Edison Rsp

Earnings Release • May 25, 2017

FIRST QUARTER 2017 RESULTS

BUSINESS ENVIRONMENT

ELECTRIC POWER AVAILABILITY MIX IN ITALY

National generation increased by 6.4%. Higher thermoelectric generation compensated for lower net import from France due to nuclear outages and lower hydroelectric production as a result of lower water availability.

Gross of lossesSource: Terna and Edison estimates

GAS DEMAND IN ITALY

Gas demand increased by 8.6% thanks to:

• higher gas powered generation
• cold temperatures especially in January, pushing residential uses
• increased industrial uses

FIRST QUARTER 2017 RESULTS

• •Electric power and hydrocarbons sources and uses
• • Consolidated financial highlights and capital expenditures
• •Operating performance
• •Net financial debt and cash flow

ELECTRIC POWER VOLUMES IN ITALY

SOURCES

USES

• b) Excluding trading portfolio
• c) Gross of losses

HYDROCARBONS VOLUMES

GAS PORTFOLIO IN ITALY

SOURCES

(bcm) (bcm) 0,1 0,1 3,6 3,9 1,6 1,8 0,3 0,2 5,6 6,0 1Q2016 1Q2017 Production (a) Imports (pipeline + LNG) Other purchases Change in gas inventory +7.2%+2.7%+8.8%+8.0%(15.7%)

a) Including production from Izabela concession in Croatia imported in Italy

USES

HYDROCARBONS VOLUMES

E&P OPERATIONS

GAS PRODUCTION

b) Including production from Izabela concession in Croatia imported in Italy

OIL PRODUCTION

(mcm) (kbbl)

GROUP CONSOLIDATED HIGHLIGHTS

(€ mln)

F Y 2 0 1 6		1 Q 2 0 1 6	a 1 Q 2 0 1 7		Ne f f t c t o ap ex n e	b) in ia l inv tm ts an c es en
11. 034	Sa les r ev en ue s	3.0 26	2.7 98	( ) 5% 7,
653	EB ITD A	17 2	22 9	33, 1%		1
( ) 260	EB IT	( ) 34	8	nm	5 9	1 0 7
( ) 347	fit ( los ) be for Pr e t o s axe s	( ) 67	4	nm	2 5	3 0
( ) 389	inc ( los ) Gr et ou p n om e s	( ) 76	( ) 19	0% 75,
379	b & fin cia l inv Ne t t est nts c ap ex ne an me	95	10 7		6 1	6 4
F Y 2 0 1 6		1 Q 2 0 1 6	a 1 Q 2 0 1 7			1 2
7.3 27	inv d ita l Ne t est e c ap	6.9 85	7.2 28		8 Q 1 2 0 1 6	Q 1 2 0 1 7
1.0 62	fin l de bt Ne cia t an	1.1 41	93 4
6.2 65	l ha ho l de ' e ity To ta s re rs qu	5.8 44	6.2 94		Ele ic p ctr ow er	Hy dro rbo ca ns
5.9 55	f w hic h 's n Gro int et st o up ere	5.4 75	5.9 79		Ex lor ati p on dis ls sa	Co nd oth rat rpo e a er
0, 17	/ bt De Eq uit ati y r o	0, 20	0, 15		po

a) IQ2017 figures include the full consolidation in 2016 of Fenice from April 1, the swap of Edison participations in Hydros and Sel Edison with 100% of Cellina Energy, fully consolidated from June 1, the acquisition of Idreg Piemonte assets on May 25, the sale of Termica Milazzo on Aug. 1 and the sale of Fenice Russia in September, as well as in 2017 the acquisition since March 2017 of 51% in Comat Energia, of 51% in Assistenza casa and the sale of 51% in Gever

| 10 First Quarter 2017 results | May.'17

b) Including additions to non–current financial assets, net price paid on business combinations and net of proceeds from the sale of intangibles and property, plant and equipment

OPERATING PERFORMANCE BREAKDOWN

		Ele ic P ctr ow er			dro bo Hy car ns		Co	nd rat rpo e a	oth er	tal Edi To Gro son 1Q 20 16 1Q 20 17 3.0 26 2.7 98		up
(€ m ln)	1Q 20 16	1Q 20 17	∆	1Q 20 16	1Q 20 17	∆	1Q 20 16	1Q 20 17	∆			∆
les Sa r eve nu es	1.3 61	1.3 87	9% 1,	1.8 36	1.6 36	( 9% ) 10,	( 1) 17	( 5) 22	( 6% ) 31,			( 5% ) 7,
Ad ted ( *) jus EBI TD A	43	68	58, 1%	14 7	18 1	23, 1%	( ) 18	( ) 20	( ) 11, 1%	17 2	22 9	33, 1%

EBITDA increased as a result of:

• the consolidation of Fenice and the higher margins in the thermoelectric sector.

First Quarter 2017 results | May.'17 | 11 (*) Adjusted EBITDA reflect the effect of the reclassification from the Hydrocarbons Operations to the Electric Power Operations of the portion of the results of commodity and foreign exchange hedges executed in connection with contracts to import natural gas attributable to the Electric Power Operations. This reclassification is being made to provide ^a consistent operational presentation of industrial results. Adjusted EBITDA include central staff and technical services.

FROM CONSOLIDATED EBITDA TO NET RESULT

(€ m ln)	1 Q 2 0 1 6	1 Q 2 0 1 7	
E B I T D A	2 1 7	2 2 9	5 7
d w do De ia ion iza ion i t t t te p re c am or an r wn s ,	( ) 1 1 4	( ) 1 2 2	( ) 8
Of wh ich lora tion ts : ex p cos	(25 )	(30 )	(5 )
ha in fa ir v lue f c d i de iva ive Ne t ty t c ng e a o om mo r s	( ) 9 2	( ) 9 8	( ) 6
he ( ), O inc t t r om e ex p en se ne	0	( ) 1	( ) 1
E B I T	( ) 3 4	8	4 2
f l ( ) Ne ina ia inc t nc om e ex p en se	( ) 3 0	( ) 1 3	1 7
fro ( ) In Ex i inv ty tm ts co me m p en se on eq u es en	( ) 3	9	1 2
f ( los ) be fo Pr i t ta o s re xe s	( ) 6 7	4	7 1
In tax co me es	( ) 4	( ) 1 8	( ) 1 4
( ) f i los Pr t o s	( ) 7 1	( ) 1 4	5 7
of w hich :
f ( los ) M ino i in in i ty te t t r re s p ro s	5	5	0
f ( los ) Gr in in i te t t ou p re s p ro s	( ) 6 7	( ) 1 9	5 7

NET FINANCIAL DEBT AND CASH FLOW

(1062) (934) Dec 31, 2016 Mar 31, 2017 FURTHER REDUCTION OF NET FINANCIAL DEBT BELOW € 1BLNPOSITIVE CASH INFLOW GENERATED BY HIGH EBITDA+229+128+4+14-11 -2 -106EBITDA Changes in Working Capital Taxes Net financialexpenses Net investmentsa) Other Net cash flow ofthe period 128

a) Including capex , disposals, net financial investments and changes in perimeter. First Quarter 2017 results | May.'17

(€ mln)

| 13

STATEMENT

As required by Article 154-bis, Section 2, of the Uniform Finance Law (Legislative Decree No 58/1998), Didier Calvez and Roberto Buccelli, in their capacity as "Dirigenti preposti alla redazione dei documenti contabili societari" of Edison S.p.A., attest that the accounting information contained in this presentation is consistent with the data in the Company's documents, books of accounts and other accounting records.