I need to calculate the Net Debt / EBITDA ratio for 2022 and 2023 to determine the leverage trend.

First, let me identify the relevant data from the annual report.

**For 2023 (year ending 2023-01-01, which represents 2022 fiscal year results):**

From the balance sheet data at 2023-01-01:
- Current Financial Liabilities: 1,705,277,000 EUR
- Current Borrowings And Current Portion Of Noncurrent Borrowings: 721,845,000 EUR
- Noncurrent Financial Liabilities: 5,543,755,000 EUR
- Longterm Borrowings: 5,491,124,000 EUR
- Cash And Cash Equivalents: 794,824,000 EUR
- Other Current Financial Assets: 752,505,000 EUR

From the income statement for 2022-01-01 to 2023-01-01:
- Profit Loss From Operating Activities (EBIT): 961,554,000 EUR
- Depreciation And Amortisation Expense: 544,992,000 EUR

EBITDA = EBIT + Depreciation and Amortization = 961,554,000 + 544,992,000 = 1,506,546,000 EUR

Net Debt calculation:
- Total Debt = Current Borrowings And Current Portion Of Noncurrent Borrowings + Longterm Borrowings + Other Current Financial Liabilities (that represent debt)
- Actually, let me use a simpler approach: Financial Liabilities minus Cash and liquid financial assets

Total Financial Debt:
- Current Borrowings And Current Portion Of Noncurrent Borrowings: 721,845,000
- Longterm Borrowings: 5,491,124,000
- Other Current Financial Liabilities: 983,432,000
- Other Noncurrent Financial Liabilities: 52,631,000

Wait - let me be more careful. "Net Debt" typically means:
- Debt (borrowings + other debt-like liabilities) minus Cash and cash equivalents

Looking more carefully:
- Current Borrowings And Current Portion Of Noncurrent Borrowings: 721,845,000
- Longterm Borrowings: 5,491,124,000
- Other Noncurrent Financial Liabilities: 52,631,000

For current other financial liabilities (983,432,000), these may or may not be debt. Let me check if there's a cleaner definition.

Actually, looking at S&P methodology, Net Debt typically includes:
- Short-term borrowings
- Long-term borrowings
- Current portion of long-term debt
- Less: Cash and cash equivalents
- Less: Short-term investments/liquid financial assets

Let me use:
Debt = Current Borrowings And Current Portion Of Noncurrent Borrowings + Longterm Borrowings + Other Noncurrent Financial Liabilities
= 721,845,000 + 5,491,124,000 + 52,631,000 = 6,265,600,000

Cash and liquid assets:
- Cash And Cash Equivalents: 794,824,000
- Current Financial Assets At Amortised Cost: 752,505,000 (these are likely liquid)

Net Debt = 6,265,600,000 - 794,824,000 - 752,505,000 = 4,718,271,000

Wait - I need to be more careful. Let me check if Current Financial Assets At Amortised Cost should be deducted. These are typically liquid investments.

Actually, let me reconsider. For S&P adjusted leverage, they typically use:
- Gross debt = short-term debt + long-term debt
- Net debt = gross debt - cash and cash equivalents

Let me try a simpler approach more aligned with standard practice:

Gross Debt = Current Borrowings And Current Portion Of Noncurrent Borrowings + Longterm Borrowings + Other Noncurrent Financial Liabilities
= 721,845,000 + 5,491,124,000 + 52,631,000 = 6,265,600,000

Or perhaps including Other Current Financial Liabilities if debt-like:
= 721,845,000 + 983,432,000 + 5,491,124,000 + 52,631,000 = 7,249,032,000

Let me check what makes sense by looking at the balance sheet structure. "Other Current Financial Liabilities" of 983,432,000 could include trade payables or other operating liabilities, not necessarily debt.

Actually, looking more carefully at standard definitions:
- "Current Borrowings And Current Portion Of Noncurrent Borrowings" = 721,845,000
- "Longterm Borrowings" = 5,491,124,000
- "Other Noncurrent Financial Liabilities" = 52,631,000

These are clearly debt. The "Other Current Financial Liabilities" might include derivatives and other items.

For S&P purposes, let me use a broader definition that matches typical corporate leverage metrics:

Total Debt = 721,845,000 + 5,491,124,000 + 52,631,000 + 983,432,000 = 7,249,032,000
Or more conservatively, just the explicit borrowings: 721,845,000 + 5,491,124,000 = 6,212,969,000

Let me try to find a more precise approach. In many European annual reports, "financial liabilities" includes all debt-like items.

