The representation of performance and financial position by business area presented here is based on the approach used by management in monitoring Group performance for the two periods being compared.
As already discussed in note 5 to the consolidated financial statements, since September 2019, segment information has been reformulated to give a more consistent view of the decision-making processes implemented by management, which give priority to analyzes by Business Line rather than by Country or Region.
In order to ensure full comparability of the figures commented here in the light of the new breakdown of the primary and secondary reporting sectors for IFRS 8 disclosure purposes and of the reallocation of countries in the Enel Green Power segment, the comparative figures for 2018 have been restated appropriately. At the same time, within each CGU, lower level operating units were identified at the intersections of the organizational matrix (Business Line/Country/Region), which in accordance with IAS 36 made it possible to reallocate the goodwill associated with the higher level and reported cumulatively at December 31, 2018 in the column “Other, eliminations and adjustments”.
For more information on performance and financial developments during the year, please see the dedicated section in the Report on Operations.
Segment information for 2019 and 2018
Results for 2019 (1)
Millions of euro | Thermal Generation and Trading | Enel Green Power | Infrastructure and Networks | End-user Markets | Enel X | Services | Other, eliminations and adjustments | Total | |
Revenue and other income from third parties | 30,519 | 7,360 | 20,092 | 19,482 | 967 | 1,901 | 6 | 80,327 | |
Revenue and other income from transactions with other segments | 1,532 | 373 | 1,697 | 13,062 | 163 | 80 | (16,907) | - | |
Total revenue | 32,051 | 7,733 | 21,789 | 32,544 | 1,130 | 1,981 | (16,901) | 80,327 | |
Total costs | 29,980 | 3,143 | 13,511 | 29,186 | 972 | 1,855 | (16,757) | 61,890 | |
Net income/(expense) from commodity risk management | (676) | 14 | - | (71) | - | - | - | (733) | |
Depreciation and amortization | 1,142 | 1,241 | 2,692 | 333 | 145 | 171 | 26 | 5,750 | |
Impairment losses | 4,031 | 99 | 371 | 930 | 111 | 33 | 1 | 5,576 | |
Reversals of impairment losses | (284) | (12) | (62) | (139) | - | (3) | - | (500) | |
Operating income | (3,494) | 3,276 | 5,277 | 2,163 | (98) | (75) | (171) | 6,878 | |
Capital expenditure | 851 | 4,293 | (2) | 3,905 | 449 | 270 | 134 | 45 | 9,947 |
(1) Segment revenue includes both revenue from third parties and revenue flows between the segments. An analogous approach was taken for other income and costs for the period.
(2) Does not include €4 million regarding units classified as “held for sale”.
Results for 2018 (1) (2) (3)
Millions of euro | Thermal Generation and Trading | Enel Green Power | Infrastructure and Networks | End-user Markets | Enel X | Services | Other, eliminations and adjustments | Total | |
Revenue and other income from third parties | 26,630 | 7,613 | 18,250 | 20,340 | 849 | 1,878 | 15 | 75,575 | |
Revenue and other income from transactions with other segments | 977 | 443 | 1,718 | 13,431 | 157 | 60 | (16,786) | - | |
Total revenue | 27,607 | 8,056 | 19,968 | 33,771 | 1,006 | 1,938 | (16,771) | 75,575 | |
Total costs | 27,130 | 3,286 | 12,429 | 30,681 | 882 | 1,918 | (16,570) | 59,756 | |
Net income/(expense) from commodity risk management | 640 | (162) | - | (11) | - | 65 | - | 532 | |
Depreciation and amortization | 1,098 | 1,101 | 2,483 | 314 | 86 | 113 | 19 | 5,214 | |
Impairment losses | 158 | 131 | 337 | 1,0000 | 15 | 15 | 1 | 1,657 | |
Reversals of impairment losses | (21) | (129) | (68) | (193) | 4 | (5) | (8) | (420) | |
Operating income | (118) | 3,505 | 4,787 | 1,958 | 19 | (38) | (213) | 9,9000 | |
Capital expenditure | 839 | 2,784 | (4) | 3,830 | 374 | 183 | 106 | 36 | 8,152 |
(1) Segment revenue includes both revenue from third parties and revenue flows between the segments. An analogous approach was taken for other income and costs for the period.
(2) The figures have been restated to ensure comparability with results for 2019, which are presented using business area as the primary reporting segment.
(3) The 2018 figures have been adjusted to take account of the interpretations of the International Financial Reporting Interpretations Committee (IFRIC) contained in the Agenda Decision of March 2019, which involved changes in the classification, with no impact on margins, of the effects of purchase and sales contracts for commodities measured at fair value through profit or loss (for more details, see note 4.3 of the consolidated financial statements).
(4) Does not include €378 million regarding units classified as “held for sale”.
