23 Nov 2010 15:02

RusHydro IFRS net profits for H1 rise 9.8% to 21.46 bln rubles

MOSCOW. Nov 23 (Interfax) - First-half consolidated net profits at OJSC RusHydro , which operates the majority of Russia's hydroelectric power plants, increased 9.8% year-on-year to 21.46 billion rubles as calculated to International Financial Reporting Standards (IFRS), the company reported.

RusHydro from current operations increased 21.4% to around 205 billion rubles. That included a 26.3% increase in income from electricity sales to roughly 177 billion rubles, though revenue from capacity sales decreased 2.9% to around 25.2 billion rubles.

The overall increase in revenues was driven by an increasing share of power sales on the wholesale energy market at market prices, higher competitive prices, and also greater retail sales.

When preparing its IFRS report, the RusHydro group included power-sales assets acquired in the first half from OJSC RAO Energy Systems of the East and OJSC Lenenergo , the company said. These include Moscow and St. Petersburg-based sales companies, and companies in the Tambov and Saratov regions and the Altai territory.

RusHydro expenditures for the first half increased 21.8% to 175.7 billion rubles, due to higher expenses for procuring electricity and capacity, and also for the retail distribution of energy.

Operating profits increased 19.3% to 29.25 billion rubles and EBITDA 12.9% to 34.85 billion rubles. The EBITDA margin dipped to 17% from 18.3% in H1 2009.

The group's debts increased 2.8% from the start of the year to 103.9 billion rubles as of June 30.

RusHydro is state-controlled. The hydropower plants it operates have combined installed capacity of around 25 gWt.