IR Releases
Rosseti Lenenergo released FY 2020 IFRS Results on March 18, 2021
Key Results in the Reporting Period
RUB million unless otherwise stated
Indicator |
2020 |
2019 |
Change |
Financial Results |
|
|
|
Revenue |
82,708 |
82,665 |
0.1% |
Operating expenses |
(61,609) |
(61,019) |
1.0% |
Operating profit |
16,607 |
17,214 |
(3.5%) |
Net profit |
12,004 |
11,961 |
0.4% |
EBITDA |
34,929 |
34,149 |
2.3% |
EBITDA margin, % |
42.2 |
41.3 |
0.92 pp |
Operating Results |
|
|
|
Installed capacity, MVA |
34,642 |
33,381 |
3.7% |
Connected capacity, MW |
801 |
893 |
(10.3%) |
Net supply, mln kWh |
29,580 |
30,625 |
(3.4%) |
Electricity network losses, mln kWh |
3,847 |
3,967 |
(3.0%) |
Notes:
The connected capacity equals permanent grid connection (net of generation).
“Amid the COVID-19 pandemic and high air temperatures unusual for the region in the autumn and winter period, the Company focused its operations on maintaining stable financial and economic performance achieved by the Company. “Rosseti Lenenergo”, PJSC, worked consistently throughout the year to optimize its credit portfolio, reduce operating expenses, and improve the structure of other income and expenses. These efforts allowed us to maintain our financial performance flat year-on-year while keeping our leverage low”.
Deputy CEO for Economics and Finances, Rosseti Lenenergo, PJSC
Notes to the Financial Results
Rosseti Lenenergo posted a revenue of RUB 82,708 million, including:
Electricity distribution revenue totaled RUB 75,897 million, up by RUB 201 million or 0.3%year-on-year due to higher tariffs.
Grid connection revenue totaled RUB 6,350 million, down by RUB 243 million or 3.7% year-on-year due to lower grid connection volumes in 2020.
Operating expenses totaled RUB 61,609 million, up 1.0% (or RUB 590 million) year-on-year, mainly caused by an increase in expenses for depreciation of fixed assets, intangible assets (“IA”) and right-of-use assets ("ROU") due to the commissioning of fixed assets and receipt of IA and ROU in 2020.
Rosseti Lenenergo’s net profit for the reporting period increased by RUB 43 million or 0.4% year-on-year, mainly due to a decrease in the allowance for expected credit losses, including that created in 2019 for expected losses from illegal consumption.
The company’s EBITDA for the reporting period totaled RUB 34,929 million, up 2.3% year-on-year, mainly due to a decrease in the allowance for expected credit losses.
Principal Balance Sheet Figures
RUB million unless otherwise stated
Indicator |
2020 |
2019 |
Change |
Assets |
|
|
|
Non-current assets |
209,001 |
199,196 |
4.9% |
Current assets |
10,475 |
15,265 |
(31.4%) |
Total assets |
219,476 |
214,461 |
2.3% |
Net assets |
144,966 |
138,375 |
4.8% |
ROE |
8.3% |
8.6% |
(0.3 pp) |
Equity and Liabilities |
|
|
|
Equity and reserves |
144,966 |
138,375 |
4.8% |
Non-current liabilities |
35,202 |
30,382 |
15.86% |
Current liabilities |
39,308 |
45,704 |
(14.0%) |
Total liabilities |
74,510 |
76,086 |
(2.1%) |
Net debt |
29,532 |
22,375 |
32.0% |
Net Debt/EBITDA |
0.85 |
0.66 |
- |
Notes:
As at December 31, 2020, Rosseti Lenenergo’s assets totaled RUB 219,476 million, up 2.3% year-on-year. The change in assets is mainly due to the implementation of the Group’s investment program. In 2020, net assets grew to RUB 6,591 million (up 4.8%).
Return on equity (ROE) as at December 31, 2020 was 8.3%. The year-on-year decrease by 0.3 pp was driven by a 0.4% increase in net profit of Rosseti Lenenergo, PJSC, for 2020, while equity grew by 4.8%.
Net debt of Rosseti Lenenergo as at December 31, 2020, totaled RUB 29,532 million, up 32.0% year-on-year. The increase in net debt is mainly due to a higher share of long-term targeted financial investments.
As at December 31, 2020, Net Debt/EBITDA of Rosseti Lenenergo stood at 0.85x, compared to 0.66x as at end-2019.