National Rating Agency (NRA) affirmed the individual credit rating of IDGC of Centre at “AA-” (very high credit solvency, the third level), the outlook is “Positive”.
The analysis of the financial statements under IFRS for the first half of 2011 indicates a stable financial condition of the Company. The revenue of IDGC of Centre for six months of 2011 has amounted to 35.2 billion rubles, an increase of 19% compared with that of 2010, EBITDA has showed an increase of 47% and amounted to 8.8 billion rubles, and the net profit has increased by 64%, reaching 3.8 billion rubles. Indicators of the operating and net margin are at a good level and continue to show growth. The level of debt load of the Company is decreasing, although the absolute amount of debt remains practically the same. In the first half of 2011 the net debt to revenue has decreased to 0.16, the net debt to EBITDA — to 0.65. The debt profile has not changed: in 2010, IDGC of Centre refinanced a significant portion of short-term loans with long-term borrowings, and in the middle of 2011, more than 90% of the debt had long-term borrowings.
Good financial result of the Company allows to maintain an adequate level and the upward movement of capitalization: thus, the equity-assets ratio as at 30.06.2011 has amounted to 55%, and the equity capital has risen to 36.9 billion rubles. Lack of own circulating assets, corresponding to the specifics of the Company and caused by a significant share of fixed assets and non-current assets in the assets, is offset by a sufficiently high level of permanent capital. The Company has a positive credit report, obligations are performed in a timely manner and in full. The level of the Company’s liquidity remains sufficient, and NRA assesses the Company’s ability to perform its obligations as high.
“In 2010 and in the first half of 2011, the Company has demonstrated the growth of key indicators, a further increase in efficiency, high liquidity and capitalization on the background of an acceptable level of debt. The transfer of IDGC of Centre to a new system of tariff making, a transparent business structure and a high level of corporate governance, the dominant position in the market and a clear development strategy allows to assess the prospects of the Company as favorable, resulting in a positive rating outlook,”- comment analysts of National Rating Agency.