CEZ A.S.

Investor Presentation • May 14, 2019

PRESENTATION ON CEZ GROUP FINANCIAL RESULTS IN Q1 2019

NON-AUDITED CONSOLIDATED RESULTS PREPARED IN ACCORDANCE WITH INTERNATIONAL FINANCIAL REPORTING STANDARDS (IFRS)

CONTENTS

Financial Highlights, Selected Events, and Annual Outlook

Results and Selected Events—Development Team

Results and Selected Events—Operations Team

CEZ GROUP FINANCIAL AND OPERATING RESULTS

( C Z K b ) n	Q 1 2 0 1 8	Q 1 2 0 1 9	C h a n g e	%
R e e n e s v u	4 6. 4	1. 8 5	5. 5 +	1 2 % +
E B I T D A	1 7. 5	1 9. 3	1. 8 +	1 0 % +
E B I T	1 0. 4	1 1. 8	1. 4 +	1 3 % +
N i t e n c o m e	7. 3	8. 3	1. 0 +	1 4 % +
N t i d j t d * e n c o m e a u s e -	7. 3	8. 8	1. 5 +	2 1 % +
O i C F t p e r a n g	1 2 7.	1 9. 7	2. 6 +	1 % 5 +
C A P E X	3. 1	4. 6	1. 5 +	4 8 % +

		Q 1 2 0 1 8	Q 1 2 0 1 9	C h a n g e	%
** I t l l d i t n s a e c a p a c y	G W	1 4. 9	1 5. 0	0. 1 +	% 1 +
M i i n n g	t m o n s	5. 7	6 5.	0. 1 -	1 % -
G i f l i i d i i l t t t t t t e n e r a o n o e e c r c s e g m e n r a o n a e n e r g y y -	T W h	1 6 5.	1 6. 6	1. 0 +	6 % +
G f t i l t i i t t d l e n e r a o n o e e c r c y s e g m e n s n e w e n e r g y a n s a e s -	T W h	0. 6	0. 7	0. 1 +	% 1 8 +
E l t i i t d i t i b t i t d t e c r c y s r u o n o e n c u s o m e r s	T W h	1 4. 8	1 4. 5	0. 3 -	2 % -
E l t i i t l t d t e c r c y s a e s o e n c u s o m e r s	T W h	1 0. 7	9. 9	0. 8 -	% 8 -
S l f t l t d t a e s o n a u r a g a s o e n c u s o m e r s	T W h	3. 9	3. 8	0. 1 -	3 % -
S l f h t a e s o e a	0 0 0 ´T J	1 0. 2	9. 9	0. 2 -	2 % -
N b f l ** u m e r o e m p o y e e s	0 0 0 ´s	3 0. 3	3 1. 5	1. 2 +	4 % +

* Adjusted net income = Net income adjusted for extraordinary effects that are generally unrelated to ordinary financial performance in a given year (such as fixed asset impairments and goodwill write-offs)

** As at the last day of the period

YEAR-ON-YEAR CHANGE IN EBITDA BY SEGMENT

Main causes of year-on-year change in Q1 EBITDA:

• Higher realization prices of generated electricity in Czechia, including the effect of hedges and commodity trading (CZK +2.0 bn)
• Higher generation by nuclear power plants (CZK +0.5 bn)
• Higher expenses on emission allowances for generation in Czechia (CZK -0.7 bn) due to increased market prices and lower allocation of free allowances
• Lower gross margin on electricity and gas sales in Czechia primarily due to higher purchase expenses (CZK -0.4 bn)

OTHER INCOME (EXPENSES)

( C Z K b ) n	Q 1 2 0 1 8	Q 1 2 0 1 9	C h a n g e	%
E B I T D A	1 7. 5	1 9. 3	1. 8 +	1 0 % +
D i t i t i t i d i i t * e p r e c a o n, a m o r z a o n a n m p a r m e n s	7. 1 -	7. 5 -	0. 4 -	5 % -
O t h i ( ) e r n c o m e e x p e n s e s	1. 5 -	1. 6 -	0. 1 -	6 % -
I t t i ( ) n e r e s n c o m e e x p e n s e s	1. 2 -	1. 3 -	0. 1 -	6 % -
I t t l d t h i i n e r e s o n n u c e a r a n o e r p r o v s o n s	0. 4 -	0. 5 -	0. 0	4 % -
I ( ) f i d i i t t t n c o m e e x p e n s e s r o m n v e s m e n s a n s e c u r e s	0. 0	0. 0	0. 1 -	-
O h t e r	0. 1	0. 2	0. 1 +	7 7 % +
I t n c o m e a x e s	1. 6 -	1. 9 -	0. 3 -	1 6 % -
N i t e n c o m e	3 7.	8. 3	1. 0 +	1 4 % +
N t i d j t d e n c o m e a u s e -	7. 3	8. 8	1. 5 +	% 2 1 +

Depreciation, Amortization, and Impairments* (CZK -0.4 bn)

• Additions to impairments of fixed assets in Bulgaria (CZK -0.3 bn) and additions to impairments of fixed assets in Romania (CZK -0.2 bn)
• Lower depreciation and amortization (CZK +0.1 bn)

