FY 2023 Results
April 2024
Contents
- FY 2023 Group Results Review
- Business Segments Review
- Outlook
IV. ESG Progress
- Appendix
- Construction Backlog Analysis
- Greek Electricity Market Performance
- Performance by Segment
- Debt breakdown by segment
- Greek Infrastructure Market Outlook
FY 2023 Group Key Financial Figures
Revenues | Adj. EBITDA |
3,499.2 | 585.5 |
-11.1%y-o-y | -11.5%y-o-y |
Net Earnings | Cash and |
attributed to parent shareholders exc. non- | Equivalent |
operating items(1) |
133.3 | 1,310.7 |
-23.6%y-o-y | FY22: 1,491.7 |
3
EBT
268.5
+10.3% y-o-y
Amounts in € m
(unless otherwise
stated)
Adj. Net Debt
1,605.6
FY 2022: 1,365.8
2.7x Leverage
FY 2022: 2.1x
BoD to propose Capital Return of € 0.25/sh for FY 2023 (+25% y-o-y)
1. Non operating items include at pre-tax level: a) FY23 loss of € 5.6 from valuation of embedded derivative in motorways concessions segment (vs.
FY 2023 Results | APRIL 2024
loss of € 76.3m in FY 2022); b) FY23 profit of € 20.5m from derivatives valuation in conventional energy segment (vs. loss of € 1.8m in FY22); c) FY 23 profit of € 4.0m from valuation of various participations (vs. profit of € 21.7m in FY22)
4
FY 2023 Highlights - Strategy & Operations (1/2)
We continue to consolidate our leading position the infrastructure and energy sectors, setting the foundations for continued long term growth and value creation
New major concession asset wins with total investment of >€ 5.0bn
- Provisional concessionaire for North Crete Motorway (Chania-Irakleio)
- Preferred bidder for Attiki Odos concession
Maturing portfolio
- Egnatia Motorway concession contract signed - Closing expected within 2H24
- Kasteli airport construction to reach 50% by the end of the year
- Ellinikon IRC has entered its construction phase
- Successful ramp-up of construction activity to new record high revenues
- Komotini CCGT (JV with Motor Oil) entering trial operation soon
- Heron market share in electricity supply increases >10%
- Kafireas (the largest wind park in Greece 327MW) enters operation on time and on budget
- >600 MW of new capacity to be commissioned in 2024-25
Enhancing balance sheet capacity
- Placement of 6m treasury shares for € 80m
- Agreement for the lease of Heron I OCGT
- Increased debt capacity at Parent Co. level following bondholders approval
FY 2023 Results | APRIL 2024
5
FY 2023 Highlights - Financials (2/2)
Solid operating profitability driven by growth in concessions and construction - normalization in conventional energy as expected
GEK TERNA
Group
- Group Revenues, adj. EBITDA and net earnings decline in FY 2023
- Adj. EBITDA € 585.5m (-11.5%y-o-y)
- Adj.EBITDA excluding Conventional Energy increased by 39% y-o-y
- Net Profit attributable to shareholders exc. Non-operating items € 133.3m (-23.6%y-o-y)
- Net operating CF € 235.1m
- Solid financial position and liquidity to support upcoming investments
- Cash € 1.31bn - Parent Co. net debt at € 317m - Group Net debt/adj.EBITDA at 2.7x
- Construction: Strong performance with revenues exceeding € 1.4bn (+38% y-o-y) - Backlog at € 5.3bn
- Concessions: Higher revenues and earnings driven by traffic growth (+9.1% y-o-y) and commencement of operations of new waste management project
