Enel Distribuição Ceará investments up 42,5% in 9M 2017

Published on Tuesday, 31 October 2017

MAIN FINANCIAL HIGHLIGHTS (millions of Brazilian reais)

 

9M 2017

9M 2016

Change

Revenues

4,938.79

4,576.97

+7.9%

EBITDA

593.50

516.94

+14.8%

EBIT

465.03

400.59

+16.1%

Net income

328.55

277.96

+18.2%

Net debt

929.14

907.50

+2.4 %

Capex

472.67

331.71

+42.5%

                                              

Carlo Zorzoli, Enel’s Country Manager for Brazil, said: “Our operational performance improved thanks to higher investments in the connection of new clients and the grid digitisation, mainly through the implementation of a remotely-controlled network automation system. We have also managed to improve our financial performance, despite the decrease in energy sales due to the country’s economic slowdown. These improvements in our performance are a further push to continue improving the company's quality of service.”

Fortaleza, October 30th, 2017 – Today Enel Distribuição Ceará’s Board of Directors published the company’s financial results for the first nine months of 2017.

  • Revenues increased by 7.9%, mainly due to the tariff adjustments applied as of April 2016 (+12.97%) and April 2017 (+0.15%) and also to the higher recognition of regulatory credits[1] resulting from higher electricity purchase costs in the first nine months of 2017 to be included  in 2018 tariff adjustment. 
  • The increase in revenues more than offset the 7.3% decrease in energy sales and transport volume.

 

  •  EBITDA up 14.8%, mainly due to higher revenues and lower provisions for bad debt.
  • Partially offset by the higher costs of equipment and services due to contractual adjustments to inflation and the increase in operation and maintenance activities resulting from the implementation of the company’s service quality plan.

 

  •  EBIT up 16.1% mainly reflecting EBITDA increase.
  •  Partially offset by higher depreciation and amortisation charges, as a result of the increase in the asset base originating from investment in the period.

 

  • Net income increased 18.2% mainly due to the increase in EBITDA and lower financial expenses,.

 

  • Net financial debt up 2.4% as a result of lower cash flow due to higher investments and operational costs and partially offset by lower interest rate and inflation in the country.

 

  •  Capex up 42.5%, mainly due to connection of new customers as well as modernisation and digitisation of the distribution network.

 

OPERATIONAL HIGHLIGHTS

 

9M 2017

9M 2016

Change

Energy sales and transport (GWh)

8,460

8,597

-1.6%

Customers

3,983,617

3,855,064

+3.3%

SAIDI

9.30   

9.34

-0.4% 

SAIFI

5.91   

5.06

+16.8%  

 

  •  Energy sales and transport down by 1,6%mainly due to the country’s economic slowdown.

 

  •  System Average Interruption Duration (SAIDI) and System Average Interruption Frequency (SAIFI) amounted to 9.30 hours and 5.91 times in 9M 2017 respectively, which is better than the indexes level required by the regulator (Aneel).

 

[1] Order 4,621 enacted by Brazilian regulator ANEEL in November 2014, which allows distribution companies to record in their financial results non-manageable costs that are higher or lower than those recognised in the current tariff

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