Based on the results of the publication of audited consolidated financial statements for 2020 under IFRS, the management of Rosseti Centre (the public name of IDGC of Centre, PJSC, ticker - MRKC) – managing organization of Rosseti Center and Volga Region (the public name of IDGC of Center and Volga Region, PJSC, ticker - MRKP) held a conference call to webcast a presentation dedicated to the performance results of Rosseti Centre and Rosseti Center and Volga Region for the past year. Rosseti Centre at the event was represented by First Deputy General Director for Economy and Finance Artem Aleshin and Head of IR Division Sergey Ternikov. The main topics for discussion were the operational and financial indicators of the Companies for 2020, measures to combat the negative consequences of restrictive measures in connection with COVID-19, the results of the Electricity Loss Reduction Program and current forecasts for key performance indicators for 2021.
The unprecedented events associated with the COVID-19 coronavirus pandemic have had a serious negative impact on the economy and social life, which affected electricity consumption in 2020. Despite the decrease in the volume of electricity transmission services, the Companies managed to increase production potential while improving reliability parameters, reduce electricity losses, increase the share of presence in the regions of operation and significantly improve their efficiency. Throughout the year, work was carried out to optimize the debt burden and reduce the weighted average borrowing rate. Thanks to this, the Companies retained their financial stability, and even showed significant growth in terms of revenue from value-added services.
The management of the Companies is optimistic about the restoration of electricity consumption, which should be facilitated by lower temperatures in January-February 2021 and expectations of further lifting of restrictive measures in the economy. The Companies plan to continue working to reduce electricity losses and increase the share of non-tariff revenue in total revenues. The current forecast assumes further sustainable growth of the Companies, preservation of financial stability and an attractive level of dividend payments, while the risks of the impact of the epidemiological situation on performance indicators remain. The results of the Companies’ work over the past period confirm the correctness of the chosen course, which the management plans to adhere to in the future.
The presentation of Rosseti Centre and Rosseti Center and Volga Region (only in Russian) is available on the link.