- RES: Profitability growth on the back of new capacity commissioning - Installed capacity Dec'23 1.2GW (vs. 0.9GW in Dec'22)
- Thermal Energy Generation, Supply and Trading: Healthy profitability safeguarded by vertical integration and market share gains
FY 2023 Results | APRIL 2024
6
Group Revenues and adj.EBITDA causal track
Adj.EBITDA excluding Conventional Energy increased by 39% y-o-y driven by strong performance in infrastructure (concessions and construction)
Group Revenues (€ m)
3,938.3 | 25.5 | 389.1 | 13.7 | 950.1 | |||
82.7 | 3,499.2 | ||||||
1,144.2 | +12.6% y-o-y | +38.0% y-o-y | +5.8% y-o-y | -35.7%y-o-y | |||
Group RevenuesRevenues FY | Revenues FY | Concessions | Construction | RES | Conventional | Other | Revenues FY |
and adj. EBITDA | 2022 | Energy | 2023 | ||||
2021 |
Group adj. EBITDA (€ m)
53.1 | 56.0 | 10.3 | 203.7 | ||||
661.8 | |||||||
8.0 | 585.5 | ||||||
323.5 | |||||||
+47.5% y-o-y | +69.5% y-o-y | +6.4% y-o-y | -60.7%y-o-y | ||||
adj.EBITDA FY | adj.EBITDA FY | Concessions | Construction | RES | Conventional | Other | adj. EBITDA FY |
2021 | 2022 | Energy | 2023 |
FY 2023 Results | APRIL 2024
7 | ||||||
Contribution per segment | ||||||
Revenues | FY 2022 | FY 2023 | y-o-y | % of total (FY 2023) (1) | ||
€ m | ||||||
Construction | 1,024.2 | 1,413.3 | 38.0% | 38.9% | ||
RES | 236.2 | 249.9 | 5.8% | 6.9% | ||
Concessions | 202.0 | 227.5 | 12.6% | 6.3% | ||
Conventional Energy Generation, Supply & Trading | 2,661.1 | 1,711.0 | -35.7% | 47.1% | ||
HQ and Other | 25.4 | 29.0 | 6.4% | 0.8% | ||
Eliminations | (210.6) | (131.6) | n.m. | |||
Group total | 3,938.3 | 3,499.2 | -11.1% | 100.0% | ||
adj. EBITDA | FY 2022 | FY 2023 | y-o-y | % of total (FY 2023) (1) | ||
€ m | ||||||
Construction | 80.6 | 136.6 | 69.4% | 22.6% | ||
RES | 161.1 | 171.4 | 6.4% | 28.4% | ||
Concessions | 111.7 | 164.8 | 47.5% | 27.3% | ||
Conventional Energy Generation, Supply & Trading | 335.5 | 131.8 | -60.7% | 21.8% | ||
HQ and Other | (12.2) | (11.6) | n.m. | |||
Eliminations | (15.0) | (7.5) | n.m. | |||
Group total | 661.8 | 585.5 | -11.5% | 100.0% | ||
FY 2023 Results | APRIL 2024
1. Including only positive contributors
8
Consolidated Income Statement
€ m | FY 2022 | FY 2023 | y-o-y |
Revenues | 3,938.3 | 3,499.2 | -11.1% |
adj. EBITDA | 661.8 | 585.5 | -11.5% |
Non-cash items(1) | 117.3 | 50.9 | |
EBITDA | 544.5 | 534.5 | -1.8% |
Net depreciation | 128.7 | 141.3 | |
EBIT | 415.8 | 393.2 | -5.4% |
Net financial expenses | (116.3) | (126.7) | 8.9% |
Gains / (Losses) from financial instruments | (76.3) | 16.3 | |
Other Income/Expenses | 20.1 | (14.4) | |
Earnings/(Losses) before taxes | 243.3 | 268.5 | 10.3% |
Income tax | (66.0) | (81.1) | |
Net Earnings/(Losses) after taxes | 177.3 | 187.3 | 5.7% |
Minorities | (40.8) | (39.5) | |
Net Earnings/(Losses) Attributed to shareholders of the | 136.5 | 147.8 | 8.3% |
parent | |||
Net Earnings/(Losses) Attributed to shareholders of the | 174.4 | 133.3 | -23.6% |
parent exc. Non operating items(2) | |||
EPS exc. Non operating items(2) | 1.82 | 1.42 |
- Revenues decline on the back of lower contribution from Conventional Energy vis-a-vie lower energy prices
