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2018 Q1 HIGHLIGHTS
2
Total energy generation (SEIN) grew 1.7% in Q1 2018 compared to Q1 2017. As of March, EEP maintained a
leading position in the sector, accounting for 21% of the total capacity and 6% of the total energy generation of the
system
Q1 2018 EBITDA reached 71.5MUSD, increasing 42% compared to Q4 2017 as a result of strong commercial
efforts to re-contract available efficient capacity. Q1 2018 EBITDA decreased 34% compared to Q1 2017. The
decrease is mainly explained by the end of SPCC PPA and lower re-contracting prices given market conditions
Q1 2018 Net Result reached 30.0MUSD, increasing significantly compared to Q4 2017 (1MUSD) and impacted
by Lower EBITDA and higher D&A against Q1 2017
On March 31st, EEP announced the commercial operation of Intipampa solar project, EEP´s first step in non
conventional renewable energy. This solar plant is located in Moquegua and reached a total installed capacity of
40.5MW
In March 2018, EEP signed a 30-year PPA for 35MW starting in 2022 and a 37-year agreement with Anglo
American Quellaveco to share existing jetty facilities
In February, LNG pipeline event caused a restriction in the availability of natural gas. As a consequence,
diesel plants were dispatched to satisfy electricity demand and marginal cost increased
Shareholders approved the distribution of 48.9MUSD in dividends related to FY 2017 (38% payout ratio)
ENGIE Energía Perú - Quarterly Results Q1 2018
MAIN FINANCIAL RESULTS Q1 2018
3
EBITDA Net Result
Total Debt
837.1 799.1
2017 Q4 2018 Q1
-5%
108.1
50.371.5
2017 Q1 2017 Q4 2018 Q1
55.0
1.0 30.0
2017 Q1 2017 Q4 2018 Q1
+42%
Total Debt MUSD
EBITDA MUSD Net Result MUSD
Net Debt / EBITDA (12m)
Net Debt / EBITDA x
2.5 2.6
2017 Q4 2018 Q1
+4%
ENGIE Energía Perú - Quarterly Results Q1 2018
ENERGY PRODUCTION AND BALANCE Q1 2018Lower thermal generation in Q1 2018 and net buyer position in the spot market
4ENGIE Energía Perú - Quarterly Results Q1 2018
GWh∆
Q1 2018 vs
Q4 2017
∆
Q1 2018 vs
Q1 2017
Yuncán HPP 760 8% 889 11% 276 12% 210 9% 274 13% 30% -1%
Quitaracsa HPP 484 5% 531 6% 203 9% 101 4% 189 9% 87% -7%
Chilca1 CCGT 5,617 63% 5,303 63% 1,135 49% 1,439 61% 222 11% -85% -80%
Chilca2 220 2% 308 4% 10 0% 155 7% 13 1% -91% 31%
Ilo21 (Coal) 773 9% 674 8% 227 10% 23 1% 20 1% -12% -91%
Ilo1 (Diesel) 210 2% 86 1% 16 1% 0 0% 0 0% n.a. -100%
Ilo31 (Cold Reserve) 100 1% 7 0% 1 0% 0 0% 1 0% 467% 34%
NEPI 18 0% 9 0% 1 0% 1 0% 6 0% 327% 404%
Intipampa 0 0% 0 0% 0 0% 0 0% 6 0% n.a. 0%
Imports (Ecuador) 21 0% 0 0% 0 0% 0 0% 0 0% n.a. 0%
Auxiliaries -289 -3% -185 -2% -32 -1% -34 -1% 2 0% -106% -106%
NET GENERATION 7,914 88% 7,624 91% 1,838 79% 1,897 81% 735 35% -61% -60%
COES: NET 1,061 12% 734 9% 503 21% -63 -3% 1,381 65% -2309% 175%
CLIENTS DEMAND 8,976 100% 8,358 100% 2,340 100% 1,834 78% 2,116 100% 15% -10%
Q1 2018Q1 20172016 2017 Q4 2017
MAIN RESULTS Q1´18
5
Q1 2018 EBITDA increased 42% compared to Q4 2017 as a result of a commercial effort to re-contract available
capacity after Las Bambas termination contract in 2017
Q1 2018 EBITDA decreased -34% compared to Q1 2017 to 71MUSD, mainly explained by the end of SPCC PPA
contract which was partially offset by new PPAs. Q1 2018 Net result was affected by lower EBITDA and higher D&A
compared to Q1 2017
