Financial and operational performance of Bogdanka for the third quarter of 2021 meets the expectations
Lubelski Węgiel Bogdanka S.A. published consolidated financial results for three quarters of 2021. Consolidated revenue for that period amounted to PLN 1,668.5 million, EBITDA – PLN 538.3 million, operating profit – PLN 212.8 million, and net profit – PLN 164.8 million.
In Q3 2021 alone, sales revenue amounted to PLN 621.9 million, and EBITDA to PLN 208.5 million. The operating profit amounted to PLN 96.6 million and the net profit was PLN 73.4 million.
After 3Qs of 2021, Bogdanka built 15.4 km of galleries. Production of commercial coal after the first nine months of the year amounted to 7.5 million tonnes (in Q3 alone, production amounted to 2.6 tonnes). Coal sales after 3Qs of the year reached 7.2 million tonnes, hence represented an increase of about 27.1% compared with the previous year (2.7 million tonnes in Q3). Average yield for three quarters of 2021 amounted to 70.3%, in comparison to 64.5% the year before, and in Q3 2021 alone it amounted to 68% (compared to 60.2% in Q3 2020).
LW Bogdanka S.A. also strengthened its market position reaching a high 29.2% share in the sales of coal to commercial power plants. The share in total power coal sales accounted for 23%. Approximately 87% of sales generated in the three quarters were performed to Enea Wytwarzanie and Enea Elektrownia Połaniec as well as the Azoty Zakłady Azotowe Puławy S.A. Group.
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In the third quarter we observed an ongoing trend of increased demand for coal from the commercial power plants and the heat sector. Reaching those results, which are similar to performance in 2019, was made possible thanks to the intense work of employees and consistent pursuance of production assumptions. We wish to make full use of the economy and ensure stable coal supplies to our customers. Reaching the assumed production plan at the level of 9.6 million tonnes at the end of the year is in no way jeopardized, said Artur Wasil, President of the Management Board of Lubelski Węgiel Bogdanka S.A.In three quarters of 2021, the LW Bogdanka Group’s capex approached to PLN 210.3 million. The largest portion of this sum, i.e. almost PLN 133.8 million, was used for new excavations and modernisation of the existing ones.
The financial results of the LW Bogdanka Group for Q3 2021 and 3Qs 2021 are presented in the table below:
|
[PLN ‘000] |
Q3 2020 |
Q3 2021 |
Change |
Q1-Q3 2020 |
Q1-Q3 2021 |
Change |
|
Net revenue on sales |
504,522 |
621,888 |
+23.3% |
1,353,533 |
1,668,479 |
+23.3% |
|
EBITDA |
96,540 |
208,460 |
+115.9% |
317,648 |
538,309 |
+69.5% |
|
EBIT |
842 |
96,603 |
+ 11,373.0% |
50,742 |
212,797 |
+319.4% |
|
Net profit (loss) |
-1,830 |
73,393 |
- |
34,839 |
164,751 |
+372.9% |
LW Bogdanka S.A. – Highlights
Lubelski Węgiel Bogdanka S.A. is the leader among hard coal producers in Poland, standing out in the industry in terms of modernity and efficiency of extraction. It is one of the largest hard coal mines in Poland. Lubelski Węgiel Bogdanka S.A. conducts primarily mining operations with respect to extraction, agglomeration and sale of hard coal. The Company supplies raw material mainly to industrial customers. Supplies are delivered based on long-term agreements with the sales made to commercial and industrial power sectors.
The Company has been listed on the Warsaw Stock Exchange since June 2009.
Since October 2015, Bogdanka has been part of the Enea Group, the second leading producer of electrical energy in the Polish power market, which manages a full value chain on the electrical energy market – from petrol, through production, distribution and sale of electrical energy, to customer service.