PGE maintains the quarter. EBITDA growth assumptions in the preparation of … – Banker

PGE maintains that in 2015 recurring EBITDA in the segment for conventional generation and trading segment EBITDA increase year on year – according to a presentation published on the company’s website.

According to previous assumptions, the distribution segment and in the renewable energy segment EBITDA may be flat yoy this year.

PGE announced that results in improved conventional generation segment will result, among others, the increase in wholesale energy prices by approx. 8-10 zł / MWh, stable production volumes for coal and lignite, continuing efficiency improvement programs.

The Company assumes also “medium single-digit” drop in coal prices and revenues LTC at the level of 500 million zł. This indicates that the negative impact of the lack of support for biomass co-firing will be until next year.

Among the factors with negative impact on this segment of the PGE mentions higher by approx. 4 million tonnes deficit of CO2 emission permits.

In the trading segment, PGE intends to focus on improving margins. He sees the positive impact of lower prices of green certificates.

Lower prices of green certificates in turn adversely affect the results of the RES sector.

PGE reported that in the segment of renewable energy production may be flat, depending on the weather conditions. Until the end of 2015, the company plans to launch farms that will affect the results in 2016.

In the distribution segment, the company will continue its efficiency improvement program. It is estimated that a reduction of about 5 percent. Return on equity will result in a negative impact on EBITDA in the amount of 2 percent.

In the first quarter of 2015 years group EBITDA in the conventional energy segment amounted to approx. 1.3 billion zł (an increase of 56 percent. yoy), and distribution of approx. 630 million zł (an increase of 5 percent.). Renewable energy segment generated more than 120 million zł EBITDA (an increase of 1 percent. Yoy) and trading segment almost 160 million zł EBITDA (an increase of 4 percent. Yoy).

PGE maintains that a higher year on year will be in 2015 CAPEX group.

The investment group in the quarter was 1.393 billion zł and were higher yoy by 39 percent.

More than 1 billion zł was earmarked for investments in energy conventional, more than 260 million zł in the distribution, and almost 70 million zł in renewable energy.

The company said in a presentation that the highest expenditures are planned for the third and fourth quarter of this year. (PAP)

pel /