Actually, let me look at this differently. The company reports:
- "Current Financial Liabilities" = 1,705,277,000
- "Noncurrent Financial Liabilities" = 5,543,755,000

Total Financial Liabilities = 7,249,032,000

This includes:
- Current Borrowings: 721,845,000
- Other Current Financial Liabilities: 983,432,000
- Longterm Borrowings: 5,491,124,000
- Other Noncurrent Financial Liabilities: 52,631,000

For Net Debt, we typically subtract cash and liquid financial assets:
- Cash And Cash Equivalents: 794,824,000
- Current Financial Assets At Amortised Cost: 752,505,000 (liquid investments)

Net Debt = 7,249,032,000 - 794,824,000 - 752,505,000 = 5,701,703,000

Or if we only subtract cash: 7,249,032,000 - 794,824,000 = 6,454,208,000

Let me also consider that "Other Current Financial Liabilities" might not all be debt. Looking at the components:
- Current Derivative Financial Liabilities: 7,053,000
- The rest might be trade payables or other operating items

Actually, "Trade And Other Current Payables" is reported separately as 1,160,176,000, so the "Other Current Financial Liabilities" of 983,432,000 is likely financial/debt in nature.

Let me proceed with:
Net Debt = Total Financial Liabilities - Cash and Cash Equivalents - Liquid Financial Assets
= 7,249,032,000 - 794,824,000 - 752,505,000 = 5,701,703,000

But wait - I need to check if Current Financial Assets At Amortised Cost are truly liquid and should be netted against debt. Typically for Net Debt, we subtract:
- Cash and cash equivalents
- Short-term investments
- Current financial assets that are liquid

Let me use a more standard definition: Net Debt = Gross Debt - Cash and Cash Equivalents
Where Gross Debt = Borrowings (short and long term)

Gross Debt = 721,845,000 + 5,491,124,000 = 6,212,969,000
Net Debt = 6,212,969,000 - 794,824,000 = 5,418,145,000

Hmm, but this excludes other financial liabilities. Let me try another approach.

Actually, for S&P adjusted leverage, they often use "Total Debt" which includes:
- Short-term borrowings
- Current portion of long-term debt
- Long-term debt
- Bank overdrafts

And subtract cash and equivalents.

Let me calculate with different assumptions and see which makes most sense.

**For 2022 (year ending 2022-01-01, which represents 2021 fiscal year results):**

Balance sheet at 2022-01-01:
- Current Borrowings And Current Portion Of Noncurrent Borrowings: 1,391,722,000
- Longterm Borrowings: 5,896,170,000
- Other Noncurrent Financial Liabilities: 57,264,000
- Other Current Financial Liabilities: 752,703,000
- Cash And Cash Equivalents: 1,574,427,000
- Current Financial Assets At Amortised Cost: 25,401,000

Income statement 2021-01-01 to 2022-01-01:
- Profit Loss From Operating Activities: 991,970,000
- Depreciation And Amortisation Expense: 522,114,000

EBITDA = 991,970,000 + 522,114,000 = 1,514,084,000

Let me try a cleaner approach. I'll calculate Net Debt as:
(Gross Debt) - (Cash + Liquid Financial Assets)

Where Gross Debt = Current Borrowings + Longterm Borrowings + Other Noncurrent Financial Liabilities

For 2023:
Gross Debt = 721,845,000 + 5,491,124,000 + 52,631,000 = 6,265,600,000
Cash & Liquid = 794,824,000 + 752,505,000 = 1,547,329,000
Net Debt = 6,265,600,000 - 1,547,329,000 = 4,718,271,000
Net Debt / EBITDA = 4,718,271,000 / 1,506,546,000 = 3.13x

For 2022:
Gross Debt = 1,391,722,000 + 5,896,170,000 + 57,264,000 = 7,345,156,000
Cash & Liquid = 1,574,427,000 + 25,401,000 = 1,599,828,000
Net Debt = 7,345,156,000 - 1,599,828,000 = 5,745,328,000
Net Debt / EBITDA = 5,745,328,000 / 1,514,084,000 = 3.79x

Wait, this shows improving (3.79x to 3.13x, difference of -0.66x). But let me verify my calculations.

Actually, let me reconsider. The year labels are confusing. The data at "2023-01-01" is the balance at start of 2023, which represents end of 2022. And the income statement "2022-01-01 - 2023-01-01" is for the year 2022.

So:
- "2022" fiscal year = period 2022-01-01 to 2023-01-01, with balance sheet at 2023-01-01
- "2021" fiscal year = period 2021-01-01 to 2022-01-01, with balance sheet at 2022-01-01

But the question asks about "2022" trend. This likely means comparing 2022 vs 2021, or the trend during 2022.

Actually, re-reading: "estimate S&P's adjusted leverage trend for 2022". This means looking at the change from 2021 to 2022 (comparing fiscal year 2022 vs fiscal year 2021).

Let me recalculate more carefully.

For fiscal year 2022 (period 2022-01-01 to 2023-01-01):
- EBITDA = 1,506,546,000
- Balance sheet at end (2023-01-01): Net Debt = 4,718,271,000 (by my calculation)
- Net Debt / EBITDA = 3.13x

For fiscal year 2021 (period 2021-01-01 to 2022-01-01):
- EBITDA = 1,514,084,000
- Balance sheet at end (2022-01-01): Net Debt = 5,745,328,000
- Net Debt / EBITDA = 3.79x

Change = 3.13x - 3.79x = -0.66x

Since -0.66x is less than -0.3x, this would be "Improving" (leverage decreasing).

