Unipro Publishes Audited IFRS Results for 2016

Unipro Group discloses the data of the audited consolidated financial statements prepared in accordance with the International Financial Reporting Standards (IFRS) for 2016.

Unipro Group’s total revenue for 2016 amounts RUB 78.0bn, which is +1.7 percent as compared with the previous year’s indicators despite the significant loss of payments for capacity under CSA (Capacity Supply Agreements) after 1 February 2016 by the third power unit of Berezovskaya GRES.

The increase in revenue for 2016 was caused by additional earnings from operation of Power Unit No. 4 of Surgutskaya GRES-2 which was undergoing repairs in the first half of 2015, and higher income of capacity payments under CSA mainly due to higher state bonds yield.

EBITDA decreased by 29 percent in 2016 as compared with 2015 and amounted to RUB 17.7bn. The underlying net income in 2016 was RUB 8.6bn. Earnings decline in 2016 as compared with the previous year was mostly caused by the reduction of the carrying amount of the Power Unit No. 3 of Berezovskaya GRES as a result of the accident at this power plant, as well as by subsequent cost of repairs.

Key figures of Unipro Group for 2016 according to IFRS (RUB ‘000):

Power Unit 3 of Berezovskaya GRES was removed out of service on 1 February 2016 for the purpose of repairs and will be fully reconstructed at the expense of the company. Unipro does not expect receipt of the payments for capacity by Power Unit No. 3 of Berezovskaya GRES under the CSA in 2018. In 2016, Unipro received the first insurance payments in the amount of about RUB 6bn, company expects receipt of the remaining part of the payments during 2017 (about RUB 20 bn).

* EBITDA is defined as Earnings Before Interest, Taxes, Depreciation, and Amortisation.

** EBIT is defined as Earnings Before Interest and Taxes adjusted for the depreciation amount.

*** Base net profit adjusted for the depreciation amount.