George Frangeskides, Exec-Chair at Alba Mineral Resources, discusses grades at the Clogau Gold Mine. Watch the full video here.

Less Ads, More Data, More Tools Register for FREE

Pin to quick picksRSTI.L Regulatory News (RSTI)

  • There is currently no data for RSTI

Watchlists are a member only feature

Login to your account

Alerts are a premium feature

Login to your account

ROSSETI Announces FY 2015 IFRS Results

22 Apr 2016 11:39

RNS Number : 0812W
PJSC Rosseti
22 April 2016
 

 

 

ROSSETI ANNOUNCES FULL YEAR 2015 IFRS RESULTS

22 April 2016, Moscow, Russia - PJSC ROSSETI (LSE: RSTI) ("ROSSETI" or the "Company"), the largest electricity transmission and distribution grid company in Russia, today announces its consolidated IFRS results for the companies of Rosseti Group (the "Group") for the 12 months ended 31 December 2015.

Key financial indicators:

· Revenue: RUB 766.8 bn (2014: RUB 759.6 bn)

· EBITDA: RUB 248.9 bn (2014: RUB 131.8 bn)

· Adjusted EBITDA(1) : RUB 273.1 bn (2014: RUB 249.0 bn)

· Net profit: RUB 81.6 bn (2014: loss of RUB (24.3) bn)

· Adjusted net profit(2) : RUB 100.9 bn (2014: RUB 69.5 bn)

· Net cash flows generated by operating activities: RUB 156.7 bn (2014: RUB 160.7 bn)

· Net debt/EBITDA ratio: 2.0x

Key operational indicators:

· Electricity transmission: 720.5 bn kWh (2014: 715 bn kWh)

· Technological connections: 19.705 MW (2014: 17.771 MW)

· Sales of electricity: 1.541 mn kWh (2014: RUB 13.158 mn kWh)

Key corporate highlights:

· The extraordinary general meeting of shareholders (EGM) approved an increase in the charter capital of PJSC ROSSETI, and on 3 November 2015 a placement of the Company's shares was commenced.

· Successfully placement of four issues of exchange-traded bonds totalling RUB 31 billion.

· Memorandum signed with State Grid Company of China to form a joint venture and to construct a 500 kV transit grid system in the Tomsk region.

· Government OFZ bonds amounting to RUB 32 bn were used as payment for shares in PJSC Lenenergo.

· Creditworthiness of ROSSETI was maintained at a high level, allowing the Group to carry out effective borrowing policies on the capital markets. Changes to the Group's credit rating during the reporting period were connected only to changes in the sovereign rating of the Russian Federation.

· The Board of Directors of ROSSETI approved the Action Plan (Road Map) for introducing the Corporate Governance Code into the activities of ROSSETI.

Events subsequent to the reporting period:

· The Board of Directors reviewed the consolidated capex program for 2016-2020.

Commenting on the 2015 financial results, Oksana Shatokhina, Deputy Director General for Economic Affairs of ROSSETI, said:

 

"The past year was a challenging one for the Russian economy, due to declining industrial production, high inflation and volatile currency exchange rates. As a result of these conditions, electricity consumption declined and counterparties' ability to meet payments deteriorated. However, thanks to the focus and hard work of the Group to optimise its investment and operational activities, ROSSETI reported robust financial results for 2015. Operational expenses were reduced by 14.1% and EBITDA increased by 88.8%, while EBITDA margins reached a record 32.5% during the reporting period.

 

"Our priorities for 2016 remain the close monitoring of payment discipline of our counterparties and preservation of financial stability at our key subsidiaries, both of which are necessary to successfully carry out the strategic initiatives of ROSSETI Group."

 

 

FINANCIAL PERFORMANCE

 

Indicators

2015

2014

Change

RUB bn

 RUB bn

%

Revenue, including

766.8

759.6

0.9

- Electricity transmission

650.4

620.0

4.9

- Sales of electricity and capacity

55.9

86.5

(35.4)

Operating expenses

652.5

759.8

(14.1)

EBITDA

248.9

131.8

88.8

Adjusted EBITDA

273.1

249.0

9.7

EBITDA margin

32.5%

17.4%

15.1 p.p.

Adjusted EBITDA margin

35.6%

32.8%

2.8 p.p.

