1st Quarter 2015 (unaudited)

Overview

In the first quarter of 2015, Elering’s revenue was 39.2 million euros, operating profit 17.8 million euros and net profit 15.0 million euros.

On 2 January 2015, Elering acquired 51.38% of Võrguteenus Valdus AS’s shares. Therefore, starting from first quarter this year, Elering presents its consolidated financial results. Võrguteenus Valdus is a holding company whose only business activity is holding the shares of the owner of the Estonian gas transmission network, Elering Gaas AS.

Regardless of the additional revenue from the subsidiary, Elering’s revenue fell by 4.6 million euros compared to the first quarter of 2014. The main reason for the fall in revenue lies in the lower network tariffs that took effect on 1 April 2014, as well as the change in accounting principles for recording the proceeds from the cross-border transmission capacity auction that changed since 1 July, 2014. Operating as well as financial costs increased by 0.6 million euros and profits fell by 5.8 million euros.

Positive cash flow from operations was 23.9 million euros and negative cash flow into investments totalled 13.2 million euros. Investments into non-current assets were 4.6 million euros and investments into the subsidiary, 27.6 million euros. In addition, inflows from cross-border transmission capacity auctions totalled 3.8 million euros and the non-repayable financial aid from the European Union for the interconnection between Estonia and Finland, EstLink 2, totalled 15.0 million euros. The cash increased by 10.7 million euros over the quarter.

Assets totalled 836.1 million euros by the end of the first quarter, out of which assets of the subsidiary totalled 57.6 million euros.

In EUR thousands

Assets

  31.03.15 * 31.03.14
Current assets
Cash and cash equivalents 43 573 1 045
Trade and other receivables 27 608 40 190
Total current assets 71 181 41 235
Non-current assets 764 901 678 748
TOTAL ASSETS 836 081 719 983

Liabilities

Current liabilities
Borrowings 1 190 0
Trade and other payables 26 426 34 706
Total current liabilities 27 617 34 706
Non-current liabilities
Long-term borrowings 346 797 312 513
Other non-current liabilities 102 852 77 928
Total non-current liabilities 449 649 390 441
TOTAL LIABILITIES 477 266 425 146

Equity

Share capital 149 890 149 890
Statutory reserve capital 8 706 6 259
Retained earnings 171 983 138 688
TOTAL EQUITY 330 580 294 837
Non-controlling interest 28 236 0
TOTAL LIABILITIES AND EQUITY 836 081 719 983

* 2015 year statement data is consolidated

In EUR thousands

  01.01.15
31.03.15 *		 01.01.14
31.03.14
Revenue 38 814 43 404
Other income 346 391
Goods, raw materials and services 9 043 10 921
Other operating expenses 1 097 1 070
Staff costs 1 915 1 229
Depreciation and amortisation 9 229 7 472
Other expenses 56 52
OPERATING PROFIT 17 820 23 051
Finance income 0 1
Finance costs 2 850 2 302
Net profit 14 971 20 749
Equity holder of the Parent Company 14 250 0
Non-Controlling interest 720 0

* 2015 year statement data is consolidated

In EUR thousands

Cash flows from operating activities

  01.01.15
31.03.15 *		 01.01.14
31.03.14
Profit/loss before income tax 14 971 20 749
Adjustments for
Depreciation, amortisation and impairment 9 229 7 472
Total netchange of current assets 1 405 -1 985
Total netchange in liablilities related to operating activities -4 041 -1 731
Other adjustments 2 358 2 301
NET CASH FROM IN OPERATING ACTIVITIES 23 923 26 805

Cash flows from investing activities

 

Purchases of property, plant and equipment, and intangible assets -4 591 -46 931
Foreign grants to acquire non-current assets 15 000 19 995
Proceeds from congestion income 3 808 0
Other investments -27 573 0
Proceeds from sale of property, plant and equipment 149 30
NET CASH FROM IN FINANCING ACTIVITIES -13 208 -26 906

Cash flows from financing activities

 

NET CASH FROM IN FINANCING ACTIVITIES 0 0
Net increase/(decrease) in cash and cash equivalents 10 715 -101
Cash and cash equivalents at the beginning of the quarter 32 858 1 145
Cash and cash equivalents at the end of the quarter 43 573 1 045

* 2015 year statement data is consolidated

In EUR thousands

Assets

  31.03.15 * 31.03.14
Current assets
Cash and cash equivalents 43 573 1 045
Trade and other receivables 27 608 40 190
Total current assets 71 181 41 235
Non-current assets 764 901 678 748
TOTAL ASSETS 836 081 719 983

Liabilities

Current liabilities
Borrowings 1 190 0
Trade and other payables 26 426 34 706
Total current liabilities 27 617 34 706
Non-current liabilities
Long-term borrowings 346 797 312 513
Other non-current liabilities 102 852 77 928
Total non-current liabilities 449 649 390 441
TOTAL LIABILITIES 477 266 425 146

Equity

Share capital 149 890 149 890
Statutory reserve capital 8 706 6 259
Retained earnings 171 983 138 688
TOTAL EQUITY 330 580 294 837
Non-controlling interest 28 236 0
TOTAL LIABILITIES AND EQUITY 836 081 719 983

* 2015 year statement data is consolidated

In EUR thousands

  01.01.15
31.03.15 *		 01.01.14
31.03.14
Revenue 38 814 43 404
Other income 346 391
Goods, raw materials and services 9 043 10 921
Other operating expenses 1 097 1 070
Staff costs 1 915 1 229
Depreciation and amortisation 9 229 7 472
Other expenses 56 52
OPERATING PROFIT 17 820 23 051
Finance income 0 1
Finance costs 2 850 2 302
Net profit 14 971 20 749
Equity holder of the Parent Company 14 250 0
Non-Controlling interest 720 0

* 2015 year statement data is consolidated

In EUR thousands

Cash flows from operating activities

  01.01.15
31.03.15 *		 01.01.14
31.03.14
Profit/loss before income tax 14 971 20 749
Adjustments for
Depreciation, amortisation and impairment 9 229 7 472
Total netchange of current assets 1 405 -1 985
Total netchange in liablilities related to operating activities -4 041 -1 731
Other adjustments 2 358 2 301
NET CASH FROM IN OPERATING ACTIVITIES 23 923 26 805

Cash flows from investing activities

 

Purchases of property, plant and equipment, and intangible assets -4 591 -46 931
Foreign grants to acquire non-current assets 15 000 19 995
Proceeds from congestion income 3 808 0
Other investments -27 573 0
Proceeds from sale of property, plant and equipment 149 30
NET CASH FROM IN FINANCING ACTIVITIES -13 208 -26 906

Cash flows from financing activities

 

NET CASH FROM IN FINANCING ACTIVITIES 0 0
Net increase/(decrease) in cash and cash equivalents 10 715 -101
Cash and cash equivalents at the beginning of the quarter 32 858 1 145
Cash and cash equivalents at the end of the quarter 43 573 1 045

* 2015 year statement data is consolidated