OAO QUADRA. London September 2011

Transcription

1 OAO QUADRA London September 2011

2 Disclaimer The information contained herein has been prepared by the Company. The opinions presented herein are based on general information gathered at the time of writing and are subject to change without notice. The Company relies on information obtained from sources believed to be reliable but does not guarantee its accuracy or completeness. These materials contain statements about future events and expectations that are forward looking statements. Any statement in these materials that is not a statement of historical fact is a forward looking statement that involves known and unknown risks, uncertainties and other factors which may cause our actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by such forward looking statements. We assume no obligations to update the forward looking statements contained herein to reflect actual results, changes in assumptions or changes in factors affecting these statements. This presentation does not constitute an offer or invitation to sell, or any solicitation of any offer to subscribe for or purchase any securities and nothing contained herein shall form the basis of any contract or commitment whatsoever. No reliance may be placed for any purposes whatsoever on the information contained in this presentation or on its completeness, accuracy or fairness. The information in this presentation is subject to verification, completion and change. The contents of this presentation have not been verified by the Company. Accordingly, no representation or warranty, express or implied, is made or given by or on behalf of the Company or any of its shareholders, directors, officers or employees or any other persons to the accuracy, completeness or fairness of the information or opinions contained in this presentation. None of the Company nor any of its shareholders, directors, officers or employees nor any other person accepts any liability whatsoever for any loss howsoever arising from any use of this presentation or its contents or otherwise arising in connection there with. 1

3 Quadra at a Glance Activities Technical Characteristics Generation of electricity and heat Operations on wholesale market of electricity Transmission and sale of heat to retail market 25 power plants Installed electric capacity, 3 547,8 MW Installed heat capacity, ,3 Gcal/h 370 heating plants, including 203 leased plants Installed heat capacity, 3 419,7 Gcal/h 4646,2 km heat networks, including 1007,1 km leased Fuel mix - 97% is gas, 3% is fuel oil and coal Mosco w 1. Smolensk region 2. Briansk region 3. Kaluga region 4. Orel region 5. Kursk region 6. Tula region 7. Ryazan region 8. Lipetsk region 9. Belgorod region 10. Voronezh region 11. Tambov region In close proximity to Moscow region Industrially developed regions Regions of potential energy deficit Capital Structure Financials (1) Onexim Group is the only major shareholder % Ordinary shares Ticker on MICEX-TGKD Preferred shares Ticker on MICEX-TGKDP Market capitalization US$600mln as of 8 September 2011 (2) US$ mln H 2011 Revenue 997 1, Adj. EBITDA Debt / adj. EBITDA 0.4x 0.7x Notes: (1) IFRS, 1H 2011 RAS accounts; (2) Source: Bloomberg; (3) Excluding Mosenergo (TGK-3) Installed electricity capacity, GW (3) Installed heat capacity, ths. Gcal/h (3) TGK TGK TGK TGK Kuzbassenergo 4.5 Quadra (TGK-4) 15.9 TGK TGK Quadra (TGK-4) 3.4 TGK TGK Fortum (TGK-10) 12.8 TGK TGK Fortum (TGK-10) 2.8 TGK TGK TGK TGK Kuzbassenergo 8.9 Novosibirskenergo 2.5 TGK TGK TGK TGK Novosibirskenergo 6.9 TGK TGK

4 Corporate Governance and Management SHAREHOLDERS MEETING BOARD OF DIRECTORS, 11 members AUDIT COMMITTEE COMPENSATION COMMITTEE Board of directors includes: System Operator, 1 member Minority Shareholders, 2 members JSC QUADRA, 2 members Onexim Group, 6 members Yulia Basova Grigoriy Bakaev Chairman of the Board of Directors From 2008 Yulia has been Chief Operating Officer of Onexim Group. She was the Deputy of the CEO of the Norilsk Nickel Group. Chairman of the Executive Board, CEO Prior to joining JSC Quadra Mr. Bakaev served as a senior manager of JSC Taimirgas and JSC Irkutskenergo. In 2006 he was named one of the Top Ten Financial Directors of Russia. He graduated from Finance Academy under Russian Government, at the Krasnoyrask Institute of Commerce. 3

5 Quadra s Strategic Focus in 2011 New capacity Launch of operations at new power plants in Kaluga (30 MW) and in Kursk (115 MW/80 Gcal) in 2011 Ongoing work on new capacity to be launched in (780 MW) Heat business Proceeding with Quadra s heat distribution business spin-off Pilot project of RAB regulation in Orel region Organization of joint venture with Dalkia, which will be in charge of heat distribution business management in Kursk Implementation of a medium-term investment program Market capitalization Actively working with the analyst and investment community Increasing the company s transparency Working on credit rating (scheduled end of 2011) 4