Total debt decreased by 4.5% from December 2017, following the expected amortization schedule, and totalized
799MUSD
ENGIE Energía Perú - Quarterly Results Q1 2018
* Does not include commercial penalty fees and impairment of assets
(MUSD) Q1 2018 Q4 2017 Q1 2017∆ Q1 2018 vs
Q4 2017
∆ Q1 2018 vs
Q1 2017FY 2017 FY 2016 ∆ FY
Revenues 163 139 201 18% -19% 683 748 -9%
EBITDA 71 50 108 42% -34% 325 309 5%
Net Result 30 1 55 2967% -45% 130 132 -1%
Recurrent EBITDA* 71 53 108 35% -34% 298 330 -10%
Net Recurrent Result* 30 3 55 953% -45% 111 169 -35%
Total Debt 799 837 963 -5% -17% 837 1,009 -17%
Net Debt 763 800 904 -5% -16% 800 981 -18%
Net Generation GWh 735 1,897 1,838 -61% -60% 7,624 7,914 -4%
Clients Demand GWh 2,116 1,834 2,340 15% -10% 8,358 8,976 -7%
Net Debt / EBITDA 12m 2.6 2.5 2.8 7% -6% 2.5 3.2 -22%
+52.7 +50.3 -4.4+8.7
+4.6 +1.5
+10.8 +71.5
EBITDAQ4 2016
EBITDAQ4 2017
∆ CMg CommercialContracts
Other Income Intipampa Others EBITDAQ1 2018
• LNG pipeline
event caused
marginal cost
increase
EBITDA: Q1 2018 vs. Q4 2017 +21.1 MUSD
6
+ 42%
ENGIE Energía Perú - Quarterly Results Q1 2018
• Jetty contract, mainly one shot
initial payment
• Services to SPCC
• Mainly due to
impairments in Q4
2017
Commercial effort driving EBITDA improvement
-5.9
+1.0
+21.1
+4.9
+4.8 +1.2 -2.9+30.0
Net ResultQ4 2016
Net ResultQ4 2017
EBITDA D&A Net FinancialExpenses
FX Tax Net ResultQ1 2018
NET RESULT: Q1 2018 vs. Q4 2017 +29.0 MUSD
7ENGIE Energía Perú - Quarterly Results Q1 2018
• Methodology
adjustment in 2017
• Lower outstanding debt
• Interest on tax adjustment
in 2017
+94.2
+108.1 -6.3-37.1
+5.3 +1.5 +71.5
EBITDAQ1 2016
EBITDAQ1 2017
∆ CMg Commercial Contracts Other Income Intipampa EBITDAQ1 2018
EBITDA: Q1 2018 vs. Q1 2017 -36.6 MUSD
8
- 34%
• SPCC PPA
maturity
• Lower prices as
a result of
unbalanced
market
• LNG pipeline
event
ENGIE Energía Perú - Quarterly Results Q1 2018
• Jetty contract mainly one shot
initial payment
• Services to SPCC
Expected PPA maturities and lower prices due to unbalanced market
explained margin contraction
+53.0+55.0 -36.6
-1.7+2.0
-2.4
+13.7 +30.0
Net ResultQ1 2016
Net ResultQ1 2017
EBITDA D&A Net FinancialExpenses
FX Tax Net ResultQ1 2018
NET RESULT: Q1 2018 vs. Q1 2017 -25.0 MUSD
9
- 45%
• Methodology
adjustment
• Lower outstanding
debt
ENGIE Energía Perú - Quarterly Results Q1 2018
STOCK PRICE PERFORMANCEHigher regulatory and political uncertainty driving Q1 2018 price decrease with low liquidity levels
10
Financial Market Data – March 2018
Number of shares issued 601,307,011
Share price (PEN) – 31/03/2018 6.89
VWAP (3m) – (PEN) 6.87
52 week – high – (PEN) 8.50
52 week – low – (PEN) 6.50
Market Cap (MUSD) 1,285
Enterprise Value (EV) (MUSD) 2,048
EV / EBITDA 7.1x
Price to Book Value (P/B) 1.2x
Price / Earnings ratio (P/E) 12.3x
Daily avg. trading volume (mm sh) 0.03
EV: Market Cap + Net Debt
P/B: Market Cap / Book Value of Equity
Source: SMV, Lima Stock Exchange
• Market Cap changes in USD is affected by share price movements and FX changes
• In Q1 2018, the share price decreased from 7.29 to 6.89 S/./sh; (-5.5%); while the
exchange rate appreciated slightly against the USD (3.224 PEN/USD). The share
price decreased in a context of higher volatility due to uncertainty regarding
regulatory issues related with the natural gas price declaration mechanism and
political uncertainties.
