Energijos Skirstymo Operatorius AB, identification code 304151376, registered office placed at Aguonu str. 24, Vilnius, Republic of Lithuania. The total number of registered ordinary shares issued by company is 894 630 333; ISIN code LT0000130023.
Electricity and gas distribution company Energijos Skirstymo Operatorius, AB (hereinafter – ESO), which is a part of the largest Lithuania’s energy group Lietuvos Energija, UAB (hereinafter – Lietuvos Energija), during the first half of this year has improved key financial indicators. After merging of LESTO AB (hereinafter – LESTO) and joint stock company Lietuvos Dujos (hereinafter – Lietuvos Dujos) into ESO in the beginning of this year, operating expenses declined by more than a tenth.
During January-June 2016 the net profit of ESO amounted to EUR 53.2 million – 4.9% more than in the first half of 2015 when LESTO and Lietuvos Dujos consolidated net profit amounted to EUR 50.7 million. Net profit increased due to increased revenue and reduced operating costs.
ESO revenue in the first half of 2016 amounted to EUR 333.95 million – 3.3% up compared to January-March in 2015, when it amounted to EUR 323.174 million. Revenue increased due to higher electricity and natural gas distribution volumes.
ESO operating expenses during first half of 2016 compared to the same period of 2015, decreased 12.3% and amounted EUR 48.96 million.
During the first half of this year ESO allocated 4.488 billion kWh of electricity and 3.93 billion kWh of natural gas - respectively 5.6% and 3.4 % more than in the first half of 2015.
"The emerging synergy of electricity and gas distribution system operators allows us to achieve even better results. Having reduced our operating costs, we directly contribute to more favourable energy prices for our customers. It is also gratifying that the number of new natural gas customers’ contracts are growing twice as fast as last year. We notice that new customers are more likely to procure our services online, so we constantly rolling out new functionalities at www.eso.lt and self-service portal www.manogile.lt , which allows to submit requests to connect to our electricity or gas networks in a more simple and faster way,"- says Chairman of the Board and CEO Liudas Liutkevičius.
According to the head of ESO, considering needs to receive services from a single source, a pilot project was launched in Kaunas.
„ During this project we started to offer internal electricity and gas network installation services to customers in their territory. We can also make all the electrical input related work where electrical input power is up to 500 kW, and the next year we plan to offer this service to larger customers. We strive to make connection to our networks even simpler and faster,” – says L. Liutkevičius.
During six months of 2016 ESO investments in the electricity and gas distribution networks amounted to EUR 51.24 million – 11.4% more than during January-June in 2015. Major part of the investment – almost EUR 26 million – was assigned to the modernization of electricity distribution network.
During January-June of 2016 ESO EBITDA (Earnings Before Interest, Taxes, Depreciation and Amortization) amounted to EUR 87.7 million – 3.84% more compared to the first half of 2015. EBITDA margin increased by 0.12% points and amounted 26.26%.
During six months of 2016, electricity, natural gas purchase and related services costs made up EUR 197.3 million and, compared with the same period of 2015, increased by 7.9%. This was mainly influenced by increased electricity transport volumes, increased transmission cost and higher natural gas distribution volumes.
Significant impact on the electricity distribution network operation during the first half of 2015 had more frequent natural disasters, which resulted in very changeable weather, compared to the same period last year. The majority of natural phenomena that led to power outages in the network happened during June.
During six months of 2016 with the influence of natural disasters (“force majeure”) the system average interruption duration index (SAIDI) per customer amounted to 114.9 minutes. This is 60.01 minutes more compared to the same period in 2015, when it amounted 54.89 minutes. The system average interruption frequency index (SAIFI) with the influence of natural disasters per customer reached from 0.66 – 0.13 times more compared to 2015 January-June, when it was 0.53 times.
ESO shares are quoted on the Nasdaq Vilnius. The state-owned energy company Lietuvos Energija owns 94.98% ESO shares, remaining shares are traded on the stock exchange.
2016 H1 ESO results: CEO video commentary
Representative for Public Relations Martynas Burba, tel. (8~5) 2514516.
