Investor Presentation June 2020 Agenda
Investor Presentation – Strategic Plan 2020-22
Our positioning
Sustainability = Value. Our delivery over time
Our vision
Our vision in numbers
Financial management & Sustainable finance 2020-2022 Strategic plan De-risking long term targets
Earnings & targets
FY 2019 consolidated results
Q1 2020 consolidated results
Annexes Investor Presentation Strategic Plan 2020-22 Our positioning A sustainable and fully integrated business model
delivering value for shareholders Our positioning Our EBITDA by business Total shareholder return 2015-20191
160%
9% 140%
120%
26% 100%
18% 80%
2019 60% 136%
17.9 €bn 40%
1% 20% 46% 57%
0% Enel FTSE MIB Euro Stoxx 46% Utilities SRI2 10.8%
1. From Jan 1st 2015 to Dec 31st 2019 4 2. Socially Responsible Investors as of December 2019
Enel’s leadership in the new energy world Our positioning Our 1st network # End users 1 operator 74 mn
Renewable capacity World’s largest player2 in 46 GW renewables
# Customers Largest retail customer base 70 mn worldwide3
1. By number of end users. Publicly owned operators not included 5 2. By installed capacity. Includes managed capacity for 3.7 GW 3. Including customers of free and regulated power and gas markets Sustainability = Value Our delivery over time A sustainable business model that has delivered growth and improved visibility
Sustainability=Value EBITDA dynamics (€bn) CAPEX and financial KPIs evolution
Traditional model Sustainable model CAGR 2012-15: -1.7% CAGR 2015-19: +4.5% +27%
12.00 ~10 €bn
19 10.00
18 ✔ ~8 €bn 23% Other 8.00
17
16 ✔ 6.00 35% 15 Asset
17.9 4.00 14 15.8 77% development & 13 15.5 15.0 2.00 65% customer
12
11 - 20121 2014 2015 2019 2015 2019
2.5x Net debt/ 2.5x ✔ Target achieved EBITDA
19.1% Net income/ 26.7% EBITDA 7 1. FY 2012 restated in 2013 according to IAS 19 We have focused our capital allocation on renewables…
Sustainability=Value Generation capex: 2015 vs 2019 Renewable and Thermal Production (TWh)
-17%
300 17% 244
250 34% ~36% 203
200 4.6 €bn 5.1 €bn 89 ~49% 99 150 66%
100 83% 1551 1031 50
2015 2019 0 2015 2019
~70% % Development ~80% ~40% % RES Capacity ~50% Capex /Total
% RES Production/ Renewables Thermal generation Total 8 1. Excluding nuke (39.8 TWh in 2015 and 26.3 TWh in 2019) …to become the world leader in renewables
2015 2019
Installed capacity1 Sustainability=Value Installed capacity 37 GW 46 GW
Built capacity Built capacity 1 GW 3 GW
EBITDA/CAPEX EBITDA/CAPEX 11% >1.2k 31 11% plants Countries
9
1. Including managed capacity by 3.7 GW Grid expansion and digitalisation have driven efficiencies and created value
2015 2019 Sustainability=Value
End Users End users Bogotá Ceará 61 mn 73 mn
Goiás Smart meters Smart meters Lima Rio de Janeiro 38.5 mn 44.7 mn Sao Paulo
Smart meters 2.0 Santiago Smart meters 2.0 Buenos Aires 0 mn 13.1 mn
2.2 mn 11 ~43 €bn Networks Opex/End user Grids RAB Opex/End user km 57 € 42.5 € 10 We focused on customers and platforms to seize future opportunities
Sustainability=Value Customers – key metrics New deployments
1 Energy sold (TWh) 2015 2019 +19% Charging 180 points3 0 k 80 k 160
140
120 159
100 134
80
60 Demand 40 Response 0 GW 6.3 GW 20
- 2015 2019
Power cust. (mn)1 ~12 ~17 Battery storage 0 MW 110 MW Gas cust. (mn) ~5 ~6
EBITDA2 Established a leading position /Customer (€/cl) ~84 ~118 in new services and infrastructures
11 1. Retail free power market, excluding energy sold through PPA in Latin America. Regulated 3. Private and public charging points customers: 38.4mn in 2015 and 46.9mn in 2019 2. Calculated on Gas and Power free market A pervasive innovation and digitalisation process drives change in our organization
Sustainability=Value Platformisation process 2017-19 Total investment1 < 2015 2019 > 2020 Pre-Digital Full migration Platform operating ~4.5 strategy to cloud model €bn
2017-19 Cumulated benefit2
Fragmented IT 100% applications in New business ~1.5 platforms Cloud models €bn No economies of Closing of 100% of Platformisation of scale data centers existing businesses 12 1. Digitalization capex 2. EBITDA level Delivery on strategic pillars
✔ Sustainability=Value Industrial Growth ✔ Operational Efficiency ✔ Active Portfolio Management
Impact on Group Net Income EBITDA (€bn) Cost Savings (€bn) (€bn)
18 2 0
17 1
0
16 17.9 1 15 17.0 0 1 1.4 14 0.3 13 1 1.1 0 0.2 12 1
0
11
0
10
0
0 9
8 - - 2019 2019 Plan Actual 2019 2019 (Plan 2015-19) 2015-19 2015-19 (Plan 2015-19)
RES capacity Opex I&N Asset 41 461 51.7 42.5 ~5% ~10% (GW) (€/end user) Rotation3
End users Opex 65 73 60.3 38.4 (mn) Thermal2 (k€/MW)
13 1. Including managed capacity for 3.7 GW 2. Plan 2015-19 pro forma, does not include large hydro 3. Asset rotated in the period on invested capital Value creation and shareholders remuneration
1
Sustainability=Value Value creation spread (bps) Shareholder return – DPS (€/sh)
+250 +105%
400 0.35
350
0.30 370 ✔ 0.328
300 0.25 ✔ 0.28
250
0.20 ~0.24
200 ✔
0.15 ✔
150 0.18 0.16
0.10
100 MIN 120 0.21 0.28 0.32 DPS 0.05 50
- - 2015 2019 2015 2016 2017 2018 2019
EPS 0.28 0.32 0.36 0.40 0.47
✔ Target achieved 14
1. Calculated as the difference between ROIC and WACC Our vision Our strategy addresses dynamically the
Our vision Our evolution of sector trends
Decarbonisation
Enabling Ecosystems Infrastructure & Platforms
Electrification
16
Global outlook: decarbonisation through new vision
Our Our renewable capacity and services
Share of renewables on global capacity1 Flexibility and storage2
Demand Response 250
(GW) 200
150 200
100 3.5x 31% 145 35% 50 57 2018 2040 - Total capacity Total capacity 2020 2030 2040 7.2 TW 15.5 TW 65% 69%
1,400
Storage (GW) 1,200
1,000
800 1,095 600 45x 400 Global renewable installed capacity 200 25 346 4x - 2020 2030 2040
17 1. Source: IEA WEO 2019 SDS Scenario 2. Source: BNEF NEO 2019, BNEF long term energy storage decarbonisation
Global Power Generation: a new global business vision
Our line to accelerate decarbonisation
1 2019 Consolidated Capacity1 (GW)
# sites 60.0 85 81 87 Accelerate and facilitate the 55.0
50.0 54 decarbonisation path ~1,300 45.0 48 40.0 42 35.0 39
30.0 37 33 25.0 Extract synergies and maximize # people 2015 2019 2022 return on investments
~16,000 Consolidated Production1 (TWh)
244 203 223 Enhance transition technologies
165.0 145.0 155 EBITDA 125.0 143 105.0 85.0 99 103 65.0 89 80 ~5.8 €bn 45.0 Optimize workforce skillset
25.0 2015 2019 2022 18 Total Thermal generation Renewables 1. Excluding nuclear and managed capacity. Nuclear EBITDA in 2019E c.500 €mn. decarbonisation
Phasing out of coal production over the plan
vision Our period 120.0and beyond…
100.0
80.0
Coal production 60.0 (TWh) 92.0
40.0 64.4
20.0 37.6 74% 0-2 16.9 10.4 0.0 2012 2018 2019 2022 2024 2030
Coal on total 19 p.p. production 31.1% 25.7% 16.4% 6.8% 3.9% <1% (%)
Coal capacity 61% (GW) 17.6 15.8 11.7 6.6 3.1 < 2
19 decarbonisation
…with an accelerated renewables deployment
vision Our
2020-22 GROWTH CLUSTERS GW Target of capacity to be added (GW)
Fleet decarbonisation in Italy, Spain and Chile 5.4 1.8x
Development through PPA mainly in Brazil
16 and US 5.1
14
12 Other developments in countries of 1.1 10 presence / new markets 8 14.1 ✔ 11.6 6 7.8 4 Development in new markets through JVs 2.5 2 2018-20 2019-21 2020-22 Plan Plan Plan TOTAL 14.1 ✔ Target achieved 20 decarbonisation
Further acceleration of renewable additions vision
Our fueled by organic development
Additional capacity evolution: 2019-21 vs 2020-22 plan Renewable capacity evolution (GW)
+22% +31%
Total capacity 45.9 45.7 59.8
(2.2) 5.6
3.7 3.4 14.1 54.2 2.6 (1.8) 1.7 42.3 42.2 +28% 11.6 65% 14.1 FY 2019
Old plan BSO JVs Organic New plan 2019E Additional Portfolio 2022 2019-21 2020-22 capacity rotation
21 decarbonisation
The largest and most diversified pipeline of the vision
Our industry is fueling future growth ambitions
Renewables pipeline (GW) Breakdown by technology
As of October 2019 As of December 2019
100.0 31.4 GW
90.0 1%
80.0 47%
70.0
60.0 58.6 40.0 GW
50.0
40.0 90.0 2.1 52% 3.6 6.1 30.0
20.0 xx 29.6 10.0 19.6
0.0 Wind Solar
Gross Early stage COD 2025 COD 2024 COD 2023 COD Hydro Pipeline and beyond 2020-22
22 decarbonisation
High level visibility on deployment goals
vision Our
2020-22 Renewables growth1: addressed share vs pipeline2 (GW)
2020 ~100% 40.0 GW
30.0 Coverage 2021 69% by year 2020-22 pipeline
25.0 2022 35% ~ 3.4x 23.0 Residual target Beyond 2022
20.0
15.0 65% addressed 14.1 Pipeline 10.0 9.1 17.0 ~ 8.0x 2020-22 Residual target
5.0 5.0
0.0 Target additional Addressed Residual target Pipeline capacity
23 1. Including managed capacity 2. As of March 2020 decarbonisation
Strategy strongly supports our path towards full vision
Our decarbonisation by 2050
Scope 1 & Scope 3 CO2 emissions evolution
600.000 -70%
500.000
400.000 465 FULL decarbonisation 411 BY 2050 Scope 11 300.000 (g CO2/kWh) 200.000 296 254
100.000 125
0.000 2007 2017 2019 2020 2030 20500 ✔ Previous SBTi target 350
Scope 32 16% indirect emissions (Mton CO2) reduction
✔ Target achieved 24 1. Scope 1 by 2030, consistent with the Well Below 2C pathway of the Science Based Target Initiative and the IEA B2DS scenario 2. Scope 3 related to gas retail activities by 2030, consistent with the 2C pathway of the Science Based Target Initiative
Global outlook: electricity is winning the energy vision
Our battle
Share of electricity on total final energy consumption1 End use avg. investments needed for electrification
(‘000 TWh) (USD Tn/year)
+11.5 ~2x
2
1.20
23 34.6 2
2
1.00 + 1 bn electric cars
1 ~2.5x 24%
0.80 1 43% + 2.8 bn air cond.
