Enel Russia 9M 2018 results continue to be impacted by adverse market conditions

  • Strong operational performance of CCGT units and the company’s cost optimisation strategy partially offset adverse market conditions


9M 2018 

9M 2017 














Net income  




Net debt at the end of the period 




As of December 31st, 2017

“Enel Russia’s results for the first nine months of this year are consistent with those in the first half of 2018. Our CCGT units posted strong performances in the period, while all other units were affected by overcapacity and lower demand in some regions. We maintain a conservative outlook moving forward, in line with the scenario envisaged for the end of the year”

– Carlo Palasciano Villamagna, General Director of Enel Russia

Moscow, November 1 st, 2018 – PJSC Enel Russia has published its unaudited 9M 2018 financial results in accordance with the International Financial Reporting Standards (IFRS).

Revenues declined, largely as a result of:

  • lower output by most power generation facilities, with the exception of CCGT units, that was driven by overcapacity as well as by decreased electricity consumption in the Ural region;
  • a slight decline in revenues from the capacity market due to lower government bond yields in 2018 that was one of the components for the calculation of the DPM tariff.

Higher regulated sales with an increase in annual tariffs, as well as higher free capacity (KOM) prices resulting from its indexation for 2018, only partially offset the aforementioned drop in revenues.

EBITDA also decreased, reflecting:

  • lower revenues;
  • higher fixed costs driven by the property tax on movable assets as of 2018.

Lower electricity production, as well as higher contribution from CCGT units with lower fuel costs, partially offset the above decrease.

EBIT decreased reflecting EBITDA, as well as higher depreciation and amortisation together with higher accruals for bad debt.

Net income reflected EBIT, partially offset by lower net financial charges, which were mainly due to the optimisation of debt currency and cost structure, including the refinancing of 10 billion rubles of commercial papers in 2018.

Net debt as of September 30th , 2018 increased against the value posted as of December 31st , 2017, that is a temporary effect coming from 5.1 billion rubles of dividends paid upon FY 2017 results. 


9M 2018

9M 2017


Net power output (GWh) 




Power sales (GWh) 




Heat sales (thousand Gcal) 




Net power output decreased, reflecting lower production of all units (except both CCGT units at Sredneuralskaya and Nevinnomiskaya) and in particular:

  • Konakovskaya’s output dropped by 9.5% mainly resulting from lower equipment use by the System Operator caused by overcapacity in the system;
  • Reftinskaya’s output decreased by 1.8% resulting from the downward trend in power consumption in the Ural region.

CCGT units recorded an increase in output, as both units underwent scheduled maintenance in 2Q 2017. This increase offset the lower production from non-CCGT units, and improved the dynamics of the relevant power plants, and specifically:

  • Sredneuralskaya’s output was up 0.9%, despite the overcapacity in the system;
  • Nevinnomysskaya’s output increased by 2.7%, supported by the growing power demand in Southern Russia, and in spite of the high nuclear and hydro production in the same region.

Power sales decreased as a result of the abovementioned factors of net power output.

Heat sales decreased, mostly attributable to a reduction of heat suppliers’ consumption at all power plants, as well as higher temperatures in the European part of Russia.

Enel Russia 9M 2018 results continue to be impacted by adverse market conditions

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