Snam: 2020 results and investments mark an increase
- Total revenues: 2,770 million euros (+6.3% compared to 2019) due to investments contribution and growth in energy transition businesses, despite COVID-19 effects on gas demand;
- Adjusted EBITDA: 2,197 million euros (+1.3% compared to 2019) due to the positive contribution from new businesses and the continuation of efficiency plan projects;
- Adjusted net profit: 1,164 million euros (+6.5% compared to 2019) also attributable to greater income from equity investments and the significant decrease in net financial expenses;
- Proposed dividend: 0.2495 euros per share (up 5% in line with 2020-2024 strategic plan);
- New guidance on adjusted 2021 net profit: 1,170 million euros compared to the previous figure of approximately 1,130 million euros;
- Technical investments: 1,189 million euros (+23.5% compared to 2019);
- Net financial debt: 12,887 million euros (11,923 million euros as of 31 December 2019), following the achievement of the investment plan, the acquisitions carried out during the year and the share buyback.
The Board of Directors of Snam Spa, which met yesterday, chaired by Nicola Bedin, approved the consolidated financial statements and the draft annual financial statements for 2020 and the 2020 Consolidated Non-Financial Statement (NFS) prepared in accordance with the Italian Legislative Decree no. 254/2016. The Board also voted to propose the distribution of a dividend of 0.2495 euros per share to the Shareholders’ Meeting, of which 0.0998 euros per share was already distributed in January 2021 as an interim dividend.
Snam’s CEO, Marco Alverà, commented on the results: “In a difficult and uncertain year due to the pandemic, Snam has shown its essential role in guaranteeing the security of the energy supplies as well as its ability to carry out projects on time, combined with its commitment to local communities and areas. The positive results achieved in 2020 are the outcome of a long-term strategy undertaken in past years which benefit from the solidity of our core business, the growth in new energy transition businesses as well as the continuous attention to costs.
We increased investments by over 20%, recovered from all work delays due to the lockdown and finalised important projects such as the TAP. We further strengthened our positioning in the energy transition thanks to new acquisitions and new projects involving biomethane, energy efficiency and, above all, hydrogen. At the same time, our entry into the United Arab Emirates and the first agreements signed in India allowed Snam to further step into international markets.
These results were achieved thanks to the hard work of the people in Snam; with ESG factors playing a central role in our strategies, with the goal of serving as a leading player in the energy transition in the interest of all stakeholders, while contributing to the development of the local areas we work in. These commitments are also reflected in the updated company Bylaws and in our ambitious target of carbon neutrality by 2040″.
Revenues from new businesses, totalling 192 million euros, increased by 107 million euros with respect to 2019 thanks to growth in biogas and biomethane system contracts
by the subsidiary IES Biogas, residential energy efficiency activities and sales of compressors for sustainable mobility, as well as the entry of new companies within the scope of consolidation at the end of 2019 and in 2020.