OREANDA-NEWS. OJSC Enel OGK-5 published its operating results and reviewed IFRS financial results for the first half of 2014.

Operating Results

Net power output in the first half of 2014 stood at 20,342 GWh, substantially in line (- 0.6% or 133 GWh) on the corresponding period in 2013. An increase in the output from Konakovskaya and Nevinnomysskaya, power plants, mainly attributable to lower hydro availability reported in European Russia in the second quarter of 2014, has almost entirely offset lower generation from Sredneuralskaya and Reftinskaya power plants. The lower output from these plants was caused by a higher amount of modernization and maintenance works carried out during the first half of 2014.

Power sales in the reporting period stood at 23,222 GWh, slightly above the level posted in the first half of 2013 (+0.2% or 49 GWh).

Heat sales stood at 3,421 thousand Gcal, down 9.0% versus the first half of the previous year due to warmer temperatures and modernization works at heat generating equipment at Sredneuralskaya. Financial Results Operating revenues totaled 36,046 million, up 3,390 million RUR or 10.4% compared with the first half of 2013, mainly thanks to higher prices registered on the free power market.

EBITDA in the first half of 2014 stood at 9,002 million RUR, 691 million RUR or 8.3% above the first half of 2013. Higher EBITDA stemmed primarily from better spreads on the day-ahead market thanks to favorable fuel price dynamics.

Net income for the period stood at 3,430 million RUR, posting an increase of 71.0% or 1,424 million RUR versus the first half of 2013. Apart from higher EBITDA, additional factors, which resulted in the strong increase of net income, included one-off bad debt provision booked in the first half of the previous year and year-on-year decline in interest expenses. Excluding the one-off item registered in the first half of 2013, net income grew by 18.3% in the first six months of 2014 on the corresponding period in 2013.

Net debt as of June 30th, 2014 stood at 19,617 million RUR, substantially in line with the level at the end of 2013 (+1.5% or 295 million RUR).