Your Feedback

Energy News Monitoring

ENEL Américas S.A. 2018

2018 was a very positive year for Enel Americas S.A. with US$ 27.4 billion consolidated assets and US$ 13.2 billion revenues

Enel Américas S.A. is one of the largest publicly-listed companies in the electricity sector in South America, headquartered in Chile. The company was organized in 1981 and through its subsidiaries and affiliates it is engaged in the generation, transmission and distribution of electricity businesses in Argentina, Brazil, Colombia, and Peru.  Since June 2009, the controlling shareholder has been the Italian company Enel, which owns 56.4%. Enel is an energy company with multinational operations in the power and gas markets, with a focus on Europe and Latin America and operates in 34 countries across five continents.

The main businesses of the company depend heavily on hydrology, flooding, storms, ocean currents and other weather conditions.

In 2018 the company had 11,257 MW of net installed generation capacity and 24.5 million distribution customers.  The installed capacity comprises 112 generation units, of which 55% are hydroelectric power plants. Accordingly, extremely dry hydrological conditions could adversely affect business, operational results and financial condition.  Regional hydrological conditions have often been affected by two weather phenomena - El Niño and La Niña - that influence rainfall and result in droughts, impacting the ability to dispatch energy from hydroelectric facilities. Depending on weather conditions, results obtained by the distribution business can vary from year to year.

In 2018, consolidated electricity sales were 65,329 GWh and represented a 16.6% increase compared to 2017. In 2018, production was 39,863 GWh, a 2.9% decrease compared to 2017, and total installed capacity was 11,257 MW, a 0.3% increase compared to 2017.

2018 was a very positive year for Enel Americas S.A. According to the Annual Report, revenue of the company in 2018 amounted to US$ 13,184 million, up 26% from US$ 10,445 million the previous year.

Operating income in 2018 amounted to US$ 2,435 million and represented an increase of 9% compared with the operating income in 2017 of US$ 2,219 million.

Ordinary net income increased by 48% to US$ 1,667 million, compared with US$ 1,127 million the previous year.

Electricity generation in Argentina goes through subsidiaries Costanera, El Chocón and Dock Sud, with 29 power units, owning 16 thermal units, 9 hydroelectric units and 4 diesel engines. During 2018 the company´s generation market share was approximately 10.1% of the total electricity production in Argentina during 2018. The company´s hydroelectric generation in Argentina accounted for over 20% of our total generation in Argentina in 2018, reaching 2,859 GWh, an increase of 50% compared to the previous year. The company´s thermal generation in Argentina accounted for 80% of the total generation in 2018, reaching 11,090 GWh, a decrease of 16% compared to the previous year. In 2018 the revenues in Argentina increased by US$ 28 million or 9.4%, from US$ 300 million in 2017 to US$ 328 million in 2018.

The company´s hydroelectric generation in Brazil in 2018 reached 3,219 GWh, an increase of 53% compared to the previous year. The company´s thermal generation in Brazil reached 573 GWh in 2018 and decreased by 73% compared to the previous year. In Brazil, revenues and other operating income increased by US$ 25 million, or 3.1%.

In Colombia, Enel Américas S.A. participates in electricity generation through its subsidiary Emgesa. In 2018 Emgesa operated 36 generation units, with a total net installed capacity of 3,499 MW, of which 3,091 MW was from hydroelectric plants and 408 MW was from thermal plants. The revenues and other operating income from Emgesa increased in by 8.6% from US$ 1,160 million in 2017 to US$ 1,260 million in 2018, mainly due to US$ 64 million associated with tariff increases and US$ 24 million due to higher sales.

In Peru, Enel Américas S.A. operates a total of 30 generation units, with a total net installed capacity of 1,985 MW. In 2018 the company generated 18% of total Peruvian electricity production. The revenues and other operating income of Enel Américas S.A. in Peru increased by US$ 60 million or 8.2%, from US$ 730 million to US$ 790 million, explained by higher revenues by a US$ 44 million increase due to unregulated customers and a US$ 16 million increase in energy sales.

Total operating income from Distribution Business increased by 16% from US$1,079 million in 2017 compared to US$1,251 million in 2018, mainly due to better results of Brazilian subsidiaries and the inclusion of Enel Distribution Sao Paulo.

During 2018, the company invested US$ 851 million in other Brazilian distribution companies and US$ 289 million in Codensa, a Colombian distribution company of Enel Américas S.A. The company plans to continue to expand services, increasing the connections available to end customers, and reduce energy losses to improve efficiency and profitability.