HS Orka hf. - Financial Statement Release

HS Orka hf announces Condensed Interim Financial Statements for the first six months of 2015

Condensed Interim Financial Statements for the first six months of 2015 of HS
Orka hf. (the “Company”) were approved at a Board of Directors meeting on 11
August 2015. The financial statements of HS Orka hf. are prepared in accordance
with International Financial Reporting Standards as adopted by the European
Union and are stated in ISK. The financial statements can be found on the
Company´s website: http://www.hsorka.is 

Operating revenue for the period increased by 7% to ISK 3,826 million compared
to ISK 3,582 million in the first six months of 2014, primarily due to
increased retail sales. Profit for the period was ISK 142 million (H1 2014:
profit of ISK 740 million), while total comprehensive profit was ISK 74 million
vs. ISK 715 million in the first half of 2014. 

Negative fair value change of embedded derivatives in power purchase agreements
(linked to aluminum price) was ISK 1,240 million compared to loss of ISK 242
million in same period 2014. Foreign currency loss was ISK 282 million in the
first half of 2015 compared to a foreign currency gain of ISK 221 million in
the same period 2014. 

Company EBITDA increased by 13% to ISK 1,515 million (H1 2014: ISK 1,344
million).  The increased retail sales mentioned above was offset by a ISK 98
million (3%) increase in operating costs resulting from increased power
purchases, higher operating cost of power plants and increased transmission
costs in the period. 

The Company's equity ratio decreased to 58.8% against 59.7% at year-end 2014.

Further information can be provided by Ásgeir Margeirsson, Managing Director of
HS Orka hf., tel. 520 9300 / 855 9301.

Attachments:

HS Orka Financial Statement 30 June 2015 - final.pdf