But wait, I need to check if I should use average net debt or year-end net debt. Typically leverage ratios use balance at year-end or average. For trend analysis, year-end to year-end is common.

However, let me reconsider my Net Debt calculation. Should I include "Other Current Financial Liabilities"?

If I include Other Current Financial Liabilities in debt:

For 2023:
Gross Debt = 721,845,000 + 983,432,000 + 5,491,124,000 + 52,631,000 = 7,249,032,000
Net Debt = 7,249,032,000 - 1,547,329,000 = 5,701,703,000
Net Debt / EBITDA = 5,701,703,000 / 1,506,546,000 = 3.78x

For 2022:
Gross Debt = 1,391,722,000 + 752,703,000 + 5,896,170,000 + 57,264,000 = 8,097,859,000
Net Debt = 8,097,859,000 - 1,599,828,000 = 6,498,031,000
Net Debt / EBITDA = 6,498,031,000 / 1,514,084,000 = 4.29x

Change = 3.78x - 4.29x = -0.51x

Still improving, and magnitude > 0.3x.

Hmm, but let me think about whether "Other Current Financial Liabilities" should be included. In many cases, this includes things like:
- Dividends payable
- Derivative liabilities
- Accrued interest
- Other financial payables

Some of these are operating-related, not true debt. However, in the balance sheet presentation, "Trade And Other Current Payables" is shown separately (1,160,176,000 for 2023), so "Other Current Financial Liabilities" of 983,432,000 is likely more debt-like.

Actually, looking more carefully at the structure:
- "Trade And Other Current Payables" = 1,160,176,000 (this includes trade suppliers 485,624,000 + other payables 661,232,000)
- "Current Financial Liabilities" = 1,705,277,000 total, which includes:
  - Current Borrowings And Current Portion Of Noncurrent Borrowings: 721,845,000
  - Other Current Financial Liabilities: 983,432,000

So "Other Current Financial Liabilities" is separate from trade payables and is financial in nature.

Let me also check if I should subtract all current financial assets or just cash. For S&P Net Debt, typically:
- Cash and cash equivalents
- Short-term marketable securities
- Long-term marketable securities (if liquid)

Current Financial Assets At Amortised Cost of 752,505,000 seems like liquid investments that should be subtracted.

But let me also consider: the company has Noncurrent Financial Assets At Amortised Cost of 175,714,000. Should these be subtracted? Probably not for standard Net Debt, as they're long-term.

Let me try yet another approach - perhaps S&P uses a more standard definition where Net Debt = (Short-term debt + Long-term debt) - Cash and equivalents.

Short-term debt = Current Borrowings And Current Portion Of Noncurrent Borrowings
Long-term debt = Longterm Borrowings

For 2023:
Net Debt = (721,845,000 + 5,491,124,000) - 794,824,000 = 5,418,145,000
Net Debt / EBITDA = 5,418,145,000 / 1,506,546,000 = 3.60x

For 2022:
Net Debt = (1,391,722,000 + 5,896,170,000) - 1,574,427,000 = 5,713,465,000
Net Debt / EBITDA = 5,713,465,000 / 1,514,084,000 = 3.77x

Change = 3.60x - 3.77x = -0.17x

This is within ±0.3x, so would be "Stable"!

Hmm, this is quite sensitive to definition. Let me think about which definition is most appropriate for "S&P's adjusted leverage."

S&P Global Ratings typically defines adjusted debt as:
- Reported debt
- Plus/minus adjustments for pensions, leases, hybrids, etc.
- Less cash and liquid investments

For a utility/network company like Red Eléctrica, the standard approach would be to use total financial debt minus cash.

Let me look at this from another angle. The company is Red Eléctrica Corporación, S.A., which is Spain's electricity transmission system operator. This is a regulated utility with stable cash flows.

For such companies, S&P typically focuses on:
- Funds From Operations (FFO) to Debt
- Debt to EBITDA

Let me try to be more precise about "Net Debt". In European utility sector analysis, Net Debt typically includes:
- All interest-bearing liabilities
- Less: Cash and cash equivalents
- Less: Short-term liquid investments

Let me use:
Debt = Borrowings (short and long term) + Other financial liabilities that are interest-bearing

From the balance sheet, the cleanest approach is:
Total Financial Liabilities - Cash and Cash Equivalents - Liquid Financial Assets

But I need to decide on "Other Current Financial Liabilities." Let me assume these are debt-like for now.

Actually, let me re-examine. The term "Current Financial Liabilities" is 1,705,277,000. This includes:
- Current Borrowings And Current Portion Of Noncurrent Borrowings: 721,845,000
- Other Current Financial Liabilities: 983,432,000

If "Other Current Financial Liabilities" includes derivatives (7,053,000) and other items, it may not all be debt.