1
0.60 1.9
1 + 2 bn heat pumps 1 0.40 1.0 0
0.20 0 0.4 ~4x Europe 0 0.00 2018 2019-30 2031-2040 2018 2040
25 1. Useful energy - Source: IEA WEO 2019 SDS and IEA Future of Cooling Electrification
Retail will position ahead of electrification trends, vision
Our Our paving the way for further growth
Power customers Power volumes sold Unitary consumption
(mn) (TWh) (MWh/client)
40.0 12
35.0
200.0 10
30.0
+67% +23% 8 25.0 150.0 -26% Developed 6 20.0
100.0 markets 15.0 195 4 28.6 159 9.2 (Europe) 10.0 6.8 50.0 17.2 2 5.0
0.0 0 0.0 2019 2022 2019 2022 2019 2022
12 40.0
35.0 200.0 10
30.0
8
150.0 Developing 25.0 +9% +21% +11%
6 20.0
economies 100.0 15.0 26.7 29.2 4 (Latin America) 10.0 143
50.0 118 2 4.4 4.9 5.0
0 0.0 0.0 2019 2022 2019 2022 2019 2022 26 Free Power Market Regulated Power Market Ecosystems & Platforms
New services enable decarbonisation and vision
Our electrification of consumption
Decarbonisation through new services Enabling electrification
Revenues from Demand Response (GW) Storage (MW) Charging points1 (k) Electrification services (€mn)
1.6x 4.0x 8.9x 2.2x
12 500 800 600
450
700
10 500 400
600
350 8 736 439 400 536 500 10.1 300
6 250 400 300
200
300
4 200 6.3 150
200
100 2 80 100 242 100 50 110
- - - - 2019 2022 2019 2022 2019 2022 2019 2022
27
1. Public and private charging points Global outlook: networks as the backbone of a
Our vision Our sustainable electric system
Energy system evolution Average yearly investments in networks (USD bn)1
800
700
600 +85%
500
400
300
200 500
100 270 TSO Aggregator
0 2010-2018 2019-2040 DSO
DSO TSO Average investments in smart meters and grids (USD bn)2
80
70 Microgrids 60 ~2x 50
40
30 60 DSO role stands out as pivotal in the transition: 20 33 a key enabler and a unique value creation opportunity 10
0 2018 2040 28 1. Source: World Energy Investment and WEO 2. Internal elaborations on WEO data. Enabling Infrastructure
Development of Infrastructure and Networks vision
Our centered on digitalisation, quality and efficiency
Digitalisation Quality of service Efficiency
Smart meters 2.0 (mn) SAIFI1 (n) Opex/End user (€)
>2x -9% -16%
35.00
3.25 44.00
30.00
3.20
42.00 25.00 28.8 3.15
3.10
40.00
20.00
3.05
3.00 38.00 15.00
2.95 3.2 42.5
36.00 10.00
2.90
2.85
5.00 13.1 34.00
2.80 2.9 35.6
0.00 2.75 32.00 2019 2022 2019 2022 2019 20222
Smart meters (mn) ~45 ~47
29 1. Calculated as weighted average on end users 2. In real terms
Towards a platform company
vision Our
Distribution Retail Enel X
Products
Asset Operator End Customer
Global Global Management Customers Prosumers Activities
Asset Owner Front Front
Unique database
& Network Digital layer
Digital Twin
Assets Buy (e.g. charging Standardized Suppliers & Cities Back End Back Back Office partners stations)
assets Sell Physical Physical Customer identity
30
A fully sustainable capex plan
vision Our
Total gross capex by business and by nature 2020-22 Asset development by business 2020-22
4% 41% 4% 6.5 7% 66% 28.7 €bn 28.7 €bn 27% 17.2 €bn 17.2 5.0 3% 44% 4%
Networks Enel X Asset development Retail EGP Customers Networks Enel X Conventional generation Asset management Conventional generation EGP
~ 95% of capex SDGs related 31 Sustainable, profitable, digitalised and customer
Our vision Our centric 2015 2019 2022
Renewables focus Owned RES capacity/Total capacity1 41% 50% 60%
CO2 Footprint Specific CO2 emissions g/kWh 409 296 220
Coal power plants # 19 12 7
Networks end users mn 61 73 75
Smart meters 2.0 mn - 13.1 28.8
Retail customers mn in the free market2 17 23 35
Demand response GW - 6.3 10.1
Charging points ‘000 - 80 736
32 1. Including nuke 2. Power and gas
Purpose driven strategy promotes sustainable value vision
Our creation for shareholders
Value creation spread1 (bps) Shareholder return – DPS (€/sh)
+28% CAGR
0.45 2019-22
450
0.4 0.42 + 8.6% 0.35 400 440 0.40 0.37 0.3 0.328 350 370 0.25
0.2
300 Min DPS0.15 0.32 0.35 0.37 0.40 +7.7%
0.1
250
0.05
0
200 2019 2022 2019 2020 2021 2022 EPS 0.47 0.53 0.57 0.60
33 1. Calculated as the difference between ROIC and WACC 2020-2022 Strategic Plan
Strategic plan at a glance
22 Strategic Plan Strategic22 -
Cumulated organic capex1 vs previous plan (€bn) EBITDA (€bn) 2020
+11% 24 +12%
22 29
27 20
25
18
23
16
21 28.7 20.1 25.9 14 19 17.9
12 17
15 10 2019-21 2020-22 2019 2022
Net Income (€bn) Net Debt (€bn)
+27% +5% 7 51
6.5
49
6
47
5.5
45 5
4.5 43
4 6.1 41 47.3 3.5 4.8 39 45.2 3
37
2.5
2 35 2019 2022 2019 2022 35
1. 2019-21 net of capex associated with BSO Focus on profitability, value creation and balance
sheet
22 Strategic Plan Strategic22 -
Profitability Return on invested capital Credit metrics 2020
+300 bps +200 bps +400 bps
0.35 14.0% 35.0%
12.0% 30.0%
0.30
30% 10.0% 25.0% 29%
0.25 10.2% 26% 27% 8.0% 9.6% 20.0% 25% 8.2% 6.0% 15.0%
0.20
19% 4.0% 10.0% 0.15 2.0% 7% 5.9% 5.8% 5.0% 2.5x 2.5x 2.3x
0.10 0.0% 0.0% 2015 2019 2022 2015 2019 2022 2015 2019 2022
Net income/EBITDA ROIC WACC FFO/Net Debt Net debt/EBITDA
36 2020-2022 Our vision in numbers Organic capex up by 11% to pursue strategic vision
Organic capex by GBL1: 2019-21 vs 2020-22 (€bn)
Our vision in numbersin vision Our €bn
+2.8 Decarbonisation 14.4
28.7 30.0 25.9 2.3 Electrification 1.2 25.0 2.4
20.0 11.8 11.1
15.0 Enabling Infrastructure 11.8
10.0 10.0 12.5 5.0 Ecosystems & Platforms 1.1
0.0 2.5 1.9 2019-21 2020-22
Conventional generation EGP
Networks Retail & Enel X 38
1. 2019-21 net of capex associated with BSO . Total organic capex 2020-22 include 200€mn related to other. Sound EBITDA growth reflecting strategic priorities…
Cumulated EBITDA (€bn) EBITDA evolution 2019-22 (€bn) Our vision in numbersin vision Our
+3% +13%
0.4 (0.5) 0.7
20.00 0.4 20.1 FY 2019 1.3 0.1
59 17.9 57
55
53 17.8 58.0 51 56.1
49
47
45 15.00 2019-211 2020-22 EBITDA EGP Conventional Retail Networks Enel X Perimeter EBITDA 2022 2 2019E generation
Decarbonisation Electrification Enablers & 39 1. 2019-21 Proforma to include IFRS 16 Platforms 2. EBITDA 2022 includes -100 €mn related to Holding …supported by ongoing delivery and focus on efficiencies
Opex evolution (€bn) Efficiencies by business Our vision in numbersin vision Our
-9%
FY 2019 5% 8.5 0.5 (0.1) (1.2) 26% 8.5 7.7 1.2 €bn 38%
31% 2019E CPI & Growth & Efficiency 2022 Forex Perimeter
32% Net operating expenses on gross margin 28% 40 decarbonisation Profitability of generation enhanced by decarbonisation
Global Power Generation EBITDA (€bn) Main KPIs1 Our vision in numbersin vision Our
+23%
10.00 FY 2019 2019 2022 2019 2022 9.00 6.2
8.00 7.6
7.00 0.5 6.2 Total Production Gross Margin/MWh
6.00 229 249 41 44 Nuke 0.5 (TWh) (k€/MWh)
5.00
4.00 Total Capacity OPEX/MW 7.1 (GW) 84 91 (€/MW)2 39 33 3.00 5.7
2.00 RES on total EBITDA/MW 1.00 capacity 50% 60% (k€/MW) 73 84
- 2019E 2022
41 1. Excluding managed capacity. 2. 2022 in real terms decarbonisation Conventional generation focuses on flexibility and efficiencies
Gross capex 2019-21 vs 2020-22 (€bn) 2019-22 EBITDA evolution (€bn) Our vision in numbersin vision Our
-24% 100% earmarked +6% for development
3.0 2.5 beyond 2022 2.5 FY 2019 0.6 1.9 2.0 0.2 1.6 (0.1) (0.4) 0.3
1.5 0.1 0.7 1.6 1.7
1.0 1.9 1.2 0.5
0.0 2019-21 2020-22 2019E FX Coal Nuke Efficiencies Regulated 2022 Asset development Asset management margins margins revenues
37.4 EBITDA / MW (k€/MW) 46.1
38.4 OPEX / MW (k€/MW) 35.71 42
1. 2022 in real terms decarbonisation Renewable capex tailored to maximise economic value of decarbonisation
Capex GROWTH CLUSTERS GW EBITDA/Capex IRR-WACC spread Our vision in numbersin vision Our (€bn) (%) (bps)
Fleet decarbonisation in Italy, Spain and 5.4 5.6 12-13% >200 Chile
Development through PPA mainly in Brazil 5.1 4.7 12-13% ~200 and US
Other developments in countries of 1.1 1.2 14-15% ~150 presence / new markets
Development in new markets through JVs1 2.5
TOTAL 2020-22 14.1 11.5 43
1. Capex associated to JVs excluded from the total capex decarbonisation Renewable capex to maximise economic value of decarbonisation
Renewables asset development capex 2020-22 (€bn) 2019-22 EBITDA evolution (€bn) Our vision in numbersin vision Our
+28% 6%
FY 2019 1.3 - 39% 4.6 5.9 11.5 €bn 4.6 55%
Asset development capex 11.5 2019E Asset Asset 2022 development management Asset management capex 1.0
44 decarbonisation Higher share of organic capex increases EBITDA evolution
Asset development capex evolution (€bn) Cumulated EBITDA growth (€bn) Our vision in numbersin vision Our
+8% +33%
2.5 11.5 10.6 (1.6) 0.7 2.4 1.6 BSO
1.8 (0.1)
9.0 +28%
Old plan BSO Organic New plan Old plan BSO fee Organic New plan 2019-21 2020-22 2019-211 2020-22 0.9 Capex/MW 0.9 12% EBITDA/Capex ~13% (€mn/MW) 110 EBITDA/MW 115 (k€/MW) 45 1. Net of BSO Electrification Retail EBITDA growth due to platformisation and related activities
Retail gross capex 2020-22 (€bn) 2019-22 EBITDA evolution (€bn) Our vision in numbersin vision Our
+13% +13% FY 2019 41% FY 2019 3.6 3.3 3.6 3.3 3.2 3.2 0.1 0.4 0.3 0.8 1.2 €bn 82% 0.6 80% Free market 68%
2.2 2.3 59% 20% Regulated 32% 18%
2019E 2022 2019E 2022 CTA Platform 1 118 EBITDA/cust. (€/cl) 84 Italy Iberia
Latin America RoE 23 Customers (mn)1 35 46 1. Free market power and gas Enabling Infrastructure Networks capex focused on quality and efficiencies
Networks gross capex 2020-22 (€bn) Operating performance Our vision in numbersin vision Our
RAB (€bn) 2019 2022 5% 13% 27% 50.00 ~ 43 ~45 Opex/end user 42.5 35.61 (€/cust) 11.8 €bn 40.00 ~12 ~14
5% 30.00 SAIFI2 (n) 3.2 2.9
50% 20.00 ~31 ~31
10.00 Quality index3 +160 bps vs 2019E Smart Meters Quality & Efficiency - (%) 2019 2022 Platforms Connections
Other Europe Latin America
47 1. In real terms 2. Calculated as weighted average on end users 3. Quality on services rewards/penalties and losses reduction economic impact on gross margin Enabling Infrastructure Infrastructure & networks set to improve cash generation
