En+ Group boosts IFRS net profit 44.6% YoY to $957 mln in H1 2024

MOSCOW. Aug 29 (Interfax) - En+ Group boosted net profit to International Financial Reporting Standards 44.6% year-on-year to $957 million in H1 2024, the aluminum and electricity producer said in a financial statement.

Adjusted EBITDA jumped 43.8% to $1.5 billion in the reporting period.

Revenue declined 3.6% to $7 billion primarily owing to a decrease of 2.2% in the average weighted selling price of aluminum per tonne.

The overall cost of sales decreased 13.7% to $4.9 billion. En+ has attributed the key factors to the reduction in the cost of sales to the decline in the cost of raw materials and other costs between periods, as well as the downturn in the average transportation tariffs.

"The pressure from sanctions, growth in the exchange rate, and restrictions on the supply and trade of aluminum abroad have caused a downturn in a number of financial indicators," company CEO Vladimir Kolmogorov said in the financial statement.

An increase in the cost of equipment and delivery times, as well as a shortage in personnel in most sectors of the economy, also substantially affected En+'s operations, according to the report.

Capex rose to $686 million in the first half of 2024 from $583 million the previous year.

Net debt increased 4.7% to $9.1 billion in January-June 2024.

Electricity production at En+ power plants rose 17% to 46.2 billion kWh in the first half of the year. Hydroelectric power generation increased 24.1% to 37.1 billion kWh. Lower electricity prices partially offset the rise in electricity sales, the company said.

Thermal energy output decreased 3.2% to 14.9 million Gcal.