Net profit / loss

81.6

(24.3)

-

Adjusted net profit

100.9

69.5

45.2

Net cash flows generated by operating activities

156.7

160.7

(2.5)

In 2015, the Group's revenue increased by 0.9% y-o-y to RUB 766.8 bn (2014: RUB 759.6 bn). At the same time, revenue from electricity transmission rose by 4.9% (to RUB 650.4 bn), primarily driven by tariff indexation from 1 July 2015, the coming into force of the decision of the Russian Government (dated 11.05.2015, № 458) and the decree of the Russian Government (dated 28.02.2015 № 184) regarding assignment of owners of transmission facilities to territorial network organizations, as well as the changes to reciprocal boiler settlement formulas.

Group revenues from the sale of electricity decreased by 35.4% and amounted to RUB 55.9 bn as certain ROSSETI subsidiaries transferred the function of guaranteed supplier to external companies that had won guaranteed supplier tenders, in accordance with the resolution of the Russian Ministry of Energy.

The Group reduced operating expenses by 14.1% to RUB 652.5 bn (2014: RUB 759.8 bn), primarily as a result of initiatives to increase efficiency and reduce expenses of Group companies, in addition to lower amortization charges and no impairment losses on fixed assets and a partial reversal of losses on impairments following tariff-balance decisions. Personnel costs increased by 5.0% y-o-y, significantly less than the rate of inflation, and primarily due to salary indexation for industrial personnel in accordance with the Industry Tariff Agreement, but compensated for by strict cost control at the corporate headquarters. Material expenses decreased by RUB 5 bn or 3.0%, mainly as a result of purchasing less electricity for resale, following the transfer of guaranteed supplier status from certain subsidiaries to external companies.

As a result, EBITDA amounted to RUB 248.9 bn, up 88% y-o-y (2014: RUB 131.8 bn). EBITDA margin grew from 17.4% in 2014 to 32.5% in 2015.

 

The Group's net profit for the year amounted to RUB 81.6 bn compared to a net loss of RUB 24.3 bn in 2014. In addition to initiatives undertaken to enhance operational efficiency and reduce expenses, net profit was positively affected by increased financial income.

 

As of the end of 2015 the Group's assets increased by 8.1% to RUB 2,145.8 bn (At the end of 2014: RUB 1,984.1 bn), which was primarily due to an increase in fixed assets following the commissioning of new facilities as part of the investment programme.

 

The Group's net debt declined by 1.8% as at 31 December 2015 and amounted to RUB 487.2 bn (at December 31 2014: RUB 496.1 bn). The decrease in net debt was connected to an increase in cash and cash equivalents of 17.6%. The Group's net debt/EBITDA ratio at the end of 2015 was 2.0x.

 

Standard and Poor's credit rating of ROSSETI is the same as Russian sovereign rating, which indicates the Group's stable financial position.

Outlook

The Group's Business plans for 2016-2020 have been developed factoring in the difficult current macroeconomic environment, the trend of reduced electricity consumption, a CPI forecast in line with the forecasted socio-economic development of Russia in 2016-2017, limitations on debt financing and higher borrowing costs, deterioration in payment discipline of counterparties, as well as higher costs for imported and domestic equipment and services, and also measures to increase operational efficiency and reduce costs in order to mitigate the effect of negative macroeconomic factors.

Nonetheless, improving the efficiency of the Group remains a key priority for 2016. In order to fulfill this task, the Group's companies have developed a plan of measures to improve the efficiency and financial sustainability of the integrated power grid system under current macroeconomic conditions, while at the same time achieving all of the targets outline in the Development Strategy of Russia's integrated power grid.

* * *

The Company will hold a conference call for investors and analysts on 22 April 2016 at 3:00 PM Moscow (13:00 PM London / 8:00 AM New York).

Participant Dial-in:

United Kingdom:

+44 (0) 20 3427 1906

Russia:

+7 (495) 213 0977

United States:

+1 (646) 254 3361

Confernce ID:

Russian-language call: 4566940

English-language call: 4541860

Participants are advised to dial in 5-10 minutes prior to the start time.