2019-22 EBITDA evolution (€bn) FFO-CAPEX2 (€bn) Our vision in numbersin vision Our
+9% +5%
FY 2019 8 0.4 (0.1) 8.2 0.3 7.5 - 0.1 8.9 7 8.2
6.5 7.7 7.3
6
5.5 2019E Argentina Connections Tariffs, Efficiency FX1 2022 2019-21 2020-22 Volumes & Quality Capex (€bn) 11.1 11.8
48 1. Excluding Argentina 2. Including not unbundled activities in Latin America Ecosystems & Platforms Enel X will capture new opportunities with customers
Gross Capex 2020-22 2019-22 EBITDA evolution (€bn) Our vision in numbersin vision Our
5x
0.3 0.5
FY 2019 42% 58% 1.1 €bn 0.2 0.1
0.1
Enabling businesses 2019E Enabling Scale-up 2022 businesses businesses Scale-up business
49 ~12% of 2020-2022 capex to generate ~ 800€mn EBITDA post 2022
Our vision in numbersin vision Our 2020-2022 Investments (€bn) Yearly EBITDA impact post 2022 (€mn)
30.0 3.5 25.0 ~2.4 Decarbonisation ~650
20.0
15.0 28.7 ~1.1 Enabling infrastructure ~150 25.2
10.0
5.0
0.0 Total yearly EBITDA ~800 Gross Capex Capex generating Capex generating impact at regime EBITDA by 2022 EBITDA post 2022 50 2020-2022 Financial management & Sustainable finance Debt evolution reflecting capital allocation dynamics
Net debt evolution (€bn) Source of funds allocation 2020-22 (€bn) Financial managementFinancial
+1.4 50.0 (28.7) 45.0 1.4
FY 2019 40.0
49.0 35.0 42.1
47.0 45.2 30.0
45.0 25.0
43.0 20.0 (14.7)
41.0 ~47.3 ~47.3 15.0 ~45.9 ~46.8
39.0 10.0
37.0 5.0
35.0 0.0 2019E 2020 2021 2022 Sources Incremental Gross capex Dividends of funds Debt
52 Improving credit metrics
Credit metrics Long term credit rating Financial managementFinancial
4.50 35% Rating Outlook 29%
4.00 27% 30% 25% 26% 26%
3.50 25% Standard & Poors BBB+ Stable
3.00 20%
2.50 15%
2.00 2.5x 10% 2.5x 2.5x 2.4x 2.3x Moody’s Baa2 Positive
1.50 5%
1.00 0%
0.50 -5% Fitch A- Stable
- -10% 2015 2019 2020 2021 2022
Net debt/EBITDA FFO/Net debt 53 Continued reduction in cost of debt
Financial strategy for 2020-22 (€bn) Cost of debt evolution (2019-22) Financial managementFinancial Expected Current total Amount 4.7% 4.6% cost1 cost 4.5%
4.5% 4.4% 4.4% Bond refinancing 5.5 1.7% 3.7% (40)
4.3% bps (40) Bank loans and other bps (50) (70) 4.1 0.9% 2.8% 4.1% bps bps financing 4.2% 3.9% FY 2019 4.0% Hybrid refinancing 1.1 2.6% 5.8% 3.9% 3.7% 4.1% 3.8%
3.5% Emerging markets 3.1 6.7% 6.7% 2019 2020 2021 2022 Total 13.8 2.7% 4.2% Cost of debt New Plan Cost of debt Old Plan
Net Financial 2.3 2.3 2.3 2.2 Expenses
54 1. Enel estimates on current cost associated with financial instruments Our journey to Sustainable Finance…
Path to SDG bonds Our SDG bonds Financial managementFinancial
Cost of issuance discount Size Maturity KPI USD 55%3 Issue 1.5 $bn 2024 20%2 Res. Capacity 10%1 SDG 55%3 Bonds 2.0 €bn 2024/27 - Green Res. Capacity Bonds EUR Issue Plain Vanilla Focus on 125 Bonds sustainable 0.5 €bn 2034 4 Focus on gCO2/kWh strategy specific projects No focus on 3.9 €bn - 3.6x covered – 7 yrs weighted avg. maturity sustainability Weighted average coupon: 0.4%5
1. Green Bond issuance dated 21st January, 2019 3. Percentage of consolidated renewable capacity on total capacity at 2021 55 2. SDG Linked Bond issuance dated 10th October, 2019 4. Reduction of Scope 1 GHG emissions 70% per kWh by 2030 from a 2017 base-year. 5. Including CCIRS on US dollar coupon into euros …will support cost of debt reduction throughout the period
Sustainable Finance evolution (2019-2030) Expected impact on cost of debt Financial managementFinancial
120.0
100.0 -15 bps -5 bps -15 bps
80.0 22% 23% 43% 60.0 2019 2022 2030
40.0 57% 77%
78% 20.0
0.0 Brown Kd SDG Kd 1 notch 2 notch Sustainability Sustainable sources Traditional sources upgrade upgrade Kd Credit upgrade worth from 5 to 20 bps
56 De-risking long term targets 2020-22 EBITDA centered on sustainable businesses and benefitting from improved risk profile
Cumulated EBITDA evolution (€bn) Cumulated EBITDA 2020-22
60.00
risking our longtargets term our risking -
De 0.8 2.2 58 (0.9) (0.5) 56 0.4 80%
55.00 58 €bn 20%
50.00
EBITDA Argentina Coal Efficiencies Contracted Free market EBITDA Contracted & regulated activities 2019-21 generation & services 2020-22 & secured Merchant volumes
58 Operating deployment: renewables’ contribution to growth secured across the board
our longtargets term our Development secured 2020-22 Production secured Variance in renewable production
2020-2022
120.0 risking - Additional Capacity
De 14.1 75% 2020-22 (GW) 100.0
80.0 Gap to target (GW) 5.0 2020-22 ~45% ~390 TWh
60.0
40.0 25%
20.0 2020-22 pipeline ~3.4x Sold 0.0 Upside/ Netting Total Residual target Hedge w/retail portfolio1 Downside
Total Production 7% @ 4% Opportunity/Risk (%) 59 1. Volumes to be sold forward in year n-1 Operating deployment: over 90% of generation energy margin covered by sales to customer base
Integrated margin1 – energy margin vs retail margin Hedging position on price driven production our longtargets term our
Ren & Nuke160%
1 60.0 risking Production - hedged price vs +19% +13% Pool price 140% De (%) 2018 Hedging of CDS-CSS indexed 50.0
Coal & Gas based on Retail margin120% vs 33 Large = = 7% scenario/market customers 2018
40.0 100%
80% 30.0 Renewables + Nuke Small and 60% 67 20.0 Natural hedging with medium ~100% retail portfolio customers 40% 93% 69%
10.0
20%
0%
- Generation A Retail 2020 2021
60
1. Average 2020-21, Italy and Iberia. Currency exposure: a low bottom line impact from volatile currencies
1
our longtargets term our 2020-22 EBITDA by currency Cumulated impact 2020-22 (€bn) risking
- EBITDA Group NI De 11% BRL (0.69) 0.84 (0.21) 0.24
ARS (0.12) 0.15 (0.03) 0.06 58 €bn 28% 61% CLP (0.06) 0.09 (0.00) 0.00
Other (0.39) 0.48 (0.06) 0.09
EUR USD Total (2.2%) – 2.7% (1.8%) – 2.2% Latin America
-10% +10% 61
1. Sensitivity based on +/-10% USD/LOC (EUR/USD @Plan). Rounded figures Excellent credit quality and well distributed maturities
Net Debt/EBITDA of top European Utilities1 Liquidity and debt maturity by year (€bn) our longtargets term our
25
risking -
20 De
15 5 4.4x
4.5
4 3.3x 12.2% 5.7% 10.2%
3.5 22.7 10 3 2.5x 2.3x 17.73
2.5
2
5 1.5 5.6 1 6.4 0.5 3.6
0 0 2.1 2019 2022 Available 2020 2021 2022 2020-22 liquidity2 New plan Last 3 yrs Enel Average Peers Yearly refinancing on 7.5% 19.2% average gross debt
Maturities/Gross Debt Short term
62 1. The panel includes integrated European Utilities (EDP, Iberdrola, EDF, E.on, Innogy, Engie, Naturgy). Source: Bloomberg estimates @ 04/03/2020 2. As of March 31st, 2020 3. Includes the short term debt. 2020-2022 Earnings & Targets Sustainable strategy delivers earnings growth of 27%
Earnings and targets andEarnings Group net ordinary income (€bn)
Steady operational growth driving net income +27% performance
7.0
6.1 6.5
5.8 6.0 5.4 Sustainable finance and managerial actions 5.6 5.5 granting adequate and cheap funding
4.8 5.0
4.5
4.0
3.5 Active portfolio management to simplify the
3.0 structure while improving value creation and
2.5 risk profile
2.0 2019 2020 2021 2022
Old Plan 64 Visible value creation for our shareholders
2019-22 2019 2020 2021 2022
Earnings growth CAGR Earnings and targets andEarnings Ordinary EBITDA (€bn) 17.9 18.6 19.4 20.1 +3.9%
Net ordinary income (€bn) 4.8 5.4 5.8 6.1 +8.3%
2019-22 Value creation CAGR
Pay-out ratio 70% 70% 70% 70% -
Implicit DPS (€/sh) 0.328 0.37 0.40 0.42 +8.6%
Minimum guaranteed DPS (€) 0.32 0.35 0.37 0.40 +7.7%
65 Closing remarks Closing remarks
Accelerating decarbonisation through renewables growth and coal phase out
Future proofing operations ahead of electrification of consumption
Solid balance sheet with ample liquidity
Sustainable value creation for all stakeholders
Significant growth opportunities beyond the plan
67 FY 2019 Consolidated results Full Year 2019 Consolidated results
March,19 2020 COVID-19 Business continuity management and risks assessment
Francesco Starace CEO COVID-19 Business continuity management: our people
Remote working trends
% of employees on remote working Remote working: c.35,300 total number of people +13x
1
0
0 52% 14,700 6,300 RoW: 14,300
0
0 4%
- Pre COVID19 Post COVID19 Crisis management: Global Task Force set up in February 2020, outbreak outbreak established also at country level with currently 17 local task forces
# of simultaneous VPN accesses (k) +7x Personnel protection: optimization of work scheduling, extension of PPE use and monitoring of health conditions
35
30
25
20 15 27.2 10 3.7 5 External suppliers: request to adopt same protection measures - Pre COVID19 Post COVID19 activated by Enel outbreak1 outbreak2
71 1. As of February 24th, 2020; 2. As of March 18th, 2020 COVID-19 Business continuity management: our assets
100% remote operational management of Complete remote management of all the renewable assets, 100% remote monitoring of activities, including call centers conventional generation Customer interactions through digital channels Optimization of power plants operation schemes only and rescheduling of maintenance activities guaranteeing business continuity Robot process automation to minimize front-end and back-end disruption c. 45 mn smart meters, 205k switchgears, 2,200 primary substations and 135k secondary substations remotely controlled Digital native business
Operations can be transferred between operating Management and deployment of activities remotely and back up centers ensuring the reliability of the controlled in full network
100% IT portfolio core applications on cloud provide full accessibility from everywhere and scalability
72 COVID-19 Risk assessment: strategic deployment not affected, resilient business set up
Macroeconomic Risks Business Risks Financial Risks
