8. Segment reporting

The representation of financial position and performance by business segment presented here is based on the approach used by management in monitoring Group performance for the two years being compared.

As already discussed in note 6 to the consolidated financial statements, segment reporting has been reformulated because in March 2020 a number of large generation customers were reallocated to the End-user Market segment in South America and Mexico. 

In order to ensure full comparability of the figures commented here in the light of the new breakdown of the primary and secondary reporting segments for IFRS 8 disclosure purposes, the comparative figures for 2019 have been restated appropriately.

For more information on performance and financial developments during the year, please see the dedicated section in the Report on Operations.

Segment reporting for 2020 and 2019

RESULTS FOR 2020 (1)

Millions of euro Thermal Generation and Trading Enel Green Power Infrastructure and Networks End-user Markets Enel X Services Other, eliminations and adjustments Total
Revenue and other income from third parties 19,350 7,409 17,824 17,647 970 1,803 (18) 64,985
Revenue and other income from transactions with other segments 1,454 283 1,518 11,861 151 67 (15,334) -
Total revenue 20,804 7,692 19,342 29,508 1,121 1,870 (15,352) 64,985
Total costs 18,570 3,113 11,909 26,651 969 1,911 (15,166) 47,957
Net income/(expense) from commodity derivatives (534) 68 - 264 - (6) (4) (212)
Depreciation and amortization 778 1,252 2,597 366 150 172 28 5,343
Impairment losses 950 728 621 1,079 18 11 1 3,408
Impairment gains (43) (67) (47) (141) - (4) (1) (303)
Operating profit/(loss) 15 2,734 4,262 1,817 (16) (226) (218) 8,368
Capital expenditure 694 4,629 3,937 460 303 103 71 10,197

(1) Segment revenue includes both revenue from third parties and revenue from transactions with other segments. An analogous approach was taken for other income and costs for the year.

RESULTS FOR 2019 (1)(2)

Millions of euro Thermal Generation and Trading Enel Green Power Infrastructure and Networks End-user Markets Enel X Services Other, eliminations and adjustments Total
Revenue and other income from third parties 30,480 7,344 20,092 19,537 967 1,901 6 80,327
Revenue and other income from transactions with other segments 1,532 373 1,697 13,062 163 80 (16,907) -
Total revenue 32,012 7,717 21,789 32,599 1,130 1,981 (16,901) 80,327
Total costs 29,972 3,143 13,511 29,194 972 1,855 (16,757) 61,890
Net income/(expense) from commodity derivatives (676) 14 - (71) - - - (733)
Depreciation and amortization 1,142 1,241 2,692 333 145 171 26 5,750
Impairment losses 4,031 99 371 930 111 33 1 5,576
Impairment gains (284) (12) (62) (139) - (3) - (500)
Operating profit/(loss) (3,525) 3,260 5,277 2,210 (98) (75) (171) 6,878
Capital expenditure 851 4,293(3) 3,905 449 270 134 45 9,947

(1) Segment revenue includes both revenue from third parties and revenue from transactions with other segments. An analogous approach was taken for other income and costs for the year.
(2) The comparative figures for 2019 have been adjusted to take account of the fact that as from 2020 in South America and Mexico amounts attributable to large customers managed by the power generation companies were reallocated to the End-user Markets Business Line.
(3) Does not include €4 million regarding units classified as “held for sale”.

Financial position by segment

AT DECEMBER 31, 2020

Millions of euro Thermal Generation and Trading Enel Green Power Infrastructure and Networks End-user Markets Enel X Services Other, eliminations and adjustments Total
Property, plant and equipment 10,747 30,655 36,718 154 516 699 10 79,499
Intangible assets 184 4,883 21,490 3,775 676 418 79 31,505
Non-current and current contract assets 4 1 340 - 42 14 79 480
Trade receivables 2,670 2,053 6,493 4,034 358 755 (4,311) 12,052
Other 1,433 1,095 2,674 756 297 769 (812) 6,212
Operating assets 15,038(1) 38,687(2) 67,715 8,719 1,889(3) 2,655 (4,955) 129,748
Trade payables 2,816 2,751 5,405 4,678 426 868 (4,061) 12,883
Non-current and current contract liabilities 147 152 7,172 42 5 8 (60) 7,466
Sundry provisions 3,528 947 3,794 400 46 603 479 9,797
Other 1,133 1,434 7,856 2,245 179 1,101 284 14,232
Operating liabilities 7,624 5,284(4) 24,227 7,365 656 2,580 (3,358) 44,378

(1) Of which €3 million regarding units classified as “held for sale”.
(2) Of which €855 million regarding units classified as “held for sale”.
(3) Of which €11 million regarding units classified as “held for sale”.
(4) Of which €35 million regarding units classified as “held for sale”.

AT DECEMBER 31, 2019(1)

Millions of euro Thermal Generation and Trading Enel Green Power Infrastructure and Networks End-user Markets Enel X Services Other, eliminations and adjustments Total
Property, plant and equipment 11,863 30,351 36,333 160 442 663 11 79,823
Intangible assets 134 4,697 23,782 3,624 605 466 29 33,337
Non-current and current contract assets - - 482 - 53 75 43 653
Trade receivables 3,181 1,711 7,703 3,838 607 676 (4,633) 13,083
Other 1,426 1,421 1,654 543 1,098 1,283 (1,350) 6,075
Operating assets 16,604(2) 38,180(3) 69,954(4) 8,165 2,805 3,163 (5,900) 132,971
Trade payables 3,375 2,192 5,417 5,030 414 949 (4,417) 12,960
Non-current and current contract liabilities 199 167 7,271 75 5 16 (104) 7,629
Sundry provisions 3,410 903 4,412 494 34 578 459 10,290
Other 1,074 1,843 8,867 2,642 415 1,451 (503) 15,789
Operating liabilities 8,058 5,105 25,967(5) 8,241 868 2,994 (4,565) 46,668

(1) The comparative figures for 2019 have been adjusted to take account of the fact that as from 2020 in South America and Mexico amounts attributable to large customers managed by the power generation companies were reallocated to the End-user Markets Business Line.
(2) Of which €4 million regarding units classified as “held for sale”.
(3) Of which €7 million regarding units classified as “held for sale”.
(4) Of which €10 million regarding units classified as “held for sale”.
(5) Of which €3 million regarding units classified as “held for sale”.

The following table reconciles segment assets and liabilities and the consolidated figures.

Millions of euro    
  at Dec. 31, 2020 at Dec. 31, 2019
Total assets 163,453 171,426
Equity-accounted investments 861 1,682
Non-current financial derivative assets 1,236 1,383
Other non-current financial assets 5,159 6,006
Non-current tax assets included in “Other non-current assets” 1,539 1,587
Other current financial assets 5,113 4,305
Current financial derivative assets 3,471 4,065
Cash and cash equivalents 5,906 9,029
Deferred tax assets 8,578 9,112
Tax assets 1,294 1,206
Financial and tax assets of “Assets held for sale” 548 80
Segment assets 129,748 132,971
Total liabilities 121,096 124,488
Long-term borrowings 49,519 54,174
Non-current financial derivative liabilities 3,606 2,407
Short-term borrowings 6,345 3,917
Current portion of long-term borrowings 3,168 3,409
Other current financial liabilities 622 754
Current financial derivative liabilities 3,531 3,554
Deferred tax liabilities 7,797 8,314
Income tax liabilities 471 209
Other tax liabilities 886 1,082
Financial and tax liabilities of “Liabilities included in disposal groups held for sale” 773 -
Segment liabilities 44,378 46,668