ERG — Investor Presentation 2019

Aug 2, 2019

2Q 2019 Results

2 AUGUST 2019 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.

AGENDA

2Q 2019 Highlights

-Key Figures

-Recent Developments

Results Review

-Business Environment

• -1H 2019 Group EBITDA
• -Results by Segments

Key Financials

-Profit & Loss

-Investments

-Cash Flow Statement

2019 Guidance and Conclusions

Appendix

HIGHLIGHTS: KEY FIGURES

Resilient business performance despite of weak hydro conditions

GREENFIELDDEVELOPMENT WELL ON TRACK

REPOWERING& REBLADINGIN PROGRESS

• •153MW (ca. 400MW after RPW) included in BP:
• • 92MW (242MW after RPW) received positive opinion from "Commissione VIA"
• •additional 121MW applied for authorization

•additional ca. 100MW in engineering phase

• •New capacity under reblading is 75MW
• •13MW (Avigliano) on stream in 2Q 2019
• •22MW received VIA Decree
• •additional 40MW applied for authorization
• •Reblading of Avigliano wind factory carried out on:

MW for RBL

13

22

75

40

of 25/06/2019

as

• • April/May 2019
• • Capex €3.1mn

• Production increased 19%

RESULTS REVIEW

PAOLO MERLI, CORPORATE GENERAL MANAGER & CFO

BUSINESS ENVIRONMENT

( ) ly lec du d h I E ic i Pr io De T W ta tr ty t o c n v s m an :
	2 Q 2 0 1 8	2 Q 2 0 1 9	l De % ta
l lec d I ian E ic i De ta tr ty ma n	7 7	7 7	0 %
l lec du I ian E ic i Pr ion ta tr ty t o c	6 7	6 9	% 2
f w hic h: o
he - T rm o	38	42	11 %
dro - H y	17	14	-20 %
lar - S o	8	7	-3%
- W in d	4	4	16 %
- O he r S t ou rce s	1	1	0%

Electricity Prices in Italy (€/MWh)

All-in Wind Prices abroad (€/MWh)

WIND RESULTS

SOLAR RESULTS

2Q 2019

74

2Q 2018

HYDRO RESULTS

2Q 2019

291

CCGT RESULTS

INVESTMENTS

(1) M&A CAPEX include: Vent d'Est acquisition for €12mn, Epuron acquisition for €67mn, Valle de l'AA extension acquisition for €1mn and ForVEIconsolidationfor €345mn

• (2) M&A CAPEX related to the closing of Andromeda acquisition (which took place on February 12, 2019), amounting to €220mn, Polaris acquisition for €52mn, Craiggore and Windwarts acquisitions, respectively for €6mn and €2mn
• (3) M&A CAPEX mainly referred to Epuron acquisition (€67mn) and Valle de l'AA extension acquisition (€1mn)
• (4) M&A CAPEX related to Polaris acquisition for €52mn, plus Craiggore and Windwarts acquisitions, respectivelyfor €6mn and €2mn

KEY FINANCIALS

ADJUSTED P&L

1 H 2 0 1 9	1 H 2 0 1 8	l l Eu i ion ro m s	2 Q 2 0 1 9	2 Q 2 0 1 8
2 7 3	2 7 7	d d A j E B I T D A te us	1 1 0	1 1 4
( ) 14 5	( ) 13 6	d de Am iza tio cia tio ort n a n pre n	( ) 73	( ) 68
1 2 8	1 4 0	d d A j E B I T te us	3 6	4 7
( ) 33	( ) 38	f l in (ex ) Ne ina nci t a com e pe nse s	( ) 15	( ) 20
0	0	( los ) fro Ne t in uit inv est nts com e s m eq y me	0	( ) 0
9 5	1 0 3	d d l be fo A j Re te ts tax us su re es	2 1	2 7
( ) 27	( ) 27	Inc e t om ax es	( ) 7	( ) 8
6 8	7 6	d d l fo he d A j Re io te ts t us su r p er	1 4	1 9
( ) 1	( ) 0	Mi rity in ter est no s	( ) 1	( ) 0
6 8	7 6	d d f A j Ne Pr i te t t us o	1 4	1 9
2 9 %	2 6 %	Ta Ra te x	3 3 %	2 8 %

Note: figures based on NO GAAP measures

1H 2019 CASH FLOW STATEMENT

(1) Out of which €43mn is a non-cash item linked to the write-off of a positive FV associated to Erg Wind Project Financing, while the remainder is mainly linked to the IRS unwinding of the same Project Financing

2019 GUIDANCE

LUCA BETTONTE, CEO

2019 GUIDANCE

Guidance

Guidance

Actual

Adj. EBITDA:

-Guidance fine-tuned at €495-505mn

(1) 2019 Guidance doesnotinclude IFRS 16 effects

APPENDIX

2Q 2019 CASH FLOW STATEMENT

(1) Out of which €43mn is a non-cash item linked to the write-off of a positive FV associated to Erg Wind Project Financing, while the remainder is mainly linked to the IRS unwinding of the same Project Financing

ENERGY PORTFOLIO

Total 1H 2019 Production: 4.1TWh Total Energy Portfolio including hedging & other sales: 7.6TWh

WIND: KEY FIGURES (1/2)