GDP & Commodities: Prices: 2020 production sold Strong coverage and forward: Latin America leverage ratios set to 80% contracted and regulated activities 100%, Europe >80% improve over the 2020-22 protect earnings from Renewables: no material period macro economic cycle disruption in supply chain, so Limited re-financing needs far deployment in line with in the plan period Energy margin fully target covered in 2020 Distribution: minor delays in Liquidity to cover 1.9x debt FX: 10% simultaneous smart meter installation to mature by 2022 devaluation of local Retail: well diversified and currencies against euro resilient customer base translates into max c.2% negative impact on Cost efficiencies: benefits earnings from large scale remote working and restriction in travels 73 Full Year 2019 Consolidated results
Francesco Starace CEO Key highlights of the year
Strong financial Push on Grid Free market Rating results decarbonisation digitalisation growth improvements
+11% +3 GW +5.9 mn Fitch A- EBITDA Renewables +1.2 mn Moody’s Baa2/+ Smart +17% - 4.1 GW Customers MSCI AAA meters 2.0 CDP A Net Income Coal
75 Delivering on a fully sustainable capex plan Capex increased by 17% yoy
Capex by business and by nature Capex asset development by business
3% 2% 5% 2% 18% 2% 8% 28% 39% FY 2019 FY 2019 FY 2019 10 €bn 23% 10 €bn 59% 5.9 €bn
43% 68%
Networks Enel X Asset development Networks Enel X Retail EGP Customers Conventional EGP generation Conventional Other Asset management generation
More than 90% of capex SDGs related
76 Global Power Generation
A single business line to enhance opportunities of the energy transition Decarbonisation Installed capacity and production evolution in 20191 (GW) Emission free share of production2
110.0 51% emission free 57% emission free 235 86.5 84.8 213
90.0
70.0 127 43.1 - 4.2 GW 38.9 103 FY 2018 FY 2019 -10%
50.0 260 TWh 239 TWh
30.0 3 108 43.4 + 2.5 GW 45.9 110 +6% 10.0
-10.0 FY 2018 FY 2019 2017 2018 2019 20304
CO2 emissions Renewables Thermal Generation 411 369 296 125 (g CO2/kWh) Production (TWh)
1. Rounded figures. Includes renewable managed capacity (4.2 GW in FY2018; 3.7 GW in FY 2019). 2. Emission free production includes nuclear generation and production from managed 77 Does not include nuclear (~3.3GW capacity; production of 24 TWh in FY2018 and 26 TWh in capacity (9.1 TWh in FY2018 and 10.2 TWh in FY2019) FY2019). 3. Net of asset rotation activities 4. Target certified by the Science Based Target initiative (SBTi) Renewables capacity evolution
Continued delivery on renewable growth with more than 3,000 MW built Decarbonisation Renewable capacity evolution 2019 (GW)
Total capacity 43.4 3.0 0.7 (1.3) 45.9 Capacity delivery: set new record with more than 3,000 MW built 0.1 -
(0.7) Managed 4.2 c. 2,400 MW added only capacity 3.7 in Q4 2019
2 0.7 2020 additional capacity: 4,000 MW 2.9 (0.6) ~100% already addressed Consolidated 42.2 capacity 39.2
FY 2018 Built Acquisition Disposal FY 2019 capacity 78
High level visibility on deployment goals Decarbonisation 2020-22 Renewables growth1: addressed share vs pipeline2 (GW)
35.9 GW Pipeline 2020 ~100% 35.9 GW ~~6.8x 7.4x 30.0 Coverage by year 2021 63% Residual target
25.0 2022 35% 16.2 Beyond 2022
20.0
15.0 62% addressed 14.1 19.7 2020-22 pipeline 10.0 8.8 2020-22 ~~3.7x 4.2x Residual target
5.0 5.3
0.0 Target additional Addressed Residual target Pipeline capacity
1. Includes managed capacity 79 2. As of December 2019 Focus on coal phase out
Acceleration of decarbonisation with coal capacity down by 4.1 GW Decarbonisation Coal production (TWh) Coal capacity (GW)
Coal production on total1 Coal capacity on total1 Coal production almost halved in 2019 -42% -26%
16.00 4.1 GW of coal capacity (4 power
60.00 15.00 64.4 15.8 2
14.00 plants) reduction in 2019 55.00
13.00
50.00
12.00
45.00 11.00 Revenues from coal c.3.5% on total 40.00 11.7 10.00 EBITDA from coal c.2% on total 35.00 37.6 9.00
30.00 25.7% 16.4% 8.00 18.5% 13.9%
25.00 7.00 FY 2018 FY 2019 FY 2018 FY 2019 4.3 €bn impairment
1. Does not include managed capacity and production 80 2. Reftinskaya,Tarapacà, Bastardo and Alcudia Retail
Progressive shift towards more profitable free markets Electrification
Free markets Total power customers
(mn) (mn) +1.2 Free market customers up by 1.2 mn driven by Italy 16.0 17.2 65.4 64.1
60.00 16.0 2.2 17.2 End of Italian regulated tariff: 1.7 50.00 2021 for SME, 2022 for retail
40.00 5.7 5.8 30.00 49.4 46.9 +200k regulated customers in
20.00 8.6 9.2 Latin America reaching 26.7 mn
10.00 FY 2018 FY 2019 FY 2018 FY 2019
Italy Iberia RoE Free markets Regulated markets
81 Networks Continued effort on grid digitalisation with meters 2.0 almost doubled
Electricity distributed (TWh) Smart meter 2.0 (mn)1 Enabling InfrastructureEnabling
+5.9 mn smart meters 2.0 installed +4% +82%
14.00
500.00 504 12.00 13.1 484 450.00 10.00 ~30% smart meters 2.0 on total
8.00
400.00 6.00 7.2
4.00
350.00 Fully digitalized end users
2.00 higher than 60%
300.00 - FY 2018 FY 2019 FY 2018 FY 2019
End users SAIFI (n.) 3.4 3.2 72.9 73.3 (mn) Total Smart SAIDI (min.) 312 294 43.8 44.7 Meters (mn) 82 1. FY 2018 restated Enel X Development ramp up of our value added services
New energy services Infrastructure deployment
Ecosystems and PlatformsandEcosystems Demand Response (GW) Storage (MW)
+2% +57% FY 2018 FY 2019 +63% Charging points1 (k) 49 80
6 120
6 6.3 100 6 6.2 110 80 6 Public lighting -4%
6 60 2.5 2.4 70 (mn points) 6
40
6
20 6 +55%
6 - Fiber deployment (Households passed mn) 5.1 7.9 FY 2018 FY 2019 FY 2018 FY 2019
MW awarded 5.3 in 2019
83
1. Public and private charging points Shareholder remuneration
EPS (€/sh) DPS (€/sh)
+33% +32%
+18% +17%
0.40
0.35
0.30 0.37
0.53 0.25 0.47 0.328 0.40 0.20 0.28
0.15
0.10
0.05
0.00 2018 2019 2020 2018 2019 2020
Min. guaranteed DPS 0.28 0.32 0.35
84 Full Year 2019 Financial results
Alberto De Paoli CFO Financial highlights (€mn)
EBITDA1 Net Income1 FFO Net Debt
✔ ✔ ✔ ✔ 17,905 4,767 11,630 45,175 +11% +17% +5% +10%
FY 2018 16,158 4,060 11,075 41,0892
1. Ordinary figures 86 2. As of December 31st 2018. IFRS 16 impact from January 1st, 2019 Ordinary EBITDA evolution1 Performance supported by our sustainable and integrated business model
EBITDA evolution (€bn) Ordinary EBITDA by GBL
+11% 1%
20.00 18% 0.0 0.1 0.8 46% 0.2 17.9 €bn 0.1 0.5 17.9 9% (11% yoy)
15.00 16.2
26%
0.6 0.9
10.00 EBITDA 2018E EGP Conventional Retail Networks Enel X Services&Other EBITDA 2019 Networks Enel X generation Retail EGP Conventional Decarbonisation Electrification Enablers & Platforms generation
87 1. Excludes extraordinary items in FY 2018 (+128 €mn Rete Gas Earn Out and +65 €mn EF Solar) and FY 2019 (+94 €mn Disposals of Mercure plant, +50 €mn second tranche Rete Gas Earn Out, - 205 €mn impairment coal Italy, -103 €mn impairment coal Iberia, -30 €mn price adjustment Kafireas, -7 €mn impairment coal Russia) Operational efficiency Efficiencies reached 300€mn in 2019
OPEX evolution (€mn) Efficiencies by business
-1% 8,900.0 186
8,700.0 22% 140 8,500.0 8,590 (194) 8,582 97 8,506 FY 2019 47% 8,300.0 0.3 €bn (313)
8,100.0 31%
7,900.0
7,700.0 FY 2018 Perimeter IFRS 16 FY 2018 Efficiency CPI & FX Develop. & FY 2019 & Other pro forma Customers
Robust sustained growth Decarbonisation EBITDA evolution (€mn) EBITDA FY 2019 by geography
4,800.00 +2% 2% 4,700.00 Higher prices more than offset
4,600.00 lower volumes 27% 4,634
4,500.00 48% 4,543 FY 2019
4,400.00 Impact from large Q4 investments 4.6 €bn 7% 4,300.00 not yet visible
4,200.00 16%
4,100.00 Positive contribution from PPA early termination for around 80 €mn
4,000.00 FY 2018 FY 2019 Italy Latin America Iberia RoW North America EBITDA/ 11% 11% Capex1 (%)
1. Calculated on the basis of EBITDA at regime of renewable plants with COD 2018 and 2019 89 Conventional generation and Global trading
Performance driven by higher nuclear prices and continued efficiencies Decarbonisation EBITDA evolution (€mn) EBITDA FY 2019 by geography
2,000.00 +45% 1,800.00 11% 6%
1,600.00 Higher nuclear prices and volumes 1,616 1,400.00 FY 2019
1,200.00 40% 1.6 €bn 1,000.00 1,117 Ongoing efficiency plan 43%
800.00
600.00 c.60 €mn positive impact from 400.00 ancillary services
200.00 FY 2018 FY 2019 Italy Latin America Iberia RoW 1 Opex/MW 34.0 33.4 (k€/MW)
1. Thermal generation 90 Infrastructure and Networks EBITDA growth driven by Enel DX Sao Paulo and efficiencies
EBITDA evolution (€mn) EBITDA FY 2019 by geography Enabling InfrastructureEnabling
11,000.00 +11% 10,000.00 1% Enel DX Sao Paulo consolidation 25% 9,000.00 and outstanding performance
8,000.00 8,228 FY 2019 7,000.00 47% 7,411 8.2 €bn 6,000.00 Efficiencies for 160 €mn
5,000.00 27%
4,000.00 Constructive regulatory changes in 3,000.00 Brazil and Argentina
2,000.00 FY 2018 FY 2019 Italy Latin America Iberia RoW Opex/End 43.9 42.5 users (€/cust)
91 Retail
Performance propelled by free market Electrification
EBITDA evolution (€mn) Energy sold1 (TWh)
+7% +3% Higher margins in Iberia and Latin 3,079 3,287 America 400.00
350.00 327 336 599 546 300.00
c.9% cost to serve reduction 250.00 163 172
mainly in Italy 200.00
2,53 2,68 150.00 8 100.00 3 Regulated market performance 164 164 supported by Enel Dx Sao Paulo 50.00
0.00 FY 2018 FY 2019 FY 2018 FY 2019
Ebitda/Cust. 118 = Free markets Regulated markets (€/cl)2
1. Includes energy losses; 92 2. Free market power and gas Profit & loss (€mn)
FY 2019 FY 2018 ∆ yoy
Ordinary EBITDA 17,905 16,158 +11% Higher D&A mainly due to IFRS16, consolidation of Enel DX Sao Paulo and higher investments D&A (6,809) (6,365) +7%
EBIT 11,096 9,793 +13% Lower cost of debt by around 40bps Financial expenses1 (2,413) (2,370) +2%
Results from equity investments (88) 81 n.m.
