ENEA Group increased its EBITDA result and net profit

EBITDA grew by 5.3 per cent to PLN 1,658.6 mln, and net profit by 3.1% to PLN 715.4 mln. Good results for 2013 prove that the Group enhances its efficiency and improves key economic values despite difficult conditions on the energy market.

Thanks to the growth in profitability, the Group increased profits with lower sales revenues, which amounted to PLN 9,150.5 mln. It means that EBITDA margin yoy grew by 2.5 and net profitability by 0.9 percentage point. Growths would be even higher if the results of Q4 2013 were not charged with the impact of one-off events such as Programme of Voluntary Redundancy. Its cost charged the consolidated EBITDA results with the amount of PLN 98 mln.

"2013 for us was a period full of significant challenges connected with the market situation which was considerably affected by persistently low electricity prices. We proved that we are able to face them. We presented the corporate strategy for 2014-2020 and introduced a new corporate governance. We ordered the Group's structure and completed the process of Integration of the Generation Area. We are constantly working on enhancing the profitability of the Group's operations and optimum use of its resources." – emphasised Krzysztof Zamasz, President of the Board of ENEA S.A.

Segment of distribution and trade contributed the most to the growth in results of 2013. EBITDA result in the segment of trade amounted to PLN 251.2 mln, which means a growth by 13.8% relating to the previous year. This is the effect of a growth in the first contribution margin as a result of lower average purchase price by 6.2%. In the segment of distribution EBITDA result grew yoy by 11.6% to PLN 880.7 mln, e.g. thanks to a growth in tariffs for rendered services, which was accompanied by: positive change in the volumes of energy supplies and lower costs of energy purchases. Lower margin on the generation of electricity and co-firing of biomass caused that the segment of generation ended the previous year with a result of
PLN 559.4 mln.

"We demonstrated great resistance to difficult market conditions. We consistently realised the planed activities focused on the Group's development and enhancing its efficiency. Total capital expenditures in the previous year amounted to PLN 2.2 bln, i.e. by PLN 0.4 bln more than in 2012. The investment in Kozienice, which is key for us and for the whole energy sector, is in progress, which in 2013 consumed almost PLN 970 mln. Net debt/EBITDA ratio is still on a very favourable level, which at the end of December 2013 amounted to -0.6." - said Dalida Gepfert, Vice-President of the Board of ENEA S.A. for Financial Affairs.

Thanks to the planned investments till 2020 the Group wants to e.g. increase it generating capacity within electricity by 1,875 MWe (including: 1,075 MWe in the segment of system power plants, ca. 500 MWe from renewable energy sources, ca. 300 MWe in cogeneration sources) and within heat energy to 1,500 MWt. The strategy also anticipates a range of activities which will allow for increasing the Group's efficiency in all the four analysed perspectives: finance, Customer, intellectual capital and internal processes.