Capital Markets Story - August 2021 including H1 2021 financials - EOn

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Capital Markets Story - August 2021 including H1 2021 financials - EOn
Capital
Markets
 Story
          August 2021
          including H1 2021 financials
Capital Markets Story - August 2021 including H1 2021 financials - EOn
Our purpose

Energy fuels human progress. At E.ON, we’re doing everything
we can to make the future better and to enable our networks
and energy solutions to connect people with one another.
Capital Markets Story - August 2021 including H1 2021 financials - EOn
E.ON business model fully focused on the energy transition

  Non-Core activities            Core activities: Customer centric energy infrastructure

       Up-stream &                            Power & Gas                                  Supply
       Power Generation                       distribution                                 business

                                           E.ON fully focusing on the energy transition

  Employees 2020          Dividend per share 2020               Group EBIT 2020                   Adj. Net Income 2020

  78,126                  €0.47                                 ~€3.8bn                           ~€1.6bn
                                                                                                                         3
Capital Markets Story - August 2021 including H1 2021 financials - EOn
E.ON’s two core businesses

Energy Networks                                                                               Customer Solutions

 ~€35bn              Regulated Asset Base                                                     ~53m                customers across Europe2
                     Germany €22.4bn                                                                              Germany 13.9m
                     Sweden €4.8bn                                                                                UK 10.3m3
                     CEE & Turkey €7.7bn1                                                                         Other ~28m

 ~78 GW              renewables capacity                                                      ~33%                of adj. EBIT4 from decentral
                     connected to E.ON networks                                                                   energy infrastructure

 ~20%                of renewable assets in Europe                                            Market leading positions with
                     connected to E.ON networks
                                                                                              4x Top 1 and 3x Top 2 in energy retail

1. 100% view for Slovakia and Turkey 2. Including at-equity participations; earnings of Customer Solutions business of Croatia, Slovenia and VSEH allocated to Energy Networks
due to size 3. To standardize reporting, the definition of customers was adjusted 4. Adjusted for non-operating effects, FY 2020                                                 4
Capital Markets Story - August 2021 including H1 2021 financials - EOn
Table of contents

1   H1 2021 update ………………..……………..……………………………………………………… 6

2   Investment highlights ……………………...……………………………………………………… 22

3   Appendix ……………………………...……………………………………………………………………… 48
Capital Markets Story - August 2021 including H1 2021 financials - EOn
H1 2021
 update
Capital Markets Story - August 2021 including H1 2021 financials - EOn
Positive momentum with guidance adjustment

Highlights                                            H1 key financials1          2021 FY guidance update
                                                      €bn
         Strong performance in H1 2021                                            Group EBITDA1    €7.6-7.8bn
         Excellent operations including progress on                                (€7.2-7.4bn)
         synergies and normalized weather                     3.2
         Technical adjustment of FY 2021 guidance
                                                       2.2
         EBIT1 guidance upgrade of ~€0.6bn due to                           1.8
                                                                                   Group EBIT1     €4.4-4.6bn
         adoption of law on the use of nuclear
                                                                      1.0          (€3.8-4.0bn)
         production rights
         Mid-term targets including synergies and
         dividend policy confirmed                     Adj. EBIT      Adj. Net
                                                                      Income      Adj. Net Income1 €2.2-2.4bn
         Floods in Germany - E.ON provides high                                    (€1.7-1.9bn)
                                                            H1 2020   H1 2021
         competence in crisis management
1. Adjusted for non-operating effects                                                                           7
Capital Markets Story - August 2021 including H1 2021 financials - EOn
Progress on our key priorities

                 Sustainability                      Digitalization                           Growth

• Ecological grid corridor                • IT renewal on track: increasing     • European ‘Fit for 55’: focus
  management: ~70,000 hectares              focus on cloudification               themes fully support E.ON’s
  along our high-voltage lines to                                                 growth ambitions
  become biotopes                         • Acceleration on digital sales
• #GenerationRestoration:                   platforms: total of 9.5m accounts   • CEO Alliance for Europe’s
  UNEP1 partnership for preventing,         migrated to E.ONnext and German       Recovery, Reform and Resilience:
  halting and reversing the                 digital sales platform                E.ON undertakes fundamental
  destruction of ecosystems                                                       role in the green energy transition
                                                                                  with own hydrogen activities

                                                                                                 European
                                                                                                 Green Deal

1. United Nations Environment Programme
                                                                                                                        8
Capital Markets Story - August 2021 including H1 2021 financials - EOn
Energy Networks Germany: initial proposal for
return on equity published

Allowed German pre-tax RoE1 for new assets                               First assessment
                                                                          • Proposed RoE is not sufficient to support investment
                                                                            needs for energy transition
   6.91%                                                                  • Proposal is not competitive in an international context
                                                                          • Market risk premium of 3.7% is lowest in any European
                                                       RFR2: 0.74%
   RFR2: 2.49%                                         MRP3: 3.7%           energy regulation, average ~5%6
   MRP3: 3.8%                                          Beta: 0.81
   Beta: 0.83
                                    minimum                              Further process
  3rd regulatory period4
                                    4.59%                                 • Consultation period for RoE for 4th regulatory period until
                                                                            25th August 2021
                                     Initial proposal for
                                     4th regulatory period5
                                                                          • Final RoE determination expected for October
                                                                          • Consultation period led to RoE increase in 2 (out of 3)
                                                                            previous regulatory periods
1. RoE = Return on Equity 2. RFR = risk-free rate 3. MRP = market risk premium 4. Gas: 2018-2022, Power: 2019-2023 5. Gas: 2023-2027, Power: 2024-2028   9
6. According to CEER report
Capital Markets Story - August 2021 including H1 2021 financials - EOn
Customer Solutions: increased demand for sustainable
offerings
Energy Infrastructure Solutions (EIS)   Future Energy Home (FEH)
FY 2021 outlook                         H1 2021 vs. H1 2020

           ~€500m capex                            +~30% revenue
           >€200m EBIT1                              +€30m EBIT1

1. Adjusted for non-operating effects                              10
Significant EBIT growth in all segments

EBIT1                                                                                                  Key drivers
€m
                                                                                                         +•   Covid-19 impact in 2020
       H1 2020                                  2,185                                        Energy    +/–•   Germany: normalized weather/
                                                                                           Networks           regulatory cycle
         Energy
       Networks
                                                  +125                                                   +•   CEE & Turkey: Slovakia - inclusion of VSEH2

      Customer
      Solutions
                                                        +358                                             +
                                                                                                         •    Covid-19 impact in 2020
                                                                   +978m                   Customer      +
                                                                                                         •    Normalized weather
Corp. Functions
                                                        +19
                                                                                           Solutions     +
                                                                                                         •    UK: restructuring benefits
 & Other, Cons.
                                                                                                         +
                                                                                                         •    Other: strong operational performance
       Non-Core                                                +476

       H1 2021                                                 3,163                       Non-Core      +
                                                                                                         •    PreussenElektra: nuclear production rights
                                                                                                              agreement (~€500m)

1. Adjusted for non-operating effects 2. Slovakian business acquired from RWE in Q3 2020                                                                    11
Adjusted Net Income amplified by lower refinancing costs
and tax
H1 2021
€m
                                                                                        vs. H1 2020:
 Group EBIT1                                                   3,163
                                                                                        +45%
    Economic
                                                        -496
interest result

        Profit
                                                       2,667
before Taxes1

Income taxes                                    -614               Tax rate at   ~23%
    Minorities                          -288
                                                                                        vs. H1 2020:
    Adjusted
 Net Income1
                                        1,765
                                                         0.68 EPS (€ per share)         +86%
1. Adjusted for non-operating effects                                                                  12
END unchanged despite high investments and dividend
payment
 €bn

                                                                                                                                                    -8.6
                                                          Asset Retirement Obligations (ARO)
          -8.7                                            Pension provisions
                                                          Net financial position
                                                                                                                                                    -6.4

          -8.1

                                                                                                                                                    -25.9

          -24.0
                                  +1.2                                             +1.7
                                                                                                                                  +0.1
          -40.7                                                                                           -1.5                                      -40.9
                                                          -1.6
          END                    OCF                Net Investments            Pensions2               Dividends                 Other              END
        FY 2020                 H1 2021                H1 20211                                                               (incl. AROs)         H1 2021
1. Net of divestments 2. Actuarial interest rates for German pensions at 1.1% (vs. 0.8% @ FY 2020), for UK pensions at 1.9% (vs. 1.4% @ FY 2020)             13
Upgraded Group guidance 2021 due to nuclear production
rights agreement

Group guidance
EBITDA1: €7.6-7.8bn                           EBIT1: €4.4-4.6bn             ANI1: €2.2-2.4bn
                  (€7.2-7.4 bn)                        (€3.8-4.0bn)                (€1.7-1.9bn)

Segment guidance1
Energy Networks                         Customer Solutions            Non-Core
EBITDA: €5.0-5.2bn           ✓          EBITDA: €1.4-1.6bn    ✓       EBITDA: €1.2-1.4bn (€0.8-1.0bn)
   EBIT: €2.9-3.1bn          ✓             EBIT: €0.8-1.0bn   ✓          EBIT: €0.8-1.0bn (€0.2-0.4bn)

1. Adjusted for non-operating effects                                                                    14
Mid-term delivery plan confirmed

                Dividend per share (DPS) growth up to 5% p.a.