EBT 8,595 7,504 +15% Results from equity investments negatively Impacted by North America JV unwinding Income taxes (1,960) (1,864) +5%
Minorities (1,868) (1,580) +18% Higher minorities due to increasing contribution of Group net ordinary income2 4,767 4,060 +17% activities in Latin America
1. Includes other financial expenses (-101 €mn for FY 2018, -158 €mn for FY 2019) 2. Excludes extraordinary items in FY 2018 (+729 €mn: +128 €mn earn out Retegas, +64 €mn EF Solar, +646 €mn Slovenske, -98 €mn impairment, -11 €mn Income on equity Powecrop) and FY 93 2019 (-2593 €mn: +97 €mn disposals Mercure plant, +49 €mn second tranche earn out Rete Gas, -1,412 €mn coal plants and other impairments Italy, -108 €mn impairment USA, -902 €mn impairments coal plants Iberia, -151 €mn impairments coal plants Bocamina 1 and Tarapaca, -60 €mn impairment RGRES, -34 €mn Slovenske investment impairment and -4 €mn impairment of financial asset for SE disposal; -38 €mn Devaluation FUNAC; -30 €mn Price adj Kafireas) Cash flow (€bn) Solid FFO generation supports increasing capex
12.0 17.9 (1.8) 10.0 (0.0) (1.8) 8.0
6.0 (2.7)
4.0 11.6 (10.0)
2.0
- 1.7 1 3 Ordinary ∆ Provisions ∆Working Income Financial FFO Capex FCF EBITDA capital taxes expenses 2 & other
PY 16.2 (1.9) 1.1 (1.7) (2.6) 11.1 (8.5)4 2.5
Delta YoY +11% -3% -96% +7% +3% +5% +17% -34%
1. Accruals, releases, utilizations of provisions in EBITDA (i.e. personnel related and risks and charges), 2. Includes dividends received from equity investments accruals of bad debt 94 3. Funds from operations 4. Gross of BSO capex HFS Debt (€bn) Cost of debt declined by 40 bps, Net Debt impacted by FX and IFRS16
Gross debt Net debt evolution
+7% 50
48
46 1.1 61.5 4.0 57.4 44 60 42.5 (0.6) 45.2 6.7 9.0 42 1.4 50 IFRS 16 8.2 7.3 40
40 (1.7) IFRS 16 1.4 38
30 36 41.1
20 45.2 41.1 34
10 32
30 - 1 2 Jan 1, 2019 Dec 31 2019 Jan 1, 2019 FCF Dividends paid Active portfolio FX Dec 31, 2019 management Net debt Financial receivables Cash Cost of gross debt: 4.1% (-40 bps vs 2018)
1. Includes New Leasing for 0,1 €bn 95 2. Includes foreign exchange derivatives realized in the period Closing remarks
NO evidence of 2019 strong More than 50% of Ample liquidity significant financial results as our people available and impacts thanks to a consequence of a working remotely strong balance a resilient and strong operational sheet to face No disruptions on diversified execution volatile scenarios operations business mix
96 Q1 2020 Consolidated results Q1 2020 Consolidated results
May 6, 2020 Key highlights of the period
Push on Increase in Enel Chile COVID-19 Solid delivery renewables and Enel Americas
Limited +6% economic impact +420 MW built EBITDA Progress in Ongoing actions 65% emissions plan to reach +11% to support free production 65% stake Net Income people and communities
99 COVID-19 Q1 2020 business and financial evolution
Business evolution Financial evolution
th Renewables: 420 MW built in the quarter 25.9 €bn available liquidity as of April 30 2020, of which 5.8 €bn cash and 20.1 €bn committed credit lines Conventional generation and trading: neutral impact thanks to hedging, short position and 5.9 €bn long term debt maturing from May 1st up balancing services due to load volatility to the end of 2021, 4.4 times covered by liquidity2
Distribution: 1% volumes decrease in Latin Available liquidity to cover 2.1 times long term America; remuneration in Europe not impacted by debt to mature by 20222 reduction in volumes (-4% yoy)
Retail: -3% decrease in B2B volumes and +1% Strong balance sheet to withstand volatile increase in B2C volumes1 linked to COVID-19 crisis scenarios
130 €mn of negative impact on EBITDA from FX 0.4 €bn of temporary net working capital devaluation, of which 80 €mn linked to COVID- increase linked with COVID-19 crisis 19 crisis
1. Italy and Spain 100 2. Calculated on the basis of liquidity position and debt maturities as of April 30th, 2020 COVID-19 Enel at the forefront in supporting people, communities and stakeholders
Our people Communities
Around 55% of our global workforce work Over 200 initiatives: 70% to support health remotely (37,5001). Of these, 75% will work organization and 30% to mitigate impact on remotely until Christmas communities Insurance policy for all employees worldwide Around 50 €mn donations globally to hospital First ever of its kind in the world institutions and social assistance services Cash allowance for hospitalized employees Top management to donate around 15% of Support to employees engaged in non remotable 2020 remuneration activities through the creation of a “Vacation Day Bank” mechanism Crowdsourcing for ideas to help countries deal 20,999 days donated by Enel’s people2 with the emergency 29,700 days donated by the Company MBO targets more aligned with people safety Dunning processes suspension worldwide and business continuity 1. Daily average in the week 13-17 April 2020 101 2. As of April 30th, 2020 Delivering on a fully sustainable capex plan More than 90% capex addressed in 2020
Capex by business and by nature Asset development capex by business
Capex addressed 2% 5%3% by year 4% 2% 24% 26% 2020E 92% Q1 2020 48% Q1 2020 Q1 2020 1.9 €bn 1.9 €bn 54% 1.0 €bn 2021E 72% 40% 22% 70% 2022E 42%
Networks Enel X Asset development Networks Enel X Retail EGP Customers Conventional EGP generation Conventional Asset management generation
102 Global Power Generation – Enel Green Power
Development target on track, 65% emission free production Decarbonisation Renewable capacity evolution (GW) Emission free share of production1
45.8 Total capacity 46.0 420 MW built in the first quarter of the year 0.0 0.2
3.7 Q1 2020 3.5 Renewables production up by 9% 54 TWh Coal production down by 80%
0.4 - In 2020 ~3.2 GW in execution and ~0.4 GW fully permitted 42.1 42.5 65% emission free (+12 p.p. vs PY) FY 2019 Built Disposal Q1 2020
Consolidated capacity Managed capacity 103 1. Emission free production includes nuclear generation (7.1 TWh in Q1 2019 and 7.2 Twh in Q1 2020) and production from managed capacity (2.9 TWh in Q1 2019 and 2.5 TWh in Q1 2020) Operational efficiency Efficiencies doubled in Q1 versus PY, reaching around 80 €mn
OPEX evolution (€mn) Efficiencies by business
-4%
2,510.0 9% 17 4 2,010.0 14% 2,112 (27) (78) 2,028
1,510.0 Q1 2020 (356) 1,672 58% 78 €mn 1,010.0 19%
510.0
10.0 Q1 2019 CPI & FX Efficiency Develop. & Perimeter Q1 2020 Spain Q1 2020 Customers pro forma provision reversal
104 Q1 2020 Financial results Financial highlights (€mn)
EBITDA1 Net Income1 FFO Net Debt
4,741 1,281 2,061 47,097 +6% +11% -17% +4%
Q1 2019 4,454 1,159 2,484 45,1752
1. Ordinary figures 106 2. As of December 2019 Ordinary EBITDA evolution 9% EBITDA growth net of FX devaluation
EBITDA evolution (€bn)1 Ordinary EBITDA by GBL1
+6%
20% 0.01 41% 5.00 0.09 0.08 0.13 4.7 €bn (0.02) 4.74 4.45 (+6% yoy) 15%
24% 0.14
0.00 Networks EGP Q1 2019 Global Power Retail Networks Enel X Services&Other Q1 2020 Generation Retail Conventional generation
Decarbonisation Electrification Enablers & Platforms
107 1. Excludes extraordinary items in Q1 2019 (+94 €mn Disposals of Mercure plant) and Q1 2020 (-33 €mn COVID-19) Global Power Generation
Performance supported by renewables volumes and ongoing efficiencies Decarbonisation EBITDA evolution (€mn)1 EBITDA by geography1
2,500 +5% Solid contribution from new renewables 6% capacity and hydro recovery 2,000 1,749 1,834 26% 32% Q1 2020 1,500 Benefit from short position 501 695 1.8 €bn and balancing services
1,000 7% Q1 ‘19: 260 €mn PPA early 29% 1,248 1,139 500 termination and JV unwinding Q1 ‘20: 170 €mn provision reversal
- Italy Latin America Q1 2019 Q1 2020 70 €mn from adverse FX scenario Iberia RoW in Latin America North America
1. Includes Nuke and Trading 108 GPG - Enel Green Power
+7% underlying operating performance thanks to new capacity and volumes Decarbonisation EBITDA evolution (€mn) EBITDA by geography
-9% Positive contribution from capacity 5% developed at end of 2019 1,200.00 1,248 31% 1,100.00 Q1 2020 1,139 Volumes recovery led by hydro 45% 1,000.00 1.1 €bn (+1.3 TWh) at hedged prices 900.00
800.00 9%
700.00 Q1 ’19: 180 €mn from JV unwinding 10%
600.00 and PPA early termination
500.00
400.00 Italy Latin America Q1 2019 Q1 2020 50 €mn negative effect from Iberia RoW FX devaluation North America
109 GPG - Conventional generation and trading
Hedging, short position and balancing services Decarbonisation EBITDA evolution (€mn) EBITDA by geography
900.00 +39% 800.00 8% Benefit from short position and 11%
700.00 balancing services 19%
600.00 695 Q1 2020
500.00 Q1 ’19: 80 €mn PPA early termination 0.7 €bn
400.00 501 Q1 ‘20: 170 €mn provision rev. Spain
300.00 62% 200.00 Ongoing efficiencies more than 100.00 offset 20 €mn FX devaluation
- Q1 2019 Q1 2020 Italy Latin America Iberia RoW
110 Infrastructure and Networks Stable performance thanks to protective regulatory framework
EBITDA evolution (€mn) EBITDA by geography Enabling InfrastructureEnabling
2,100.00 +7% 2,050.00 European regulatory framework 1% 2,000.00 protecting against dropping volumes 33%
1,950.00 1,958 1,900.00 Q1 2020 Limited impact from 1% decline in 44% 1,850.00 2.0 €bn Latin America volumes 1,800.00 1,826 1,750.00 22%
1,700.00 Q1 ‘20: 180 €mn provision
1,650.00 reversal in Spain
1,600.00 Q1 2019 Q1 2020 Italy Latin America c. 60 €mn negative impact from Iberia RoW FX devaluation
111 Retail
Strong performance, shift in demand from B2B to B2C Electrification
EBITDA evolution (€mn) Free Market – Energy sold (TWh)1
-6%
+9% 17.2 16.2 Improved performance led by 861 941 free markets (+10%) 4.1 4.5 151 Italy 146 13.1 11.7 Higher margins in Iberia Q1 2019 Q1 2020 B2C 715 790 -3% c. 8% cost to serve reduction B2B in Italy and Spain 21.1 20.4 5.4 5.1 Q1 2019 Q1 2020 Spain 15.7 15.3
Free markets Regulated markets Q1 2019 Q1 2020
1. Includes energy losses; 112 Profit & loss (€mn)
1Q 2020 1Q 2019 ∆ yoy
Ordinary EBITDA 4,741 4,454 +6%
D&A (1,607) (1,567) +3% D&A slightly increase due to investments growth, partially offset by coal impairments effects EBIT 3,134 2,887 +9%