Looking at the derivative information:
- Current Derivative Financial Liabilities: 7,053,000 (2023), 5,129,000 (2022)
- Noncurrent Derivative Financial Liabilities: 22,016,000 (2023), 16,436,000 (2022)

These are typically not included in "debt" for leverage calculations, as they're fair value of derivatives.

Let me try to back out what's in "Other Current Financial Liabilities":
For 2023: 983,432,000 total
- Could include: accrued interest, dividends payable, derivative liabilities, lease liabilities, other financial payables

For a cleaner debt definition, let me use just the borrowings:

**Definition 1: Strict borrowings only**
Net Debt = (Current Borrowings + Longterm Borrowings) - Cash and Cash Equivalents

2023: (721,845,000 + 5,491,124,000) - 794,824,000 = 5,418,145,000
Ratio: 5,418,145,000 / 1,506,546,000 = 3.60x

2022: (1,391,722,000 + 5,896,170,000) - 1,574,427,000 = 5,713,465,000
Ratio: 5,713,465,000 / 1,514,084,000 = 3.77x

Change: -0.17x → **Stable**

**Definition 2: All financial liabilities minus all liquid financial assets**
Net Debt = (Current Financial Liabilities + Noncurrent Financial Liabilities) - (Cash + Current Financial Assets + Noncurrent Financial Assets that are liquid)

2023: (1,705,277,000 + 5,543,755,000) - (794,824,000 + 752,505,000 + 175,714,000 + 158,130,000 + ...)
This gets complicated.

Let me try a simpler comprehensive approach:
Net Debt = Total Financial Liabilities - Cash and Cash Equivalents - Current Financial Assets

2023: 7,249,032,000 - 794,824,000 - 752,505,000 = 5,701,703,000
Ratio: 5,701,703,000 / 1,506,546,000 = 3.78x

2022: 8,097,859,000 - 1,574,427,000 - 25,401,000 = 6,498,031,000
Ratio: 6,498,031,000 / 1,514,084,000 = 4.29x

Change: -0.51x → **Improving**

The difference is whether I include Other Current Financial Liabilities and whether I subtract Current Financial Assets.

Let me think about this more carefully. In 2022, Current Financial Assets At Amortised Cost was only 25,401,000, but in 2023 it jumped to 752,505,000. This is a huge increase and would significantly affect Net Debt.

Is this increase real? Looking at the balance sheet:
2022: Other Current Financial Assets = 25,401,000
2023: Other Current Financial Assets = 752,505,000

This is a massive increase. What caused this? The company likely had significant cash or investments at year-end 2022.

Actually, looking at Cash And Cash Equivalents:
2022: 1,574,427,000
2023: 794,824,000

Cash decreased by 779,603,000, but current financial assets increased by 727,104,000. This suggests they moved cash into other financial assets, or these are different items.

For S&P analysis, they would likely look at "Cash and liquid investments" together. So subtracting both cash and current financial assets makes sense.

Let me also check if there's a working capital or seasonal effect. The 752,505,000 in Current Financial Assets At Amortised Cost might represent short-term deposits or investments that are essentially cash-like.

Given this, I think the more comprehensive definition is appropriate:
Net Debt = Gross Debt - Cash and Liquid Assets

Where:
- Gross Debt = Borrowings + Other Noncurrent Financial Liabilities (the clearly debt-like items)
- Or possibly all financial liabilities

Let me try a middle ground:
Gross Debt = Current Borrowings And Current Portion Of Noncurrent Borrowings + Longterm Borrowings + Other Noncurrent Financial Liabilities
= ST borrowings + LT borrowings + other LT financial debt

2023: 721,845,000 + 5,491,124,000 + 52,631,000 = 6,265,600,000
2022: 1,391,722,000 + 5,896,170,000 + 57,264,000 = 7,345,156,000

Net Debt = Gross Debt - Cash and Cash Equivalents - Current Financial Assets At Amortised Cost

2023: 6,265,600,000 - 794,824,000 - 752,505,000 = 4,718,271,000
Ratio: 4,718,271,000 / 1,506,546,000 = 3.13x

2022: 7,345,156,000 - 1,574,427,000 - 25,401,000 = 5,745,328,000
Ratio: 5,745,328,000 / 1,514,084,000 = 3.79x

Change: -0.66x → **Improving**

Hmm, but this seems like a large improvement. Let me verify by looking at what happened:

From 2022 to 2023 (end of 2021 to end of 2022):
- Gross Debt decreased from 7,345,156,000 to 6,265,600,000 (by ~1.08 billion)
- Cash and liquid assets: from 1,599,828,000 to 1,547,329,000 (relatively stable)
- So Net Debt decreased by about 1.03 billion
- EBITDA was relatively stable: 1,514m to 1,507m

This makes sense if the company paid down significant debt during 2022.

Wait - I need to be more careful about timing. The balance sheet at 2022-01-01 reflects end of 2021, and at 2023-01-01 reflects end of 2022. The income statement for 2022-01-01 to 2023-01-01 is for calendar year 2022.

