e.on capital markets story 2021

Capital

StoryFebruary 2021incl. 9M 2020 financials

Markets

Energy fuels human progress. At E.ON, we’re doing everything we can to make the future better and to enable our networks and energy solutions to connect people with one another.

Our purpose

E.ON business model fully focused on the energy transition

3

Non-core activities Core activities: Customer centric energy infrastructure

~€4.1bn

Group EBIT 20191 Adj. Net Income 20191

~€1.6bn

Dividend per share 2019

0.46€78,948

Employees 2019

1. Adjusted for non-operating effects; pro-forma figures FY 2019, not audited

Up-stream & Power Generation

Power & Gasdistribution

Supplybusiness

E.ON fully focusing on the energy transition

E.ON’s two core businesses

4

Energy Networks Customer Solutions

~€33bn Regulated Asset BaseGermany €21.9bn

Sweden €3.8bnCEE & Turkey €7.6bn1

~74 GW renewables capacityconnected to E.ON networks

~20% of renewable assets in Europeconnected to E.ON networks

~53m customers across Europe2

Germany 13.9m

UK 10.5m3

Other ~28m4

~30% of adj. EBIT5 from decentralenergy infrastructure

4x Top 1 market leading positions6x Top 3

1. 100% view for Slovakia and Turkey 2. Including at-equity participations; earnings of Customer Solutions business of Croatia, Slovenia and VSEH allocated to Energy Networks due to size 3. To standardize reporting, the definition of customers was adjusted 4. 2019 adjusted due to the disposal of EKER in Hungary and first-time consolidation of VSEH in Slovakia 5. Adjusted for non-operating effects

Table of contents

1

2

3

4

………………..……………..……………………………………………………… 6

……………………………...……………………………………………………… 38

…………………………..……………..………………………………………………………… 53

9M 2020 Update

Strategic Update

Financial Update

Appendix

……………………………...……………………………………………………… 15

9M 2020Update

✓ Strong operational performance in Q3 2020

✓ 2020 EBIT guidance of €3.6 - 3.8bn confirmed

✓ Current selective lockdown measures in E.ON countries

without significant impact on E.ON FY 2020

✓ Mid-term targets and dividend guidance confirmed

✓ Integration of innogy and synergy delivery fully on track

7

E.ON 9M 2020 results9M 2020 results underpin confidence forremainder of the year

Key financials1Highlights

1. Adjusted for non-operating effects; pro forma figures 9M 2019, not audited

3,0

1,3

2,7

1,1

Adj. EBIT Adj. Net Income

-43.1

-42.1

30 Jun 2020

30 Sep 2020

Economic Net Debt

€bn

9M 2019

9M 2020

8

E.ON 9M 2020 resultsAlmost €60bn of potential EU funding for E.ON marketsearmarked for climate – already 200 projects identified

Funding focus matching E.ON’s core activities in customer centric energy infrastructure1

Efficient and decarbonized district heating and cooling systems

Energy efficiency in the industry sector and for SMEs

Renovation of private and public buildings(focus on schools and hospitals)

Smart grids

Storage infrastructure

Infrastructure for renewable energy

Renewable hydrogen

Smart and sustainable mobility

Preparation(Aug- Dec 2020)

Application(Jan4-Apr 2021)

Ongoing engagement of national governments with the EU Commission to draft plans

Submission of NRRPs3 by Member States to EU Commission outlining national investment and reform agendas

Expected funds allocation(May-Jun 2021)

Timeline and funding instruments vary between Member States, e.g. lengthy and competitive bidding procedures possible

Member States- Specific investment areas and instruments

1. Under political negotiation, list simplified and not-exhaustive 2. €312.5 bn under Recovery and Resilience Facility (RRF) of which €157.7bn are allocated to E.ON countries; climate earmarking rate of 37% resulting in €58.4bn, digital earmarking of 20% resulting in €31.5bn 3. National Recovery and Resilience Plans 4 According to the draft Regulation, the NRRP submission started officially on Oct 15th, but we expect Member States will submit after the EU legal framework is finalized, so likely starting in January. Source: European Commission

€31.5bn digital

earmarking in E.ON markets2

€58.4bn climate

earmarking in E.ON markets2

200 potential projects

identified

70%

80%

90%

100%

110%

Covid-19 impact until year end in line with expectations

Power demand recovered faster than expected

• Customer Solutions: demand levels recovered above expectations in Q3 leaving enough cushion. No need for further sell-backs expected

• Energy Networks: volume related effects recoverable in 2022 – 20243

• Current selective lockdown measures in E.ON

countries without significant impact on E.ONFY 2020 financials

• Payment behavior of customers remains unchanged compared to pre Covid-19: UK only market with higher day of sales, but unchanged vs. H1 2020

• UK related working capital impact started to reverse from

~€100m to ~€50m

• Bad debt: Covid-19 related total Group bad debt provision slightly increased by ~€10m to ~€45m at the end of Q3 2020

91. Source: entso-e 2. Period 1 Jan 2020 – 26 Oct 2020 3. Period for recovery of lower revenues in 2020 in Germany

E.ON 9M 2020 results

○ -4%2

Mar unchanged/low slight change/medium worsened/high

Government

intervention

Change of

payment behavior

Day of

sales

GER

UK

NL

Payment behavior and bad debt in line with expectations; UK remains outlier

/

Germany relative to 20191

April May Jun Jul Aug Sep Oct

Sound EBIT development despite Covid-19 impact and mild weather

EBIT1 9M 2020 vs. 9M 2019 pro forma€ m

2,688

2,987

-40

Energy

Networks

9M 2019

pro forma

-223

Corp. Functions

& Other, Cons.

Customer

Solutions

-8

-28Non-Core

2,6889M 2020 ~€2.9bn (excl. Covid-19)

Key drivers

~€-120mCovid-19 impact

(volumes)

~€-130mCovid-19 impact

(sell-backs, volumes & bad debt)



Non-Core• PreussenElektra: higher achieved prices,

higher depreciation from purchase of production rights

• Turkey Generation: one-off effect in 9M 2020

+/–

Energy Networks

• Covid-19-related lower volumes

• Germany: weather-related lower volumes

• Sweden: lower WACC in new regulatory period

–

––

–

Customer Solutions

• Covid-19: sell-back of volumes (B2B) & bad debt

• Weather impact on volumes

• UK: restructuring benefits

–

10

–

+

2.688

1.852

1.089

Economicinterest result

Group EBIT1

Minorities

-836

Profitbefore Taxes1

-463Income taxes

-300

AdjustedNet Income1

Tax rate at ~25%

11

Adjusted Net Income in line with EBIT development

1. Adjusted for non-operating effects

0.42 EPS (€ per share)

9M 2020€ m


END9M 2020

-24.6

-8.8

-0.6+0.2

-26.2

-43.1

OCF3Q 2020

-8.0

Net Investments 3Q 20201

-8.8

-8.6

+2.4

-1.0

ENDH1 2020

Pensions2 Other (incl. AROs)

-42.1

€ bn

12

Economic Net Debt (END) improved due to strong Operating Cash Flow in Q3 2020

1. Net of divestments; including disposal of EKER in Hungary 2. Actuarial interest rates for German pensions at 1.0% (vs. 1.2% @ H1 2020),for UK pensions at 1.6% (vs. 1.6% @ H1 2020)

Net financial position

Asset Retirement Obligations (ARO)

Pension provisions


Group outlook 2020 and mid-term delivery plan confirmed

Group Guidance 2020

EBITDA1: €6.8-7.0bn

EBIT1: €3.6-3.8bn

Capex2: ~€4.2bn

ANI1: €1.5-1.7bn

13

1. Adjusted for non-operating effects; CAGR’s technically adjusted to new 2020 guidance, recovery of Covid-19 effects not yet reflected 2. Includes transaction related effects; cash-effective capex outlook excluding transaction related effects amounts to ~€4.6bn 3. Excluding provision utilization for nuclear decommissioning, average for 2020-2022


2020 – 2022 delivery plan

Group EPS1 growth

17-22% CAGR

Dividend per share (DPS) growth up to 5% p.a.

