ENEA Capital Group generated PLN 7.4 bln revenues

During the first three quarters of 2012 the ENEA Capital Group generated PLN 7.4 bln revenues on sales, which increased by 3.6 per cent year on year. The EBITDA result amounted to PLN 1,350 mln, EBIT to PLN 753 mln, and the net result amounted to PLN 645 mln. The Company in Q3 commenced a strategic investment in Kozienice.

The Poznań power Group has successfully completed three quarters. The Group is consequently developing its position on the domestic market of generation, distribution and trade in electricity. The net sales revenues of the ENEA Capital Group after three quarters amounted to PLN 7,429 mln after a growth by 3.6 per cent in relation to the same period of the previous year. The changes on the level of the operating result are slightly worse. It mainly stems from a high base form Q3 2011, and in particular the allocation of the price of the acquisition of the Białystok Heat and Power Plant and the exchange of the free allowances for emissions of CO₂ from EUA to CER. The settlement of long-term agreements on electricity sales (LTPPA) had also a negative impact on the result of Q3 2012. After three quarters of 2012 the consolidated EBITDA amounted to PLN 1,350 mln and is higher than in the previous year by 4.3 per cent. EBIT amounted to PLN 753 mln and the net profit to PLN 645 mln. Both indicators demonstrated a negative change.

The greatest growth of EBITDA in the period of January-September 2012 was reported in the segment of trade. It amounted to 28.1 per cent, or PLN 39.3 mln. A growth in the first contribution margin and a higher result in the subsidiaries such as ENEA Trading and ENEA Centrum positively affected the result. Another segment in which the Company reported growths was distribution. The change of EBITDA in this case amounted to 21.1 per cent. This was mainly affected by higher sales of distribution services to end users by PLN 96.2 mln. A drop on the level of EBITDA was reported in the segment of generation. The 14.6 per cent drop was mainly affected by lower revenues from sales of allowances for emissions of CO₂ and higher costs of material consumption.

Q3 alone demonstrated numerous significant events for the Group's development. At the beginning of October in ENEA Wytwarzanie S.A. an official hand-over took place of the construction site for a new power unit with the capacity of 1,075 MW to the general contractor, Polimex-Mostostal. The company will realise the investment together with Hitachi Power Europe. On 29 October the ground was symbolically broken on the construction site of the new power unit in the Kozienice power plant. Earlier five companies, including ENEA, concluded a contract on the exploration of shale gas. An agreement of the Polish companies - PGNiG, ENEA, KGHM Polska Miedz, PGE and TAURON Polska Energia - will enable acceleration of shale gas exploration works. Estimated outlays for the exploration, recognition and extraction of gas within the three first locations (Kochanowo, Częstkowo and Tępcz pads) will amount to PLN 1.72 bln. The first gas from the common project may flow already in 2016. On 18 October ENEA also signed a loan agreement with the European Investment Bank of the value of PLN 950 mln. The funds gained from the loan will be designated for the funding of the tasks of a multiannual investment plan: modernisation and extension of the power grids of ENEA Operator Sp. z o.o. located in the northwestern Poland. The funds which the Company has guaranteed so far, which is the Bond Issue Programme in the amount of PLN 4 bln (10 year tenor), loan agreement with EIB amounting to PLN 950 mln (15 year tenor) and soon with EBRD, and potentially another agreement with EIB, will allow for the funding of the investment programme in the amount of PLN 18 bln till 2022 relating to the distribution, RES and the power unit in Kozienice.