Kharkivoblenergo reports 14% bottom line growth in 2012
20 February 2013
State-controlled power DisCo Kharkivoblenergo (HAON UK) reported UAH 28.7 mln profit for 2012, the company disclosed on Feb. 19 in its preliminary results. The company’s revenue increased 14% yoy to UAH 3.4 bln and EBITDA improved 7% yoy to UAH 448 mln. Kharkivoblenergo also announced its AGM is scheduled for March 21, with income distribution being one of the agenda items.
Alexander Paraschiy: The company’s full-year bottom line looks like a disappointment, given that it showed UAH 191 mln profit for 9M12. Though, it is line with the general trend of state-controlled electricity companies killing their full-year incomes to avoid heavy cash outflow in the form of dividends (refer to our earlier news on DOEN and CEEN). The two items that allowed the company to kill profit in 4Q12 were: 1) an enormous increase in D&A charges (to UAH 326 mln in 12M from UAH 149 mln in 9M) and UAH 102 mln in financial costs that were zero in 9M12 (most likely one-off costs related to receivables restructuring).
The company is very likely to pay 30% of its income in the form of dividends, with DPS of UAH 0.0336 and a dividend yield of 2.6%.
