PLN bn 3.7 / Net profit PGE Capital Group in 2014

PLN bn 8.1 / EBITDA PGE Capital Group in 2014

PLN bn 28.1 / Sales revenues PGE Capital Group in 2014

PLNm	Y 2014	Y 2013	change [%]
Sales revenues	28,137	30,145	-7%
Recurring sales revenues*	26,598	29,844	-11%
EBITDA	8,118	7,837	4%
Recurring EBITDA*	6,466	8,279	-22%
EBIT	5 096	4 847	5%
Recurring EBIT*	3,444	5,289	-35%
Net profit to equity	3,638	3,948	-8%
Recurring net profit to equity*	2,615	4,303	-39%
CAPEX	6,349	4,357	46%
Net cash from operating activities	6,333	7,941	- 20%
Net cash from investing activities	- 6,296	- 5,717	- 10%
Net cash from financing activities	284	- 1,066	n.m.

* excl. significant one-off items
Consolidated sales revenues of PGE Capital Group amounted to ca. PLN bn 28.14 (compared to PLN bn 30.15 in 2013). The decrease in revenues was mainly due to lower revenues from sales of electricity as a result of lower energy prices on the wholesale market and lower production volumes due to blocks decommissioning and modernizations.

Consolidated financial results of PGE in 2014 were significantly affected by non-cash one-off items like revenues due to termination of long term contracts for sale of capacity and electricity (so-called LTC compensations), reversal of provision as a result of the favorable verdicts of the Court of Appeal regarding the disputes on LTC compensations, reversal of provision for CO₂ emission rights for 2013 granted free of charge, accordingly increasing reported EBITDA and provision raised for costs of Voluntary Leave Programs, accordingly decreasing reported EBITDA. Additionally impairment loss on financial instruments due to estimated loss of value accordingly decreased reported net profit.

Consolidated financial results of PGE were also significantly affected by change in accounting policy with regard to reclamation provision in open-pit mines involving capitalization of future reclamation costs of excavation created through overburden extraction.

PLNm	As of 31.12.2014	As of 31.12.2013
Non-current assets	52,182	48,239
Current assets	14,019	13,013
Total assets	66,201	61,252
Equity	44,884	43,808
Non-current liabilities	14,051	9,654
Current liabilities	7,266	7,790
Total liabilities	66,201	61,252

PLNm	As of 31.12.2014	As of 31.12.2013
Cash flow from operating activities	4,613	4,847
Net cash from operating activities	- 6,296	- 5,717
Net cash from financing activities	284	- 1,066
Net change in cash and cash equivalents	321	1,158

in TWh	Y 2014	Y 2013	change [%]
Net electricity production	54,84	57,04	-4%
Sales on the wholesale market	62,44	71,37	-13%
Sales to final customers	39,64	36,95	7%
Distribution of electricity	32,54	31,78	2%

in TWh	Y 2014	Y 2013	change [%]
Lignite-fired power plants	39,22	41,36	-5%
Coal-fired power plants	11,35	11,57	-2%
Coal-fired CHP plants	1,10	1,11	-1%
Gas-fired CHP plants	1,16	1,11	5%
Biomass-fired CHP plants	0,43	0,44	-2%
Pumped storage power plants	0,52	0,53	-2%
Hydroelectric plants	0,42	0,49	-14%
Wind power plants	0,64	0,43	49%
TOTAL	54,84	57,04	-4%
Renewables generation	2,32	1,95	19%
including co-combustion of biomass	0,83	0,59	41%