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Based on the results of the publication of the unaudited consolidated interim condensed financial statements for 9 months of 2019 under IFRS, the management of IDGC of Centre (hereinafter referred to as Rosseti Centre) – managing organization of IDGC of Centre and Volga Region (hereinafter referred to as Rosseti Centre and Volga Region) held a conference call with representatives of the investment community to webcast a presentation dedicated to the performance results of Rosseti Centre and Rosseti Centre and Volga Region for 9 months of 2019. Rosseti Centre at the event was represented by the head of the Department of Economics Mikhail Kuzin, Chief Accountant - Head of Financial and Tax Accounting and Reporting Department Lyudmila Sklyarova, and Head of IR Division Sergey Ternikov. The main topics for discussion were data of consolidated financial statements in accordance with IFRS and production indicators of the Companies for 9 months of 2019, as well as the expected results of work for the end of 2019.
During the event, Mikhail Kuzin noted the growth of production assets of both companies while reducing the specific failure rate. Commenting on the results of operating activities, it was announced that both companies experienced a decrease in the volume of electricity transmission services, which was mainly associated with temperature anomalies of the current year, as well as a decrease in electricity consumption by large consumers as a result of the transition to contracts with FGC UES and their own generation. In addition, it was announced that electricity losses under comparable conditions for the two Companies are decreasing, while their value is directly interconnected with the grid topology and net supply structure by voltage levels. The connected capacity for both Companies showed multidirectional changes, which is associated with the early execution in 2018 of unscheduled contracts for grid connection of Rosseti Centre. A positive aspect of Rosseti Centre was the increase in revenue from value-added services by 12.5% for 9 months of 2019. Also, for both Companies, a decrease in the average weighted borrowing rate as of 30 September 2019 was recorded, which is forecasted to be even lower at the end of the year.
“Rosseti Centre and Rosseti Centre and Volga Region have a high corporate governance rating at the level of NCGR 7+ “Developed Corporate Governance Practice”, are leaders in the number of electric grid assets in economically promising regions of operations and consistently pay dividends, which strengthens the investment attractiveness of both Companies,” emphasized Mikhail Kuzin.
To view the full version of the conference call and webcast (only in Russian), as well as the question-and-answer session, please, click on the link.
The presentation of Rosseti Centre (only in Russian) is available on the link.
The presentation of Rosseti Centre and Volga Region (only in Russian) is available on the link.