News

EPM Group had an outstanding first half of the year, with revenues of COP 8.8 billion, which add to the development of the country

Fecha de publicación

2019-08-14 00:00

Contenido

 

• When EPM Group wins, the citizens win, because there are more  economic resources to invest in infrastructure projects

• The equity of the corporate group had an increase of 2%. Today, there are cash and cash equivalents of COP 3.2 billion 

• The Municipality of Medellin received COP 703,000 million in transfers, as an important contribution to social investment in the city

During the first half of 2019, EPM Group attained revenues of COP 8.8 billion, with a 12% growth over the same period of the previous year; EBITDA of COP 2.9 billion, 16% higher than the same period of 2018, and a net profit of COP 1.3 billion, with an increase of 29%.  E

PM´s CEO, Jorge Londoño De la Cuesta, indicated that “these results are possible thanks to a judicious exercise of productivity and efficiency achieved by the corporate group, with the commitment of all its staff, which allow reinvesting in infrastructure projects for the community and contribute to their well-being”. 

So far this year, EPM Group has made investments in infrastructure for COP 1.3 billion to improve service quality. In turn, EPM Parent Company investments reached COP 886,000 million, of which COP 455,000 million are for the Ituango Hydroelectric Project, which is on the track to reducing risks for communities located downstream of the dam.

Of the revenues obtained in the first six months of the year, EPM Parent Company contributed 47%, international subsidiaries 36%, Colombian power subsidiaries 15% and water subsidiaries 2%. “Once again, having a wide diversified portfolio of investments on several latitudes allows us to earn more to add to the quality of life of millions of people in the regions where we have a presence,” said Londoño De la Cuesta.

Thus the results were achieved

The increase in EBITDA compared to January-June 2018 is mainly explained by the increase in revenues in greater proportion to the increase in costs and expenses. The good performance of revenues is due, in part, to higher energy sales, both from EPM Parent Company and from domestic and foreign subsidiaries. 

To highlight that the EBITDA margin was 34%, compared to 33% last year, reflecting the savings efforts made by employees. On the other hand, the net profit margin was 15%, higher than the one recorded in the same period of 2018, which was 13%. 

EPM Parent Company, solid and growing 

EPM Parent Company obtained revenues of COP 4.2 billion, with a growth of 6%; EBITDA of COP 1.9 billion and a net profit of COP 1.3 billion, with increases of 13% and 48%, respectively.

Revenue growth originated, especially, by the increase in the commercialization of energy, and by higher spot price. The EBITDA and net profit margins were 45% and 26%, respectively, compared to 42% and 18% in 2018.  

Financial ratios 

The equity return of EPM Group’s was 13%, higher than the same period of the previous year, which was 12%. In EPM Parent Company, the equity return was 13% compared to 11% in 2018.  

The financial indebtedness of the EPM Group and EPM Parent Company stood at 42% and 40%, respectively, compared to 40% and 36% presented in 2018. The increase is due to loan disbursements to finance the General Investment Plan and the Ituango Hydroelectric Project. 

The Debt/EBITDA ratio of the EPM Group closed the period at 4.07 compared to 3.72 in 2018. This increase was caused by the increase in financial liabilities (19%) compared to the growth of the EBITDA (16%). At EPM Parent Company, this ratio stood at 5.14, compared to 4.2 in 2018.

Other EPM Group figures 

• Total Assets: COP 55.4 billion, with 6% growth.
• Liabilities: COP 33 billion, with 9% growth.
• Equity: COP 22.4 billion, with 2% growth.
• Cash and cash equivalents: COP 3.2 billion

Other EPM Parent Company figures 

• Total Assets: COP 47.9 billion, with 5% growth.
• Liabilities: COP 24.8 billion, with 8% growth.
• Equity: COP 23.1 billion, with 2% growth.
• Cash and cash equivalents: COP 2.4 billion.