Universal Registration Document 2020

5. The Group’s financial performance and outlook

5.1.4.2 Operating profit before depreciation and amortisation (EBITDA)

The Group’s consolidated EBITDA for 2020 amounted to € 16,174 million, down by 3.3% from 2019. Excluding foreign exchange effects (-€75 million) and changes in the scope of consolidation (-€ 24 million), EBITDA registered an organic decrease of -2.7%, demonstrating the Group’s resilience in the Covid crisis.

The impact of the Covid-19 pandemic is estimated at -€ 1,479 million.

(in millions of euros)

20202019*Variation Variation %Organic variation (%)
Sales

Sales

2020

69 031

Sales

2019*

71,347

Sales

Variation 

(2,316)

Sales

Variation %

-3.2

Sales

Organic variation (%)

-3.4

Fuel and energy purchases

Fuel and energy purchases

2020

(32 425)

Fuel and energy purchases

2019*

(35,091)

Fuel and energy purchases

Variation 

2,666

Fuel and energy purchases

Variation %

-7.6

Fuel and energy purchases

Organic variation (%)

-8.0

Other external expenses

Other external expenses

2020

(8 461)

Other external expenses

2019*

(8,625)

Other external expenses

Variation 

164

Other external expenses

Variation %

-1.9

Other external expenses

Organic variation (%)

-2.8

Personnel expenses

Personnel expenses

2020

(13 957)

Personnel expenses

2019*

(13,797)

Personnel expenses

Variation 

(160)

Personnel expenses

Variation %

+1.2

Personnel expenses

Organic variation (%)

+1.1

Taxes other than income taxes

Taxes other than income taxes

2020

(3 797)

Taxes other than income taxes

2019*

(3,798)

Taxes other than income taxes

Variation 

1

Taxes other than income taxes

Variation %

0.0

Taxes other than income taxes

Organic variation (%)

+1.3

Other operating income and expenses

Other operating income and expenses

2020

5 783

Other operating income and expenses

2019*

6,687

Other operating income and expenses

Variation 

(904)

Other operating income and expenses

Variation %

-13.5

Other operating income and expenses

Organic variation (%)

-13.3

EBITDA

EBITDA

2020

16,174

EBITDA

2019*

16,723

EBITDA

Variation 

(549)

EBITDA

Variation %

- 3,3

EBITDA

Organic variation (%)

- 2.7

* The published figures for 2019 have been restated for the impact of the change in the scope of the E&P disposal (see note 1.4.2 to the consolidated financial statements at 31 December 2020).

5.1.4.2.1 Change in consolidated EBITDA and analysis
  • The Group’s fuel and energy purchases amounted to € 32,425 million in 2020, down by € 2,666 million (-7.6%) from 2019 or an organic decline of € 2,796 million (-8.0%).
  • In the France – Generation and supply segment, fuel and energy purchases amounted to € 13,191 million, an organic increase of € 104 million (+0.8%) over 2019, mainly resulting from higher purchase obligations for renewable energies.
  • In the United Kingdom, the organic decrease of € 322 million (-5.1%) observed in fuel and energy purchases principally reflects a favourable price effect on gas supplies, lower volumes of electricity sales on non-domestic customers segment business, and lower consumption of fuel due to the downturn in thermal and nuclear power output.
  • In Italy, the decrease of € 1,705 million (-28.1%) essentially results from the decrease in gas prices and gas volumes (on the wholesale market).
  • The Group’s other external expenses amounted to € 8,461 million, down by
    € 164 million (-1.9%), or an organic decrease of € 242 million compared to 2019 (-2.8%).
  • In the France – Generation and supply segment, other external expenses amounted to € 2,332 million. The organic decrease of € 95 million (-3.9%) mainly relates to the continued cost-cutting actions under performance improvement plans for all areas of business, and the impact of the Covid-19 pandemic, particularly on travel.
  • In the France – Regulated activities segment, other external expenses amounted to € 1,584 million. The organic increase of € 27 million (+1.7%) from 2019 reflects the decrease in capitalised production, in line with the level of network connection activity during the Covid-19 crisis, despite the lower travel expenses.
  • In the United Kingdom, other external expenses showed an organic increase of € 16 million (+1.7%), principally as a result of the Covid-19 pandemic and its effects on nuclear plant maintenance.
  • EDF Renewables registered a € 34 million (+6.1%) organic increase in other external expenses, principally due to growth in the renewable energies businesses in the United States.
  • At Dalkia, other external expenses were up by € 129 million including a scope effect of € 242 million essentially resulting from full consolidation of the UK activities jointly owned with EDF Energy, and the acquisition of Breathe Energy in 2019. In organic terms these expenses were down by €110 million, reflecting the lower levels of business in service activities and subcontracted work due to the Covid-19 crisis.
  • The Group’s personnel expenses totalled € 13,957 million, up by € 160 million (+1.2%), corresponding to an organic increase of +€ 157 million (+1.1%) from 2019.
  • In the France – Generation and supply segment, personnel expenses amounted to € 6,045 million in 2020, an increase of € 13 million (+0.2%) and stable in organic terms from 2019 due notably to the impact of the business recovery plan, which was partly offset by a decrease in workforce numbers. The average workforce declined by 0.1% (1) from 2019 in all areas of business.
  • In the France – Regulated activities segment, personnel expenses totalled
    € 3,208 million, € 69 million (+2.2%) higher than in 2019, essentially as a result of pay rises and the effects of the business recovery plan. The average workforce (1) was slightly lower than in 2019.
  • EDF Renewables registered an € 18 million increase (+4.9%) in personnel expenses, and an organic increase of € 36 million (+9.7%) which is principally explained by a rise in workforce numbers due to growth in the development and construction businesses.
  • Dalkia’s personnel expenses increased by € 107 million (+11.0%) corresponding to a consolidation scope effect of € 87 million following the full consolidation of the activities in the United Kingdom jointly held with EDF Energy and the acquisition of Breathe Energy at the end of 2019 and to an organic increase of € 22 million (+2.3%) primarily caused by an increase in the workforce.
  • Taxes other than income taxes amounted to € 3,797 million for 2020, registering an organic increase of € 48 million (+1.3%) compared to 2019.
  • The € 21 million organic increase in Brazil is principally attributable to the ICMS tax (with no impact on EBITDA).
  • Other operating income and expenses generated net income of € 5,783 million in 2020, an organic decrease of -€ 888 million (-13.3%) compared to 2019.
  • In the France – Generation and supply segment, net income decreased by
    € 353 million (-7.7%), with an organic change of -€ 348 million (-7.6%), mainly attributable to changes in fuel-related provisions.
  • In the France – Regulated activities segment, the decrease of € 49 million (-3.4%) is principally explained by lower penalties for long power cuts.
  • In the United Kingdom, losses were up by € 50 million (+22.8%) from 2019, with an organic increase of € 53 million (+24.2%), particularly due to the increase in provisions for doubtful receivables as the Covid-19 pandemic affected the private and business customer segments.
  • EDF Renewables registered an organic decline of € 320 million (-48.3%) in other operating income and expenses, mainly due to recognition in 2019 of the sale of 50% of the Neart na Gaoithe (NnG) Scottish offshore wind farm project, which had no equivalent in 2020.

(1) Excluding apprentices and employees on work-study contracts.