Page 62 - UKRRptMar21

This is a 38% y/y decline, which was a result of decreased production and prices, as we conclude from the company’s operating update. Namely, DTEK’s supply of generated electricity decreased 16% y/y (to 23.8 TWh), while achieved electricity prices fell 21% y/y (to UAH1.30/kWh, net of VAT, duties and balancing market margin). The company’s sale of raw coal and coal concentrate decreased 17% y/y to 13.1 mmt, as its mining of ROM coal fell 16% y/y to 18.8 mmt in 2020.
DTEK Energy’s EBITDA reached UAH9.34bn in 2020, Concorde Capital estimated, which is a 42% decline y/y. Below EBITDA, its four key cost items each exceeding UAH7bn (depreciation, losses on financial instruments impairment, ForEx losses and finance costs) led to UAH19.13bn net losses in 2020, down from a positive bottom line of UAH1.84bn a year before.
The holding’s operating cash flow before working capital changes declined broadly in line with EBITDA, down 46% y/y to UAH9.43bn, while net cash flow from operations decreased 28% y/y to UAH4.02bn in 2020. DTEK Energy decreased its capital expenditures 38% y/y to UAH3.13bn last year.
Its total debt increased 32% y/y to UAH59.57bn at the end of 2020 and net debt increased 29% y/y to UAH57.96bn. In this way, the holding’s net debt to EBITDA ratio worsened to 6.2x at the end of 2020, from 2.8x a year ago. Accounting for DTEK Oil & Gas expected contribution to DTEK Energy’s debt decline ($425mn), the holding’s net debt to EBITDA ratio is 4.9x.
9.1.10 ​Renewables corporate news
DTEK Group is the largest private national investor and a key player in the​ Ukrainian energy market, has already invested 1.2bn euros in the country's green generation. Currently, the company operates several giant wind and solar power plants with a capacity of about 1 gigawatt.
DTEK, Ukraine’s largest investor in renewables, plans to launch this year a pilot project for the production of "green" hydrogen ​and to build 1 MW energy storage capacity at its Zaporizhia thermal power plant site. In addition, the company plans to build in Mykolaiv Europe’s second largest onshore wind plant. The Tyligulska wind farm would have a capacity of 565 MW. Next year, DTEK plans to build three solar plants in Dnipropetrovsk region with a total capacity of 390 mw.
9.2.11 ​Metallurgy & mining corporate news ● Metinvest
Metinvest 2020 EBITDA soars 82%.​ M​ etinvest​, Ukraine’s largest steelmaker, released its 2020 financial results on February 16. The holding’s revenue lost 3% y/y to $10,453mn, EBITDA soared 82% y/y to $2,204mn, and net profit jumped 54% y/y to $526mn. Its EBITDA margin increased 10pp y/y to 21%, and its net margin rose 2pp to 5%.
62​ UKRAINE Country Report​ March 2021 ​ ​www.intellinews.com