                Group EBIT1 growth      Group EPS growth
                                                         1

                8-10%2 CAGR             12-14%2 CAGR
                Average cash conversion     Capital structure with strong

                rate3of 100%                BBB/Baa rating
1. Adjusted for non-operating effects, 2021-2023. 2. Based on FY 2021 guidance excluding earnings effect in EBIT of ~€0.6bn and ANI of ~€0.5bn from nuclear production   15
rights settlement 3. Excluding provision utilization for nuclear decommissioning, average for 2021-2023
Guidance overview
                                                                                                                                                     Change vs. May 2021

 €bn                                                                                              FY 2020                               2021                        2021-2023
 EBITDA1                                                                                            6.905                           7.6-7.8                    2-3%2 CAGR
           Energy Networks                                                                           5.199                           5.0-5.2
           Customer Solutions                                                                        1.006                           1.4-1.6
           Non-Core                                                                                  0.925                           1.2-1.4
           Corporate Functions & Other                                                              -0.225                             ~-0.2
 EBIT1                                                                                              3.776                           4.4-4.6                  8-10%2 CAGR
     Core EBIT                                                                                       3.363                                                    11-13% CAGR
          Energy Networks                                                                            3.253                           2.9-3.1
          Customer Solutions                                                                         0.454                           0.8-1.0
          Non-Core                                                                                   0.413                           0.8-1.0
          Corporate Functions & Other                                                               -0.344                             ~-0.3
 ANI1                                                                                               1.638                          2.2-2.4                 12-14%2 CAGR
 EPS1                                                                                               €0.63                     €0.84-0.92                   12-14%2 CAGR
 Dividend                                                                                           €0.47                    up to 5% p.a.                   up to 5% p.a.
 Capex3                                                                                             4.171                             ~4.9                           ~14
           Energy Networks                                                                           3.386                               ~3.5                           ~10.5
           Customer Solutions                                                                        0.790                               ~1.0                            ~2.8
 Debt factor                                                                                          5.9x                                                          4.8x-5.2x
1. Adjusted for non-operating effects 2. Based on FY 2021 guidance excluding earnings effect in EBIT of ~€0.6bn and ANI of ~€0.5bn from nuclear production rights               16
  settlement 3. Cash-effective investments including Corporate Functions & Other and Non-Core
Investment
  highlights
Why invest in E.ON?

                                             1   We commit to a sustainable dividend per share
                                                 growth of up to 5% annually until 2023 and further
                                                 growth beyond

                    Dividend
                    growth
                                             2   We are the green investment opportunity and we
                                                 enable the energy transition

              Customer centric
                   energy
               infrastructure                3   We focus on customer centric energy infrastructure
                                                 which is the core of our resilient portfolio

   Sustainability              Performance
                                             4   Performance culture is part of our DNA and we
                                                 continuously deliver on operational excellence
                                                                                                      18
We commit to annually grow the dividend, also beyond 2023

    Dividend per share
    €

                         0.43      0.46   0.47
                0.30
     0.21

     2016      2017      2018      2019   2020   2021      2022       2023        Growth
                                                                                  beyond

                 ✓ We delivered…                  …and will continue to deliver
                                                                                           19
Why invest in E.ON?

                                       Dividend
                                       growth

                                   Customer centric
                                        energy
                                    infrastructure

                      Sustainability              Performance

                                                                20
Net zero is the new normal – E.ON is driving carbon reduction

Global challenges                                                           E.ON’s contribution                                                      Focus SDGs5

 IPCC1 long term goal to limit global                                         Avoided emissions together with our clients

 warming to        1.5°C                                                      2020:     ~100m tons CO2
 German greenhouse gas emissions to be cut
                                                                              One out of five renewable
 by 55% by 2030
               2
                                                                              assets in Europe3 connected to E.ON’s grids

 Green Deal: The EU will be climate neutral                                   E.ON will become carbon neutral4

 by   2050                                                                    by   2040
1. Intergovernmental Panel on Climate Change 2. Pre Green Deal 3. Considering EU27 4. Carbon neutrality by 2040 (Scope 1 and 2), 75% carbon reduction by 2030
(Scope 1 and 2), 50% carbon reduction (Scope 3) by 2030, carbon neutrality by 2050 (including Scope 3). Base year: 2019 pro forma 5. UN Sustainable Development Goals   21
Achievements across all sustainability dimensions

       CO2               7% reduction in Scope 1 & 2 &
                      2020:                                                              Significant progress in integrating
                      ~100m tons of CO2 avoided with our clients                         climate & non-financial risks

                      80-85%
                      EU taxonomy aligned capex (2021-23)1                               ✓       Reporting integrated

                      >65% German onshore & >50% German
                      renewables connected to E.ON grid                                  Listed on prestigious   CDP A-list

                      20% female representation in management board2                     Preparation to receive validation
                      21% women managers

                                                                                         ✓
                      New remuneration system aligned with
                                                                                                Paper published
                      ESG targets                                      Just transition

1. Based on EU taxonomy eligible capex 2. From April 1, 2021                                                                   22
We take sustainability as our guiding principle

WE enable Europe to become carbon                                                                                            WE foster a diverse and
neutral                                                                                                                      inclusive culture
                                -75%1 by 2030                        CO2
             Scope 1 & 2
                                -100%1 by 2040                                                                                       32% proportion of women in
                                                                                                                                     management positions2
                 Scope 3
                                -50%1 by 2030
                                -100%1 by 2050

                           WE care for our people
                                               Reduction of serious incidents and fatalities frequency to                  0.1 by 20253
1. With reference to 2019 figures: Scope 1: 3.88m tons CO2eq, Scope 2: 4.82m tons CO2eq and Scope 3: 120.27m tons CO2eq
2. Reflection of overall proportion of women in the workforce 3. Serious incidents and fatalities frequency (SIF) was 0.12 in 2020                                23
80-85% of investments aligned with EU taxonomy

Investments 2021                                                                     Investments 2021-2023
€bn                                                                                  €bn

                                                      ~80%                                                                                          80-85%
                                                      EU taxonomy                                                                                   EU taxonomy
                     ~4.91                            aligned2                                                    ~141                              aligned2

                                                    Energy Networks          Customer Solutions         Other3

1. Cash-effective investments including Corporate Functions & Other and Non-Core 2. Based on EU taxonomy eligible Capex 3. Corporate Functions & Other and Non-Core   24
Decentralization means digitalization and efficiency potential

The complexity within DSOs is increasing ...
Decentralization drives system complexity                                                               E.ON provides digital solutions to capitalize on it
                                       Energy Management System
                                                                        Regional Energy Market
                                                                                                        EnergieMonitor & Klima-Navi
    Customer                                   Smart Home                                               Transparency about CO2-footprint and
     interface        Storage
                                                                                        CO2 Footprint
                                                                                                        impact of energy transition to
                                                                                        App
   (data usage)
                                                                                                        municipalities and customers
                                Asset Control Systems      Local Energy System

                                         Predictive
                                         Maintenance
                                                                          System                        Predictive Maintenance
                                                                          Flexibility
    Network                                                                                             Data-driven decisions with
                                                                                        Control
    operation                                           Data, AI
(data distribution)
                                                                                        Center          machine learning and artificial
                                         Asset
                                         Monitoring
                                                                         Automated Grid                 intelligence
                                                                         Planning

                          Generation                    Network                 Buildings               Grid Smartification
     Physical                                                                                           Intelligent substation and sensors
       assets
 (data generation)                         E-mobility                                                   collects real-time data from networks to
                                                            Broadband                                   enhance grid management
                                                                                                                                                              25
Why invest in E.ON?