Other Income (Expenses) (CZK -0.1 bn)

• Higher interest expenses (CZK -0.1 bn)
• Higher revenue from equity investments and securities in 2018 (CZK -0.1 bn)
• Change in value of Inven Capital portfolio (CZK +0.1 bn)**

Net Income Adjustments

• Net income in Q1 2019 was adjusted for negative effects amounting to CZK 0.5 bn, including impairments of fixed assets in Bulgaria (CZK +0.3 bn) and impairments of fixed assets in Romania (CZK +0.2 bn)
• * Including profit/loss from sales of tangible and intangible fixed assets
• ** The result of Inven Capital in Q1 2019 reflects only change in value for the period; CEZ Group's total profit from the sale of German company sonnen (from acquisition in 2015) was primarily reported in past years' profits because change in the market value of the investment was, in accordance with IFRS, remeasured in profits on a running basis

THE PROPOSAL FOR THE 2018 DIVIDEND OF CZK 24 PER SHARE CORRESPONDS TO 99% OF ADJUSTED NET INCOME

CZK bn

• The Board of Directors of ČEZ, a. s., made a decision on the proposal for the 2018 dividend that is to be submitted for approval to the shareholders' meeting held on June 26, 2019.
• Proposed dividend of CZK 24 per share corresponds to 99% of CEZ Group's 2018 consolidated net income adjusted for extraordinary effects.

WE CONFIRM THE FINANCIAL OUTLOOK FOR 2019, ESTIMATING EBITDA AT CZK 57 TO 59 BN, ADJUSTED NET INCOME AT CZK 17 TO 19 BN

Key prediction assumptions:

• Electricity generation of 68.8 TWh, including 31.2 TWh by nuclear plants
• Estimated average realization price of generated electricity in Czechia, including the effect of hedges, is 39 EUR/MWh

Selected prediction risks and opportunities (reasons for using the interval):

• Availability of generating facilities
• New development acquisitions
• Legal disputes (in particular, with SŽDC)
• Divestment of Bulgarian assets

SELECTED EVENTS IN THE PAST QUARTER

NEGOTIATIONS ON THE SALE OF ASSETS IN BULGARIA CONTINUE WITH EUROHOLD

• Following the Bulgarian competition authority's disapproval of the sale of its Bulgarian assets to Inercom, ČEZ entered into parallel negotiations with other prospective buyers of the Bulgarian assets for sale. The sale concerns a total of seven companies: CEZ Bulgaria, CEZ Elektro Bulgaria, CEZ Razpredelenie Bulgaria, CEZ Trade Bulgaria, CEZ ICT Bulgaria, Free Energy Project Oreshets, and Bara Group.
• On Apr 1, 2019, ČEZ received binding offers to buy the Bulgarian assets in question from India Power and Eurohold.
• On Apr 12, 2019, ČEZ decided to terminate the purchase agreement for the sale of the Bulgarian assets to Inercom. The reason was frustration of agreement conditions and, consequently, of the settlement of the agreement by the Bulgarian state's unlawful conduct.
• After evaluation of the binding offers, Eurohold was granted exclusivity for finalizing the terms and conditions of the contract and arranging acquisition funding.

INVEN CAPITAL COMPLETED SUCCESSFUL SALE OF SONNEN AND PURCHASED MINORITY SHARES IN TWO ISRAELI COMPANIES

• The total profit from the sale of a share in German company sonnen (manufacturer of battery storage systems) significantly exceeded CEZ Group's initial estimates. The profit for shareholders was approx. 100% of the purchase price of the share.
• Minority shares acquired in Israeli companies:

DRIIVZ—End-to-end modular systems for electric mobility, compatible with approx. 80 of the most globally widespread types of charging equipment, used by approx. 300,000 drivers throughout the world

CyberX—Provider of comprehensive solutions for industrial cybersecurity, protecting two of five largest energy companies in the U.S. as well as large companies in the pharmaceutical and chemical industries

COMPLETED ACQUISITION OF WIND PARK DEVELOPMENT PROJECTS IN GERMANY WITH A CAPACITY OF 112.5 MW

CEZ Group formed a joint venture (50% JV) with German company Holt Holding Group.

CONTENTS

Financial Highlights, Selected Events, and Annual Outlook

Results and Selected Events—Development Team

Results and Selected Events—Operations Team

ELECTRICITY GENERATION GENERATION—NEW ENERGY & SALES SEGMENTS

Germany (+13%)

+ Unfavorable weather conditions in 2018

Czechia (+67%)

+ Primarily the effect of inclusion of ČEZ Energo (fully consolidated since mid-2018)

Romania (+5%)

+ Unfavorable weather conditions in 2018

Germany (+18%)

+ Unfavorable weather conditions in 2018

Czechia (+25%)

+ Primarily the effect of inclusion of ČEZ Energo (fully consolidated since mid-2018)

Romania (+13%)

+ Unfavorable weather conditions in 2018

ESCO SALES

Germany (+14%)

+ Effect of Kofler Energies Group acquisition

• (consolidated since Jul 31, 2018)
• + Effect of En.plus acquisition (consolidated since Jan 25, 2019)

