News
ZE PAK SA Group published financial results for 1Q 2017
Financial results affected by lower revenues due to lower volume of electricity from own production and higher cost of CO2 emission allowances purchase.
- In the first quarter of 2017, the ZE PAK Group in total sold 2.84 TWh of electricity (a decrease by 15.98% compared with the first quarter of 2016), including: 2.2 TWh of electricity from own generation (-11.29% y/y) and 0.64 TWh of electricity from the market (-28.89% y/y).
- Consolidated sales revenues amounted to nearly PLN 600 million (a decrease by 11.76% compared with the first quarter of 2016).
- The Group’s EBITDA for the first quarter of 2017 amounted to PLN 125 million (-28.57% y/y), giving an EBITDA margin of 20.83%.
- In the first quarter of 2017, the Group recorded a net profit of PLN 56 million, which means a decrease by 25.33% compared with the first quarter of 2016.
- The total capex implemented by the Group’s companies in the first quarter of 2017 amounted to PLN 13 million which is comparable amount to the first quarter of 2016.
Lower volume of generation and trade of electricity as a reason for lower sale revenues in first quarter of 2017. Decrease in generation mainly in Adamów power plant, which is in last full year of operation. In previous quarter we also had no generation from biomass unit in Konin power plant. Current market condition do not encourage to maximise generation, especially generation which is supported by green certificates system. In previous quarter there was increase of CO2 emission allowances purchase costs as a result of higher price in transactions made yet in previous year. Other costs related directly to the level of production, as well as some of the others, fell. We try to optimise structure of our activity and search our chance in cost flexibility, continuing efficiency improvement program and adjusting to lower volume of generation. Currently ZE PAK SA Group does not conduct any big investment projects and that is why the capex is at relatively low level. We concentrate at maintaining currently possessed assets. We also gradually reduce the level of our debt "- Adam Kłapszta, President of the Management Board of ZE PAK SA.