                                       Dividend
                                       growth

                                   Customer centric
                                        energy
                                    infrastructure

                      Sustainability              Performance

                                                                26
Infrastructure is at the heart of E.ON’s capital allocation

                                                                                                                                                          ~10%
                                                                                   Energy                                                                 Retail
 Customer Solutions1                                                               retail2                                                            investments4
                                                                           Decentral energy
                                                                            infrastructure3

                                                                                                                                                          ~90%
                                                                                                                                                  Infrastructure
 Energy Networks1                                                   Regulated energy networks                                                         investments4

1. IFRS segments used in external reporting 2. Includes Energy Sales and Services and New Solutions 3. Includes Energy Infrastructure Solutions
4. Excludes investments in Corporate Functions & Other and Non-Core                                                                                                  27
Energy transition driving multi-decade investment
opportunities
Industry investments in German power distribution networks excluding Green Deal upside
€bn

          Drivers

                                                                                                        6.7
                                                               4.7
                      2.5

                      2010
                      2009                                     2020                                    2030                   2050
Source: Historic values: Bundesnetzagentur Monitoringbericht 2019. Future outlook: dena-Leitstudie Integrierte Energiewende
                                                                                                                                     28
1. Assuming 2% inflation beyond 2020
E.ON is the leading energy network company in
Northern and Central Europe
E.ON Regulated Asset Base (RAB) – regional split
€bn

     Total RAB1, 2

    34.9                              Sweden                                           Germany                                    CEE3,4 &Turkey4

    Power RAB           Gas RAB

                                       4.8                                             22.4                                                7.7

1. RAB is the value of all distribution assets determined by the regulator. In general, RABs from different regulatory regimes are not directly comparable due to significant
methodical differences. These include for example different regulatory asset lifetimes, asset valuation methods or treatment of customer contributions for network connections.   29
2. Differences may occur due to rounding 3. Central Eastern Europe including: Czech Republic, Hungary, Poland, Romania, Slovakia 4. 100% view for Slovakia and Turkey
Long-term RAB growth with further upside potential

E.ON Regulated Asset Base1 growth
€bn
                                                                                                                      Power
                        34.9                  4-5%                                                            • Multi-decade growth potential
                                                 CAGR2                                                          stemming from mega-trends

                                                                                                                      Gas
   Power                29.4
                                                                                                              • Optimizing our existing gas asset
                                                                                                                base with limited investment needs
                                                                                                              • Future growth option from hydrogen
        Gas              5.5
                         2020                                                2023                                                         Beyond

1. RAB is the value of all distribution assets determined by the regulator. In general, RABs from different regulatory regimes are not directly comparable due to significant   30
methodical differences. These include for example different regulatory asset lifetimes, asset valuation methods or treatment of customer contributions for network
connections, including 100% view for Turkey and Slovakia. 2. Relates to power RAB, assumes constant year-end 2020 FX-rates, excludes Hungarian restructuring
Three years of regulatory stability

Regulatory periods per country
                             2021             2022             2023             2024            2025              2026            2027              2028

    Germany (Gas)
           Slovakia1
 Poland2
           Turkey
    Czech Republic
           Hungary3
           Romania

                                                                                                    ~90% of the Energy Networks
           Germany
            (Power)

                                                                                                    EBIT4 is highly visible until 2024

            Sweden

1. Length of upcoming regulatory period still under discussion 2. Regulatory period: 2016-2020, prolonged by ‘transition’ year 2021 and most likely also 2022            31
3. Regulatory period power starting Apr 1st, 2021. Regulatory period gas starting Oct 1st, 2021. 4. Based on Energy Networks EBIT 2020, adj. for non-operating effects
We successfully manage regulatory reviews

  Regulatory updates in CEE & Turkey from 20211 onwards

                           new WACC:       Adjusted RAB
  CZ
         -1.4pp          ~6.5% (nominal)
                                           Increased eligible Capex and Opex
                           new WACC:
  HU
         -1.3pp            ~3.4% (real)    Introduction of regulatory account in     Earnings
                                           Poland                                  successfully
                           new WACC:
                                           Bonus WACC of 1-2pp for smart
                                                                                     retained
  TR     -1.3pp           ~12.3% (real)
                                           investments in Poland and Romania

                           new WACC:       Incentives for grid quality and EU
  RO +0.7pp                ~6.4% (real)    funding

1. Romania from April 2020 onwards
                                                                                                  32
Energy Networks Germany - Earnings components

  Illustrative average EBITDA1 split (2020-2023)                                               Illustrative average EBIT1 split (2020-2023)

 Regulated return                                                                          Regulated return
 and depreciation2                                      0 - 10%                            and depreciation2                                        0 - 15%

                                  ~30%
                                                         ~10%                                                                  ~35%                  ~10%
                                                                                                           ~50%
               ~60%
                                  ~10%                                                                                                               ~15%
                                                         ~10%
                                                                                                                          ~15%

                           Regulated income                                                                            Regulated income
                          from participations4                                                                        from participations4

                                          Operational Efficiency         Adjacent business3         Other earnings / temporary effects

1. Adjusted for non-operating effects 2. Includes return on RAB, difference between regulatory and IFRS D&A and revenues for grid expansion 3. Adjacent business includes
                                                                                                                                                                            33
e.g. water business, broadband, smart meter and technical network services 4. Consolidated at-equity / at-cost
Exemplary earnings components – more than return on RAB

      Illustrative EBIT composition1,2
                                                                                                                    Additional businesses /
         CAPEX driven                        Performance driven                   Timing and other effects
                                                                                                                            Other
         70% - 80%                                5% - 10%                                5% -10%                            ~5%

 Base allowed      Depreciation               OPEX performance &               Timing effects            Other      Additional        Other          EBIT Energy
   earnings         difference                 incentive earnings                                     (regulated)   businesses   (non-regulated)      Networks
(RAB x WACC)       (Reg. – IFRS)                                                                                                                   (Excl. Germany)

1. Consolidated EBIT composition for all Energy Networks countries (excluding Germany and Croatia).                                                                  34
2. Turkey, Slovakia ZSE and VSE with 100% view, while excluding CS business.
Impact of rising interest rates and inflation on
regulated earnings

 Time horizon   Impact of increasing interest rates and inflation

                                • Allowed WACCs/RoE are usually adjusted only once per regulatory period
 Short-term                     • Inflation-indexation in most countries with t+2 time-lag

                                • Allowed WACCs/RoE to gradually increase (with start of new regulatory periods)
 Mid-term                         due to higher interest rates
                                • Positive effect from inflation-indexation (double digit million effect p.a.)

                                • Higher allowed WACCs/RoE with start of new regulatory periods in all countries
                                Sensitivities
 Long-term                      • Allowed WACCs/RoE : +1% in regulatory return rate leads to triple digit million
                                  Euro increase of allowed returns p.a.
                                • Inflation-indexation: +1% in inflation leads to a high double digit million Euro
                                  increase p.a.

                                                                                                                     35
Key events for upcoming 4th German electricity
network regulation period

                                                       July 2021                     August 2021
                                                       BNetzA has published the      Public consultation in
                                                       preliminary decision on the   written form until
                                                       RoE together with the         25th August
                                                       consultancy opinion laying
                                                       out a minimum value of
                                                       4.59%

       Q1 2021               Q2 2021                                  Q3 2021                                            Q4 2021

                                                                                             October/November 2021                 Following
                                                                                                                                   final RoE
                                                                                             Final decision on the RoE
                                                                                                                                   decision
                                                                                                for the 4th regulatory
                                                                                                period expected to be              Potential
                                                                                                     taken by BNetzA               appeal process

1. Not expected to be published before preliminary BNetzA decision
                                                                                                                                                    36
Energy Infrastructure Solutions (EIS)
Core part and growth driver of Customer Solutions
 Core regions

 Growth regions
                                      Customers                           >1.5 m

                                      # of plants                         ~4,100

                                      Heat, chill & steam production    ~19 TWh

                                      Electricity production            ~12 TWh

                                      Heat, chill, steam grids         ~5,000 km

                                      Sales 2020                          ~€2bn

                                      EBIT CAGR 2021-2023                 ~15%
  Serving customers all over Europe
         across 15 countries
                                                                                   37
EIS provides energy solutions to four customer segments based
on three business models

Core customer                                                                                       Public &
                  Real estate                    Commercial                 Industry
segments                                                                                         municipal entities

                                Core solutions

Solutions
                                                         Energy      Waste heat   Local energy    Digital
                Heat       Cooling         Power        efficiency    recovery     networks      services   E-mobility

Core business
                Full service contracting              Design, build & operate             Operation & maintenance
models
                                                                                                                         38
Future Energy Home (B2C Solutions)
New growth area in Customer Solutions
                                                                                                                                                       2020 actuals
    Future Energy Home
    regions
                                                                                        Hardware devices1 installed                                        ~100k

                                                                                        Service & maintenance contracts                                    >1.2m

                                                                                        Yearly CO2 savings2                                              >325 kt

                                                                                        E.ON Home app customers3                                        >10,000

                                                                                        Sales 2020                                                      ~€0.7bn

                                                                                        EBIT CAGR 2021-2023                                                >25%
             Market leading in Europe
         serving customers in 10 countries
1. Including PV & battery, heating & cooling devices (boiler, heat pump, AC) 2. Savings by customers due to installed devices 3. Connected customers                  39
Future Energy Home and eMobility enable customers to reduce
  their CO2 footprint with sustainable energy solutions
                                                       PV & Storage
                              PV & Storage
                                                       Sale and installation of PV & battery with service/energy bundles
                              E.ON Home App            Battery sales more than doubled in 2020
                              EV charging              Home Heating
                              Home Heating             Sale and installation of efficient heating with service & maintenance
                                                       Heat pump sales more than doubled in 2020
    Energy bundles            Services & Maintenance
                                                       E.ON Home app
   B2C: Wallbox, services,                             Home energy management app to control energy flows in the home
                   energy                              (PV & battery, heat pump, air conditioning, EV charging, smart meter)

B2B/Cities: Design, build &                            eMobility
 operate charging solution                             B2C: Wallbox and services with integration in Future Energy Home ecosystem
   eMobility infrastructure                            and time-of-use energy tariffs
      (charge on the road)                             B2B/cities: Design, build & operate charging solutions
                                                       Operating >13.000 charging points across Europe
                                                                                                                               40
Customer numbers B2B & B2C

Customer accounts (m)1                                                                     Thereof: electricity customers (m)1
                                  0%                                                                       41.0               0%               41.1
               52.1                                52.1                                                    11.7                                11.7
                                                                                                            6.2                                6.1
                                                                                                    2.2                                                2.2
               13.9                                14.0                                                    10.8                                10.9
                                                                                                           10.1                                10.2
               10.3                                10.0                                                   FY 2020                           H1 2021
                4.1                                 4.1                                    Thereof: gas customers (m)1
                                                                                                           11.1               0%               11.0
               13.7                                13.8
                                                                                                            2.2                                 2.3
                                                                                                            4.1                                 3.9
               10.1                                10.2                                             1.9                                                1.9
                                                                                                            2.9                                 2.9
             FY 2020                             H1 2021
                                                                                                          FY 2020                           H1 2021
      Germany          UK         Benelux3         Other2        Turkey

1. Including at-equity participations 2. Incl. Sweden, Italy, Czech Republic, Hungary, Croatia, Romania, Poland, Slovakia 3. 2020 adjusted due to the disposal of Essent BE   41
Why invest in E.ON?

