october 2020 - engie · source : eikon reuters ⚫ isin code : fr0010208488 ⚫ mnemonic code :...

October 2020

- Our purpose (Raison d'être)

- Focus on 3 key CSR Objectives

- Leading position in CSR ratings and indexes

- Medium-term strategic orientations

- H1 Key financial figures

- Covid-19 impact by business line

- 2020 Outlook

- Stock reporting

- Consensus

- Bonus dividend

- Agenda

- Contact us

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- A leader in energy and climate transition

- Client Solutions

- Infrastructures

- Renewables

- Thermal

- Nuclear

- Supply

- A global presence

PURPOSE

& STRATEGY

AT A GLANCE

2020 HALF-YEAR

RESULTS

ENGIE AND YOU

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AT A GLANCE

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INFRASTRUCTURES

• Gas and electricity transmission, gas distribution, gas storage, regasification, through subsidiaries

THERMAL

• Centralised energy generation from thermal assets

CLIENT SOLUTIONS

• Service provision activities (design, engineering, works, installation, maintenance and facility management) and asset management activities (heating and cooling networks, dedicated energy production assets)

NUCLEAR

• Centralised energy generation from nuclear assets

RENEWABLES

• Centralised renewable energy generation

SUPPLY

• Supply of gas and electricity to business and retail customers and related services

employees

Service provision activities (projects, recurring services, asset-based)

POSITIONS AND KEY FIGURES(2)

#1 in France, Belgium, Italy, Netherlands

#1 cooling network operator in the world

#2 supplier of charging stations for electric vehicles in the world

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1,090

5,726

COI(1) 2019 - In €M

(1) Current Operating Income(2) As of June 30, 2020. Capacity at 100%

14 GWof installed capacity

Heating and cooling networks

1.8 GWof installed capacity

On-site power generation

Gas and electricity transmission, gas distribution, gas storage, regasification, through subsidiaries


~39,300 km

Transmission networks

~252,000 km

Distribution networks

#2 natural gas transmission network in Europe, through independent subsidiaries

#1 natural gas distribution network in Europe, through independent subsidiaries

#1 natural gas storage capacity in Europe

#2 terminal operator in Europe

2,327

5,726

COI(1) 2019 - In €M

(1) Current Operating Income(2) As of June 30, 2020

12.2 Gm3of net capacity in Europe

Storage

21.25 Gm3/year

Regasification capacity

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Centralised renewable energy generation


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+ 3.0 GW

Commissioned in 2019

+ 4 GW/year

Medium-term objective

Geïnstalleerde capaciteiten

#1 onshore wind and solar in France

#2 hydroelectric producer in France

#1 micro-grids in the world

1,190

5,726

COI(1) 2019 - In €M


27.5 GWinstalled

9%1%

31%

59%

Hydro

Wind

Other renewables

Solar

~ 28% of Group

generation capacity

Centralised energy generation from thermal assets


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Reduced to 4%of total installed capacity Vs 15% at the end of 2015

Coal

Aardgas

~63 GW of installed thermal capacity

⚫ ~53 GW of natural gas capacity

⚫ Major presence in the Middle East (~30 GW)

1,260

5,726

COI(1) 2019 - In €M


Centralised energy generation from nuclear assets


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Inbedrijfstellingen 2019

~6 GWin Belgium

Installed capacity

79%in 2019 Vs 52% in 2018

Availability (%)

#1 nuclear power producer in Belgium

(314)

5,726

COI(1) 2019 - In €M


Supply gas and electricity to business and retail customers and related services


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~25 M

B2C contracts

Residentiële klanten

#1 supplier of natural gas in France

#1 supplier of electricity in Belgium

345

5,726

COI(1) 2019 - In €M

(1) Current Operating Income(2) As of June 30, 2020.

EUROPE

45.7

LATIN

AMERICA

4.8

ASIA/MIDDLE-EAST &

OCEANIA

3.9

AFRICA

0.4

NORTH

AMERICA

5.3

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€60.1 bn

2019

Revenues breakdown-by area

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PURPOSE & STRATEGY

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Approval rate of 99% by shareholders

ENGIE beloont aandeelhoudersloyaliteit

+10%premie op het dividend voor uw aandelen op naam

(zuiver of in beheer) gedurende 2 onafgebroken jaren

Ga voor meer informatie naar www.engie.com of bel 0800 30 00 30

ENGIE’s purpose (“raison d’être”) is to act to accelerate the transition

towards a carbon-neutral economy, through reduced energy

consumption and more environmentally-friendly solutions.