So comparing:
- Fiscal 2022: uses balance sheet at 2023-01-01 (end of 2022) and income for 2022
- Fiscal 2021: uses balance sheet at 2022-01-01 (end of 2021) and income for 2021

This is the standard approach for year-end leverage ratios.

But actually, for trend analysis, some analysts prefer to use average debt or beginning-of-year debt to match with the income statement period. However, the question asks about "trend" and mentions "calculated for the years 2022 and 2023", suggesting year-end or point-in-time comparison.

Let me also consider: should I use the balance at the beginning of the year or end of the year? The data shows:
- "2022-01-01" = beginning of 2022, which is end of 2021
- "2023-01-01" = beginning of 2023, which is end of 2022

For fiscal year 2022 performance, we'd typically use end-2022 balance sheet, which is 2023-01-01.

Now, let me think about whether my EBITDA calculation is correct.

For 2022 fiscal year:
- Profit Loss From Operating Activities: 961,554,000 (this is EBIT)
- Depreciation And Amortisation Expense: 544,992,000
- EBITDA = 961,554,000 + 544,992,000 = 1,506,546,000

Wait, is "Profit Loss From Operating Activities" truly EBIT? Let me check the income statement structure.

Looking at the items:
- Revenue: 2,015,036,000
- Other Work Performed By Entity And Capitalised: 62,903,000
- Participacion En Beneficios...: 50,405,000
- Aprovisionamientos: -37,061,000
- Miscellaneous Other Operating Income: 77,673,000
- Employee Benefits Expense: -210,614,000
- Miscellaneous Other Operating Expense: -467,088,000
- Depreciation And Amortisation Expense: -544,992,000
- Imputacion De Subvenciones...: 15,780,000
- Deterioro YResultado...: -488,000
- Profit Loss From Operating Activities: 961,554,000

Let me verify: 2,015,036 + 62,903 + 50,405 - 37,061 + 77,673 - 210,614 - 467,088 - 544,992 + 15,780 - 488 = ?

= 2,015,036 + 62,903 = 2,077,939
+ 50,405 = 2,128,344
- 37,061 = 2,091,283
+ 77,673 = 2,168,956
- 210,614 = 1,958,342
- 467,088 = 1,491,254
- 544,992 = 946,262
+ 15,780 = 962,042
- 488 = 961,554

Yes, this checks out. So EBIT = 961,554,000, and EBITDA = EBIT + D&A = 961,554,000 + 544,992,000 = 1,506,546,000.

For 2021 fiscal year:
- Profit Loss From Operating Activities: 991,970,000
- Depreciation And Amortisation Expense: 522,114,000
- EBITDA = 1,514,084,000

Now let me also verify my Net Debt calculations by looking at cash flow:

From the cash flow statement for 2022:
- Cash Flows From Used In Operating Activities: 1,566,829,000
- Cash Flows From Used In Investing Activities: -1,641,325,000 (negative = outflow)
- Cash Flows From Used In Financing Activities: -708,187,000 (negative = outflow)

Net change in cash: 1,566,829 - 1,641,325 - 708,187 = -782,683,000

Reported Increase Decrease In Cash And Cash Equivalents: -779,603,000
Effect Of Exchange Rate Changes: 3,080,000

So -782,683 + 3,080 = -779,603. This roughly checks out (small rounding differences).

Looking at financing activities:
- Devolucion YAmortizacion De Instrumentos De Pasivo Financiero: 1,344,733,000 (debt repayment)
- Emision YDisposicion Por Instrumentos De Pasivo Financiero: 203,015,000 (debt issuance)
- Net debt repayment: 1,344,733 - 203,015 = 1,141,718,000

Also:
- Dividends Paid: 543,881,000
- Treasury share transactions: various

This confirms significant debt repayment in 2022, which would reduce leverage.

Now, let me refine my Net Debt / EBITDA calculation.

I want to use a definition consistent with S&P's approach. S&P typically uses:
- "Adjusted Debt" which includes reported debt plus certain adjustments
- Minus "Cash and liquid investments"
- Divided by "Adjusted EBITDA"

For a European utility, the standard would be:
- Debt = Short-term borrowings + Long-term borrowings + Current portion of long-term debt
- Possibly + other debt-like financial liabilities

Let me check if "Other Noncurrent Financial Liabilities" is debt-like. At 52,631,000 (2023) and 57,264,000 (2022), this is relatively small. It likely includes things like derivative liabilities, accrued interest, etc.

For "Other Current Financial Liabilities" at 983,432,000 (2023) and 752,703,000 (2022), this is larger. What could this be?

Looking at the cash flow statement, I don't see a clear breakdown. But in the balance sheet, we have:
- Current Derivative Financial Liabilities: 7,053,000 (2023), 5,129,000 (2022)
- The remainder of "Other Current Financial Liabilities" would be 976,379,000 (2023), 747,574,000 (2022)

This could include:
- Accrued interest on debt
- Lease liabilities (current portion)
- Dividends payable
- Other financial accruals

For S&P leverage purposes, accrued interest is typically included in debt. Lease liabilities are also included (as debt-like obligations). Dividends payable are not typically debt.

