To estimate the S&P-adjusted debt-to-EBITDA ratio for Naturgy Energy Group SA for 2022, we follow the prescribed workflow: ### 1. Identify the Industry Naturgy Energy Group SA is a multi-utility company operating in gas, electricity, and power distribution. Based on the sector descriptions provided, the company fits best into the **Regulated Utilities** industry, given its core business as a network operator and energy provider. ### 2. Estimate "Adjusted_Debt" * **Reported Debt:** We aggregate current and non-current financial liabilities. * Non-current financial liabilities (2022): 15,114,000,000 EUR * Current financial liabilities (2022): 1,698,000,000 EUR * Total: 16,812,000,000 EUR * **Leases:** Included in financial liabilities per the reported figures ("Noncurrent Lease Liabilities": 1,325,000,000 EUR and "Current Lease Liabilities": 196,000,000 EUR). We treat the financial liabilities as inclusive of lease obligations based on standard reporting. * **Eligible Cash:** Cash and cash equivalents (2022): 3,965,000,000 EUR. * **Adjusted_Debt Calculation:** * Adjusted_Debt = 16,812,000,000 - 3,965,000,000 = 12,847,000,000 EUR. ### 3. Estimate "Adjusted_EBITDA" * **Reported EBITDA:** "Beneficio Bruto De Explotacion Ebitda" (2022): 4,954,000,000 EUR. * **Adjustments:** We look for non-recurring items or normalization. * "Other Gains Losses" (2022): -111,000,000 EUR (This is an operational expense/loss). * "Gains on disposals of PPE": 8,000,000 EUR (Non-recurring gain to be subtracted). * **Adjusted_EBITDA Calculation:** * Adjusted_EBITDA = 4,954,000,000 - 8,000,000 = 4,946,000,000 EUR. *(Note: Interest and tax are standard components of EBITDA calculation, no further material non-recurring adjustments are explicitly identified as requiring reversal from the EBITDA line for this estimation).* ### 4. Calculate Adjusted_Debt / Adjusted_EBITDA * Ratio = 12,847,000,000 / 4,946,000,000 * Ratio = 2.59745... Rounding to two decimal places, we get 2.60. 2.60