                                       Dividend
                                       growth

                                   Customer centric
                                        energy
                                    infrastructure

                      Sustainability              Performance

                                                                42
Synergy delivery fully on track

Net synergy targets1                                                                                                 Synergy delivery by division
€m
                                                                                      ~780
                                                       ~740
                                       ~310
                                                                                                                                                         29%
                                                                                                                       52%

                         130✓
          40✓                                                                                                                                            19%
         2019            2020           2021            2022           2023            2024

                                                                                                                                 Customer Solutions
    ✓ Transaction completely digested                                                                                            Energy Networks
    ✓ Central voluntary leave program successfully concluded                                                                     Central Functions, IT and Other

    ✓ Future operating model successfully implemented

1. Net accretive to EBIT, EBIT adjusted for non-operating effects and before implementation costs (implementation costs not included in adjusted EBIT)
                                                                                                                                                                   43
UK transformation ahead of plan

                  2020                                  2021                         2022

    Migration of npower B2C + SME               ✓
                         Wind down npower operations

                                            Migration of E.ON UK B2C + SME

                         Ramp up of E.ON Next

 Key achievements                                Priorities for 2021
 • npower wind down in last stage                • Wind down all npower operations
 • All npower customer accounts migrated         • Deliver on E.ON UK account migration
 • E.ONnext operations ongoing
                                                                                            44
Renewal of IT architecture to drive operational excellence
in Customer Solutions
Germany: Substantial ramp up of contracts to digital platform   UK: Over 4mn accounts now migrated to the E.ONnext platform

million contracts of E.ON core brand                            million accounts                                       All UK
                                                                                                                      accounts
                                                       >8                                                             migrated
                                       ~6.5
                          >5.1 ✓
       >4.0   ✓                                                                                        >4.4 ✓
                                                                                      >2.0
                                                                                             ✓
                                                                       >1.0 ✓

     FY 2020              H1 21        FY 21          FY 22          FY 2020          Q1 21           H1 21            FY 22

 • Already today at competitive Cost-to-Serve level             • High customer satisfaction at E.ONnext with Trustpilot rating of
                                                                  4.4 (out of 5)
 • Ambition: reduction to market leading level at
   low teens (€/customer)                                       • E.ON UK migration with up to 150k accounts per week

                                                                                                                                     45
E.ON’s performance culture adds sustainable
value to businesses and customers
German power network efficiency scores                                     Sweden power network efficiency scores

      >€600m additional revenues                                            100%
      in regulatory period1                                                                           E.ON grids

          100%
                                                                                     Very efficient
                                                                             85%
                                   95%
                                              Industry average 94%

                                                                                     Efficient
                                                                             70%
     8/9 E.ON grids          1/9 E.ON grids

8/9 E.ON networks obtain a 100% efficiency score,                          All E.ON grids considered very efficient, with 2/3
with 3 obtaining a super efficiency bonus                                  being 100% efficient
1. Based on ~€4bn allowed power cost base relevant for efficiency factor
                                                                                                                                46
Financial Update
               47
Strict capital allocation framework leads to sound
investment profile
Sustainability focus                                    Return framework                                 Capital allocation in line with business priorities

Sustainability criteria:                                  Hurdle rate composition:                       Indicative hurdle rates2:

✓    Enable energy transition                                     WACC
                                                      (country & technology specific)
     Supporting SDGs1
                                                                                                                       6-11%
✓
✓    Reduce customers‘ emissions                       Project specific risk premium                               4-9%
     Human rights violations
                                                     E.ON Group excess return target
     Carbon heavy generation
                                                                                                          3-8%

     Environmental degradation                                    Hurdle rate

1. UN Sustainable Development Goals 2. Illustrative hurdle rate ranges; post tax. Final hurdle is risk adjusted for each project and might vary 3. Includes New Solutions and
Energy Sales and Services 4. Includes City Energy Solutions and B2B Solutions 5. Excludes investments in Corporate Functions & Other and Non-Core                               48
Regulated earnings split share

EBITDA 20201
€bn
                                                                                                       regulated
                                                                                          • Regulated or quasi

                                                                                              Earnings share of ~77%
                                                      ~77%
                                                      (Quasi-)regulated
                                                      earnings
                                                                                                               strong
                                                                                          • Network operations in countries with
                      6.9
                                                                                              regulatory frameworks
                                                                                          • Customer Solutions and Energy Networks

         Energy Networks           Customer Solutions          Other2
                                                                                              diversified across European countries
1. Adjusted for non-operating effects 2. Other includes Corporate Functions & Other and Non-Core
                                                                                                                                      49
E.ON allocates ~90% of investments to infrastructure

Investments 2021                                                                     Investments 2021-2023
€bn                                                                                  €bn

                                                      ~90%2                                                                                        ~90%2
                                                      infrastructure                                                                               infrastructure
                       ~4.91                                                                                     ~141

                                                Energy Networks          Customer Solutions          Other3

1. Cash-effective investments including Corporate Functions & Other and Non-Core 2. Based on investments in Energy Networks and Customer Solutions 3. Corporate
Functions & Other and Non-Core                                                                                                                                      50
Investments in Customer Solutions also with strong focus
on infrastructure
Energy Networks 2021-2023                                      Customer Solutions 2021-2023
€bn                                                            €bn

                                              100%                                                    ~70%
                    ~10.51                    infrastructure
                                                                                ~2.81                 infrastructure

                                                                       B2B Solutions             IT driven retail investments
                                                                       City Energy Solutions     New Solutions
                    Power       Gas   Other
                                                                       UK smart meter roll-out   E-mobility
1. Cash-effective investments
                                                                                                                                51
Networks Capex breakdown 2021-2023

Germany                         Sweden                                    CEE
€bn                             €bn                                       €bn

                     7.31                       1.21                                    2.01

 ~55%                           ~50%                                      ~60%
 investment in expansion        investment in expansion                   investment in expansion
                                  Maintenance    Grid expansion   Other

1. Cash-effective investments
                                                                                                    52
Attractive Group earnings growth driven by core business

   EBIT1                                                                                                                  Mid-term outlook core EBIT1
   €bn                                                                                                                    CAGR
                                 4.4-4.6

          3.8
          0.4

          3.3
                                                                                                                                11-13%
                                                                                                                                   Core CAGR
         2020                      2021                      2022                     2023                                            2021-2023

Guidance:          Core       Non-Core2
1. Adjusted for non-operating effects 2. In 2023 Non-Core consists of Enerjisa Üretim only – no production of PreussenElektra
                                                                                                                                                        53
Earnings growth resulting from both Energy Networks and
Customer Solutions
   Energy Networks EBIT1                     Mid-term outlook1   Customer Solutions EBIT1        Mid-term outlook1
   €bn                                                           €bn
                                                                                0.8-1.0
               3.3
                            2.9-3.1
                0.7
                                                                        0.5
                0.4                                                      0.1
                                                                         0.1

                2.2
                                                                         0.4

               2020            2021             2021-2023               -0.1      2021              2021-2023

                                                                        2020

Guidance:         Germany           Sweden     CEE & Turkey        Guidance:   Germany      UK   Benelux   Other
1. Adjusted for non-operating effects
                                                                                                                     54
Strong double digit EPS growth

Adjusted Net Income1                                         Earnings per share1                                       Mid-term outlook1 2
€bn                                                          €                                                         CAGR
                          2.2-2.4

              1.6
                                                                           0.63 0.84-0.92
                                                                           Payout

                                                                                                                              12-14%
                                                                            ratio
                                                                             76%

             2020            2021                                           2020           2021                                             2021-2023

                                       Refinancing benefits until 2023 of ~€150m3
1. Adjusted for non-operating effects 2. Based on FY 2021 guidance excluding earnings effect in ANI of ~€0.5bn from nuclear production rights settlement 3. Amount of
                                                                                                                                                                        55
refinancing benefits depends largely on refinancing conditions at time of bond issuance
Clear set of deleveraging measures

Economic Net Debt
€bn
             FY 2020
                                           “Beat the
                 -8.7                                               • Further outperform the provisions by ~€0.5bn until 2022
                                           provisions”