Group EBIT1growth

11-13% CAGR

Average cash conversionrate3

of 95%

Capital structure with

strong BBB/Baarating

✓

✓

✓

✓

Guidance overview

€ bn 2019 pro forma3 2020 2020-2022

EBITDA1 6.904 6.8-7.0 5-6% CAGREnergy Networks 5.364 5.0-5.2

Customer Solutions 1.126 1.0-1.2

Non-Core 0.617 0.8-1.0

Corporate Functions & Other -0.203 ~-0.3

EBIT1 4.065 3.6-3.8 11-13% CAGREnergy Networks 3.499 3.1-3.3

Customer Solutions 0.541 0.4-0.6

Non-Core 0.366 0.3-0.5

Corporate Functions & Other -0.341 ~-0.4

ANI1 1.573 1.5-1.7 17-22% CAGR

EPS1 €0.60 €0.58-0.65 17-22% CAGR

Dividend €0.46 up to 5% p.a. up to 5% p.a.

Capex2 4.435 ~4.24 ~13Energy Networks 3.149 ~3.4 ~9.7

Customer Solutions 1.008 ~0.8 ~2.7

Leverage 5.6x ~5x1. Adjusted for non-operating effects 2. Cash-effective investments 3. Pro forma figures FY 2019, not audited, reflecting transaction adjustment 4. Includes transaction related effects; capex outlook excluding transaction related effects amounts to ~€4.6bn

14


Strategic Update

Sustainability

Dividendgrowth

Performance

Customer centricenergy

infrastructure

We commit to a sustainable dividend per share growth of up to 5% annually until 2022 and further growth beyond

1We are the green investment opportunity and we enable the energy transition2We focus on customer centric energy infrastructure which is the core of our resilient portfolio3Performance culture is part of our DNA and we continuously deliver on operational excellence4

Why invest in E.ON?

16

Why invest in E.ON?

Sustainability

Dividendgrowth

Performance


infrastructure

17

Net zero is the new normal – E.ON is driving carbon reduction

One out of five renewable

assets in Europe3 connected to E.ON’s grids

IPCC1 long term goal to limit global

warming to 1.5°C

Green Deal: The EU will be climate neutral

by 2050

German greenhouse gas emissions to be cut

by 55% by 20302

Global challenges E.ON’s contribution

Avoided emissions together with our clients

2019: >100m tons CO2

E.ON will become carbon neutral4

by 2040

1. Intergovernmental Panel on Climate Change 2. Pre Green Deal 3. Considering EU27 4. Carbon neutrality by 2040 (Scope 1 and 2), 75% carbon reduction by 2030(Scope 1 and 2), 50% reduction of Scope 3 emissions by 2030, carbon neutrality by 2050 (including Scope 3). Base year: 2019 pro forma 5. UN Sustainable Development Goals

Focus SDGs5

18

Decarbonization means deep electrification

European1 energy demand 2015 vs. 2050…TWh

2050

~12,500

~7,000

2015

~20%~67%

+90%

-40%

… with huge impact on energy infrastructure

Increase of electricity demand (+90%)

• Deep electrification of different sectors and

decentral generation creates the need for

substantial grid investments

• Substitution of fossil fuel consumption through

green electricity

Reduction of total energy demand (-40%)

• Major decarbonization goals provide business opportunities for energy efficiency products and services

1. Considering EU27, Source: https://www.eea.europa.eu/data-and-maps/figures/primary-and-final-energy-consumption (energy demand)/ http://inrestruct.com/wp-content/uploads/2015/04/Practical-guide-to-a-low-carbon-Europe-2050.pdf (power demand)

Power Other

19

Decentralization means digitalization and efficiency potential

The complexity within DSOs is increasing ... Decentralization drives system complexity E.ON provides digital solutions to capitalize on it

Customerinterface

(data usage)

EnergieMonitor & Klima-Navi Transparency about CO2-footprint and impact of energy transition to municipalities and customers

Asset Control Systems Local Energy System

CO2 FootprintApp

Regional Energy Market

Energy Management System

Smart Home

Storage

Predictive Maintenance Data-driven decisions withmachine learning

Network operation

(data distribution)

SystemFlexibility

Control Center

Predictive Maintenance

Asset Monitoring

Data, AI

Automated Grid Planning

Physicalassets

(data generation)

Grid SmartificationIntelligent substation collects real-time data from our networks to enhance grid management

NetworkGeneration

E-mobility

Buildings

Broadband

Decentralization means digitalization and efficiency potential

20

Why invest in E.ON?

Sustainability

Dividendgrowth

Performance


infrastructure

21

E.ON transformed into Europe’s energy infrastructure powerhouse

2x

Regulated Asset Base1

2x

customer accounts

~€740m

delivery of annual net

synergies by 2022

~80%regulated earnings

with benefits for

credit rating2

Long-term

energy infrastructure

substitutes increasingly

merchant renewable

assets

Integrationbundling of synergies

for the benefit of our

customers

1. German RAB 2. Based on 2020 EBIT, EBIT adjusted for non operating effects

E.ON’s strategy implementation accelerated by innogy takeover

22

Infrastructure is at the heart of E.ON’s capital allocation

1. IFRS segments used in external reporting 2. Includes Energy Sales and Services and New Solutions 3. Includes City Energy Solutions and B2B Solutions4. Excludes investments in Corporate Functions & Other and Non-Core

Energy Networks1

Customer Solutions1

~10%Retail

investments4

~90% Infrastructure

investments4Regulated energy networks

Energyretail2

Decentral energyinfrastructure3

23

2010 2020 2030 2050

Energy transition driving multi-decade investment opportunities

Source: Historic values: Bundesnetzagentur Monitoringbericht 2019. Future outlook: dena-Leitstudie Integrierte Energiewende1. Assuming 2% inflation beyond 2020

Industry investments in German power distribution networks excluding Green Deal upside€ bn

2.5

4.7

6.7

2009

Drivers

24

Germany

E.ON is the leading energy network company inNorthern and Central Europe

Sweden

3.8 21.9 7.6

E.ON Regulated Asset Base (RAB) – regional split€ bn

1. RAB is the value of all distribution assets determined by the regulator. In general, RABs from different regulatory regimes are not directly comparable due to significant methodical differences. These include for example different regulatory asset lifetimes, asset valuation methods or treatment of customer contributions for network connections. Central Eastern Europe including: Czech Republic, Hungary, Poland, Romania, Slovakia 2. 100% view for Slovakia and Turkey

CEE2 &Turkey233.2

Total RAB1, 2

Power RAB Gas RAB

25

27.7

Gas 5.5

33.2

2019 2022

Power

4-5%CAGR2

E.ON Regulated Asset Base1 growth€ bn

• Multi-decade growth potential stemming from mega-trends

• Optimizing our existing gas asset base with limited investment needs

• Future growth option from hydrogen

Power

Gas

Beyond

Long-term RAB growth with further upside potential

1. RAB is the value of all distribution assets determined by the regulator. In general, RABs from different regulatory regimes are not directly comparable due to significant methodical differences. These include for example different regulatory asset lifetimes, asset valuation methods or treatment of customer contributions for network connections, including 100% view for Turkey and Slovakia. Constant year-end 2019 FX-rates 2. Relates to power RAB

