Scatec : Investor presentation May 2024

Investor presentation

May 2024

Disclaimer

The following presentation is being made only to, and is only directed at, persons to whom such presentation

may lawfully be communicated ('relevant persons'). Any person who is not a relevant person should not rely, act or make assessment on the basis of this presentation or anything included therein.

The following presentation may include information related to investments made and key commercial terms thereof, including future returns. Such information cannot be relied upon as a guide to the future performance of such investments. The release, publication or distribution of this presentation in certain jurisdictions may be restricted by law, and therefore persons in such jurisdictions into which this presentation is released, published or distributed should inform themselves about, and observe, such restrictions. This presentation does not constitute an offering of securities or otherwise constitute an invitation or inducement to any person to underwrite, subscribe for or otherwise acquire securities in Scatec ASA or any company within the Scatec Group. This presentation contains statements regarding the future in connection with the Scatec Group's growth initiatives, profit figures, outlook, strategies and objectives as well as forward looking statements and any such information or forward-looking statements regarding the future and/or the Scatec Group's expectations are subject to inherent risks and uncertainties, and many factors can lead to actual profits and developments deviating substantially from what has been expressed or implied in such statements.

Alternative performance measures (APM) used in this presentation are described and presented in the first quarter 2024 report for the group.

2

Key investment highlights

Leading renewable power producer with 4.6 GW in operation and under construction

Strong predictable cash flow from long-term PPAs

Solid returns from several revenue streams

Self-funded growth plan with solid track record

High ESG standards across all operating activities

3

Scatec delivers renewable energy in emerging markets

Production capacity1 (GW)

100 % basis

31%

4.6

67%

Proportionate to Scatec

22%

	2.3
	76%
Solar			Wind
Hydro			Battery storage2

4 1) In operation and under construction

2) 225 MW/1,140 MWh of battery storage is additionally in operation related to the Kenhardt project in South Africa

Note: Scatec's focus markets: Brazil, South Africa, Philippines, Egypt, India, Poland & Hydro Africa.

Plants in operation Plants under construction

Our strategy

Develop, build, own and operate renewable energy in emerging markets

Grow

Renewables

Optimise Portfolio

500-750

H2

million NOK annually in gross equity investments towards 2027

Focus on PV, wind and BESS due to attractive fundamentals

Selective growth within green H2 in Egypt and hydro through partnerships

More capital recycling to self-fund growth and consolidate the portfolio

Capital discipline and deleverage at corporate level, positioning for future opportunities

5

Our strategy is built on our core strengths

Emerging markets focus and track record

Proven integrated business model

Multi-technology approach

Partnerships

Leading in ESG

6

A fully integrated business model

Enhances success rate and value creation

	Structuring & Finance	Operations	Portfolio optimisation
Development	Construction		Ownership

7

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• Proven approach with a solid track record
• Strong value creation from multiple sources
• Efficient execution through operational- and financial control
• Risk management throughout the project lifecycle

Capturing full project value with several sources of revenue

Equity IRR build up

		Hurdle rate
		1.2x CoE
Cost of	20% uplift	Power	D&C	Service	Integrated Refinancing	Asset	Lifecycle
Equity		production	margin	margin	IRR	rotation	IRR
		IRR

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Attractive returns

• 1.2x CoE from Power Production
• 8-10% gross D&C margin
• 25-30% Services EBITDA margin
• Added value from refinancing and asset rotation

Market focus driving value creation, predictability and competitiveness

Poland

EgyptIndia

Philippines

Brazil

Hydro

Africa*

South Africa

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9 *Hydro Africa has operations in Uganda and pipeline projects in Malawi, Rwanda/DRC/Burundi

Key criteria for focus markets

• Large and growing power demand
• Energy transition agenda
• Stable regulatory environment
• Strong conditions for renewables

Strong and predictable cash flow from operating assets

- Supported by inflation protection and interest hedges1

Power production EBITDA2, NOK million

3,500					3,334	3,497
		3,024	2,909
3,000
2,500
2,000		1,486
1,500
1,040
1,000
500
0
2019	2020	2021	2022	2023	Q1'24 LTM

Sale of Upington & Mocuba

Power production, GWh

4,000			3,823	3,898	3,615	3,632
3,000
2,000		1,602
1,000	926
0
2019	2020	2021	2022	2023	Q1'24 LTM

2024 EBITDA outlook

NOK 3,750-4,050million

EBITDA, Q1'24 LTM per country3

20% 16%

11%16%

7%

9%	11%
10%
Philippines		Malaysia		Ukraine
South Africa		Egypt		Other
Uganda		Laos

10 1)

80% of project debt with interest hedges and 90% of Power Production EBITDA is either in USD/EUR, have partial or full inflation protection through local CPI adjustments, or is based on sales in the local power market (Philippines).

1. Restated based on new reporting structure effective as on 1 January 2024
2. Excluding gain on sale of Upington & Mocuba