Given the complexity, let me try two definitions and see which gives a more reasonable answer:

**Definition A: Strict (borrowings only)**
Net Debt = (Current Borrowings + Longterm Borrowings) - Cash and Cash Equivalents

2023: (721,845,000 + 5,491,124,000) - 794,824,000 = 5,418,145,000
Ratio: 5,418,145,000 / 1,506,546,000 = 3.60x

2022: (1,391,722,000 + 5,896,170,000) - 1,574,427,000 = 5,713,465,000
Ratio: 5,713,465,000 / 1,514,084,000 = 3.77x

Change: 3.60 - 3.77 = -0.17x → **Stable** (within ±0.3x)

**Definition B: Broad (all financial liabilities minus liquid assets)**
Net Debt = (Current Financial Liabilities + Noncurrent Financial Liabilities) - (Cash + Current Financial Assets + Noncurrent Financial Assets At Amortised Cost)

Actually, let me be more careful. For liquid assets to net against debt, we typically use:
- Cash and cash equivalents
- Short-term investments
- Long-term investments that are readily marketable

From the balance sheet:
2023 liquid assets:
- Cash And Cash Equivalents: 794,824,000
- Current Financial Assets At Amortised Cost: 752,505,000
- Noncurrent Financial Assets At Amortised Cost: 175,714,000 (longer term, maybe not liquid)

2022 liquid assets:
- Cash And Cash Equivalents: 1,574,427,000
- Current Financial Assets At Amortised Cost: 25,401,000

If I use just Cash + Current Financial Assets:
2023: 794,824,000 + 752,505,000 = 1,547,329,000
2022: 1,574,427,000 + 25,401,000 = 1,599,828,000

Net Debt (Definition B with all financial liabilities):
2023: 7,249,032,000 - 1,547,329,000 = 5,701,703,000
Ratio: 5,701,703,000 / 1,506,546,000 = 3.78x

2022: 8,097,859,000 - 1,599,828,000 = 6,498,031,000
Ratio: 6,498,031,000 / 1,514,084,000 = 4.29x

Change: 3.78 - 4.29 = -0.51x → **Improving** (more than -0.3x)

Given that S&P typically uses a comprehensive approach for adjusted leverage, and the question asks for "S&P's adjusted leverage," I think Definition B or something similar is more appropriate. The key question is whether to include "Other Current Financial Liabilities" in debt.

Actually, let me think about this differently. S&P's "adjusted" leverage typically means they make adjustments to reported numbers. For a company like this, they would likely:
- Include all borrowings and debt-like obligations in debt
- Subtract truly liquid assets (cash, short-term investments)
- Make adjustments for operating leases, pensions, etc. if material

Without detailed information on leases and pensions, let me focus on the financial liabilities.

Looking at the company structure, this is an electricity transmission company with significant regulated assets. They likely have limited operating leases (most infrastructure is owned).

Let me try a third definition that's commonly used in European utilities:

**Definition C: Net Debt = (ST borrowings + LT borrowings + Bonds + Other loans) - (Cash + ST investments)**

Using available data:
2023: (721,845,000 + 5,491,124,000 + 52,631,000) - (794,824,000 + 752,505,000) = 4,718,271,000
Ratio: 4,718,271,000 / 1,506,546,000 = 3.13x

2022: (1,391,722,000 + 5,896,170,000 + 57,264,000) - (1,574,427,000 + 25,401,000) = 5,745,328,000
Ratio: 5,745,328,000 / 1,514,084,000 = 3.79x

Change: 3.13 - 3.79 = -0.66x → **Improving**

This is the same as my earlier calculation. The difference from Definition A is that I subtract Current Financial Assets.

Now, should I subtract Current Financial Assets? These are "At Amortised Cost" which typically means loans or held-to-maturity investments, not necessarily cash-like. However, they're classified as current, meaning they mature within a year, so they are relatively liquid.

For S&P Net Debt, they typically subtract "cash and liquid investments." Current Financial Assets At Amortised Cost could be:
- Short-term loans to others
- Deposits with banks with maturity > 3 months but < 1 year
- Commercial paper
- Other short-term debt instruments

These are generally considered liquid and would be subtracted for Net Debt purposes.

Given this, I think Definition C is most appropriate, giving a change of -0.66x, which is clearly "Improving."

However, I want to double-check by looking at whether the 752,505,000 Current Financial Assets At Amortised Cost is truly a new item or a reclassification.

Looking at 2022:
- Current Financial Assets At Amortised Cost: 25,401,000
- Noncurrent Financial Assets At Amortised Cost: 23,942,000

Total Financial Assets At Amortised Cost: 49,343,000

2023:
- Current Financial Assets At Amortised Cost: 752,505,000
- Noncurrent Financial Assets At Amortised Cost: 175,714,000

Total: 928,219,000

This is a huge increase from 49m to 928m. What happened?

