Ratifies its goals for 2023

Enagás registered a net profit of 54.6 million euros in the first quarter of the year, which represents a drop of 21.2% compared to the 69.3 million euros in the same period of the previous year, weighed down by the lower income regulated by the snip of the regulatory framework of the National Commission for Markets and Competition (CNMC) for the period 2021-2026.

However, the group pointed out that with these figures it is advancing as planned to achieve its annual profit target in the range of 310-320 million euros for this year, since this goal for 2023 includes a net capital gain of about 40 million euros, generated by the sale of the stake in the Gasoducto de Morelos, closed this Monday, and which is not reflected in the results of this first quarter.

The total income of the gas network operator amounted to 220.6 million euros until March 31, which represents a 5.7% drop compared to the first quarter of 2022.

Of these, regulated revenues in the period stood at 216.2 million euros, with a reduction of 14.3 million euros compared to March last year, due to the application of the 2021-2026 regulatory framework (-12, 3 million euros) and for the lower audited costs, without impact on Ebitda, amounting to 6 million euros.

For its part, the gross operating result (Ebitda) stood at 173.6 million euros at the end of the first quarter, 6.5% less, but as expected to achieve the company's annual objective, established in 770 million euros, the company said.

Meanwhile, the group's investee companies maintained a good performance in this first quarter, reaching 36.6 million euros, a figure that is lower than the 44.2 million in the first three months of 2022, which included the contribution of 12 million euros of GNL Quintero, an asset that was sold last year.

Enagás highlighted that the application of its efficiency plan has contributed to the result for the quarter, which has allowed operating and financial expenses to be maintained at levels similar to those of the first quarter of 2022.

For its part, funds from operations (FFO) at March 31 include dividends received from investee companies amounting to 41.5 million euros, as planned to achieve the annual target of 190-200 million euros at the end of This exercise.

DEBT 16% LOWER THAN A YEAR AGO.

As of March 31, the group's net debt was 3,477 million euros, 16% lower than that registered in the first quarter of last year and similar to that registered at the end of 2022.

The financial cost of the debt stood at 2.7%. More than 80% of Enagás' debt is at a fixed rate, which allows the company to mitigate the impact of current interest rate movements. The FFO/DN ratio as of March 31 stood at 16.7%.

In addition, a 400 million euro bond was amortized in March. Following this operation, the group has no relevant debt maturities this year.

Thus, at the end of the first quarter, the company presented a liquidity situation of 3,352 million euros between treasury and undrawn credit lines.

PROGRESS IN ITS STRATEGIC PLAN.

In this first quarter of the year, Enagás has made progress in fulfilling its strategic plan with several important milestones reached during the period, such as the closing of the sale of the Morelos Gas Pipeline.

In addition, in January it announced an agreement to increase its stake in TAP from 16% to 20%, an operation that is part of its asset rotation strategy and its closing is expected in the second half of 2023.

Likewise, at the end of February the company led by Arturo Gonzalo Aizpiri and Reganosa signed an agreement whereby Enagás acquires Reganosa's 130-kilometer network of gas pipelines for an amount of 54 million euros and Reganosa purchases 25% of the Regasification plant of El Musel, in Gijón, for an amount of 95 million euros.

This alliance also makes Enagás the promoter of the Guitiriz-Zamora hydroduct in 2030. This transaction, which is expected to close in the second half of the year, is subject to the approvals and conditions precedent for this type of operation.

Likewise, the group continues to work on the start-up of the El Musel terminal and has concluded the non-binding phase of the process of assigning logistics services for the plant, which has aroused great interest with the receipt of 16 offers from different operators. .

HISTORICAL RECORD OF GAS SHIPPING TO FRANCE.

With regard to the operation of the gas system, during the first three months of the year a historical record of natural gas shipments to France was recorded, with 8 terawatt hours (TWh).

In total, natural gas exports from Spain increased by 104% during this period, while 43% of the LNG stored in Europe during the first three months of the year has been in the tanks of the six Spanish regasification plants in operation. .

Regarding the number of ships reloaded in Spain, it increased by 124% compared to the first quarter of 2022, with Italy remaining the main destination.

The total transported demand for natural gas has reached 112 TWh in the first three months of the year, 7% less than in the same period of the previous year, and 4.3% more than in the last quarter of 2022. This increase This was mainly due to the improvement in conventional demand, which increased by 37.5% in this period, driven in turn by a recovery in industrial demand.

The Spanish gas system has operated during the first quarter at 100% availability and faces 2023 with maximum robustness, added Enagás.