26

~90% of German gas network business is

linked to electricity concessions

Gas activities closely coupled with power business Limited capex spent on gas

~5% of Group capex1 is spent

on our gas business

Existing connections

37%

37%37%

14%

50%

26%

New-builds

Other

District heating

Gas

Future potential for industry and transport

H2

1. Cash effective investments, average for 2020-2022 2. Source: BDEW 2020

The role of gas in German heating market2

Gas distribution with stable earnings and limited capexGas distribution with stable earnings and limited capex

27

Four years of regulatory stability

Regulatory periods per country

2024 2025 2026 20272020 2021 2022 2023

70%2of the Energy Networks

EBIT is highly visible until 2024

1. Length of upcoming regulatory period still under discussion 2. Based on 2019 pro forma EBIT, adjusted for non operating effects

2028

Germany(Power)

Sweden

Romania

Hungary

Czech Republic1

PolandTurkey

Slovakia1

Germany (Gas)

28

Exemplary earnings components beyond allowed return

Allowed

return

Opex efficiencies

Capex efficiencies

Regulatory cost recognition

Special incentives

Actual opex vs. allowed opex

Outperformance of standard prices set by regulator

E.g. reliability and network losses

RAB

growth

Total regulated earnings

=

Allowed return Additional earnings components in our markets

29

Leveraging strong partnerships and core competencies to drive additional businesses

… create a competitive edge for additional businessesLong-term partnerships with municipalities …

Concession-based RAB

~2/3

Non-concession-based RAB~1/3

RAB€21.9bn1

>9,000concessions in Germany

1. German power and gas RAB

Technical grid services e.g. O&M

Smart meterse.g. installation

Broadbande.g. new customer

connections

Water and waste-watere.g. supply and

operations

City Energy Solutions (CES)Local heating and cooling solutions formunicipalities, districts and single sites

… including other areas benefitting from our partnerships

30

Earnings growth from reducing carbon emissions viadecentral energy infrastructure

City quarter solutionsIntegrated energy conceptse.g. Werksviertel MunichAverage contract duration: 20-40 years

Low temperature heating and cooling gridsE.g. ectogrid: zero emission energy hybrid system with upto 20% cost savings Top 2

market position inSweden and Germany1

Large B2B solutions/district heating gridsOn-site generation solutionsAverage contract duration: 15-40 years

Single/multi-site solutionsDecentralized sustainable local energy solutions (e.g. PV at Audi in Győr, Hungary)

~25%CAGREBIT 2020-20222

1. City Energy Solutions, based on heating volumes sold 2. City Energy Solutions and B2B Solutions, EBIT adjusted for non operating effects31

Customer numbers B2B & B2C

32

9,8 10,0

13,5 13,6

4,6 4,6

10,9 10,5

13,9 13,9

52.6

FY 2019 9M 2020

52.7

Stable customer base (m)1

Customer accounts

Germany 2 UK3 Benelux4 Other5 Turkey

-0.2%

Thereof: electricity customers (m)1

Thereof: gas customers (m)1

9,8 10,0

10,8 10,92,6 2,5

6,6 6,4

11,6 11,6

FY 2019

41.5

9M 2020

41.4

2,7 2,8

2,0 2,1

4,2 4,1

2,3 2,2

11.211.2

FY 2019 9M 2020

+0.0%

-0.2%

1. Including at-equity participations; earnings of Customer Solutions business of Croatia, Slovenia and VSEH allocated to Energy Networks due to size 2. 2019 adjusted due to the disposal of substantial parts of the heating customer business 3. To standardize reporting, the definition of customers was adjusted 4. 2019 adjusted for the acquisition of the Dutch energy utility VandeBron 5. 2019 adjusted due to the disposal of EKER in Hungary and first-time consolidation of VSEH in Slovakia


Why invest in E.ON?

Sustainability

Dividendgrowth

Performance


infrastructure

33

Performance culture is part of our DNA

Continuous improvement

Digitalization & innovation

Regulatory outperformance

Customer satisfaction

Transaction related synergies npower & E.ON customers migrated onto new platform E.ONnext

Operational excellence

EBIT1 developmentGBP m

✓ Synergy delivery on track

✓ 5% achieved in 2019

✓Measures validated and delivery de-risked

✓ €740m confirmed target

by 2022

Top priorities Performance culture1. Adjusted for non operating effects 2. After smart meter investments

>20232019 2022 2023

~100m

Earnings improvement: Combined EBIT1 of at least GBP100m in 2022 and improvement beyond

Free cash flow will be positive2 from 2023 onwards

34

Synergy delivery fully on track

2019 2020 2021 2022

~45%

~20%

~100%

Estimated transaction related net synergies1 of ~€740m

1. Start of voluntary leave program

2. External budget cut3. Optimization of IT

services

1. Full integration of headquarter

2. Organizational integration of Customer Solutions businesses

1. Synergies in Energy Networks

2. Integration of customer portfolios

3. Consolidation of IT landscape

5%✓

1. Net accretive to EBIT, EBIT adjusted for non operating effects and before implementation costs (implementation costs not included in adjusted EBIT)

Customer Solutions

Energy Networks

Central Functions, IT and Other

27%

20%

53%

Synergy delivery by division

35

Renewal of IT architecture to drive operational excellence in Customer Solutions

• Already today at competitive Cost-to-Serve level

• Ambition: reduction to market leading level at low teens (€/customer)

Germany: Substantial ramp up of contracts to digital platform

UK: npower customer migration started in July 2020 as scheduled

• Already surpassed the level of 1 million contracts by earlyNovember 2020

• Over 250,000 first bills sent to customers via new platform

1. Compared to business plan announced in November 2019 2. After smart meter investments 3. Majority to be shown in non-operating result36

~1

~4

Mar 20 Jun 20 Sep 20 Dec 20 Dec 22 Aug 20 Oct 20 Dec 20 Q2 21 H2 22

million contracts

> 0.1 > 0.4 > 1.0

All npowercontracts migrated

All E.ON UKcontracts migrated

million contracts All Germancontracts migrated1

100%

85%

70%Efficient

Very efficient

E.ON’s performance culture adds sustainable value to businesses and customers

100%

95%Industry average 94%

8/9 E.ON networks obtain a 100% efficiency score, with 3 obtaining a super efficiency bonus

>€600m additional revenues in regulatory period1

1. Based on ~€4bn allowed power cost base relevant for efficiency factor

E.ON grids

All E.ON grids considered very efficient, with 2/3 being 100% efficient

8/9 E.ON grids 1/9 E.ON grids

German power network efficiency scores Sweden power network efficiency scores

37

Financial Update

€0.21

€0.30

€0.43 €0.46

2016 2017 2018 2019 2020 2021 2022 Growth beyond

We commit to annually grow the dividend per share by up to 5%

✓ ✓ ✓ ✓

Dividend per share (DPS)

39

E.ON’s 2020-2022 delivery plan confirmed

Group EPS1growth

17-22% CAGR

Dividend per share (DPS) growth up to 5% p.a.