Financial expenses1 (618) (647) -4% Lower cost of debt by around 20 bps Results from equity investments 14 (63) n.m. vs year end 2019 EBT 2,530 2,177 +16%
Income taxes (809) (624) +30% Higher taxes mainly due to higher EBT and positive deferred tax asset in 2019 Minorities (440) (394) +11%
Group net ordinary income2 1,281 1,159 +11%
1. Includes other financial expenses (-70 €mn in Q1 2019, -73 €mn in Q1 2020) 2. Excludes extraordinary items in Q1 2019 (+97 €mn disposals Mercure plant) and in Q1 2020 (-34 €mn: -3 €mn write-down of Funac in Brazil, -17 €mn Slovenske investment impairment, -22 €mn 113 donations and other cost due to COVID-19, +8 €mn reversal impairment on coal plants in Iberia) Cash 8.0 flow (€bn)
7.0
6.0
5.0
4.7 4.0 (0.4) (0.4)
3.0 0.0
2.0 (1.5) ((0.4) 2.1
1.0 (1.9) 0.2
-
3 Ordinary ∆ Provisions 1 Provision ∆Working Income Financial FFO Capex FCF EBITDA reversal in capital taxes expenses 2 Spain & other
PY 4.5 (0.3) (1.1) (0.2) (0.4) 2.5 (1.9) 0.6
Delta YoY +6% -65% -32% n.a. -6% -17% - -69%
1. Accruals, releases, utilizations of provisions in EBITDA (i.e. personnel related and risks and charges), accruals of bad debt 2. Includes dividends received from equity investments 114 3. Funds from operations Debt (€bn)
Gross debt Net debt evolution
+2% 50
48 0.1 2.2 61.5 63.0 46
44 (0.2) 60 47.1 9.0 7.6 45.2
42 50 (0.2) 7.3 8.3
40
40
38
30 47.1 36 20 45.2
34
10
32
-
30 Dec 31, 2019 Mar 31, 2020 Dec 31, 2019 FCF Dividends paid Active portfolio 1 FX 2 Mar 31, 2020 management Net debt Financial receivables Cash
Cost of gross debt: 3.9% (-20 bps vs year end 2019)
1. Includes New Leasing for 0,07 €bn 115 2. Includes foreign exchange derivatives realized in the period Liquidity position Business continuity supported by solid liquidity position
Liquidity Position1 Debt maturities1
19.0
17.0 14.9 15.0 Liquidity of 25.9 €bn covers 2.1x 5.8 2.2 13.0 LT debt maturities in the plan
11.0 8.9 25.9 €bn 9.0 Limited re-financing needs with only 6.4 7.0 5.9 €bn LT debt maturing in 2020-21 12.7 20.1 5.0 6.9 3.9 1.7
3.0 2.2 4.7 Diversified and balanced cash 1.0 1.2 0.8 1.7 allocation to minimize counterparty risk Available committed -1.0 2020 2021 2022 2023-24 credit lines
Cash Short term Bank Loans & Others Bonds
1. As of April 30th, 2020 116 Closing remarks
Solid underlying Early management AGM to be held as Robust and th Q1 performance in actions to support expected on May 14 , integrated business set to approve spite of COVID-19 business continuity model to absorb dividend payment in crisis to support post lockdown temporary shocks July and a new year end delivery through December remuneration policy
117 2020-2022 Annexes Agenda
Page
Macro scenario 121
Conventional generation 124
EGP 127 Financial annexes Infrastructure & Networks 131
Retail 135
Enel Group 140
2020 – 2022 Sustainability Plan 148
Focus on People Centricity 150 ESG annexes Focus on Corporate Governance 153
Focus on Innovation & Cybersecurity 159 119 2020-2022 Financial annexes 2020-2022 Macro scenario
GDP, CPI, FX
scenario Macro Macro
GDP (%) CPI (%) FX against €1 2020 2021 2022 2020 2021 2022 2020 2021 2022 Italy 0.5 0.6 0.7 1.3 1.5 1.7 n. m. n. m. n. m. Iberia 2.0 1.7 1.5 1.7 1.8 1.9 n. m. n. m. n. m. Latin America
Argentina (1.3) 1.4 1.8 48.6 34.8 22.9 77.8 95.2 115.2
Brazil 2.6 2.6 2.5 4.1 3.9 3.7 4.4 4.5 4.7
Chile 3.0 2.9 2.9 3.0 3.0 3.0 753 752 752
Colombia 3.2 3.2 3.3 3.0 3.0 3.0 3,768 3,868 3,908
Peru 3.8 3.9 3.9 2.3 2.5 2.5 3.9 3.9 3.9 Rest of Europe
Romania 2.3 2.1 2.0 2.8 2.6 2.6 4.8 4.9 4.9
Russia 1.7 1.7 1.5 4.0 3.7 4.0 72.6 72.0 72.3 North America
USA 1.9 1.8 1.9 2.0 2.0 2.0 1.2 1.2 1.2
1. Year end 122
Commodities’ prices
scenario Macro Macro
2019 2020 2021 2022 Gas TTF (€/MWh) 13.5 19.2 19.5 19.7 Gas Henry Hub ($/mmbtu) 2.5 3.1 3.1 3.1 Gas PSV (€/MWh) 16.0 20.9 21.1 21.3 Oil Brent ($/bbl) 64.1 65.0 65.0 66.0 Coal API2 ($/ton) 61.0 75.0 76.0 78.0
CO2 (€/ton) 24.8 23.5 24.0 24.5
123 2020-2022 Conventional generation Installed capacity1 (GW)
By technology By geography
8% 9% 32% Conventional generationConventional 34% 35% 12% 15% 2019 2022 41% 2019 2022 29% 42.2 GW 32% 36.5 GW 42.2 GW 36.5 GW 18% 21% 38% 30% 28% 18%
Nuke CCGT Coal Oil & Gas Italy Latin America Iberia Rest of Europe
Nuke CCGT Coal Oil & Gas Total 2019 2020 2021 2022 2019 2020 2021 2022 2019 2020 2021 2022 2019 2020 2021 2022 2019 2020 2021 2022 Italy - - - - 4.5 4.6 4.6 4.6 6.2 6.2 6.2 5.6 2.7 2.4 2.4 2.4 13.5 13.2 13.2 12.6 Iberia 3.3 3.3 3.3 3.3 5.5 5.5 5.5 5.5 4.8 2.8 0.2 0.2 2.3 2.3 2.3 2.1 16.0 13.9 11.3 11.1 Latin America - - - - 4.2 4.2 4.2 4.2 0.7 0.7 0.7 0.7 2.7 2.7 2.7 2.7 7.5 7.5 7.5 7.5 Rest of Europe - - - - 0.8 0.8 0.8 0.8 - - - - 4.4 4.4 4.4 4.4 5.3 5.3 5.3 5.3 North America ------Africa, Asia & Oceania ------Total 3.3 3.3 3.3 3.3 15.0 15.0 15.0 15.0 11.7 9.6 7.1 6.6 12.2 11.9 11.8 11.6 42.2 39.9 37.3 36.5
1. Rounded figures. Latin America includes: South America, Costa Rica, Guatemala and Panama. Rest of Europe includes: Romania, Russia, Greece and Bulgaria. North America includes: Mexico, 125 USA and Canada. Africa, Asia & Oceania includes: South Africa, India and Zambia Production1 (TWh)
By technology By geography
20% 25% 17% 24% Conventional generationConventional
16% 18% 2019 22% 2022 25% 2019 2022 129.7 TWh 35% 106.0 TWh 129.7 TWh 40% 106.0 TWh 37% 15% 43% 29% 16% 18%
Nuke CCGT Coal Oil & Gas Italy Latin America Iberia Rest of Europe
Nuke CCGT Coal Oil & Gas Total 2019 2020 2021 2022 2019 2020 2021 2022 2019 2020 2021 2022 2019 2020 2021 2022 2019 2020 2021 2022 Italy - - - - 9.6 11.0 10.0 9.0 12.8 16.9 17.8 16.0 0.3 0.1 0.1 0.1 22.6 28.1 28.0 25.1 Iberia 26.3 26.4 26.1 26.5 11.7 9.2 10.1 11.1 7.6 8.5 3.3 0.1 5.7 8.7 8.5 8.4 51.3 52.8 48.0 46.1 Latin America - - - - 17.9 14.8 14.2 13.3 3.9 2.0 1.0 0.8 1.6 1.9 2.4 2.0 23.4 18.6 17.6 16.2 Rest of Europe - - - - 5.8 4.9 5.7 5.8 13.3 - - - 13.3 12.8 12.7 12.9 32.4 17.7 18.4 18.7 North America ------Africa, Asia & Oceania ------Total 26.3 26.4 26.1 26.5 45.0 40.0 40.0 39.2 37.6 27.3 22.1 16.9 20.9 23.5 23.8 23.4 129.7 117.3 112.0 106.0
1. Rounded figures 126 2020-2022 EGP 1
EGP Consolidated capacity (GW)
By technology By geography
2% 2% 13% 15% 7% 27% 52% 2% 33% 2% 16% 3% 2019 67% 2022 2019 2022 42.2 GW 1% 54.2 GW 42.2 GW 54.2 GW 24% 32% 34% 19% 31% 18%
Italy Latin America North America Hydro Wind Solar & Other Geothermal Iberia Rest of Europe Africa, Asia & Oceania
Hydro Wind Geothermal Solar & Other Total 2019 2020 2021 2022 2019 2020 2021 2022 2019 2020 2021 2022 2019 2020 2021 2022 2019 2020 2021 2022 Italy 12.4 12.4 12.4 12.5 0.8 0.8 1.0 1.3 0.8 0.8 0.8 0.8 0.0 0.0 0.0 0.2 14.0 14.0 14.2 14.7 Iberia 4.7 4.8 4.8 4.8 2.3 2.5 2.6 3.2 - - - - 0.4 0.6 1.4 2.2 7.4 7.9 8.8 10.2 Latin America 10.6 10.6 10.6 10.7 1.6 2.4 3.3 3.7 0.0 0.1 0.1 0.1 1.5 2.3 3.2 4.0 13.7 15.3 17.2 18.5 Rest of Europe 0.0 0.0 0.0 0.0 0.9 1.0 1.2 1.2 - - - - 0.1 0.1 0.1 0.1 1.0 1.1 1.3 1.3 North America 0.1 0.1 0.1 0.1 4.4 5.6 6.1 6.6 0.1 0.1 0.1 0.1 0.7 0.9 1.1 1.3 5.3 6.7 7.4 8.0 Africa, Asia & Oceania - - - - 0.4 0.5 0.5 0.5 - - - - 0.4 0.8 0.8 0.9 0.8 1.3 1.3 1.4 Total 27.8 27.9 27.9 28.1 10.3 12.7 14.6 16.4 0.9 0.9 0.9 0.9 3.1 4.8 6.7 8.8 42.2 46.3 50.1 54.2
1. Rounded figures 128 1
EGP Consolidated production (TWh)
By technology By geography
2% 2% 13% 18% 4% 45% 24% 19% 6% 12% 2% 2019 63% 2022 2019 2022 5% 2% 12% 99.4 TWh 143.3 TWh 99.4 TWh 143.3 TWh 10% 27% 49% 38% 47%
Italy Latin America North America Hydro Wind Solar & Other Geothermal Iberia Rest of Europe Africa, Asia & Oceania
Hydro Wind Geothermal Solar & Other Total 2019 2020 2021 2022 2019 2020 2021 2022 2019 2020 2021 2022 2019 2020 2021 2022 2019 2020 2021 2022 Italy 17.2 17.3 17.2 17.0 1.4 1.3 1.5 2.2 5.7 5.6 5.6 5.7 0.0 0.1 0.1 0.3 24.3 24.3 24.4 25.2 Iberia 5.9 6.9 6.9 6.9 4.1 5.7 6.4 7.6 - - - - 0.1 0.7 1.7 3.3 10.1 13.3 15.0 17.8 Latin America 39.2 41.9 42.6 42.9 6.3 6.7 11.4 14.7 0.2 0.4 0.6 0.6 2.8 4.1 7.0 9.6 48.4 53.1 61.5 67.8 Rest of Europe 0.0 0.0 0.0 0.0 1.8 2.2 2.5 3.3 - 0.0 0.0 0.0 0.2 0.2 0.2 0.2 2.0 2.4 2.7 3.5 North America 0.2 0.3 0.3 0.3 12.1 18.9 21.6 23.4 0.3 0.4 0.3 0.3 0.3 1.7 2.1 2.6 12.9 21.2 24.3 26.6 Africa, Asia & Oceania - - - - 1.0 1.2 1.0 1.0 - - - - 0.6 1.3 1.4 1.5 1.6 2.5 2.3 2.5 Total 62.6 66.4 66.9 67.1 26.7 36.1 44.4 52.2 6.1 6.3 6.6 6.6 4.0 8.0 12.4 17.4 99.4 116.8 130.3 143.3
1. Rounded figures C 129 1
EGP Consolidated additional capacity and pipeline (GW)
Consolidated additional capacity by technology COD 2020-2022 Pipeline by geography
1% Wind
2020-22 Solar COD 50% 49% 11.62 GW 2020 2021 2022 Total Hydro Italy 0.0 0.5 1.6 2.1 Iberia 0.1 1.0 1.8 2.9 Latin America - 0.3 4.8 5.1 Rest of Europe 0.0 0.0 0.3 0.3 Consolidated additional capacity by geography North America 0.0 2.4 4.2 6.7 Africa, Asia & Oceania 0.0 0.3 2.3 2.6 2%6% Total 0.1 4.6 15.0 19.7 22% Italy 24% 2020-22 Iberia 3% 11.62 GW Latin America Rest of Europe North America 43% 1. Rounded figures 130 Africa, Asia & Oceania 2. Excluding Jvs for 2.5 GW 2020-2022 Infrastructure & Networks
Electricity distributed, End users, Smart meters1 Infrastructure & Networks & Infrastructure
Electricity distributed (TWh) End users (mn) Smart meters (mn) 2019 2020 2021 2022 2019 2020 2021 2022 2019 2020 2021 2022 Italy 224.6 226.5 226.8 227.1 31.5 31.5 31.5 31.6 31.4 31.4 31.4 31.6 Iberia 126.5 127.0 128.4 129.8 12.2 12.3 12.4 12.4 12.2 12.3 12.4 12.5 Latin America 137.3 139.8 143.5 147.1 26.7 27.1 27.6 28.1 0.4 0.6 1.1 1.6 Rest of Europe 15.7 16.0 16.2 16.4 2.9 2.9 3.0 3.0 0.7 0.8 1.0 1.2 Total 504.0 509.3 514.9 520.4 73.3 73.8 74.4 75.1 44.7 45.1 45.9 46.8
1. Rounded figures 132 Current regulatory framework in Europe1
Italy Iberia Romania
WACC real pre tax Infrastructure & Networks & Infrastructure 5.9% 6.0% 6.9% 2019
Next Regulatory 20242 2026 2024 Period
Regulatory Period 4+4 6 5 Length (years)
Metering Owned by Owned by Owned by Ownership DSO DSO DSO
Smart meter Yes No Yes inclusion in RAB
1. As of February 2020 133 2. WACC review by 2022 Current regulatory framework in Latin America1
Argentina Brazil Chile Colombia Peru
