Endesa Chile IR presentation As of September 2013

Transcription

1 Endesa Chile IR presentation As of September 2013

2 Ownership Structure 92% ENERSIS 61% 12% 3% 4% 6% 15% 60% Chilean Pension Funds Institutional Shareholders ADR Holders 60% Minority Shareholders Other Institutional Shareholders CHILE COLOMBIA PERU ARGENTINA BRAZIL PEHUENCHE, 93% CELTA, 100% ENDESA ECO, 100% EMGESA, 27% EDEGEL, 62% COSTANERA, 70% EL CHOCÓN, 65% ENDESA BRASIL, 39% AMPLA COELCE FORTALEZA CDSA CIEN 2

3 A unique portfolio in LATAM s Generation business COLOMBIA 2,914 MW inst. capacity Hydro: 2,470 MW Thermal : 444 MW 20% market share PERU No. 1 No. 2 BRAZIL 987 MW inst. capacity Hydro: 665 MW Thermal : 322 MW 1% market share in generation 1,661 MW inst. capacity Hydro: 750 MW Thermal : 911 MW 21% market share No. 2 ARGENTINA CHILE No. 1 5,571 MW inst. capacity 1 3,652 MW inst. capacity Hydro: 1,328 MW Thermal: MW Hydro: MW Thermal : 2,028 MW 12% market share NCRE: 87 MW 30% market share 1 Excludes the proportional assets from GasAtacama (390 MW). Consolidated installed capacity: Capacity including Brazil: Consolidated energy sales 2012: Consolidated energy sales 9M13: 13,798 MW 14,785 MW 59,020 GWh 42,101 GWh 3

4 Financial highlights 1 Ch$ Million 9M M 2012 Change Th US$ 9M 2013 Revenues 1,460,088 1,719,310 (15%) 2,991 Costs (631,325) (982,460) (36%) (1,293) EBITDA 673, ,738 14% 1,380 EBIT 528, ,072 16% 1,083 Net Financial Expenses (111,941) (109,798) 2% (229) Related Company Results 81,394 89,038 (9%) 167 Taxes (140,989) (132,848) 6% 289 Net Income 360, ,163 19% 738 Attributable to shareholders of Endesa Chile 212, ,367 27% Under IFRS, Endesa Chile has adopted the Chilean Peso as functional currency, comparisons between periods have been only made under Ch$. Referential average exchange rate is Ch$/US$ for the cumulative period ending September 30,2013 and the closing exchange rate is Ch$/US$ as of September

5 EBITDA by Country Total Installed Capacity 1 : 13,798 MW Total Generation 1 (TTM): 56,347 GWh Argentina 27% Chile 40% Argentina 23% Chile 36% Peru 12% Peru 16% Colombia 21% EBITDA 9M13 (TTM): US$ 1,876 million Colombia 25% Argentina 3% Peru 16% Chile 39% Endesa Brasil Endesa Chile s ownership: 40% (38.9% direct). Net Attributable Income (TTM) 2 : US$ 225 million. Colombia 42% 1 Excludes the proportional assets from GasAtacama (390 MW) and Endesa Brasil (987 MW). 2 Considers the total contributions of Endesa Brasil recognized by Endesa Chile as an equity method investment. 5

6 Balanced Commercial Policy Physical Sales as of September 2013 Endesa Chile IR presentation 9M 2013 Chile Colombia Peru Argentina 21% 4% 29% 10% 16% 75% 19% 52% 37% 53% 84% Regulated Unregulated Spot Physical Sales as of September 2012 Chile Colombia Peru Argentina 29% 5% 29% 30% 5% 17% 66% 18% 53% 65% 83% Regulated Unregulated Spot 6