Group EBIT1growth

11-13% CAGR

Average cash conversionrate2

of 95%Capital structure with strong BBB/Baa rating

1. Adjusted for non-operating effects; CAGR’s technically adjusted to new 2020 guidance, recovery of Covid-19 effects not yet reflected 2. Excluding provision utilization for nuclear decommissioning, average for 2020-2022

40

6-11%

3-8%

Strict capital allocation framework leads to sound investment profile

Sustainability focus Capital allocation in line with business priorities

Enable energy transition

Supporting SDGs1

Reduce customers‘ emissions

Human rights violations

Carbon heavy generation

Environmental degradation

Sustainability criteria:

Return framework

Hurdle rate

WACC (country & technology specific)

Project specific risk premium

E.ON Group excess return target

Hurdle rate composition: Indicative hurdle rates2:

1. UN Sustainable Development Goals 2. Illustrative hurdle rate ranges; post tax. Final hurdle is risk adjusted for each project and might vary 3. Includes New Solutions and Commodity Sales and Services 4. Includes City Energy Solutions and B2B Solutions 5. Excludes investments in Corporate Functions & Other and Non-Core

✓

✓

✓

4-9%

41

E.ON allocates ~75% of investments to Energy Networks

~4.21

Investments 2020€ bn

~131

1. Cash effective investments including Corporate Functions & Other and Non-Core, assuming no further severe lockdowns in our major markets, includes transaction related effects; Capex outlook excluding transaction related effects amounts to ~€4.6bn for 2020 2. Based on investments in Energy Networks and Customer Solutions 3. Corporate Functions & Other and Non-Core

Investments 2020-2022 € bn

Other3Customer SolutionsEnergy Networks

~90%2

infrastructure

~90%2

infrastructure

42

Investments with strong focus on infrastructure

100%infrastructure

Energy Networks 2020-2022 € bn

~9.71

Power OtherGas

Customer Solutions 2020-2022 € bn

~65%infrastructure

B2B Solutions

UK smart meter roll-out

City Energy Solutions

IT driven retail investments

New Solutions

E-mobility

~2.71

1. Cash effective investments, assuming no further severe lockdowns in our major markets 43

6.8-7.0

3.6-3.8

Attractive Group earnings growth

1. Adjusted for non operating effects; assuming no further severe lockdowns in our major markets

5,4

1,10,6

6.9

Outlook1

CAGREBITDA1

€ bnEBIT1

€ bn

11-13%EBIT

5-6%EBITDA

Guidance:

3,5

0,50,4

4.1

Energy Networks Customer Solutions Corporate Functions & Other Non-Core

2020-20222019pro forma

2020 2019pro forma

2020

44

5.0-5.2

Mid-term growth in Energy Networks earnings backed byorganic RAB growth

3,7

0,7

1,0

5.4

1. Adjusted for non operating effects; assuming no further severe lockdowns in our major markets

2,4

0,5

0,6

3.53.1-3.3

Guidance:

Outlook1EBITDA1

€ bnEBIT1

€ bn

Germany Sweden CEE & Turkey

2020-20222019pro forma

2020 2019pro forma

2020

45

Customer Solutions earnings growth driven by digitalization and UK turnaround

1. Adjusted for non operating effects; assuming no further severe lockdowns in our major markets 2. ~30% EBITDA share relating to decentral energy infrastructure

EBITDA1,2

€ bn

1.0-1.2

0.4-0.6

0,6

0,2

0,3

1.1

0,5

0,10,1

-0,2

0.5

2019

pro forma

Decentral energy infrastructure

~30%

Guidance:

Outlook1EBIT1

€ bn

Germany UK Benelux Other

2020-20222019pro forma

2020 2020

46

Strong EPS growth of 17-22%

Adjusted Net Income1

€ bn

1.61.5-1.7

17-22%

Earnings per share1

€

1. Adjusted for non-operating effects; assuming no further severe lockdowns in our major markets

0.60 0.58-0.65

Payoutratio

77%

Outlook1

CAGR

2020-20222019pro forma

2020 2019pro forma

2020

47

Significant refinancing benefits over the next three years

0.0%

0.8%

1.7

Q4

2022

0.0%

Q1

2023

0.4%

5.9%

1.3

5.6%

0.4%

3.0%

Q4

20202

Q1

2024

0.9%

>2024Q2

2024

6.5%

3.9%

Q3

2024

0.0%3.2%

0.5

Q2

2021

0.6

5.5%

1.5

0.3

0.9

1.1

0.8

17.1

6.5%

Q4

2023

Q3

2021

5.7%

Q2

2023

0.0%0.6

5.5%

Q3

2022

1.1

481. Bonds issued by E.ON SE and E.ON International Finance B.V. (fully guaranteed by E.ON SE); bonds issued by innogy SE and innogy Finance B.V. (fully guaranteed by innogy SE) 2. Including innogy EIB-loan €645m 3. Amount of refinancing benefits depends largely on refinancing conditions at time of bond issuance

Volume

% Coupon

Bond maturities as of end 9M 20201,2

€ bn

3.2%

Refinancing benefits until 2022 of up to

~€200m3

Green financing is an integral part of our funding strategy

€4.6bn outstanding

1. Cash effective investments including Corporate Functions & Other and Non-Core, assuming no further severe lockdowns in our major markets 2. Based on investments in Energy Networks and Customer Solutions 3. Corporate Functions & Other and Non-Core

To finance our investments we have tapped the green bond market …

~€1bn p.a.

… and intend to issue more:

Total investments 2020-2022€ bn

95%energy transition investments2

131

Energy Networks Customer Solutions Other3

Revolving credit facility linked to sustainability ratings:

€3.5bn

49

E.ON’s approach to manage Economic Net Debt

Economic Net Debt

€ bn

-8.6

-8.8

-24.6

9M 2020

-42.1

Asset Retirement Obligations Net financial positionPensions

• 0% real discount rate floor reached: only upside

• Further upside: outperforming provisions by operational excellence

“Beat the provisions”

• Sound management of cash flow

• Re-financing benefits from lower interest rates

“Manage for cash”

• UK pension obligations largely funded

• Sensitivity GER pensions: -50bps +€1.6bn

• Duration of pension obligation ~18 years

“Focus on thelong end”

50

Rating target re-confirmed, positive END effects above initial expectations

Strong BBB/Baa rating target

Leverage factor1 Selected END effects 2020-20223

• 95% Cash conversion rate4

• Working Capital optimization program & ARO5 reduction ~+€1.5bn (before: ~+€1bn)(ARO reduction: ~€200m already achieved 2019)

• Nord Stream 1 transfer to pension fund executed ~+€1bn

• Transaction effects +/-€0bn (before: -€0.5bn)Remedies, merger squeeze-out, locked box, restructuring Hungary

• Integration costs up to ~-€1bn

20222019

pro forma2

5.6x

~5x

↑

511. Economic Net Debt/EBITDA, EBITDA adjusted for non-operating effects 2. Reflecting transaction adjustment (END FY 2019 reduced by ~€0.5bn) 3. Negative effect indicates increase of Economic Net Debt and vice versa 4. Excluding provision utilization for nuclear decommissioning, average for 2020-2022 5. Asset Retirement Obligations

Dividend commitment fully in line with deleveraging

EPS1 above DPS growth… … allowing deleveraging and sustainable dividend growth

2019pro forma

2020 2021 2022

…lowers payout ratio…

Strong BBB/Baa rating

target

2019

pro forma

2022

5.6x

~5x

77% Payout ratio

2019 pro forma

2022

1. Adjusted for non operating effects; assuming no further severe lockdowns in our major markets 52

Appendix

IFRS reporting divisions

E.ON new segmentation from 2020 onwards

Infrastructure

Energy sales and services

New Solutions

B2B Solutions

City Energy Solutions

(CES)

Power grid

Gas grid

Additional businesses

Decentral energy infrastructure

Regulated networks

Energyretail

Energy Networks Customer Solutions

DE SWE CEE1 & TR Benelux2 DE UK Other3

1. Central and Eastern Europe, including Czech Republic, Hungary, Poland, Romania, Slovakia, Croatia and Slovenia 2. Belgium, The Netherlands and Luxemburg 3. Including Czech Republic, Hungary, Italy, Poland, Romania, Sweden 4. PreussenElektra 5. Turkey Generation

