Update of the investment plan for 2012–2016
VERBUND announced its intention to invest €2.6bn in domestic and international power plant and network expansion projects between 2012 and 2016 – 62% of which in its domestic market Austria/Germany. Maintaining a solid “A”-level investment grade rating will continue to be a requirement for VERBUND’s financial profile. Moreover, the net debt to EBITDA should not exceed 4.0x and the gearing should be below 100%. At the same time, the key profitability ratio ROCE should stay above 8% and the ratio of cash flow (FFO) to net debt should stay above 20%.
VERBUND financial outlook 2011 and 2012
VERBUND expects an operating result of around €780m and a Group result of approximately €380m for 2011. Planning for 2011 was based on an assumption of a hydro coefficient of 0.92 and an exchange rate of 2.13 Turkish liras per euro (TRY/EUR).
For 2012, VERBUND is planning on an operating result of around €900m to €1bn and a Group result of approximately €450m to €500m. The outlook for 2012 is based on an average water supply, an average market price for electricity of €57/MWh for base load and €71/MWh for peak load and an exchange rate of 2.17 Turkish liras per euro (TRY/EUR).
Management intends to distribute 45% to 50% of the Group result as dividends.