ACEA (ACE) Investor presentation summary

Strategic positioning and business model

• Maintains a strong focus on regulated infrastructure, with 90% of EBITDA from regulated activities by 2028, emphasizing water, electricity grids, and environment sectors.

• Pursues growth through operational excellence, disciplined capex, and optimization of financial structure, targeting a NFP/EBITDA ratio of 3.1x by 2028.

• Asset rotation and selective partnerships are leveraged to enhance core business and support expansion in regulated and adjacent segments.

• ESG principles are integrated across all business lines, with over €1bn in annual capex and a cumulative €5.4bn in ESG-related investments planned.

• People, systems, and processes are central to growth, with initiatives in talent development, digitization, and process optimization.

Financial performance and projections

• EBITDA projected to grow from €1.39bn in 2023 to €1.8bn in 2028, with net profit rising from €294m to €375m over the same period.

• Cumulative capex for 2024-2028 is €7.6bn, with 91% allocated to regulated businesses.

• RAB expected to increase from €7.4bn in 2023 to €10.5bn in 2028, reflecting sustained infrastructure investment.

• Dividend policy targets 4% annual growth, with over €1bn in dividends distributed during the plan horizon and a TSR exceeding 11%.

• Financial structure remains robust, with average debt duration extended to 4.5 years and a shift toward more variable-rate debt.

Operational and business segment highlights

• Water: Largest operator in Italy, leading in innovation and resilience, with major projects like the Peschiera Aqueduct and international expansion.

• Electricity: Second-largest grid operator in Italy, focusing on grid modernization, smart public lighting, and e-mobility infrastructure.

• Environment: Fifth-largest operator, expanding waste-to-energy and recycling, with new plants and circular economy initiatives.

• Engineering: Center of excellence for major projects, integrating advanced technologies and expanding laboratory services.

• Production: Strong renewables pipeline, aiming for carbon neutrality and full energy balance by 2032.