INTER RAO Lietuva Group announces financial results for 2015: The Group managed to generate the best results in the last 5 years
- Group’s gross profit in 2015 increased by 36% to EUR 29.6 million from EUR 21.8 million in 2014.
- Operating profit reached EUR 22.8 million, versus EUR 15 million in 2014.
- Group’s net profit increased to EUR 18.8 million from EUR 12.3 million in 2014.
- Group’s EBITDA increased to EUR 25.3 million while EBITDA margin increased to 13.55 percent.
- Electricity trading volume was slightly lower than in 2014, 4 273 GWh versus 4 374 GWh.
- The electricity production in the wind farm increased by 21.4% due to better wind conditions and technical upgrades that were done in 2014.
- The electricity trading volume in Poland increased 5 times and was 254 GWh versus 51 GWh in 2014.
- Revenue from sales decreased by 11.25%, to EUR 186.7 million, compared to EUR 210.4 million in 2014,due to lower amount of electricity traded and low electricity prices in the Baltic States.
– We have the best INTER RAO Lietuva Group’s financial results in the last five years. The better wind conditions than the estimated long-term average and technical improvements done by the Group lead to one of the best results of Vydmantai wind park since the beginning of performance of the wind park in 2006. The electricity generated by the wind farm reached 68.55 GWh and was by one fifth higher than in 2014. The Group managed to generate industry normal 15.86% gross profitability andthe net profit of the Group increased by more than 50 percent and reached 18.8 million. The net profit margin during the year improved from 5.87 % to 10.08 % and the Group has earned EUR 0.94 per share – says Giedrius Balčiūnas, CEO at INTER RAO Lietuva.
Key figures of IRL Group
|
Financial figures |
2015 |
2014 |
2013 |
2012 |
2011 |
|
Sales (EUR thousand) |
186,694 |
210,362 |
219,498 |
259,915 |
266,184 |
|
Gross profit (EUR thousand) |
29,602 |
21,769 |
7,474 |
28,005 |
26,635 |
|
Gross profit margin (%) |
15.86% |
10.35% |
3.41% |
10.80% |
10.00% |
|
Operating profit (EUR thousand) |
22,798 |
15,033 |
712 |
21,180 |
21,219 |
|
Operating profit margin (%) |
12.21% |
7.15% |
0.32% |
8.10% |
8.00% |
|
EBITDA (EUR thousand) |
25,301 |
17,774 |
3,913 |
23,606 |
22,822 |
|
EBITDA profit margin (%) |
13.55% |
8.45% |
1.45% |
9.10% |
8.60% |
|
Net profit (EUR thousand) |
18,819 |
12,343 |
777 |
16,831 |
17,725 |
|
Net profit margin (%) |
10.08% |
5.87% |
0.35% |
6.50% |
6.70% |
|
Number of shares (thousand) |
20,000 |
20,000 |
20,000 |
20,000 |
1,000 |
|
Earnings per share (EUR) |
0.94 |
0.62 |
0.04 |
0.84 |
17.72 |
Production
Wind park located in Vydmantai, owned by the Group, over a year generated and sold 68,55 GWh, which was 21.4% more than in 2014.
This is one of the best results of Vydmantai wind park since the beginning of performance of the wind park in 2006. The increase in electricity production was mainly caused by the better wind conditions – the average wind speed in the area in 2015 was 6.62 m/s – and technical upgrades in the transformer substation that were done in 2014.
Revenue from sales
The total consolidated Group’s sales revenue in 2015 was equal to EUR 186.7 million, a 11.25% less than in 2014. Total revenue declined due to lower amount of electricity traded in all Baltic countries, which was facilitated by relatively low electricity prices in the Nord Pool system as well as risk persisting due to the uncertainties associated with possible technical limitation of interconnection links. The average annual electricity price in 2015 in Lithuanian Nord Pool Spot zone was equal to 41.92 EUR/MWh compared to 50.13 EUR/MWh in 2014, a 16.4% less than in 2014
Group’s revenue from sales of electricity in the 2015 amounted to EUR 180.7 million. Revenue from produced electricity sales accounted for EUR 6 million, which is a 20.9% more than the sales a year ago.
The Group fulfilled all of its contractual obligations to its Clients in 2015 without any delays and disturbances and remains as a trusted counterparty and reliable electricity supplier. Despite the reduced amount of electricity sold, the Group’s clients base during the course of 2015 slightly increased: from 831 in 2014 to 839 in 2015. The Group improved relationships with the largest electricity customers in the region and further developed electricity trading operations in Poland. These events are positively reflected in the financial results of the year 2015 and most likely will be the important factor for income generation in the coming years.
Earnings
The Group’s gross profit in 2015 increased over the year by 36%, and amounted to EUR 29.6 million, compared to EUR 21.8 million in 2014. Gross profit margin in 2015 not only stayed at the healthy levels but increased to 15.86% from 10.35% in 2014.
Profit from operations for the Group for year 2015 was equal to EUR 22.8 million, compared to the profit from operations of EUR 15 million in 2014. Operating profit margin for the Group was equal to 12.21% compared to 7.15% a year ago.
As a result, profit before tax for the Group in 2015 increased by 52.93% and amounted to EUR 22 million. The net profit of the Group in 2015 amounted to EUR 18.8 million, a 52.47% increase over a year ago. The net profit margin for the Group in 2015 increased and was equal to 10.08% (compared to 5.87% year ago).
The Group has earned EUR 0.94 per share in 2015.