Lietuvos energijos gamyba, AB - Notification on material event

Lietuvos Energijos Gamyba, AB, preliminary financial results for 9 months of 2017

Lietuvos Energijos Gamyba, AB, company code 302648707, registered office at Elektrinės st. 21, Elektrėnai (hereinafter referred to as the Company). The total number of registered ordinary shares issued by the Company is 635 083 615, ISIN code – LT0000128571.

The Company announces preliminary financial results for 9 months of 2017:

	9 months of 2017	9 months of 2016	Change
Sales revenue	EUR 96.7 mln	EUR 100.9 mln	-4.2%
EBITDA	EUR 38.4 mln	EUR 31.6 mln	+21.5%
Net profit	EUR 19.7 mln	EUR 22.0 mln	-10.6%

Electricity produced at power plants controlled by the Company:

	9 months of 2017	9 months of 2016	Change
Elektrėnai Complex	129.3 GWh	308.0 GWh	-58.0%
Kruonis PSHP	404.3 GWh	411.3 GWh	-1.7%
Kaunas A. Brazauskas HPP	317.6 GWh	257.3 GWh	+23.4%

Electricity generation in Kaunas Algirdas Brazauskas HPP increased almost by one fourth in 9 months of 2017, compared to 9 months of 2016, due to the record watery year. This helped to compensate decrease of the Company’s sales revenue, which occurred because of a significant decrease of electricity production at Elektrėnai Complex.

Higher electricity production at the hydroelectric power plant has a positive impact on the Company’s EBITDA indicator. However, the growth in EBITDA in 9 months of 2017, compared to 9 month of 2016, is mostly explained by the fact that Company’s revenue from regulated activities are no longer affected by the regulation of commercial generation profits and results of the inspection of the Company’s activity in 2010-2012.

         Valentas Neviera, Head of Communication Division, tel. +370 670 25997, e-mail. valentas.neviera@le.lt