Webcast 1 q12 en gx
- 1. OPERATING AND FINANCIAL RESULTS 1Q12
- 2. Agenda ► Introduction ► Highlights ► Operating Results ► Financial Results ► Updates on Geramar and Vila Velha 2
- 3. Agenda ► Introduction ► Highlights ► Operating Results ► Financial Results ► Updates on Geramar and Vila Velha 3
- 4. Introduction Presentation of Operating and Financial Information ► The financial information contained herein is presented in consolidated figures, pursuant to Brazilian Corporate Law, based on revised financial information. The consolidated financial information represents: i) 100% of CEMAR’s results, excluding 34.89% related to minority interests, ii) 25% of Geramar’s results and iii) 100% of Equatorial Soluções’ results, which in turn consolidated 100% of Sol Energias’ results, excluding 49% of minority interest before Net Income. ► The operating information presented herein consolidates 100% of CEMAR’s results and 25% of Geramar’s results. ► The following information was not reviewed by the independent auditors: i) non-financial information relating to CEMAR, Light and the PLPT (Programa Luz para Todos - Light for All Program); ii) pro forma information and its comparison with the results presented in the period; and iii) management expectations regarding the future performance of the Companies. 4
- 5. Agenda ► Introduction ► Highlights ► Operating Results ► Financial Results ► Updates on Geramar and Vila Velha 5
- 6. Operating Highlights ► CEMAR’s billed energy volume totaled 1,119 GWh in 1Q12, 12.2% more than in 1Q11. ► CEMAR’s last-12-month energy losses totaled 20.7% of required energy in 1Q12, 0.9 p.p. less than the 1Q11 ratio. ► CEMAR’s last-12-month DEC and FEC indices came to 23.7 hours and 12.1 times, respectively, in 1Q12, 14.9% and 3.3% up on the 1Q11 figures. ► In 1Q12, we concluded the acquisition of 50% of Vila Velha Termoelétricas Ltda., pre-operational company, responsible for the construction and management of thermal plants in Espírito Santo. 6
- 7. Financial Highlights ► Net operating revenues (NOR) totaled R$545.8 million in 1Q12, 32.1% up on 1Q11, reflecting a 30.5% increase by CEMAR. ► 1Q12 EBITDA came to R$132.5 million, 17.9% higher than the amount reported in 1Q11. ► Net income totaled R$48.1 million in the quarter, 40.9% down on the adjusted amount reported in the same period last year. ► Equatorial’s consolidated investments amounted to R$118.5 million in 1Q12, 47.4% up year-on-year. In CEMAR (excluding direct investments in the Light For All Program), total capex amounted to R$73.8 million, 73.3% growth. Light For All Program investments totaled R$44.5 million. ► From January to April, 2012, Geramar has contracted R$246.5 million in long term loans, being R$163.0 million from FDA/BASA, and R$83.5 million from BNB. 7
- 8. Agenda ► Introduction ► Highlights ► Operating Results ► Financial Results ► Updates on Geramar and Vila Velha 8
- 9. CEMAR – Electricity Sales Volume ► CEMAR: 1Q12 energy sales moved up by 12.2%, reaching 1,119 GWh. Electricity Consumption per Segment (GWh) CONSUMPTION SEGMENTS * (GWh) 1Q11 4Q11 1Q12 Chg. Residential 467.7 550.0 529.1 13.1% Industrial 102.1 110.5 112.6 10.3% Commercial 198.1 233.8 223.8 12.9% Other 229.7 266.6 254.0 10.6% TOTAL 997.6 1,160.8 1,119.5 12.2% (*) Do es no t co nsider o wn co nsumptio n and sales to CEP ISA . Energy Balance (GWh) ENERGY BALANCE (GWh) 1Q11 4Q11 1Q12 Chg. Required Energy 1,258 1,491 1,395 10.9% Sold Energy (*) 999 1,161 1,120 12.1% Losses 259 330 275 6.2% (*) Considers sale to the segments, own consumption and sales to CEPISA 9
- 10. Distribution – Energy Losses in CEMAR Total Losses over Required Energy (last 12 months) 28.7% 28.9% 28.6% 28.9% 28.5% 28.1% 28.1% 26.4% 25.2% 24.2% 23.1% 22.2% 22.2% 22.0% 21.6% 21.4% 21.2% 21.0% 20.7% 4Q07 1Q08 2Q08 3Q08 4Q08 1Q09 2Q09 3Q09 4Q09 1Q10 2Q10 3Q10 4Q10 1Q11 2Q11 3Q11 4Q11 1Q12 Regulatory Target Total Losses (from Aug-11 until Jul-12) Non-technical Losses over Low-Voltage Market (last 12 months) 30.4% 30.6% 29.9% 30.0% 29.0% 28.7% 27.3% 23.7% 21.5% 19.5% 18.9% 15.7% 15.9% 15.7% 15.2% 15.4% 15.3% 15.3% 15.2% 4Q07 1Q08 2Q08 3Q08 4Q08 1Q09 2Q09 3Q09 4Q09 1Q10 2Q10 3Q10 4Q10 1Q11 2Q11 3Q11 4Q11 1Q12 Regulatory Target Non-technical Losses (from Aug-11 until Jul-12) 10