467663
1,020
793 839
1,602
1,187
1,759
2,0052,075
1,427
1,611
1,3511,285
0
50
100
150
200
250
0
500
1,000
1,500
2,000
2,500
2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018
MU
SD M
US
D
Net Result Dividends Market Cap
*Market Cap variation in 2015 is mainly explained by portfolio rebalance of an institutional investor and subsequent potential reclassification of Peru from Emerging Markets (“EM”) to Frontier market due to its low
liquidity
ENGIE Energía Perú - Quarterly Results Q1 2018
EQUITY ANALYST VIEW
11
PE
N /
Sh
are
6.5
7.5
8.0
8.5
6.0
Credicorp Larrain Kallpa Inteligo Consensus
Target price 8.4 8.2 8.9 8.8 8.6
Recommendation Underperform Buy Maintain Buy
Date October 2017 February 2018 January 2018 January 2018
2018 Mar
Consensus
Price as of March
31rst 6.89
25%
Upside
7.0
BuySell Mantain
9.0
ENGIE Energía Perú - Quarterly Results Q1 2018 11
32
42
28
13 12 1520 20
2431 33
24
43
31
11 13
16
1822
309
34 3642
41
15
10 10
34
77
42
71
85
59
24 25
31
3842
54
49 49
0
10
20
30
40
50
60
70
80
90
100
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017
Extraordinary Annual
2nd Half 1rst Half
DIVIDEND PAYMENTS: 680 MUSD since 2004
12
Dividend Policy: Minimum payout ratio of 30%
Payout ratio
of 38% in
2017
ENGIE Energía Perú - Quarterly Results Q1 2018
THANKS
13
This presentation may contain certain forward-looking statements and information relating to ENGIE Energía Perú S.A. (“Engie Energía Perú” or the
“Company”) that reflect the current views and/or expectations of the Company and its management with respect to its business plan. Forward-looking
statements include, without limitation, any statement that may predict, forecast, indicate or imply future results, performance or achievements, and may
contain words like “believe”, “anticipate”, “expect”, “envisage”, “will likely result”, or any other words or phrases of similar meaning. Such statements are
subject to a number of significant risks, uncertainties and assumptions. We caution that a number of important factors could cause actual results to differ
materially from the plans, objectives, expectations, estimates and intentions expressed in this presentation. In any event, neither the Company nor any of its
affiliates, directors, officers, agents or employees shall be liable before any third party (including investors) for any investment or business decision made or
action taken in reliance on the information and statements contained in this presentation or for any consequential, special or similar damages. The Company
does not intend to provide eventual holders of shares with any revised forward-looking statements of analysis of the differences between any forward-looking
statements and actual results. There can be no assurance that the estimates or the underlying assumptions will be realized and that actual results of
operations or future events will not be materially different from such estimates.
This presentation and its contents are proprietary information and may not be reproduced or otherwise disseminated in whole or in part without ENGIE
Energía Perú prior written consent.
FOR MORE INFORMATION ABOUT ENGIE ENERGIA PERU
Ticker: ENGIEC1
+51 1 616 79 79 investor.relations@pe.engie.com
Rocío Vásquez, Head of Corporate Finance & Investor Relations – rocio.vasquez@pe.engie.com
Marcelo Soares, Chief Financial Officer – marcelo.soares@pe.engie.com
Av. República de Panamá 3490, Lima 27, Peru www.engie.pe
ENGIE Energía Perú - Quarterly Results Q1 2018
Chilca Complex
• ChilcaUno - 852MW - Natural Gas
• ChilcaDos - 111MW- Natural Gas
Ilo Complex
Nodo - 610MW - Dual Fuel
Ilo31 (Cold Reserve) - 500MW - Dual Fuel
Ilo21 - 135MW - Coal
Intipampa
Solar 41MW
Yuncan
Hydro 136MW
Quitaracsa
Hydro 112MW
* www.engie.com
APPENDIXENGIE Energia Peru overview
14
Largest private electricity company in Peru in terms of
capacity
2,497 MW of installed capacity & ~7,600 GWh of
annual generation
Low Co2 generation base
Diversified & decentralized portfolio of
generation sources
21 years operating in the country & listed since 2005
508 employees
Financial discipline to support future growth ambitions,
AAA local rating
Sponsored by a global leader, ENGIE S.A.*
ENGIE Energía Perú - Quarterly Results Q1 2018
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