 

A replay facility will be available for 7 days, and can be accessed using the following details:

United Kingdom:

+44 (0) 20 3427 0598

Toll free: 0800 358 77 35

Russia:

+7 (495) 705 9453

Toll free: 810 800 2870 1012

United States:

+1 (347) 366 9565

Toll free: +1 866 932 5017

Replay passcode:

Russian-language call: 4566940

English-language call: 4541860

 

* * *

For further information:

 

PJSC ROSSETI

Maria Stepanova, Head of IR +7(495) 995 5333 (ext. 3961)

Yulia Martynova, IR +7(495) 995 5333 (ext. 3834)

 

EM

Thomas Kiehn +7 (495) 363 2846

Irina Logutenkova +7 (495) 363 2846

 

 

PJSC ROSSETI holds interests in and manages 15 distribution grid companies and transmission grid company in Russia. The Company together with its subsidiaries owns and operates 2.3 million kilometers of electricity transmission and distribution lines with a total installed transformer capacity of 761 GVA. The Company operates in 78 regions of Russia.

Some of the information in this press release may contain projections or other forward-looking statements regarding future events or the future financial performance of PJSC ROSSETI. You can identify forward looking statements by terms such as "expect," "believe," "anticipate," "estimate," "intend," "will," "could," "may" or "might" the negative of such terms or other similar expressions. We wish to caution you that these statements are only predictions and that actual events or results may differ materially. We do not intend to update these statements to reflect events and circumstances occurring after the date hereof or to reflect the occurrence of unanticipated events. Many factors could cause the actual results to differ materially from those contained in our projections or forward-looking statements, including, among others, general economic conditions, our competitive environment, risks associated with operating in Russia, rapid technological and market change in our industry, as well as many other risks specifically related to PJSC ROSSETI and its operations. 

Year ended31 December 2015

Year ended31 December 2014

Revenue

766,812

759,608

Operating expenses

(652,538)

(759,805)

Other income, net

22,069

14,309

Results from operating activities

136,343

14,112

Finance income

16,238

10,712

Finance costs

(38,865)

(42,863)

Net finance costs

(22,627)

(32,151)

Share of loss of associates and joint ventures(net of income tax)

(4)

(10)

Profit/(loss) before income tax

113,712

(18,049)

Income tax expense

(32,110)

(6,208)

Profit/(loss) for the year

81,602

(24,257)

Other comprehensive income

Items that may be reclassified subsequently to profit or loss

Net change in fair value of available-for-sale financial assets

7,825

125

Allowance for foreign currency translation differences

(151)

650

Income tax related to items that may be reclassified subsequently to profit or loss

(1,565)

(22)

Total items that may be reclassified subsequently to profit or loss

6,109

753

Items that will never be reclassified subsequently to profit or loss

Remeasurements of the defined benefit liability

(5,186)

3,023

Income tax related to items that will never be reclassified subsequently to profit or loss

998

(499)

Total items that will not be reclassified subsequently to profit or loss

(4,188)

2,524

Other comprehensive income for the year, net of income tax

1,921

3,277

Total comprehensive income/(loss) for the year

83,523

(20,980)

Profit/ (loss) attributable to:

Owners of the Company

64,036

(15,355)

Non-controlling interest

17,566

(8,902)

Total comprehensive income/(loss) attributable to:

Owners of the Company

65,917

(13,071)

Non-controlling interest

17,606

(7,909)

Earnings /(loss) per share

Basic and diluted earnings/(loss) per ordinary share (in RUB)

0.401

(0.096)

 

31 December 2015

31 December 2014

ASSETS

Non-current assets

Property, plant and equipment

1,734,044

1,643,586

Intangible assets

18,532

14,300

Investments in associates and joint ventures

1,489

1,627

Non-current accounts receivable

16,572

6,971

Other investments and financial assets

31,928

22,952

Deferred tax assets

8,579

7,117

Total non-current assets

1,811,144

1,696,553

Current assets

Inventories

33,921

26,630

Other investments and financial assets

36,777

17,908

Current income tax prepayments

4,201

4,636

Trade and other receivables

162,624

155,776

Cash and cash equivalents

97,090

82,576

Total current assets

334,613

287,526

Total assets

2,145,757

1,984,079

 

 

31 December 2015

31 December 2014

EQUITY AND LIABILITIES

Equity

Share capital

163,154

163,154

Share premium

212,978

212,978

Treasury shares

(2,713)

