Statkraft AS: Result for the fourth quarter of 2013

Solid quarterly result

(Oslo, 13 February 2014) In the fourth quarter of 2013, Statkraft posted an underlying^[1]operating profit before depreciation (EBITDA) of NOK 3843 million, an improvement of NOK 326 million compared with the corresponding quarter in 2012. The net profit was NOK 2354 million, compared with a loss of NOK 1960 million in the fourth quarter of 2012.

The average Nordic power price was somewhat lower, measured in EUR/MWh, than in the same quarter in 2012, but a stronger EUR against NOK resulted in a price that was about 8 per cent higher measured in NOK. The Group's power production was 16.3 TWh in the quarter, unchanged from the fourth quarter of 2012.

"Underlying operations were 9 per cent higher compared with the fourth quarter of 2012 and ended at NOK 3.8 billion. This is a result we are pleased with," says President and CEO Christian Rynning-Tønnesen.

Currency exchange rate changes resulted in negative effects in relation to financial items. These were mainly unrealised and are offset by positive translation effects in the equity. The profit after tax ended at NOK 2.4 billion. This is an improvement of NOK 4.3 billion compared with the fourth quarter of 2012, which was a quarter with relatively high write-downs.

Integration of international businesses
Statkraft's strategy is based on an evaluation of the energy markets' attractiveness and Statkraft's ability to create value. The strategy has five focus areas: Statkraft will focus on European flexible generation, market operations, hydropower in emerging markets, wind power and district heating.

Norway and Sweden are seeing high project activity levels with hydropower plant upgrades. Internationally, our position has been strengthened through the agreement with Norfund, which will result in the integration of the activities in South America and South Asia in Statkraft, and a further development of SN Power.  A decision has been made to establish a separate projects & construction unit in Statkraft's International hydropower business area. The unit will provide services to international hydropower projects in Statkraft and SN Power.

"Statkraft's ambition is to strengthen its position as a leading international provider of pure energy. This will be achieved by utilising the Group's competitive advantages and core expertise to the full," says Christian Rynning-Tønnesen.

For the year in total, underlying EBITDA ended at NOK 12 444 million, compared with NOK 11 347 million in 2012. Recorded net profit is characterised by large unrealised currency effects and amounted to NOK 208 million. These currency exchange rate changes are fully offset by translation effects in the equity. Equity has increased by NOK 8757 million through 2013 and amounted to NOK 71 107 million at year-end.

Statkraft is Europe's largest producer of renewable energy and the leading power company in Norway. The Group owns, produces and develops hydropower, wind power, gas-fired power and district heating. Statkraft is a major player in European power trading and has 3600 employees in more than 20 countries.

For additional information:
Head of Investor relations Thomas Geiran, tel.: +47 905 79 979. e-mail: thomas.geiran@statkraft.com
Press spokesperson Knut Fjerdingstad, tel.: +47 901 86 310. e-mail: knut.fjerdingstad@statkraft.com
SVP Corporate Communication Bente E. Engesland, tel.: +47 911 59 952.
e-mail: bente.engesland@statkraft.com

or www.statkraft.no