fourth quarter 2015 results medellin, colombia march 2, … · total 4q15 operating revenues...

FOURTH QUARTER 2015 RESULTS

Medellin, Colombia

March 2, 2015

DISCLAIMER

ISA FOURTH QUARTER 2015 FINANCIAL RESULTS

Certain statements contained in this report constitute "forward-looking statements" within the meaning of

the Private Securities Litigation Reform Act of 1995.

These forward-looking statements reflect our current views with respect to future events and are based

on assumptions and subject to risks and uncertainties. Also, these forward-looking statements present

our estimates and assumptions only as of the date of this report. Except for our ongoing obligation to

disclose material information as required by federal securities laws, we do not intend to update you

concerning any future revisions to any forward-looking statements to reflect events or circumstances

occurring after the date of this report.

The unaudited figures are expressed in millions of Colombian pesos (COP). Amounts expressed

in US dollars are for information purposes only, and do not reflect accounting conversion

techniques usually applied. As of December 31, 2015, the exchange rate was of USD 1.00= COP

3.149,47 (Source: Banco de la República).

2

Highlights

Investments

4Q15 Financial Results

Q&A

AGENDA

3

Risk Ratings

In October 2015, Moody´s affirmed ISA’S Baa2 credit rating with stable outlook.

4

HIGHLIGHTS

Agreement signed with Telefónica

It connects Colombia with Brazil and

United States through submarine

cables.

Rights of use for minimum 15 years.

19.000 km of optic fiber.

Estimated investment to put in

operation: USD 120 million

Compensation of Termocol substation, improves the

reliability and security of the system in the northern region

of the country.

Annual revenues: USD 0,6 million.

Second autotransformer bank, Copey substation, will

increase transformation capacity.


Connection La Reforma substation to Guavio – Tuna

circuit, will improve reliability and security of the system.


ISA COMMISSIONED SEVERAL PROJECTS

Risk Ratings

In February, after revising the outlook of Colombia, revised the outlook from stable to negative. It also confirmed the

BBB long-term rating in local currency (investment grade).

5

SUBSEQUENT EVENTS

ISA Colombia

InterchileISA Inversiones

Chile

100% 75%

25%

ISA Inversiones

Chile, capitalized

Interchile in

$43.713 million of

Chilean Pesos, a

credit granted by

ISA Inversiones.

Inte

rest

Luis Alejandro Camargo

INTERCOLOMBIA’s CEO

ISA placed bonds in the local market for

COP 400 billion.

Oversubscribed 2,9 times

To finance the company’s cash flow and investments

New bank credits:

ISA with BBVA Colombia, for COP 250 billion to finance its 2016 investment plan at 7 years.

InterChile agreed a bank credit up to USD 738 million for transmission projects.

Good Governance Code

In the month of January, ISA’s Board of Directors approved the new Corporate Governance Code of the Company.

Highlights

Investments


Q&A

AGENDA

6

2016 2017 2018 2019 2020

COLOMBIA PERU BRAZIL CHILE OTHERS

by country COP %

Colombia 2.915 30,5

Peru 1.958 20,5

Brazil 1.605 16,8

Chile 3.073 32,2

Others 5 0,0

by business COP %

Energy 8.499 88,9

Toll Roads 116 1,2

Telecommunications 799 8,4

SMRTS 142 1,5

Projections: February 2016

LONG-TERM INVESTMENT PLAN

Long-term investment plan ensures ongoing growth

COP 9.555.292 million

BreakdownCOP billions

7

3.435

926

519 509

4.167

TRM 2.925 2.944 2.959 2.981 3.010

INVESTMENT OPPORTUNITIES

8

ENERGY

TOLL

ROADS

TELCO

Colombia

UPME Expansion Plan for a total of USD 215

(reference value) for 2016-2017 Línea Virginia - Nueva Esperanza

Subestación Cuestecitas

Segundo circuito Copey – Fundación

Subestación San Antonio

Conexión La Enea

Línea Sabanalarga - Bolivar

Subestación el rio

Subestación el siete

Subestación San Lorenzo

Subestación San Juan

Conexión Renovables Guajira

Parques del Rio Project: Development of

infrastructure required within the framework of

the Medellin River Linear Park, Colombia.

