Comments on results of Stalexport Autostrady Group in 2024Q1-Q3

In 2024Q1-Q3 Group’s revenue amounted to PLN 434,946 thousand and increased by 14.2% compared to 2023Q1-Q3 (PLN 380,899 thousand), mainly due to increase of revenue from management and operation of motorway (increased by 14.2%), including toll revenue (increased by 14.2%) on the toll section of A4 Katowice-Kraków motorway (see detailed report here).

 In 2024Q1-Q3 Group’s cost of sales (PLN 137,756 thousand) increased by 11.5% compared to 2023Q1-Q3 (PLN 123,505 thousand), mainly as a result of increasing depreciation and amortisation costs (increase by PLN 7,807 thousand), costs of provision for resurfacing works (increase by PLN 2.980 thousand) and employee benefit expenses (increase by PLN 3.369 thousand).

 In comparison to 2023Q1-Q3 (PLN 7,477 thousand), Group’s other income in 2024Q1-Q3 (PLN 4,496 thousand) decreased by 39.9%, mainly due to reimbursement of costs of protection against the effects of mining damage in 2023Q1-Q3, which were not recorded in 2024Q1-Q3. In the same period the Group recorded administrative expenses (PLN 127,779 thousand) at higher level (increased by 10.6%) than in Q1-Q3 of last year (PLN 115,540 thousand), which is mainly due to payments to the State Treasury (increase by PLN 18,278 thousand), higher employee benefit expenses (increase by PLN 3.595 thousand), partially compensated by lower costs of other external services (decrease by PLN 11,184 thousand).

 Other expenses in 2024Q1-Q3 in the amount of PLN 3,797 thousand were at a higher level, compared to the costs incurred in 2023Q1-Q3 (PLN 342 thousand), mainly due to investments discontinued due to signing of Annex No. 9 to the Concession Agreement, recognized in previous reporting periods as an utilization of provision for capital expenditures (PLN 3,402 thousand). Impairment losses on trade and other receivables in 2024Q1-Q3 amounted to PLN 21 thousand, the same as in Q1-Q3 of previous year.

 In consequence of above the results from operating activities in 2024Q1-Q3 amounted to PLN 170,089 thousand and were higher (increased by 14.2%) than those achieved in 2023Q1-Q3 (PLN 148,968 thousand).

 The Group recorded a positive balance in financial activities in 2024Q1-Q3 in the amount of PLN 12,532 thousand, which was lower compared to the balance achieved in 2023Q1-Q3 (PLN 14,388 thousand). This result is mainly the effect of lower interest income on cash and cash equivalents (including non-current) by PLN 10,165 thousand, lower costs of discounting provisions (decrease by PLN 8.816 thousand) and higher interest expense on liabilities measured at amortised cost (increase by PLN 381 thousand). As a result of the above, profit before income tax in 2024Q1-Q3 amounted to PLN 182,699 thousand and was higher (increased by 11.7%) than the one achieved in 2023Q1-Q3 (PLN 163,493 thousand).

 As a result of activities in 2024Q1-Q3 Group achieved net profit at the level of PLN 141,758 thousand, which is at a higher level (increased by 11.8%), when compared with the net profit in 2023Q1-Q3 (PLN 126,826 thousand).

Condensed separate and consolidated interim financial statements of Stalexport Autostrady for 2024Q1-Q3 can be found here.