7 Healthy Debt Profile US$ million 2,500 2,000 1,500 1, , Financial Debt Maturity 1 Total Debt: US$ 4,238 MM 2, < 1 year 1-2 years 2-3 years 3-4 years 4-5 years 5 years and beyond Bonds Banks and Other Cash: US$ 663 MM Commited Credit Lines: US$ 497 MM Non-Commited Credit Lines: US$ 381 MM Average life of debt: 6.5 years Debt by Country MM US$) Debt by Type Debt by Currency Colombia, 1,667 Peru, 291 Chile, 2,047 Bonds, 64% Others, 23% Bank Debt, 13% US$, 49% UF + CLP, 9% Other Local Currency, 42% Argentina, Includes obligations with related companies and other financial adjustments. 7

8 Free Cash Flow (US$ million) 1 1,714 1, (300) (304) (538) (607) (381) (397) (240) EBITDA Net Financial Result Payments for Additions of Fixed Assets Income Tax Free Cash Flow Dividends M 2013 TTM 1 Amounts translated into US$ at the average exchange rate for each period. * In 2012, jointly controlled companies were included. 8

9 Total Sales in GWh (%) Endesa Chile IR presentation 9M Electricity demand Evolution in LATAM Historic electricity demand growth (CAGR, last ten years) 180% 170% 5.5% 160% 150% 140% 130% 120% 4.8% 4.0% 3.3% 2.7% 110% 100% 90% Years * CHILE COLOMBIA PERU BRAZIL ARGENTINA *: Estimated growth using 3Q2013 data

10 Electricity consumption, per capita (Kwh per year) Endesa Chile IR presentation 9M 2013 Direct relation between GDP and electricity demand 18,000 16,000 FINLAND CANADA 14,000 12,000 UNITED STATES 10,000 AUSTRALIA 8,000 6,000 RUSSIA SPAIN ITALY GREECE JAPAN FRANCE AUSTRIA GERMANY IRELAND UNITED KINGDOM 4,000 CHILE 2,000 CHINA BRAZIL MEXICO ARGENTINA 0 PERU BOLIVIA COLOMBIA INDIA 0 5,000 10,000 15,000 20,000 25,000 30,000 35,000 40,000 45,000 Income per capita (Fixed PPP $USD) Data source: International Energy Agency (EIA) and The World Bank. Chile aims to be in the group of developed countries. There is no development without energy. 10

11 Projects Under Construction El Quimbo Hydro power plant. Located in the Huila Department. Utilizes stream coming from Magdalena River. 400 MW of installed capacity. Estimated load factor: 60%. River detour in March

12 Projects Under Construction Endesa Chile IR presentation 9M 2013 Salaco Chain (optimization) Repowering the minor plants to reach 221 MW power. Located in the Bogotá River system. Optimization works started in January MW will be added to the capacity. 12

13 Expected Evolution for Endesa Chile Installed Capacity Increase percentage over 2012 installed capacity 12% 740 Punta Alcalde 4% Curibamba Los Cóndores TalTal Neltume 400 El Quimbo Salaco ,794 13,794 13, Under Construction On Basic Engineering 13

14 Market Value and Dividends 1 EBITDA (US$ Million) Dividends (Ch$ per Share) 1,503 1,671 2,033 2,248 2,098 2,014 1,714 1, H 2013 TTM Market Value (US$ Million) 2 10,072 10,393 9,428 13,963 15,364 12,102 13,297 11, M 2013 Source: Intern using Bloomberg 1 Amounts expressed in US$, using the average exchange rate for each period. For years 2010 to 2012 considers jointly controlled companies. 2 Amounts expressed in US$, using the last exchange rate for each period. 14

15 Key factors Multinational electricity generation company based in Chile. Vast experience, with over 70 years of history. Efficient and diversified investment portfolio of generation assets. Balanced commercial policy leading to revenue and margin stability. Part of an important worldwide electricity group (Enel, Endesa, Enersis). Among the most actively traded companies in Chilean stock markets. 15

