Annual Report 2010 - Enel.com

The table below shows performance by geographical area.
Millions of euro Revenues Gross operating margin Operating income
2010
2009
restated 2010-2009 2010
2009
restated 2010-2009 2010
2009
restated 2010-2009
Central Europe 2,732 2,587 145 769 910 (141) 447 552 (105)
South-eastern Europe 1,203 1,159 44 318 290 28 153 116 37
Russia 2,425 1,822 603 433 252 181 303 140 163
Total 6,360 5,568 792 1,520 1,452 68 903 808 95
Revenues increased by €792 million or 14.2% in 2010,
going from €5,568 million to €6,360 million. The performance
was related to the following factors:
> a €603 million increase in revenues in Russia, mainly attributable
to Enel OGK-5 and RusEnergoSbyt (a total of
€687 million), associated with an increase in volumes
sold against a background of rising price. These factors
were partially offset by the recognition in the 3rd Quarter
of 2009 of the gain on the sale of 51% of the stake
held in SeverEnergia (€68 million);
> a €145 million increase in revenues in Central Europe,
essentially attributable to an €87 million in revenues
in Slovakia and €60 million in increased revenues from
electricity sales by Enel France. Both of these developments
were due to an increase in volumes sold, the effect
of which more than offset declining average sales
prices;
> an increase of €44 million in revenues in south-eastern
Europe, essentially due to the increase of €21 million
(including the effect of the application of IFRIC 18) in
the revenues of the Romanian companies and a rise of
€22 million in the revenues of Enel Maritza East 3, the
latter thanks to the increase in average sales prices and
the full availability of plants.
The gross operating margin amounted to €1,520 million,
an increase of €68 million compared with 2009. The performance
was the result of:
> a €181 million increase in the gross operating margin in
Russia, due to the improvement in the margin of Enel
OGK-5 (€151 million) and RusEnergoSbyt (€83 million)
as well as the deconsolidation of SeverEnergia (€13
million). These effects were only partially offset by the
effect of the recognition in 2009 of the gain on the sale
of 51% of the holding in SeverEnergia;
> a €28 million rise in the margin in south-eastern Europe,
essentially attributable to the €18 million improvement
in the margin in Romania (of which €14
million as a result of the application of IFRIC 18) as
well as the entry into service of a new unit at the Enel
Maritza East 3 plant;
> a reduction in the gross operating margin in central
Europe as a result of the lower margin achieved by
Slovenské elektrárne (€114 million), essentially attributable
to the decrease in the generation margin, and
by Enel France (€23 million) as a result of unfavorable
price developments.
Operating income in 2010 amounted to €903 million, an
increase on 2009 of €95 million or 11.8% after depreciation,
amortization and impairment losses of €617 million
(€644 million in 2009).
105