TGC-1 IFRS Profit Grew by 21.8% in 1H 2016

04.08.2016

TGC-1 releases unaudited interim consolidated Financial Statements for the 6 months period, ended June 30, 2016 prepared in accordance with International Financial Reporting Standards (IFRS).

Consolidated Statement of Comprehensive Income Highlights (mln RUB)

6М 2016

6М 2015

Revenue

41,284

36,936

Operating Expenses*

(33,184)

(29,887)

Operating Profit

8,100

7,049

EBITDA**

11,636

10,631

Profit for the Period

5,852

4,806

* Including Government subsidies and Other operating income.

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

Consolidated TGC-1 Group revenue for 6M 2016 increased by 11.8% year-on-year, up to RUB 41,284 mln. Factors of the growth were the following:

-     increased revenue from heat output;

-     growing power sales at competitive capacity outtake;

-     priority load for highly efficient combined-cycle units;

-     increased production at hydro power stations in 1H 2016 year-on-year.

Operating expenses for 6M 2016 grew by 11% year-on-year, up to RUB 33,184 mln. Variable costs increased by 8.7%, up to RUB 21,922 mln mostly on the account of higher fuel costs, caused by growing heat output. Fixed costs increased by 17.1%, up to RUB 8,114 mln, mainly due to receivables impairment provision and growing loss on PP&E disposal.

TGC-1 operating profit grew by 14.9% year-on-year totaling RUB 8,100 mln. EBITDA amounted to RUB 11,636 mln, growing by 9.5% year-on-year.

Profit for 6M 2016 increased by 21.8% year-on-year, up to RUB 5,852 mln.

Full TGC-1 6M 2016 results under IFRS are available at the corporate website in the “Reports” section.