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DGAP-News: EVN AG
/ Key word(s): Quarter Results
Highlights - Solid business development in the first quarter of 2019/20; 40.3% increase in Group net result due to lower effects from the valuation of hedges - Share of renewable electricity generation rose to 49.7% - Earnings development in Networks Segment negatively affected by lower tariffs as expected - Medium-term investment programme (approximately EUR 400m per year) in progress as planned with focus on network infrastructure, renewable generation, natural heat and drinking water supplies in Lower Austria - Order received for a wastewater treatment project (wastewater treatment plant and sewage network infrastructure including pumping stations) in Kuwait in January 2020 Key results - Revenue: -3.3% to EUR 576.2m - EBITDA: +16.8% to EUR 190.6m - EBIT: +21.9% to EUR 118.8m - Group net result: +40.3% to EUR 82.9m - Net debt: EUR 1,127.4m (30 September 2019: EUR 999.5m) Energy sector environment EBITDA, EBIT and Group net result above previous year The reduction in thermal generation was also reflected in lower primary energy expenses. Consequently, the cost of electricity purchases from third parties and primary energy expenses fell by 12.9% to EUR 263.1m - whereby the prior year increase was influenced by the valuation of hedges. A positive effect was also provided by the decline in natural gas procurement costs, which resulted chiefly from lower wholesale prices and purchased volumes. The cost of materials and services rose by 6.9% to EUR 65.8m in line with developments in the international project business. The share of results from equity accounted investees with operational nature rose to EUR 29.1m in the first quarter of 2019/20 (previous year: EUR 6.5m). This increase resulted primarily from a positive non-recurring effect at RAG and a substantial improvement in earnings at EVN KG. However, it should be noted that the previous year was adversely affected by higher wholesale procurement prices and negative valuation effects from hedges. These developments were responsible for an increase of 16.8% in EBITDA to EUR 190.6m. Scheduled depreciation and amortisation rose by 9.2% to EUR 71.6m due to higher investments, the capitalisation of rights of use following the initial application of IFRS 16 and an increase in the carrying amount of property, plant and equipment based on revaluations as of 30 September 2019. EBIT amounted to EUR 118.8m in the first quarter of 2019/20 (previous year: EUR 97.4m). Financial results improved to EUR -10.7m (previous year: EUR -15.5m). Group net result for the period totalled EUR 82.9m, which represents a year-on-year increase of 40.3%. Solid balance sheet structure Medium-term investment plan Developments in the energy and environmental services business Electricity generation from thermal power plants was cut by nearly half following the termination of electricity generation from hard coal in Dürnrohr at the beginning of August 2019. In addition, the use of the Theiss thermal power plant for network stabilisation was lower than the previous year. Environmental and water business WTE Wassertechnik, the subsidiary responsible for the international project business, was working on eight general contractor assignments as of 31 December 2019: in Lithuania, Poland, Romania, Croatia and Bahrain. In January 2020 the consortium comprising WTE Wassertechnik and a Kuwaiti financial investor (each with a stake of 50%) were awarded the contract for construction of the Umm Al Hayman wastewater treatment project in Kuwait. WTE Wassertechnik will serve as the general contractor, above all, for the planning and construction of a wastewater treatment plant (contract value (converted): approximately EUR 600m) and - together with partners - for a sewage network with pumping stations (contract value (converted): approximately EUR 950m). Confirmation of outlook for the 2019/20 financial year The Letter to Shareholders on the first quarter of the 2019/20 financial year is available under
27.02.2020 Dissemination of a Corporate News, transmitted by DGAP - a service of EQS Group AG. |
| Language: | English |
| Company: | EVN AG |
| EVN Platz | |
| 2344 Maria Enzersdorf | |
| Austria | |
| Phone: | 294 |
| E-mail: | |
| Internet: | |
| ISIN: | AT0000741053 |
| WKN: | 074105 |
| Indices: | ATX |
| Listed: | Foreign Exchange(s) Vienna Stock Exchange (Official Market) |
| EQS News ID: | 983939 |
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| End of News | DGAP News Service |
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983939Â Â 27.02.2020Â
