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Enel Chile(ENIC) - 2022 Q4 - Earnings Call Transcript
2023-03-02 03:02
Financial Data and Key Metrics Changes - The adjusted EBITDA for Q4 2022 was $932 million, with a significant increase attributed to a $520 million agreement with Shell and a $169 million rise in PPA sales due to the devaluation of the Chilean peso against the dollar [7][10][38] - The full year 2022 adjusted net income reached $1,470 million, representing an increase of 8.8% compared to the previous year [39] - The net debt-to-EBITDA ratio improved by around 60%, enhancing liquidity and financial stability [26][52] Business Line Data and Key Metrics Changes - The B2C segment secured a tender to replace 2,600 wood stores with air conditioning units, while the B2G segment closed a deal to provide energy solutions for three sports facilities [6] - Hydrogeneration increased by 2 terawatt hours compared to 2021, contributing positively to the overall performance [16] - The company added approximately 0.8 gigawatts of renewable capacity during 2022, reaching 76% of total generation capacity [27] Market Data and Key Metrics Changes - The energy sales increased by 11% in 2022, primarily due to higher sales to regulated customers [57] - The company experienced a recovery in demand, which increased by 4% in 2022 compared to the previous year [56] - Spot prices remained under pressure due to commodity scenarios and transmission bottlenecks, impacting the overall market environment [15] Company Strategy and Development Direction - The company aims to leverage its assets and expertise through an integrated and sustainable business model, focusing on decarbonization and electrification [12][44] - The strategy includes asset rotation and optimization of LNG contracts to enhance financial performance [10][46] - Enel Chile is committed to sustainability, with 92% of its CapEx linked to decarbonization goals [35][32] Management's Comments on Operating Environment and Future Outlook - Management acknowledged the challenging market context but highlighted improved hydrology and optimization strategies that offset negative impacts [15][18] - The company is well-prepared to operate in a volatile environment and capitalize on emerging opportunities [12][44] - Future expectations include a slight increase in the cost of debt due to the repayment of cheaper short-term debt [65] Other Important Information - The company was recognized for its sustainability efforts, ranking first in three categories of the downtown sustainability index [21] - Enel Chile's gross debt decreased by $0.3 billion to $4.7 billion as of December 2022, reflecting effective debt management [42] - The company plans to propose a final dividend of CLN 5.2 per share for the 2022 fiscal year [26] Q&A Session Summary Question: Concerns about the distribution segment and theft issues - Management acknowledged the increase in electrical cable theft and stated that it is a recurrent issue, with government focus on stricter regulations to address it [67][69] Question: Green hydrogen pilot project next steps - The company is in a 50-50 joint venture for the green hydrogen project and is focused on production rather than processing [95] Question: Expectations for the stabilization mechanism and cash flow generation - Management expects to recover most of the receivables by the end of 2023, amounting to around $450 million [83] Question: Impact of new capacity regulation on Enel Chile - Management does not foresee a significant short-term impact from the new capacity payment regulations due to a long transition period [80][82] Question: Optimal net debt-to-EBITDA ratio - The target is below 3x net debt-to-EBITDA, which aligns with the company's financial strategy [84] Question: Gas optimization gains and actions for distribution performance - Management highlighted the importance of gas optimization in portfolio management and ongoing efforts to improve distribution performance through careful investment management [87][98]
Enel Chile(ENIC) - 2022 Q2 - Earnings Call Presentation
2022-07-29 00:20
Q2 & H1 Enel Chile's Consolidated results July 28, 2022 enel Q2 & H1 2022 Key highlights Fabrizio Barderi CEO enel INTERNAL Key highlights of the period enel Portfolio Management Regulatory updates Economic performance Asset rotation | --- | --- | --- | --- | |--------------------------------------------|-------------------------------------------|----------------------------|----------------------------------------| | Adverse market | | | | | conditions partially | 2.0 Energy | Temporary effect | Sale purc ...
