Milan, 30 October 2020 - Italgas’ Board of Directors, chaired by Alberto Dell’Acqua, met yesterday and approved the consolidated results of the first nine months and third quarter of 2020.
Consolidated economic and financial highlights:
- Total revenues: € 978.0 million (+6.7%)
- Gross operating margin (EBITDA): € 715.7 million (+8.3%)
- Net profit: € 246.5 million (-6.1%)
- Technical investments: € 556.6 million (+12.4%)
- Cash flow from operating activities: € 424.4 million
- Net financial debt: € 4,770.9 million
Operating highlights including affiliates:
- Municipalities in gas distribution concessions: 1,886
- Number of active meters: 7.7 million
- Gas distribution network: around 73,000 Km
In a global scenario characterised by the continuing health emergency and in which, in the specific case of the gas distribution sector, the impact of the application of Resolution 570/2019/R/gas regarding the tariff regulation of gas distribution and metering services for the 2020-2025 period continues to take its toll, the performance recorded by Italgas in the first nine months of 2020 demonstrates the company’s ability to continue generating solid economic and financial results. This is thanks to the efficiency-boosting and digital innovation measures taken by the company over recent years, while continuing to provide a safe, uninterrupted service.
Despite the difficulties arising from the health emergency, the traditional meter replacement plan resumed from May 2020 and continued with the installation of 0.9 million smart meters, also taking affiliates into account, bringing the total number of smart meters installed as at 30 September 2020 to 7.3 million. The plan is part of the wider project for the digital transformation of the entire network managed, which, to date, has already upgraded the technology of around 480 distribution networks.
The cash flow from operating activities in the first nine months of 2020 amounted to € 424.4 million.
The net financial position as at 30 September 2020 was € 4,770.9 million (€ 4,410.6 million at 31 December 2019), net of financial liabilities pursuant to IFRS 16 of € 70.0 million (€ 74.7 million at 31 December 2019).
The EBITDA of the first nine months of 2020 amounted to € 715.7 million (up 8.3% compared to 30 September 2019) and net profit was € 246.5 million (down 6.1% compared to the same period of 2019).
Paolo Gallo, CEO of Italgas, commented:
The results as at 30 September 2020 confirm the effectiveness of the strategic choices made by the Company also in the face of the protracted health emergency and the strongly penalising effects of the tariff regulation in place since 1 January: thanks to the important activities carried out we have limited the reduction in net profit to 6.1%, 246 million euros.
Investments continued to grow significantly reaching, at the end of the third quarter, around 560 million euros (+12.4%), thus giving important support to local economies.
This performance increasingly reflects the contribution of the digital transformation launched in recent years and of the new technologies developed in our Digital Factory, which enable more efficient management of the network, services and all associated activities and make it possible to ensure a safe, uninterrupted service while safeguarding the health of our staff, suppliers and all our customers.