Thursday 20 March 2014

Enel annual report 2013


Enel, front, annual, report, 2013


As of yet I have only managed to read the press release (which can be found here) from Enel with them highlighting things they liked and the market responded fairly positive to the news. For instance have Enel decided to start to pay dividend again and at least that shows that they have some confidence in the future so that is indeed good news.


I am a bit annoyed that they still have not published their real annual report and the only thing they have come out with was the press release. Due to this reason I have now waited over a week with this publication to be able to take the data from the real one but it has still not arrived and I am fed up with waiting any longer so this summary is simply based on that press release.

If we take a closer look at what the management decided to highlight as seen in the table below. So they were happy that the revenue dropped by only -5.2% hmmm... is that a highlight? it kind of worries me that they see it as such. Happily they have also managed to decrease their costs which leaves them with some money in the coffin this year as well as they have managed to decrease their debt. The big, big news is that they decided to pay 0.13 € per share which is even higher than what I was hoping for when I reported on their third quarter last autumn as can be seen here.

Enel, 2013, annual, press release

In the financial statement we see that they had a significant decrease in the revenue but the costs were well controlled which in the end leaves Enel with an over 30% higher operating income and we as shareholders have been granted 3.2 billion more euro in 2013 that handed out as dividend as well as being re-invested in Enel.

Enel, financial statement, 2013

Due to that it was only the press release I did not manage to dig out any details especially for why they had a decreased revenue in the size of three billions only accounting for Q4 2013. Because if we are looking back at the Q3 report see link above then the revenue was down by two billion compared to 2012 which means that Q4 only had a revenue of 18,109 million € which is low for autumn/winter months. So there are question marks that has to be answered by reading the full annual report.

Conclusion: The full year of 2013 looks very good and the price of the Enel shares have during the year also started to increase accordingly. That they have decided to pay a dividend is also very encouraging especially since that was one of the reason for why I bought Enel in the first place even though I was hoping for an even bigger dividend payment but hopefully that will come next year instead.



 

No comments: