Unaudited Consolidated Financial Performance Indicators of
DTEK Energy for six months of 2017
Key financial performance indicators for the reporting period:
Revenues – UAH 67,831 mln
Net loss – UAH 1,003 mln
Capital Expenditures – UAH 3,570 mln
Tax paid – UAH 8,244 mln
Kyiv, 15 September 2017
DTEK Energy disclosed unaudited consolidated financial statements for six months of 2017, which ended on 30 June 2017.
“Energy security of any country is based on own energy resources and production. One third of the Ukrainian electricity generation is coal-based. In the current environment, the key objective of thermal power generation is the preservation of the larger share of Ukrainian coal in the fuel mix of power stations,” underlined the CEO of DTEK Energy Dmitriy Sakharuk. “The company focuses on investment projects aimed at increasing the production of gas coal and the transfer of thermal power plants from anthracite coal to this coal grade. During the first half-year, CAPEX have already increased by 64% up to UAH 3.6 bln. In general, DTEK Energy plans to invest more than UAH 8 bln in the production in 2017.”
The net loss of DTEK Energy for six months of 2017 was UAH 1 bln.
In January-June 2017, the company paid UAH 8.2 bln to central and local budgets.
The production cost increased in absolute terms by 8% (UAH 4.4 bln) as compared to the performance during six months of 2016. Such results are attributed both to the increase in production volumes and the growth of expenses due to the rise in prices of technological fuel, equipment, and materials, as well as increase of transportation and logistics expenses.
In six months of 2017, the company’s capital investments grew by 64% (UAH 1,394 mln) YOY. The company invests in the development of gas coal grades, which includes the stimulation of production and increase of the use in thermal production, which will allow reducing a need for imported coal resources in the future. In 2017, the company plans to convert two generating units of DTEK Prydniprovska TPP to use gas coal grades instead of anthracite.
DTEK Energy continued operating in the conditions of substantial debt owed to it by Energorynok for electricity supplied by the company’s thermal power plants. As of 30 June 2017, the aggregate indebtedness increased by 10.2% since the beginning of the year, reaching UAH 7.4 bln.
1) The semi-annual Financial Report of DTEK ENERGY B.V. has been submitted to the National Storage Mechanism and available for inspection at: www.Hemscott.com/nsm.do
2) The Financial report was also sent to FCA
DTEK is a strategic holding company that develops business streams in the energy sector. DTEK’s companies employ 75 thousand people. Maxim Timchenko is the Chief Executive Officer of DTEK.
DTEK companies produce coal and natural gas, generate electricity at the thermal power plants and renewable energy power plants, supply heating and electricity to end consumers, and provide energy services. Three operating companies—DTEK Energy, DTEK Renewables and DTEK Oil&Gas—directly manage production companies in each of the business streams.
DTEK’s production indicators for 2016: the company produced 31.3 mln tonnes of coal, 1.6 bcm of natural gas, generated (supplied) 40.1 bln kWh of electricity, 608.4 mln kWh of which came from the Botievo Wind Farm; and transmitted 45.8 bln kWh of electricity via the networks.
DTEK is part of the financial and industrial group System Capital Management (SCM). The shareholder of the group is Rinat Akhmetov.
For more information, visit: www.dtek.com
To learn about social partnership projects being implemented in the cities of DTEK activity and to get a detailed report on the status of their implementation, please visit www.spp-dtek.com.ua
For more information, please contact:
Tel: +38 (044) 581 45 22
This press release may contain forward-looking statements related to the planned measures or future financial indicators of DTEK ENERGY. Words such as ‘anticipate’, ‘believe’, ‘estimate’, ‘expect’, ‘forecast’, ‘intend’, ‘may’, ‘plan’, ‘project’, ‘predict’, ‘should’ and ‘will’ or the negatives of these terms or variations of them and similar expressions are intended to identify such forward-looking statements. Accordingly, actual results may differ materially from those expressed or implied by the forward-looking statements. We undertake no obligation and do not intend to update these forward-looking statements to reflect events or circumstances occurring after this press release. You are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this press release. By their nature, forward-looking statements are subject to numerous assumptions, risks and uncertainties. Such risks include concerns over the general economic status, environment and risks associated with doing business in Ukraine, significant technological and environmental changes in our sector, as well as many other risks specifically applicable to DTEK ENERGY and its business.