JSC Mosenergo: IFRS for the 9m2016

December 5, 2016 Moscow

Mosenergo releases unaudited interim consolidated financial statements (prepared in accordance with IFRS) for the 9 months ended September 30, 2016.

(1) Excluding depreciation of PP&E

(2) EBITDA = operating profit + depreciation of PP&E

(3) Adjusted to impairment of PP&E, impairment of receivables and to reserves

mn.

In 9M 2016 Company revenue grew by 11.7% year-on-year up to RUR 127,670

The bulk of the total revenue (60.6%) was contributed by the revenue from

electricity and capacity sales, which grew by 16.9% up to RUR 77,369 mn, on the back of growing electricity production (+6.2%), increased prices at deregulated market (+7.6%), new units commissioning at CHP-12 and CHP-20 and increased new CSA- capacity price.

Revenue from heat sales (38% of the total revenue) increased by 13.2% year- on-year, totaling RUR 48,531 mn, mainly on the back of higher heat output (+12.8% in the reporting period). Other revenue totaled RUR 1,770mn.

Variable costs in 9M 2016 grew by 12.3% year-on-year, totaling RUR 85,335 mn. Fixed costs in the reporting period grew marginally by 4.1%, up to RUR 19,061

mn.

EBITDA for 9M 2016 increased by 7.4% year-on-year, up to RUR 20,068 mn.

EBITDA, adjusted to impairment of PP&E, impairment of receivables and to reserves amounted to RUR 24,912 mn (+22%)

Mosenergo IFRS profit for the 9M 2016 increased to RUR 7,329 mn growing thus

x3.2

MOSENERGO PR DEPARTMENT