FOURTH QUARTER 213 RESULTS 12 MARCH 214 LUCA BETTONTE, CEO
DISCLAIMER This document contains certain forward-looking information that is subject to a number of factors that may influence the accuracy of the statements and the projections upon which the statements are based. There can be non assurance that the projections or forecasts will ultimately prove to be accurate; accordingly, the Company makes no representation or warranty as to the accuracy of such information or the likelihood that the Company will perform as projected. 2
AGENDA 4Q 213 Highlights Key Figures 213 main Achievements Results Review Business Environment 4Q 213 Group EBITDA Results by Segments Key Financials Profit & Loss Investments Cash Flow Statement 214 Guidance and Conclusions Appendix 3
HIGHLIGHTS: KEY FIGURES 458 RC Ebitda Adj ( mn) 569 358 RC Net Profit ( mn) 38 POWER & GAS 328 RENEWABLES REFINING & MARKETING CORPORATE 137 21 (28) 212 245 (5) (3) 213 128 132 89 83 37 1 (9) 4Q 212 (2) 59 (7) 4Q 213 12 212 213 1 4Q 212 3 4Q 213 1,15 722 638 27% 84 31/12/212 868 34% 147 31/12/213 (1) ADJ. NFP EXCL. DERIVATIVES DERIVATIVES Leverage A year of strong growth (1) Adjusted Net Financial Position does not include NFP of ISAB Srl Highlights 4
213 MAIN ACHIEVEMENTS February Acquisition of IP Maestrale wind assets (636MW) June M&A deal for wind assets in Romania (7MW) and Bulgaria (14MW) October Integration of O&M activities on Italian wind farms Completion of new wind farms construction in Italy (34MW) and Romania (82MW) December Agreement with Unicredit to enter into the capital of ERG Renew as minority shareholder Full exit from ISAB refinery Agreement for the sale of ISAB Energy plant, subject to CIP6 early termination Highlights 5
RESULTS REVIEW PAOLO MERLI CFO 6
BUSINESS ENVIRONMENT Renewables: Electricity Prices ( /Mwh) Electricity Prices ( /Mwh) 146 154 123 119 9 94 95 14 95 92 4Q 212 1Q 213 2Q 213 3Q 213 4Q 213 (1) (2) FRANCE ITALY BULGARIA GERMANY ROMANIA 95 91 91 91 66 65 4Q 212 1Q 213 2Q 213 3Q 213 4Q 213 ITALIAN PRICE ZONAL PRICE SICILY CIP6 Industry Retail Fuels Volumes (M tons) EMC Margin ($/bbl) 5.8 5.63 (1.1) (3.) 4Q 212 1Q 213 2Q 213 3Q 213 4Q 213 4Q 212 1Q 213 2Q 213 3Q 213 4Q 213 (1) Italian price is theoretical price based on National Average Electricity Price (PUN) + GC (2) Price in Romania is based on ERG Renew average price which includes two GCs. Second GC will be cashed in from 218 onwards Results Review 7
FY 213 GROUP EBITDA 18 3 (25) (1) 569 458 1,292 212 Renewables Power & Gas Refining & Marketing Corporate 213 Ebitda growth driven by Renewables and Power Results Review 8
RENEWABLES RESULTS RC Ebitda ( mn) Volumes (Gwh) 245 2,43 6 8 11 111 127 155 1.3 137 8 219 121 ERG Wind 22 1,222 128 2,1 1,154 ERG Wind 128 212 213.7 37 3 59 3 3 4 34 49 4Q 212 4Q 213 29 ERG Wind 1,72 212 213 13 35 43 4Q 212 43 594 294 449 4Q 213 283 ERG Wind ITALY GERMANY FRANCE LUKERG (1) 61 51 Strong growth driven by ERG Wind (1) LUKERG: ERG s stake = 5% in Bulgaria and Romania Results Review 9
POWER RESULTS ISAB ENERGY ERG POWER RC Ebitda ( mn) Volumes (Gwh) 328 358 6,997 6,85 4,142 4,77 254 241 87 14 212 213 89 64 25 4Q 212 83 59 24 4Q 213 2,92 212 2,663 213 1,766 1,592 1,37 923 728 669 4Q 212 4Q 213 Solid figures in Power Results Review 1
