endesa chile 1Q 2012 results Endesa Chile consolidated results 1Q - PowerPoint PPT Presentation

25 | 04 | 2012 endesa chile 1Q 2012 results

Endesa Chile consolidated results 1Q 2012 Highlights in 1Q 2012 Growth of 7% in electricity demand in the region Growth of 2% in physical sales on a consolidated basis Growth of 9% in operating costs, primarily as a consequence of higher transmission costs in Chile Better gross margins in generation in Colombia and Peru Growth of 4% in related company results, primarily due to Endesa Brasil and GNL Quintero Dry conditions still affecting Chile. 2

Endesa Chile consolidated results 1Q 2012 Results affected by the drought in Chile and high fuel costs MM US$ * Million Ch$ 1Q 2012 1Q 2011 Change 1Q 2012 Revenues 552,293 573,935 (4%) 1,129 Gross margin 240,994 288,651 (17%) 493 EBITDA 186,803 201,365 (7%) 382 EBIT 140,209 158,600 (12%) 287 Net financial expense (37,663) (29,530) 28% (77) 106,317 107,122 Net income (1%) 217 Net attibutable income 66,230 96,859 (32%) 135 • Higher physical sales in Colombia and Argentina. • Higher costs primarily as a consequence of the drought in Chile and higher fuel cost in Colombia, Chile and Peru. • Good results in Colombia. Amounts are expressed in US$, using the average exchange rate for each period 3

Endesa Chile consolidated results 1Q 2012 EBITDA Generation Total Generation: 13,117 GWh Total Installed Capacity: 13,845 MW Argentina Argentina Chile Chile 22% 26% 41% 37% Peru Peru 17% 12% Colombia Colombia 24% 21% EBITDA 1Q2012 TTM: US$ 1.962 million Argentina 4% Peru 15% Chile 45% Endesa Brasil Colombia 36% • Endesa Chile’s ownership: 40% (38.9% direct) • Net Attributable Income: US$ 233 million 4

Endesa Chile consolidated results 1Q 2012 Conservative Commercial Policy Physical Sales as of March 2012 Argentina Chile Chile Colombia Peru 1% 18% 8% 32% 27% 53% 28% 64% 67% 82% 20% Regulated Unregulated Spot Physical Sales as of March 2011 Argentina Peru Chile Colombia 2% 9% 18% 32% 33% 48% 66% 66% 25% 82% 19% Regulated Unregulated Spot 5

Endesa Chile consolidated results 1Q 2012 Effective Commercial Policy in long term Consolidated EBITDA (Quarterly) 2001-2012 vs. Chilean SIC Hydrology 2,5 8.000 7.000 2,0 22% 6.000 26% 32% 32% 5.000 Average Volume, Hm 3 1,5 26% 27% US $ Millions 28% 27% 4.000 27% 28% 23% 1,0 26% 3.000 26% 25% 24% 19% 24% 26% 26% 27% 24% 24% 2.000 21% 19% 25% 30% 24% 0,5 28% 21% 27% 27% 1.000 27% 23% 23% 26% 21% 21% 20% 19% 22% 26% 29% 24% 22% 23% 0,0 0 ttm 1 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 1Q EBITDA 2Q EBITDA 3Q EBITDA 4Q EBITDA SIC Reservoir Levels (Avg Vol, hm3) 1 Percentage over Twelve Trail Months 6 Amounts are expressed in US$, using the average exchange rate for each period.

Endesa Chile consolidated results 1Q 2012 Strong Financial Position MM US$ Million Ch$ 1Q 2012 1Q 2011 Chg. Chg % 1Q2012 Gross Debt 1,861,469 1,962,337 (100,867) (5%) 3,819 Cash & Equivalents 355,156 373,474 (18,318) (5%) 729 Net Debt 1,506,314 1,588,863 (82,549) (5%) 3,260 Leverage 0.90 0.96 (0.01) (1%) 0.90 Financial Expenses Coverage 4.1 5.7 (1.63) (29%) 4.1 Debt by Country Debt by Type Debt by Currency UF-Ch, Peru, 10% Others, 9% 10% Bank Debt, Local 17% Currency, 36% Colombia, Chile, 51% 31% Bonds, US$, 54% 75% Argentina, 8% Amounts expressed in US$, using the exchange rate as of March 31, 2012. 7

Endesa Chile consolidated results 1Q 2012 Free Cash Flow 2,248 2,098 2,014 1,962 1,070 1,012 779 724 (235) (251) (271) (305) (308) (353) (378) (394) (435) (462) (499) (523) (549) (564) (589) EBITDA Net Financial Result CAPEX Income Tax FCF Dividends 1 2009 2010 2011 1Q2012 ttm Amounts are expressed in US$, using the average exchange rate for each period. 1 Over Twelve Trail Months 8 2 Includes a 50% Dividend Payout for year 2011.