                                           “Focus on the            • Asset performance to outperform the liability
                 -8.1
                                           long end”                • Interest rate sensitivity of GER pensions1: +50bps → - ~€1.5bn

                                                                    • Working Capital optimization program of ~€1.0bn
                                           “Manage for
                                           cash”                    • ~100% Cash conversion rate2
                -24.0                                               • Disposal proceeds ~€1.5bn (e.g. restructuring Hungary, disposal
                                                                      Belgium)
               -40.7                                                • Settlement of nuclear lawsuits: Cash inflow of ~€500m3 expected

      Asset Retirement Obligations         Pensions         Net financial position

1. Net sensitivity of DBO and assumed interest rate sensitivity of German plan assets. UK pension obligations largely funded 2. Cash Conversion Rate (CCR) = (OCF bIT+
                                                                                                                                                                         56
provision utilization nuclear)/EBITDA 3. Including compensation for frustrated investments of €42.5m
Accelerated progress towards debt factor target of 4.8x – 5.2x

Debt factor1

                                                                                             Guidance range for
                                         5.9x                                        debt factor of 4.8x-5.2x
                                                                                          in line with rating target

      Strong 5.2x
    BBB/Baa
rating target 4.8x

                                        2020                          2021                           2022                          2023
1. Economic Net Debt/EBITDA, EBITDA adjusted for non-operating effects. Based on interest rates as of 30.06.2021 with pension discount rates of 1.1% and 1.9%
for Germany and the UK respectively                                                                                                                             57
Dividend commitment fully in line with deleveraging

  EPS1 2 above DPS growth…                                      …lowers payout ratio…                                            … allowing deleveraging and
                                                                                                                                 sustainable dividend growth

                                                                                                                                 5.9x             Strong BBB/Baa rating
                                                                                                                                                          target
                                                                       76%
                                                                    Payout ratio
                                                                                                                                                             4.8x - 5.2x

2021                   2022                     2023                    2020                     2023                             2020                2022             2023

  1. Adjusted for non-operating effects 2. Based on FY 2021 guidance excluding earnings effect in ANI of ~€0.5bn from nuclear production rights settlement
                                                                                                                                                                              58
Funding strategy
                                  2021 expected below
                                     annual range

    Volumes
                      €2-4bn p.a.                       • Bond refinancing
                                                        • Cash utilization of asset retirement obligations

     Tenors
                   3-12 years preferred                 • Optimize maturity profile and interest costs
                                                        • Redemptions on any single day capped at €1bn

  Green bonds
                         >50%                           • Going forward, majority of funding via green bonds
                                                          aligned with EU Taxonomy

  Currencies
                       EUR preferred                    • Predominantly Euro-based asset base

                                                        • Regular and green bonds
                                                        • Private placements & promissory notes

 Diversification
                   Instrument variety                     (Schuldscheindarlehen)
                                                        • Commercial paper                                     59
Bond maturities

Bond maturities as of end H1 20211
€bn                                                                                                                                                           17.2
                                                                                        Refinancing benefits
     Volume
%    Coupon                                                                                      until 2023 of up to
                              1.5                                                                   ~€150m2
                                                                      1.3
                     1.2
 1.0      5.7%               0.0%                           1.1
                                                  5.9%               5.6%
                                                                                                              0.9
                                                                                          0.8                                    0.8       0.7
                   0.0%                                                                                               3.9%
                                                                                                    0.5
6.5%                                                       0.4%
                             0.8%                 0.3                0.0%                3.0%               0.0%                1.0%      1.0%
                   5.5%                                                                            0.9%
                                                 5.5%

 Q3                  Q3        Q4                 Q1        Q2        Q4                  Q1        Q2        Q3                 Q2        Q4                >2025
2021                2022      2022               2023      2023      2023                2024      2024      2024               2025      2025
1. Bonds issued by E.ON SE and E.ON International Finance B.V. (fully guaranteed by E.ON SE); bond issued by innogy Finance B.V. (fully guaranteed by innogy SE)
                                                                                                                                                                     60
2. Amount of refinancing benefits depends largely on refinancing conditions at time of bond issuance; amount reflects the benefits compared to FY 2020
Benchmark bonds of E.ON Group as of August 11, 20211

                                    Volume in millions in                                                                    Volume in millions in
Issuer                               respective currency    Coupon        Maturity        Issuer                              respective currency     Coupon        Maturity
E.ON International Finance B.V.             1,000 EUR       6.500%        Aug-21          E.ON SE                                      500 EUR        0.750%         Feb-28
E.ON International Finance B.V.               500 GBP       5.500%          Jul-22        E.ON SE                                      600 EUR        0.100%         Dec-28
E.ON SE                                       500 EUR       0.000%         Sep-22         E.ON SE                                      750 EUR        1.625%        May-29
E.ON SE                                       750 EUR       0.000%         Oct-22         E.ON International Finance B.V.            1,000 EUR        1.500%          Jul-29
E.ON International Finance B.V. 2             750 EUR       0.750%        Nov-22          E.ON SE                                      750 EUR        0.350%         Feb-30
E.ON SE                                     1,000 EUR       0.375%         Apr-23         E.ON International Finance B.V.              760 GBP        6.250%         Jun-30
E.ON International Finance B.V.               488 GBP       5.625%         Dec-23         E.ON SE                                      500 EUR        0.750%         Dec-30
E.ON SE                                       750 EUR       0.000%         Dec-23         E.ON SE                                      500 EUR        0.875%        Aug-31
E.ON International Finance B.V.               800 EUR       3.000%         Jan-24         E.ON SE                                      750 EUR        0.600%         Oct-31
E.ON SE                                       500 EUR       0.875%        May-24          E.ON SE                                      500 EUR        0.625%        Nov-31
E.ON SE                                       750 EUR       0.000%        Aug-24          E.ON International Finance B.V.3             975 GBP        6.375%         Jun-32
E.ON International Finance B.V.               750 EUR       1.000%         Apr-25         E.ON International Finance B.V.              600 EUR        5.750%         Feb-33
E.ON SE                                       750 EUR       1.000%         Oct-25         E.ON International Finance B.V.              600 GBP        4.750%         Jan-34
E.ON International Finance B.V.               500 EUR       1.625%        May-26          E.ON International Finance B.V.              900 GBP        5.875%         Oct-37
E.ON SE                                       750 EUR       0.250%         Oct-26         E.ON International Finance B.V.4           1,000 USD        6.650%         Apr-38
E.ON SE                                     1,000 EUR       0.375%         Sep-27         E.ON International Finance B.V.              700 GBP        6.750%         Jan-39
E.ON International Finance B.V.               850 EUR       1.250%         Oct-27         E.ON International Finance B.V.            1,000 GBP        6.125%          Jul-39

1. Only bonds ≥€500m equivalent, all bonds are listed in Luxemburg, with exception of the unlisted USD bond under 144A/Regulation S 2. The bond was increased from €500m
                                                                                                                                                                               61
to €750m 3. The bond was increased from £850m to £975m 4. Bond issued under rule 144A/Regulation S
Maintaining a substantial liquidity buffer is a cornerstone of
E.ON’s risk management

                                • €1.5bn in cash & equivalents                Key takeaways
   Large volume of
                                • €1.2bn in short-term securities
   liquidity1
                                • €1.8bn of non-current securities

                                • Early refinancings successfully completed
   Bond refinancing                                                           Liquidity risk minimized
                                • 2021 funding needs expected to be covered

                                • Undrawn €3.5bn Revolving Credit Facility
   Back-up RCF                    (RCF), fully committed by 21 banks, no
   available                      MAC-clause2
                                • Extended by one more year until 2025

1. As per 30.06.2021 2. MAC = Material Adverse Change
                                                                                                         62
New Green Bond Framework overview:
Framework structure in line with draft EU Green Bond Standard
                                     Process for selection
     Green assets &                                                          Management of                                                                   External
                                     of green green assets                                                             Reporting
         capex                                                               use-of-proceeds
                                                                                                                                                 +
                                           and capex                                                                                                        verification
                                      • All projects directly             • E.ON strives to maintain a         • Annual reporting on net
 •   Electricity Networks (DSO)
                                        contribute to, or enable            portfolio matching/                  proceeds
 •   Renewable Energy
                                        Climate Change Mitigation           exceeding outstanding              • (Environmental) impact
 •   Energy Efficiency
                                      • Eligible green activities           green bonds                          reporting
 •   Clean Transportation
                                        considering IFRS balance          • Projects will be added on          • Reporting in sustainability
                                        sheet values or CapEx               an on-going basis                    report (audited2)
                                      • DNSH1 assessment for all          • Eligible green portfolio
                                        eligible activities                 monitored by Green Bond
                                      • Eligibility assessment              Committee
                                        overseen by Green Bond
                                        committee, chaired by CFO

                            ICMA Green Bond Principles 20183
Framework is aligned with the

Detailed assessment of full EU Taxonomy alignment in SPO
                                        4                                                                                     5

