OREANDA-NEWS. February 05, 2007. Based on preliminary data, in 2007 Lietuvos Energija AB group earned LTL61,9m of pre-tax profit. The net earnings accounted for LTL49,5m. Earnings before tax of the group’s main enterprise – Lietuvos Energija AB – accounted for LTL60,9m (in 2006 – LTL21,8m), net earnings – LTL48,9m (in 2006 – LTL18,4m), reported the press-centre of Lietuvos Energija.

According to Rimantas Sukys, Finance Director of Lietuvos Energija AB, the earnings growth has largely resulted from power trade peculiarities, whereby previous-year losses resulting from public obligation and auctioned electricity sales are compensated in the following year. Earnings before interest, taxes, depreciation and amortization (EBITDA) accounted for LTL221m (in 2006 – LTL186,3m).

During the year, acting as the transmission system operator, the company through its high-voltage grid transmitted 9,7bn kWh of electricity for domestic needs. The volume of transmitted electricity was by 3,1 larger than in 2006. During the reporting year Lietuvos Energija AB sales abroad stood at 2,4bn kWh of electricity.

In 2007 sales revenues of the group stood at LTL1200,2m of which LTL1133,1m were generated by Lietuvos Energija AB. LTL356,6m accounted for transmission and transit businesses, LTL594.4m – sales of auctioned, regulating and balancing electricity and public service obligations, LTL159,7m – electricity exports. Compared to the respective period in 2006, the revenues increased by 18 per cent. The revenue growth was mostly conditioned by a higher price of public obligations.

Last year the sales costs of Lietuvos Energija AB increased by 14,3 per cent year-on-year and totaled LTL1066,5m. The cost growth resulted from increase in prices of public service obligations and larger volumes of such electricity purchased from generators. The bulk costs - 60 per cent were incurred by electricity purchases and imports.

In 2007 investments for rehabilitation of power infrastructure accounted for LTL154,1m – nearly as much as in 2006.

Lietuvos Energija AB timely met its financial and contractual obligations. By the end of 2007 the company’s financial obligations to credit institutions totalled LTL89,8m and were by LTL27,1m lower than one year ago. The loans were used for refinancing of previously taken credits and investments. Moreover, credits in accounts were used for a short-term balance of cash flows.