Colombia-Panamá Interconnection. USD 500

Chile

Plex 7 CDEC-SIC projects: Bank of

transformers in substations New Cardones, New

Maitencillo and New Sugarloaf and sectioning

substation, transmission lines associated.

Estimated investment: USD 168,5 million.

MOP Projects 2016, with investments of USD

556,4 million in pedestrian connectivity and

regulatory safety projects in concessions of Ruta

del Maule, Ruta del Bosque, Ruta de Araucanía

and Ruta de los Ríos.

Peru

Proinversión Projects for 2016. New substation

and compensating variable La Planicie and

transmission line Aguaytía - Pucalpa. Estimated

investment: USD 63,1 million.

Brazil

Reinforcement projects authorized by ANEEL.

Annual USD 72,5 million.

Highlights

Investments


Q&A

AGENDA

9

Accumulated financial results were COP 702 billion, in 4Q15 reached

COP 146 billion.

EXCHANGE

RATES

4Q15

average

4Q14

Average

Change

%

2015

Close

2014

Close

Change

%

COP / DOLLAR USD 3.059,68 1.909,60 60,23% 3.149,47 2.392,46 31,64%

COP / REAL 823,45 839,32 -1,89% 806,56 900,71 -10,45%

COP/ CLP 4,16 3,49 19,20% 4,43 3,94 12,44%

REAL / DOLLAR USD 3,84 2,28 68,42% 3,9 2,65 47,17%

CLP / DOLLAR USD 697,86 576,31 21,09% 710,16 606,75 17,04%

1. The 2014 figures have been restated in accordance with the Standards of Accounting

and Financial Reporting in Colombia –NCIF- (for its acronym in Spanish) for

comparison purposes.

2. The entry into operation of new projects in Peru, the revenues adjusted by the PPI and

the exchange rate, higher expenses for major maintenance in Peru and Chile and

higher contingencies in Brazil, largely explain this quarter results.

3. The devaluation effect of the Peso vs. the U.S. Dollar and vs. the Chilean Peso

increase the earnings of the quarter in COP 19,7 billion

10

CONSIDERATIONS

Total 4Q15 operating

revenues reached COP

1.527.444 million or

USD485 million

SMRTS: Smart Management of Real Time Systems

CONSOLIDATED FINANCIAL RESULTS - NCIF

REVENUES

11

bu

sin

es

s

co

un

try

CO

P b

illio

ns

4Q15 Breakdown

Exchange Rate USD 1 = COP 3.149,47

30,5%

25,0%

1.1701.527

4.218

5.271

4Q14 4Q15 2014 2015

COLOMBIA29,4%

CHILE20,1%

BRAZIL16,4%

PERU32,3%

OTHERS1,8%

Energy 73,0%Roads

19,9%

Telecommunications

4,8%

SMRTS2,3%

4Q14 4Q15Change

COP

Change

%

AOM Costs and Expenses 792 574 219 38,1%

Depreciation 69 74 -5 -6,9%

Amortization 70 49 22 45,0%

Provisions 43 -2 45

Total 975 695 128 40,3%


COSTS AND OPERATING EXPENSES

12

COP billion

bu

sin

es

s

co

un

try

CO

P b

illio

ns

4Q15 Breakdown


40,3%

25,3%

695975

2.403

3.011

4Q14 4Q15 2014 2015

COLOMBIA25,7%

CHILE10,4%BRAZIL

22,9%

PERU39,3%

OTHERS1,8%

Energy 78,9%

Roads9,9%

Telecommunications

8,0%

SMRTS3,2%

EBITDA reached COP 738.334 million / USD 234 million in 4Q15.

