2.1 Segment information
The segment reporting of the Alpiq Group is based on the Group’s internal organisational and management structure and the internal financial information reported to the chief operating decision maker. The reportable segments under IFRS 8 consist of the three business divisions Switzerland, International and Trading (formerly Digital & Commerce (D&C)). The Executive Board evaluates each of these separately for the purpose of assessing performance and allocating resources. Segment results (EBITDA and EBITDA before exceptional items) are the key performance indicators used for internal management and assessment purposes at Alpiq. Besides energy procurement and production costs, operating costs comprise all costs of operations, including personnel and service expenses. No operating business segments have been aggregated in the presentation of reportable segments. The financial steering process within Alpiq that is to be set up along the value chain sourcing, trading, and supply will be implemented for the annual report 2023.
The internal organisational and management structure was adjusted in 2022. As a result, the international sales & origination business units were moved from Trading to International, the Swiss sales & origination business unit from Trading to Switzerland, the Swiss RES business units from International to Switzerland and a part of the support functions D&C Technology and Operations from Trading to the division Group Centre & other companies. Furthermore, the number of categories of exceptional items for reconciling the IFRS results to the alternative performance measures has been reduced to simplify the internal reporting. For more information, please refer to the explanations in the unaudited “Alternative performance measures of Alpiq” section of the Financial Review. Previous year segment reporting for 2021 has been adjusted for comparability. As a result, the Alpiq Group’s EBITDA before exceptional items for 2021 increased by CHF 10 million from CHF 302 million to CHF 312 million. On business division level, this means an increase of CHF 23 million for Switzerland, a decrease of CHF 97 million for International, an increase of CHF 80 million for Trading and an increase of CHF 4 million for Group Centre. EBITDA (IFRS) increased by CHF 13 million for Switzerland, decreased by CHF 238 million for International, increased by CHF 222 million for Trading and increased by CHF 3 million Group Centre.
- The Switzerland business division comprises the production of electricity from Swiss hydropower, nuclear power, wind power and industrial photovoltaic plants as well as the operation of power plants and the development of several wind farm projects in Switzerland. The power plant portfolio includes run-of-river power plants, storage and pumped storage power plants (including Nant de Drance) as well as interests in the Gösgen and Leibstadt nuclear power plants. The Swiss sales and origination business, which does not include the asset optimization, is also part of the division. Moreover, the business division manages shares in HYDRO Exploitation SA and Kernkraftwerk-Beteiligungsgesellschaft AG (KBG).
- The International business division comprises power production of wind power plants, small-scale hydropower plants and industrial photovoltaic plants, the operation of power plants and the development of several wind farm projects located outside of Switzerland. The business division also covers the production of electricity and heat in thermal power plants in Hungary, Italy and Spain. The power plant portfolio is made up of gas-fired combined-cycle power plants and gas-fired turbine power plants. Power is sold on the European electricity trading market via the Trading business division or via third parties. The power plants are used by the respective grid operators to balance the grids. In addition, International includes direct marketing and energy management for industrial and business customers to help these meet their cost efficiency and sustainability goals always with a view to increasing customer benefits and creating value.
- The Trading business division comprises the optimisation of Alpiq’s own power plants as well as the optimisation of decentralised generation units and the production of electricity from third parties’ renewable energies. It also covers trading activities with standardised and structured products for electricity and gas as well as emission allowances and certificates.
The business divisions’ results are carried over to the Alpiq Group’s consolidated figures by including the units with limited market operations (Group Centre & other companies), Group consolidation effects as well as other reconciliation items presented in a separate column. This comprises shifts of CHF 13 million (previous year: CHF 14 million) between external net revenue and other income due to the difference in account structures between internal and external reporting. This column also contains foreign currency effects from using other average exchange rates in management reporting than pursuant to IFRS. Group Centre & other companies includes the financial and non-strategic investments which cannot be allocated directly to the business divisions as well as hedging of foreign exchange rates and other activities of the Group headquarters including Alpiq Holding Ltd. and the functional units.
