IDGC of Centre held a conference call and a webcast dedicated to the consolidated results of the company’s activities for 9 months of 2017

Based on the results of the publication of the unaudited interim condensed consolidated financial statements for 9 months of 2017 under IFRS, IDGC of Centre’s management held a conference call with representatives of the investment community to broadcast the presentation on the Internet dedicated to the activity results for 9 months of 2017 and forecasts for 2017. From the company, the event was attended by Sergey Rumyantsev, Adviser to General Director, Sergey Sharapov, Deputy General Director for Corporate Governance, Lyudmila Sklyarova, Chief Accountant - Head of Financial and Tax Accounting and Reporting Department, and Sergey Ternikov, Head of IR Division. The main topics for discussion were the results of 9 months of 2017, including the consolidated financial statements for 9 months of 2017 under IFRS, the adjusted investment program for 2017-2022, approved by the Ministry of Energy of the Russian Federation, as well as the transfer to IDGC of Centre of the sole executive authority of IDGC of Centre and Volga Region.

During the event, Sergey Rumyantsev noted that following the results of work for 9 months of 2017 the company managed to improve operating profitability, while EBITDA increased by more than 15% to 14.8 billion rubles. This was made possible through the implementation of the Company’s measures to improve operational efficiency, as well as the growth of the average tariff for electricity transmission. The termination of “last mile” contracts with customers from 01.07.2017, the emergence of revenue from resale of electric energy and power and the additional taxation because of the exclusion from non-operating expenses for tax purposes of costs for mobilization preparation were also referred to the significant factors that determined the result of the company’s work for 9 months of 2017. The company systematically reduces the debt burden and decreases the weighted average borrowing rate, which positively affects the costs of servicing loans. An important event, which participants’ attention was focused on, was the approval of the Company’s adjusted investment program for 2017-2022. It will determine the main directions and sources of financing of capital investments for the coming years. The adjustment was carried out to take into account the adopted tariff-balance decisions for 2017, the current forecast of the social and economic development of the Russian Federation for the planning period and the update of IDGC of Centre’s obligations for connection of customers to the grid. At the end of the presentation, Sergey Rumyantsev spoke about the first results and the expected economic effects from performing the functions of the sole executive body of IDGC of Centre and Volga Region, which in the future will help reduce operating costs, ensure reliable power supply to all categories of customers and increase the production and financial efficiency of both companies.

The full version of the conference call and webcast (only in Russian), as well as a question-and-answer session, can be found on the link.

The presentation of the company (only in Russian) with the results of activity for 9 months of 2017 is available on the link.