Ze Pak Sa · GPW:ZEP
Ze Pak Sa — Zespół Elektrowni Pątnów-Adamów-Konin — Q3 2016 Earnings Presentation
29 slides from Ze Pak Sa's earnings presentation, Nov 14, 2016
Slide 1: Zespół Elektrowni Pątnów-Adamów-Konin SA 3Q 2016 Results
14 November 2016 Zespół Elektrowni Pątnów-Adamów-Konin SA 3Q 2016 Results
Slide 2: ZE PAK Group – 9M 2016 Summary
ZE PAK Group – 9M 2016 Summary Key operational and financial data 9M 2016 Change y/y Sale of electricity(1): 10.36 TWh -6.41% • electricity from own production(1): 7.44 TWh +3.48% • electricity from resale(1): 2.92 TWh -24.74% ZE PAK share in whole electricity production in Poland(2): 6.99 % +3.86 p
Slide 3: ZE PAK Group – 3Q 2016 Summary
ZE PAK Group – 3Q 2016 Summary Key operational and financial data 3Q 2016 Change y/y Sale of electricity(1): 3.56 TWh -6.81% • electricity from own production(1): 2.49 TWh +4.18% • electricity from resale(1): 1.07 TWh -25.69% ZE PAK share in whole electricity production in Poland(2): 7.17 % 6.22 p.p
Slide 4: ZE PAK Group – 9M 2016 Summary
ZE PAK Group – 9M 2016 Summary [PLN million] Revenues EBITDA Net result ⬇ 8.91% 2255 473 ⬆ 39.94% 2054 352 258 ⬇ 26.70% 161 338 510 ⬇ 25.44% 684 ⬇ 43.31% 219 ⬆ 942.86% 284 312 1 286 ⬆ 5.50% 1 219 ⬆ 477.78% 54 21 9M 2016 9M 2015 9M 2016 9M 2015 9M 2016 9M 2015 Other D&A EBIT Electricity from resale E
Slide 5: Selected Electricity Market Data
SELECTED ELECTRICITY MARKET DATA 5
Slide 6: Electricity prices
Electricity prices Decrease of average weighted quarterly IRDN prices electricity price (Day ahead index on TGE) by 22.0 PLN, i.e. 12,8% in relation to 3Q 2015. 450 Lower range of volatility than in 3Q 2015. 350 Milder weather situation in 3Q 2016 compared PLN/MWh max to 3Q 2015 and smaller differen
Slide 7: CO2 emission allowances (EUA) and green certificates
CO2 emission allowances (EUA) and green certificates Prices of emission allowances (EUA) in 3Q 2016 9.00 significantly lower than in corresponding period of 8.00 8.08 EUA previous year. Arithmetic average for EUA quotations 8.47 in 3Q 2016 at the level of 4.55 EUR it is lower by 44% 7.00 than in 3Q
Slide 8: Operational Data
OPERATIONAL DATA 8
Slide 9: Net production and sale of electricity
Net production and sale of electricity [TWh] NET PRODUCTION(1) SALE(1) (1) Net production / sale does not include of investment production. Investment production in 9M 2016 was 0,04 TWh, including 3Q 2016 – 0,00 TWh 7.40 ⬆ 7.09% ⬇ 4.27% 10.78 6.91 10.32 (in comparable periods of 2015 investment prod
Slide 10: Lignite consumption and CO2 emission
Lignite consumption and CO2 emission [tonnes million] LIGNITE CONSUMPTION (1) CO2 EMISSION (1) (1) Lignite consumption and CO2 emission does not include consumption and emission during the period of investment production. Real lignite consumption in 9M 2016 was 9.83 ⬆ 2.93% 9.55 9.03 ⬆ 4.63% 8.63 hi
Slide 11: Sale of electricity breakdown
Sale of electricity breakdown by customers (internal ring) and by the market type (external ring) 9M 2016 9M 2015 Balancing Balancing market market 5.5% 6.2% Top 5 Top 5 customers Bilateral customers Bilateral 33.2% contracts 39.4% contracts 45.5% 44.0% Other Other 66.8% 60.6% Polish Polish power po
Slide 12: Electricity sales
Electricity sales Electricity sales(1) Average sale prices(2) Revenues [TWh] [PLN/MWh] [PLN million] 9M 2016 10.32 ⬇ 4.27% 9M 2016 174.02 ⬇ 1.43% 9M 2016 1 796 ⬇ 5.62% 9M 2015 10.78 9M 2015 176.55 9M 2015 1 903 3Q 2016 3.56 ⬇ 0.56% 3Q 2016 172.19 ⬇ 3.40% 3Q 2016 612 ⬇ 4.23% 3Q 2015 3.58 3Q 2015 178.