Enel Chile(ENIC) - 2022 Q2 - Earnings Call Transcript
2022-07-28 22:56
Enel Chile S.A. (NYSE:ENIC) Q2 2022 Results Conference Call July 28, 2022 2:00 PM ET Company Participants Isabela Klemes - Head of IR Fabrizio Barderi - CEO Giuseppe Turchiarelli - CFO Conference Call Participants Murilo Riccini - Santander Operator Good afternoon, ladies and gentlemen, and welcome to Second Quarter and First Half 2022 Results Conference Call. My name is Victor, and I will be your operator for today. [Operator Instructions] During this conference call, we may make statements that constitute ...
Enel Chile(ENIC) - 2022 Q1 - Earnings Call Presentation
2022-05-04 13:40
First Quarter Consolidated results May 3, 2022 enel First Quarter 2022 Key highlights, strategy updates and operational performance Giuseppe Turchiarelli CFO INTERNAL Value for Shareholders Extraordinary operation Decarbonization Portfolio Management Key highlights of the period enel | --- | --- | --- | --- | |----------------------------|---------------------------------------|----------------------------------------|---------------------------------------------------------------| | | | | | | +0.2 GW of | ...
Enel Chile(ENIC) - 2022 Q1 - Earnings Call Transcript
2022-05-04 06:51
Enel Chile S.A. (NYSE:ENIC) Q1 2022 Earnings Conference Call May 3, 2022 2:00 PM ET Company Participants Isabela Klemes - Head, Investor Relations Giuseppe Turchiarelli - Chief Financial Officer Conference Call Participants Murilo Riccini - Santander Javier Suarez - Mediobanca Andrew McCarthy - CrediCorp Capital Operator Good afternoon, ladies and gentlemen, and welcome to Enel Chile First Quarter 2022 Results Conference Call. My name is Lydia, and I will be your operator for today. [Operator Instructions] ...
Enel Chile(ENIC) - 2021 Q4 - Annual Report
2022-04-27 22:51
Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 20-F ☐ REGISTRATION STATEMENT PURSUANT TO SECTION 12(b) OR 12(g) OF THE SECURITIES EXCHANGE ACT OF 1934 OR ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2021 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to OR ☐ SHELL COMPANY REPORT PURSUANT TO SECTION 13 OR ...
Enel Chile(ENIC) - 2021 Q4 - Annual Report
2022-04-27 16:00
[Significant Event: Dividend Distribution Announcement](index=2&type=section&id=Significant%20Event%3A%20Dividend%20Distribution%20Announcement) Enel Chile S.A. announced the approval and details of its final dividend for the fiscal year 2021 [Dividend Details](index=2&type=section&id=Dividend%20Details) Enel Chile S.A. announced that its Ordinary Shareholders Meeting on April 27, 2022, approved a final dividend for the fiscal year 2021, with a remaining payment of CLP 18.29 billion, or approximately CLP 0.26437 per share, scheduled for May 27, 2022 Dividend Distribution Summary | Metric | Value (CLP) | | :--- | :--- | | **Total Final Dividend** | 25,546,190,616 | | **Total Final Dividend per Share** | 0.369343099369741 | | **Remaining Dividend to be Paid (N°12)** | 18,285,678,392 | | **Remaining Dividend per Share** | 0.264371672195605 | | **Record Date** | May 20, 2022 | | **Payment Date** | May 27, 2022 | - The dividend was approved at the Ordinary Shareholders Meeting held on **April 27, 2022**[3](index=3&type=chunk) [Dividend Distribution Form Details](index=3&type=section&id=Dividend%20Distribution%20Form%20Details) This section details the company, agreement, dividend specifications, shareholder rights, and payment procedures for the announced dividend [Company and Agreement Information](index=3&type=section&id=Company%20and%20Agreement%20Information) The dividend distribution form filed with the Chilean Financial Market Commission identifies the company as ENEL CHILE S.A. (Ticker: ENELCHILE), with the agreement formalized at the Ordinary Shareholders' Meeting on April 27, 2022 Company and Agreement Details | Item | Detail | | :--- | :--- | | **Company** | ENEL CHILE S.A. | | **Local Ticker** | ENELCHILE | | **Agreement Date** | April 27, 2022 | | **Agreement Body** | Ordinary Shareholders' Meeting | [Dividend Specifications and Shareholder Rights](index=3&type=section&id=Dividend%20Specifications%20and%20Shareholder%20Rights) The definitive dividend of CLP 18.29 billion is for the fiscal year ended December 31, 2021, payable in cash to 69.17 billion shares for shareholders registered by the closing date of May 20, 2022 Dividend Specifications | Specification | Detail | | :--- | :--- | | **Dividend