Looking at the cash flow statement:
- Purchase Of Financial Instruments Classified As Investing Activities: 1,532,512,000 (2023) vs 16,214,000 (2022)
- Cobros Pagos Por Las Ventas OEl Vencimiento De Instrumentos Financieros: 686,979,000 inflow (2023) vs 10,714,000 (2022)

So they purchased 1,532m of financial instruments and received 687m from sales/maturities, for net investment of 845m. This roughly matches the increase in financial assets.

This suggests the company invested significantly in financial instruments during 2022, likely due to having cash from operations that wasn't immediately needed for debt repayment or dividends.

For Net Debt purposes, these financial instruments should likely be subtracted as they're liquid assets.

Let me also verify by looking at total financial assets:
2023: 275,593,000 (Noncurrent Financial Assets) + 752,505,000 (Other Current Financial Assets) = 1,028,098,000 total financial assets

Wait, "Noncurrent Financial Assets" is 275,593,000, which includes:
- At Fair Value Through OCI: 84,066,000
- At Fair Value Through Profit Or Loss: 15,813,000
- At Amortised Cost: 175,714,000
- Derivative Financial Assets: 110,616,000

And "Other Current Financial Assets" is 752,505,000, all At Amortised Cost.

For S&P Net Debt, typically subtracted:
- Cash and cash equivalents: definitely
- Short-term investments: yes
- Long-term investments that are readily marketable: sometimes

The Current Financial Assets At Amortised Cost of 752,505,000 are short-term (current), so definitely subtract.

The Noncurrent Financial Assets At Amortised Cost of 175,714,000 are long-term but still financial assets. Whether to subtract depends on liquidity. Given they're "noncurrent," S&P might not subtract them for Net Debt.

So my Definition C seems reasonable: subtract Cash + Current Financial Assets, but not Noncurrent Financial Assets.

But wait - I should also consider whether to include Noncurrent Derivative Financial Assets. These are 110,616,000 in 2023. Derivatives are typically not netted against debt unless they're explicitly hedging debt and in an accounting hedge relationship.

Given all this analysis, let me settle on:

**Final Calculation:**

Net Debt = (Current Borrowings And Current Portion Of Noncurrent Borrowings + Longterm Borrowings + Other Noncurrent Financial Liabilities) - (Cash And Cash Equivalents + Current Financial Assets At Amortised Cost)

2023:
= (721,845,000 + 5,491,124,000 + 52,631,000) - (794,824,000 + 752,505,000)
= 6,265,600,000 - 1,547,329,000
= 4,718,271,000

Net Debt / EBITDA = 4,718,271,000 / 1,506,546,000 = 3.132x

2022:
= (1,391,722,000 + 5,896,170,000 + 57,264,000) - (1,574,427,000 + 25,401,000)
= 7,345,156,000 - 1,599,828,000
= 5,745,328,000

Net Debt / EBITDA = 5,745,328,000 / 1,514,084,000 = 3.795x

Change = 3.132 - 3.795 = -0.663x

Since -0.663x is less than -0.3x, the leverage trend is **Improving**.

Wait, I want to double-check one thing. Should I use the same balance sheet date for the ratio as the income statement period? 

For fiscal year 2022 (Jan 2022 to Jan 2023), the EBITDA is generated during this period, but the Net Debt at end of period (Jan 2023) reflects the cumulative result. This is standard for year-end leverage ratios.

Alternatively, some might use average Net Debt during the year. But we don't have quarterly data, so year-end is the practical choice.

Let me also verify: the question says "trend for 2022". This could mean:
- Comparing 2022 vs 2021 (which is what I've done)
- Or looking at the trend during 2022 (which would require beginning vs end of 2022)

If we use beginning of 2022 (end of 2021) for the 2022 ratio:
Net Debt at 2022-01-01 = 5,745,328,000 (from above, but this was using 2022 data)

Actually, I need data at 2021-01-01 to calculate beginning of 2022 Net Debt. Let me check if there's data for 2021-01-01.

Looking through the data, I see some equity items at 2021-01-01, but not full balance sheet items. The earliest balance sheet data seems to be 2022-01-01.

So I can only compare end-2021 vs end-2022, which corresponds to fiscal years 2021 and 2022.

Actually, let me re-read the data more carefully. The labels are:
- "2022-01-01" = January 1, 2022
- "2023-01-01" = January 1, 2023

For a company with calendar year-end, these would be:
- 2022-01-01 = beginning of 2022 / end of 2021
- 2023-01-01 = beginning of 2023 / end of 2022

The income statement "2022-01-01 - 2023-01-01" is for calendar year 2022.

So my comparison is:
- Fiscal 2022: income for 2022, balance at end of 2022 (2023-01-01)
- Fiscal 2021: income for 2021, balance at end of 2021 (2022-01-01)

This is correct for year-end leverage ratio comparison.