Czechia & Slovakia (+8%)

+ Organic growth and new acquisitions by ČEZ ESCO in late 2018

Other (+100%)

+ Organic growth of Metrolog (consolidated since Jan 31, 2018) and OEM Energy

+ Acquisition of High-Tech Clima in Romania (consolidated since Dec 12, 2018)

Germany (+39%)

• + Y-o-y organic growth of Elevion Group
• + Effect of Kofler Energies Group acquisition
• + Effect of En.plus acquisition

Czechia & Slovakia (+20%)

+ Organic growth and new acquisitions by ČEZ ESCO in late 2018

Other (+46%)

• + Organic growth of Metrolog and OEM Energy
• + Acquisition of High-Tech Clima in Romania

SEGMENT: GENERATION—NEW ENERGY

G t i e n e r a o n n e e n e r g w y -	1. 0	1. 2	0 2 +	1 % 5 +
O h t t t e r s a e s	0 0	0 0	0 0	1 2 % -
G e r m a n y	0 1	0 2	0 0	2 5 % +
R i o m a n a	0 5	0 6	0 0	% 7 +
C h i z e c a	0 3	0 4	0 1 +	2 4 % +
E B I T D A ( C Z K b ) n	Q 1 2 0 1 8	Q 1 2 0 1 9	C h a n g e	%

Czechia (CZK +0.1 bn)

Higher gross margin on electricity generation (CZK +0.1 bn) due to better climatic conditions, primarily higher-than-average insolation

Romania (CZK +0.04 bn)

Primarily higher gross margin on electricity generation in connection with a higher amount of generated electricity and higher certificate allocation

Germany (CZK +0.04 bn)

Higher gross margin on electricity generation primarily due to a higher amount of generated electricity

SEGMENT: DISTRIBUTION

E B I T D A ( C Z K b ) n	Q 1 2 0 1 8	Q 1 2 0 1 9	C h a n g e	%
C h i e c a z	4 7	8 4	0 1 +	2 % +
R i o m a n a	0 4	0 2	0 1 -	3 6 % -
B l i u g a r a	0 4	0 3	0 0	1 2 % -
D i i b i t t s r u o n	4 5	4 5	0 1 -	1 % -

Czechia (CZK +0.1 bn)

Higher margin on electricity distribution and revenue from activities to ensure input power and connection (CZK +0.1 bn)

Romania (CZK -0.1 bn)

Lower gross margin on electricity distribution due to higher costs to cover losses in the grid resulting from higher average purchase price

Bulgaria (CZK -0.05 bn)

• Lower gross margin on electricity distribution primarily due to higher costs to cover losses in the grid resulting from higher average purchase price
• Lower additions to provisions and impairments

SEGMENT: SALES

( C ) E B I T D A Z K b n	Q 1 2 0 1 8	Q 1 2 0 1 9	C h a n g e	%
C h i z e c a	1. 0	0 7	0 4 -	3 4 % -
G e r m a n y	0 1	0 0	0 0	3 0 % -
R i o m a n a	0 1	0 1 -	0 2 -	-
B l i u g a r a	0 1	0 0	0 1 -	% 5 7 -
O t h t t e r s a e s	0 1 -	0 0	0 1 +	-
S l a e s	1. 3	0 7	0 6 -	% 4 4 -

Czechia (CZK -0.4 bn)

• Lower gross margin from sales of commodities, primarily due to higher expenses on electricity and natural gas purchases (CZK -0.4 bn)
• Higher EBITDA from ESCO activities (CZK +0.1 bn) primarily due to full consolidation of ČEZ Energo since Jul 1, 2018

Germany (CZK 0.0 bn)

Quarterly results are affected by seasonal effects and contract life cycle; growth in accordance with the ESCO segment plan is expected at the level of the whole year

Romania (CZK -0.2 bn)

Non-recurrent positive impact of regulatory correction in 2018

Bulgaria (CZK -0.1 bn)

Temporarily lower gross margin, primarily due to higher expenses on electricity purchases

Other Countries (CZK +0.1 bn)

Slovakia: higher gross margin on electricity sales and effect of new ESCO acquisitions

CONTENTS

Financial Highlights, Selected Events, and Annual Outlook

Results and Selected Events—Development Team

Results and Selected Events—Operations Team

ELECTRICITY GENERATION GENERATION—TRADITIONAL ENERGY SEGMENT

Nuclear Power Plants (+7%)

+ Efficient operation and optimization of outages at both power plants

Coal-Fired Power Plants (+1%)

Czechia (+1%)

• + Shorter outages at Mělník 3 and Prunéřov 2 power plants
• − Lower generation by Počerady, Dětmarovice, and Tušimice 2 power plants

Poland (-5%)

• − NOxemission limits, longer outages (Skawina)
• − Longer outages (Chorzów)

Other (+46%)

+Primarily higher generation by Počerady CCGT plant due to favorable market prices of electricity and gas

Nuclear Power Plants (+4%)

+Efficient operation and optimization of outages at both power plants

Coal-Fired Power Plants (+6%)

Czechia (+7%)

