Investor Presentaiton
En+
GROUP
FINANCIAL REVIEW
FINANCIAL REVIEW
KEY HIGHLIGHTS
Financial review
The following table
sets forth selected data
from the Group's key
financial information:
(USD mn)
Revenues
As at or year ended 31 December
2021
2020
14,126
10,356
Gross profit
4,952
2,548
Gross profit margin
35.1%
24.6%
Results from operating activities (EBIT)
2,898
1,010
Operating profit margin
20.5%
9.8%
Pre-tax profit
4,138
1,125
Profit for the year
3,534
1,016
Net profit margin
25.0%
9.8%
Adjusted EBITDA2
Adjusted EBITDA margin³
Net debt4
3,992
1,861
28.3%
18.0%
8,581
9,826
Net working capital
2,753
1,614
Free cash flow
1,705
968
Basic earnings per share?
4.264
1.320
Equity attributable to shareholders of the Company
5,775
3,156
46
FINANCIAL OVERVIEW
En+ Group Annual Report 2021
STRATEGIC REPORT
CORPORATE GOVERNANCE
The results of the Group's operations
are divided into the Power and Metals
segments. The Power segment comprises
the power industry, including power
generation, power trading and supply.
It also includes supporting operations
engaged in the supply of coal resources to
the Group. The Metals segment consists
of RUSAL, which includes RUSAL's
equity investment in Norilsk Nickel.
In 2021, RUSAL accounted for
approximately 5.6% of the world's
aluminium output and about 6.3% of the
world's alumina production. RUSAL'S
offices are operating in 20 countries all
over the world and across five continents.
The Company's management believes that
the division of the results of the Group's
operations into the Power and Metals
segments enables investors and analysts
to assess the parts of the Group's business
which are under the Company's direct
day-to-day operational management.
In its comparison of period to period results
of operations, the Group presents its results
of operations on a consolidated basis after
intersegmental eliminations, in order to
analyse changes, developments and trends
by reference to the individual segment's
results of operations (the Power and
Metals segments). Amounts attributable
to the segments are presented prior to
intersegmental eliminations between them.
Revenues
The following table sets forth the
Group's revenue from sales, broken
down by each product sold by the
Group, for the years indicated:
Year ended
The following table sets forth
the Group's revenue by business
segment for the years indicated:
Year ended
31 December
2021
(USD mn)
2020
Metals segment
11,994
8,566
Power segment
3,138
2,697
Business segment
revenues
15,132
11,263
Elimination of
intersegmental
(1,006)
14,126
(907)
10,356
revenues
Total revenues
The Group's revenue is mainly attributable
to the Metals segment's operations.
In 2021 and 2020, its revenue (before
intersegmental elimination) accounted for
79.3% and 76.1% of the Group's revenue,
respectively. In 2021 and 2020, the Power
segment's revenue (before intersegmental
elimination) accounted for 20.7% and
23.9% of the Group's revenue, respectively.
The Group's revenue increased
by USD 3,770 million, or 36.4%,
from USD 10,356 million in 2020 to
USD 14,126 million in 2021. This increase
was primarily due to a rise in RUSAL'S
revenue, following a 45.5% increase in
the LME aluminium price to an average
of USD 2,475 per tonne in 2021, from
USD 1,702 per tonne in 2020, and sales
of primary aluminium growth by 18.1% to
2,034 kt. The Group's revenue was also
affected by an increase in the Power
segment's revenue, mainly following the
increase in electricity generation volumes.
(USD mn)
31 December
2021
2020
Net profit margin for any period represents net profit or loss for the relevant period divided by total
revenues for the relevant period and expressed as a percentage, in each case attributable to the Group,
Power or Metals segment, as the case may be.
Adjusted EBITDA for any period represents the results from operating activities adjusted for amortisation
and depreciation, impairment of noncurrent assets and gain/loss on disposal of property, plant and
equipment for the relevant period, in each case attributable to the Group, Power or Metals segment, as
the case may be..
Adjusted EBITDA margin for any period represents adjusted EBITDA for the relevant period divided by
total revenues for the relevant period and expressed as a percentage, in each case attributable to the
Group, Power or Metals segment, as the case may be.
Net debt represents the sum of loans and borrowings and bonds outstanding less total cash and cash
equivalents as at the end of the relevant period, in each case attributable to the Group, Power or Metals
segment, as the case may be.
Net working capital represents inventories plus shortterm trade and other receivables (excluding
dividend receivables from related parties) less trade and other payables as at the end of the relevant
period, in each case attributable to the Group, Power or Metals segment, as the case may be.
Free cash flow means, for any period, the cash flows generated from operating activities less net interest
paid, capital expenditures, restructuring fees and other payments related to issuance of shares, adjusted
for payments from settlement of derivative instruments plus dividends from associates and joint ventures.
The earnings per share calculation is based on a 502 million and 518 million weighted average number of
shares in 2021 and 2020, respectively.
Sales of primary
aluminium and alloys
9,766
6,969
Sales of electricity
1,525
1,169
Sales of alumina and
bauxite
612
534
Sales of semifinished
products and foil
767
547
Sales of heat
Other revenues
465
426
991
711
14,126
10,356
Total revenues
FINANCIAL STATEMENTS
APPENDICES
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