TGC-1 IFRS Profit Grew by 67.1% in 9M 2016

21.11.2016

TGC-1 releases unaudited interim consolidated Financial Statements for the 9 months period, ended September 30, 2016 prepared in accordance with International Financial Reporting Standards (IFRS).

Consolidated Statement of Comprehensive Income Highlights (RUB mln)

9М 2015

9М 2016

Revenue

48,049

54,416

Operating Expenses*

(41,121)

(44,999)

Operating Profit

6,924

9,417

EBITDA**

12,303

14,754

Profit for the Period

4,036

6,746

* With account to Other operating income and Government subsidy.

** EBITDA is calculated as Operating profit + Depreciation of PP&E + Amortization of intangible assets and investment property.

Consolidated TGC-1 Group revenue for 9M 2016 increased by 13.3% year-on-year, up to RUB 54,416 mln. Factors of the growth were the following:

  • Growing capacity sales volume at competitive capacity outtake;
  • Priority load for highly efficient combined-cycle units;
  • Increased production at hydro power stations on the back of higher water factor at Kolsky and Karelsky branches in 9M 2016 year-on-year.

Operating expenses for 9M 2016 grew by 9.4% year-on-year, up to RUB 44,999 mln. Variable costs increased by 9.3%, up to RUB 27,917 mln mostly on the account of higher fuel costs, caused by growing heat output. Fixed costs increased by 14.6%, up to RUB 12,385 mln, mainly due to the provision for impairment of accounts receivable in the reporting period and growing property tax.

TGC-1 operating profit grew by 36% year-on-year totaling RUB 9,417 mln. EBITDA amounted to RUB 14,755 mln, growing by 19.9% year-on-year.

Profit for 9M 2016 increased by 67.1% year-on-year, up to RUB 6,746 mln.

Full TGC-1 9M 2016 results under IFRS are available at the corporate website in the “Reports” section.