(2,725)

Reserve for issue of shares

33,473

-

Other reserves

(2,100)

(3,981)

Retained earnings

448,120

383,554

Total equity attributable to equity holders of the Company

852,912

752,980

Non-controlling interest

315,983

285,824

Total equity

1,168,895

1,038,804

Non-current liabilities

Loans and borrowings

465,439

485,409

Trade and other payables

22,075

17,851

Employee benefits

29,473

25,512

Deferred tax liabilities

60,155

34,389

Total non-current liabilities

577,142

563,161

Current liabilities

Loans and borrowings

118,832

93,227

Trade and other payables

267,972

268,469

Provisions

11,421

18,871

Current income tax liabilities

1,495

1,547

Total current liabilities

399,720

382,114

Total liabilities

976,862

945,275

Total equity and liabilities

2,145,757

1,984,079

 

 

Year ended31 December 2015

Year ended 31 December 2014

OPERATING ACTIVITIES

Profit/ (loss) for the year

81,602

(24,257)

Adjustments for:

Depreciation and amortization of property, plant and equipment and intangible assets

100,529

125,910

Impairment of property, plant and equipment

(5,090)

81,690

Finance costs

38,865

42,863

Finance income

(16,238)

(10,712)

Loss on disposal of property, plant and equipment

2,773

148

Share of loss of associates and joint ventures, net of income tax

4

10

Impairment of accounts receivable

28,778

18,872

Proceeds from subsidiary disposal

(12,410)

-

Bad debt write-off

381

200

Non-cash receipt of property, plant and equipment

(7,687)

(4,427)

Non-cash settlement of technological connection agreements

(954)

(926)

Other non-cash transactions

177

14

Income tax expense

32,110

6,208

Operating profit before changes in working capital

242,840

235,593

Change in trade and other receivables (before impairment)

(25,118)

(30,019)

Change in inventories (before impairment)

(6,414)

(2,151)

Change in trade and other payables

25,510

5,134

Change in employee benefit liabilities

(3,965)

(2,470)

Change in provisions

(7,136)

8,381

Other

(65)

480

Cash flows from operating activities before income tax and interest paid

225,652

214,948

Income tax paid

(6,196)

(7,322)

Interest paid

(62,768)

(46,950)

Net cash flows from operating activities

156,688

160,676

Year ended31 December 2015

Year ended 31 December 2014

INVESTING ACTIVITIES

Acquisition of property, plant and equipment and intangible assets

(174,052)

(204,193)

Proceeds from the sale of property, plant and equipment

2,265

4,702

Acquisition of investments and placement of bank deposits

(188,769)

(120,533)

Proceeds from disposal of investments and withdrawal of bank deposits

169,110

144,904

Dividends received

44

31

Interest received

15,662

8,799

Acquisition of subsidiaries

1,221

-

Net cash flows used in investing activities

(174,519)

(166,290)

FINANCING ACTIVITIES

Proceeds from loans and borrowings

153,716

118,482

Repayment of loans and borrowings

(152,154)

(89,592)

Proceeds from share premium

33,473

-

Acquisition of non-controlling interest in subsidiaries

(413)

-

Dividends paid

(2,032)

(2,020)

Repayment of finance lease liabilities

(245)

(597)

Net cash flows from financing activities

32,345

26,273

Net increase in cash and cash equivalents

14,514

20,659

Cash and cash equivalents at the beginning of year

82,576

61,917

Cash and cash equivalents at the end of year

97,090

82,576

 


[1] Adjusted EBITDA is calculated as EBITDA (earnings before interest, tax, depreciation, and amortization for the reporting period) excluding losses from impairment of fixed assets, impairments of financial investments and impairment of accounts receivable.

[2] Adjusted net profit is calculated as net profit for the period excluding losses from impairment of fixed assets, impairment of investments, impairment of accounts receivable and deferred income tax expense related to them.