Non-CoreCorporate Functions &

OtherPE4 TR Gen5

54

E.ON’s strong ESG profile

Experienced, diverse and independent

Efficient cooperation in Board Committees

Creation of Innovation and Sustainability Committee

Remuneration system closelyaligns management’s andshareholder’s interest

Energy efficiency solutions with our clients to reduce carbon emissions

Variety of nationalities, cultures,generations and genders in management & workforce

Creation of a work environmentthat protects the health and safety of customers and employees

Commitment to respect human rights, uphold labor standards, and fight against corruption

Energy Networks: High resilience due to high degree of underground cabling

Driving the energy transition through decentral & digital local networks

Climate neutrality by 2040 (Scope 1 & 2) & by 2050 (including Scope 3)1

Environmental GovernanceSocial

Avoided emission together with our clients2019: > 100mtons

Climate

Diversity

Security of energy supply

Health & Safety

Human Rights

SupervisoryBoard

SupervisoryBoardCommittees

Remuneration

1. Carbon neutrality by 2040 (Scope 1 and 2), 75% carbon reduction by 2030 (Scope 1 and 2), 50% reduction of Scope 3 emissions by 2030, carbon neutrality by 2050 (including Scope 3). Base year: 2019 pro forma

55

E.ON’s sustainability awards, ratings and rankings

Text 1

Text 1

Text 1

Overall ESG Risk Score = 81 (Leader Group)Relative Position 11 out of 192

E.ON is index member1, i.e. one of the advanced companies in Europe – score: 61/100

Result: AA

Rating: C+

Text 1CDP Score: ASector Average: C

Text 1

Overall ESG Score: 3.2 Sub Sector Average Multiutilities: 2.8Industry Average Utilities: 2.5

Text 1 E.ON ranks 6th out of 30

Text 1

E.ON ranks 4th in the Green Utilities Report from Energy Intelligence (EI) Group

1. Vigeo/EIRIS has rebranded as V.E, affiliate of Moody’s 56

Building blocks of allowed revenues in Germany

1. Old assets are those capitalized before January 1, 2006. New assets are those capitalized after January 1, 2006. Old assets are indexed up to 40% with asset-specific indices to determine the current costs. Relevant asset base for calculation of allowed return in 2019 is 2016 for power and 2015 for gas 2. Debt base consists of non-interest and interest bearing capital

Totex indexed toCPI and subject togeneral and individualefficieny targets

Opex

Capital Costs

Regulated asset base1

Old assets: current costs; new assets:

historic costs

Debt base2

(related to actual capital structure, minimum 60%)

Regulated equity base

(related to regulatory capital structure, maximum 40%)

Total allowed cost base

(Totex)

Adjustment of revenues, lagged

recoveries and pass-through items

Allowed revenues

Power (Old)

~10.2

~3.4

~6.5

Power (New)

Gas (Old)

Gas(New)

~9.5

~1.7

~3.0

~4.7

Thereof:

~4.0 power~0.7 gas

40% Cap

Thereof:

~8.3 power~1.2 gas

Schematic illustration for 2019 (power & gas)€ bn

~21.2

~1.1

57

Energy Networks Germany - Earnings components

~60%

~10%

~10%

~10%

~5%

0%

~50%

~15%

~5%

~15%

~5%

0%

Income from participations portfolio is at-equity/at-cost consolidated

Operational efficiency

Other infrastructure business3

Additional network-related business4

Other regulated earnings/temporary effects

Income from participations

Regulated return & depreciation2

Illustrative average EBITDA1 split (2019-2020) Illustrative average EBIT1 split (2019-2020)

1. Adjusted for non operating effects 2. Includes return on RAB, difference between regulatory and IFRS D&A and revenues for grid expansion 3. Other infrastructure businesses include e.g. water business 4. Additional network-related business includes broadband, smart meter and technical network services

58

336,0214,0

Continuous improvement in operative performance increases security of supply

1. System Average Interruption Duration Index 2. E.ON stand-alone figures 3. SAIDI increase due to weather related effects in 2019 22 minutes of disturbances (2014-2019), includes: weather effects and other system disturbances 4. Calculated as arithmetic average of respective countries

Power losses2 2014 vs. 2019SAIDI1,2 2014 vs. 2019

48,029,0

Germany

144,0 170,0

Sweden

2014 2019

CEE4

2014 2019

CEE4

Germany

Sweden

4,4 3,8

3,93,0

9,17,1

-40%

-36%

+18%3

-14%

-23%

-22%

2014 2019 2014 2019

2014 2019 2014 2019

59

RAB growth further supported by local drivers

17,3

2019 2022

3,8

2019 2022

1,6

2019 2022

Local driversPower RAB development€ bn

CzechRepublic

Germany1

Sweden2

3-5% CAGR

3-5% CAGR

4-6% CAGR

• Storm proofing• Renewable connections• Demand growth

• Renewable connections• Replacement• Digitalization

• New connections of B2B customers• Reliability• Modernization

1. Assuming constant number of network concessions 2. Excluding RAB re-evaluation following the beginning of new regulatory period 60

Network charges are only a small portion of German power price

Only

23%

Network charges

Electricity procurement, retail margin

Further taxes and levies

Renewable surcharge

Decarbonization currently not optimally supported, electricity disadvantaged

Composition of average electricity price

• Renewables surcharge to be borne by more customers• Carbon minimum price or tax• Electricity tax to be redesigned

German power price needs to be ‘cleaned up’

61

EU financing successful for major growth projects across Europe with up to ~€250 m funding grants

Danube InGrid3,4

• Improved security of supply and capacity in the border regions• Implementation of smart grids

1. Project of Common Interest (EU Horizon 2020) 2. Again Connected Networks 3. Projects are part of the 4th PCI list of EU 4. Danube Intelligent Grid

Smart Border Initiative3 (SBI)

• Commission a cross-border smart distribution grid at low cost• Solving network bottlenecks and voltage problems intelligently

• More than €500m investments planned• Around 50% approved in EU grants• All projects included in EU PCI1 list

ACON2,3 1.0/ACON 2.0

• Increasing cross-border power distribution capacity and grid modernization through implementation of smart grids

62

City Energy Solutions selected projects

Key figures Project examples

• 50% increase of renewable/recovered energy• 99% efficiency of CHP• 659 GWh total output

Högbytorp

• Inhouse construction management • 100% renewable heating supply

from 2023 (biogas)

Elephant & Castle London

• 50% less CO2

• 10% lower energy cost• High level of energy self-sufficiency

Werksviertel München

Countries with CES projects

>750k customers

~5k installations under management

350 heating, cooling& steam networks

€1.5bn revenue

• 8,100t CO2 savings per year • 90% CHP efficiency• 88% of heat demand covered by bio natural gas

Hanseviertel Lüneburg

63

39 TWh of production rights for PreussenElektra already transferred - Terms challenged

Nuclear power plant Krümmel1

88 TWh of production rights (before transfer)

PreussenElektra

39 TWh ~€27.8/MWh preliminary price

18 TWh 11 TWh 10 TWhTransferred production rights

Grohnde plant

Production rights secured until August 2021

up to 4 TWh production rights required2

Isar II plant

Production rights secured until August 2021

10-15 TWh production rights required2

Brokdorf plant

Production rights secured until June 2021

4-6 TWh production rights required2

1. Krümmel OHG is a joint venture between E.ON and Vattenfall, each party owning 50% equity share 2. Volumes shown after transfer/purchase from Krümmel, excluding minority stakes (16.7% minorities in Grohnde, 20% in Brokdorf and 25% in Isar II), as of January 2021.

