Interim unaudited financial results of Litgrid group and the Company for the twelve months of 2019
LITGRID AB, company code 302564383, registered office address A. Juozapavičiaus g. 13, Vilnius, Lithuania is publishing interim consolidated and the Company's unaudited results for the period ended 31st December 2019.
Revenue earned by the Litgrid group in 2019 increased by 1.9 % compared to the year 2018
Revenue earned by the Litgrid group in 2019 amounted to EUR 194.3 million, a 1.9% increase compared to 2018. Revenue from electricity transmission increased by 4% up to EUR 69.3 million compared to 2018. Revenue from electricity transmission accounted for 36% of the Group’s total revenue, althoughthe transmitted energy decreased by 2 percent up to 10 277 mln. kWh, compared to 2018. Income growth was driven by 6% higher average actual electricity transmission price.
The biggest growth was recorded in revenue from system services – it grew by 20% to EUR 70.7 million. The main growth driver was the tariff for system services which had been increased 16% by the National Energy Regulatory Council from 1 January 2019.
The Group’s operating expenses totalled EUR 191.6 million in 2019, 3.7% higher compared to 2018 (excluding the revaluation of the Company‘s tangible fixed assets in 2018), system service revenuie grew by 24% up to EUR 74.4 million.
The EBITDA in 2019 amounted to EUR 23.7 million. Compared to 2018, the EBITDA decreased by EUR 8.7 million or 27%; the EBITDA margin decreased by 17% to 12.2%. The main reasons for the decrease of the Group's EBITDA are: returned to consumers EUR 3.9 million more of the previous year’s profits, which exceeds the level set by the Council, compared to the amount returned in 2018; EUR 2.9 million worse balance of system services revenue and costs; EUR 2.8 million lower revenue from connection of new producers and user equipment replacement.
The Group’s net cash flows from operating acivities in 2019 amounted to EUR 24.7 million, while payments for non-current tangible and intangible assets were EUR 42.7 million and EUR 14.9 million were received as subsidies. Congestion income for the financing of fixed assets investments amounted to EUR 27.3 million and EUR 3.8 million was used.
The investments of transmission system operator Litgrid in 2019 (works performed and assets acquired irrespective of terms of payment) amounted to EUR 45.8 million, of which 67% were earmarked for the implementation of eletricity projects of strategic and high national importance, and 33% for the reconstruction and development of the electricity transmission grid.
In November 2019 Litgrid finished reconstruction of Bitėnai transformer substation. It is the first implemented project of the strategic projects list confirmed by the Government of Lithuania for the Synchronization with the European grid.
In 2019 European Commission allocated the grant for financing Baltic States’ connection with the continental European network from CEF. EU will finance 75% of the first Synchronization stage. It is the largest amount dedicated for energy security projects. The total amount is EUR 432.5 million, EU part will constitute EUR 324 million.
At the end of the year Polish and Lithuanian TSO’s and INEA have signed a contract for financing “Harmony Link”, a subsea link. Financing will be used for selecting the route of the link, seabed survey, preparing technical specifications and territory planning works.
Condensed Interim consolidated and the company’s condensed financial statements as of 31 December 2019.
The individual authorized by Litgrid AB to provide additional information:
LITGRID Communication Division
Phone: +370 613 19977