2022: Information by business division
|
CHF million |
Switzerland |
Interna- tional |
Trading |
Group Centre & other companies |
Consoli- dation |
Reconcili- ation |
Alpiq Group |
|
Net revenue from third parties |
– 236 |
7,729 |
7,058 |
26 |
|
60 |
14,637 |
|
Inter-segment transactions 1 |
957 |
690 |
1,828 |
– 15 |
– 3,446 |
– 20 |
– 6 |
|
Net revenue |
721 |
8,419 |
8,886 |
11 |
– 3,446 |
40 |
14,631 |
|
Exceptional items 2 |
98 |
192 |
– 68 |
|
|
8 |
230 |
|
Net revenue before exceptional items |
819 |
8,611 |
8,818 |
11 |
– 3,446 |
48 |
14,861 |
|
Other income |
30 |
34 |
– 22 |
25 |
– 16 |
– 13 |
38 |
|
Total revenue and other income |
751 |
8,453 |
8,864 |
36 |
– 3,462 |
27 |
14,669 |
|
Total revenue and other income before exceptional items |
849 |
8,645 |
8,796 |
36 |
– 3,462 |
35 |
14,899 |
|
|
|
|
|
|
|
|
|
|
Total operating costs |
– 743 |
– 8,511 |
– 8,409 |
– 89 |
3,462 |
– 33 |
– 14,323 |
|
Exceptional items 2 |
– 103 |
|
|
|
|
|
– 103 |
|
Total operating costs before exceptional items |
– 846 |
– 8,511 |
– 8,409 |
– 89 |
3,462 |
– 33 |
– 14,426 |
|
|
|
|
|
|
|
|
|
|
EBITDA |
8 |
– 58 |
455 |
– 53 |
0 |
– 6 |
346 |
|
Exceptional items 2 |
– 5 |
192 |
– 68 |
|
|
8 |
127 |
|
EBITDA before exceptional items |
3 |
134 |
387 |
– 53 |
0 |
2 |
473 |
|
|
|
|
|
|
|
|
|
|
Depreciation, amortisation and impairment 3 |
– 64 |
– 18 |
|
– 15 |
|
|
– 97 |
|
EBIT |
– 56 |
– 76 |
455 |
– 68 |
0 |
– 6 |
249 |
|
|
|
|
|
|
|
|
|
|
Number of employees at 31 December |
167 |
373 |
144 |
496 |
|
|
1,180 |
|
Property, plant and equipment |
1,414 |
276 |
|
92 |
|
|
1,782 |
|
Intangible assets |
43 |
15 |
1 |
21 |
|
|
80 |
|
Investments in partner power plants and other associates |
2,176 |
4 |
|
3 |
|
|
2,183 |
|
Non-current assets |
3,633 |
295 |
1 |
116 |
0 |
0 |
4,045 |
|
Net capital expenditure on property, plant and equipment and intangible assets |
42 |
31 |
|
8 |
|
|
81 |
1 The net effect of CHF – 6 million results from currency effects on intragroup energy transactions.
2 Includes effects from fair value changes of energy derivatives that were entered into in connection with hedges for future power production, from the performance of the fund shares for the decommissioning and waste disposal of Kernkraftwerk Gösgen-Däniken AG and Kernkraftwerk Leibstadt AG, as well as from onerous contracts. For more information, please refer to the unaudited explanations in the “Alternative performance measures of Alpiq” section of the Financial Review.
3 Including reversals of impairment losses
2021: Information by business division (adjusted)
|
CHF million |
Switzerland |
Interna- tional |
Trading |
Group Centre & other companies |
Consoli- dation |
Reconcili- ation |
Alpiq Group |
|
Net revenue from third parties |
– 359 |
4,021 |
3,458 |
33 |
|
36 |
7,189 |
|
Inter-segment transactions 1 |
919 |
62 |
731 |
– 29 |
– 1,696 |
1 |
– 12 |
|
Net revenue |
560 |
4,083 |
4,189 |
4 |
– 1,696 |
37 |
7,177 |
|
Exceptional items 2 |
109 |
141 |
276 |
|
|
2 |
528 |
|
Net revenue before exceptional items |
669 |
4,224 |
4,465 |
4 |
– 1,696 |
39 |
7,705 |
|
Other income |
65 |
21 |
|
24 |
– 15 |
– 14 |
81 |
|
Total revenue and other income |
625 |
4,104 |
4,189 |
28 |
– 1,711 |
23 |
7,258 |
|
Total revenue and other income before exceptional items |
734 |
4,245 |
4,465 |
28 |
– 1,711 |
25 |
7,786 |
|
|
|
|
|
|
|
|
|
|
Total operating costs |
– 595 |
– 4,262 |
– 4,119 |
– 53 |
1,711 |
– 17 |
– 7,335 |
|
Exceptional items 2 |
– 132 |
|
– 8 |
|
|
1 |
– 139 |
|
Total operating costs before exceptional items |
– 727 |
– 4,262 |
– 4,127 |
– 53 |
1,711 |
– 16 |
– 7,474 |
|
|
|
|
|
|
|
|
|
|
EBITDA |
30 |
– 158 |
70 |
– 25 |
0 |
6 |
– 77 |
|
Exceptional items 2 |
