2020 Half-Year Results
Strong mobilisation of the Group during the crisis
Continued growth in renewables
Resilient EBITDA and limited decline in recurring net income in the first half of the year
Implementation of a cost reduction and disposal plan
Adoption of the Group’s “Raison d'être”
Financial results of the 1st half of 2020
Sales: €34.7bn, -4.9% org.(1)
EBITDA: €8.2bn, -1.6% org.
Net income excluding non-recurring items(2): €1.3bn, -9.6%
Net income – Group share: -€0.7bn
1/ Strong mobilisation of the Group during the health crisis
- Specific safety measures for employees and service providers were introduced
- A strong digital response for remote work for Group employees: ~70,000 simultaneous connections in France
2/ Continued growth in renewables
⮞ Solar power:
- United Arab Emirates: construction completed of DEWA III (800MWp), EDF’s biggest solar power plant; award of the call for tenders and PPA signed by EDF and Jinko for the construction of Al Dhafra (2GWp), the world’s largest solar projects to date.
- France: start of the construction of the Fécamp offshore wind farm (500MW)
- China: EDF’s participation in the Dongtai IV and V offshore wind projects
- Signing of a PPA (22 years) for the Chuckwalla solar power project (200MWp) coupled with a storage system (180MW) in the United States
⮞ Above-average hydraulicity: Lake France close to 30-year record levels at the end of July 2020
3/ Nuclear developments
- Nuclear output estimate in France for 2020, upgraded to around 315-325TWh compared with the 300TWh estimated on 16 April 2020
- Hinkley Point C: “J-zero”(3) milestone reached on schedule for the plant’s 2nd reactor
- Sizewell C: Application for Development Consent Order (DCO)(4) submitted to Planning Inspectorate and ruled admissible on 24 June 2020
- Nominal operation of the 2 Taishan EPRs
- Slowdown in construction and maintenance of the fleet due to Covid in France and the United Kingdom
4/ Customers and services
⮞ France commercial service:
- Electricity market share of residential customers: slowdown in net customer losses to -420,000(5) H1 2020 vs. -618,000 H1 2019
- More than 720,000 residential electricity customers have signed up for an EDF market offering
- More than 1.6 million residential gas customers
5/ Numerous international successes, especially in hydropower
6/ Adoption of a cost reduction and disposal plan to mitigate the effects of the health crisis
⮞ EBITDA(6): €15.2 – 15.7bn
⮞ Reduction in operating expenses(7): €500m between 2019 and 2022
⮞ Group disposals 2020-22(8): ~ €3bn
⮞ Net financial debt/EBITDA(6): ~3x each year
EDF’s Board of Directors meeting on 29 July 2020, under the chairmanship of Jean-Bernard Lévy, approved the condensed consolidated financial statements at 30 June 2020.
Jean-Bernard Lévy, Chairman and Chief Executive Officer of EDF stated: « Throughout the public-health crisis, EDF’s employees poured all their energy into fulfilling their essential duties in support of our customers in all countries where we operate. Despite the economic downturn, the impact of the crisis on our main financial indicators remains contained, attesting to the resilience of our Group. These conditions require us to adopt a cost savings and disposal plan enabling us to pursue the deployment of our CAP 2030 strategy and keep our debt under control. The decarbonisation of the economy, which combines the fight against global warming and sustainable growth, is a real development opportunity for EDF. »
NB: see the whole press release in the PDF file opposite
(1) Organic change at comparable scope, standards and exchange rates.
(2) Net income excluding non-recurring items is not defined by IFRS, and is not directly visible in the consolidated income statement. It corresponds to the net income excluding non-recurring items and the net change in fair value on energy and commodity derivatives, excluding trading activities and excluding net changes in fair value of debt and equity securities, net of tax.
(3) Completion of the nuclear island commun raft.
(4) ‘Development Consent Order’.
(5) In number of delivery sites.
(6) On the basis of the scope and exchange rates at 1 January 2020 and nuclear output hypothesis in France of between 315TWh and 325TWh for 2020 and between 330TWh and 360TWh each year in 2021 and 2022.
(7) Sum of personnel expenses and other external expenses. At constant scope, standards, exchange and pensions discount rates, and excluding inflation. Excluding costs of sales from Group Energy Service Activities, and nuclear engineering services of Framatome and specific projects such as Jaitapur.
(8) Signed or completed disposals: impact on Group’s economic debt.
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