PJSC ROSSETI discloses IFRS Financial Results for the 9 months 2021

November 26, 2021 Moscow, Russia - PJSC ROSSETI (LSE: RSTI), Russia's largest electricity transmission and distribution grid company, discloses interim condensed unaudited consolidated financial results under the International Financial Reporting Standards (IFRS) for the three and nine months, ended September 30, 2021.

The statements cover PJSC ROSSETI and its subsidiaries (the "Group").

Financial results:

·    Revenue: RUB 798.8 billion (9м2020: RUB 719.3 billion)

·    EBITDA[1]: RUB 262.9 billion (9м2020: RUB 223.0 billion)

·    Net profit: RUB 104.8 billion (9м2020: RUB 77.9 billion)

Operating results:

·    Electricity transmission: 576.3 bln kWh (9м2020: 536.7 bln kWh)

·    Connected capacity: 6.8 GVA (9м2020: 5.7 GVA)

·    Number of substations: 528 thousand units (9м2020: 517 thousand units)

·    Transformer capacity: 809 GVA (9м2020: 802 GVA)

·    Length of transmission lines: 2.40 million km (9м2020: 2.37 million km)

Key events in the reporting period:

·    In January 2021 Andrey Ryumin was elected as Director General of PJSC ROSSETI.

·    The Annual General Meeting of PJSC Rosseti Shareholders was held.

·    The Russian Government approved Long-term Development Programme of PJSC ROSSETI and its subsidiaries up to 2030.

·    The new Innovative Development Programme of PJSC ROSSETI was approved.

·    The Analytical Credit Rating Agency (ACRA) has confirmed the credit rating of PJSC ROSSETI and its bonds at AAA (RU) with a "stable" outlook.

·    ACRA has assigned an ESG rating of ESG-3 to the Rosseti Group, confirming "a very high level of compliance with best practices".

·    Standard and Poor's has raised its assessment of PJSC ROSSETI creditworthiness by one notch (from "bb" to "bb+").

Events after the reporting date:

·    PJSC ROSSETI was awarded with the first place in nomination "Leadership at ESG transparency among grid companies" in a debut ESG ranking by Credit Rating Agency "Expert RA".

·    PJSC ROSSETI and Rosprirodnadzor have concluded an agreement on cooperation in the field of environmental protection.

Financial results: 

Rosseti Group's revenue for 9m2021 increased by RUB 79.5 bln (+11.1 % YoY) and was driven by: 

·    Increase in revenue from electricity transmission services due to tariff indexation and increase in electricity consumption.

·    Increase in revenue from electricity sales caused by increased energy consumption.

·    Increase of other revenue mainly from construction services.

Operating expenses

The increase in the operating expenses is mainly due to higher expenses for purchased electricity for compensation of losses and for purchased electricity for sale.

Detailed information on Rosseti's interim condensed unaudited consolidated IFRS financial statements for the three and nine months ended September 30, 2021 is available at the Company's website at:  https://www.rosseti.ru/eng/investors/reports/fin-inf/.  

*  *  *

For more details:

PJSC Rosseti

Yuliya Martynova                                                                  +7(495) 995 5333 (ext. 3834)

                                                                                              Martynova-YS@rosseti.ru

Anna Ivanko                                                                          +7(495) 995 5333 (ext. 5470)

                                                                                               Ivanko-AA@rosseti.ru

Public Joint Stock Company Rosseti (PJSC Rosseti) is one of the largest electric grid companies in the world. The company manages 2.4 million kilometers of power lines, 528 thousand substations with a transformer capacity of over 809 GVA.

The asset portfolio of PJSC Rosseti includes 34 subsidiaries and affiliates, including 16 interregional and one transmission company. The controlling shareholder with an 88.04% stake in the Company is the government, represented by the Federal Agency for State Property Management of the Russian Federation.

The materials included in the press release may contain forecasts or other forward-looking estimates of future events or indicators of the future financial activities of PJSC Rosseti. Terms such as "we expect", "we believe", "we estimate", "we intend", "we will", "we might", "maybe", "probably" and similar expressions indicate that what is meant herein are forecast estimates. PJSC Rosseti warns that these statements are no more than forecasts, and actual events or results may differ essentially from them. PJSC Rosseti will not correct these statements taking into account events and circumstances arising after the date of publication hereof. Factors that may lead to changes in the results contained in forecasts and forward-looking estimates of PJSC Rosseti may include, among other things, general economic conditions, competitive environment, risks of doing business in the Russian market, rapid technological and market changes in the industry, as well as numerous other risk factors affecting PJSC Rosseti and its activities.