Net profit, equal to 267 million euros, shows a significant growth (+70% compared to the first half of 2017(1)). Ordinary net profit– excluding EPCG effects – is up 2%
Gross operating margin amounts to 657 million euros (+3% compared to the first half of 20171). Significant Gross operating margin before non-recurring items organic growth (+7%).
Capex totals 187 million euros, up 21% compared to the first half of 2017
Net financial position amounts to 3,030 million euros improving by 196 million euros with respect to December 31, 2017
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Milan, July 31, 2018 –The Board of Directors of A2A S.p.A., met today under the chairmanship of Giovanni Valotti, examined and approved the half year report at June 30, 2018.
The first half of the year ended with sound results, in line with expectations.
EBITDA of 657 million euros (+3.1%) benefited from the 2017 and 2018 acquisitions, as well as from the strong organic growth reported by the Generation and Market business units. The increase in Gross operating margin before non-recurring items is even more significant, rising by 39 million euros (+6.6%), from 592 million euros in the first half of 2017, to 631 million euros in the first half of 2018.
High natural gas prices marked the first half of 2018. Average natural gas price on the Virtual Trading Point was €22/MWh, up 16% compared to the first half of 2017, driving up electricity prices as well as significantly tightening spreads on CCGT production.
Group net profit in the first half of 2018 rose by 110 million euros (+70%) compared to the first half of 2017, reaching 267 million euros (157 million euros in the first half of 2017).
The EPCG put option exercised on July 1, 2017 had significantly influenced the Group net profit in the first half of 2017, with a negative impact of 95 million euros. In 2018, the put option agreement was renegotiated, resulting into a positive effect of 4 million euros on Group net profit in the first half of 2018. In addition, the equity investment in Rudnik Uglija ad Pljevjia coal mine was sold, generating a capital gain of 6 million euros.
Excluding the aforementioned effects, related to the Montenegro equity transactions, the Group net profit from continuing operations was up 6 million euros compared to the first half of 2017, rising from 251 million euros to 257 million euros.
Net cash flows generation was 196 million euros, after capex of 187 million euros and dividends payment of 180 million euros. Net financial position at June 30, 2018 totaled 3,030 million euros (3,226 million euros at December 31, 2017).
(1) The restated figures reflect the reclassification of the EPCG Group’s results in accordance with IFRS 5.
For further information:
Media relations: tel. 02 7720.4583, ufficiostampa@a2a.eu
Investor Relations: tel.02 7720.3974, ir@a2a.eu
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