6 Key operational results 27,610 26,749 27,086 Production Capacity Electricity Production Dynamics H 2011 Power plants Installed electric capacity, MW 3,347 3,419 3,522 3,547 Installed heat capacity, Gkal/h 12,472 12,556 12,653 11,563 Heating plants % 36% 37% 39% 40% 14,614 12,878 12,878 10,674 10,674 11,146 11,146 5,760 6,074 6,074 Including leased heating plants Installed heat capacity, Gkal/h 5,123 4,465 4,224 4,173 Heat networks, km 5,655 4,935 4,651 4,641 Including leased heat networks 2,016 1,293 1,017 1, H2010 1H2011 1H2011 Electricity production, mn kw h Heat output # from ICUF, power electricity stations and heating plants, ths. Gcal Operational Results H 2011 Electricity production, mnkwh 12,878 10,673 11,146 6,074 Heat Production Dynamics ,610 26,749 27,086 ICUF, electricity, % Fuel use for electricity, g/kwh Heat output from power stations and heating plants, ths. Gcal 27,610 26,749 27,086 14,614 ICUF, heat % Fuel use for heat, kg/gcal ,508 14, H2010 1H2011 Heat output from power stations and heating plants, ths. Gcal # Fuel use for heat, kg/gcal 5

7 Key Financial Results Financial Highlights (US$m) (1) EBITDA and EBITDA margin (US$m) (1) H H % 11% 8% 9% Revenue 997 1, ,170 Operating expenses, incl. 1,100 1, Fuel costs Staff Appreciation & depreciation Purchase of electricity H2010 1H2011 Revenue EBITDA # EBITDA margin Leverage capacity (US$m) Adj. EBITDA x 0.7x EBITDA margin 16% 11% 8% 9% 163 Net Profit/(Loss) Debt / adj. EBITDA 0.6x 0.5x Notes: (1) IFRS accounts, 1H2010-1H2011 RAS accounts Total Debt Adj. EBITDA # Total Debt / EBITDA 6

8 Investment program in New Power Plants characteristics Investment program financing in Capacity, MW/Gkal Investment, RUR mn Launch date Eletskaya CHP 52 2, Voronezhskaya CHP / 90 5, % Cash from operating activities 40% Additional issue Kurskaya CHP 115 / 80 5, % Bonds or credits Kaluzhskaya CHP 30 1, Livenskaya CHP 30 1, Novomoskovskaya CHP 190 / 130 7, Djagelevskaya 115 5, Impact of Investment program on EBITDA (US$m) Aleksinskaya CHP 115 5, Voronezhskaya CHP , Kurskaya CHP 107 5, E 2012E 2013E 2014E 2015E Notes: (1) Excluding seasonal factors Management estimates 7

9 Spin-Off Heat Business Market Share of Quadra - 25% Smolensk Moscow Goals Expected Results 29% Kaluga Bryansk 8% 1% Kursk 31% Orel 36% Tula 25% Lipetsk 36% Ryzan 7% Tambov 21% Creating an objective picture of the heat distribution business and creating conditions for future investments, potentially with strategic partners Preparing for the implementation of RAB regulation in heat business Liquidation of cross-subsidies Operating as separate heat transmission companies Achieving positive valuation of heat business Transparency in the heat business both for regulators and investors Belgorod 45% Voronez 26% JSC «Quadra» Power Generation Heat Networks Spin-Off Heat Business, Implementation Of RAB Regulation in Heat Business Completed: JSC Orlovskay Heat Company JSC Belgorodskay Heat Company JSC Smolenskay Heat Company JSC Ryzanskay Heat Company Will be created in 2012 JSC Tambowskay Heat Company JSC Voronezskay Heat Company Will be created in 2013 Lipetskay Heat Company JSC «Quadra» Power Generation New entity Heat Networks 8

10 Key Growth Drivers 1 Investment program (DPM) 2 Heat Business Spin-Off 3 Implementation Of RAB Regulation in Heat Business 4 Improving Operational Efficiency 5 Transparency and investor relations 9

11 Contacts Member of the Executive Board, Member of the Board of Directors Daniel Wolfe Cell: +7 (985) Head of Investor Relations Anna Krilova Cell: +7 (909) , +7 (495) , ext