The purpose brings together the company, its employees, its clients

and its shareholders, and reconciles economic performance with a

positive impact on people and the planet. ENGIE’s actions are assessed

in their entirety and over time.

https://www.engie.com/actionnaires/dividende/dividende-majorehttps:/www.engie.com/actionnaires/dividende/dividende-majore

GHG emissions Gender diversity Renewables

Share of women in the management of the

group(3)Share of renewables (4) in the electric

capacity mix, in line with the SBT(2)

trajectory

GHG(1) emissions from power production, in

line with the SBT (2) trajectory

149 Mt

80 Mt

43 Mt

2016 2019 2030

23% 24%

50%

2016 2019 2030

20%28%

58%

2016 2019 2030

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Carbon reducing solutions for our customers

(1) GreenHouse Gases(2) Science based targets(3) ~40,000 people as of 12/31/2018(4) Capacity in GW at 100%

ENGIE listed in the main indexes

DJSI World, DJSI Europe, Industry Leader Euronext Vigeo Eiris World 120, Europe 120, Eurozone 120 and France 20

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Secteur CDP (EDF, EON, RWE, ENEL, IBERDROLA, ENGIE)

2019 2019 2019 Klimaat 2019 Water 2019

82

48

7573

66

55 A

BBB

A

A-

BB 68

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2019

ENGIE

Sector average

⚫ 4GW average/year of renewables

commissioned Vs 3 GW today

⚫ Development of green gases :⚫ biogas ⚫ hydrogen

⚫ Acceleration in decentralized

infrastructures : ⚫ Urban district heating and cooling

networks⚫ On-site power generation

⚫ Rebalance exposure between French and international networks

⚫ Conduct a strategic review of

activities representing 2/3 of Client

Solutions revenues

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⚫ Divestment in non-core businesses and

minority stakes

⚫ Divestment program previously

communicated of ~ €4 bn to potentially

more than double

ACCELERATION OF INVESTMENTS

IN RENEWABLES AND

INFRASTRUCTURES ASSETS

STRATEGIC REVIEW OF CLIENTS

SOLUTIONS ACTIVITIES

SIGNIFICANT ENHANCEMENT OF

THE DIVESTMENT PROGRAM

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H1 RESULTS 2020

H1 RESULTS – In €bn Actual∆

Gross(1)∆

Organic(1)

EBITDA 4.5 -16% -14%

Current Operating Income 2.2 -31% -29%

Net recurring Income,

Group Share0.7 -50% -52%

Net Income Group Share 0.0 -2.1

CFFO(2) 3.0 +0.3 -

Capex(3) 3.0 -2.5

Financial net debt 25.1 -0.8(4) -

(1) Vs H1 2019. Unaudited 2019 figures adjusted for revised definition of COI(2) Cash Flow From Operations = free cash flow before maintenance capex(3) Net of DBSO and tax equity proceeds(4) Vs Dec. 2019

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Robust operational but

significant impacts of Covid-

19 and temperature effects,

mainly in Q2

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(1) These estimates have been prepared in accordance with a standard guidance applied across our businesses under a dedicated oversight process (losses of revenues being inherently subject to more judgement than the identification of specific costs incurred). These estimates relate to operating items only and are presented net of savings and mitigating management action plans. By construction, these estimates exclude foreign exchange and commodity price effects incurred in our various businesses, whether positive

or negative.(2) These temperature effects are only given for Supply and Networks (gas distribution) in France and follow the methodology validated by auditors.(3) GEM (Global energy management): management and optimization of the Group's gas and power assets

COI

H1

2019

COI

H1

2020

RenewablesNetworks

Client

SolutionsNuclear

GEM (3),

Corporate

& others

Thermal

Supply

Scope/

Fx

Of which estimated Covid-19 impact ~- €850M (1)

and -€195M temperature effect in France(2)

-€852M organic

3,135

(115)

2,169

(574)

(153) +44(3) +109

(330) +54

[€M]

