Login    

Snam Rete Gas: net profit for the first six months of 2002 of 226 million euro (105 in the second quarter). An administrative appeal will be lodged, alongside the tax appeal, regarding the Sicilian tax on gas pipelines

Price sensitive

The Board of Directors of Snam Rete Gas today examined the figures as at June 30th 2002 that closed with a net profit for the first six months of 226 million euro (105 during the second quarter).

The Board of Directors also decided that the Company should continue to pay the environmental tax and voted to appeal to the TAR (Regional Administrative Court) to obtain immediate recognition of the relative charge within the tariff.
 

TAX LEVIED BY THE REGION OF SICILY

The Board of Directors examined resolution no. 120/02 with which the Electricity and Gas Authority decided not to apply, for tariff purposes, the tax on gas pipelines levied by the Region of Sicily because it felt that it clashed with European provisions. The Authority established that the tax should be included automatically in the tariff and backdated only if the competent courts should consider it legitimate at a later date.

Although the Board of Directors agreed that there were many illegitimate aspects at constitutional and community level in this tax - with regard to which Snam Rete Gas has sent a report-notification to the European Commission - considering the regional provision in force has therefore voted that the Company:
 

  • should continue to pay the instalments of the tax, until a judgement about legitimacy is passed, also to avoid the penalties provided for failure to pay;

  • hould appeal to the Lombardy TAR to obtain immediate recognition, in the tariff, of a charge due from and actually incurred by the Company.

In order to protect the interests of the Company and to obtain final and rapid recognition of the legitimacy of the tax, the Board of Directors voted to appeal to the Palermo Tax Commission, at the beginning of September 2002, should the request for the reimbursement of the instalments already paid be rejected.

REPORT AT 30 JUNE 2002

Operating scenario
Gas injected into the Snam Rete Gas network during the first six months of 2002 totalled 39.31 bcm, 3.29 bcm more than during the first six months of 2001, due to the storage restocking campaign and to the very cold weather during the winter months.

During the second quarter of 2002 volumes totalled 18.31 bcm, 0.84 bcm more than in the second quarter of 2001 due to the above-mentioned storage restocking.
 

Income Statement
The figures released have not been compared to the same periods of last year because the Company was not in operation during the first six months of 2001.


 

  

    

(euro m)

   

2Q02

1H02

NET SALES FROM OPERATIONS

444

889

OTHER INCOME

(5)

11

TOTAL REVENUES

439

900

OPERATING COSTS

(119)

(255)

EBITDA

320

645

DEPRECIATION & AMORTIZATION

(117)

(226)

EBIT

203

419

NET INTEREST EXPENSES

(37)

(78)

EARNINGS BEFORE EXTRAORDINARIES AND TAXES

166

341

NET EXTRAORDINARY EXPENSES

(6)

(6)

EBT

160

335

INCOME TAXES

(55)

(109)

NET INCOME

105

226



Revenues from operations


 

(euro m)

    

2Q02

%

2H02

%

Trasportation

428

96,4 %

838

94,2 %

Regasification

11

2,5 %

22

2,5 %

Regulated revenues

439

98,9 %

860

96,7 %

Compression services

1

0,2 %

20

2,2 %

Other revenues

4

0,9 %

9

1,1 %

Unregulated revenues

5

1,1 %

29

3,3 %

Total

444

100,0 %

889

100,0 %



The incidence of regulated revenues, around 97% in the first six months (99% in the second quarter) reflects the termination of the compression service on behalf of Stoccaggi Gas Italia starting from 1st April.
Revenues show the effects of the reduction in modulation service tariffs published by the Electricity and Gas Authority, for a total of 41 billion euro during the half-year (3 during the quarter).


 

Operating costs


 

(euro m)

    

  

   

2Q02

1H02

Purchases, provision of services and miscellaneous costs

99

206

Labour costs

20

49

Total operating costs

119

255



Operating costs include (for the period April-June 2002) the payment of 32 million euro for the tax charged by the Region of Sicily. Applying the principle of prudence, the Company did not set off, on the income statement, recovery of the charges incurred up to 30th June 2002, due to the uncertainty about the results of the dispute and the technical time-scales necessary for arriving at a final verdict.

Labour costs totalled 49 million euro during the first half of 2002 (20 during the quarter).
There were 2,710 employees in service on 30th June 2002, with a reduction of 263 (30 in the quarter) during the six months.
 

Balance Sheet

  

   

(euro m)

   

31/12/2001

31/03/2002

30/06/2002

TANGIBLE FIXED ASSETS

9.467

9.404

9.359

INTANGIBLE FIXED ASSETS

87

97

102

NET DEBTS RELATED TO INVESTMENTS

(129)

(127)

(131)

FIXED ASSETS

9.425

9.374

9.330

NET WORKING CAPITAL

(12)

(163)

(224)

STAFF LEAVING INDEMNITY

(17)

(15)

(16)

NET INVESTED CAPITAL

9.396

9.196

9.090

SHAREHOLDERS' EQUITY

5.203

5.324

5.246

NET FINANCIAL DEBT

4.193

3.872

3.844

TOTAL CAPITAL

9.396

9.196

9.090



There was a fall in net invested capital of 306 million euro compared with 31st December 2001 following the decrease in working capital mainly due to deferred taxes for exceeding depreciation and to the increase in deferred income relating to the adjustment of revenues for capacity overbooking.
Investments totalled 165 million euro (106 in the quarter), 114 million euro referring to development projects (76 in the quarter) and 51 million euro to maintenance projects (30 in the quarter).

San Donato Milanese, 30th July 2002

Page Alert
updated
05 August 2016 - 16:17 CEST