The Board of Directors of the Hera Group today unanimously approved the consolidated economic results for the first three months of the year. Despite the extraordinarily mild climate of the period, which had a negative impact on energy sales, the overall values show significant increases, thanks to the balance of the multi-business services portfolio and the commercial strength deployed by the Group on the special waste front and on the free market of electric energy.
Revenues
Revenues decreased by 166,5 million, going from 1.393,1 million in the first quarter of 2013 to 1.226,6 million in the first quarter of 2014 (-12,0%). The decrease was above all due to lower volumes in the sale of gas for the aforementioned climatic reasons and to the decrease in the price of the raw material in the sale of electricity. However, these events were partially offset by higher revenues due to the increase in waste disposed of and by higher revenues from regulated activities (urban sanitation, integrated water cycle and gas and electricity distribution).
Gross Operating Margin (EBITDA)
The consolidated gross operating margin (EBITDA) grew to 275,6 million (+1,7% compared to 271,1 million as at 31/03/2013), also due to the more than proportional decrease in raw materials and materials costs compared to lower revenues due to the drop in volumes mentioned above. The result is positively impacted by the extraction of synergies from the merger with AcegasAps, in line with the provisions of the business plan.
Operating result and pre-tax profit
Operating profit amounted to 172,9 million (+0,2%). Profit before taxes (which in comparison with the first quarter of 2013 must be adjusted by non-operating revenues for 42,7 million, deriving from the positive difference between the net value of the consolidated assets of Acegas Aps and their market value - IFRS3) it stands at 140,5 million (-2,4%).
Net income
Due to a tax rate of 36,5%, a significant improvement over the previous year (39,8%), due to the lower impact of the Robin Hood Tax, the adjusted net profit grew to 89,1 million (+2,8 .86,7%, compared to 31 million as at 03/2013/83,2), of which XNUMX million pertaining to the Parent Company.
Investments and net financial position
In the first three months of 2014, the Group's gross investments amounted to 56,2 million, in line with the business plan. Of these, 21,2 million are destined for the integrated water cycle. The net financial position amounted to 2.540,3 million, down compared to 2.566,7 million as at 31/12/2013, thanks to the positive cash generation in the quarter.
"The results of this first quarter confirm the validity of Hera's multi-business model, which compensated for the losses recorded on gas in relation to the hot winter", he states Tomaso Tommasi di Vignano, Chairman of Hera. “The size the Group has now reached was also decisive for the results, which allows it to deploy strength and effectiveness on liberalized markets. With regard to special waste, being able to count on such a widespread plant engineering and logistics platform has made it possible to increase market shares in a sector in which overall volumes are still struggling to recover”.
