Liquidity and capital resources
| Item | 2014 | 2015 | 2016 | 2017 | 2018 | |
|---|---|---|---|---|---|---|
| Net cash from operating activities | 283,965 | 285,175 | 321,297 | 421,700 | 537,523 | 27.5 |
| Net cash used in investing activities | (364,792) | (314,511) | (323,854) | (312,889) | (335,038) | 7.1 |
| Net cash from / (used in) financing activities | 10,573 | 82,193 | (68,430) | (50,521) | (56,543) | 11.9 |
| Net increase / (decrease) in cash and cash equivalents | (70,254) | 52,857 | (70,987) | 58,290 | 145,942 | 150.4 |
| Item | 2014 | 2015 | 2016 | 2017 | 2018 | |
|---|---|---|---|---|---|---|
| Net cash from operating activities Before the effect of changes in working capital, income tax, interest and dividends. | 304,421 | 312,169 | 361,567 | 439,319 | 624,783 | 42.2 |
| Changes in working capital | 23,907 | 18,342 | 15,216 | 52,809 | 326 | (99.4) |
| Income tax paid | (30,122) | (19,522) | (22,158) | (36,530) | (61,157) | 67.4 |
| Interest paid | (16,624) | (28,229) | (36,476) | (39,449) | (46,492) | 17.9 |
| Dividends received | 2,383 | 2,415 | 3,148 | 5,551 | 20,063 | >200 |
| Total | 283,965 | 285,175 | 321,297 | 421,700 | 537,523 | 27.5 |
Net cash from operating activities went up by 27.5% y-o-y primarily due to higher operating profit and dividends received from joint ventures.
| Item | 2014 | 2015 | 2016 | 2017 | 2018 | |
|---|---|---|---|---|---|---|
| Capital expenditures | (271,330) | (349,036) | (384,817) | (357,090) | (375,197) | 5.1 |
| (Acquisition) / disposal of subsidiaries, shares in joint operations and equity affiliates | (57,848) | 197 | (2,028) | (8,345) | (1,360) | (83.7) |
| Net changes in deposits | (15,877) | 45,745 | 48,517 | (5,933) | 6,710 | – |
| Net changes in loans issued and other investments | – | (22,603) | (2,104) | 44,938 | 11,511 | (74.4) |
| Interest received | – | – | – | 9,149 | 18,885 | 106.4 |
| Other transactions | (19,737) | 11,186 | 16,578 | 4,392 | 4,413 | 0.5 |
| Total | (364,792) | (314,511) | (323,854) | (312,889) | (335,038) | 7.1 |
Net cash used in investing activities went up by 7.1% y-o-y primarily due to higher capital expenditures.
| Item | 2014 | 2015 | 2016 | 2017 | 2018 | |
|---|---|---|---|---|---|---|
| Net changes in debt | 67,160 | 121,565 | (63,929) | 3,556 | 5,484 | 54.2 |
| Payment of dividends to shareholders | (46,755) | (36,346) | (2,598) | (50,382) | (70,774) | 40.5 |
| Acquisition of non-controlling interest | (4,118) | – | – | – | – | – |
| Proceeds from sale of non-controlling interest in subsidiaries | – | – | – | – | 22,348 | – |
| Other transactions | (5,714) | (3,026) | (1,903) | (3,695) | (13,601) | >200 |
| Total revenue | 10,573 | 82,193 | (68,430) | (50,521) | (56,543) | 11.9 |
Net cash used in financing activities increased by 11.9% y-o-y. Dividends paid for 2017 (₽ 15 per share) exceeded dividend payments for 2016 (₽ 10,68 per share).
Capital expenditures for exploration and production increased by 1.8% y-o-y due to:
- the launch of hi-tech icebreakers;
- participation in subsoil tenders (Savitsky, Pokhvistnevsky, and Karabashsky licence blocks).
Capital expenditures for refining increased by 15.8% y-o-y following the plant upgrade in Serbia (construction of delayed coker unit).
| Item | as at 31.12.2014 | as at 31.12.2015 | as at 31.12.2016 | as at 31.12.2017 | as at 31.12.2018 |
|---|---|---|---|---|---|
| Short-term loans and borrowings | 61,121 | 147,319 | 80,187 | 131,760 | 90,923 |
| Long-term loans and borrowings | 502,306 | 670,779 | 596,221 | 548,654 | 684,530 |
| Cash and cash equivalents | (53,167) | (114,198) | (33,621) | (90,608) | (247,585) |
| Short-term deposits | (76,658) | (49,206) | (886) | (5,779) | – |
| Net debt | 433,602 | 654,694 | 641,901 | 584,027 | 527,868 |
| Short-term debt / total debt (%) | 10.8 | 18.0 | 11.9 | 19.4 | 11.7 |
| Net debt / EBITDA LTM | 1.44 | 1.90 | 1.60 | 1.19 | 0.73 |
The Group’s diversified debt portfolio includes syndicated and bilateral loans, bonds and other instruments. The Group’s net debt went down by 9.6% to ₽ 527.87 bn. Net debt / EBITDA decreased by 0.46 pp to 0.73x.
The average debt maturity went up from 3.6 years as at 31 December 2017 to 3.84 years as at 31 December 2018. The average interest rate increased from 5.54% as at 31 December 2017 to 6.29% as at 31 December 2018.
Adjusted EBITDA (₽ bn)
Adjusted ROACE (%)