PGNiG Group results First quarter May 9th, 2016

Transcription

1 PGNiG Group results First quarter 2016 May 9th, 2016

2 High sales volumes in all segments while decline in the price of oil and natural gas Revenue Operating expenses EBITDA EBIT Net profit -12% -16% 3% 4% 11% 0% Q2015 in PLN million 1Q2016-7

3 Performance drivers Stronger USD i EUR against PLN yoy 9-month average of crude oil prices down by 44% yoy and 6% qoq PLN 4, % 96 USD/bbl % 4, % ,5-37% Quarterly average USD/PLN exchange rate 3M moving average of Brent oil price in USD Quarterly average EUR/PLN exchange rate 9M moving average of oil price in USD 3, '14 06'14 09'14 12'14 03'15 06'15 09'15 12'15 03'16 04'14 06'14 09'14 12'14 03'15 06'15 09'15 12'15 03'16 3

4 Performance drivers Average tariff price of gas fuel in Poland and the price of gas on the PPE PLN/MWh PPE (day ahead market) Average regulated price of gas sold by the PGNiG Group in Poland 50 01'14 02'14 04'14 05'14 07'14 08'14 09'14 11'14 12'14 02'15 03'15 05'15 06'15 08'15 09'15 11'15 12'15 02'16 03'16 Notice: Price in the chart is calculated on the combined tariff-price sales of PGNiG SA and PGNiG Retail to customers in Poland. It excludes transactions on the Polish Power Exchange, discounts, and gas sold directly from the fields. The largest volumes of gas were traded on the PPE and other gas exchanges under contracts with maturities of a quarter, season (summer/winter) and gas year, with the spot market playing a complementary role in gas trading. 4

5 Segments results

6 Results of Exploration and Production segment under the pressure of low crude oil prices Crude oil sales yoy 348 / 398 ths. tonnes +14.4% Natural gas production yoy 1.2 / 1.2 bcm no changes Revenue Operating expenses EBITDA EBIT -14% 26% -29% -41% 0% Q2015 1Q2016 in PLN million -7

7 Rebates policy and lower tariff responsible for lower Trade and Strorage revenue Natural gas sales yoy 7.7 / 8.0 bcm +3.9% Gas inventory levels yoy 1.25 / 0.91 bcm -27.2% Quarterly opertaing margin yoy Revenue Operating expenses EBITDA EBIT 4% / 2% -2 p.p. -14% -15% 7% 3% 0% Q2015 1Q2016 in PLN million -7

8 Operationally good result of Distribution segment without one-off events Gas distribution volume yoy 3,260 / 3,490 bcm +7.1% Revenue Operating expenses EBITDA EBIT 6% -20% 45% 76% 0% Q2015 1Q2016 in PLN million -7

9 Higher sales volumes supported very good results of Generation segment Heat sales yoy 15,055 / 16,152 TJ +7.3% Electricity sales yoy 1,349 / 1,390 GWh +3.0% Revenue Operating expenses EBITDA EBIT 8% 1% 17% 17% 0% Q2015 1Q2016 in PLN million -7

10 Falling commodity prices and cost efficiency improvement positively impacted Q1 results Total operating expenses Cost of gas sold Depreciation and amortisation Employee benefits expenses Other -15% -15% 1% -22% -17% 0% Q Q 2016 in PLN million -7

11 Questions & Answers

12 Appendix

13 Results of E&P and T&S segments under the pressure of low crude oil prices Major share of Distribution in EBITDA. Segment s contribution to PGNIG Group s EBITDA Heat and Power Generation 15% 13% Q Q Expoloration and Production 26% 38% 22% 27% Distribution 32% Trade and Storage 28% 13

14 Impact of the segments operating results on PGNiG Group s EBITDA EBITDA Q E&P T&S Distr. Gen. Other EBITDA Q in PLN million 14

15 Operating data 1,6 1,2 0,8 0,4 0 Gas output and crude output bcm 000 tonnes Natural gas (left axis) Crude oil and condensate (right axis) 0 Q Q Q Q Q Q Q Q bcm 10 7,5 5 2,5 0 Gas sales volume and gas inventory levels PGNiG Group's gas sales volumes Gas inventory levels Q Q Q Q Q Q Q Q Gas distribution volume PGNiG Group gas sales volumes by customer group mcm ,490 3,260 2,890 2, ,020 1, ,590 1, Q Q Q Q Q Q Q Q * PGNiG SA, PGNiG Obrót Detaliczny, PST Polish Power Exchange (TGE) PST customers Refineries and petrochemicals Power and heat plants Nitrogen processing plants Retail, services, wholesale Other industrial customers Households Q Q ,0 2,0 4,0 bcm

16 EIP- Over 35% planned gains for achieved in Q The Programme aims to permanently reduce the manageable cost base across core PGNiG Group segments Programme objectives: To set efficiency improvement targets for the individual segments and entities within the PGNiG Group and to define related benefits to quality improvement. To define the scope of action and to assign specific tasks to individual business segments based on identified areas for improvement. To implement initiatives designed to improve the PGNiG Group's operating efficiency by the end of PLN 114m cost savings in Q PLNm Planned gains (accumulated) Achieved gains (accumulated) Operating expenses covered by the EIP % 925 Other OPEX 24 Total OPEX PLN 29bn in 2013 Manageable OPEX 5 Key cost items (excluding PPE): Gas purchase costs Other fuel purchase costs Transmission service costs Depreciation and amortisation expenses %