- Operating profitability supported by growth in infrastructure (Concessions and Construction) as well as RES, mitigating the normalisation in Conventional Energy
- Financial expenses move in line prevailing rates environment - Active cash management and debt profile (i.e. hedges) mitigate impact
- Gains/(Losses) from financial instruments
- Profits from nat. gas portfolio
- Embedded derivative (E65 motorway) loss of € 5.6m in FY23 vs. loss of € 76.3m in FY22
- Other income in FY22 inc. capital gains due to Heron Energy minorities acquisition
- Non-cashitems include among others: FY23 € 40.6m heavy maintenance provision in concessions (vs. € 25.9m in FY22), € 14.6m provision for bad debt mainly for Energy Supply (€ 39.6m in FY22), loss of € 2.3m from stock option plans (vs. loss of € 50.7m in FY22) € 7.6m profit from real estate assets valuation (vs. loss of € 0.4m in FY22), € 1.3m provisions for employee's compensation (€ 1.3m in FY22)
- Non operating items include at pre-tax level: a) FY23 loss of € 5.6 from valuation of embedded derivative in motorways concessions segment (vs. loss of € FY 2023 Results | APRIL 2024 76.3m in FY 2022); b) FY23 profit of € 20.5m from derivatives valuation in conventional energy segment (vs. loss of € 1.8m in FY22); c) FY 23 profit of € 4.0m
from valuation of various participations (vs. profit of € 21.7m in FY22)
9
Cash Flow
Strong Operating CF generation despite reduced profitability and higher cash taxes - Parent Co. Cash Flows from Investments (mainly cash upstreams from projects/subsidiaries) reach € 201m in 2023
Group Cash Flow (€ m)
585 224
126
1,492
Net Operating CF
FY 2023: 235.1m
FY 2022: 244.0m
238 | |||||
54 | 155 | 49 | 13 | 42 | 1,310 |
Investing CF | Financing CF |
FY 2023: (184.1m) | FY 2023: (232.4m) |
FY 2022: (291.5m) | FY 2022: 173m |
Cash and | adj.EBITDA Net WC and | Taxes | Capex | Other | Financial | Buy-back and Net change in | Other | Cash and | |
Equivalent FY | Other | Investing | expenses | dividends | loans | Financing and Equivalent FY | |||
2022 | FX | 2023 |
Parent Co. Cash Flow Statement | FY 2022 | FY 2023 |
Operating Cash Flow | (22.6) | 0.9 |
Investing Cash Flow | 127.0 | 201.2 |
Financing Cash Flow | (103.0) | (179.3) |
FY 2023 Results | APRIL 2024
Debt highlights: Leverage KPIs
Group Net Debt (1) (€ m)
Net Debt/ | 5.0x | 3.4x | 2.1x | 2.7x |
adj.EBITDA | ||||
1,606
1,366
1,214
1,107
FY 2020 | FY 2021 | FY 2022 | FY 2023 |
Parent Co. Cash position & Net Debt (2) (€ m
558 | 559 | 581 |
10
Group Cash and Equivalent (€ m)
1,492 | |
1,364 | 1,311 |
1,108
FY 2020 | FY 2021 | FY 2022 | FY 2023 |
Parent Co. Debt / Equity (x)
330 | 330 | 317 |
FY 2021 | FY 2022 | FY 2023 | ||
Cash and equivalent | Net Debt | |||
2.5 | ||
2.0 | 2.1 | |
FY 2021 | FY 2022 | FY 2023 |
FY 2023 Results | APRIL 2024
- Inc. restricted deposits of € 146m in FY 2023, € 139.0m in FY 2022
- Parent Co. Cash do not include restricted deposits of € 25.5m, Net debt inc. restricted deposits of € 25.5m
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GEK Terna Holding Real Estate Construction SA published this content on 29 April 2024 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 29 April 2024 16:50:09 UTC.