A2A has provided itself with a sound financial structure, by pursuing maximum efficiency in optimizing the debt redemption profile through a proactive funding management aimed at seizing all opportunities offered by capital markets.
The focus on an adequate debt structure contributes to position the Group as an "Investment grade" issuer, as assessed by Moody's and Standard & Poor's
A2A can count on a wide range of funding sources obtainable at competitive costs through private lending and capital markets.
Courtesy of an effective sources diversification, A2A is able to meet its foreseeable short and long-term funding needs.
As of 30 september 2024
9M 2024
9M 2024
9M 2024
| Key Ratios | 9M 2024 | FY 2023 |
|---|---|---|
| Net Debt/Equity (x) | 0.68 | 0.98 |
| Net Debt/EBITDA (x) | 1.70 | 2.40 |
| Interest Coverage Ratio(*)(x) | 0.09 | 0.14 |
| Average Debt Maturity (years) | 5.5 | 5.7 |
| Average Cost of Debt (%) | 2.70% | 2.50% |
| Cash & Cash Equivalent | € 4.5 bn | € 3.6 bn |
| of which: | ||
| Undrawn Credit Facilities | € 2.4 bn | € 1.9 bn |
| Cash | € 2.1 bn | € 1.6 bn |
(*) This ratio is calculated as Net Financial Charges/EBIT
as of 30 september 2024
| Type of Debt (mln €) | Accounting balance 30/09/2024 |
Amount due in | |||||
|---|---|---|---|---|---|---|---|
| 31/12/2024 | 31/12/2025 | 31/12/2026 | 31/12/2027 | 31/12/2028 | beyond | ||
| Bonds | 4,844 | 12 | 329 | 598 | 298 | 497 | 3,111 |
| Bank loans and other | 1,244 | 106 | 163 | 130 | 127 | 117 | 601 |
| TOTAL | 6,088 | 118 | 492 | 728 | 425 | 614 | 3,712 |
Sources: A2A 9M 2024 Results
As of 30 september 2024, bank borrowings and other financing obtained by the A2A Group may be broken down as follows:
| Type | 30 september 2024 | 31 december 2023 | ||||
|---|---|---|---|---|---|---|
| No derivatives | With derivatives | % with derivatives | No derivatives | With derivatives | % with derivatives | |
| Fixed rate | 5,007 | 5,118 | 84% | 5,431 | 5,548 | 87% |
| Floating rate | 1,082 | 971 | 16% | 920 | 803 | 13% |
| Total | 6,089 | 6,089 | 100% | 6,351 | 6,351 | 100% |
The currently outstanding bonds issued by A2A Group account for ca. for € 4,8 bn.
Furthermore, it should be noted that Euro Bonds 2034, 2033, 2032, 2031, 2030, 2029, 2028, 2027, 2026 and 2025 and Private Placement 2023 and 2024 were issued under the EMTN Programme and that the current bond rating – where applicable, is different from the issue rating and is equal to the M/L term rating assigned to the Company by S&P and Moody’s.
The bonds of the A2A Group are listed below.
| Bond | ISIN | Outstanding Amount, €M |
Annual Coupon |
Issue Date | Maturity Date | Issue Price | Re-offer Yield | Rating (S&P/Moody’s) |
|---|---|---|---|---|---|---|---|---|
| Euro Green Bond 2034 | XS2583205906 | 500 | 4.375% | 03/02/2023 | 03/02/2034 | 98.824% | 4.513% | BBB/Baa2 |
| Euro Green Bond 2030 | XS2534976886 | 650 | 4.500% | 19/09/2022 | 19/09/2030 | 99.677% | 4.549% | BBB/Baa2 |
| Euro Green Bond 2026 | XS2491189408 | 600 | 2.500% | 08/06/2022 | 08/06/2026 | 99.580% | 2.612% | BBB/Baa2 |
| Euro Bond 2028 - SLB | XS2457496359 | 500 | 1.500% | 16/03/2022 | 16/03/2028 | 99.308% | 1.622% | BBB/Baa2 |
| Euro Green Bond 2033 | XS2403533263 | 500 | 1.000% | 02/11/2021 | 02/11/2033 | 99.204% | 1.071% | BBB/Baa2 |
| Euro Bond 2031 - SLB | XS2364001078 | 500 | 0.625% | 15/07/2021 | 15/07/2031 | 99.547% | 0.672% | BBB/Baa2 |
| Euro Bond 2032 | XS2250376477 | 500 | 0.625% | 28/10/2020 | 28/10/2032 | 99.471% | 0.671% | BBB/Baa2 |
| Euro Green Bond 2029 | XS2026150313 | 400 | 1.000% | 16/07/2019 | 16/07/2029 | 98.683% | 1.139% | BBB/Baa2 |
| Euro Bond 2027 | XS1701884204 | 300 | 1.625% | 19/10/2017 | 19/10/2027 | 98.700% | 1.768% | BBB/Baa2 |
| Euro Bond 2025 | XS1195347478 | 300 | 1.750% | 25/02/2015 | 25/02/2025 | 99.221% | 1.836% | BBB/Baa2 |
| Total | 4750 |
In June 2024 the first perpetual hybrid Green Bond – with the use of proceed format – was issued with a size of € 750 Million. The issuance was executed on a stand-alone basis (outside the EMTN Programme) and a rating of “BB+” by Standard and Poor's and “Ba1” by Moody's was assigned to the notes.
The bonds of the A2A Group are listed below.
| Bond | ISIN | Outstanding Amount, €M |
Annual Coupon |
Issue Date | Maturity Date | Issue Price | Re-offer Yield | Rating (S&P/Moody’s) |
|---|---|---|---|---|---|---|---|---|
| Euro Green Hybrid Bond | XS2830327446 | 750 | 5.000% (until the First Reset Date) | 11/06/2024 | Perpetual | 99.46% | 5.125% | BB+/Ba1 |
| Total | 750 |
In line with the Group's long-term strategy, A2A is committed to achieving an ESG debt target of over 80% by 2026 and above 100% by 2035.
Rating Agencies’ assessment on A2A’s creditworthiness witnesses the sound financial position of the Group.
The view of rating agencies on A2A debt.
| Agencies | View | Current rating | Last change on |
|---|---|---|---|
| Standard & Poor's | M/L Term Rating Short-Term Rating Outlook |
BBB A-2 Stable |
09/08/2023 |
| Moody's | M/L Term Rating Outlook |
Baa2 Stable |
11/22/2023 |
Useful resources
Services
A2A S.p.A. - P.I. 11957540153