• + Commercial operation of Ledvice 4 power plant (new facility)
• + Shorter outages at Prunéřov 2, Mělník 3, and Tušimice 2 power plants
• − Lower generation by Dětmarovice, Počerady, and Ledvice 3 power plants

Poland (-7%)

• − Lower generation due to gross margin optimization and compliance with NOxlimits (Skawina)
• + Shorter outages (Chorzów)

Other (+72%)

+ Primarily higher generation by Počerady CCGT plant due to favorable market prices of electricity and gas

SEGMENT: GENERATION—TRADITIONAL ENERGY

G i d i i l t t t e n e r a o n r a o n a e n e r g y -	9 7	1 0 0	2 1 +	2 6 % +
O h t t t e r s a e s	0 0	0 0	0 0	9 6 % +
P l d o a n	0 4	0 3	0 1 -	2 7 % -
C h i e c a z	7 5	9 6	2 2 +	2 9 % +
E B I T D A ( C Z K b ) n	Q 1 2 0 1 8	Q 1 2 0 1 9	C h a n g e	%

Czechia (CZK +2.2 bn)

• Higher realization prices of generated electricity, including the effect of hedges and commodity trading (CZK +2.0 bn)
• Higher generation by nuclear power plants (CZK +0.5 bn)
• Operation of other generating facilities (CZK +0.3 bn)
• Higher expenses on emission allowances for generation (CZK -0.7 bn) due to increased market prices and lower allocation of free allowances

Poland (CZK -0.1 bn)

• Higher expenses on biomass at Chorzów power plant (effect of both volume and cost)
• Higher expenses on allowances due to increased market prices and lower allocation of free allowances

MINING SEGMENT, SUPPORT SERVICES SEGMENT

M i i n n g	1. 5	1. 5	0 1 +	% 5 +
C h i z e c a	1. 5	1. 5	0 1 +	% 5 +
E B I T D A ( C Z K b ) n	Q 1 2 0 1 8	Q 1 2 0 1 9	C h a n g e	%

Czechia (CZK +0.1 bn)

Primarily an effect of higher revenue from coal for CEZ Group

S t i p p o r s e r c e s u v	0 4	0 5	0 1 +	% 2 1 +
O t h t t e r s a e s	0 0	0 0	0 0	2 0 % -
C h i z e c a	0 4	0 5	0 1 +	2 1 % +
( C ) E B I T D A Z K b n	Q 1 2 0 1 8	Q 1 2 0 1 9	C h a n g e	%

Czechia (CZK +0.1 bn)

Primarily an effect of the application of IFRS 16 with a portion of total expenses on leases moved to depreciation and interest expense (and thus fell below EBITDA)

ČEZ CONTINUES HEDGING ITS GENERATION REVENUES IN THE MEDIUM TERM IN LINE WITH STANDARD POLICY

Hedge price of generated electricity and EUA purchase price as at Mar 31, 2019

100%

Electricity selling price (EUR/MWh) EUA purchase price

(EUR/t)

Note: The average purchase price of EUA in 2020 includes allowances allocated under derogations (with zero value).

Share of Hedged Production of ČEZ* Facilities as at Mar 31, 2019

Production hedged

Hedged volume as at Feb 28, 2019 Hedged volume from Mar 1, 2019 to Mar 31, 2019

100% of deliveries in 2020–2023 corresponds to 51–55 TWh.

Total currency hedges

(natural & transactional) as at Mar 31, 2019 Of which, natural currency hedges (debts in EUR, capital and other expenditures and costs in EUR)

The foreign exchange position for 2020 is hedged at an average rate of 27.0 CZK/EUR, for 2021–2023 at approx. 26–27 CZK/EUR.

ANNEXES

• Cash Flows
• Debt Status and Structure
• Investments in Fixed Assets
• Balance Sheet Overview
• Electricity Consumption
• Market Developments
• Electricity Procured and Sold
• Definitions of Alternative Indicators according to ESMA

CASH FLOWS

Cash Flows from Operating Activities (CZK +19.7 bn)

• Income after adjustments, incl. income tax (CZK +22.4 bn): income before taxes (CZK +10.2 bn), depreciation and amortization of nuclear fuel (CZK +8.0 bn), other impairments and other noncash income and expenses (CZK +3.2 bn), interest expenses and revenues and received dividends (CZK +1.1 bn), change in provisions (CZK +0.5 bn), impairments of fixed assets (CZK +0.5 bn), income tax paid (CZK -1.0 bn)
• Changes in assets and liabilities (CZK -2.7 bn): change in net trade receivables and payables (CZK -3.0 bn), change in emission allowances (CZK -1.8 bn), change in net payables and receivables from derivatives, including options (CZK -1.3 bn), change in other receivables and payables (CZK +1.2 bn), change in inventories (CZK +0.6 bn), change in short-term deposits (CZK +0.5 bn), other (CZK +1.1 bn)

Cash Flows Used in Investing Activities (CZK -6.8 bn)

• Capital expenditure* (CZK -4.6 bn) and liabilities attributable to capital expenditure (CZK -2.3 bn)
• Divestments and acquisitions of companies (CZK +0.6 bn)
• Change in financial assets with limited availability (CZK -0.4 bn)

