Distribution network operator LESTO AB reduced operating and technological costs, as a consequence LESTO consolidated net loss during the three quarters of 2012 decreased by third comparing to the same period last year, from 37.2 million LTL to 24.9 million LTL. Growing electricity consumption increases the income of the Group.
During the three quarters of 2012 LESTO group earned LTL 1.68 billion, comparing with the same period of 2011 it increased by 1.51 %.
“Changes inside the Company determined better net operating result – operating costs decreased due to more effective Company’s activity. Also, the technological losses decreased due to consistently planned investment – this year during the three quarters they reached 7.4 % when last year – 8.21%. Even a small change in percentage of those costs determines millions of kilowatt-hours saved, consequently LESTO invests in modernization of distribution network”, - states Arvydas Tarasevičius, CEO of LESTO AB.
The increase in effectiveness of LESTO group shows changeable EBITDA rate (Earnings Before Interest, Taxes, Depreciation and Amortization) – this year during the three quarters of 2012 it was 299.29 million LTL which is 5.19 % more than last year during the same period. Accordingly, EBITDA profit in comparing period increased from 17.22 % to 17.84 %. The reason why group faces net loss is peculiarities of regulation. Depreciation and amortization costs in financial statements are higher than those which are put in distribution tariffs and set by regulator.
The main source of Company’s income is income from network service that made up 68% of total income, income from public supply service consisted 22%, income from guarantee supply for the customers that have not chosen independent supplier amounted to 6 % of Company’s income.
More effective activity of the Company enables to increase investment in electricity network without changing electricity distribution prices. In the first nine month of 2012, LESTO investments in electricity network expansion and modernization reached 123.1 million LTL. It was 20.31 % more compared to the investment in the first nine months of 2011, because during reporting period LESTO connected 1.48% more – 12,113 new costumers.
“The Company seeks that electric energy supply would be more and more reliable and effective – previous investment increased reliability indexes and effectiveness this year, accordingly, currently investments will make a precondition to improve indexes in the future” – states Arvydas Tarasevičius.
During the nine months of 2012 regardless of the influence of natural disasters (“force majeure”) the system average interruption duration index (SAIDI) per customer was equal to 54.3 minutes which is 15.4 % better than last year. During the reporting period 704 kilometers of underground (cable) lines were laid, which significantly reduce the number of failures during the operation.
LESTO’s long-term strategy for the year 2012-2020 projects company’s aspiration to be effective, to use resources optimally, to serve customer’s needs, and act as company that shares society’s trust. The company shall strive to increase its value by increasing efficiency in customer services, creating a modern organizational culture, applying up to date management methods, increasing efficiency in business processes, reducing loss in an electrical grid, ensuring connection of new customers and reliability of grid functioning.
Representative for Public Relations Ernestas Naprys, Tel. No (+370~5) 251 4516
