Income Statement

Adjusted EBIT²⁰ for 2019 totalled €1,417 million, up by €12 million (0.9%) compared with adjusted pro-forma EBIT for 2018. The greater revenue (+€76 million or 3.0%), essentially attributable to the natural gas transportation segment business and the contribution for the whole of 2019 of the businesses that joined the scope of consolidation in 2018 were partly offset by the increase in depreciation, amortisation and write-downs (-€62 million or 9.0%). Operating costs were essentially in line compared with the adjusted figure for 2018 (-€2 million or 0.5%). The effects of the actions of the efficiency plan implemented, amounting to approximately E 15 million, were absorbed by the costs, recognized for the entire 2019 financial year, of the companies that entered the consolidation area during 2018, as well as by the costs related to the continuation of activities in the energy transition.

Adjusted net EBIT for 2019 totalled €1,093 million, up by €83 million (8.2%) compared with adjusted net EBIT for 2018. In addition to greater EBIT (€12 million; +0.9%), the increase was due to: (i) lower net financial expense (+€30 million; 15.4%) which benefit from a reduction in the average cost of gross borrowing, also following the optimisation actions implemented in period 2016-2019, as well as the positive market conditions; (ii) the greater net proceeds from equity investments (€57 million; +35.8%), also thanks to the contribution mainly from Senfluga, following the timing of the acquisition of Desfa (December 2018) and extraordinarily favourable volumes of gas, and from Terēga. These effects were partly absorbed by higher income taxes (-€16 million;4.5%), due mainly to the greater pre-tax profit.