1. DNSH: Do no significant harm. 2. Limited assurance. 3. https://www.icmagroup.org/green-social-and-sustainability-bonds/green-bond-principles-gbp/
                                                                                                                                                                           63
4. EU classification system for environmentally sustainable economic activities, draft delegated act as published in November 2020. 5. SPO: Second party opinion.
Green Bond asset and capex categories

Electricity Networks (DSO)                         Renewable Energy                              Energy Efficiency                        Clean Transportation

All distribution infrastructure               Renewable energy production                 Integrated on-site business                  EV charging stations and
     and equipment in the inter-              and storage including3                      and city energy solutions,                   supporting infrastructure
    connected European System1                                                            including but not limited to:3
                                              • Wind power and solar PV
     as EU Taxonomy compliant                 • Bioenergy (Biomass, Biogas                • District heating
+                                               and Biofuels)
                                              • Hydrogen production,
                                                                                          • Production of heating/
                                                                                            cooling from waste heat
 Additional assessment on a                     storage and distribution                  • Cogeneration of heating/
 grid’s ‘greenness’, considering                                                            cooling and electricity from
 new green grid connections or                                                              bioenergy and geothermal
 grid emission factor2                                                                      energy

                Green distribution grid activities are the core of E.ON’s
                Green Bond portfolio
1. E.ON will exclude connections other than wind or solar energy as a proxy for connections of energy production facilities > 100g CO2/kWh 2. >67 % of newly connected
                                                                                                                                                                         64
generation capacity in the system
PreussenElektra – Further ambition to ‘beat the provisions’

Solid track-record already until 2020                                                 Nuclear Asset Retirement Obligations1
• Bundling of decommissioning activities                                              €bn
                                                                                                 2016     2017     2018       2019   2020
• Procurement successes by ‘convoy approach’
• Operational progress according to plan

Further optimization already planned and in execution                                                                          -9     -8
                                                                                                           -10     -10
• Decommissioning preparations starting early
• Operational excellence lifting dismantling performance
  to next level (e.g. by increasing industrialization)
                                                                                                  -21

1. In 2017 implementation of KFK solution (transfer of ~€10bn to German government fund)
                                                                                                                                            65
Appendix
           66
E.ON business segmentation

  IFRS reporting divisions
             Energy Networks                                       Customer Solutions                            Corporate                         Non-Core
                                                                                                                Functions &
        DE             SWE         CEE1 & TR                  DE         UK       Benelux2 Other3                                              PE4            TR Gen5
                                                                                                                   Other

                    Power grid                                                             Energy
                                                                  Energy                  sales and
                     Gas grid                                 Infrastructure               services
                                                                Solutions
                                                                   (EIS)                    New
             Additional businesses
                                                                                          Solutions

                  Regulated                           Decentral energy                   Energy
                  networks                             infrastructure                     retail

                                  Infrastructure
1. Central and Eastern Europe, including Czech Republic, Hungary, Poland, Romania, Slovakia, Croatia and Slovenia 2. Belgium, The Netherlands and Luxemburg
                                                                                                                                                                        67
3. Including Czech Republic, Hungary, Italy, Poland, Romania, Sweden, Turkey 4. PreussenElektra 5. Turkey Generation
Climate targets and progress on GHG emissions
 E.ON‘s commitment                                                          E.ON‘s progress
 Climate targets communicated                                               GHG emissions development (million metric tons)
                                                                                      Scope 1                                        Scope 2                            Scope 3
                                                                                                                                                                             -10%

     Scope                 -75%1 by 2030                                                                                                                         120.1
                                                                                                                                                                                         108.1
     1&2                   -100%1 by 2040                                                                                                -7%
                                                                                           -8%                                 4.8
                                                                                                                                                                   44.3
                                                                                                                                                      4.5                                  41.8
                                                                               3.9                       3.6
                                                                                1.9                                                                                70.8                    61.3
                                                                                                          1.8                  4.5                     4.2
                                                                                1.9
                           -50%1 by 2030                                                                  1.7

    Scope 3                                                                  20192                       2020                 20192                 2020         20192                    2020
                           -100%1 by 2050                                 Fuel combustion (building heat, company vehicles)    Power distribution losses5       Power/heat generation (leased assets) and other3,6
                                                                          Power and heat generation3,4                         Purchased power                  Purchased goods and services
                                                                          Fugitive emissions                                                                    Combustion of natural gas sold to end-customers7
                                                                                                                                                                Purchased power sold to end-customers7

1. With reference to 2019 figures: Scope 1: 3.88m tons CO 2eq, Scope 2: 4.82m tons CO2eq and Scope 3: 120.27m tons CO2eq 2. Prior-year figures have been adjusted due to the subsequent adjustment
of certain figures. 3. From 2019 onward, emissions from power and heat generation are divided into emissions from plants owned and operated by E.ON (Scope 1) and emissions from plants leased to,
and operated by, customers (Scope 3). 4. The Greenhouse Gas Protocol and DEFRA attribute no direct CO2 emissions to energy generated at renewable facilities and nuclear power stations. This figure
includes emissions from power and heat generation from CHP assets leased to B2B customers since 2018. 5. Based on the emission factors of the national electricity mixes for specific regions.
6. Other incl. e.g. employee commuting and business travel 7. Scope 3 emissions from purchased power and the combustion of natural gas sold to end-customers are from energy sold to residential     68
and B2B customers only. Energy sold to sales partners and the wholesale market is not included.
Sustainability reporting 2020
Integration                                                                                                Sustainability Report 2020 will
                                          Successful integration in content and data collection process
  innogy                                                                                                   be fully consolidated reporting

                     2019                                                            2020

              • In 2020 we intensified our efforts to manage the interface between sustainability
   Risk                                                                                                   Significant progress in integrating
                and risk management.
Management                                                                                                  climate and non-financial risks
              • Climate risk assessment was organizationally integrated into the Group’s
  & TCFD                                                                                                   into risk management processes
                Enterprise Risk Management (“ERM”).

              • Social impact of climate action has the power to either accelerate or prevent              New climate paper published to
    Just        progress to decarbonize the energy sector                                                    support the annual climate-
 Transition   • Just Transition: Just Transition ensures that social issues are taken into                   related TCFD disclosure and
                account in moving to a low carbon economy.                                                 transparency on Just Transition

              • SASB: Industry-specific standards that identify the subset of sustainability-             Initiated reporting against SASB
   SASB         related risks and opportunities most likely to affect a company’s financial                 in Sustainability Report 2020
 Reporting      condition, operating performance or risk profile                                               (excluded from auditors
              • Interest in SASB by investors & capital market on the rise                                            assurance)

               Focus SDGs of core business               Further contribution
 Impact on                                                                                                  E.ON‘s business with strong
   SDG                                                                                                      positive impact on key SDGs
                                                                                                                                                69
E.ON‘s sustainability ratings

            Rating: AA
   Text 1   Rated on a AAA to CCC scale
            High relative performance                                    E.ON listed on
            ESG Risk Rating: 18.2 (low risk)
   Text 1   Rated on a 0 to 40+ scale
            Rank 3 out of 62 in subindustry group

            Rating: 61
            Scored on a 0 to 100 scale
   Text 1   Rank 19 out of 61 in industry group, highest                      A List
            performance level (“Advanced”)
                                                                          Leadership score
            Rating: C+
            Rated on a D- to A+ scale
                                                                              Top 5%
   Text 1
            Decile rank 2 in industry group, high relative performance
                                                                                             70
Building blocks of allowed revenues in Germany

Schematic illustration for 2020 (power & gas)
€bn
                    ~21.2
       Gas           ~1.1
     (New)                                                                                  Totex indexed to
      Gas            ~3.4                                                                   CPI and subject to            Thereof:                             Thereof:
      (Old)                                                                                 general and individual     ~4.0 power                            ~8.5 power
                                                                                            efficieny targets          ~0.7 gas                              ~1.1 gas

     Power          ~10.2
     (New)                                                                                                                                         ~9.6

                                                                                                     ~4.7
                     ~6.5                              40% Cap                       Opex            ~3.0
     Power
      (Old)
                                                                                                     ~1.7        Capital Costs

              Regulated asset            Debt   base2            Regulated equity             Total allowed             Adjustment of       Allowed revenues
                  base1                                               base                      cost base              revenues, lagged
                                        (related to actual
              Old assets: current                                (related to regulatory          (Totex)                recoveries and
              costs; new assets:        capital structure,          capital structure,
                                         minimum 60%)                                                                 pass-through items
                historic costs                                      maximum 40%)
1. Old assets are those capitalized before January 1, 2006. New assets are those capitalized after January 1, 2006. Old assets are indexed up to 40% with asset-specific indices to
                                                                                                                                                                                      71
determine the current costs. Relevant asset base for calculation of allowed return in 2020 is 2016 for power and 2015 for gas 2. Debt base consists of non-interest and interest
bearing capital
Upcoming regulatory events in the next 3 years

                                                                                                                            SWE          Q3        GER
                                                              January                                                                    Determination of
                                                                                                                  Regulatory review
                                                                                                                                         efficiency factor power
                                                         PL   Start of new regulatory period          PL            for start of new
                                                                                                                                         (general & individual) for
                                                              (possible shift to 2023)                               period in 2024
              April                          October /                                                                                   4th reg. period by
                                             November                                                                                    BNetzA
POWER