Cash Flows from Financing Activities (CZK -11.9 bn)***

Balance of loans and repayments (CZK -11.8 bn)

DEBT STATUS AND STRUCTURE

Debt Level

		f as o	f as o
		1 2 / 3 1 / 2 0 1 8	3 / 3 1 / 2 0 1 9	C ha ng e
De b ts d Lo an an s	C Z K bn	1 6 2. 8	1 5 8. 1	-4 7
Ca h a d F ina ia l s n nc
* As ts se	C Z K bn	1 1. 5	1 2. 1	0. 6
Ne t de b t	C Z K bn	1 5 1. 3	1 4 6. 0	-5 3
Ne t de b t / E B I T D A		3. 1	2. 8

Bond Maturity Profile (as at Mar 31, 2019)

Utilization of Short-Term Lines (as at Mar 31, 2019)

• CEZ Group has access to CZK 26.5 bn in committed credit facilities, using CZK 0.7 bn as at Mar 31, 2019.
• Committed facilities are kept as a reserve for covering unexpected expenses and to fund short-term financial needs.

CAPITAL EXPENDITURE BROKEN DOWN BY SEGMENT

C Z K b n	Q 1 2 0 1 8	Q 1 2 0 1 9
G t i T d i t i l E e n e r a o n— r a o n a n e r g y	0. 8	1. 7
O f f h i h N l l i i t i c c e a r e a c q s o n w : u u u	0. 3	0. 9
G t i N E e n e r a o n— e w n e r g y	0. 1	0. 4
M i i n n g	0. 2	0. 4
D i t i b t i s r o n u	1. 8	1. 8
C h i z e c a	1. 3	1. 3
R i o m a n a	0. 2	0. 2
B l i u g a r a	0. 2	0. 3
S l a e s	0. 0	0. 2
S * t i p p o r s e r c e s u v	0. 2	0. 1
T l t o a	3. 1	4 6

Y-o-y changes in capital expenditure in segments:

• Generation—Traditional Energy: Different patterns of nuclear fuel deliveries, purchase of control clusters for the Temelín power plant, and higher investments in the project for supplying České Budějovice with heat from the Temelín power plant
• Generation—New Energy: RES companies in France (especially the Bordeaux project)
• Sales: Investments of ČEZ Energo (fully consolidated since Jul 1, 2018) and increase in existing ESCO companies

BALANCE SHEET OVERVIEW

Property, plant, and equipment, nuclear fuel, and investments increased by CZK 1.3 bn

• Investments exceeding depreciation and amortization, impairments, and disposal of assets CZK +1.2 bn
• Nuclear fuel CZK +0.1 bn

Other noncurrent assets increased by CZK 1.5 bn

• Long-term receivables from derivatives CZK +1.3 bn
• Noncurrent intangible assets CZK +0.7 bn, primarily emission allowances that will not be used in the next year
• Financial assets with restricted availability CZK +0.4 bn
• Sale of share in sonnen CZK -0.9 bn

Current assets decreased by CZK 34.4 bn

• Receivables from derivatives, including options CZK -29.9 bn
• Net trade receivables CZK -4.5 bn
• Other receivables related to clearing of stock-exchange transactions CZK -2.7 bn

• Cash CZK +0.8 bn

• Income tax receivable CZK +0.7 bn

• Other CZK +1.2 bn, primarily unbilled goods and services and contingent assets

Equity increased by CZK 16.9 bn

• Other comprehensive income CZK +8.6 bn
• Net income in the reporting period CZK +8.3 bn

Noncurrent liabilities increased by CZK 5.2 bn

• Long-term lease liabilities (effect of IFRS 16) CZK +4.2 bn
• Long-term provisions CZK +0.6 bn
• Deferred tax liability CZK +3.8 bn
• Long-term liabilities from derivatives CZK -3.6 bn
• Other CZK +0.2 bn

Current liabilities decreased by CZK 53.8 bn

• Payables from derivatives, including options CZK -35.7 bn
• Short-term loans CZK -11.0 bn
• Current portion of long-term debts CZK +1.7 bn
• Trade payables CZK -6.6 bn
• Other liabilities related to clearing of stock-exchange transactions CZK -2.0 bn
• Other CZK -0.2 bn

ELECTRICITY CONSUMPTION IN THE DISTRIBUTION AREA OF ČEZ DISTRIBUCE

Analysis based on CEZ Group's internal data.

CEZ Group's distribution area covers around ⅝ of Czechia's territory, so the data are a good indicator of nationwide consumption trends.