64

Regulated earnings split share

65

Energy Networks Customer Solutions Other2

EBITDA 20201

€ bn

6.8 – 7.0

~75% (Quasi-)regulated earnings

• Customer Solutions and Energy Networks

diversified across European countries

• Regulated or quasi regulated Earnings share of ~75%

• Network operations in countries with strong regulatory frameworks

1. Adjusted for non operating effects; assuming no further severe lockdowns in our major markets 2. Other includes Corporate Functions & Other and Non-Core

Past delivery on guidance

1. Adjusted for non operating effects

2016 2017 2018 2019reported

EBIT1 vs. guidance€ bn

Adjusted Net Income1 vs. guidance€ bn

3.1 3.1 3.0 3.2 0.9 1.4 1.5 1.5

Guidance range

2016 2017 2018 2019reported

66

Networks Capex breakdown 2020-2022

1.11 2.01

Germany€ bn

Sweden€ bn

CEE€ bn

Maintenance Grid expansion Other

~50% investment in expansion



6.61

1. Cash effective investments; assuming no further severe lockdowns in our major markets 67

Maintaining a substantial liquidity buffer is a cornerstone of E.ON’s risk management

Bond refinancing • Early de-risking of refinancing needs for 2020

• €5bn bonds issued in January, April and May 2020

• Extensive liquidity buffer

• Back-up RCF undrawn and fully committed

• Liquidity risk minimized, even in highly volatile capital markets

• Continuous market access remains key priority-

Large volume of liquidity1

• €2.6bn in cash & equivalents

• €1.1bn in short-term securities

• €2.0bn of non-current securities

Plus further back-up RCF available

• Undrawn €3.5bn Revolving Credit Facility (RCF), fully committed by 21 banks, no MAC-clause2

• Extended by one more year in October 2020

Key takeaways

1. As per September 2020 2. MAC = Material Adverse Change 68

Benchmark bonds of E.ON Group as of Nov. 11, 20201

IssuerVolume in millions in respective currency Coupon Maturity

E.ON International Finance B.V. 570 GBP 6.500% Apr-21

innogy Finance B.V. 1,000 EUR 6.500% Aug-21

E.ON SE 750 EUR 0.375% Aug-21

E.ON International Finance B.V. 500 GBP 5.500% Jul-22

E.ON SE 500 EUR 0.000% Sep-22

E.ON SE 750 EUR 0.000% Oct-22

E.ON International Finance B.V. 2 750 EUR 0.750% Nov-22

E.ON SE 1,000 EUR 0.375% Apr-23

E.ON International Finance B.V. 488 GBP 5.625% Dec-23

E.ON SE 750 EUR 0.000% Dec-23

E.ON International Finance B.V. 800 EUR 3.000% Jan-24

E.ON SE 500 EUR 0.875% May-24

E.ON SE 750 EUR 0.000% Aug-24

innogy Finance B.V. 750 EUR 1.000% Apr-25

E.ON SE 750 EUR 1.000% Oct-25

E.ON International Finance B.V. 500 EUR 1.625% May-26

E.ON SE 750 EUR 0.250% Oct-26

IssuerVolume in millions in respective currency Coupon Maturity

E.ON SE 1,000 EUR 0.375% Sep-27

E.ON International Finance B.V. 850 EUR 1.250% Oct-27

E.ON SE 500 EUR 0.750% Feb-28

E.ON SE 750 EUR 1.625% May-29

E.ON International Finance B.V. 1,000 EUR 1.500% Jul-29

E.ON SE 750 EUR 0.350% Feb-30

E.ON International Finance B.V. 760 GBP 6.250% Jun-30

E.ON SE 500 EUR 0.750% Dec-30

E.ON SE 500 EUR 0.875% Aug-31

E.ON SE 500 EUR 0.625% Nov-31

E.ON International Finance B.V.3 975 GBP 6.375% Jun-32

E.ON International Finance B.V. 600 EUR 5.750% Feb-33

E.ON International Finance B.V. 600 GBP 4.750% Jan-34

E.ON International Finance B.V. 900 GBP 5.875% Oct-37

E.ON International Finance B.V.4 1,000 USD 6.650% Apr-38

E.ON International Finance B.V. 700 GBP 6.750% Jan-39

E.ON International Finance B.V. 1,000 GBP 6.125% Jul-39

1. All bonds ≥€500m equivalent, all bonds are listed in Luxemburg, with exception of the unlisted USD bond under 144A/Regulation S 2. The bond was increased from €500m to €750m 3. The bond was increased from £850m to £975m 4. Bond issued under rule 144A/Regulation S

69

Funding strategy

€2-4bn p.a.Volumes

• Bond refinancings• Cash utilization of asset retirement obligations

3-12 years preferredTenors

• Optimize maturity profile & interest costs• Redemptions on any single day capped at €1bn

EUR preferredCurrencies

• Predominantly Euro-based asset base

Instrument varietyDiversification

• Regular & green bonds• Private placements & promissory notes

(Schuldscheindarlehen)• Commercial paper

70

innogy bond transfer approaching 100%

71

Currency Principle (m) Maturity %-Transfer

EUR 468 2037 99%

JPY 20,000 2040 100%

GBP 570 2021 100%

GBP 500 2022 100%

EUR 750 2022 100%

GBP 488 2023 100%

EUR 800 2024 100%

EUR 500 2026 100%

EUR 850 2027 100%

EUR 1,000 2029 100%

GBP 760 2030 100%

EUR 600 2033 100%

USD 17.4 2033 100%

GBP 600 2034 100%

GBP 1,000 2039 100%

EUR 100 2042 100%

EUR 150 2043 100%

EUR 1,000 2021 100%

EUR 750 2025 100%

Consent received and transfer implemented✓

• Offer to innogy bondholders to switch to E.ON struck on highly positive investor reception: >97% votes in favor of the change to E.ON

• Two bonds fell slightly short of the required 50% quorum but received consent in adjourned meeting

• Exchange offers have already settled; implementation of the consent solicitations in Q4

Offer of bond transferExchange offerssettled✓

6Consent received in adjourned meetings

Use of proceedsEvaluate &

select projectsManagement of proceeds

Reporting

• Finance and/or refinance eligible green projects in the following eligible categories:

• Renewable energy• Energy efficiency• Clean transportation

• Project selection based on eligibility criteria

• Green bond committee:• Sustainability• Energy Networks• Customer Solutions• Group Finance

• E.ON will strive to maintain a portfolio matching/exceeding outstanding green bonds

• Projects will be added on an on-going basis

• Allocation and impact reporting after a year

• Renewal on an annual basis until full allocation of proceeds

External verification

Aligned with the ICMA Green Bond Principles1

E.ON’s Green Bond Framework

+

1. https://www.icmagroup.org/green-social-and-sustainability-bonds/green-bond-principles-gbp/ 72

PreussenElektra – Further ambition to ‘beat the provisions’

Solid track-record already until 2019

• Bundling of decommissioning activities

• Procurement successes by ‘convoy approach’

• Operational progress according to plan

Further optimization already planned and in execution

• Decommissioning preparations starting early

• Operational excellence lifting dismantling performanceto next level (e.g. by increasing industrialization)

-21

-10 -10-9

2016 2017 2018 2019

1. In 2017 implementation of KFK solution (transfer of ~€10bn to German government fund)

Nuclear Asset Retirement Obligations1

€ bn

73

9M 2020 ResultsFinancial Appendix

Segment outlook 2020 remaining year

75

Energy Networks

Germany & CEE:

• Covid-19-related lower volumes

Germany:

• Organic RAB growth

Sweden:

