GEK TERNA S.A.
Announcement
1st half 2009 Results
Net earnings of 70 million euro for the GEK TERNA Group following the completion of the GDF SUEZ agreement
According to the financial statements of 30/06/2009, prepared according to the International Financial Reporting Standards, the results for the first half of 2009 are as follows:
Consolidated sales of GEK TERNA amount to 365 million euro, compared to 287.5 million euro in the first half of 2008, posting an increase of 26.9%, mainly due to the higher construction activity.
Earnings before interest tax depreciation and amortization (EBITDA) of the GEK TERNA Group amounted to 42.3 million euro, posting a decrease of 15.7% compared to the respective period of last year. It is noted that the decrease in the Group's operating profitability is due to the decline in the Real Estate activity, as operating profit of from the latter amounted to only 0.7 million euro during the first half of 2009, compared to 19.9 million the first half of 2008.
The Group's total operating profit (EBIT) amounted to 28.5 million euro, compared to 35.9 million euro in 2008, posting a decline of 20% and mainly affected by the Real Estate activities as well. Earnings before taxes from continued activities posted an increase of 140%, and amounted to 82.4 million euro compared to 34.3 million euro in the first half of 2008. Net earnings after minority interest amounted to 70 million euro, posting an increase of 363% compared to the respective period of 2008 and mainly affected positively from the completion of the agreement with the French Group GDF SUEZ.
Total net debt amounts to 35 million euro, as the Group maintains cash & cash equivalents of 540 million euro, while total bank debt amounts to 575 million euro. Total equity amounted 762 million euro, reaching particularly high levels due to the Group?s increased profitability.
As regards to the individual activities: the Group?s construction backlog amounts to approximately 1.9 billion euro, 25% of which is from the Middle East and Balkans region. The construction turnover amounted to 316.7 million euro compared to 229 million during the 1st half of 2009 posting a 38% increase, while operating profit (EBIT) amounted to 18.7 million euro compared to 9.7 million the respective period of 2008, increased by 92%.
In the Real Estate sector sales amounted to 2.8 million euro compared to 18.8 million the respective period last year. Globally the Real Estate sector continues to face considerable difficulties due to the international financial crisis. The GEK TERNA Group continues the development of its existing scheduled developments at a careful pace, while at the same time it evaluates potential investment opportunities. The total value of real estate owned and developed by the Group reaches 300 million euro, while its debt leverage is less than 20%.
In the Concessions sector, operating profit (EBIT) amounted to 0.6 mn euro compared to 1.1 million during the 1st semester of 2008. Turnover from the sector amounted to 11.3 million euro compared to 9.7 million euro the respective period of last year. The largest portion of the sector's income is due to the management of the Ionian Road project and from the management of car parks. Income from Ionian Road is expected to increase significantly as the implementation of the project proceeds gradually.
From the sector of energy production from thermal sources, income for the Group amounted to 4.7 million and earnings before interest, tax, depreciation and amortization (EBITDA) amounted to 1.1 million euro, which concern the first back up unit ΗΕRON 1. At the same time the Group is constructing a second unit in Viotia (ΗΕRON 2) with a capacity of 435 MW, which is expected to be incorporated in the system in early 2010. It is noted that the agreement with the GDF SUEZ Group has already been completed, regarding the transfer of 50% and joint management of the two first thermal units.
In the Renewable Energy Sources (RES) sector, TERNA ENERGY, a subsidiary of GEK TERNA S.A., operates 148.6 MW of energy production facilities from Renewable Sources, while an additional 83.5 MW are under construction. Income from the production of energy from RES amounted to 15 million euro, increased by 46% while EBITDA amounted to 9.2 million during the first half of 2009, increased by almost 45%.
Net earnings of 70 million euro for the GEK TERNA Group following the completion of the GDF SUEZ agreement
According to the financial statements of 30/06/2009, prepared according to the International Financial Reporting Standards, the results for the first half of 2009 are as follows:
Consolidated sales of GEK TERNA amount to 365 million euro, compared to 287.5 million euro in the first half of 2008, posting an increase of 26.9%, mainly due to the higher construction activity.
Earnings before interest tax depreciation and amortization (EBITDA) of the GEK TERNA Group amounted to 42.3 million euro, posting a decrease of 15.7% compared to the respective period of last year. It is noted that the decrease in the Group's operating profitability is due to the decline in the Real Estate activity, as operating profit of from the latter amounted to only 0.7 million euro during the first half of 2009, compared to 19.9 million the first half of 2008.
The Group's total operating profit (EBIT) amounted to 28.5 million euro, compared to 35.9 million euro in 2008, posting a decline of 20% and mainly affected by the Real Estate activities as well. Earnings before taxes from continued activities posted an increase of 140%, and amounted to 82.4 million euro compared to 34.3 million euro in the first half of 2008. Net earnings after minority interest amounted to 70 million euro, posting an increase of 363% compared to the respective period of 2008 and mainly affected positively from the completion of the agreement with the French Group GDF SUEZ.
Total net debt amounts to 35 million euro, as the Group maintains cash & cash equivalents of 540 million euro, while total bank debt amounts to 575 million euro. Total equity amounted 762 million euro, reaching particularly high levels due to the Group?s increased profitability.
As regards to the individual activities: the Group?s construction backlog amounts to approximately 1.9 billion euro, 25% of which is from the Middle East and Balkans region. The construction turnover amounted to 316.7 million euro compared to 229 million during the 1st half of 2009 posting a 38% increase, while operating profit (EBIT) amounted to 18.7 million euro compared to 9.7 million the respective period of 2008, increased by 92%.
In the Real Estate sector sales amounted to 2.8 million euro compared to 18.8 million the respective period last year. Globally the Real Estate sector continues to face considerable difficulties due to the international financial crisis. The GEK TERNA Group continues the development of its existing scheduled developments at a careful pace, while at the same time it evaluates potential investment opportunities. The total value of real estate owned and developed by the Group reaches 300 million euro, while its debt leverage is less than 20%.
In the Concessions sector, operating profit (EBIT) amounted to 0.6 mn euro compared to 1.1 million during the 1st semester of 2008. Turnover from the sector amounted to 11.3 million euro compared to 9.7 million euro the respective period of last year. The largest portion of the sector's income is due to the management of the Ionian Road project and from the management of car parks. Income from Ionian Road is expected to increase significantly as the implementation of the project proceeds gradually.
From the sector of energy production from thermal sources, income for the Group amounted to 4.7 million and earnings before interest, tax, depreciation and amortization (EBITDA) amounted to 1.1 million euro, which concern the first back up unit ΗΕRON 1. At the same time the Group is constructing a second unit in Viotia (ΗΕRON 2) with a capacity of 435 MW, which is expected to be incorporated in the system in early 2010. It is noted that the agreement with the GDF SUEZ Group has already been completed, regarding the transfer of 50% and joint management of the two first thermal units.
In the Renewable Energy Sources (RES) sector, TERNA ENERGY, a subsidiary of GEK TERNA S.A., operates 148.6 MW of energy production facilities from Renewable Sources, while an additional 83.5 MW are under construction. Income from the production of energy from RES amounted to 15 million euro, increased by 46% while EBITDA amounted to 9.2 million during the first half of 2009, increased by almost 45%.