EPH results for 2019

15. 6. 2020

Energetický a průmyslový holding, a.s. (“EPH”) achieved record results in 2019. Consolidated EPH sales reached EUR 8.6 billion last year (compared to EUR 7 billion in 2018), Adjusted EBITDA* totalled EUR 2.1 billion (compared to EUR 1.9 billion in 2018).

The total consolidated net debt ratio** was 2.4 times EBITDA (compared to 2.6 times EBITDA in 2018). The group’s strong performance, resulting from the high share of regulated and long-term contracted infrastructure assets of the group complemented by long-term contracted biomass plants in the UK and Italy, gas-fired plants with secured capacity payments mainly in the UK, and high conversion of group EBITDA into cash flow, contributed to low level of consolidated debt. In this respect, the Group is fully comparable to European investment grade rated companies.

In 2019, EPH benefited from the completed Lynemouth biomass plant (the conversion was completed in 2018) as well as positive development in relevant markets especially in relation to a significant increase in the volume of transported gas. Furthermore, the group managed to reduce the share of electricity manufactured from coal to less than 21% compared to less than 33% in 2018 and compared to more than 62% in 2015, despite the overall increase in produced electricity.

The above-mentioned results do not include performance of assets that are under joint control, which, according to the international financial reporting standards (IFRS), are not reflected in the consolidated figures (these include namely our shares in LEAG and Slovenské elektrárně).

In terms of operational indicators in 2019, companies under EPH transmitted more than 69 bcm and distributed almost 5 bcm of natural gas, distributed more than 6 TWh of electricity, delivered over 26 PJ of heat, and used almost all of their natural gas storage capacity of 61 TWh. Power plants operated by EPH produced 100 TWh of electricity last year, ranking EPH as the seventh largest European electricity producer.

* The Adjusted EBITDA indicator represents the operating profit before depreciation and amortisation and negative goodwill further adjusted for selected effects of predominantly one-off and non-cash nature and partially reflects pro-forma impact of acquisitions realized in 2018.

** Calculated based on Adjusted EBITDA

EPH´s audited financial results of 2019 are available here.