Slide 13: Capex on fixed assets and intangible assets
Capex on fixed assets and intangible assets (excluding CO2) CAPEX [PLN million] EXPENDITURES [PLN million] ⬇ 87.46% ⬇ 87.07% ⬇ 67.08% ⬇ 73.44% 343 316 116 104 64 43 15 17 9M 2016 9M 2015 3Q 2016 3Q 2015 9M 2016 9M 2015 3Q 2016 3Q 2015 13
Slide 14: Financial Data
FINANCIAL DATA 14
Slide 15: Revenues
Revenues [PLN million] Reasons for changes in key positions: 1 286 9M 2016 1 219 Lower total revenues from sales of 9M 2015 electricity: • lower sales volume in trading • lower price. 684 Lower revenues from property rights: 510 • decline in market prices of green certificates, • sale of green certi
Slide 16: Costs by type
Costs by type [PLN million] Reasons for changes in key positions: 9M 2016 Lower costs of materials and lower costs of external 675 9M 2015 services: • smaller range of construction works of the 517 renovation companies, • improving efficiency of current operations, 428 379 • lower prices of purchase
Slide 17: EBITDA 9M 2016
EBITDA 9M 2016 [PLN million] 9M 2016 9M 2015 (1) EBITDA higher by PLN 135 million (+39.94%) -> after bringing to comparability Sales revenue 2 054 2 255 higher by PLN 155 million (+44.41%) comparable EBITDA for 9M 2015 amounted to PLN 349 million -> value of PLN 338 million is Change % (8.91)% the r
Slide 18: EBITDA 9M 2016 by segments
EBITDA 9M 2016 by segments [PLN million] EBIT -> EBITDA EBITDA BRIDGE EBITDA <- EBIT + 91 + 105 + 161 + 284 + 11 - 31 - 10 - 31 504 473 473 338 338 349 312 EBITDA INCREASE EBITDA DECREASE 54 EBIT 9M 2015 one-offs SALE one-offs EBIT 6M 2016 MINING D&A EBITDA 9M 2015 EBITDA 6M 2015 EBITDA 6M 2015 GENE
Slide 19: Consolidated P&L for 9M 2016 by segments
Consolidated P&L for 9M 2016 by segments Consolidation [PLN million] Generation Mining Renovation Sale Other adjustments Total Sale revenues from 1 337 6 48 656 6 - 2 054 external customers External sale revenues % 80.45% 0.90% 21.82% 100.00% 7.89% 0.00% 100.00% Sale revenues between 324 657 172 - 7
Slide 20: EBITDA 3Q 2016
EBITDA 3Q 2016 [PLN million] 3Q 2016 3Q 2015 (1) EBITDA higher by PLN 30 million (+26.32%) -> after bringing to comparability Sales revenue 686 747 higher by PLN 59 million (+62.77%) comparable EBITDA for 3Q 2015 amounted to PLN 94 million -> value of PLN 114 million is the Change % (8.17)% result o
Slide 21: EBITDA 3Q 2016 by segments
EBITDA 3Q 2016 by segments [PLN million] EBIT -> EBITDA EBITDA BRIDGE EBITDA <- EBIT + 27 + 50 +1 + 51 + 94 - 14 -1 -4 -9 - 20 153 144 144 114 114 94 93 EBITDA INCREASE EBITDA DECREASE 20 one-offs SALE one-offs EBITDA 3Q 2015 EBITDA 3Q 2015 EBITDA 3Q 2015 MINING EBITDA 3Q 2016 EBITDA 3Q 2016 D&A GEN
Slide 22: Consolidated P&L for 3Q 2016 by segments
Consolidated P&L for 3Q 2016 by segments Consolidation [PLN million] Generation Mining Renovation Sale Other adjustments Total Sale revenues from 445 1 20 218 2 - 686 external customers External sale revenues % 80.62% 0.46% 25.64% 100.00% 8.00% 0.00% 100.00% Sale revenues between 107 214 58 - 23 -40
Slide 23: Financial activities, taxation and net profit
Financial activities, taxation and net profit [PLN million] 9M 2016 9M 2015 3Q 2016 3Q 2015 (1) Financial income for 9M 2015 higher because of exchange EBIT 312 54 93 20 gains (+4). Financial income(1) 6 8 1 (4) (2) Financial costs for 9M 2016 higher mainly because of higher interest and fees (+21)
Slide 24: Employment
Employment [full time] BY SEGMENTS TOTAL 3 000 6 760 6 928 6 220 2 000 1 000 - Generation Mining Renovation Other 30-09-2016 31-12-2015 30-09-2015 30-09-2016 31-12-2015 30-09-2015 Group’s employment decrease comes mainly from pension rights acquisitions of employees and finishing of fixed-term contr
Slide 25: Financial indebtedness
Financial indebtedness Net debt [PLN million] Net debt / EBITDA 30 September 2016 31 December 2015 30 September 2015 30 September 2016 0.87 31 December 2015 1.77 1337 1306 30 September 2015 2.20 1084 1 002 876 (1) Cash and cash equivalents from consolidated statement of financial position and other
Slide 26: Financial indebtedness structure
Financial indebtedness structure 500 Indebtedness to pay in following years 400 PLN million 300 200 100 0 2016 2017 2018 2019 2020 Decrease of indebtedness in third quarter of 2016 by PLN 124 million (including PLN 11 million from exchange gains). Indebtedness structure Indebtedness structure Indebt
Slide 27: Consolidated cash flow
Consolidated cash flow [PLN million] 9M 2016 9M 2015 3Q 2016 3Q 2015 (1) Lower depreciation and amortization in Gross profit (loss) 262 26 84 7 2016 is the result of made the impairment depreciation and amortization(1) 152 274 48 91 loss of fixed assets at the end of 2015. . profit/loss on investing
Slide 28: Questions & Answers
Questions & Answers 28
Slide 29: Disclaimer
Disclaimer This presentation serves for information purposes only and should not be treated as investment-related advice. This presentation has been prepared by Zespół Elektrowni Pątnów – Adamów – Konin SA (“the Company”). Neither the Company nor any of its subsidiaries shall be held accountable for
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