Moody's Ratings affirms EVN`s A1 rating; stable outlook

EVN AG: Update following rating affirmation - Credit Opinion – 2024/04/30 – US$ 250.00 – ...EVN AG's (A1 stable) credit profile is supported by its high degree of regulated earnings -- around half of the group's EBITDA comes from regulated domestic network activities, with very low business risk, and other non-regulated but relatively low-risk utility activities in Lower Austria; its strong competitive position in its core market of Lower Austria, a market characterised by high customer loyalty; its strong financial profile, with its funds from operations (FFO)/net debt averaging 75% in the last three fiscal years, underpinned by its continued prudent financial policy; and its majority ownership by the State of Lower Austria (Aa1 stable), as required by legislation, resulting in a one-notch uplift to EVN's A1 rating for potential support. EVN's credit quality is constrained by its significant portion of earnings from activities with increased business risk, particularly its operations in South East Europe (SEE) (typically accounting for around 20% of group EBITDA) and its international...

EVN AG: Divestment of international project business would be credit positive - Issuer Comment – 2023/09/20 – US$ 200.00 – ...On 18 September, EVN AG (A1 Stable) announced it would commence a bidding process for WTE Wassertechnik GmbH (WTE), which represents EVN's international project business reported under its environment segment (which also includes other segments that are not part of the bidding process). The company is looking to fully divest WTE and continue focusing on its core business in the energy sector. A divestment, if it was to occur, would be credit positive for EVN as the company will reduce its exposure to a segment which we think carries a higher degree of operational risk than EVN's other businesses. At the same time, it would forego only a small share of its EBITDA. For the twelve months to June 2023, the Environment segment reported an EBITDA of approximately 59 million, or 7% of the total group EBITDA (excluding the energy segment that had a negative contribution)....

EVN AG: Update to credit analysis - Credit Opinion – 2023/04/24 – US$ 250.00 – ...EVN AG's (EVN, A1 stable) credit profile is supported by its high degree of regulated earnings -- around half of the group's EBITDA comes from regulated domestic network activities, which have very low business risk, and other non-regulated but relatively low-risk utility activities in Lower Austria; its strong competitive position in its core market of Lower Austria, a market characterised by high customer loyalty; a strong financial profile, with funds from operations (FFO)/net debt averaging 66% in the last three fiscal years, underpinned by its continued prudent financial policy; and the majority ownership by the State of Lower Austria (Aa1 stable), required by legislation, resulting in EVN's A1 rating incorporating a one-notch rating uplift for potential support. EVN's credit quality is constrained by its significant portion of earnings emanating from activities with higher business risk, in particular, operations in South East Europe (SEE) (typically accounting for around 20% of group...

EVN AG: Update to credit analysis - Credit Opinion – 2022/04/22 – US$ 250.00 – ...EVN AG's (EVN, A1 stable) credit profile is supported by (1) its high degree of regulated earnings, around half of the group's EBITDA comes from regulated domestic network activities, which have very low business risk, and other non-regulated but relatively low- risk utility activities in Lower Austria; (2)its strong competitive position in its core market of Lower Austria, a market characterised by high customer loyalty; (3) a strong financial profile, with funds from operations (FFO)/net debt averaging 66% in the last three financial years, underpinned by its continued prudent financial policy; and (4) the majority ownership by the State of Lower Austria (Aa1 negative), required by legislation, resulting in EVN's A1 rating incorporating a one notch rating uplift for potential support. EVN's credit quality is constrained by; (1) its significant portion of earnings emanating from activities with high business risk, in particular, operations in South East Europe (SEE) (SEE, typically accounting...

EVN AG: Update to credit analysis - Credit Opinion – 2021/05/19 – US$ 250.00 – ...EVN AG's (EVN, A1 stable) credit quality is supported by the fact that around half of the group's EBITDA comes from regulated domestic network activities, which have very low business risk, and other non-regulated but relatively low-risk utility activities in Lower Austria. In addition, the company has a strong competitive position in its core market of Lower Austria, a market characterised by high customer loyalty. EVN's strong financial metrics, with funds from operations (FFO)/net debt averaging 52% in the last three financial years, are underpinned by its continued prudent financial policy. The company's strong operational performance, combined with the use of benefits of non- recurring effects, has enabled a significant deleveraging of the business: from the fiscal year ended September 2016 (fiscal 2016), reported net debt (Moody's definition) fell by over 23% to 1,019 million as of September 2020. We expect the group to retain a strong financial profile given its continued investment...

EVN AG: Update to credit analysis - Credit Opinion – 2020/05/18 – US$ 250.00 – ...EVN AG's (EVN, A1 stable) credit quality is supported by the fact that around half of the group's EBITDA comes from regulated domestic network activities, which have very low business risk, and other non-regulated but relatively low-risk utility activities in Lower Austria. In addition, the company has a strong competitive position in its core market of Lower Austria, a market characterised by high customer loyalty. EVN's strong financial metrics, with funds from operations (FFO)/net debt averaging over 50% in the last three financial years, are underpinned by its continued prudent financial policy. The company's strong operational performance, combined with the use of benefits of non-recurring effects, has enabled a significant deleveraging of the business: from the fiscal year ended September 2016 (fiscal 2016), reported net debt fell by over 38% to 812 million as of September 2019. We expect the group to retain a strong financial profile given its continued investment focus on regulated...