RUSHYDRO DOES NOT SUFFER FROM CRISIS
· According to RAS, RusHydro’s revenues for H1 2009 totaled 39.15 billion rubles versus 29.3 billion Rubles for the same period during the previous year. The 33.6% revenue growth is explained by the increase in the size of the special investment component included in the tariff, as well as by the increased volume of sales at non-regulated prices (because of the timeline of Russian market liberalization). Costs during the reported period were 5.9% smaller. The drop in costs was a result of decreased volumes and lower prices on electricity.
· In H1 2009 net profit grew by 125% compared with H1 2008 and totaled 18.35 billion Rubles. We believe that the growth of sales and net profit will continue. However, we expect both sales and profit to grow equally.
· Strong financial condition and positive operational results show that Hydro energy industry in Russia is not affected by the crisis.
Read more in our new report - RusHydro (HYDR), Comment on Latest Events, Forecast on Growth and Risk 08/11/09
