Financial results of the first half of 2021

  • Jul 29, 2021
  • EDF Italy

Sales: €39,6bn, +13,7 % org.(1)

EBITDA: €10,6bn, +29,8 % org.(1)

Net income excluding non-recurring items(2): €3,7bn, x3(1)

Net income - Group share: €4,2bn, n.a.

⮞ China: anomaly in the fuel assemblies of the reactor no.1 of the Taishan nuclear power plant (3)

⮞ Pipeline of projects - 66GW gross capacity at end-June 2021 (5) an increase of 10% vs. end-2020:

⮞ Capacity under construction for 8.6GW gross at end-June 2021 (7) up 8% vs end- 2020

⮞ Commissioning of 1GW during first-half 2021 (of which a 344MW wind farm in Brazil) vs 0.6GW during the same period in 2020

⮞ Hydropower: more than 40% of civil engineering work achieved on Nachtigal project (420MW) in Cameroon

⮞ Finalisation of the Linky programme: circa 32.5 million Linky smart meters installed at end-June 2021, representing a 95% programme achievement

⮞ Reorganisation of the Group’s Italian renewable assets within Edison, with a target to achieve circa 4GW gross renewable capacity by 2030 (9)

⮞ Pre-selection, by Germany, of an industrial renewable hydrogen production project (300MW) to the IPCEI (11)

⮞ Cooperation agreement between Toyota and EDF as part of a “Vert Electrique Auto” offer in France

⮞ More than 144,000 charging points rolled out and managed at end-June 2021 (of which 122,000 by Pod Point, i.e. +28% vs end-2020)

⮞ Commissioning of 50MW of batteries in the United Kingdom as part of the ESO project (12)

⮞ Signature of financing agreements to build the largest biomass plant in West Africa (Biovea, 46MW, Ivory Coast)

⮞ Signature of a development agreement for a 240MW hybrid floating solar project on the Nam Theun 2 reservoir in Laos

EBITDA(14): > €17,7bn

Net financial debt/EBITDA (14): < 2,8x

Operating expenses (15) reduction between 2019 and 2022: €500m

Group disposals 2020-2022 (16): ~ €3bn

Net financial debt/EBITDA (14): ~ 3x

Target payout ratio of 2021 & 2022 net income excluding non-recurring items (17): 45 - 50%

The French State committed to opt for a scrip dividend payment for 2021 fiscal year

Meeting on 28 July 2021 under the chairmanship of Jean-Bernard Lévy, EDF’s Board of Directors approved the consolidated financial statements at 30 June 2021.

Jean-Bernard Lévy, Chairman and Chief Executive Officer of EDF, stated: "The first half of 2021 marks a return to growth in our sales and margins after the year 2020 in decline due to the health crisis. These significantly rising results reflect in particular a strong operational performance in France and give us confidence for the rest of the year, based on the recently raised 2021 estimate on nuclear generation in France and EBITDA target. The Group EDF is resolutely continuing to implement its CAP 2030 strategy, which is reflected in significant growth in our portfolio of renewable projects, strong commercial momentum and significant progress in all our main industrial projects. I would like to thank all the Group's employees for their outstanding commitment during the health crisis and for their professionalism to support our clients and the fight against climate change."

NB: see the whole press release in the PDF file opposite

Footnotes:

1) Organic change at comparable scope, standards and exchange rates vs H1 2020.

(2) Net income excluding non-recurring items is not defined by IFRS and is not directly visible in the consolidated income statement. It corresponds to net income excluding non-recurring items and net changes in fair value on energy and commodity derivatives, excluding trading activities, and excluding net changes in fair value of debt and equity securities, net of tax.

(3) See press releases published on 14 June 2021 and 22 July 2021.

(4) Advanced Gas-Cooled Reactor.

(5) Wind and solar projects.

(6) CRE tender.

(7) 8.6GW (o/w 1.7GW in onshore wind power, 2.1GW in offshore wind power and 4.8GW in solar power) vs 8GW at end-2020.

(8) EDF estimate: France, United Kingdom, Italy, and Belgium (residential customers).

(9) Excluding hydropower, divided between wind and solar.

(10) Exploration and Production activities, except activities in Algeria (11) Important Project of Common European Interest.

(12) Energy Superhub Oxford, with 100% renewable energy.

(13) Subject to additional reinforced sanitary restrictions impacts.

(14) On the basis of the scope and exchange rates at 01.01.2021. EBITDA target upgraded on 7 July 2021.

(15) Sum of personnel expenses and other external expenses. At constant scope, accounting standards, exchange and pensions discount rates, and excluding inflation. Excluding costs of sales from Group Energy Service Activities, and nuclear engineering services of Framatome and specific projects such as Jaitapur.

(16) Signed or completed disposals: impact on Group’s economic debt (Standard and Poor’s definition).

(17) Payout ratio based on net income excluding non-recurring items, adjusted for the remuneration of hybrid bonds accounted for in equity.