Comments on results of Stalexport Autostrady Group in 2013

In 2013 Group’s sales revenue increased by 11.3% compared to 2012, mainly due to the increase of revenue from management and operation of motorway, including the revenue on toll collection (increase by 13.1%) on the toll section of A4 Katowice-Kraków motorway (see detail report here). On the other hand, in 2013 Group’s revenue from the activity not related to the motorway decreased (by 44.3%) in comparison to 2012. Such revenues relate to lease of office space and from IT services provided in an offices building located at Mickiewicza 29 in Katowice. For comparison, in 2012, in addition to the above revenue, Group generated revenue from real property management as well. However, due to the sale of the controlling interest in Biuro Centrum (property manager), as of 1 June 2012, revenue of this company is not consolidated under the full method in the financial statements of the Group.

In addition, in year 2013 Group’s cost of sales was substantially lower (decreased by 27.1%) in comparison to 2012, mainly due to lower (decreased by 75.6%) cost of resurfacing provisions.

Taking into account the above described increase in revenues as well as the level of costs, the cumulative gross profit on sales in 2013 amounted to PLN 140,578 thousand and increased (by 47.9%) compared to PLN 95.060 thousand in previous year.

Moreover, in comparison to 2012, Group’s other income in 2013 has increased (by 61.3%), mainly due to reversal of provisions and write-offs. Other operating expenses in 2013 remained at the similar level as in the previous year.

It should also be noted that the negative balance in financial activities recorded in 2013 was lower (by 25.0%) than in year 2012. This was mainly due to reduction in the Group's net debt balance and reduced interest rates which resulted in lower loan interest as well as lower value of the discount on provisions.

As a result of activities in 2013 the Group achieved much significantly higher net profit of PLN 62.435 thousand compared to net profit of PLN 12.879 thousand in the respective period of the previous year.

The annual separate and consolidated financial statements of Stalexport Autostrady for 2013 can be accessed here.