Dniproenergo (DNEN: BUY) Announces 1Q Results
1 June 2008
Net revenue of thermal generation company Dniproenergo amounted USD 112 mn (+3.6% yoy) in 1Q05. The company net income is USD 3.4 mn in 1Q05 (-8.7 mn in 1Q04). Concorde Capital The company reduced its electricity production by 9.1% yoy in 1Q05, mainly because of reduction of output at Zaporizhia power plant (-34%). DNEN remains in the process of financial recovery, with USD 243 mn payables (decreased by USD 3 mn in 1Q), USD 113 mn net receivables, and USD 445 mn of bad debt provisions. We are positive about solving the debt problem of the company in the near future, and maintained our BUY recommendation.