         HU   Start of new             GER
                                                                             End of June                          January
              regulatory period              Determination
                                                                                                                                         November         GER
                                             of return on               GER Submission of cost              SVK Start of new
                                             equity                         appraisal to                        regulatory               Determination of
                                             expected                       BNetzA (power)                      period                   revenue cap (EOG)
                                             (gas/power)                                                                                 for power by BNetzA

                          2021                                                 2022                                               2023

           End of June                  October                            GER        Q3         November         GER

          Submission of GER       HU    Start of new                     Determination of        Determination
GAS

          cost appraisal                regulatory                   efficiency factor gas       of revenue cap
        to BNetzA (gas)                 period                  (general & individual) for       (EOG) for gas
                                                               4th reg. period by BNetzA         by BNetzA

                                                                                                                                                                72
Continuous improvement in operative performance
increases security of supply
SAIDI1,2 2019 vs. 2020                                                                               Power losses5 2019 vs. 2020
Germany                                                                                             Germany                                                                      TWh

                                    -12 %                                                                                                  -1 %
                 25.0                                        22.0                                                     7.26                                         7.1

                2019                                         2020                                                    2019                                        2020

Sweden                                                                                              Sweden                                                                        TWh
                122.0
                                   +20 %3                   146.0                                                                          0%
                                                                                                                      1.1                                          1.1

                2019                                         2020                                                    2019                                        2020

CEE4                                                                                                CEE7                                                                          TWh
                214.0               -14 %                   184.0                                                                          -8 %
                                                                                                                      4.26                                         3.9

                2019                                         2020                                                    2019                                        2020
1. System Average Interruption Duration Index (minutes per year) 2. Figures are for the respective previous year: 2020 for 2019, 2019 for 2018. Prior-year figures were adjusted to reflect a new
calculation methodology 3. SAIDI increase due to weather related effects (e.g. a severe hurricane) in summer 2020 4. Calculated as arithmetic average of respective countries. 5. Aggregated        73
values for innogy and E.ON from 2019 onward. 6. Prior-year figures have been adjusted due to the recalculation incl. innogy. 7. CEE covers Czechia, Hungary, Poland, Romania.
RAB growth further supported by local drivers

Power RAB development                                                              Local drivers
€bn
                   3-5% CAGR
                                                                                                   • Renewable connections
Germany1              17.8                                                                         • Major customer projects
                                                                                                   • Digitalization /modernization
                      2020                              2023

                                 3-5% CAGR
                                                                                                   • Storm proofing
Sweden2                4.8                                                                         • Renewable connections
                                                                                                   • Demand growth
                     2020                               2023
                                8-10% CAGR
                                                                                                   • New connections of B2B customers
Czech
                       1.7                                                                         • Modernization
Republic2
                                                                                                   • Smartification
                      2020                              2023
1. Assuming constant number of network concessions 2. Constant year-end 2020 FX-rate                                                    74
Leveraging strong partnerships and core competencies to
drive additional businesses
Long-term partnerships with municipalities …       … create a competitive edge for additional businesses

                                                     Technical grid services              Smart meters
   Non-concession-                   Concession-
   based RAB                          based RAB
                                                           e.g. O&M                      e.g. installation
   ~1/3                                    ~2/3
                            RAB
                                                           Broadband                Water and waste-water
                          €22.4bn1
                                                       e.g. new customer               e.g. supply and
                                                          connections                     operations

                      >9,000                       … including other areas benefitting from our partnerships

                concessions in Germany                           City Energy Solutions (CES)
                                                            Local heating and cooling solutions for
                                                            municipalities, districts and single sites

1. German power and gas RAB
                                                                                                               75
Network charges are only a small portion of German power price

Composition of average electricity price1            Decarbonization currently not optimally supported,
                                                     electricity disadvantaged

                                                      • Renewables surcharge to be borne by more customers
                           Electricity Renewable
                                                      • Carbon minimum price or tax
                       procurement, surcharge
                                                      • Electricity tax to be redesigned
                        retail margin

                                     Further taxes
                        Network
                                     and levies
                         charges                        German power price needs to be ‘cleaned up’
Only

25%
1. Source: BDEW 2021
                                                                                                             76
Settlement of all material remaining nuclear lawsuits at
favorable terms
Agreement on costs for production rights

                             48 TWh        €0/MWh

                             13 TWh        € 181m

                                                           77
Upgraded outlook 2021 due to nuclear production rights
agreement

Non-core FY2021 outlook 1                                               Key takeaways

EBITDA                                   EBIT                           • Proposal on the agreement of the use of nuclear
€bn                                      €bn                              production rights adopted by all necessary legislative
                                                                          bodies in June 2021
                     1.2-1.4
                                                                        • EBITDA impact of ~€0.4bn in 2021
0.8-1.0                                                   0.8-1.0       • EBIT impact of ~€0.6bn with ~€0.5bn in Q2 2021
                                                                          and rest equally distributed in H2 2021
                                          0.2-0.4                       • Cash payment expected in Q4 2021

Guidance as of     New guidance         Guidance as of   New guidance
 March 2021         for FY2021           March 2021       for FY2021

                                                                                                                                   78
1. Adjusted for non-operating effects
H1 2021 Results
        Financial Appendix
Segment outlook 2021 remaining year

EBIT1 key drivers H2 2021
   Energy Networks                      Customer Solutions                 Non-Core
     +•   Covid-19 impact in 2020        +•   Covid-19 impact in 2020       PreussenElektra:
                                                                           +•   Lower depreciation from purchase
      Germany:                           Benelux:                               of production rights
      •– Regulatory cycle                –•   Disposal Belgian retail      –•   2020: Extra dividend payment
      •– Flood impact                                                           Urenco
                                         Germany:
      CEE & Turkey:                      +•   Synergies ramp-up
      •– Hungary: Restructuring          UK:
         (disposal ETI /ÉMÁSZ)
                                         +•   Restructuring UK
                                              (target ~ GBP100m EBIT for
                                              FY 2021)

1. Adjusted for non-operating effects                                                                              80
Financial highlights

   €m                                         H1 2020                  H1 2021              % YoY

  Sales                                         30,503                   33,040                   +8
             1
  EBITDA                                          3,679                    4,768                +30
         1
  EBIT                                            2,185                    3,163                +45
  Adjusted Net Income 1                              950                   1,765                +86
  OCFbIT                                          1,521                    2,171                +43
  Investments                                     1,422                    1,908                +34
  Economic Net Debt²                           -40,736                  -40,866                     0

1. Adjusted for non-operating effects 2. Economic Net Debt as per 30 June 2021 and 31 Dec 2020; Economic Net
Debt definition takes into account the decommissioning provisions calculated with a real discount rate of 0.0% as
opposed to IFRS AROs; bonds issued by innogy are recorded at their nominal value: the amount in the consolidated    81
balance sheets is €2.1bn (as of 31 Dec 2020) respectively €2.0bn (as of 30 June 2021) higher
Cash Conversion Rate1 of 49% in H1 2021 in line with
seasonality

€bn

                       49%              CCR1

       4.8
                           -0.2

                                                                    2.2
                                               -2.4                                                                             1.2
                                                                                        -0.5
                                                                                                            -0.5

                                                                                                                                                    -1.9               -0.7
     Group                Cash            Change in WC           OCFbIT               Interest        Tax payments             OCF                 Capex                FCF
    EBITDA2           adjustments3                                                   payments

1. Cash Conversion Rate (CCR): (OCF bIT + provision utilization nuclear) ÷ EBITDA 2. Adjusted for non-operating effects 3. Incl. non cash-effective EBITDA items, provision   82
utilizations and payments related to non-operating earnings
END unchanged despite high investments and dividend
payment
 €bn
                                                                                                                                                    -8.6
                                                          Asset Retirement Obligations (ARO)
          -8.6                                            Pension provisions
                                                          Net financial position                                                                    -6.4

          -6.4

          -25.7                                                                                                                                     -25.9

                                                          -0.8                     0.0
                                  +1.8
                                                                                                          -1.5                   +0.3
          -40.8                                                                                                                                     -40.9
         END                      OCF               Net Investments            Pensions2               Dividends                 Other              END
        Q1 2021                 Q2 2021                Q2 20211                                                               (incl. AROs)         Q2 2021

                                                                                                                                                             83
1. Net of divestments 2. Actuarial interest rates for German pensions at 1.1% (vs. 1.2% @ Q1 2021), for UK pensions at 1.9% (vs. 2.0% @ Q1 2021)
Divisions: Energy Networks

EBIT1                                                                                      Drivers
€m
                                                                                                                         +•    Covid-19 impact in 2020

                        1,652
                                     +8%                     1,777
                                                                                                          All
                                                                                                                         +•    Organic RAB growth

CEE & Turkey             321                                    391                                                      +•    Normalized weather (vs. H1 2020)
       Sweden            186                                             192                        Germany
                                                                                                                         –•    Regulatory cycle

