JSC Atomenergoprom Annual Report slide image

JSC Atomenergoprom Annual Report

JSC ATOMENERGOPROM / ANNUAL REPORT / 66 4.3. MECHANICAL ENGINEERING DIVISION Key results in 2022: Mechanical engineering products were delivered to 18 nuclear power plants. Consolidated revenue reached RUB 115 billion. The Division's share in the Russian power machine engineering industry increased to 43.2%. The RITM-200 reactor unit on the Ural nuclear icebreaker reached first criticality ahead of schedule. The Division supplied 85% of equipment for the first power unit of Akkuyu NPP (Turkey). The Mechanical Engineering Division (hereinafter referred to as the Division; its holding company is JSC Atomenergomash) is one of the leading groups of mechanical engineering enterprises in Russia and the key supplier of main and auxiliary equipment for Russian-design NPPs under construction. The Division includes engineering and design centres, major power machine engineering enterprises and smelters, as well as research and materials science organisations in Russia, the CIS and the European Union. The Division's enterprises have supplied mechanical engineering products to 52 nuclear power plants in Russia, Europe and Asia. JSC Atomenergomash leverages its expertise acquired over the years in the development and production of equipment for the nuclear power industry and is successfully developing adjacent business areas at an accelerating pace. The Division offers a range of solutions for the manufacture and supply of equipment for the nuclear and thermal power industries, shipbuilding, the oil and gas industry, and the special steel market. Extensive production and technological capabilities of the Division's enterprises and control over the entire production chain enable the Division to supply its customers with high-quality reliable equipment. The Division has well-established manufacturing operations, which enables it to effectively participate in NPP construction projects and provide maintenance and upgrade services. Equipment produced by JSC Atomenergomash is used at all Russian-design NPPs. The Division is the chief designer and single-source supplier of all marine reactor units for the Arktika, Sibir and Ural multipurpose nuclear icebreakers (RITM-200 reactor units), which are rightly considered the largest. Technological advantages over competitors in the floating small NPP segment are underpinned by the availability of reference solutions for reactor unis, marine solutions, production capacities and sustainable cooperation and are now fully leveraged in the construction of icebreakers. In addition, JSC Atomenergomash manufactures high-performance equipment for the Russian oil and gas industry. The Division's enterprises have a proven track record in the design and manufacture of equipment for the thermal power industry. As part of the Clean Country Federal Project, the Division has become the main producer of key process equipment for waste-to-energy plants. Operating results 2020 2021 2022 Comments Indicator Delivery of mechanical engineering products, number of NPPs 19 16 18 Share in the Russian power machine engineering industry, % 42 42.2 43.2 Consolidated revenue, RUB billion 83 106 115 Average headcount, persons 17,978 18,455 21,490 LTIFR32 Tax payments (actual), RUB billion 0.07 0.07 0.19 7.6 8.4 9.3 Charity expenses, RUB million 85 92.7 110.1 Occupational health and safety 535 466.8 891 costs, RUB million Key operating results Products are delivered for NPP construction projects and for the maintenance and supply of equipment and spare parts for operating units. The nuclear power industry is highly resilient to negative impacts. An additional factor enabling the Division to strengthen its position is the development of new businesses and the acquisition of new assets. Revenue growth was driven by increased supply of products for NPP construction projects and the development of new non-nuclear businesses. The increase was driven by production ramp-up as part of NPP construction projects and the development of new non-nuclear businesses. The increase was due to the expansion of the scope of consolidation and a 25% increase in the headcount. These employees are undergoing safety onboarding supported by the implementation of the Division's internal regulations. The increase in the amount of VAT accrued and paid to the budget was due to revenue growth and the acquisition of new assets. The change was due to the fact that charity spending is targeted in nature; accordingly, the list of beneficiaries and the list of charitable activities vary from year to year. The change was due to the frequency of special assessments of working conditions and training in occupational safety and health. JSC Atomenergomash has extensive capabilities for equipment manufacture and technologies for various sectors of the domestic industry. In addition to nuclear engineering, the Company contributes to ensuring reliable supplies of equipment for energy projects by providing national power machine engineering capa- bilities. The Division has smooth-running fully integrated production facilities for the manufacture of large- sized equipment for the gas, oil, chemical, metals and thermal power industries. NPP turbine islands The Division is developing its capabilities in the design of turbine islands with Arabelle turbines and the de- sign of licensed equipment that forms part of the turbine islands. The Company adapts the documentation of foreign suppliers to align it with Russian standards and assists industry enterprises in organising the man- ufacture of licensed equipment. PERFORMANCE OF DIVISIONS 32. The figure does not include the Division's foreign enterprises.. PERFORMANCE OF DIVISIONS JSC ATOMENERGOPROM / ANNUAL REPORT / 67
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