MARKET DEVELOPMENTS

Electricity balance (GWh)

	Q1 2018	Q1 2019	Index 2019/2018
Electricity procured	14,497	15,660	+8%
Generated in-house (gross)	16,214	17,309	+7%
In-house and other consumption, including pumping in
pumped-storage plants	-1,717	-1,649	-4%
Sold to end customers	-10,687	-9,864	-8%
Sold in the wholesale market (net)	-2,550	-4,612	+81%
Sold in the wholesale market	-78,983	-77,694	-2%
Purchased in the wholesale market	76,433	73,082	-4%
Grid losses	-1,260	-1,184	-6%

Electricity generation by source (GWh)

Nuclear	7,117	7,635	+7%
Coal and lignite	7,468	7,419	-1%
Water	685	754	+10%
Biomass	158	226	+43%
Photovoltaic	21	25	+19%
Wind	460	490	+7%
Natural gas	303	760	+151%
Bio gas	1	1	-32%
Total	16,214	17,309	+7%

Sales of electricity to end customers (GWh)

Households	-4,259	-3,965	-7%
Commercial (low voltage)	-1,453	-1,492	+3%
Commercial and industrial (medium and high voltage)	-4,975	-4,407	-11%
Sold to end customers	-10,687	-9,864	-8%

Distribution of electricity (GWh)

	Q1 2018	Q1 2019	Index 2019/2018
Distribution of electricity to end customers	14,768	14,477	-2%

Electricity balance (GWh) by segment

Q 1 2 0 1 9	Ge ion d i ion l Ge t tra t ne ra a ne - en erg y		t ra en	ion - n ew erg y		D is tr i bu t ion		Sa le		E l im ina t ion s		C Gr E Z ou p
	G W h	+/-	G W h	+/-	G W h	+/-	G W h	+/-	G W h	+/-	G W h	+/-
E lec ic i d tr ty p roc ure	1 4, 9 5 9	+8 %	6 0 2	+6 %	0	-	1 0 0	>2 0 0 %	0	-	1 5, 6 6 0	+8 %
Ge te d in- ho ( ) ne ra us e g ros s	1 6, 6 0 0	+6 %	6 0 6	+6 %	0	-	1 0 4	>2 0 0 %	0	-	1 7, 3 0 9	+7 %
In- ho d o he ion inc lu d ing ing in t t us e a n r c on su mp p um p ,
d-s tor lan ts p um p e ag e p	-1, 6 4 1	% -4	-4	% -1 9	0	-	-4	% -3 6	0	-	-1, 6 4 9	% -4
So l d d c to tom en us ers	3 -5 7	+2 % 5	0	-	0	-	-9, 8 3 3	-9 %	4 2 5	-6 %	-9, 8 6 4	-8 %
So l d in t he ho les le ke t ( t ) w a ma r ne	-1 4, 3 8 5	+7 %	-6 0 2	+6 %	1, 1 8 4	-6 %	9, 7 3 3	-1 0 %	-5 4 2	-6 %	-4, 6 1 2	+8 1 %
So l d in t he ho les le ke t w a ma r	-8 3, 7 3 3	-2 %	-8 0 4	-2 %	0	-	-9 0 6	+6 4 %	7, 7 4 9	-2 %	-7 7, 6 9 4	-2 %
Pu ha d in t he ho les le ke t rc se w a ma r	6 9, 3 4 8	% -4	2 0 2	% -2 0	1, 1 8 4	% -6	1 0, 6 3 9	% -6	-8, 2 9 2	% -2	7 3, 0 8 2	% -4
Gr i d los se s	0	-	0	-	-1, 1 8 4	-6 %	0	-	0	-	-1, 1 8 4	-6 %

Electricity generation by source (GWh) by segment

	Ge ion d i ion l Ge ion t tra t t ne ra a ne ra - n ew -
	en erg	y	en erg y		D is tr i bu t ion		Sa le		E l im ina t ion s		C Gr E Z ou p
	G W h	+/-	G W h	+/-	G W h	+/-	G W h	+/-	G W h	+/-	G W h	+/-
Nu lea c r	7, 6 3 5	+7 %	0	-	0	-	0	-	0	-	7, 6 3 5	+7 %
Co l a d l ig i te a n n	7, 4 1 9	% -0	0	-	0	-	0	-	0	-	7, 4 1 9	% -1
Wa ter	6 6 3	+1 2 %	9 0	+0 %	0	-	0	-	0	-	4 7 5	+1 0 %
B iom as s	2 2 6	+4 3 %	0	-	0	-	0	-	0	-	2 2 6	+4 3 %
P ho tov l ta ic o	0	-	2 5	+1 9 %	0	-	0	-	0	-	2 5	+1 9 %
W in d	0	-	4 9 0	% +7	0	-	0	-	0	-	4 9 0	% +7
Na l g tur a as	6 6 5	+1 1 6 %	0	-	0	-	1 0 4	-	0	-	6 0 7	+1 1 % 5
B io g as	0	-	1	-3 2 %	0	-	0	-	0	-	1	-3 2 %
To ta l	1 6, 6 0 0	+6 %	6 0 6	+6 %	0	-	1 0 4	>2 0 0 %	0	-	1 7, 3 0 9	+7 %

Sales of electricity to end customers (GWh) by segment

	Ge t ion tra d i t ion l ne ra a - en erg y		Ge t ion ne ra	- n ew
			en erg y		D is i bu ion tr t		Sa le		E l im ina ion t s		C E Z Gr ou p
	G W h	+/-	G W h	+/-	G W h	+/-	G W h	+/-	G W h	+/-	G W h	+/-
Ho ho l ds us e	0	-	0	-	0	-	-3, 9 6 5	% -7	0	-	-3, 9 6 5	% -7
Co ia l ( low l tag ) mm erc vo e	0	-7 %	0	-	0	-	-1, 4 9 1	+3 %	0	-	-1, 4 9 2	+3 %
Co ia l a d in du tr ia l ( d ium d h ig h v l tag ) mm erc n s me an o e	-5 7 3	+2 5 %	0	-	0	-	-4, 3 7 6	-1 4 %	5 4 2	-6 %	-4, 4 0 7	-1 1 %
So l d to d c tom en us ers	-5 7 3	% +2 5	0	-	0	-	-9, 8 3 3	% -9	5 4 2	% -6	-9, 8 6 4	% -8

