Enel Chile (ENIC) Q4 2023 earnings summary

Executive summary

• FY 2023 presentation-basis EBITDA was $1,237mn, up 41% YoY pro forma, and net income was $754mn, including a $183mn Arcadia gain; both exceeded guidance.

• Reported local-currency EBITDA declined 11.5% to Ch$1,038,958mn; net income attributable to shareholders fell 49.4% to Ch$633,456mn, with prior-year Shell and transmission-sale effects shaping comparisons.

• Stronger hydro and renewable output supported results; 555 MW of net capacity was added in 2023.

Financial highlights

• Q4 presentation-basis EBITDA was $471mn, up 18% YoY; reported local-currency Q4 EBITDA fell 47.9% to Ch$395,485mn.

• Adjusted net earnings fell 26.4% to Ch$479,588mn; adjusted Q4 net income was Ch$203,930mn, down 56.3%.

• FY reported EBIT was $914mn; local-currency EBIT was Ch$767,761mn, down 15.9%.

• FFO reached $986mn, up 51% YoY, supported by PEC 2.0 factoring and cash-management actions.

• FY operating revenue fell 11.6% to Ch$4,380,246mn; net financial expense improved Ch$30,555mn to Ch$88,384mn.

Outlook and guidance

• FY EBITDA of $1.24bn and net income of $0.75bn exceeded guidance; net debt/EBITDA was 3.0x against a target of ≤3.0x.

• A new distribution tariff is expected in H2 2024 following publication of the final technical report for the 2020–2024 tariff cycle.

• Proposed total dividend was 4.58 CLP/share, subject to approval at the AGM on April 29, 2024.