Results

Total revenue amounted to €584 million, an increase of €49 million, or 9.2%, compared with 2015. Total revenue net of items offset in costs²⁰ was €503 million, representing an increase of €48 million or 10.5% compared with 2015.

Regulated revenue (€583 million) comprised fees for the natural gas storage service (€512 million) and the fees charged back to users relating to the natural gas transportation service provided by Snam Rete Gas S.p.A. (€71 million). Storage revenue net of items offset in costs was €502 million, representing an increase of €48 million or 9.6% compared with 2015. The increase was due to tariff updating mechanisms and, in particular, the updating of the rate of return on net invested capital, which rose from 6% in 2015 to 6.5% in 2016 (+€20 million), as well as the effects of the entry into operation in late 2015 of the first facilities at the Bordolano site (+€21 million). The rate of return was updated mainly due to the adoption of the reference parameters to determine the WACC for 2016, calculated in accordance with the criteria established by the Authority by means of Resolution 583/2015/R/com, which were better than the parameters applied for the WACC in 2015, the first year of the fourth regulatory period for the storage service.

EBIT for 2016 amounted to €346 million, an increase of €27 million, or 8.5%, compared with 2015. Higher revenue (+€48 million) was offset in part by higher amortisation and depreciation (-€16 million), due primarily to the entry into service of new infrastructure, and greater operating costs (-€5 million, net of components offset in costs), due mainly to site maintenance costs.