Hotline of power engineering specialists:
The Annual General Meeting of Shareholders of Rosseti, chaired by the Minister of Energy of the Russian Federation, Chairman of the Board of Directors of Rosseti, Alexander Novak, was held in Moscow on 27 June 2019.
In his welcoming speech, Alexander Novak positively assessed the results of the holding’s work in 2018.
“The company works effectively, develops, is investment attractive. Over the past six months, the capitalization of Rosseti grew up by 90%. It is also important that the holding pays a lot of attention to the implementation of modern technologies. In addition, the changes to the regulatory and legal framework of the electric grid complex being developed by the Russian Government together with Rosseti will contribute to the growth of indicators,” the Russian Energy Minister stressed.
The meeting reviewed the report with the results of activities of Rosseti in 2018.
During his speech, Pavel Livinskiy, Director General of Rosseti Holding, spoke about the key achievements of the company over the past year, noting that the operating performance of Rosseti’s Group once again showed strong growth.
“The growth of production indicators allowed Rosseti’s Group of Companies to demonstrate a positive financial and economic result in 2018. The growth of financial indicators was ensured, and the level of debt load was also reduced. An important task for the management of the Company is the growth of dividend payments to shareholders. Our financial indicators allow us to do this,” stressed Pavel Livinskiy.
In 2018, 762 billion kWh of electricity was transmitted, 19 GW of capacity was connected. The level of losses in the transmission of electricity based on the results of 2018 for the first time in history dropped below 9% and amounted to 8.95%. The group’s consolidated revenue for the first time in history exceeded 1 trillion rubles, amounting to 1,021.6 billion rubles (948.3 at the end of 2017). At the same time, the net profit in comparison with 2017 increased by more than 3.5 billion and amounted to 124.7 billion rubles). The increase in free cash flow amounted to more than 18 billion rubles, which made it possible to reduce the Group’s debt burden – the indicator Net Debt/EBITDA compared with 2017 was 1.42x (1.55x in 2017).
During the meeting, the shareholders of Rosseti were presented for approval the annual report and annual accounting (financial) statements for 2018, proposals for distribution of profits and losses of the Company in 2018.
The shareholders of the company approved proposals for the payment of more than 5 billion rubles of dividends for the first quarter of 2019, which is twice the amount allocated for payment in 2018, and is comparable to the amount of dividends paid to shareholders in the entire history of the Rosseti company.
In addition, the shareholders elected a new composition of the Board of Directors, the Audit Commission and the Company’s auditor.
The new edition of the Articles of Association and a number of internal documents regulating activities of the management and control bodies were reviewed.