• Lower allowed WACC

CEE & Turkey:

• Hungary/Czech Republic: strong operational performance

• Slovakia: acquisition of VSE

Customer Solutions

All regions:• Covid-19-impact

Non-Core

PreussenElektra:

• Higher hedged prices

• Higher depreciation from purchase of production rights


+

–

–

+

– +–

EBIT1 key drivers Q4 2020

–

+


Financial highlights

1. Adjusted for non-operating effects; pro forma figures 9M 2019, not audited 2. Economic Net Debt as per 30 September 2020 and 31 Dec 2019; Economic Net Debt definition takes into account the decommissioning provisions calculated with a real discount rate of 0.0% as opposed to IFRS AROs; bonds issued by innogy are recorded at their nominal value: the amount in the consolidated balance sheets is €2.2 bn higher

76


€ m 9M 2019

pro forma9M 2020 % YoY

Sales - 43,314 -

EBITDA1 5,004 4,966 -1

EBIT1 2,987 2,688 -10

Adjusted Net Income1 1,286 1,089 -15

OCFbIT 2,860 4,063 +42

Investments 2,825 2,374 -16

Economic Net Debt² -38,895 -42,092 -8

-2,6-1,6 -1,5

-1,4

-23,4

-0,7

-24,7

Other (incl. AROs)

END9M 2020

Transfer of Nord Stream1

into CTA

+3.5

-8.8

ENDFY 2019

+1.1

Dividend Pensions5

-8.6

+0.5

Net Investments 9M 20203

-39.4

-7.2

-8.9

-42.1

OCF9M 20202

-38.9

Transaction adjustment1

ENDFY 2019adjusted

Transaction effects4

€ bn

Temporary Economic Net Debt (END) increase largely due to squeeze-out and pensions

1. Adjustment of the underlying interest rate for selected leases 2. Excl. transactional effects 3. Net of divestments 4. Transaction effects include merger squeeze-out, locked-box, sale of German heating customer business and of Hungarian non-regulated electricity retail business (EKER) 5. Actuarial interest rates for German pensions at 1.0% (vs. 1.3% @ FY 2019), for UK pensions at 1.6% (vs. 2.0% @ FY 2019)

Asset Retirement Obligations (ARO)

Pension provisions

Net financial position


77

-2.4

Cash adjustments3

GroupEBITDA2

OCFOCFbIT

4.1

Change in WC

-1.0

0.1

-0.6

Interest payments

0.2

Tax payments Capex FCF

5.0

3.7

1.3

Cash Conversion Rate1 in 9M 2020 at 87%

1. Cash Conversion Rate (CCR): (OCF bIT+ provision utilization nuclear) ÷ EBITDA 2. Adjusted for non-operating effects 3. Incl. non cash-effective EBITDA items, provision utilizations and payments related to non operating earnings

€ bn

87% CCR1


78

1.705 1.556

394275

455500

9M 2019pro forma

2,3312,554

CEE & Turkey

Germany

9M 2020

Sweden

Divisions: Energy Networks


EBIT1

€ m

–9%

Drivers

Germany• Covid-19-related lower volumes

• Weather-related lower volumes

––

Sweden • Lower WACC in new regulatory period

• Higher transmission charges

––

CEE• Strong operational performance

• Covid-19-related lower volumes–


+

€ m

9M 2019


9M 2019


9M 2019


9M 2019


Revenue - 10,461 - - 649 - - 1,922 - - 13,032 -

EBITDA1 2,687 2,600 -3 509 392 -23 713 746 +5 3,909 3,738 -4

EBIT1 1,705 1,556 -9 394 275 -30 455 500 +10 2,554 2,331 -9

thereof equity-method earnings - 177 - - 0 - - 124 - - 301 -

OCFbIT 2,049 3,082 +50 460 394 -14 762 737 -3 3,271 4,213 +29

Investments 1,315 1,352 +3 197 241 +22 371 446 +20 1,883 2,039 +8

TotalGermany Sweden CEE & Turkey

79

6589

45

312296

-48 -2

Germany

39

9M 2019pro forma

418

9M 2020

Benelux

UK

Other

378

Divisions: Customer Solutions


-10%

EBIT1

€ mDrivers

UK • Restructuring benefits

All• Weather impact on volumes

• Covid-19: sell-back of volumes (B2B) & bad debt

––

+


€ m

9M 2019


9M 2019


9M 2019


9M 2019


9M 2019


Revenue - 15,881 - - 2,019 - - 10,076 - - 6,370 - - 34,346 -

EBITDA1 407 392 -4 134 101 -25 72 97 +35 204 193 -5 817 783 -4

EBIT1 312 296 -5 89 45 -49 -48 -2 +96 65 39 -40 418 378 -10

thereof equity-method earnings - 3 - - 3 - - 0 - - 4 - - 10 -

OCFbIT 413 373 -10 60 41 -32 233 -253 -209 148 185 +25 854 346 -59

Investments 132 152 +15 32 28 -13 162 66 -59 381 254 -33 707 500 -29

Other TotalGermany Benelux UK

80

70 27

256271

9M 20209M 2019pro forma

326

PreussenElektra

298

GenerationTurkey

PreussenElektra: Hedged Prices (€/MWh) as of 30 September 2020

Non-Core business

1. Adjusted for non-operating effects; pro forma figures 9M 2019, not audited 2. NPP Emsland & Gundremmingen C

EBIT1

€ mDrivers

-9%

33

45

44

452022

2019

2020

2021 84%

52%

96%

100%

Preussen Elektra

• Higher achieved power prices

• Higher production volumes

• Higher depreciation from purchase of production rights

• Transfer of minority stakes2 to RWE

–

+

–

Turkey Generation

• One-off effect in 9M 2020

• FX effects

–

+


–

€m

9M 2019


9M 2019


9M 2019


Revenue - 1,028 - - - - - 1,028 -

EBITDA1 423 642 +52 70 27 -61 493 669 +36

EBIT1 256 271 +6 70 27 -61 326 298 -9

thereof equity-method earnings - 38 - - 27 - - 65 -

OCFbIT 80 394 +393 - - - 80 394 +393

Investments 148 159 +7 - - - 148 159 +7

PreussenElektra Generation Turkey Total

81

Adjusted Net Income



€ m 9M 2019


EBITDA1 5,004 4,966 -1

Depreciation/amortization -2,017 -2,278 -13

EBIT1 2,987 2,688 -10

Economic interest expense (net) -874 -836 +4

EBT1 2,113 1,852 -12

Income Taxes on EBT1 -553 -463 +16

% of EBT1 -26% -25% -

Non-controlling interests -274 -300 -9

Adjusted Net Income1 1,286 1,089 -15

82

Reconciliation of EBIT to IFRS Net Income



€ m 9M 2019 9M 2020 % YoY

EBITDA1 3.742 4.966 +33

Depreciation/Amortization/Impairments -1.534 -2.278 -49

EBIT1 2.208 2.688 +22

Reclassified businesses of Renewables -300 0 -

Interest result -583 -535 +8

Net book gains -32 218 +781

Restructuring -179 -390 -118

Mark-to-market valuation of derivatives -74 330 +546

Impairments (net) 0 -84 -

Other non-operating earnings -140 -267 -91

Income/Loss from continuing operations before income taxes 900 1.960 +118

Income taxes -354 -712 -101

Income/loss from continuing operations 546 1.248 +129

Income/loss from discontinued operations, net 1.759 -38 -102

Net income/loss 2.305 1.210 -48

Non-controlling interests -204 -208 -2

Net income/loss attributable to shareholders of E.ON SE 2.101 1.002 -52

83

Cash-effective investments1

841. Pro forma figures 9M 2019, not audited


€ m 9M 2019


Energy Networks 1,883 2,039 +8

Customer Solutions 707 500 -29

Corporate Functions & Other 87 -323 -471

Consolidation 0 -1 -

Non-Core 148 159 +7

Investments 2,825 2,374 -16

85

Economic Net Debt1

1. Economic Net Debt definition takes into account the decommissioning provisions calculated with a real discount rate of 0.0% as opposed to IFRS AROs; bonds issued by innogy are recorded at their nominal value: the amount in the consolidated balance sheets is €2.2 bn higher 2. Net figure; does not include transactions relating to our operating business or asset management


