PJSC Polyus boosts IFRS EBITDA 30.5%, net profit 27.7% in 9M
MOSCOW. Nov 8 (Interfax) - The adjusted earnings before interest, taxes, depreciation and amortization (EBITDA) of PJSC Polyus for the 9M 2016 amounted to 77.172 billion rubles, the golf miner said in a report to International Financial Reporting Standards (IFRS).
This is 30.5% higher than the result of 9M 2015.
Revenue rose 23% to 121.189 billion rubles.
Net profit amounted to 60.382 billion rubles, up 27.7% year-on-year.
PJSC Polyus financial highlights to IFRS (bln rubles):
| Q3 2016 | Q3 2015 | Change | 9M 2016 | 9M 2015 | Change | |
| Sales revenue | 45,661 | 40,021 | 14,1% | 121,189 | 98,488 | 23,0% |
| Cost of selling gold | (16,344) | (15,258) | 7,1% | (42,747) | (38,404) | 11,3% |
| Gross profit | 28,859 | 24,433 | 18,1% | 77,108 | 59,047 | 30,6% |
| Operating profit | 25,982 | 23,638 | 9,9% | 69,092 | 54,440 | 26,9% |
| Pretax profit | 31,320 | 16,616 | 88,5% | 78,652 | 55,130 | 42,7% |
| Net profit | 25,446 | 13,266 | 91,8% | 60,382 | 47,288 | 27,7% |
| Adjusted EBITDA | 28,847 | 24,968 | 15,5% | 77,172 | 59,113 | 30,5% |
The company also released IFRS results in dollars, according to which adjusted EBITDA grew 15% year-on-year in 9M and net profit rose 19% to $889 million. Net profit for Q3 2016 soared 80% year-on-year to $390 million, partly reflecting non-cash items, including FX and derivatives gains. Adjusted net profit for the quarter rose 4% to $295 million.
PJSC Polyus operating and financial highlights:
| Q3 2016 | Q3 2015 | Change | 9M 2016 | 9M 2015 | Change | |
| Gold production, koz | 555 | 514 | 8% | 1,395 | 1,298 | 7% |
| Gold sales, koz | 527 | 522 | 1% | 1,365 | 1,321 | 3% |
| Average realized gold price (excl. effect of Strategic Price Protection Programme) ($/oz) | 1335 | 1138 | 17% | 1265 | 1177 | 7% |
| Average realized gold price (incl. effect of Strategic Price Protection Programme) ($/oz) | 1344 | 1203 | 12% | 1302 | 1237 | 5% |
| Total revenue, $ bln | 706 | 634 | 11% | 1788 | 1653 | 8% |
| Operating profit, $ mln | 401 | 373 | 8% | 1,019 | 908 | 12% |
| Net profit, $ mln | 390 | 217 | 80% | 889 | 811 | 10% |
| Adjusted net profit, $ mln | 295 | 285 | (4%) | 700 | 728 | (4%) |
| Adjusted net profit margin | 42% | 45% | (3 pp) | 39% | 44% | (5 pp) |
| Cash and cash equivalents and bank deposits, $ bln | 1,710 | 1,954 | (12%) | 1,710 | 1,954 | (12%) |
| Net operating cash flow, $ mln | 393 | 391 | 1% | 872 | 909 | (4%) |
| Capex, $ mln | 109 | 76 | 43% | 295 | 172 | 72% |
| Adjusted EBITDA, $ mln | 444 | 393 | 13% | 1 135 | 986 | 15% |
| Adjusted EBITDA margin | 63% | 62% | 1 pp | 63% | 60% | 3 pp |
| Net debt, $ bln | 3,240 | 0,204 | - | 3,240 | 0,204 | - |
| Net debt/adjusted EBITDA | 2,27 | 0,15 | - | 2,27 | 0,15 | - |
| TCC, $/oz | 406 | 401 | 1% | 387 | 422 | (8%) |
| AISC, $/oz | 560 | 538 | 4% | 557 | 582 | (4%) |
PJSC Polyus, whose beneficiaries are the Suleyman Kerimov Foundation, founded by Senator Suleyman Kerimov, and Kerimov's son, Said, mines hard rock and alluvial gold deposits in Krasnoyarsk territory, in Irkutsk, Magadan and Amur regions and in Yakutia.