– 23 |
141 |
268 |
|
|
3 |
389 |
|
EBITDA before exceptional items |
7 |
– 17 |
338 |
– 25 |
0 |
9 |
312 |
|
|
|
|
|
|
|
|
|
|
Depreciation, amortisation and impairment |
– 63 |
– 49 |
– 3 |
– 11 |
|
|
– 126 |
|
EBIT |
– 33 |
– 207 |
67 |
– 36 |
0 |
6 |
– 203 |
|
|
|
|
|
|
|
|
|
|
Number of employees at 31 December |
164 |
398 |
154 |
550 |
|
|
1,266 |
|
Property, plant and equipment |
1,435 |
329 |
|
95 |
|
|
1,859 |
|
Intangible assets |
47 |
20 |
1 |
24 |
|
|
92 |
|
Investments in partner power plants and other associates |
2,294 |
4 |
|
3 |
|
|
2,301 |
|
Non-current assets |
3,776 |
353 |
1 |
122 |
0 |
0 |
4,252 |
|
Net capital expenditure on property, plant and equipment and intangible assets |
22 |
35 |
|
5 |
|
|
62 |
1 The net effect of CHF – 12 million results from currency effects on intragroup energy transactions.
2 Includes effects from fair value changes of energy derivatives that were entered into in connection with hedges for future power production, from the performance of the fund shares for the decommissioning and waste disposal of Kernkraftwerk Gösgen-Däniken AG and Kernkraftwerk Leibstadt AG, as well as from onerous contracts. For more information, please refer to the unaudited explanations in the “Alternative performance measures of Alpiq” section of the Financial Review.
2022: Information by geographical area
|
CHF million |
Switzerland |
Germany |
France |
Italy |
Hungary |
United Kingdom |
Luxembourg |
Czech Republic |
Other countries |
Alpiq Group |
|
Net revenue 1 / 2 from third parties |
1,342 |
2,147 |
4,011 |
4,271 |
808 |
– 1,886 |
2,638 |
– 764 |
2,070 |
14,637 |
|
Property, plant and equipment |
1,395 |
1 |
117 |
210 |
25 |
|
|
1 |
33 |
1,782 |
|
Intangible assets |
64 |
|
9 |
7 |
|
|
|
|
|
80 |
|
Investments in partner power plants and other associates |
2,179 |
|
|
|
|
|
|
|
4 |
2,183 |
|
Non-current assets |
3,638 |
1 |
126 |
217 |
25 |
0 |
0 |
1 |
37 |
4,045 |
1 The difference to net revenue in the income statement results from currency effects on intragroup energy transactions of CHF – 6 million.
2 Negative net revenue is attributable to the change in the fair value measurement of energy derivatives, which are presented in net revenue (see note 2.2).
2021: Information by geographical area
|
CHF million |
Switzerland |
Germany |
France |
Italy |
Hungary |
United Kingdom |
Luxembourg |
Czech Republic |
Other countries |
Alpiq Group |
|
Net revenue 1 / 2 from third parties |
1,602 |
– 895 |
2,109 |
1,627 |
327 |
440 |
148 |
– 100 |
1,931 |
7,189 |
|
Property, plant and equipment |
1,417 |
|
114 |
232 |
27 |
|
|
1 |
68 |
1,859 |
|
Intangible assets |
71 |
|
10 |
7 |
|
|
|
|
4 |
92 |
|
Investments in partner power plants and other associates |
2,297 |
|
|
|
|
|
|
|
4 |
2,301 |
|
Non-current assets |
3,785 |
0 |
124 |
239 |
27 |
0 |
0 |
1 |
76 |
4,252 |
1 The difference to net revenue in the income statement results from currency effects on intragroup energy transactions of CHF – 12 million.
2 Negative net revenue is attributable to the change in the fair value measurement of energy derivatives, which are presented in net revenue (see note 2.2).
Net revenue from external customers by country is allocated based on the customer’s country of domicile. Those countries in which Alpiq generated the most net revenue in the reporting period are presented separately in this segment information. There were no transactions with any single external customers that amounted to 10 % or more of the consolidated net revenue of the Alpiq Group. Non-current assets consist of property, plant and equipment (including right-of-use assets), intangible assets and investments in the respective countries.