resolution n. 579/17
2. Of which about 9 €mn of Capitalized Financial Charges in 9M19 and 12 €mn in 9M18
9M 2019 results
595
€mn
14
9M19 CONSOLIDATED RESULTS NOVEMBER 13th 2019
7,8998,250
886
85
670
481
Dec.31,2018
OperatingCash Flow
Δ WC & Other Capex Dividends&
Equity
Sep.30,2019
Note: figures may not add up due to rounding1. Including Other Fixed Assets Changes2. Including Cash Flow Hedge reserve and other
Cash Flow & Net Debt Evolution
Solid operating cash flow generation
€mn
2
Free Cash Flow to Equity +131
+350
1
9M 2019 results
15
9M19 CONSOLIDATED RESULTS NOVEMBER 13th 2019
81%
17%2%
Terna SpA Bonds
EIB
Banks
Net Debt Evolution & Financial Structure
1. Percentages and key ratios calculated on Gross Debt nominal value2. IAS value
Resilient financial structure
GROSS DEBT BREAKDOWN KEY RATIOS1 1
Fixed/Floating Ratio
Calculated on Gross Debt
82% Fixed
Duration
4.9 years
10.6€bn 2
9M 2019 results
16
9M19 CONSOLIDATED RESULTS NOVEMBER 13th 2019
Closing Remarks
Strong capex acceleration confirmed
Robust EBITDA improvement
Capex execution as a driver of our domestic growth
Plan execution well on track
Solid value creation for our shareholders
17
9M19 CONSOLIDATED RESULTS NOVEMBER 13th 2019
Annexes
18
9M19 CONSOLIDATED RESULTS NOVEMBER 13th 2019
€ mn 9M19 9M18 Δmn Δ%
Total Revenue 1,666 1,605 60 3.8%
Regulated Activities 1,518 1,481 37 2.5%
Transmission 1,395 1,348 47 3.4%
Dispatching 85 103 -18 -17.7%
Other 27 17 10 57.5%
IFRIC12 11 12 -1 -9.2%
Non Regulated Activities 130 118 12 10.3%
International Activities 17 6 11 185.0%
Total Costs 387 375 12 3.3%
Regulated Activities 285 288 -3 -1.1%
Labour Costs 160 156 4 2.7%
External Costs 103 106 -2 -2.1%
Other 10 14 -4 -28.0%
IFRIC12 11 12 -1 -9.2%
Non Regulated Activities 94 81 13 16.1%
International Activities 8 6 2 36.7%
EBITDA 1,278 1,230 48 3.9%
D&A 436 400 36 9.0%
EBIT 842 830 12 1.5%
Net Financial Charges 61 67 -6 -8.5%
Pre Tax Profit 781 763 18 2.3%
Taxes 227 218 8 3.8%
Tax Rate (%) 29.0% 28.6% +0.4 pp
Total Net Income 555 545 10 1.8%
Minority Interest 2 4 -1 -40.0%
Group Net Income 553 542 11 2.0%
1. Managerial Accounting2. 9M18 reclassified in accordance with new IFRS. No impact at EBITDA level3. Including Quality of Service
Consolidated Income Statement1
Annex
3
3
2
19
9M19 CONSOLIDATED RESULTS NOVEMBER 13th 2019
Consolidated Balance Sheet
Annex
€ mn
PP&E
Intangible Asset
Financial Inv. and Other
Total Fixed Assets
Net WC
Funds
Net Capital Invested
Financed by:
Consolidated Net Debt
Total Shareholder's Equity
Total
D/E Ratio
D/D+E Ratio
Number of Shares (mn)
Sep. 30,2019 Dec. 31,2018 Δmn
13,457 13,244 212
521 519 2
345 320 25
14,323 14,084 239
-1,739 -1,823 83
-206 -308 101
12,377 11,954 423
8,250 7,899 350
4,127 4,054 73
12,377 11,954 423
2.0 1.9
0.7 0.7
2,010 2,010
20
9M19 CONSOLIDATED RESULTS NOVEMBER 13th 2019
€ mn 9M19 9M18
Total Net Income 555 545
D&A 433 397
Net Change in Funds -101 -38
Operating Cash Flow 886 904
Δ Working Capital & Other -85 169
Cash Flow from Operating Activities 801 1,073
Capital Expenditures -670 -561
Free Cash Flow to Equity 131 512
Dividends & Equity -481 -307
Change in Net Cash (Debt) -350 205
1. Net of assets’ disposal
2. Including Other Fixed Assets Changes3. Including Cash Flow Hedge accruals and other
Consolidated Cash Flow
Annex
1
2
3
21
9M19 CONSOLIDATED RESULTS NOVEMBER 13th 2019
€ mn 9M19 9M18 Δ mn Δ%
Incentivized Investment 40 68 -27 -40%
Other Reguleted 554 434 120 28%
Regulated Capex 595 502 93 18%
Other 75 59 16 27%
Total Group Capex 670 561 109 19%
Capex
Annex
1. I-NPR1+O-NPR1 in line with ARERA Resolution n. 579/17
2. Of which about 9 €mn of Capitalized Financial Charges in 9M19 and 12 €mn in 9M18
1
2
22
9M19 CONSOLIDATED RESULTS NOVEMBER 13th 2019
THIS DOCUMENT HAS BEEN PREPARED BY TERNA S.P.A. (THE “COMPANY”) FOR THE SOLE PURPOSE DESCRIBED HEREIN. IN NO CASE MAY IT BE INTERPRETED AS AN
OFFER OR INVITATION TO SELL OR PURCHASE ANY SECURITY ISSUED BY THE COMPANY OR ITS SUBSIDIARIES.