WACC real pre tax 2 Infrastructure & Networks & Infrastructure 12.5% 12.3% 10.0% 11.79% 12.0%2 2019
Next Regulatory 2022 2023 Nov 2020 2024 Nov 2022 Period
Regulatory Period 5 (Rio, Goias) 5 4 5 4 Length (years) 4 (Ceará, São Paulo)
Metering Owned by Owned by Owned by Owned by Owned by Ownership DSO DSO users/DSO users/DSO users4
Smart meter Yes Yes No No 4 inclusion in RAB3 No
1. February 2020 134 2. Return rate before taxes 3. Chile and Peru uses a Price Cap based on VNR (NRC – New Replacement value) 4. Excluding a pilot project approved by the local regulator, involving 10k smart meters, which will be included in Enel assets base from 2021 2020-2022 Retail
Power & gas customers and volumes1 Retail
Power Gas Customers (mn) Volumes (TWh) Customers (mn) Volumes (bsmc) 2019 2022 2019 2022 2019 2022 2019 2022 Italy 23.7 18.5 97.5 92.6 4.1 4.4 4.7 4.7 Free Market 9.2 18.5 62.0 92.6 4.2 4.4 4.7 4.7 Regulated 14.4 - 35.6 - - - - - Iberia 10.6 10.7 89.4 103.1 1.6 1.8 5.7 5.6 Free Market 5.8 6.6 78.1 90.2 1.4 1.6 5.6 5.4 Regulated 4.8 4.1 11.4 12.9 0.2 0.2 0.1 0.1 Latin America 26.7 29.2 105.0 180.9 - 0.0 - 0.5 Rest of Europe 3.1 3.9 9.7 12.9 0.1 0.2 0.0 0.3 Total 64.1 62.2 301.7 389.5 5.9 6.5 10.5 11.1
1. Rounded figures 136
Power unitary margin and opex per client Retail
Power unitary margin Opex per client (€/MWh)1 (€/customer) 2019 2022 2019 2022 Italy 22.3 20.2 26.0 22.9 Iberia 10.5 9.8 35.5 30.5 Latin America 3.8 3.0 14.4 12.5 Rest of Europe 6.3 10.4 16.2 11.3
1. Includes only power free market 137 Italian power market 2019
Customers (mn) Energy sold (TWh)
Enel Enel Enel Enel market share1 market share2 market share1 market share2
40% 18.5 36.8 239.3 286.2 4.5 7.2 53% 24% 18.3 14.0 205.3 220.1 2.8 29.5 47% 46.8 15.5 34.1 14.8 66.1 32.0 Regulated 79% Free 50% Total Regulated Free Total 84% 27% Business Residential
1 Enel estimate based on closing 2018; % calculated on Total Italian Regulated Market 2 Enel estimate based on closing 2018; % calculated on Total Italian Free Market (not including Last Resort - “Salvaguardia”) Spanish power market 2019
Customers (mn) Energy sold (TWh)
Enel Enel market share1 market share1 18.3 29.4 226.6 253.9 30% 55.3 32% 81.2
17.4
28.5 171.4 11.2 33% 0.9 172.7 31% 11.2 27.3 26.0 0.0 0.9 1.3 Regulated 48% Free 34% Total Regulated 43% Free 30% Total
Business Residential
139 1. Customers: CNMC “Informe de supervision de los cambios de comercializador 1Q-19 published october2019 2. Energy sold: Internal estimation based on “sectorial energy daily forecast system” 2020-2022 Enel Group
Gross Capex1 (€bn) Enel Group Enel Cumulated gross capex by GBL2 Cumulated gross capex by geography3
10%1% 4% 41% Networks 3% Italy 4% Retail 32% Iberia 7% Latin America 28.7 €bn Conventional generation 28.7 €bn Enel X 32% Rest of Europe EGP North America 44% 22% Africa, Asia & Oceania
Global Generation Conventional Generation Global Infrastructures Services EGP Retail Enel X Total & Trading & NetworNs & Other 2020 2021 2022 2020 2021 2022 2020 2021 2022 2020 2021 2022 2020 2021 2022 2020 2021 2022 2020 2021 2022 Italy 0.2 0.1 0.2 0.3 0.6 0.8 1.9 1.8 1.8 0.3 0.3 0.2 0.1 0.1 0.1 0.1 0.1 0.1 2.8 3.0 3.3 Iberia 0.4 0.3 0.2 0.6 1.0 1.4 0.6 0.7 0.7 0.1 0.1 0.1 0.0 0.1 0.1 0.0 0.0 0.0 1.8 2.1 2.4 Latin America 0.2 0.1 0.2 2.0 1.5 1.0 1.4 1.3 1.3 0.1 0.0 0.0 0.1 0.1 0.1 0.0 0.0 0.0 3.7 3.0 2.6 Rest of Europe 0.1 0.0 0.0 0.2 0.1 0.1 0.1 0.1 0.1 0.0 0.0 0.0 0.0 0.0 0.0 - - - 0.4 0.3 0.3 North America 0.0 0.0 0.0 1.1 0.8 0.7 ------0.1 0.0 0.0 - - - 1.2 0.9 0.8 Africa, Asia & Oceania - - - 0.1 0.1 0.1 ------0.0 0.0 0.0 - - - 0.1 0.1 0.1 Other 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 - - - 0.1 0.1 0.0 0.0 (0.1) (0.1) 0.2 0.0 0.0 Total 0.7 0.5 0.6 4.4 4.0 4.1 4.0 4.0 3.9 0.4 0.4 0.4 0.4 0.4 0.3 0.2 0.0 0.0 10.1 9.3 9.3 Total Capex 2020 - 2022 1.9 12.5 11.8 1.2 1.1 0.2 28.7 141 1. Rounded figures 2. Services & Other is not included in the breakdown 3. Other is not included in the breakdown
Asset development capex1 (€bn) Enel Group Enel Cumulated asset development capex by GBL2 Cumulated asset development capex by geography3
27% 15% 1% 3% Networks Italy 4% 29% Retail 3% Iberia Conventional generation Latin America 17.2 €bn 17.2 €bn Enel X Rest of Europe EGP 32% North America 20% 66% Africa, Asia & Oceania
Global Generation Conventional Generation Global Infrastructures Services EGP Retail Enel X Total & Trading & NetworNs & Other 2020 2021 2022 2020 2021 2022 2020 2021 2022 2020 2021 2022 2020 2021 2022 2020 2021 2022 2020 2021 2022 Italy 0.1 0.1 0.2 0.2 0.4 0.6 1.0 1.0 0.9 - - - 0.1 0.1 0.1 0.0 0.0 0.0 1.5 1.7 1.9 Iberia 0.0 0.0 0.0 0.6 0.9 1.3 0.2 0.2 0.1 - - - 0.0 0.0 0.0 - - - 0.8 1.2 1.5 Latin America 0.0 0.0 0.0 1.9 1.4 0.9 0.4 0.4 0.3 - - - 0.1 0.0 0.1 - - - 2.4 1.8 1.3 Rest of Europe 0.0 0.0 0.0 0.2 0.1 0.1 0.1 0.0 0.0 - - - 0.0 0.0 0.0 - - - 0.3 0.2 0.1 North America - - - 1.1 0.8 0.7 ------0.0 0.0 0.0 - - - 1.1 0.8 0.7 Africa, Asia & Oceania - - - 0.1 0.0 0.1 ------0.1 0.0 0.1 Other ------0.0 0.0 (0.1) 0.0 (0.2) (0.1) 0.0 0.0 -0.1 Total 0.2 0.2 0.3 4.0 3.7 3.7 1.7 1.6 1.4 - - - 0.2 0.2 0.1 0.0 (0.1) (0.1) 6.2 5.5 5.5 Total Capex 2020 - 2022 0.7 11.5 4.7 - 0.5 (0.2) 17.2 142 1. Rounded figures 2. Services & Other is not included in the breakdown 3. Other is not included in the breakdown
Asset management capex1 (€bn) Enel Group Enel Cumulated asset management capex by GBL2 Cumulated asset management capex by geography3
2% Networks 3% Italy 30% Iberia 20% Retail 64% 36% Latin America 6.5 €bn Conventional generation 6.5 €bn Rest of Europe 16% EGP North America 29% Africa, Asia & Oceania
Global Generation Conventional Generation Global Infrastructures Services EGP Retail Enel X Total & Trading & NetworNs & Other 2020 2021 2022 2020 2021 2022 2020 2021 2022 2020 2021 2022 2020 2021 2022 2020 2021 2022 2020 2021 2022 Italy 0.0 0.0 0.0 0.1 0.1 0.1 0.4 0.4 0.4 ------0.1 0.1 0.0 0.6 0.6 0.6 Iberia 0.3 0.3 0.2 0.1 0.1 0.1 0.2 0.3 0.3 ------0.0 0.0 0.0 0.6 0.6 0.6 Latin America 0.1 0.1 0.2 0.1 0.1 0.1 0.6 0.5 0.5 ------0.0 0.0 0.0 0.8 0.7 0.8 Rest of Europe 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 ------0.1 0.1 0.1 North America 0.0 0.0 0.0 0.0 0.0 0.0 ------0.0 0.0 0.0 Africa, Asia & Oceania - - - 0.0 0.0 0.0 ------0.0 0.0 0.0 Other 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 ------0.0 0.0 0.0 0.1 0.0 0.0 Total 0.5 0.4 0.4 0.3 0.3 0.3 1.3 1.3 1.4 ------0.1 0.1 0.1 2.3 2.1 2.1 Total Capex 2020 - 2022 1.2 1.0 3.9 - - 0.4 6.5
1. Rounded figures 143 2. Services & Other is not included in the breakdown 3. Other is not included in the breakdown
Customers capex1 (€bn) Enel Group Enel Cumulated customers capex by GBL2 Cumulated customers capex by geography3
2% 5% Networks 1% Italy 12% Iberia 43% 5.0 €bn 64% Retail 31% 5.0 €bn Latin America Rest of Europe 24% Enel X North America 18% Africa, Asia & Oceania
Global Generation Conventional Generation Global Infrastructures Services EGP Retail Enel X Total & Trading & NetworNs & Other 2020 2021 2022 2020 2021 2022 2020 2021 2022 2020 2021 2022 2020 2021 2022 2020 2021 2022 2020 2021 2022 Italy ------0.4 0.4 0.4 0.3 0.3 0.2 0.0 0.0 0.0 - - - 0.7 0.7 0.7 Iberia ------0.2 0.2 0.2 0.1 0.1 0.1 0.0 0.0 0.0 - - - 0.3 0.3 0.3 Latin America ------0.4 0.4 0.4 0.1 0.0 0.0 0.0 0.0 0.0 - - - 0.5 0.5 0.5 Rest of Europe ------0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 - - - 0.1 0.1 0.1 North America ------0.0 0.0 0.0 - - - 0.0 0.0 0.0 Africa, Asia & Oceania ------0.0 0.0 0.0 - - - 0.0 0.0 0.0 Other ------0.0 0.1 0.1 - - - 0.0 0.1 0.1 Total ------1.1 1.1 1.1 0.4 0.4 0.4 0.2 0.2 0.2 - - - 1.7 1.7 1.7 Total Capex 2020 - 2022 - - 3.2 1.2 0.6 - 5.0
1. Rounded figures 144 2. Services & Other is not included in the breakdown 3. Other is not included in the breakdown
Ordinary EBITDA1 Enel Group Enel By GBL2 By geography3
20.1 17.9 20.1 17.9 4% Italy Networks 3% 43% 3% 4% Iberia Retail 33% 46% 29% Latin America Conventional generation 17% 21% Rest of Europe Enel X 21% 18% 8% North America 9% 2% EGP 1% 42% 39% Africa, Asia & Oceania 26% 29%
2019 2022 2019 2022 Conventional Generation Global Infrastructures Services EGP Retail Enel X Total & Trading & NetworNs & Other 2019 2020 2021 2022 2019 2020 2021 2022 2019 2020 2021 2022 2019 2020 2021 2022 2019 2020 2021 2022 2019 2020 2021 2022 2019 2020 2021 2022 Italy 0.1 0.1 0.2 0.2 1.2 1.3 1.4 1.4 3.9 3.7 3.7 3.9 2.3 2.3 2.3 2.3 0.0 0.0 0.1 0.1 0.2 0.2 0.2 0.2 7.7 7.6 7.8 8.0 Iberia 0.7 0.7 0.7 0.7 0.4 0.5 0.6 0.7 2.0 1.9 1.9 1.8 0.7 0.7 0.7 0.8 0.0 0.0 0.0 0.1 0.1 0.1 0.1 0.1 3.9 3.8 4.0 4.2 Latin America 0.6 0.4 0.5 0.5 2.2 2.4 2.6 2.8 2.3 2.6 2.7 3.0 0.2 0.4 0.4 0.4 0.1 0.1 0.1 0.1 (0.1) (0.1) (0.1) (0.1) 5.3 5.8 6.3 6.8 Rest of Europe 0.2 0.1 0.1 0.1 0.1 0.2 0.2 0.2 0.1 0.1 0.1 0.1 0.0 0.1 0.1 0.1 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.5 0.5 0.5 0.6 North America 0.0 0.0 0.0 0.0 0.7 0.7 0.8 0.8 - - - - 0.0 0.0 0.0 0.0 0.1 0.0 0.0 0.0 - - - - 0.8 0.7 0.8 0.8 Africa, Asia & Oceania - - - - 0.1 0.1 0.1 0.1 ------0.0 0.0 0.0 0.0 - - - - 0.1 0.1 0.1 0.1 Other 0.0 0.1 0.1 0.1 0.0 (0.1) (0.1) (0.1) 0.0 0.0 0.1 0.1 - - - - 0.0 0.1 0.1 0.1 (0.1) (0.1) (0.3) (0.7) (0.3) 0.0 (0.1) (0.5) Total 1.6 1.4 1.6 1.7 4.6 5.1 5.6 5.9 8.2 8.3 8.5 8.9 3.3 3.4 3.5 3.6 0.2 0.2 0.4 0.5 0.0 0.1 (0.2) (0.5) 17.9 18.6 19.4 20.1 Total EBITDA 2020 - 2022 4.7 16.6 25.7 10.5 1.1 (0.6) 58.0 1. Rounded figures 145 2. Services & Other is not included in the breakdown 3. Other is not included in the breakdown
Baseload power price & production sold forward Enel Group Enel
Baseload price 2020 2021 Italy (€/MWh) 60.2 59.8 Iberia (€/MWh) 55.0 55.4
Production sold forward 2020 2021 2022 price % price % price % Italy (€/MWh)1 57.1 100% 51.6 50% - - Iberia (€/MWh)1 73.5 100% 74.5 80% - - Brazil (USD/MWh) 63.5 100% 60.1 100% 60.6 100% Chile (USD/MWh) 79.0 100% 76.0 100% 70.1 100% Colombia (USD/MWh) 68.7 100% 72.5 85% 67.1 80% Peru (USD/MWh) 56.7 100% 57.8 100% 60.1 100%
1. Average hedged price; wholesale price for Italy and Spain. As of 31 March 2020 146 2020-2022 Environmental, Social and Governance annexes 2020-2022 Sustainability Plan Sustainable business model, driving change through