This information is provided by RNS
The company news service from the London Stock Exchange
 
END
 
 
FR ITMMTMBBTBLF
Date   Source Headline
6th May 20224:10 pmRNSCancellation of listing on LSE
6th May 20224:09 pmRNSCancellation of listing on LSE
21st Feb 20221:44 pmRNSDirector General of ROSSETI Northern Caucasus
24th Dec 20217:30 amRNSDirector General of ROSSETI Lenenergo
26th Nov 202110:18 amRNSROSSETI discloses 9M2021 IFRS Results
29th Oct 20211:39 pmRNSROSSETI announces 9M2021 RAS financial results
27th Aug 202110:10 amRNSRosseti discloses 1H2021 IFRS Financial Results
20th Aug 202110:00 amRNSNotification of 1H21 Results Announcement&ConfCall
17th Aug 20212:36 pmRNSDirector General of ROSSETI Tyumen
30th Jul 202111:37 amRNSROSSETI announces 6M2021 RAS financial results
1st Jul 202110:19 amRNSActing Director General of Rosseti Tomsk
30th Jun 20214:11 pmRNSResult of AGM of Rosseti
27th May 20211:56 pmRNSBoD sets AGM Agenda&recommends FY2020 Dividend
27th May 20211:15 pmRNSROSSETI discloses 3M2021 IFRS Financial Results
18th May 202110:08 amRNSNew Acting Director General of Rosseti Kuban
30th Apr 20212:30 pmRNSROSSETI Publishes its Annual Financial Report 2020
30th Apr 20212:08 pmRNSROSSETI announces 3M2021 RAS financial results
9th Apr 20213:24 pmRNSNew Acting Director General of Tyvaenergosbyt
7th Apr 20211:57 pmRNSNew Acting Director General of Yantarenergo
6th Apr 20214:16 pmRNSNew Acting Director of ROSSETI Northern Caucasus
26th Mar 202110:05 amRNSROSSETI discloses IFRS Financial Results for 2020
23rd Mar 202111:40 amRNSNotice of 2020 Results Announcement ConferenceCall
5th Mar 202110:00 amRNSRosseti announces its 2020 RAS financial results
15th Feb 20217:15 amRNSAppointment of the sole Executive Body of ROSSETI
14th Jan 20213:54 pmRNSNew Acting Director General of the Company
27th Nov 202010:10 amRNSPJSC Rosseti 3rd Quarter Results
17th Nov 20202:16 pmRNSNew General Director of JSC "IDGC of Urals"
28th Aug 202011:25 amRNSIFRS Financial Results for the 6 months 2020
24th Aug 20203:27 pmRNSNotification of 1H 2020 Results Announcement
3rd Aug 20205:16 pmRNSNew Acting General Director of JSC “Yantarenergo”
1st Jun 20204:45 pmRNSResult of AGM
1st Jun 20201:23 pmRNS1st Quarter Results
1st Jun 202010:28 amRNSChanges in the Management Board
18th May 20201:13 pmRNSAgreement with PJSC “FGC UES”
6th May 20204:04 pmRNSDividend Declaration
6th May 20204:03 pmRNSNOTICE OF 2020 ANNUAL GENERAL MEETING
28th Apr 20201:08 pmRNSNOTICE OF 2020 ANNUAL GENERAL MEETING
27th Mar 202010:19 amRNSAnnual Financial Report 2019
23rd Mar 20202:40 pmRNSNotice of Results
29th Nov 201910:51 amRNSROSSETI Discloses IFRS Financial Results for 9M 19
29th Aug 201911:15 amRNSIFRS financial results for 6 months of 2019
22nd Aug 201910:22 amRNSNotification of 1H 2019 Results Announcement
18th Jul 20199:23 amRNSNew Cubanenergo Director General
18th Jul 20199:21 amRNSNew Tyumenenergo Director General
27th Jun 20193:52 pmRNSResults of the AGM
26th Jun 20192:02 pmRNSNew Acting Director General at JSC «Tyumenenergo»
4th Jun 20191:01 pmRNSNew Acting Director General at Kubanenergo.
28th May 20193:10 pmRNSRosseti FY 2018 Dividend Recommendations
28th May 20193:08 pmRNSAGM Agenda
28th May 20197:56 amRNS1st Quarter Results

Due to London Stock Exchange licensing terms, we stipulate that you must be a private investor. We apologise for the inconvenience.

To access our Live RNS you must confirm you are a private investor by using the button below.

Login to your account

Don't have an account? Click here to register.

Quickpicks are a member only feature

Login to your account

Don't have an account? Click here to register.