Comments on results of Stalexport Autostrady Group in 2023Q1-Q3

In 2023Q1-Q3 Group’s revenue amounted to PLN 380,899 thousand and increased by 23.9% compared to 2022Q1-Q3 (PLN 307,330 thousand), mainly due to increase of revenue from management and operation of motorway (increased by 24%), including toll revenue (increased by 24%) on the toll section of A4 Katowice-Kraków motorway (see detail report here).

In 2023Q1-Q3 Group’s cost of sales (PLN 123,505 thousand) decreased by 34.1% compared to 2022Q1-Q3 (PLN 187,317 thousand), mainly as a result of lower costs of provision for resurfacing works.

In comparison to 2022Q1-Q3 (PLN 4,029 thousand), Group’s other income in 2023Q1-Q3 (PLN 7,477 thousand) increased by 85.6%, mainly due to reimbursement of costs of protection against the effects of mining damage and an increase in other revenues. In the same period the Group recorded administrative expenses (PLN 115,540 thousand) at higher level (increased by 165.2%) than in 2022Q1-Q3 (PLN 43,567 thousand), which is mainly due to "Payments to the State Treasury" in the amount of PLN 51,142 thousand in the current period, with no such cost in the comparative period.

With reference to the above, in the comparative period, the company updated costs of works related to the motorway resurfacing, which it is obliged to carry out by the end of the concession period. As a result of these activities, the resurfacing reserve account was topped up with a higher amount than in previous years, which in turn resulted in the lack of funds constituting the basis for calculating the "Payments to the State Treasury" in the comparative period.

Other expenses in 2023Q1-Q3 in the amount of PLN 342 thousand were at a comparable level to the costs incurred in 2022Q1-Q3 (PLN 347 thousand). Impairment losses on trade and other receivables in 2023Q1-Q3 amounted to PLN 21 thousand, compared to PLN 31 thousand in the same period of previous year. 

In consequence of above the results from operating activities in 2023Q1-Q3 amounted to PLN 148,968 thousand and were higher (increased by 86%) than those achieved in 2022Q1-Q3 (PLN 80,097 thousand). 

The Group recorded positive balance in financial activities in 2023Q1-Q3 (PLN 14,388 thousand) in contrast to the negative balance in 2022Q1-Q3 (PLN 1,905 thousand). This result is the combined effect of higher interest income on cash and non-current deposits but also higher costs of discounting provisions due to, among others, increase in the interest rates. As a result of the above, profit before income tax in 2023Q1-Q3 amounted to PLN 163,493 thousand and was higher (increased by 108.9%) than the one achieved in 2022Q1-Q3 (PLN 78,267 thousand).

As a result of activities in 2023Q1-Q3 Group achieved net profit at the level of PLN 126,826 thousand, which is at higher level (increased by 116.4%) when compared with the net profit in 2022Q1-Q3 (PLN 58,598 thousand).

It should be mentioned that the data for the comparative period were restated in connection with the changes described in note 5 to the consolidated financial statements.

Separate and consolidated condensed interim financial statements of Stalexport Autostrady for 2023Q1-Q3 can be found here.