16 Endesa Chile s Investor Relations Team Susana Rey Investor Relations Director (56-2) susana.rey@endesa.cl Catalina Gonzalez Head of Investor Relations (56-2) cbgs@endesa.cl Guillermo Berguecio Investor Relations Executive (56-2) gabb@endesa.cl Contact us at: ir@endesa.cl 16

17 EXHIBITS 17

18 Highlights of 9M13 27% growth in Net Income attributable to Endesa Chile s shareholders, mainly due to higher operating income explained by lower generation cost 14% increase in consolidated EBITDA mainly due to operational improvements in Chile and in less extent in Colombia 36% decrease in operating costs, mainly in Chile due to lower LNG price, lower energy purchases and lower transportation costs 21% decrease in hydro generation in Chile as a consequence of lower water availability 18

19 Argentina Installed Capacity: 3,652 MW Market Share * : 12% Total Generation: 7,429 GWh El Chocón: 1,328 MW EL CHOCÓN Hydro 1,328 MW Million US$ 9M M 2012 Change Revenues (35%) EBITDA (54%) EBITDA Margin 42.9% 60.1% (29%) Physical Sales (GWh) 2,335 2,603 (10%) Costanera: 2,324 MW COSTANERA Thermal 2,324 MW El Chocón Costanera Million US$ 9M M 2012 Change 1 Revenues (76%) EBITDA 29 (5) 637% EBITDA Margin 24.4% (1%) - Physical Sales (GWh) 6,289 6,686 (6%) Based on installed capacity 1 Includes the one time effect of US$359 million due the accounting of the new regulation for generators in Argentina 19

20 Peru Installed Capacity: 1,661 MW Market Share * : 21% Total Generation: 6,182 GWh EDEGEL Cuenca Río Rímac: 556 MW Yanango: 43 MW Chimay: 151 MW 45% Hydro 750 MW Ventanilla: 485 MW Santa Rosa: 426 MW 55% Thermal 911 MW Million US$ 9M M 2012 Change Revenues (5%) Lima: Edegel (Gx) EBITDA % EBITDA Margin 53.7% 49.4% 9% Physical Sales (GWh) 6,646 7,162 (7%) * Based on installed capacity 20

21 Chile Installed Capacity 1 : 5,571 MW Market Share * : 30% Total Generation 1 : 14,543 GWh ENDESA CHILE Tarapaca Los Molles: 18 MW Rapel-Sauzal: Maule: Laja: 466 MW 875 MW 940 MW 62% Hydro 3,456 MW D. Almagro Taltal Huasco Ralco-Pangue: 1,157 MW Tarapaca 182 MW D. Almagro Taltal: 269 MW Huasco: 64 MW San Isidro 1 and 2: 778 MW Bocamina 1 and MW 36% Thermal 2,028 MW San Isidro Bocamina Los Molles Santiago Cachapoal Maule Laja Bio Bio TG Quintero: 257 MW Canela: Canela II: Ojos de Agua: 18 MW 60 MW 9MW 2% NCRE 2 87 MW Million US$ 9M M 2012 Change Revenues 1,431 1,615 (11%) EBITDA % EBITDA Margin 34.5% 22.8% 51% Physical Sales (GWh) 14,728 15,659 (6%) 1 Excludes the proportional assets from GasAtacama (390 MW). 2 Non Conventional Renewable Energy. Based on installed capacity 21

22 Colombia Installed Capacity: 2,914 MW Market Share * : 20% Total Generation: 9,620 GWh EMGESA Guavio: 1,213 MW Betania: 541 MW Río Bogotá: 716 MW 85% Hydro 2,470 MW Cartagena Cartagena: 208 MW Termozipa: 236 MW 15% Thermal 444 MW Bogotá Million US$ 9M M 2012 Change Revenues % EBITDA % EBITDA Margin 62.9% 66.3% (5%) Physical Sales (GWh) 12,103 12,305 (2%) * Based on installed capacity 22