€ m 31 Dec 2019 30 Sep 2020

Liquid funds 3,602 4,512

Non-current securities 2,354 2,005

Financial liabilities -28,947 -31,380

Adjustment FX hedging² 166 215

Net Financial Position -22,825 -24,648

Provisions for pensions -7,201 -8,616

Asset retirement obligations -8,869 -8,828

Economic Net Debt -38,895 -42,092

Economic interest expense (net)2

1. Borrowing cost that are directly attributable to the acquisition, construction or production of a qualified asset. Borrowing cost are interest costs incurred by an entity in connection with the borrowing of funds. (interest rate: 3,86%) 2. Pro forma figures 9M 2019, not audited 86


€ m 9M 2019

pro forma9M 2020

Difference

(in € m)

Interest from financial assets/liabilities -756 -789 -33

Interest cost from provisions for pensions and similar provisions -95 -73 +22

Accretion of provisions for retirement obligation and similar provisions -57 -4 +53

Construction period interests¹ 11 6 -5

Others 23 24 +1

Net interest result -874 -836 +38

E.ON’s Proforma Financials 2019

E.ON’s Proforma Financials1 — 2019

Adjusted EBITDA1 Adjusted EBIT1

1. Adjusted for non operating effects 2. Pro forma, not audited

€ m FY 20192

Energy Networks 5,364

Germany 3,721

Sweden 692

CEE & Turkey 951

Customer Solutions 1,126

Benelux 192

Germany 648

UK -10

Other 296

Corporate Functions/Other -203

Non-Core business 617

Total 6,904

€ m FY 20192


Germany 2,358

Sweden 539

CEE & Turkey 602

Customer Solutions 541

Benelux 132

Germany 487

UK -180

Other 102



Total 4,065

88


OCFbIT Investments (cash-effective)


€ m FY 20192


Germany 2,254

Sweden 313

CEE & Turkey 582

Customer Solutions 1,008

Benelux 90

Germany 226

UK 211

Other 481

Corporate Functions/Other 130


Total 4,435

€ m FY 20192


Germany 2,455

Sweden 718

CEE & Turkey 1,082


Benelux 84

Germany 71

UK 128

Other 95



Total 4,289

89


At-equity contribution to adjusted EBITDA/EBIT1


E.ON Financials P&L

€ m FY 20192

Energy Networks 349

Germany 219

Sweden 0

CEE & Turkey 130


Benelux 4

Germany 6

UK 0

Other 12

Corporate Functions/Other 70

Consolidation -1


Total 565

€ m FY 20192

Adjusted EBITDA1 6,904

Depreciation/amortization recognized in Adjusted EBIT

-2,839

Adjusted EBIT1 4,065

Economic interest expense (net) -1,304

Adjusted EBT1 2,761

Income Taxes on Adjusted EBT -724

% of Adjusted EBT 26%

Non-controlling interest on results of operations -464

Adjusted Net Income1 1,573

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Financial calendar

March 24, 2021 Annual Report 2020

May 11, 2021 Quarterly Statement: January – March 2021

May 19, 2021 2021 Annual Shareholder Meeting

August 11, 2021 Half-Year Financial Report: January – June 2021

November 10, 2021 Quarterly Statement: January – September 2021

Important links

Presentations https://www.eon.com/en/investor-relations/presentations.html

Facts & Figures 2020 https://www.eon.com/content/.../presentations/facts-and-figures-2020.pdf

Annual Reports https://www.eon.com/en/investor-relations/financial-publications/annual-report.html

Interim Reports https://www.eon.com/en/investor-relations/financial-publications/interim-report.html

Shareholder Meeting https://www.eon.com/en/investor-relations/shareholders-meeting.html

Green Bond Framework https://www.eon.com/en/investor-relations/bonds/green-bonds.html

Financial calendar & important links

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https://www.eon.com/en/investor-relations/presentations.html

https://www.eon.com/content/.../presentations/facts-and-figures-2019.pdf

https://www.eon.com/en/investor-relations/financial-publications/annual-report.html

https://www.eon.com/en/investor-relations/financial-publications/interim-report.html

https://www.eon.com/en/investor-relations/shareholders-meeting.html

https://www.eon.com/en/investor-relations/bonds/green-bonds.html

E.ON‘s Investor Relations Team

Verena Nicolaus-KronenbergHead of Investor [email protected]+49 152 09331400

Daniel SchallerManager Investor [email protected]+49 171 6915869

Andreas ThielenManager Investor [email protected]+49 151 67114918

Britta WöhnerManager Investor [email protected]+49 152 54607527

Martina BurgerManager Investor [email protected]+49 151 19773784

Martin JägerManager Investor [email protected]+49 162 2754355

General Contact:

+49 201 184 2806

[email protected]

Analysts & Institutional Investors

Event & Roadshow Management

Carmen MombourManager Investor [email protected]+49 151 16310345

Vanessa BrinkmannAssistant Investor [email protected]+49 152 09340725

Björn SiggemannManager Investor [email protected]+49 175 1996123

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Nicola SchwarzAssistant Investor [email protected]+49 151 16310338

mailto:[email protected]











Disclaimer

93

This presentation contains information relating to E.ON Group ("E.ON") that must not be relied upon for any purpose and may not be redistributed, reproduced,published, or passed on to any other person or used in whole or in part for any other purpose. By accessing this document you agree to abide by the limitations set outin this document as well as any limitations set out on the webpage of E.ON SE on which this presentation has been made available.

This document is being presented solely for informational purposes. It should not be treated as giving investment advice, nor is it intended to provide the basis for anyevaluation or any securities and should not be considered as a recommendation that any person should purchase, hold or dispose of any shares or other securities.

The information contained in this presentation may comprise financial and similar information which is neither audited nor reviewed and should be consideredpreliminary and subject to change.

Some of the information presented herein is based on statements by third parties. No representation or warranty, express or implied, is made as to, and no relianceshould be placed on, the fairness, accuracy, completeness or correctness of this information or any other information or opinions contained herein, for any purposewhatsoever.

This presentation may contain forward-looking statements based on current assumptions and forecasts made by E.ON management and other information currentlyavailable to E.ON. Various known and unknown risks, uncertainties and other factors could lead to material differences between the actual future results, financialsituation, development or performance of the company and the estimates given here. E.ON does not intend, and does not assume any liability whatsoever, to updatethese forward-looking statements or to conform them to future events or developments.

Neither E.ON nor any respective agents of E.ON undertake any obligation to provide the recipient with access to any additional information or to update thispresentation or any information or to correct any inaccuracies in any such information.

Certain numerical data, financial information and market data (including percentages) in this presentation have been rounded according to established commercialstandards. As a result, the aggregate amounts (sum totals or interim totals or differences or if numbers are put in relation) in this presentation may not correspond in allcases to the amounts contained in the underlying (unrounded) figures appearing in the consolidated financial statements. Furthermore, in tables and charts, theserounded figures may not add up exactly to the totals contained in the respective tables and charts.

e.on capital markets story 2021

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