MARKETING RESULTS RC Ebitda ( mn) Market Share (%) TOTALERG EOS 56 55 12.1% 11.5% 46 48.8%.7% 14 4Q 212 1Q 213 2Q 213 3Q 213 4Q 213 11 EOS TOTALERG 1 6 15 1 212 213 (1) 1 4Q 212 4Q 213 Results still penalized by a tough environment Results Review 11
REFINING RESULTS: COASTAL AND INLAND COASTAL REFINING INLAND REFINING (1) 212 (3) (32) RC Ebitda ( mn) 4Q 212 213 (3) (.6) (9) (4) 4Q 213.4 (13) (13) 8,333 4,479 3,854 212 Volumes (2) (k tons) 3,6 2,215 1,65 916 1,385 681 384 376 54 213 4Q 212 4Q 213 (5) Margins ($/bbl) (35) 4.54 2.6 1.31 (59) Worsened and negative Refining (1) Inland Refining EBITDA includes Logistics (2) Volumes relate to 1% of TOTALERG stake in Rome (1%) and Sarpom (24%) (1.1) 4Q 212 1Q 213 2Q 213 3Q 213 4Q 213 EMC MARGIN COASTAL REFINING MARGIN INLAND REFINING MARGIN (.3) (3.) Results Review 12
KEY FINANCIALS 13
PRO-FORMA REPLACEMENT COST P&L 213 212 Euro millions 4Q 213 4Q 212 569 458 RC Adjusted EBITDA 132 128 (291) (242) Amortization and depreciation (76) (57) 278 216 RC Adjusted EBIT 56 7 (88) (64) Net financial income (expenses) (23) (13) 4 () Net income (loss) from equity investments 1 194 152 RC Results before taxes 33 58 (1) (89) Income taxes (18) (34) 94 64 RC Results for the period 15 24 (56) (52) Minority interests (13) (14) 38 12 RC Net profit 3 1 Note: figures based on NO GAAP measures Key Financials 14
ADJUSTED INVESTMENTS 238 ( mn) 158 26 POWER & GAS RENEWABLES(1) REFINING & MARKETING (2) CORPORATE 35 17 (4) 71 (3) 77 45 11 51(5) 15 51 41 17 1.2 1.7.5 13.7 14 212 213 4Q 212 4Q 213 (1) Renewables adjusted for LUKERG Renew (5%). (2) R&M adjusted for TOTALERG (51%). It does not include ISAB Srl as of September 212 (3) It includes investment for the acquisition of Tcherga wind farm (ca. 26mn) (4) It includes investments for the acquisition of Gebeleisis (ca. 55mn) and Hrabrovo (ca. 9mn) wind farms and ERG Renew O&M (ca. 1mn) (5) It includes investment for the acquisition of ERG Renew O&M (ca. 1mn) Key Financials 15
FY 213 ADJUSTED CASH FLOW STATEMENT 63 (6) 1 1,799 1,565 (426) 722 8 (28) 1,15 722 (487) 88 63 68 34% 87 (46) 165 29% 27% Adj. Net Debt 31/12/212 Cash Flow from operation Working Capital CAPEX Financial Charges Taxes and Other Dividends ERG Wind Acquisition Gebeleisis & Hrabrovo Acquisition Eolo Disposal ERG Renew O&M Acquisition PUT Option on last 2% ISAB Adj. Net Debt 31/12/213 NFP 51% TotalErg and 5% LUKERG Renew Net Debt 31/12/213 reported Leverage Key Financials 16
214 GUIDANCE AND CONCLUSIONS LUCA BETTONTE CEO 17
214 GUIDANCE AND CONCLUSIONS >5 569 47 EBITDA: 437 (1) P&G EBITDA decrease from July 1, 214 following CIP6 early termination and sale of ISAB Energy plant 213 FCST 213 214 E Like-for-like growth driven by Renewables and exit from Coastal Refining P&G RENEWABLES R&M CORPORATE 237 175 CAPEX: 9 CAPEX consistent with 213-215 Business Plan New Business Plan under definition 213 FCST 213 (2) 214 E 1,3 1,15 1,1 8 NFP: Positive effect on NFP from ISAB Energy transaction 213 FCST 213 214 E LIQUIDITY PF OTHER AT MLT 214: a year of further transformation (1) Excluding EBITDA of ISAB Energy in 2H 213 ( 132mn) (2) Excluding 2% ISAB investments (ca. 21mn); including investments for Gebeleisis ( 55mn) and Hrabrovo ( 9mn) wind farms, and ERG Renew O&M ( 1mn) 18