Endesa Chile consolidated results 1Q 2012 Analysis by country – Colombia Installed Capacity: 2,914 MW Market Share: 20% EMGESA Cartagena Guavio: 1,213 MW 85% Hydro Betania: 541 MW 2,471 MW Río Bogotá: 716 MW Bogotá Cartagena: 208 MW 15% Thermal 444 MW Termozipa: 236 MW Million US$ 1Q 2012 1Q 2011 Change Revenues 276 236 17% EBITDA 139% 178 74 EBITDA Margin 104% 64.4% 31.6% Physical Sales 3,737 3,631 3% 9

Endesa Chile consolidated results 1Q 2012 Analysis by country – Chile Installed Capacity: 5,611 MW Market Share: 32% ENDESA CHILE Tarapaca Los Molles : 18 MW Rapel-Sauzal : 466 MW D. Almagro – Taltal 62% Hydro Maule : 884 MW 3,465 MW Huasco Laja : 940 MW Ralco-Pangue : 1,157 MW Los Molles San Isidro Tarapaca-G.Atacama : 572 MW Santiago D. Almagro – Taltal : 269 MW Cachapoal 37% Thermal Huasco : 64 MW 2,068 MW San Isidro 1 and 2 : 778 MW Bocamina : 128 MW Maule Laja TG Quintero : 257 MW Bocamina Bio Bio 1% Wind Canela : 18 MW 78 MW Canela II : 60 MW Million US$ 1Q 2012 1Q 2011 Change Revenues 591 674 (12%) EBITDA (52%) 116 241 EBITDA Margin (45%) 19.6% 35.7% Physical Sales 5,191 5,169 0% 10

Endesa Chile consolidated results 1Q 2012 Analysis by country – Peru Installed Capacity: 1,668 MW Market Share: 26% EDEGEL Cuenca Río Rímac: 552 MW 45% Hydro Yanango : 43 MW 747 MW Chimay : 151 MW 55% Thermal Ventanilla: 493 MW 922 MW Santa Rosa : 429 MW Lima: • Edegel (Gx) Million US$ 1Q 2012 1Q 2011 Change Revenues 18% 144 122 EBITDA 76 66 16% EBITDA Margin 52.8% 54.0% (2%) Physical Sales 2% 2,439 2,391 11

Endesa Chile consolidated results 1Q 2012 Analysis by country – Argentina Installed Capacity: 3,652 MW Market Share: 12% EL CHOCON Hydro El Chocon : 1,328 MW 1,328 MW 1Q 2012 1Q 2011 Change Million US$  Revenues (1%) 23 23 CIEN Line EBITDA (1%) 12 12 (2x1.050 MW) Interconnection EBITDA Margin 0% 53.4% 53.4% with Brazil Physical Sales 673 675 0% Costanera COSTANERA El Chocon Thermal Costanera : 2,324 MW 2,324 MW 1Q 2012 1Q 2011 Change Million US$ Revenues 96 119 (19%) EBITDA (99%) 0.3 19 EBITDA Margin 0.3% 15.6% (98%) Physical Sales 2,392 2,306 4% 12

Endesa Chile consolidated results 1Q 2012 Analysis by country - Brazil Installed Capacity: 987 MW Market Share: 1% Fortaleza CACHOEIRA Hydro Cachoeira: 665 MW 665 MW Cachoeira Million US$ 1Q 2012 1Q 2011 Change Revenues 69 61 13% Rio de Janeiro EBITDA (0%) 45 45 EBITDA Margin (12%) 64.7% 73.3% Physical Sales 29% 1,075 835 CIEN: Transmission FORTALEZA Brazil-Argentina Interconnection Thermal Two 500 Km lines Fortaleza: 322 MW Total interconnection capacity: 2,100 MW 322 MW 1Q 2012 1Q 2011 Change Million $ Million US$ 1Q 2012 1Q 2011 Change Revenues 39 3 1338% Revenues (24%) 66 87 EBITDA 26.0 26 (0%) EBITDA 27 (2) (1520%) EBITDA Margin 39.4% 30.0% 31% EBITDA Margin (199%) 68.6% -69.5% Physical Sales 707 663 7% 13

Endesa Chile consolidated results 1Q 2012 Projects Under Construction BOCAMINA II • Location: Next to the existing coal-fired plant Bocamina, in Bío-Bío region. • Installed capacity: 370 MW, coal fired. • Estimated investment: US$ 841 million • 1Q 2012, Test on boiler burners and blowing steam pipe finished. • Commercial start-up in 2H 2012. Río Magdalena Río Magdalena EL QUIMBO Vertedero Vertedero • Location: Huila Department, upstream of Casa de Casa de Emgesa’s Betania plant. máquinas máquinas 400 MW 400 MW • Installed capacity: 400 MW, hydro. Conducción Conducción Dique Dique • Estimated investment: US$ 837 million Presa Presa Bocatoma Bocatoma • In 2009 the environmental license and h = 151 m h = 151 m Túnel de Túnel de building permissions were granted desviación desviación • River detour completed on March 2012 • Estimated start-up: December 2014 Embalse Embalse 720 msnm 720 msnm 14

Endesa Chile consolidated results 1Q 2012 Projects Under Study Neltume, hydro Los Condores, hydro power plant run-of-the-river plant  Installed capacity:  Installed capacity: 150 MW 490 MW Punta Alcalde, coal-steam Curibamba, hydro power plant power plant  Installed capacity:  Installed capacity: 740 MW 188 MW Hydroaysen, hydro power plant  Installed capacity:  2,750 MW 15

Endesa Chile consolidated results 1Q 2012 HidroAysén • Installed capacity: 2,750 MW. • One of the most efficient hydroelectric • Endesa Chile owns 51% and Colbún 49%. projects in the world. • CO 2 emissions: Reduction of 16.2 million • Renewable resources tons/year • Average load factor 77% • May 9, 2011: EIA was approved. Energy / Flooded Surface • June 2011: Pto Montt Court of Appeals issued 350 312 an injunction, leaving the resolution in state of 300 GWh / year-km 2 abeyance. 250 200 144 134 • April 2012: The Supreme Court of Justice 150 rescinded seven protection requirements 81 81 75 100 69 65 54 54 53 45 41 presented to stop the construction of the project. 29 50 23 12 12 7 0 • The Commission is preparing the Environmental Impact Study of the Aysen Transmission System, expected to be filed during 2012. 16