Income statement

 

Solid top-line performance

In 2012, EDPR kept delivering a solid operating performance that has been translated into a 20% top-line year-on-year growth. The strong increase in electricity output and the higher average selling price led to 1.3 billion euros of Revenues.

As a result of EDPR’s continued focus on operational efficiency, Opex – defined as Operating Costs (net) minus Other operating income – was up 17% year-on-year below the top-line growth evolution.

EBITDA was up 17% to 938 million euros following the Revenues growth, high operational efficiency levels and positive forex impact, although negatively impacted by one-off events.

The operating income (EBIT) increased 30% during the year, reaching 450 million euros by year-end, following the EBITDA performance and the 7% higher depreciation and amortisation. Depreciation and amortization was impacted by the new capacity brought into operation, the extension of the assets’ useful life and impairments (53 million euros) mostly related to projects under development in Spain. Excluding non-recurring events in 2012 and 2011 and adjusting for the impact of the extension of the useful life of assets, EBIT would have grown 34%.

At the financial results level, net interest costs before capitalisation increased 8% to 205 million euros in 2012, below the 14% year on- year average financial debt evolution. Institutional partnership costs were 4% up year-on-year given the stronger US Dollar, while forex differences and derivatives remained positive.

Pre-Tax Profit increased 53% year-on-year to 182 million euros in 2012. In the period, income taxes amounted to 46 million euros, with an effective tax rate of 25% (vs. 24% in 2011). Non-controlling interests totalled 10 million euros, following the better performance in EDPR Europe and the sale of a non-controlling interest in 599 MW in the US.

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All in all, Net Profit increased 43% year-on-year to 126 million euros in 2012 while Adjusted Net Profit increased by 32% to 134 million euros when adjusted by the non-recurrent events with impact on the operating income, forex differences and capital gains (in 2012 and 2011).

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