Restrictions of electricity import resulted in the loss of profit by “INTER RAO” and dozens of millions litas of taxes by the state

Due to restrictions of electricity import from the third countries the net profit of AB “INTER RAO” group in 2013 decreased to LTL 2,684M, the company announced. The import reductions resulted in significantly lower taxes paid by the company to the Government when compared to the previous year.

“Restrictions of electricity import inflicted almost twenty million litas loss on our company and the whole group in the III quarter of the previous year. This loss affected the results of the Group for the entire year 2013. The year ended up with a small profit, however due to the said circumstances the company paid significantly less taxes to the Government,” says Giedrius Balčiūnas, the Director General of AB “INTER RAO Lietuva”.

The sum of taxes and other contributions paid by the company to the account of the State Tax Inspectorate throughout the year has decreased by more than LTL 17M, from LTL 118,046M in 2012 to LTL 100,97M in 2013. During the year the input fee paid by the company for the use of transmission networks, which is not paid by the EU producers and suppliers of electricity, has declined by more than LTL 4M, i.e. from LTL 14M in 2012 to LTL 9,7 in 2013.

The range of income from sales of the Group of companies that operate in Lithuania, Latvia, Estonia and Poland has dropped by 15.6% and amounted to LTL 757,882M (LTL 897,435M in 2012), while the net profit has decreased more than 21 times, i.e. from LTL 58,114M in 2012 to LTL 2,684M. EBITDA rate of the Group slumped to LTL 11,024M throughout 2013 and the profit rate of EBITDA decreased by 1.45%. In 2012 these indicators respectively amounted to LTL 81,506M and 9.1%.

Periodic releases by the Group of companies are available at:

http://www.interrao.lt/eng/For-Investors2/Reports/Periodic-reports2