Amount** | CLP 18,285,678,392 | | **Dividend Type** | Definitive minimum by law | | **Fiscal Year Ended** | December 31, 2021 | | **Payment Type** | In cash | | **Number of Shares** | 69,166,557,219 | | **Closing (Record) Date** | May 20, 2022 | | **Payment Date** | May 27, 2022 | [Payment Procedures and Additional Information](index=6&type=section&id=Payment%20Procedures%20and%20Additional%20Information) Dividend payment will commence on May 27, 2022, through bank transfers, mailed checks, or in-person collection, charged to the net income of fiscal year 2021, with tax credit implications and official notice to be announced separately - The dividend will be paid via bank transfer, mailed check, or can be withdrawn at any **Banco de Crédito e Inversiones (BCI)** branch[14](index=14&type=chunk) - The dividend is charged against the Net Income for the fiscal year ended **December 31, 2021**[13](index=13&type=chunk) - Information regarding potential tax credits associated with the dividend will be announced to shareholders at a later time[12](index=12&type=chunk) - The official dividend announcement was set to be published in the newspaper 'El Mercurio de Santiago' on **May 6, 2022**[15](index=15&type=chunk)
Enel Chile(ENIC) - 2021 Q4 - Earnings Call Presentation
2022-03-01 04:59
Q4 & FY Consolidated results February 28, 2022 Q4 & FY 2021 Key highlights, strategy updates and operational performance Paolo Pallotti CEO enel INTERNAL Key highlights of the period enel Externalities Decarbonization Sustainable Finance ESG Raters / Indexes | --- | --- | --- | --- | |----------------------------------------------|----------------------------------------------|-------------------------------------------------------|--------------------------------------------------------------------------| ...
Enel Chile(ENIC) - 2021 Q4 - Earnings Call Transcript
2022-03-01 00:20
Financial Data and Key Metrics Changes - Full-year 2021 adjusted EBITDA reached $0.8 billion, a 3% decrease compared to the previous year, while Q4 adjusted EBITDA was $258 million, aligning with 2021 guidance [21][24]. - Full-year adjusted net income was $0.2 billion, consistent with annual guidance, and Q4 payments reached $96 million [24]. - Capex for 2021 was $1.1 billion, with a 1% increase from 2020, primarily in line with guidance [25]. Business Line Data and Key Metrics Changes - Energy production in Q4 2021 was 5.2 TWh, a decrease from Q4 2020, while total production for 2021 was 19 TWh, slightly lower than 2020 due to poor hydrology [27]. - Energy sales increased by 2% as of December 2021, attributed to new contracts with clients [27]. - The distribution business showed a recovery in Q4, while transmission contributions were expected to decline [42]. Market Data and Key Metrics Changes - The Chilean electricity system faced significant challenges due to one of the driest periods in history, impacting hydrology and generation capacity [6][10]. - Gas prices more than tripled from Q4 2020 to the second half of 2021, leading to increased costs and pressure on margins [11]. - The demand for electricity rose by 5% in 2021 compared to 2020, with expectations for continued growth into 2022 [12]. Company Strategy and Development Direction - The company is advancing its renewable projects, having connected 900 MW of renewable capacity in 2021, with a total of 8 GW now connected [16]. - The focus on sustainability is evident, with 21% of total debt linked to sustainability targets, aiming for 52% by 2024 [9]. - The company is also enhancing its digitalization efforts, with 90% of client interactions conducted through digital channels in 2021 [18]. Management's Comments on Operating Environment and Future Outlook - Management noted that the hydrology situation remains challenging, but gas availability from Argentina has improved, aiding resource management [44]. - The company expects to maintain its EBITDA guidance for 2022, despite ongoing challenges in the market [66]. - The management expressed confidence in the recovery of the distribution business and the overall economic recovery post-pandemic [19]. Other Important Information - The company was included in the Bloomberg Gender Equality Index for the first time and received a B score in the CDT climate change assessment [9]. - Total outstanding debt as of December 31, 2021, was $210 million, with $140 million related to residential clients [15]. Q&A