Electricity balance (GWh) by country

Q1 20 19	Cze chi a		Pol and		Ro nia ma		Bul ia gar		Ge rma ny		Oth ers		Elim ina tion s		CE Z G rou p
	GW h	+/-	GW h	+/-	GW h	+/-	GW h	+/-	GW h	+/-	GW h	+/-	GW h	+/-	GW h	+/-
Ele ctr icit d y p roc ure	14, 547	+9%	612	-5%	401	+5%	1	+32 %	99	+12 %	0	-	0	-	15, 660	+8%
Ge ate d in -ho (gr ) ner use oss	16, 101	+7%	703	-5%	405	+5%	1	+32 %	99	+12 %	0	-	0	-	17, 309	+7%
In-h nd oth tion , in clu din ing in ous e a er c ons um p g p um p
d-s tora lan ts pum pe ge p	-1,5 54	-4%	-91	-2%	-4	-14 %	0	-	0	-	0	-	0	-	-1,6 49	-4%
So ld t nd tom o e cus ers	-4,7 11	-8%	-45 2	-34 %	-97 3	+8%	-3, 006	-4%	0	-	-72 3	-18 %	0	-	-9, 864	-8%
So ld i n th hol le m ark et ( net ) e w esa	-9, 262	+21 %	-16 0	-	873	+5%	3, 313	-4%	-99	+12 %	723	-18 %	0	-	-4, 612	+81 %
Sol d in the wh ole sal ark et e m	-78 ,56 7	-2%	-75 2	+11 %	-56 2	-3%	-13 0	+64 %	-99	+12 %	-18	+92 %	2,4 33	+1%	-77 ,69 4	-2%
Pur cha sed in the wh ole sal ark et e m	69, 306	-4%	592	-18 %	1,4 35	+2%	3,4 43	-3%	0	-	740	-17 %	-2,4 33	+1%	73, 082	-4%
Gri d lo sse s	-57 5	-5%	0	-	-30 1	-4%	-30 8	-10 %	0	-	0	-	0	-	-1, 184	-6%

Electricity generation by source (GWh) by country

	Cze chi a		Pol and		Ro nia ma		Bul ia gar		Ge rma ny		Oth ers		Elim ina tion s		CE Z G rou p
	GW h	+/-	GW h	+/-	GW h	+/-	GW h	+/-	GW h	+/-	GW h	+/-	GW h	+/-	GW h	+/-
Nuc lea r	7,6 35	+7%	0	-	0	-	0	-	0	-	0	-	0	-	7,6 35	+7%
Co al a nd lign ite	6,8 04	+0%	615	-11 %	0	-	0	-	0	-	0	-	0	-	7,4 19	-1%
Wa ter	736	+10 %	1	-28 %	17	-6%	0	-	0	-	0	-	0	-	754	+10 %
Bio ma ss	139	+30 %	87	+69 %	0	-	0	-	0	-	0	-	0	-	226	+43 %
Pho tov olta ic	23	+19 %	0	-	0	-	1	+32 %	0	-	0	-	0	-	25	+19 %
Win d	3	+58 %	0	-	388	+5%	0	-	99	+12 %	0	-	0	-	490	+7%
Nat l ga ura s	760	+15 1%	0	-	0	-	0	-	0	-	0	-	0	-	760	+15 1%
Bio ga s	1	-32 %	0	-	0	-	0	-	0	-	0	-	0	-	1	-32 %
Tot al	16, 101	+7%	703	-5%	405	+5%	1	+32 %	99	+12 %	0	-	0	-	17, 309	+7%

Sales of electricity to end customers (GWh) by country

	Cze chi a		Pol and		Ro nia ma		Bul ia gar		Ge rma ny		Oth ers		Elim ina tion s		CE Z G rou p
	GW h	+/-	GW h	+/-	GW h	+/-	GW h	+/-	GW h	+/-	GW h	+/-	GW h	+/-	GW h	+/-
Ho hol ds use	-2,1 55	-8%	0	-	-43 1	% -12	-1,3 79	-3%	0	-	0	-	0	-	-3,9 65	-7%
Co ial ( low ltag e) mm erc vo	-66 9	+6%	-38	-40 %	-27 8	+16 %	-46 7	-1%	0	-	-40	-9%	0	-	-1,4 92	+3%
Co (m ) ial a nd ind ust rial edi d h ig h v olta mm erc um an ge	-1,8 88	% -11	-41 4	% -34	-26 4	% +55	-1,1 60	-6%	0	-	-68 2	% -19	0	-	-4,4 07	% -11
So ld t nd tom o e cus ers	-4,7 11	-8%	-45 2	-34 %	-97 3	+8%	-3, 006	-4%	0	-	-72 3	-18 %	0	-	-9, 864	-8%

