Annual Report 2010 - Enel.com

Electricity sales to end users by the Iberia and Latin America
Division for 2010 came to 157,698 million kWh, up 29,930
million kWh compared with 2009. The increase includes
24,844 million kWh in respect of the change in the consolidation
method, in addition to the increase in sales, especially
in Latin America, as a result of higher electricity demand.
Performance
100 Enel Annual Report 2010 Report on operations
Finally, following the introduction of the Tarifa de Ultimo
Recurso in Spain on July 1, 2009, all sales on the Spanish
market are to be considered sales conducted on the free
market.
Millions of euro
2010
2009
restated 2010-2009
Revenues 31,263 21,800 9,463
Net income/(charges) from commodity risk management 28 173 (145)
Gross operating margin 7,896 6,196 1,700
Operating income 4,643 3,659 984
Operating assets (1) 77,764 80,799 (3,035)
Operating liabilities (2) 13,500 13,034 466
Employees at year-end (no.) (3) 24,731 26,305 (1,574)
Capital expenditure (4) 2,866 2,962 (96)
(1) Of which €484 million regarding units classified as “held for sale” at December 31, 2010 (€485 million at December 31, 2009).
(2) Of which €145 million regarding units classified as “held for sale” at December 31, 2010 (€102 million at December 31, 2009).
(3) Of which 1,809 in units classified as “held for sale” at December 31, 2010 (1,330 at December 31, 2009).
(4) Does not include €76 million regarding units classified as “held for sale” at December 31, 2010 (€134 million at December 31, 2009).
The table below shows performance by geographical area.
Millions of euro Revenues Gross operating margin Operating income
2009
2009
2009
2010 restated 2010-2009 2010 restated 2010-2009 2010 restated 2010-2009
Europe 21,200 14,934 6,266 4,487 3,516 971 2,486 1,850 636
Latin America 10,063 6,866 3,197 3,409 2,680 729 2,157 1,809 348
Total 31,263 21,800 9,463 7,896 6,196 1,700 4,643 3,659 984
Revenues for 2010 rose by €9,463 million due to:
> an increase of €6,266 million in revenues in Europe , essentially
attributable to:
- a €2,165 million increase in revenues attributable to
the change in the scope of consolidation and €2,180
million to the application of the aforementioned Tarifa
de Ultimo Recurso as from July 1, 2009, which involved
the separate recognition in the income statement
of the sales company of the revenues and costs
concerning, respectively, the sale and purchase of
electricity, including transport costs, which had previously
been offset;
- an increase of €1,114 million in grants for extra-peninsular
generation (in 2009 they had been affected
by negative prior-year items);
- an increase in revenues from electricity sales;
- the effect of the application as from July 1, 2009 of
IFRIC 18 (€171 million);
- the recognition in 2010 of the gains on the sale of
the electricity transmission grids and the gas transport
and distribution networks in Spain, for a total of
€70 million;
> a €3,197 million increase in revenues for Endesa in Latin
America, due to the change in consolidation method
(€1,348 million) and to increased quantities sold in all
the Latin American countries, especially Brazil.
The gross operating margin amounted to €7,896 million,
up €1,700 million or 27.4% compared with 2009, as a result
of: