Growing demand for electricity and gas as well as better results of distribution activities improved Lietuvos Energija‘s results

Lietuvos Energija maintained a moderate growth of financial results during the three quarters of this year. Due to higher demand for electricity and gas as well as price changes in electricity and gas markets, revenue of the Group grew by 14 per cent. As a result of better performance in electricity and gas distribution segment the Group‘s adjusted EBITDA increased by 5 per cent up to EUR 175 million. During the period Lietuvos Energija maintained high return on equity (ROE) ratio – 10.3 per cent.
 
“During the first half-year, Lietuvos Energija published its strategy LE 2030, now we already demonstrated the first results. We have purchased three wind farms in Lithuania. The new capacities will supplement the group’s green generation portfolio with a 34 MW power capacity, and thus we will become the second largest energy producers in the Baltic States. Also, Lietuvos Energija is planning to acquire 50 MW wind farm project in Poland. These steps send out a clear message that we are firmly committed to our strategic goal to increase the green generation portfolio” says Darius Maikštėnas, CEO and Chairman of the Board of Lietuvos Energija.
 
Key performance indicators of Lietuvos Energija Group for the three quarters (hereinafter Q1-Q3) of 2018.:
 

• The Group‘s revenues increased by 14 per cent - up to EUR 896 million (EUR 783 million in Q1-Q3 2017). Higher electricity and gas demand as well as price changes in the following markets caused the growth of revenues;
• The Group's operating expenses remained stable: EUR 94.4 million (EUR 93.7 million during Q1-Q3 2017);
• The Group‘s adjusted EBITDA increased by 5 per cent up to EUR 175 million (EUR 166 million during Q1-Q3 2017);
• The return on equity (ROE) ratio was recorded at 10.3 per cent (9.3 per cent in 2017);
• The Group’s net profit was EUR 44.2 million, i.e. EUR 32.9 million lower compared to the previous year. The decrease was mainly driven by the significant increase in electricity prices and increase of the cost of public supply, which was not foreseen in determining the level of regulated income. However, adjusted net profit increased by 4 per cent and amounted to EUR 94.8 million. (EUR 91.3 million during Q1-Q3 2017);
• The Group's investments increased by 66 per cent to reach EUR 252.2 million (EUR 152.2 million during Q1-Q3 2017). The largest share of investments was allocated to the upgrading of the distribution grid and the development of the co-generation plants.