Distribution of electricity (GWh) by country

Q1 20 19	Cze chi	a	Pol and		Ro ma	nia	Bul gar	ia	Ge rma	ny	Oth ers		Elim ina	tion s	CE Z G	rou p
	GW h	+/-	GW h	+/-	GW h	+/-	GW h	+/-	GW h	+/-	GW h	+/-	GW h	+/-	GW h	+/-
Dis trib utio f el ricit nd ect to e tom n o y cus ers	9,8 88	-2%	0	-	1,7 53	-2%	2,8 36	-3%	0	-	0	-	0	-	14, 477	-2%

Methods Used to Calculate Indicators Unspecified in IFRS

In accordance with ESMA guidelines, ČEZ provides detailed information on indicators that are not reported as standard in IFRS statements or the components of which are not directly available from standardized statements (financial statements). Such indicators represent supplementary information in respect of financial data, providing reports' users with additional information for their assessment of the financial position and performance of CEZ Group or ČEZ. In general, these indicators are also commonly used in other commercial companies, not only in the energy sector.

Indicator
Net Debt	Purpose: The indicator shows the real level of a company's financial debt, i.e., the nominal amount of debt net of cash, cash equivalents, and highly liquid financial assets held by the company. The indicator is primarily used to assess the overall appropriateness of the company's debt, e.g., in comparison with selected corporate profit or balance sheet indicators.
	Definition: Long-Term Debt, Net of Current Portion + Current Portion of Long-Term Debt + Short-Term Loans – (Cash and Cash Equivalents + Highly Liquid Financial Assets).
	The components of the indicator, except for Highly Liquid Financial Assets, are included in the IFRS statement, with items related to assets held for sale are presented separately on the balance sheet.
	Compared to earlier releases, the value of the indicator at the end of the current reporting period is compared with the value of the indicator at the end of the previous accounting period. This comparison better illustrates the development of the indicator value.
Adjusted Net Income (After-Tax Income, Adjusted)	Purpose: This is a supporting indicator, intended primarily for investors, creditors, and shareholders, which allows interpreting achieved financial results with the exclusion of extraordinary, usually nonrecurring effects that are generally unrelated to ordinary financial performance and value creation in a given period.
	Definition: Net income (after-tax income) +/− additions to and reversals of impairments of property, plant, and equipment and intangible assets, including goodwill +/− additions to and reversals of impairments of developed projects +/− other extraordinary effects that are generally unrelated to ordinary financial performance in a given year and value creation in a given period +/− effects of the above on income tax.
Dividend per Share (Gross)	Purpose: The indicator expresses a shareholder's right to the payment of a share in a joint-stock company's profits (usually for the past year) corresponding to the holding of one share. The subsequent payment of the share in profits is usually subject to taxes, which may be different for different shareholders; therefore, the value before taxes is reported.
	Definition: Dividend awarded in the current year, before taxes, per outstanding share (paid in the reported year from the profits of prior periods).
Net Debt / EBITDA	Purpose: This indicates a company's capability to decrease and pay back its debt as well as its ability to take on additional debt to grow its business. CEZ Group uses this indicator primarily to assess the adequacy of its capital structure to the structure and stability of its expected cash

flows.

Definition: Net Debt / EBITDA. EBITDA is the running total for the past 12 months, i.e. EBITDA for the period from April 1 of previous year until March 31; Net Debt is the amount at the end of the period.

Most of the components used in the calculation of individual indicators are directly shown in financial statements. The components of calculations that are not included in the financial statements are usually shown directly in a company's books and are defined as follows:

Highly Liquid Financial Assets—component of Net Debt indicator (CZK millions):

	As at Dec 31,	As at Mar 31,
	2018	2019
Current debt financial assets	1,287	1,291
Non-current debt financial assets	513	513
Current term deposits	505	2
Non-current term deposits	-	0
Short-term equity securities	-	0
Highly liquid financial assets, total	2,305	1,806

Adjusted Net Income indicator—individual components:

Adjusted Net Income (After-Tax Income, Adjusted)	Unit	Q1 2018	Q1 2019
Net income	CZK millions	7,255	8,299
Impairments of property, plant, and equipment and intangible assets	CZK millions	(5)	512
Impairments of developed projects*)	CZK millions	-	3
Impairments of property, plant, and equipment and intangible assets, including goodwill, at joint ventures**)	CZK millions	-	-
Effects of additions to or reversals of impairments on income tax***)	CZK millions	1	(64)
Other extraordinary effects	CZK millions	-	-
Adjusted net income	CZK millions	7,251	8,750

*) Included in the row Other operating expenses in the Consolidated Statement of Income

**) Included in the row Share of profit (loss) from associates and joint-ventures in the Consolidated Statement of Income

***) Included in the row Income taxes (deferred tax) in the Consolidated Statement of Income

Compared to the previous state, the line "Impairment of property, plant and equipment and intangible assets including goodwill" was renamed to "Impairment of property, plant and equipment and intangible assets". However, goodwill remained part of the reported value, so there was no real change in the Adjusted Net Income indicator.