DGAP-News

EVN AG: Business development in the 1st Half-year 2012/13

DGAP-News: EVN AG / Key word(s): Half Year Results/Half Year Results
EVN AG: Business development in the 1st Half-year 2012/13

28.05.2013 / 08:00

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(October 1st, 2012 - March 31st, 2013)

Highlights

- Negative financial results cause a decline in Group net profit
- Provision for reserve capacity for Germany over the next three years
- Inspection of the turbines at the Duisburg-Walsum coal-fired power plant,
a delay in the start of operations cannot be excluded.
- Electricity production of renewable sources increased by more than 25%
- Announcement of starting international arbitration proceedings in
Bulgaria
- One of Europe's largest wastewater purification plants in Warsaw, Poland
in March 2013
- Currently difficult progress on the environmental projects in Moscow


Key figures

Revenue: - 2.3% to EUR 1,652.4m
EBITDA: -2.7% to EUR 330.2m
Results from operating activities (EBIT): -1.9% to EUR 212.1m
Group net profit: -38.2% to EUR 131.5m
Outlook: Group net profit approximately 40% below prior year


Energy sector development

Spot market prices for base load and peak load electricity were highly
volatile due to strong fluctuations in the feed-in from renewable energy
carriers. These prices fell by 12.3% and 6.9%, respectively, during the
first half of 2012/13, in particular due to the further expansion of wind
and photovoltaic generation capacity in Europe. Also the forward market
prices for base load and peak load electricity were 11.1% and 10.8% below
the previous year. Natural gas prices in Austria, which are linked to the
price of crude oil, traded 6.2% higher than the previous year. Therefore
the generation of electricity from gas-fired power plants in Europe is
therefore still not profitable. In contrast, the price of coal was
primarily due to high stock levels in Europe and the weaker economic growth
in China below the previous year. The downward trend in the price of CO2
emission certificates continued. In April the European Parliament voted
against market support measures for CO2 emission certificates, which
triggered a further drop in prices.


Revenue increase in the energy business and lower project implementation
volumes in the environmental services business

The EVN Group generated revenue of EUR 1,652.4m in the first half of the
2012/13 financial year, which represents a decline of 2.3%, in comparison
with the previous year. Higher revenue in the energy business was unable to
fully offset a revenue decline in the environmental services business that