innovation
2022 Sustainability PlanSustainability2022
- 2020
149 Enel public committment to United Nations (7.1, 4, 8, 13) 2020-2022 Focus on People Centricity Engaging People we work with
Plan actions 2019 2020-2022 targets
Promotion of digital skills’ dissemination 46% of people involved in digital 100% of people involved in digital Focus on People CentricityPeopleonFocus among all employees skills training skills training
Gender - % of women in selection 42% women involved 50% women involved in processes1 in recruiting processes recruiting processes
• 100% of people involved • 100% of people involved Performance appraisal2 • 99% of people appraised3 • 99% of people appraised
• 100% of people involved • 100% of people involved Climate survey2 • 86% of people participating • 87% of people participating
151 1. Selection processes involving blue collar workers and the USA perimeter are not included as local legislation to protect anti-discrimination practices in the recruiting phase does not allow to monitor this data. 2. Eligible and reachable people having a permanent contract and working in the Group for at least 3 months during 2019 3. Forecast data, since the closure of the assessment process has been postponed to May 2, 2020 due to the Covid-19 crisis. Engaging local Communities
Plan actions 20191 2020-2022 targets
Focus on People CentricityPeopleonFocus High-quality, inclusive and fair education 1.3 mn beneficiaries 2.5 mn beneficiaries in 20301
Access to affordable and clean energy 7.9 mn beneficiaries 10.0 mn beneficiaries in 20301
Employment and sustainable 2.1 mn beneficiaries 8.0 mn beneficiaries in 20301 and inclusive economic growth
152 1. Cumulated figures since 2015 2020-2022 Focus on Corporate Governance Corporate governance structure
78%
Shareholders’ meeting Audit firm BoD’s
composition Focus on Corporate GovernanceCorporateonFocus 11% 11%
1 Board of Statutory Board of Directors Auditors (3 members) Non executive Executive (9 members2) Independent
Nomination and Control and Risks Related Parties Committee Corporate Governance and Compensation Committee Committee Sustainability Committee
1. Chair can be considered independent in accordance with Unified Financial Act criteria 154 2. Out of which 3 Directors drawn from the slate filed by a group of mutual funds and other institutional investors Board composition
Board of Directors Board of Directors’ diversity
Chair Michele Crisostomo 33% (C) Corp. Governance & Sust. C. 44% CEO and Age Gender Focus on Corporate GovernanceCorporateonFocus Francesco Starace General Manager diversity 22% diversity 45% 56% (C) Control & Risks C. Cesare Calari Nomination & Compensation C. 48-52 53-56 57-66 Male Female Costanza Esclapon Corp. Governance & Sust. C. de Villeneuve Nomination & Compensation C. 22% 3 Control & Risks C. 1 3 Samuel Leupold Related Parties C. 4 Tenure 11% Skill Control & Risks C. Alberto Marchi diversity diversity (C) Nomination & Compensation C. 6 67% 5 Corp. Governance & Sust. C. Mariana Mazzucato Related Parties C. 1-3 years 4-6 years Energy Control & Risks C. Mirella Pellegrini Over 6 years Accounting, Finance & Risk Management Related Parties C. Strategy Nomination & Compensation C. Anna Chiara Svelto Expertise in Intl. Environment (C) Related Parties C. Legal & Corporate Governance Non executive Executive Independent (C) Chair Communication & Marketing CEO’s short-term variable remuneration1
Macro objective Objective Type of target
Weight2 Entry (50%) Target (100%) Over (150%) Ordinary consolidated Profitability 35% 5.25 €bn 5.35 €bn 5.41 €bn Economic
net income Focus on Corporate GovernanceCorporateonFocus
Efficiency Group Opex 20% 8.28 €bn 8.12 €bn 8.04 €bn Economic
Cash and debt FFO/Consolidated net 15% 24.4% 24.9% 25.2% Financial management financial debt
3 3 3 Safety in the FI ≤ 0.80 FI ≤ 0.78 FI ≤ 0.76 Safety 15% & & & ESG workplace FA4≤ 7 FA4≤ 7 FA4≤ 7
COVID 19 Remote management Average IT Average IT Average IT 15% ESG emergency of operations5 logins 80% logins 84% logins 88%
1. Management by objectives (MBO) 2020 2. (%) Weight in the variable remuneration 156 3. FI: Work-related accident Frequency Index 4. FA: Number of Fatal Accidents during 2020, except for road events 5. Average daily logins recorded during the period March-December 2020 to the ten main IT applications used within the Enel Group compared to the period January-February 2020 Long-term variable remuneration1
Macro objective Objective Type of target
Weight5 Target (130%)6 Over I (150%) Over II (280%)6 Enel’s TSR from Enel’s TSR from Enel’s TSR > Performance TSR2 50% 100% to 110% 110% to 115% 115% of TSR Market
Focus on Corporate GovernanceCorporateonFocus of TSR Index of TSR Index Index
Profitability ROACE3 25% 39.4% 40.0% 40.6% Financial
Renewable capacity Environmental 15% 59.7% 59.9% 60.0% ESG on total4
CO2 emissions ≤ 220 ≤ 215 ≤210 Environmental 10% 7 7 7 ESG reduction gCO2/KWheq gCO2/KWheq gCO2/KWheq
100%8 of the base amount is assigned in Enel shares, whose number is determined on the basis of the arithmetical mean of Enel’s daily VWAP in the three-month period preceding the beginning of the performance period
1. Long-Term Incentive (LTI) Plan 2020. Performance period: January 1, 2020 – December 31, 2022. 30% payment (if any) in the 4th year. 70% payment (if any) in the 5th year (deferred payment) 2. Average TSR Enel compared to average TSR EUROSTOXX Utilities Index-EMU, calculated in the three-month period preceding the beginning and the end of the performance period 157 3. Cumulative for the 3-year period 2020-2022 4. Renewable sources net consolidated installed capacity /Total net consolidated installed capacity at the end of 2022 5. (%) Weight in the variable remuneration 6. For the CEO/General manager. 100% at target and 180% at Over II for the other beneficiaries of the LTI Plan 2020 7. As at 2022 8. 50% for the other beneficiaries of the LTI Plan 2020 Enel group’s listed companies
70.1% 64.9%1 62.3%2 56.4% Focus on Corporate GovernanceCorporateonFocus
Chile Américas3 Russia
93.5% 99.1% 99.9% 100% 100%
Enel Gx Chile Enel Dx Chile Enel Argentina Enel Brasil Enel Perú 96.5%
92.6% 75.7% Enel Gx Piura 83.2% 83.6% Pehuenche Enel Gx Costanera Enel Dx Perú Enel Gx Perú
74.1% 99.7% Not listed companies 158 1. As of July 7, 2020 Enel Dx Ceará Enel Dx Rio 2. As of May 28, 2020 3. Enel Americas operates also in Colombia through not listed companies 2020-2022 Focus on Innovation & Cybersecurity Innovation
Plan actions 2020-2022 targets
10 innovation hubs ~83 partnerships 5 innovation labs1 Implementation in the
Focus on Innovation & Cybersecurity & InnovationonFocus business of 30 projects with startups
Promoting global Crowdsourcing 12 innovation partnership and upporting high-potential >400.000 solver communities startups
75 bootcamps to find startups with which collaborate
160 1. In total, Enel has developed 10 Innovation Hubs and 5 Innovation Labs dedicated to startups. The total number of Enel Group’s laboratories, including also the Labs not dedicated exclusively to startups, is 20. Cyber security
Plan actions 2020-2022 targets 2 mn Risky emails blocked1 (#) every day
Coverage of web 100% of internet web applications exposed to applications protected Focus on Innovation & Cybersecurity & InnovationonFocus internet with advanced Connections to dangerous 400K through advanced cyber security websites blocked1 (#) every day cyber security solutions application solutions
Web applications protected through 100% advanced cyber security solutions (%) total ytd Disseminating the information security 15 cyber security culture and changing knowledge sharing people’s behaviour in events per year order to reduce risks
161 1. Daily average from 01/07/2019 to 31/12/2019 Disclaimer
This presentation contains certain forward-looking statements that reflect the Company’s management’s current views with respect to future events and financial and operational performance of the Company and its subsidiaries. These forward-looking statements are based on Enel S.p.A.’s current expectations and projections about future events. Because these forward-looking statements are subject to risks and uncertainties, actual future results or performance may differ materially from those expressed in or implied by these statements due to any number of different factors, many of which are beyond the ability of Enel S.p.A. to control or estimate precisely, including changes in the regulatory environment, future market developments, fluctuations in the price and availability of fuel and other risks. You are cautioned not to place undue reliance on the forward-looking statements contained herein, which are made only as of the date of this presentation. Enel S.p.A. does not undertake any obligation to publicly release any updates or revisions to any forward-looking statements to reflect events or circumstances after the date of this presentation. The information contained in this presentation does not purport to be comprehensive and has not been independently verified by any independent third party. This presentation does not constitute a recommendation regarding the securities of the Company. This presentation does not contain an offer to sell or a solicitation of any offer to buy any securities issued by Enel S.p.A. or any of its subsidiaries.
Pursuant to art. 154-bis, paragraph 2, of the Italian Unified Financial Act of February 24, 1998, the executive in charge of preparing the corporate accounting documents at Enel, Alberto De Paoli, declares that the accounting information contained herein correspond to document results, books and accounting records.
162 Contact us
Contacts Email [email protected] Phone +39 06 8305 7975
Monica Girardi Channels Head of Group Investor Relations Website Mobile App Investor Relations team Enel.com Enel Investors Federico Baroncelli Francisco Basauri Serena Carioti Federica Dori Follow us Federica Pozzi Fabrizio Ragnacci Noemi Tomassi Emanuele Toppi