Mosenergosbyt sees IFRS profit plummet 78% in 2012
MOSCOW. March 5 (Interfax) - Mosenergosbyt saw its consolidated net profit to International Financial Reporting Standards (IFRS) plummet 77.8% to 1.2 billion rubles in 2012, the company said in a statement.
Revenue edged down 0.9% to 217.3 billion rubles, and operating profit fell from 6.8 billion rubles in 2011 to 1 billion rubles in 2012.
Sales volumes, however, grew 4.4% to 82.5 billion kilowatt hours (kWh).
The key factor driving down Mosenergosbyt's revenue was a 5% average decline in the sales prices to legal entities resulting from changes to the principles of price formation on the retail market. A 10.7% drop in revenue from sales of losses to grid organizations also influenced overall revenue.
Operating costs increased 1.8% to 217 billion rubles last year, stemming from 2.5% growth in payments for grid organization services and a 3.5% rise in spending on electricity acquisitions on the wholesale market.
Financial income soared 56.8% to 600 million rubles thanks to earnings from the placement of free cash flows in commercial bank deposits at the end of 2011.
As of December 31, 2012, Mosenergosbyt's aggregated assets were worth 31 billion rubles, down 5.2% over 2011. Liabilities stood at 25.3 billion rubles, up 3.9%.
Mosenergosbyt is a supplier of last resort in the territory of Moscow and the Moscow region. Russian energy company Inter RAO UES owns a controlling stake in the company, a blocking stake belongs to structures close to Gazprom , and about 7.5% belongs to the Moscow government.