23 Brazil Installed Capacity: 987 MW Market Share * : 1% Total Generation: 3,631 GWh CACHOEIRA Cachoeira: 665 MW Hydro 665 MW Fortaleza Million US$ 9M M 2012 Change Revenues (18%) EBITDA (13%) EBITDA Margin 74.9% 70.6% 6% Cachoeira Rio de Janeiro Physical Sales (GWh) 2,694 3,178 (15%) Fortaleza: 322 MW FORTALEZA Thermal 322 MW CIEN 1 : Transmission Brazil-Argentina Interconnection Two 500 Km lines Total interconnection capacity: 2,100 MW Million US$ 9M M 2012 Change Revenues % EBITDA % EBITDA Margin 31.8% 39.1% (19%) Million US$ 9M M 2012 Change Revenues (4%) EBITDA (8%) EBITDA Margin 68.8% 71.6% (4%) Physical Sales (GWh) 2,431 2,124 14% 1 Includes CIEN, CTM and TESA * Based on installed capacity 23

24 Installed Capacity and Energy Generation MW CHILE COLOMBIA PERU ARGENTINA TOTAL Total 5,571 2,914 1,661 3,652 13,798 Installed Capacity (MW) HYDRO 3,465 2, ,328 8,014 NUCLEAR COAL OIL-GAS 1, ,324 4,835 CHP / RENEWABLES Gwh 1 / Change 2 CHILE COLOMBIA PERU ARGENTINA TOTAL TOTAL 14,325 (1.3%) 9,573 (6.3%) 6,182 (6.3%) 7,429 (16.1%) 37,509 (6.3%) Net Generation (GWh) HYDRO 6,669 (19.9%) 8,716 (11.4%) 3,340 (11.4%) 1,520 (35.1%) 20,245 (14.9%) NUCLEAR COAL 2, % % , % OIL-GAS 4,552 (0.2%) 79 (53.3%) 2,842 (53.3%) 5,909 (9.3%) 13,382 (7.1%) CHP / RENEWABLES 136 (12.7%) % 1 Net from Transmission losses, pump and other consumptions 2 Compared with 9M

25 Strong Financial Position Ch$ Million 9M Change % Change Th US$ 1 9M 2013 Gross Debt 1,850,172 1,932,107 (81,935) (4%) 3,670 Cash 334, ,678 98,626 30% 663 Net Debt 1,515,868 1,696,429 (180,561) (12%) 3,006 Leverage (0.01) (1%) 0.89 Financial Coverage % - Credit Risk Ratings Since: Jan Apr Feb BBB+ Baa2 BBB+ Affirmed: Aug Sept Aug Amounts translated into US$ at closing exchange rate for the period (Ch$ per US$) 25

26 Balanced Debt Maturity in each country Financial Debt Maturity 1 US$ Million Balance TOTAL Chile ,047 Argentina Peru Colombia ,310 1,667 TOTAL ,297 4,238 1 Includes obligations with related companies and other financial adjustments. 26

27 Principal Financial Ratios Net debt 1 /EBITDA EBITDA/Net financial expenses M 2013 TTM M 2013 TTM Endesa Chile 9M M 2012 Financial Expense Coverage ROE (%) 10.9% 13.6% ROA (%) 7.5% 8.1% 1 Includes obligations with related companies and other financial adjustments. 2 EBITDA / (Financial expenses + Income (Loss) for indexed assets and liabilities + Foreign currency exchange differences, net) 27

28 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 be used as part of or construed as a legal contract. ENDESA does not assume any responsibility for the information contained in this document and does not offer any implicit or explicit guarantees of the impartiality, accuracy and completeness of this information and the opinions and statements contained therein. It shall also not be liable for any loss or damages that could arise as a result of using this information. ENDESA does not guarantee that the forward-looking statements in this document will apply in the future in the terms set forth. Neither ENDESA nor its subsidiaries intend to update such estimates, forecasts and objectives contained herein, except where required to do so by law. 28