Slide 1: RusHydro Group 9M 2020 IFRS results & market update
RusHydro Group 9M 2020 IFRS results & market update November 26, 2020
Slide 2: Disclaimer
Disclaimer The following applies to this presentation (“Presentation”), and you are therefore advised to read this important notice carefully before reading, accessing or making any other use of this Presentation. This Presentation and the information contained herein are strictly confidential to th
Slide 3: Agenda
I. Key highlights & operating results II. Market overview III. Financial Results IV. Update 3
Slide 4: Key figures & highlights of 9M 2020
Key figures & highlights of 9M 2020 Historic financial results following record electricity output, commissioning of new capacities, increase in electricity consumption in the Far East and effective management 112.7 311.2 90.5 29.1% 117.7 60.5 111.5 0.95x TWh RUB bn RUB bn EBITDA margin RUB bn RUB b
Slide 5: 9M 2020 operating results
9M 2020 operating results Record performance, no volume risks foreseen • Highest results in the company’s history for the comparable period • Solid 3Q performance with inflows above the normal level • No volume risks foreseen in 4Q (please see slide 14) • Strong October’ 20 (please see slide 6) 99
Slide 6: Stable production expected in 4Q'20
Hydropower production trends 2017-2020 Stable production expected in 4Q’20 All-time high 9M operating results following increase of water inflows: 4Q’20 outlook: • Volga-Kama cascade, Far East and Siberia – above the normal level • October production above LY level in Siberia and the Far East an
Slide 7: Market overview
I. Key highlights & operating results II. Market overview III. Financial Results IV. Update 7
Slide 8: Market overview: Stable pricing environment
Market overview Stable pricing environment Spot market price dynamics: 2019: 1st price zone – 1,298 RUB/MWh (+1.0% y-o-y), 2nd price zone – 774 RUB/MWh (-6.3% y-o-y) 9M 2020: 1st price zone – 1,198 RUB/MWh (-10.2% y-o-y; -7.7% vs. 2019), 2nd price zone - 840 RUB/MWh (+9.2% y-o-y; +8.5% vs. 201
Slide 9: Financial Results
I. Key highlights & operating results II. Market overview III. Financial Results IV. Update 9
Slide 10: 3Q and 9M 2020 Revenue
3Q and 9M 2020 Revenue Increase of water inflows and diversified asset base Key highlights of 3Q and 9M 2020 3Q and 9M Revenue dynamics Revenue in 3Q’20 and 9M’20 increased by 6.5% and 8.2% to +8.2% RUB 93.2 and RUB 311.2 bn, respectively, following hydropower production growth on the back of incr
Slide 11: 3Q and 9M 2020 EBITDA and profitability
3Q and 9M 2020 EBITDA and profitability Solid hydropower performance, improvement in Far East Key highlights of 3Q and 9M 3Q and 9M EBITDA & EBITDA margin dynamics EBITDA increased by 16.5% and 28.6% in 3Q and 9m reaching RUB 22.9 bn and RUB 90.5 bn, respectively with EBITDA +28.6% margins of 24.6
Slide 12: Update
I. Key highlights & operating results II. Market overview III. Financial Results IV. Update 12
Slide 13: Debt profile
Debt profile (1) Solid financial position. Ruble-denominated debt Key highlights Debt repayment profile (3) (RUB bn) Total financial debt as of October 31, 2020: RUB 219.7 bn Total debt is 100% ruble-denominated Low leverage with a Net Financial Debt / EBITDA at 0.95х (2) Average RUB interes
Slide 14: 2020 outlook and key drivers of financial performance
2020 outlook and key drivers of financial performance 1 • RusHydro maintains solid operational outlook through 4Q’2020 Operations • Increase in production following launch of Nizhne-Bureyskaya HPP, Zaramagaskaya HPP-1 and Sakhalinskaya GRES-2 2 Financial • Following commissioning of new generating f
Slide 15: Appendix
Appendix 15
Slide 16: Market overview: RAO ES East tariff regulation
Market overview: RAO ES East tariff regulation Improvement of financial shape In 2020 average growth of electricity and heat tariffs in the Far Eastern Federal District amounted to 5.1% and 3.9% respectively Approved electricity tariff dynamics for key operating companies 1 Approved heat tariff dyna
Slide 17: Capex: investment plan 2020-2025
Capex: investment plan 2020-2025 Well-balance in terms of financing sources On March 26, 2020 the Board of Directors approved RusHydro’s new investment program for RUB 632 bn2. Key differences vs. prior investment program • Term of the program - 6 years vs. 5 years for the prior investment program •
Slide 18: Dividends: New policy ensures guaranteed payout
Dividends New policy ensures guaranteed payout Key highlights To improve predictability and consistency of forecasting dividend payments Board of Directors approved an amended 3- year dividend policy setting a minimum dividend threshold at average dividend paid over the previous three years: Divmi
Slide 19: Modernization of thermal capacities
Modernization of thermal capacities. 4 projects approved with guaranteed return on investment In July 2019 the Government approved all 4 projects submitted by RusHydro for modernization Characteristics Approved projects for modernization Long-term plan for capacity renewal and Yakutskaya GRES-1 de
Slide 20: Selected consolidated financial information
Selected consolidated financial information Consolidated income statement 9 months ended 30 September Consolidated statement of financial position As at 30.09.2020 As at 31.12.2019 RUB mn 2020 2019 RUB mn Revenue 276,767 258,284 ASSETS Government grants 34,466 29,336 Non-current assets Other operati
Slide 21: Thank you for your attention
Thank you for your attention IR contact details tel.: +7 (495) 122 05 05 ext. 1304 ir@rushydro.ru 21