     Germany            1,145                                1,194

                                                                                           CEE & Turkey                  +•    Slovakia: first time contribution of VSEH2
                      H1 2020                               H1 2021
  €m                                        Germany                             Sweden                          CEE & Turkey                         Total
                                  H1 2020   H1 2021     % YoY         H1 2020   H1 2021     % YoY     H1 2020     H1 2021      % YoY      H1 2020   H1 2021     % YoY
 Revenue                           7,052       7,193       +2            444        487       +10      1,212         1,384       +14       8,708      9,064        +4
 EBITDA1                           1,841       1,899       +3            263        276        +5        481           562       +17       2,585      2,737        +6
 EBIT1                             1,145       1,194       +4            186        192        +3        321           391       +22       1,652      1,777        +8
 thereof equity-method earnings      119         128       +8              0          0         -         66            72        +9         185        200        +8
 OCFbIT                            1,316       1,169      -11            296        297        +0        454           570       +26       2,066      2,036        -1
Investments                          873         836       -4            161        177       +10        265           307       +16       1,299      1,320        +2

1. Adjusted for non-operating effects 2. Slovakian business acquired from RWE in Q3 2020                                                                                    84
Divisions: Customer Solutions

EBIT1                                                                                      Drivers
€m                                                                                                                           +•    Covid-19 impact in 2020

                                             +75%                 838
                                                                                                               All
                                                                                                                             +•    Normalized weather (vs. H1 2020)

                                                                  355
      Germany                480                                                                           UK                +•    Restructuring benefits
        Benelux                                                            68
                             273                                           163
               UK
                              57    66
                                                                  252
                                                                                                                             +•    Strong operational performance
           Other                    84                                                                 Other
                         H1 2020                               H1 2021                                                       +•    Sweden: one-off effect

 €m                                          Germany                     Benelux                       UK                               Other                          Total
                                   H1 2020   H1 2021   % YoY   H1 2020   H1 2021   % YoY   H1 2020   H1 2021         % YoY   H1 2020   H1 2021    % YoY     H1 2020   H1 2021   % YoY
Revenue                            11,154     11,616      +4    1,489      1,676     +13    7,356      7,755            +5    4,593      5,216      +14     24,592     26,263      +7
 EBITDA1                              330        419     +27       90        100     +11      132        221           +67      187        370      +98        739      1,110     +50
 EBIT1                                273        355     +30       57         68     +19       66        163         +147        84        252    +200         480        838     +75
 thereof equity-method earnings         2          2       -        2          4   +100         -          -             -        3           4     +33          7         10     +43
 OCFbIT                              -496        -34     +93      -74       -104     -41       86         -7          -108      165        416    +152        -319        271   +185
Investments                            98         98      +0       19         18      -5       52         32           -38      163        158       -3        332        306      -8

1. Adjusted for non-operating effects                                                                                                                                            85
Non-Core business

EBIT1                                                                                                          Drivers
€m
                                                                                                                                           +•
                                              +198%
                                                                                                                                                 Nuclear production rights agreement
                                                                                 717                                    Preussen                 (~€500m)
                                                                                                                          Elektra          +•    Higher availability of plants

        Preussen                                                                 694
         Elektra                  241                                                                                 Turkey               –•    FX effects
      Generation                  222                                                                              Generation              +•    Improved operational performance
         Turkey                                                                            23
                                  19
                           H1 2020                                            H1 2021                                                           PreussenElektra: Hedged Prices (€/MWh)
 €m                                               PreussenElektra                   Generation Turkey                     Total
                                                                                                                                                as of 30 June 2021
                                        H1 2020       H1 2021       % YoY   H1 2020     H1 2021       % YoY   H1 2020    H1 2021   % YoY
Revenue                                    696            710          +2         -             -         -      696         710      +2
                                                                                                                                                2020                 100%              45
        1
 EBITDA                                    461          1,017       +121         19           23        +21      480       1,040   +117
                                                                                                                                                2021                 96%               45
 EBIT1                                     222            694       +213         19           23        +21      241         717   +198
 thereof equity-method earnings             27             26          -4        19           23        +21       46          49      +7
 OCFbIT                                    251            287         +14         0           32          -      251         319     +27
                                                                                                                                                2022                 71%                47
Investments                                158            148          -6         -             -         -      158         148      -6
                                                                                                                                                                     69%
1. Adjusted for non-operating effects                                                                                                                                                        86
Adjusted Net Income

   €m                                   H1 2020   H1 2021   % YoY

  EBITDA1                                 3,679     4,768     +30

  Depreciation/amortization              -1,494    -1,605      -7
         1
  EBIT                                    2,185     3,163     +45

  Economic interest expense (net)          -559      -496     +11
        1
  EBT                                     1,626     2,667     +64
                              1
  Income Taxes on EBT                      -406      -614     -51

  % of EBT 1                              -25%      -23%       +8
  Non-controlling interests                -270      -288      -7
                              1
  Adjusted Net Income                      950      1,765     +86

1. Adjusted for non-operating effects                               87
Reconciliation of EBIT to
IFRS Net Income
  €m                                                           H1 2020   H1 2021   % YoY
            1
 EBITDA                                                          3,679     4,768     +30

  Depreciation/Amortization/Impairments                         -1,494    -1,605       -7
        1
 EBIT                                                            2,185     3,163     +45
  Interest result                                                 -332      -361       -9
  Net book gains                                                  159        59       -63
  Restructuring                                                   -305      -176     +42
  Mark-to-market valuation of derivatives                         -351     1,201    +442
  Impairments (net)                                                -16       -12     +25
  Other non-operating earnings                                    -301      -381      -27
  Income/Loss from continuing operations before income taxes     1,039     3,493    +236
  Income taxes                                                    -649      -721      -11
  Income/loss from continuing operations                          390      2,772    +611
  Income/loss from discontinued operations, net                    -63        0     +100
  Net income/loss                                                 327      2,772    +748

  Non-controlling interests                                       -166      -224      -35
  Net income/loss attributable to shareholders of E.ON SE         161      2,548   +1,483

1. Adjusted for non-operating effects                                                       88
Cash-effective investments

€m                            H1 2020   H1 2021   % YoY

Energy Networks                 1,299     1,320      +2
Customer Solutions               332       306       -8
Corporate Functions & Other      -365      133     +136
Consolidation                      -2        1     +150
Non-Core                         158       148       -6
Investments                     1,422     1,908     +34

                                                          89
Economic Net Debt1

   €m                                                          31 Dec 2020               30 Jun 2021

  Liquid funds                                                           4,795                    3,523
  Non-current securities                                                 1,887                    1,790
  Financial liabilities                                               -30,720                  -31,399
                                2
  Adjustment FX hedging                                                      82                      216
  Net Financial Position                                              -23,956                  -25,870
  Provisions for pensions                                              -8,088                    -6,400
  Asset retirement obligations                                         -8,692                    -8,596
  Economic Net Debt                                                   -40,736                  -40,866

1. Economic Net Debt definition takes into account the decommissioning provisions calculated with a real
discount rate of 0.0% as opposed to IFRS AROs; bonds issued by innogy are recorded at their nominal value:
                                                                                                             90
the amount in the consolidated balance sheets is €2.1bn (as of 31 Dec 2020) respectively €2.0bn (as of 30
June 2021) higher 2. Net figure; does not include transactions relating to our operating business or asset
management
Economic interest expense (net)

                                                                                                        Difference
  €m                                                                         H1 2020      H1 2021
                                                                                                         (in € m)
  Interest from financial assets/liabilities                                    -526          -487              39
  Interest cost from provisions for pensions and similar provisions              -47           -31              16
  Accretion of provisions for retirement obligation and similar provisions        -2             0               1
  Construction period interests¹                                                  4              3              -1
  Others                                                                         12             19               7
  Net interest result                                                           -559          -496              62

1. Borrowing cost that are directly attributable to the acquisition, construction or production of a qualified asset.
Borrowing cost are interest costs incurred by an entity in connection with the borrowing of funds. (interest rate:
                                                                                                                        91
3.11%)
Financial calendar & important links
                      Financial calendar
                      November 10, 2021       Quarterly Statement: January – September 2021

                      November 23, 2021       Capital Markets Day 2021

                      March 16, 2022          Annual Report 2021

                      May 11, 2022            Quarterly Statement: January – March 2022

                      May 12, 2022            2022 Annual Shareholder Meeting

                      August 10, 2022         Half-Year Financial Report: January – June 2022

                      Important links
                      Presentations           https://www.eon.com/en/investor-relations/presentations.html

                      Facts & Figures 2021    https://www.eon.com/content/dam/eon/.../210324_Facts_and_Figures_final.pdf

                      Annual Reports          https://www.eon.com/en/investor-relations/financial-publications/annual-report.html

                      Interim Reports         https://www.eon.com/en/investor-relations/financial-publications/interim-report.html

                      Shareholder Meeting     https://www.eon.com/en/investor-relations/shareholders-meeting.html

                      Green Bond Framework    https://www.eon.com/en/investor-relations/bonds/green-bonds.html

                      Sustainability Report   https://www.eon.com/en/ueber-uns/nachhaltigkeit/nachhaltigkeitsbericht.html

                                                                                                                                     92
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