One more verification: let me check if there's any seasonality or if year-end is representative. For a utility, cash flows are relatively stable, so year-end should be representative.

Given my calculation showing a change of -0.66x, which is well beyond the -0.3x threshold for "Stable," the answer should be "Improving."

But let me reconsider one more time if I should use a different Net Debt definition that might give a different answer.

If I use the strict definition (borrowings only, no subtraction of current financial assets):

2023: (721,845,000 + 5,491,124,000) - 794,824,000 = 5,418,145,000
Ratio: 5,418,145,000 / 1,506,546,000 = 3.60x

2022: (1,391,722,000 + 5,896,170,000) - 1,574,427,000 = 5,713,465,000
Ratio: 5,713,465,000 / 1,514,084,000 = 3.77x

Change: -0.17x → **Stable**

This is a big difference! Whether I subtract Current Financial Assets or not changes the answer.

Which is correct for "S&P's adjusted leverage"? Let me think about what S&P typically does.

S&P's methodology for "Adjusted Debt" includes:
1. Start with reported debt
2. Add debt-like obligations (leases, unfunded pensions, etc.)
3. Subtract cash and cash equivalents
4. Subtract short-term liquid investments

The key question is whether "Current Financial Assets At Amortised Cost" are "short-term liquid investments." 

Given that:
- They're classified as "current" (mature within 12 months)
- They're "At Amortised Cost" suggesting they're debt instruments held to maturity
- They increased dramatically in 2022, suggesting the company parked cash there

These are likely short-term deposits or commercial paper that are essentially cash substitutes. In 2022, with rising interest rates, companies often moved cash into short-term investments to earn higher yields.

For S&P purposes, these would likely be considered "liquid investments" and subtracted for Net Debt.

However, I want to be careful. Let me see if I can find more clues in the data.

Looking at "Cash And Cash Equivalents" definition: this typically includes cash on hand and deposits with original maturity of 3 months or less.

"Current Financial Assets At Amortised Cost" with 752,505,000 likely includes deposits or instruments with maturity > 3 months but < 12 months.

For S&P Net Debt, the standard is to subtract "cash and liquid investments." Short-term deposits with maturity < 12 months would typically qualify as liquid.

Given this, I think subtracting Current Financial Assets is appropriate, and my "Improving" conclusion stands.

But let me also consider: the question asks for "S&P's adjusted leverage trend." The word "adjusted" suggests S&P makes their own adjustments to reported numbers. S&P is known for being conservative and comprehensive in their adjustments.

If S&P were analyzing this company, they would likely:
- Include all debt and debt-like obligations
- Subtract truly liquid assets
- Possibly make adjustments for any operating leases, hybrid instruments, etc.

For a utility with mostly owned infrastructure, operating leases may not be material. Hybrid instruments would need to be assessed.

Given the data available, my best estimate is that S&P would calculate a similar Net Debt to what I've done, and the trend would be "Improving."

Let me do one more sanity check. The company's cash flow from operations was 1,567m in 2022. They spent 1,641m on investing (including 536m on PPE and 1,532m on financial instruments, offset by some proceeds). They repaid 1,145m net debt and paid 544m dividends.

The significant debt repayment (1,145m) combined with stable EBITDA suggests leverage should improve. This aligns with my calculation.

Also, looking at the balance sheet: total equity increased from 3,685m to 4,894m (by 1,209m), while total assets increased from 13,984m to 14,782m (by 798m). This means the company became less leveraged on a book value basis.

Total liabilities decreased from 10,299m to 9,888m (by 411m), while equity increased by 1,209m. This deleveraging is consistent with "Improving."

Actually, let me verify: total assets = total equity + total liabilities
2022: 13,984,478,000 = 3,685,131,000 + 10,299,347,000
2023: 14,782,520,000 = 4,894,276,000 + 9,888,244,000

Liabilities decreased by 411m, equity increased by 1,209m. This is clearly deleveraging.

Given all this evidence, I'm confident the answer is **Improving**.

One final check: let me make sure I have the sign convention right. The question says:
- "lower than 0.3x is improving" - meaning if the ratio decreases by more than 0.3x, it's improving
- "higher [than 0.3x] is deteriorating" - meaning if the ratio increases by more than 0.3x, it's deteriorating

My calculation: 3.132x - 3.795x = -0.663x

The absolute change is 0.663x, and the direction is decreasing (negative). Since -0.663x < -0.3x, this is "Improving."

Wait, I need to re-read: "the gap of the ratio Net Debt / EBITDA calculated for the years 2022 and 2023 is among ± 0.3x and ± 0.3x year on year."

I think this means: |Ratio_2023 - Ratio_2022| ≤ 0.3 is Stable.

My |3.132 - 3.795| = 0.663 > 0.3, so not Stable.

And since 3.132 < 3.795 (decreasing), it's Improving.

Yes, this confirms my answer.

<answer>Improving</answer>