THE CONTENT OF THIS DOCUMENT HAS A MERELY INFORMATIVE AND PROVISIONAL NATURE AND THE STATEMENTS CONTAINED HEREIN HAVE NOT BEEN
INDEPENDENTLY VERIFIED. NEITHER THE COMPANY NOR ANY OF ITS REPRESENTATIVES SHALL ACCEPT ANY LIABILITY WHATSOEVER (WHETHER IN NEGLIGENCE OR
OTHERWISE) ARISING IN ANY WAY FROM THE USE OF THIS DOCUMENT OR ITS CONTENTS OR OTHERWISE ARISING IN CONNECTION WITH THIS DOCUMENT OR ANY
MATERIAL DISCUSSED DURING THE PRESENTATION.
THIS DOCUMENT MAY NOT BE REPRODUCED OR REDISTRIBUTED, IN WHOLE OR IN PART, TO ANY OTHER PERSON. THE INFORMATION CONTAINED HEREIN AND OTHER
MATERIAL DISCUSSED AT THE CONFERENCE CALL MAY INCLUDE FORWARD-LOOKING STATEMENTS THAT ARE NOT HISTORICAL FACTS, INCLUDING STATEMENTS
ABOUT THE COMPANY’S BELIEFS AND EXPECTATIONS. THESE STATEMENTS ARE BASED ON CURRENT PLANS, ESTIMATES, PROJECTIONS AND PROJECTS, AND
CANNOT BE INTERPRETED AS A PROMISE OR GUARANTEE OF WHATSOEVER NATURE.
HOWEVER, FORWARD-LOOKING STATEMENTS INVOLVE INHERENT RISKS AND UNCERTAINTIES AND ARE CURRENT ONLY AT THE DATE THEY ARE MADE. WE CAUTION
YOU THAT A NUMBER OF FACTORS COULD CAUSE THE COMPANY’S ACTUAL RESULTS AND PROVISIONS TO DIFFER MATERIALLY FROM THOSE CONTAINED IN ANY
FORWARD-LOOKING STATEMENT. SUCH FACTORS INCLUDE BUT ARE NOT LIMITED TO: TRENDS IN COMPANY’S BUSINESS, ITS ABILITY TO IMPLEMENT COST-CUTTING
PLANS, CHANGES IN THE REGULATORY ENVIRONMENT, DIFFERENT INTERPRETATION OF THE LAW AND REGULATION, ITS ABILITY TO SUCCESSFULLY DIVERSIFY AND
THE EXPECTED LEVEL OF FUTURE CAPITAL EXPENDITURES. THEREFORE, YOU SHOULD NOT PLACE UNDUE RELIANCE ON SUCH FORWARD-LOOKING STATEMENTS.
TERNA DOES NOT UNDERTAKE ANY OBLIGATION TO UPDATE FORWARD-LOOKING STATEMENTS TO REFLECT ANY CHANGES IN TERNA’S EXPECTATIONS WITH
REGARD THERETO OR ANY CHANGES IN EVENTS.
EXECUTIVE IN CHARGE OF THE PREPARATION OF ACCOUNTING DOCUMENTS “AGOSTINO SCORNAJENCHI” DECLARES, PURSUANT TO PARAGRAPH 2 OF ARTICLE 154-
BIS OF THE CONSOLIDATED LAW ON FINANCE, THAT THE ACCOUNTING INFORMATION CONTAINED IN THIS PRESENTATION, FOR WHAT CONCERNS THE ACTUAL
FIGURES, CORRESPONDS TO THE DOCUMENT RESULTS, BOOKS AND ACCOUNTING RECORDS.
Disclaimer
23
9M19 CONSOLIDATED RESULTS NOVEMBER 13th 2019
Notes
24
9M19 CONSOLIDATED RESULTS NOVEMBER 13th 2019
investor.relations@terna.it I +39 06 8313 8282 I www.terna.it
Recommended