In €bn 2020 Outlook(1) 2019 Results

EBITDA 9.0-9.2 10.4

Current Operating Income 4.2-4.4 5.7

Net recurring Income,

Group Share1.7-1.9 2.7(2)

Net Income Group Share - 1.0

Economic net debt/Ebitda > 4.0x 4.0x

Capex 7.5-8.0(3) 10

(1) Main assumptions: average weather in France, full pass through of supply costs in French regulated gas tariffs, no major regulatory or macro-economic changes, no change in Group accounting policies, market commodity prices as of 06/30/2020, average forex for 2020: €/$: 1.11; €/BRL: 5.79, no significant impacts from disposals not already announced, continued / gradual return from lockdowns across key geographies with no new major lockdowns in key regions

(2) Net recurring Income group share from continuous operations(3) Net of DBSO and tax equity proceeds

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Dividend policy reaffirmed

65-75% payout ratio based on Net Recurring Income,Group Share

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ENGIE AND YOU

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Source : Eikon Reuters

⚫ ISIN code : FR0010208488

⚫ Mnemonic code : ENGI

⚫ Market capitalization as of 10/28/20 : ~ € 26bn

⚫ Average volume in 2020 : ~7,6M

CAC 40 -24%

BEL 20 -23%

ENGIE -27%60

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12/31/2019 1/31/2020 2/29/2020 3/31/2020 4/30/2020 5/31/2020 6/30/2020 7/31/2020 8/31/2020 9/30/2020

2020 share performanceAs of 10/28/2020

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The following is a consensus consisting of independent analyst forecasts, compiled by the issuer that

does not issue any opinion on it.

Disclaimer

The data presented set out a summary of the recommendations, target prices

and financial estimates from the financial analysts* that, to the knowledge of

ENGIE, cover ENGIE shares and issue dedicated reports from which are

extracted such data. Reference to these data serves only for reader information

and is non-binding. These data may not be regarded as a solicitation or an offer

to buy or to sell ENGIE shares. These data have been established by financial

analysts* under their own responsibility and do not reflect the opinion of ENGIE.

ENGIE does not issue any opinion and does not give any warranty as to the

accuracy and quality of these data which come from financial analysts*. No

warranty is given as to their completeness and ENGIE does not commit to

update them.

* Bank of America (« restricted »), Barclays, Berenberg, Bernstein, Bryan

Garnier, Caixa Bank, Citi (« restricted »), Crédit Suisse (« restricted »),

Deutsche Bank (« restricted »), Exane BNP Paribas, Goldman Sachs, HSBC

(« restricted », JP Morgan (« restricted »), Kepler Cheuvreux, Morgan Stanley

(« restricted »), Oddo, Santander, Société Générale, UBS92%

8%

0%

Analysts recommandations(Average target price of €14.40)

Buy (11) analists

Neutral (1)

Sell (0)

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ENGIE beloont aandeelhoudersloyaliteit

+10%premie op het dividend voor uw aandelen op naam

(zuiver of in beheer) gedurende 2 onafgebroken jaren

Ga voor meer informatie naar www.engie.com of bel 0800 30 00 30

ENGIE rewards the sharehoders’ loyalty

bonus dividend for all shareholders who registered shares

(directly or indirectly for at least 2 continuous years

For more information click here

Register your shares prior to December 31, 2020 to benefit in 2023 from the bonus dividend related to

2022.

https://www.engie.com/actionnaires/dividende/dividende-majorehttps:/www.engie.com/actionnaires/dividende/dividende-majorehttps://www.engie.com/en/shareholders/dividend/bonus-dividend

November 13, 2020

3rd quarter results

November 14, 2020Finance avenue (Online)

February 26, 2021

2020 annual results

May 20, 2021Annual General Meeting

November 2020Investir Day Tradeshow (online)

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April 2019 26ENGIE 2019

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SHAREHOLDER RELATIONS DEPARTMENT

0800 30 00 30 (from France)

0800 25 125 (from Belgium)

[email protected]

https://www.engie.com/espace-finance
mailto:[email protected]://www.engie.com/espace-finance

october 2020 - engie · source : eikon reuters ⚫ isin code : fr0010208488 ⚫ mnemonic code :...

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