APPENDIX 19
4Q 213 GROUP EBITDA 128 22 (6) (13) 2 132 1,292 4Q 212 Renewables Power & Gas Refining & Marketing Corporate 4Q 213 Ebitda growth driven by Renewables Appendix 2
4Q 213 ADJUSTED CASH FLOW STATEMENT 1,565 (114) (178) 67 23 67 (426) 44% 1 (28) 1,15 34% 87 29% Adj. Net Debt 3/9/213 Cash Flow from operation Working Capital CAPEX Financial Charges Taxes and Other PUT Option on last 2% ISAB ERG Renew O&M Acquisition Adj. Net Debt 31/12/213 NFP 51% TotalErg and 5% LUKERG Renew Net Debt 31/12/213 reported Leverage Appendix 21
4Q AND FY 213 RESULTS 213 212 Euro millions 4Q 213 4Q 212 1,368 12,457 Adjusted Revenues 2,843 2,645 569 458 RC EBITDA Adjusted 132 128 245 137 - Renewables 59 37 358 328 - Power & Gas 83 89 (5) 21 - Refining & Marketing (2) 1 (3) (28) - Corporate (7) (9) Appendix 22
RENEWABLES: KEY FIGURES (1/2) 213 212 4Q 213 4Q 212 1,34 596 Installed capacity (end-period, MW) 1,34 596 of which: 1,87 512 - Italy 1,86 512 86 n.a. - Germany 86 n.a. 64 64 - France 64 64 27 2 - Bulgaria (1) 27 2 76 n.a. - Romania (1) 76 n.a. 2,43 1,222 Electricity Production (GWh) 594 35 of which: 2,1 1,72 - Italy 449 294 155 n.a. - Germany 51 n.a. 127 128 - France 43 43 57 22 - Bulgaria (1) 17 13 54 n.a. - Romania (1) 34 n.a. (1) ERG s stake = 5% Appendix 23
RENEWABLES: KEY FIGURES (2/2) 213 212 Euro millions 4Q 213 4Q 212 RC EBITDA: 219 128 Italy 49 34 11 n.a. Germany 4 n.a. 8 8 France 3 3 6 1 LUKERG (1) 3 1 of which: 4 1 - Bulgaria (1) 1 1 2 n.a. - Romania (1) 2 n.a. 245 137 Total RC EBITDA 59 37 (126) (66) Depreciation (32) (18) 119 71 RC EBIT 27 2 (1) ERG s stake = 5% Appendix 24
ISAB ENERGY: KEY FIGURES 213 212 4Q 213 4Q 212 4,142 4,77 Sales (Gwh) 923 1,37 653 631 Sales ( mn) 171 162 254 241 RC EBITDA (Eu mn) 59 64 22 192 RC EBIT (Eu mn) 44 52 9% 88% Net capacity utilization (%) 79% 89% 119 123 CIP6 tariffs (Eu/MWh) 119 123 173 149 EBITDA IT GAAP (Eu mn) 45 44 Appendix 25
ERG POWER: KEY FIGURES 213 212 Euro millions 4Q 213 4Q 212 2,663 2,92 Electricity Production (GWh) 669 728 14 87 RC EBITDA 24 25 (28) (27) Depreciation (7) (7) 76 61 RC EBIT 17 18 Appendix 26
INTEGRATED DOWNSTREAM: KEY FIGURES (1) 213 212 Euro millions 4Q 213 4Q 212 45 53 Adjusted RC EBITDA 11 11 55 56 - Marketing 11 14 (9) (3) - Inland refining and logistics (3) (6) (59) Adjusted Depreciation (16) (14) (15) (6) Adjusted RC EBIT (5) (3) 41 37 Investments 14 13 11.3% 11.2% TOTALERG retail market share (2) 11.5% 12.1%.8% 1.% EOS retail market share.7%.8% (1) Figures include 51% stake intotalerg and 1% EOS (2) Estimated market share referring to 1% of TOTALERG Appendix 27
COASTAL REFINING: KEY FIGURES (1) 213 212 Euro millions 4Q 213 4Q 212 35 17 Gross refining margin 1 21 (5) (32) Adjusted RC EBITDA (13) (1) (23) (38) Adjusted Depreciation (6) (6) (73) (7) Adjusted RC EBIT (19) (7) 14 (2) Investments (2) (1) Figures are adjusted for ERG s stake in ISAB Srl (4% from January to August 212, 2% afterwards) (2) Investments do not include 2% ISAB investments Appendix 28