CONSOLIDATED FINANCIAL RESULTS – NCIF

EBITDA

13

bu

sin

es

s

co

un

try

CO

P b

illio

ns

4Q15 Breakdown

EBITDA Margen (NCIF)


25,2%

25,0%

590 738

2.297

2.872

4Q14 4Q15 2014 2015

2014

201557,2 53,9 57,0

50,4 54,5

53,6 58,6 58,448,3

54,5

1Q 2Q 3Q 4Q 2014 1Q 2Q 3Q 4Q 2015

COLOMBIA35,1%

CHILE29,0%

BRAZIL12,0%

PERU22,0%

OTHERS1,9%

Energy67,5%

Roads29,0%

Telecommunications

2,8%

SMRTS0,7%

The total 4Q15 financial

expenses were COP

243.712 million / USD 77

million.


FINANCIAL EXPENSES

14

CO

P b

illio

ns

4Q15 BreakdownCOP billions


8,4%

19,6%

-225 -244

-773

-925

4Q14 4Q15 2014 2015

0

15

-173

-85

SMRTS

Telecommunications

Roads

Energy

0

-33

-46

-171

6

OTHERS

PERU

COLOMBIA

CHILE

BRAZIL

Net Income for 4Q15 reached COP 146.164 million / USD 46 million


NET INCOME

by country COP

Colombia 108.783

Chile -233

Brazil -10.997

Peru 40.309

Others 8.302

by business COP

Energy Transmission 144.777

Road Concessions -2.048

Telecommunications Transport 690

SMRTS 2.745

15

million

CO

P b

illio

ns

4Q15 Breakdown

Net Margen (NCIF)


81146

510

702

4Q14 4Q15 2014 2015

80,5%

37,6%

2014

2015

14,117,0

10,8

6,9

12,1

12,614,4

17,7

9,6

13,3

1Q 2Q 3Q 4Q 2014 1Q 2Q 3Q 4Q 2015

Assets in 4Q15 totaled COP 28.112.870

million / USD 8.926 million

Assets 25.671 28.113


BALANCE SHEET

16

business

country

CO

P b

illio

ns

4Q

15 B

reakd

ow

n b

yas

se

ts


10,2%

13,9%

-0,4%

9,8%

COLOMBIA25,0%

CHILE32,5%

BRAZIL22,3%

PERU19,4%

OTHERS0,8%

Energy66,9%

Roads29,7%

Telecommunications

3,0%

SMRTS0,5%

6.881 7.840

3.5653.553

15.167

16.720

2014 2015Liabilities Non-controlling interest Equity

currencyrate source

COP million 2014 2015Change

%

2015

USD

CHILE 4.482.030 4.620.914 3,1% 1.467

COLOMBIA 1.784.963 2.111.930 18,3% 671

PERU 1.934.281 2.767.712 43,1% 879

BRAZIL 1.921.167 1.695.502 -11,7% 538

BOLIVIA 51.947 53.188 2,4% 17

ARGENTINA 6.994 3.895 -44,3% 1

TOTAL 10.181.382 11.253.141 10,5% 3.573

TOTAL USD 3.573 4.256 -16,0%

CONSOLIDATED FINANCIAL DEBT

NCIF (includes preferred shares with a repurchase option)

17

4Q15 Breakdown


4,2 4,5

4,3 4,3 4,2 3,9

4,2 4,4

3,9 3,9 4,2

3,9

3Q14 4Q14 1Q15 2Q15 3Q15 4Q15

Debt / EBITDA EBITDA / Interest

BRL13,9%

COP17,9%

USD27,2%

UF + CLP

40,9%

Otras0,0%

Capital Market68,2%

Banks31,2%

Other0,6%

UF33,4%

Tasa Fija 23,7%

IPC16,8%

CDI 9,7%

TAB7,5%

DTF1,1%

Libor4,6%

TJLP 2,8%

IPCA0,3%

Highlights

Investments


Q&A

AGENDA

18

19

INVESTOR RELATIONS

CONTACT

Email [email protected]

Website www.isa.co

Telephone +574 315 7470

@ISA_Avanza /ISAAvanza Interconexión

Eléctrica ISA/CanalISAAvanza

fourth quarter 2015 results medellin, colombia march 2, … · total 4q15 operating revenues...

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