Net financial debt at the end of 2014 amounted to 6.0 billion euros, an increase of about 0.7 billion euros on the 5.3 billion euros registered at the end of 2013.
Employees at the end of 2014 numbered 3,609 (3,469 at the end of 2013 as restated to take account of the change in the method used to account for joint ventures under IFRS 11).
“In 2014 EGP further consolidated its growth with 1GW of additional installed capacity and even stronger performance despite considerable discontinuities experienced during the year as well as the weak economic scenario”, stated Francesco Venturini, Chief Executive Officer and General Manager of Enel Green Power, in commenting on the results. “Development was almost entirely concentrated in areas posting strong growth in the renewables sector, such as Latin America and the United States. The identification and implementation of new projects was accompanied by targeted initiatives to optimise our portfolio. Such initiatives included the sale of all our wind farms in France and the settlement of the dispute with El Salvador’s government, which involved the disposal of our interest in LaGeo, thereby paving the way for an acceleration of development in more promising countries”.
(*) Net of 196 MW wind capacity sold in France.
Following the application, with retrospective effect as from January 1st, 2014, of the new version of IFRS 11 – Joint arrangements, the investments of the Enel Green Power Group in joint ventures must be accounted for using the equity method rather than proportionate consolidation, which is no longer allowed for such ventures. Since the Group had accounted for joint ventures using proportionate consolidation prior to the date of application of the new standard, as permitted under the previous applicable standard (IAS 31 – Interests in joint ventures) as an option to the equity method, that change resulted in the restatement of the consolidated income statement and balance sheet as of December 31st, 2013, which are reported for comparative purposes only.
This press release uses a number of “alternative performance indicators” not envisaged in the IFRS-EU accounting standards (total revenues, EBITDA, net financial debt). In accordance with recommendation CESR/05-178b published on November 3rd, 2005, the criteria used to calculate these indicators are described at the end of the release.
Net installed capacity1
Group net installed capacity at the end of 2014 totalled 9.6 GW, of which 5.7 GW (60%) of wind capacity, 2.6 GW (27%) of hydroelectric, 0.8 GW (8%) of geothermal, 0.4 GW (4%) of solar and 0.1 GW (1%) of biomass. Net of the 196 MW wind capacity sold in France, net installed capacity increased, mainly in the wind segment, by 0.8 GW (+9.1%) compared with December 31st, 2013.
Net electricity generated by the Group in 2014 amounted to 31.8 TWh, of which 13.9 TWh (44%) of wind output, 11.5 TWh (36%) of hydroelectric, 5.9 TWh (19%) of geothermal, 0.5 TWh (1%) of solar and biomass.
Power generation increased by 2.5 TWh (+8.5%) compared with 2013, mainly attributable to the growth in installed wind capacity.
ALTERNATIVE PERFORMANCE INDICATORS
The following section describes a number of alternative performance indicators, not envisaged under the IFRS-EU accounting standards, which are used in this press release in order to facilitate the assessment of the Group’s performance and financial position.
– Total revenues: calculated as the sum of “Revenues” and “Net income/(charges) from commodity risk management”.
– EBITDA: an indicator of Enel Green Power’s operating performance, calculated as “Operating income” plus “Depreciation, amortization and impairment losses”;3
– Net financial debt: an indicator of Enel Green Power’s financial structure, determined by “Long-term loans”, the current portion of such loans, “Short-term loans”, less “Cash and cash equivalents” and “Current financial assets” and “Non-current financial assets” not considered in other balance sheet indicators.