On December 10, 2015 the Board of Directors of PJSC 'MOESK' approved the Business plan including the investment program and information on the key operational risks for 2016.

A draft of an adjusted investment program of the Company for 2017-2021 and estimated figures of the Business plan for 2017-2020 will be considered at a meeting of the Board of Directors in Q1 2016 taking into account decisions on the tariffs and revision of the net electricity supply figures.

The Business plan of the Company for 2016 includes the investment program approved by Order of the Ministry of Energy of the Russian Federation No. 735 dated 16.10.2014.

Against the background of restriction of the tariffs growth and inflationary pressure on the prime cost and reduction in electricity consumption, in 2016 PJSC 'MOESK' expects increase in EBITDA operating revenue to RUB 45.4 billion (+ 10.9% from the expected actual figure for 2015 and net profit to RUB 9.7 billion (+5.3% of the expected actual figure for 2015. This result is planned to be achieved through successful implementation of the programs on reducing the operating costs and electric power losses.

As a part of the further works on reduction of losses, in 2016 it is expected that the losses will be reduced down to 6.8 billion kWh (- 10.3% of the expected actual figure for 2015.

The Company plans 25% of the net profit in the form of dividends for 2016 according to the approved Business plan continuing the practice of previous years (if there is a positive resolution of the General Meeting of Shareholders of PJSC 'MOESK' on their payment).

Basic financial indicators 2015-2016

Indicator UOM Expect. actual figure for 2015
 Plan 2016
Revenue (total) RUB million 132,897 143,966
from electric power transmission RUB million 120,263 132,158
from grid connection RUB million 11,287 10,000
from other activities RUB million 1,347 1,808
Prime cost (total) RUB million 116,524 125,584
Non-controllable costs, including: RUB million 84,571 91,534
purchased electricity for loss compensatio RUB million 13,467 13,777
services of PJSC FGC UE RUB million 14,979 16,401
Services of regional grid companie RUB million 31,894 35,079
Controllable costs RUB million 31,953 34,050
EBITDA RUB million 40,967 45,421
Net profit RUB million 9,224 9,717
Debt on loans and credits RUB million 73,417 78,708
Debt/EBITDA 1.8 1.7

OAO MOESK - Moskovskaya obyedinennaya elektrosetevaya kompaniya issued this content on 2015-12-11 and is solely responsible for the information contained herein. Distributed by Public, unedited and unaltered, on 2015-12-16 15:02:47 UTC

Original Document: http://www.moesk.ru/en/press/company_news/item224430.php