2 0 9 1 H 1	2 0 8 1 H 1		2 Q 2 0 9 1	2 Q 2 0 8 1
1, 8 9 5	1, 9 1 7	( ) Ins l le d c ity d- io d, W M ta ap ac en p er	1, 8 9 5	1, 9 1 7
		f w hic h: o
1, 09 3	1, 09 3	aly - It	1, 09 3	1, 09 3
35 9	27 6	- F ran ce	35 9	27 6
23 8	21 6	- G erm an y	23 8	21 6
82	82	ola nd - P	82	82
70	70	ia - R om an	70	70
54	54	ulg - B ari a	54	54
0	0	- U K	0	0
2, 1 5 4	1, 9 3 1	lec ( h ) E ic ity Pro du ion G W tr ct	8 2 6	7 1 1
		f w hic h: o
1, 25 7	1, 15 1	aly - It	45 4	41 9
38 4	29 6	- F ran ce	17 6	96
19 8	17 8	- G erm an y	68	71
13 5			53	51
	11 2	ola nd - P
10 4	91	ia - R om an	48	43
75	74	ulg - B ari a	27	31

WIND: KEY FIGURES (2/2)

1 H 2 0 1 9	1 H 2 0 1 8	i l l ion Eu ro m s	2 Q 2 0 1 9	2 Q 2 0 1 8
		/ ita ( h ): Un Re € M W ry ve nu es
11 9	12 3	aly - It	11 7	11 8
89	87	- Fr an ce	89	86
10 0	93	- G erm an y	98	93
71	52	ola nd - P	74	55
67	50	ia - R om an	62	50
77	71	ulg - B ari a	70	71
n.a	10 0	- U K	n.a	n.a
		d d A j E B I T D A: ust e
11 7	6 11	aly - It	37	39
23	18	- Fr an ce	9	4
14	12	- G erm an y	4	4
8	4	ola nd - P	3	2
5	3	- R ia om an	2	2
5	4	ulg ari - B a	1	2
0	3	- U K	0	0
1 7 1	1 5 9	l d d To A j E B I T D A ta ust e	5 6	5 2
( ) 8 2	( ) 8 1	De iat ion p rec	( ) 4 2	( ) 4 0
8 9	7 8	d d A j E B I T ust e	1 4	1 3

SOLAR: KEY FIGURES

1 H 2 0 1 9	1 H 2 0 1 8	l l Eu i ion ro m s	2 Q 2 0 1 9	2 Q 2 0 1 8
1 1 9	6 4	lec du ( h ) E ic ity Pro ion G W tr t	7 4	4 3
3 1 4	2 9 0	/ ( h ) Un ita Re € M W ry ve nu es	3 0 6	2 9 1
3 4	1 6	d d A j E B I T D A te us	2 1	1 1
( ) 2 0	( ) 1 0	iat ion De p rec	( ) 1 0	( ) 5
1 4	6	A d j d I E B T te us	1 1	6

HYDRO: KEY FIGURES

1 H 2 0 1 9	1 H 2 0 1 8	l l Eu i ion ro m s	2 Q 2 0 1 9	2 Q 2 0 1 8
5 9 3	1, 0 0 1	lec du ( h ) E ic ity Pro ion G W tr t	2 9 1	5 3 1
1 0 5	9 9	/ ( h ) Un ita Re € M W ry ve nu es	1 0 2	1 0 4
4 4	8 0	d d A j E B I T D A te us	2 1	4 5
( ) 2 9	( ) 2 9	iat ion De p rec	( ) 1 4	( ) 1 4
6 1	5 1	d j d A E B I T te us	7	3 1

CCGT: KEY FIGURES

1 H 2 0 1 9	1 H 2 0 1 8	l l Eu i ion ro m s	2 Q 2 0 1 9	2 Q 2 0 1 8
1, 2 1 6	1, 0 5 4	lec du ( h ) E ic ity Pro ion G W tr t	5 9 8	5 2 8
3 8	4 1	( / h ) Un ita Re € M W ry ve nu es	3 9	3 0
3 4	3 0	d d A j E B I T D A te us	1 7	1 1
( ) 1 4	( ) 1 5	iat ion De p rec	( ) 7	( ) 8
2 0	1 4	d j d A E B I T te us	1 0	4

INVESTMENTS

1 H 2 0 1 9	1 H 2 0 1 8	i l l ion Eu ro m s	2 Q 2 0 1 9	2 Q 2 0 1 8
( 1) 8 1	( 2) 9 7	d W in	( 5) 7 1	( 6) 8 0
( 3) 2 2 0	( 4) 3 4 5	lar So	0	( ) 1
2	1	dr Hy o	1	1
4	2	C C G T	2	1
1	1	Co ate rp or	0	0
3 0 7	4 4 7	l To ta	7 4	8 1

(1) It includes: Polaris acquisition for €52mn, plus Craiggore and Windwarts acquisitons, respectively for €6mn and €2mn

(2) It includes: Vent d'Est acquisition for €12mn, Epuron acquisition for €67mn, and Valle de l'AA extension acquisition for €1mn

• (3) It refers to the closing of Andromeda acquisition (which took place on February 12, 2019)
• (4) It refers to ForVEI consolidation (whose acquisition tookplace on January 12, 2018)

(5) It includes: Polaris acquisition for €52mn, plus Craiggore and Windwarts acquisitions, respectively for €6mn and €2mn

(6) It includes: Epuron acquisition for €67mn, and Valle de l'AA extension acquisition for €1mn