- 11. Distribution – DEC and FEC (Last 12 months) ► CEMAR: In 1Q12, the DEC and FEC rates increased respectively 14.9% and 3.3% over the same quarter last year. DEC (hours) FEC (times) 23.7 12.1 14.9% 11.7 3.3% 20.6 1Q11 1Q12 1Q11 1Q12 11
- 12. Agenda ► Introduction ► Highlights ► Operating Results ► Financial Results ► Updates on Geramar and Vila Velha 12
- 13. Quaterly Results ► In 1Q12, EBITDA totaled R$132.5 million, up 17.9% over the amount recorded in 1Q11. ► Net Income for the quarter was R$48.1 million, an increase of 40.9% compared to the same amount of the previous year. EBITDA Net Income 17.9% 132.5 112.3 40.9% 48.1 34.1 1Q11 1Q12 1Q11 1Q12 13
- 14. Debt: Schedule of Gross Debt Maturities Consolidated Gross Debt (100% CEMAR + 25% Geramar) 16.7 Geramar 108.2 382.1 - 169.1 - 162.7 1,271.3 - 155.5 - CEMAR 104.5 91.5 297.5 Gross Debt Short Term 2013 2014 2015 2016 After 2016 14
- 15. Net Debt - Consolidated 100% CEMAR + 25% Geramar Net Debt (R$MM)(*) and Net Debt/ EBITDA Net Debt Reconciliation (R$MM) (Last 12 months) 2.1 2.0 2.0 2.0 1.5 18.7 994.2 1,082.6 974.6 1,002.4 278.2 752.8 1,379.6 1,082.6 1Q11 2Q11 3Q11 4Q11 1Q12 Gross Debt Net Cash Net Debt Regulatory Asset 15
- 16. Net Debt – Pro-rata 65.11% CEMAR + 25% Geramar Net Debt (R$MM) and Net Debt/ EBITDA Net Debt Reconciliation (R$MM) (Last 12 months) 2.1 2.0 2.0 2.1 1.5 674.7 735.0 12.2 661.5 681.7 188.8 494.4 936.0 735.0 1Q11 2Q11 3Q11 4Q11 1Q12 Gross Debt Net Cash Net Debt Regulatory Asset 16
- 17. Capex - Equatorial ► CEMAR: In the 1Q12, total capex reached R$118.4 million, of which R$73.8 million are own capex and R$44.5 million regarding the Light for All Program (PLPT). ► Ever since the conclusion of the construction of its plants in 1Q10, Geramar has only maintenance capex. INVESTMENTS (R$MM) 1Q11 4Q11 1Q12 Chg. CEMAR Own (*) 42.6 141.3 73.8 73.3% Light For All Program 37.7 50.1 44.5 18.2% Total 80.3 191.4 118.4 47.5% Geramar Generation 0.2 0.1 0.2 2.2% TOTAL 80.4 191.5 118.5 47.4% (*) Including indirect Light For All Program investments 17
- 18. Agenda ► Introduction ► Highlights ► Operating Results ► Financial Results ► Updates on Geramar and Vila Velha 18
- 19. Vila Velha / Geramar ► UTE Vila Velha: In 1Q12, we concluded the acquisition of 50% of Vila Velha Termoelétricas Ltda., pre-operational company, responsible for the construction and management of thermal plants in Espírito Santo. ► Geramar: From January to April, 2012, Geramar has contracted R$246.5 million in long term loans, being R$163.0 million from FDA/BASA, and R$83.5 million from BNB.
- 20. Contacts Eduardo Haiama CFO and IRO Thomas Newlands Investor Relations Telephone 1: +0 55 (21) 3206-6635 Telephone 2: +0 55 (21) 3217-6607 Email: ir@equatorialenergia.com.br Website: http://www.equatorialenergia.com.br/ir 20
- 21. Disclaimer • This presentation may contain forward-looking statements, which are subject to risks and uncertainties, as they were based on the expectations of Company’s management and on available information. These prospects include statements concerning the Company’s current intentions or expectations for our clients; this presentation will also be available at our website www.equatorialenergia.com.br/ir and in the IPE system of the Brazilian Securities and Exchange Commission (CVM). • Forward-looking statements refer to future events which may or may not occur. Our future financial situation, operating results, market share and competitive positioning may differ substantially from those expressed or suggested by said forward-looking statements. Many factors and values that can establish these results are outside Company’s control or expectation. The reader/investor is advised not to completely rely on the information above. • The words “believe", “can", “predict", “estimate", “continue", “anticipate", “intend", “forecast" and similar words, are intended to identify estimates, which refer only to the date on which they were expressed. Hence, the Company has no obligation to update said statements. • This presentation does not constitute any offering, invitation or request of subscription offer or purchase of any marketable securities. And, this statement or any other information herein, does not constitute the basis for any contract or commitment of any kind. 21