Enel closes the first nine months of 2022 with revenues in a sprint to 108,177 billion euros in strong growth (+ 84 % out of 58,794 billion in the first nine months of 2021). The group – like other energy giants – benefits both from the higher quantities of electricity and gas sold and produced and from the high electricity prices recorded. L'Ordinary EBITDA however it stops at 12,67 billion and the rordinary net income of the Group at 2,977 billion (-9,5%).
Enel: revenues soar in the first nine months but profits are down
Il Group net result is thus down by 29,8% to 1,759 billion while thedebt net financial assets rise to €69,736 billion (+34,2% since the end of 2021). A leap that takes into account the considerable amount of investments made by Enel and which are close to 10 billion (+17,8% to 9,039 billion) on the one hand and the negative exchange rate effect on the other.
The management has however confirmed EBITDA Ordinary between 19,0 and 19,6 billion euros for 2022, thanks to the geographical diversification of the group while it has revised downwards theGroup net ordinary income for 2022 between 5,0 and 5,3 billion euros (from 5,6-5,8 envisaged in the Plan) due to "a lower contribution from businesses in Italy compared to those in other geographical areas where the Group is present, with a consequent greater impact of minorities on the Group's net ordinary income, as well as due to an expected tax burden at the end of 2022, particularly in Spain, higher than expected".
The BoD, in approving the quarterly report, also approved an interim dividend for 2022 of 20 euro cents per share, to be paid from 25 January 2023, up 5,3% compared to the interim dividend distributed in January of this year.
"The positive evolution of operating performance, our financial solidity and the corporate simplification plan in place allow us to look optimistically to future objectives, also in anticipation of the persistence of a complex general picture" comments the CEO and general manager Francesco Starace. “Based on these premises, we confirm our shareholder remuneration policy for 2022, which envisages a total dividend of €0,40 per share, with an interim payment up 5,3% on the one distributed last January”.
Enel: the quarterly is also affected by the extra profit taxation and the situation in Russia
THEdebt, explains the note with which Enel communicated its quarterly results , rose mainly due to the effect of the increase in investments net of the acquisition of Erg Hydro and the negative exchange rate effect. They could have been compensated with a greater cash flow if this had not been reduced by the "impact on the net working capital of some government measures" including precisely the tax on extra profits which, according to some calculations, should have had an impact of around 70 million on Enel accounts.
Another point that certainly had an impact on the accounts for the first nine months is the sale of assets in Russia, frozen by Putin with an August decree that affected all foreign companies. In fact, the negative change in the exit, specifies the Enel note, "mainly reflects the higher amortization and depreciation, the write-downs of receivables and the value adjustments on the net assets of companies classified as "available for sale" in Brazil and Russia". September 30th Putin authorized the sale of Enel's assets in Russia at a value of 137 million which will however be collected at the closing of the transaction which should be completed by the end of the year, generating a positive impact on net debt valued by Enel at 550 million euros.
Above all, the accounts were affected - like other utilities affected by the difficult situation on the supply markets - by less marginality registered in the Final Markets and in Enel Green Power. These discounted, respectively, the majors procurement costs with the skyrocketing gas and the impact of the drought which has greatly reduced hydroelectric production. A factor only partially offset by the increase in thermoelectric power and trading.
