Current Report No: 28/2018
Current Report No: 28/2018
Date of preparation: 8 May 2018
Short name of issuer: ENEA S.A.
Subject: Information on preliminary financial results for Q1 2018
Legal basis: Article 17 item 1 of MAR - confidential information
Content of report:
In relation to the information obtained by the Management Board of ENEA S.A. ("Company") on 8 May 2018 concerning preliminary financial and operating results of ENEA Capital Group for Q1 2018, the Company hereby makes public the preliminary results, which are presented hereinbelow.
Consolidated financial results of ENEA Capital Group for Q1 2018:
-Net sales revenue: PLN 2,989 million,
-EBITDA: PLN 702 million,
-EBIT: PLN 339 million,
-Net profit: PLN 254 million,
-Net profit attributable to shareholders of the Parent: PLN 240 million.
EBITDA in individual areas of operations:
-Trading: PLN 53 million,
-Distribution: PLN 297 million,
-Generation: PLN 227 million,
-Mining: PLN 123 million.
Selected operating data:
-Net coal production: 2.1 million tonnes,
-Total generation of electricity: 6.335 TWh
-Sales of distribution services to end users: 5.182 TWh,
-Sales of electricity and gaseous fuel to retail customers: 5.597 TWh.
The preliminary EBITDA of ENEA Capital Group in Q1 2018 was affected by the following:
-Trading Area - the increase in sales volume to end users, higher costs of ecological obligations, a lower provision than in the corresponding period of 2017 recognised in connection with termination of long-term agreements for the purchase of green certificates;
-Distribution Area - a higher sales volume of distribution services and a higher result on other operating activities mainly due to compensations received;
-Generation Area - remains under the influence of two groups of factors which have impact on total generation of electricity: 1) increased generation capacity - the commissioning of Unit No. 11 at Kozienice Power Plant, 2) prolonged modernisation of Unit No. 10 at Kozienice Power Plant related to the adaptation of Unit No. 10 to BAT conclusions and stoppage of the green unit at Połaniec Power Plant due to planned maintenance overhaul;
-Mining Area - lower net coal production in Q1 2018 due to significant geological and hydrological constraints, as well as an amicable resolution of the legal dispute with the consortium of Mostostal Warszawa and Acciona Infraestructuras.
Moreover, in relation to Current Report No. 19/2018 of 13 April 2018 concerning impact assessment of the preliminary financial results generated in the Mining area on the financial statement of ENEA Capital Group, the Company hereby informs that said results will have an insignificant impact on the Q1 2018 consolidated results as compared to the result generated in the corresponding period of the previous year.
Non-consolidated financial results of ENEA S.A. for Q1 2018:
-Net sales revenue: PLN 1,173 million,
-EBITDA: PLN 33 million,
-EBIT: PLN 32 million,
-Net profit: PLN 44 million.
The preliminary non-consolidated net financial result generated by ENEA S.A. in Q1 2018 was mostly affected by factors connected with energy trading, such as a higher volume of sales to end users, higher costs of ecological obligations and a lower provision recognised in connection with termination of long-term agreements for the purchase of "green certificates" as compared to the corresponding period of the previous year.
At the same time, the Issuer hereby informs that, as a result of IFRS 15 implementation, revenues from contracts, for which Companies belonging to ENEA Capital Group serve as agents, are recognised in net values, which significantly reduces the relevant revenue and cost items, but do not affect the operating results of the individual Companies.
The final financial results will be published in the extended consolidated quarterly report of ENEA Capital Group for Q1 2018, which is scheduled to be released on 24 May 2018.
