EDF / 2020 Universal Registration Document

5 THE GROUP’S FINANCIAL PERFORMANCE AND OUTLOOK Review of the financial situation and results 2020

Review of the financial situation and results 2020 5.1

5.1.1

Key figures

The sale of Edison’s E&P operations and the impact of this restatement are presented in note 1.4.2 to the consolidated financial statements at 31 December 2020. Details of the assets held for sale and related liabilities are given in note 3.2 of this report. At 31 December 2020, in application of IFRS 5, the amounts of Edison’s Algerian E&P assets and liabilities are presented in the consolidated balance sheet as continuing operations, while the Norwegian E&P operations are presented in the consolidated balance as discontinued operations. The net income for the Algerian and Norwegian E&P operations is reported in the specific line “Net income of continuing operations” and allocated to the relevant lines of the income statement for the periods published. The net income of discontinued operations corresponding to Edison’s E&P operations excluding the Algerian and Norwegian E&P operations is still reported on a specific line in the income statement for the periods published, until finalisation of the sale which took place on 17 December 2020. The Group’s key figures for 2020 are shown in the following table:

The financial information presented in this document is developed from the EDF group’s consolidated financial statements at 31 December 2020. Pursuant to European regulation 1606/2002 of 19 July 2002 on the adoption of international accounting standards, the EDF group’s consolidated financial statements at 31 December 2020 are prepared using the presentation, recognition and measurement rules set forth in the international accounting standards published by the IASB and approved by the European Union for application at 31 December 2020. These international standards are IAS (International Accounting Standards), IFRS (International Financial Reporting Standards), and SIC and IFRIC interpretations. The accounting methods applied by the Group are presented in note 1 to the consolidated financial statements at 31 December 2020.

Organic variation (%)

2020

2019 (1)

Variation Variation (%)

(in millions of euros)

Sales

69,031 16,174

71,347 16,723

(2,316)

-3.2 -3.3

-3.4 -2.7

Operating profit before depreciation and amortisation (EBITDA)

(549)

Operating profit (EBIT)

3,875 1,293

6,757 6,393 5,155 3,871

(2,882) (5,100) (4,505) (1,902)

-42.7 -79.8 -87.4 -49.1

-41.6 -78.8 -86.4 -47.8

Income before taxes of consolidated companies

EDF net income

650

Net income excluding non-recurring items (2)

1,969

Net income excluding non-recurring items, adjusted for payments on hybrid bonds

1,468

3,282 (825)

(1,814) (1,884)

-55.3

n.a n.a n.a

Group cash flow (3) Net indebtedness (4)

(2,709) 42,290

-228.4

41,133

1,157

+2.8

not applicable. n.a The published figures for 2019 (except NFD) have been restated for the impact of the change in the scope of the E&P disposal (see note 1.4.2 to the 2020 (1) consolidated financial statements). Net income excluding non-recurring items is not defined by IFRS and is not directly visible in the Group’s consolidated income statement. It corresponds to the (2) Group’s share of net income (EDF net income) excluding non-recurring items, net changes in the fair value of energy and commodity derivatives (excluding trading activities), and net changes in the fair value of debt and equity instruments, net of tax (see section 5.1.4.10 “Net income excluding non-recurring items”). Group cash flow is not an aggregate defined by IFRS as a measure of financial performance and is not comparable with indicators of the same name reported by (3) other companies. It is equivalent to the operating cash flow less asset disposals, income taxes paid, net financial expenses disbursed, allocations to dedicated assets, dividend paid in cash, and investments related to the Hinkley Point C and Linky projects (see section 5.1.5.1.3). Net indebtedness is not defined in the accounting standards and is not directly visible in the Group’s consolidated balance sheet (see section 5.1.5.1). (4)

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EDF - UNIVERSAL REGISTRATION DOCUMENT 2020