“We feel both confident and motivated in continuing on our path of growth in the future”
He also explained that the solid industrial growth and streamlining programmes that have been implemented have led to the group “progressively increasing its ordinary EBITDA up to 16.2 billion euro at the end of 2018, a level which we had been planning to achieve since 2015, and which we have constantly confirmed.” Not to mention the 8 billion euro that have been reused in the last three years thanks to the active management of the portfolio. This has made it possible to release funds to further simplify the Group’s structure and make acquisitions, including that of Eletropaulo, a recent purchase which, as the CEO recalled, “has increased our client base by over 7 million, thereby strengthening Enel’s global leadership in distribution networks.” Today, Enel is a “company characterised by greater sustainability, efficiency and profitability and a lower level of risk,” and it can look towards the future with increased optimism.
This is where the 2019-2021 Plan comes in. As Starace stated, the Plan sees the group make further investments in renewables, network infrastructure and new energy services, which lie at the heart of the evolution that is underway in the sector. This is a transformation which, for the CEO, “poses a number of challenges but it also offers new opportunities,” and from this perspective Enel is well positioned to create added value. “Today, Enel’s strategy is entirely based on sustainability, since it matches the principles of Shared Value with Open Innovation practices in all business processes,” Starace said before providing financial details: “The solidity of the 2019-2021 plan allows us to improve our ordinary EBITDA targets for 2019 and 2020 and introduce new and more ambitious objectives for 2021.”
27.5 billion euro in investment, an ordinary EBITDA achieving 12% growth against the previous plan and, for dividends, the confirmation of a pay-out of 70% on the group’s ordinary net profit, but there’s more: “The validity of this strategy will, for the first time, translate into a minimum dividend per share for the duration of the plan.” But the main objective is to create value: 65% of energy generated will be zero-emission by the end of 2021 (the target was 48% in 2018). This is further confirmation of the importance that Enel attaches to sustainability, innovation and customer services – all fundamental values in its future growth.
Enel editorial staff