Financial position by segment
At December 31, 2019
Millions of euro | Thermal Generation and Trading | Enel Green Power | Infrastructure and Networks | End-user Markets | Enel X | Services | Other, eliminations and adjustments | Total | |||
Property, plant and equipment | 11,863 | 30,351 | 36,333 | 160 | 442 | 663 | 11 | 79,823 | |||
Intangible assets | 134 | 4,697 | 23,782 | 3,624 | 605 | 466 | 29 | 33,337 | |||
Non-current and current contract assets | - | - | 482 | - | 53 | 75 | 43 | 653 | |||
Trade receivables | 3,219 | 1,726 | 7,649 | 3,838 | 607 | 676 | (4,632) | 13,083 | |||
Other | 1,426 | 1,421 | 1,654 | 543 | 1,098 | 1,283 | (1,350) | 6,075 | |||
Operating assets | 16,642 | (1) | 38,195 | (2) | 69,900 | (3) | 8,165 | 2,805 | 3,163 | (5,899) | 132,971 |
Trade payables | 3,383 | 2,192 | 5,411 | 5,028 | 414 | 949 | (4,417) | 12,960 | |||
Non-current and current contract liabilities | 199 | 167 | 7,271 | 75 | 5 | 16 | (104) | 7,629 | |||
Sundry provisions | 3,410 | 903 | 4,412 | 494 | 34 | 578 | 459 | 10,290 | |||
Other | 1,074 | 1,843 | 8,867 | 2,642 | 415 | 1,451 | (503) | 15,789 | |||
Operating liabilities | 8,066 | 5,105 | 25,961 | (4) | 8,239 | 868 | 2,994 | (4,565) | 46,668 |
(1) Of which €4 million regarding units classified as “held for sale”.
(2) Of which €7 million regarding units classified as “held for sale”.
(3) Of which €10 million regarding units classified as “held for sale”.
(4) Of which €3 million regarding units classified as “held for sale”.
At December 31, 2018 (1)
Millions of euro | Thermal Generation and Trading | Enel Green Power | Infrastructure and Networks | End-user Markets | Enel X | Services | Other, eliminations and adjustments | Total | ||||
Property, plant and equipment | 15,448 | 25,971 | 35,026 | 73 | 344 | 371 | 10 | 77,243 | ||||
Intangible assets (2) | 38 | 1,220 | 15,875 | 1,078 | 347 | 414 | 14,343 | 33,315 | ||||
Non-current and current contract assets | 15 | - | 348 | - | 47 | 78 | (7) | 481 | ||||
Trade receivables | 4,345 | 1,290 | 7,582 | 4,640 | 282 | 696 | (5,224) | 13,611 | ||||
Other | 2,483 | 1,042 | 2,424 | 555 | 113 | 1,726 | (1,985) | 6,358 | ||||
Operating assets | 22,329 | (3) | 29,523 | (4) | 61,255 | (5) | 6,346 | 1,133 | 3,285 | 7,137 | (6) | 131,008 |
Trade payables | 4,680 | 1,806 | 5,555 | 5,535 | 381 | 890 | (5,458) | 13,389 | ||||
Non-current and current contract liabilities | 220 | 100 | 7,156 | 41 | 13 | 12 | (141) | 7,401 | ||||
Sundry provisions | 2,490 | 768 | 4,644 | 551 | 35 | 669 | 524 | 9,681 | ||||
Other | 1,647 | 1,517 | 6,746 | 2,454 | 257 | 1,311 | (998) | 12,934 | ||||
Operating liabilities | 9,037 | 4,191 | (7) | 24,101 | (8) | 8,581 | 686 | 2,882 | (6,073) | 43,405 |
(1)The figures have been restated to ensure comparability with the results at December 31, 2019, which are presented using business area as the primary reporting segment.
(2)Intangible assets include goodwill allocated by country, which was reallocated by business area in 2019 in the light of new breakdown of primary and secondary reporting segments for the purpose of IFRS 8 disclosures.
(3) Of which €4 million regarding units classified as “held for sale”.
(4)Of which €635 million regarding units classified as “held for sale”.
(5)Of which €5 million regarding units classified as “held for sale”.
(6)Of which €23 million regarding units classified as “held for sale”.
(7) Of which €19 million regarding units classified as “held for sale”.
(8) Of which €3 million regarding units classified as “held for sale”.
The following table reconciles segment assets and liabilities and the consolidated figures.
Millions of euro | ||
at Dec. 31, 2019 | at Dec. 31, 2018 | |
Total assets | 171,426 | 165,424 |
Equity investments accounted for using the equity method | 1,682 | 2,099 |
Non-current derivative assets | 1,383 | 1,005 |
Other non-current financial assets | 6,006 | 5,769 |
Long-term tax receivables included in “Other non-current assets” | 1,587 | 231 |
Current financial assets | 4,305 | 5,160 |
Current derivative assets | 4,065 | 3,914 |
Cash and cash equivalents | 9,029 | 6,630 |
Deferred tax assets | 9,112 | 8,305 |
Tax receivables | 1,206 | 1,282 |
Financial and tax assets of “Assets held for sale” | 80 | 21 |
Segment assets | 132,971 | 131,008 |
Total liabilities | 124,488 | 117,572 |
Long-term borrowings | 54,174 | 48,983 |
Non-current derivative liabilities | 2,407 | 2,609 |
Short-term borrowings | 3,917 | 3,616 |
Current portion of long-term borrowings | 3,409 | 3,367 |
Current financial liabilities | 754 | 788 |
Current derivative liabilities | 3,554 | 4,343 |
Deferred tax liabilities | 8,314 | 8,650 |
Income tax payable | 209 | 333 |
Other tax payables | 1,082 | 1,093 |
Financial and tax liabilities of “Liabilities held for sale” | - | 385 |
Segment liabilities | 46,668 | 43,405 |