RusHydro announces 2020 IFRS results
March 2, 2021. Moscow, Russia. RusHydro Group (hereinafter referred to as the “Group”, ticker symbol: MOEX, LSE: HYDR; OTCQX: RSHYY) announces its audited consolidated financial statements for the year ended December 31, 2020, prepared in accordance with International Financial Reporting Standards (IFRS). Historic financial results following record electricity output, commissioning of new capacities, increase in electricity consumption in the Far East and management’s focus on operational efficiency.
Key highlights for 2020:
Key highlights for 4Q of 2020:
4Q and 2020/2019 highlights (in RUB mn)
In 2020, electricity generation by RusHydro Group amounted to 130,987 GWh (+8.2%), including Boguchanskaya hydropower plant5 – 148,625 GWh (+8.4%).
Main factors affecting production growth were water inflows to main reservoirs of the hydropower plants above the normal level; increase of electricity consumption in the Far Eastern Federal District by 1.1% and commissioning of new capacities and modernization of existing facilities.
In 2020, installed capacity of RusHydo Group’s coal-fired thermal power plants’ decreased by 27% contributing to improvement of the Group’s ESG profile.
Detailed review of operational results is available at the Company’s official website at:
Key events since January 2020
Revenue breakdown in 4Q and 2020/2019 (in RUB mn)
In 2020, total revenue of the Group increased by 5.6% to RUB 429,593 mn as compared to 2019. The change is associated with the following key factors:
Operating expenses in 4Q and 2020/2019 (in RUB mn)
Total operating expenses in 2020 as compared to the same period last year increased by 1.0% to RUB 339,990 mn due to the following factors:
In 2020, the Group’s net profit increased 70-fold to RUB 46,607 mn.
In the same period, EBITDA increased by 23.3% to an all-time high level of RUB 120,268 mn.
Key indicators of financial position
As of December 31, 2020, the Group's assets increased by RUB 16,916 mn or 1.8% to RUB 942,035 mn against December 31, 2019 following increase in property, plant & equipment (implementation of the Group’s investment program) and working capital.
As at the end of the reporting period, the Group's liabilities decreased by RUB 22,149 mn or 6.2% to RUB 333,095 mn as compared to December 31, 2019 following decrease in accounts payable and value of non-deliverable forward contract.
Events after the reporting date
The full financial statements are available on the Company’s website at: http://www.eng.rushydro.ru/investors/reports
1 Includes employee benefit expenses, fuel expenses, third parties expenses, other materials and other costs.
2 Total net debt at the end of reporting period is calculated as the difference between financial debt and cash & cash equivalents (including bank deposits maturing in one year). Financial debt includes current debt, non-current debt (excluding interest payable), non-deliverable forward contract and cross-currency and interest rate swap.
3 Operating profit is calculated as the difference between revenue, other operating profit and operating expenses.
4 EBITDA is calculated as operating profit/loss excluding depreciation of property, plant and equipment, amortization of intangible assets, impairment of property, plant and equipment, impairment of financial assets, profit / loss on disposal of property, plant and equipment and other non-cash items of operating income and expenses.
4 The Boguchanskaya hydropower plant is part of the Boguchanskiy Energy and Metals Complex (BEMO), a joint venture (JV) between RusHydro and UC RUSAL, and is not part of RusHydro Group. According to RusHydro’s shareholding in the JV (50%), the results of the plant are reported in the official financial statements in “Share of results of associates and jointly controlled entities”. Operations of the HPP have been put into the press-release for general reference
5 Excluding JSC MEK and Primorskaya GRES. The Boguchanskaya hydropower plant is part of the Boguchanskiy Energy and Metals Complex (BEMO), a joint venture (JV) between RusHydro and UC RUSAL, and is not part of RusHydro Group. According to RusHydro’s shareholding in the JV (50%), the results of the plant are reported in the official financial statements in “Share of results of associates and jointly controlled entities”. Operations of the HPP have been put into the press-release for general reference
6 In July 2017, the Resolution of the Russian Government No. 895 “On reaching basic rates (tariffs) for electric power (capacity) in the territories of the Far East Federal region (the “Far East”)” became effective, under which rates for consumers in the territories of the Far East should be reduced starting from 1 January 2017 to the basic level of RUB 4.00 / kWh, from 1 January 2018 to RUB 4.30 / kWh, from 1 January 2019 to RUB 4.69 / kWh, from 1 January 2020 to RUB 5 / kWh. According to the Resolution of the Russian Government No. 1614-r of 28 July 2017, PJSC RusHydro was appointed as the recipient of a premium to the price for capacity provided by the Company in the price zones of the wholesale market under CCS agreements. The premium to the price for capacity is set in order to achieve the basic level of rates (tariffs) for electricity (capacity) planned for the next regulation period in the Far East constituent regions. Within the amounts defined by Resolution No. 1615-r of the Russian Government dated 28 July 2017, the Company translates the collected amounts of margin in the form of free-of-charge targeted contributions to the budgets of the respective regions. The Group companies being guaranteeing suppliers will receive compensation for the shortage of income related to the reduction of rates, through subsidies from the Far East constituent regions
7 includes grid company services and technical connections to grids
Shares / ADR