OREANDA-NEWS. May 15, 2015. PJSC Mostotrest (hereinafter, Mostotrest, the Company or the Group) held its Annual General Shareholders' Meeting.

The meeting approved Mostotrest 2014 annual report and annual financial statements, adopted the decision on dividend payment, elected the Board of Directors and the Audit Commission, approved IFRS and RAS auditors, and discussed the procedure for approval of related party transactions with Mostotrest subsidiaries.

On Approval of the Annual Report and Annual Financial Statements, and on Dividend for 2014

The General Shareholders Meeting approved Mostotrest annual report and annual financial statements in accordance with Russian Accounting Standards (RAS). 2014 revenue under RAS increased by 41% year-on-year, to RUB119.2 billion.

In accordance with the dividend policy of the Group, dividend amounts are calculated based on IFRS financials. Revenue of the Group, including Mostotrest and subsidiaries, totaled RUB150.5 billion, a 29% increase year-on-year. Compared to the previous year, net profit of the Group grew 2.7x to RUB6.1 billion. Based on the Board recommendation, the General Shareholders Meeting decided to allocate RUB2.0 billion for dividend payment. Total dividend based on 2014 results will amount to RUB2,000,907 thousand or RUB7.09 per ordinary share. Record date for persons entitled to receive dividends: 25 May 2015.

In 2014, Mostotrest commissioned a total of 25 projects. Key commissioned projects include Kurortny Avenue Relief Road in Sochi (Stages 2 and 3); km 258 – km 334 segment (Vyshniy Volochek Bypass) of M-11 "Moscow – Saint Petersburg" Highway; Ust-Luga Commercial Seaport Access Road (km 16 – km 40 segment of M-11 "Narva" Highway, Stages 1, 2 and 3) in the Leningrad region; a bridge over the Don river at km 1,061 (left side) of M-4 "Don" Highway.

On Election of the Board of Directors

The General Shareholders Meeting has elected the following Mostotrest Board of 11 directors: Leonid Dobrovsky, Irina Egorova, Vadim Korsakov, Georgy Koryashkin, Irina Makanova, Yuri Novozhilov, Alexander Shevchyuk, Oleg Toni, Vladimir Vlasov, Alexander Arthur John Williams, Maria Zhurba.

On Approval of Auditors and the Company’s Audit Commission

The General Shareholders' Meeting has appointed GROSS AUDIT as the Company's auditors under RAS.

The General Shareholders' Meeting has appointed KPMG as the Company's auditors under IFRS.

The General Shareholders' Meeting has elected the Company's Audit Commission as follows: Vladimir Monastyrev, Gayane Nazaryan, Anna Nesterenko and Dmitry Frolov.

On the Procedure for Approval of Related Party Transactions with Mostotrest Subsidiaries

The General Shareholders' Meeting has established conditions for transaction participants, subject and maximum total amount, under which a transaction with participation of Mostotrest subsidiaries becomes subject to approval.

Mostotrest Chairman of the Board Georgy Koryashkin comments on the results:

“A challenging year for the broader industry, 2014 was successful and effective for Mostotrest. The Company's selective approach to participation in new projects, presence in various segments of the infrastructure construction market, reputation as a reliable borrower, vast production expertise and professionalism of staff deliver strong revenue growth, profitability and liquidity.

Mostotrest maintained its 2014 backlog at the previous year's level and increased capex to RUB6.1 billion, used primarily for production and technical base development. In 2014, the Company commissioned 25 projects with a total length of built, upgraded and repaired roads and bridges of approximately 30 km. Our strong advantage last year was early commissioning of a number of major projects ahead of contracted deadlines, which created conditions for a more efficient use of disengaged resources and minimized the risk of actual inflation rate exceeding that embedded in contracts.

In addition to strong revenue growth, the Group posted solid financial results, including net profit, which was up 2.7x year-on-year, to RUB6.1 billion. This allowed the Company to pay its shareholders a total dividend of RUB2 billion or more than 33% of IFRS consolidated net profit.”