Session Summary Question: Regarding the evolution of EBITDA in the macro business from distribution and transmission - Management indicated that distribution saw a decline in 2021 but showed recovery in Q4, while transmission contributions were expected to decline [42]. Question: Update on hydrology outlook for 2022 and EBITDA guidance - Management confirmed that water availability remains low, but gas availability has improved, allowing for better management of resources [44][45]. Question: Clarification on asset rotation transactions - Management stated they are considering selling non-core assets as part of their strategy to address debt [46]. Question: Insights on the tariff stabilization mechanism - Management noted that alternatives for the stabilization mechanism post-June are being explored, but no definitive plans are in place yet [66]. Question: Status of Bocamina 2 retirement - Management confirmed plans to close Bocamina 2 by May 2020, but any delays would require careful management and community engagement [68]. Question: Confirmation of 2022 EBITDA target - Management reaffirmed the EBITDA guidance of $1 million to $1.1 million for 2022, indicating no significant issues anticipated [66].
Enel Chile(ENIC) - 2021 Q3 - Earnings Call Transcript
2021-11-01 16:36
Financial Data and Key Metrics Changes - In Q3 2021, adjusted EBITDA was $93 million, a 71% decrease compared to 2020 figures, primarily due to higher PPA sales and increased costs from spot purchases and variable production costs [24][21][30] - For the first nine months of 2021, adjusted EBITDA totaled $536 million, a 39% decline from 2020, driven by similar factors affecting Q3 results [27][21] - Net income for the first nine months of 2021 reached $104 million, with Q3 showing a loss of $13 million, mainly due to lower EBITDA [30][31] Business Line Data and Key Metrics Changes - The distribution business saw a recovery in demand due to the easing of lockdown measures, contributing positively to EBITDA [25] - Enel X's EBITDA improved due to the public lighting business, with lower penalty and compensation costs in the distribution sector [27] Market Data and Key Metrics Changes - The company faced challenges due to the driest hydrological conditions in Chile's history, leading to increased reliance on thermal generation and higher LNG prices [7][9] - The lack of Argentinian natural gas and high international gas prices significantly impacted operational margins [9][41] Company Strategy and Development Direction - The company is prioritizing investments in renewable energy to diversify its generation matrix and reduce exposure to hydrological risks [9][10] - Enel Chile is advancing its green hydrogen projects and electric mobility initiatives, including the introduction of electric mining trucks and public transport electrification [10][14] Management's Comments on Operating Environment and Future Outlook - Management acknowledged the challenging external environment, including high commodity prices and adverse hydrological conditions, but remains optimistic about the long-term strategy focused on renewable energy [9][36] - The company expects adjusted EBITDA for 2021 to be between $0.8 billion and $0.9 billion, reflecting a significant downward revision from previous guidance [36] Other Important Information - The company has accumulated CapEx of $735 million in 2021, primarily for renewable capacity construction [23] - Gross debt increased to $4.7 billion, with 14% of total gross debt linked to SDG criteria [34] Q&A Session Summary Question: Update on gas supply strategy and outlook - Management indicated that Argentinian gas has become available for import since early October, with ongoing negotiations for LNG contracts to ensure supply stability [41][43][45] Question: Deterioration in collection metrics - The company is upgrading its systems, which has caused temporary delays in billing and collection processes [42][47] Question: Clarification on factoring strategy - The company has sold $226 million of receivables related to the price stabilization mechanism, with plans to sell up to $350 million, impacting interest expenses significantly [50][51] Question: Production of solar facilities and CapEx guidance - Management confirmed that solar facility production is on track, with expectations to connect 900 megawatts by year-end and no anticipated reduction in CapEx for the year [53][55][56]