EM CEEMEA CREDIT: Tauron: H125 Results - stable leverage and FCF
Sep-17 13:31
(TPEPW: -/-/BBB-)
- Working capital continues to weight on cashflow generation, but leverage and FCF are stable. We see the results as supportive for Tauron’s credit profile and spreads.
- Tauron Q2 25 total revenues +1.95% y/y at PLN7.35bn, main difference came from the lower margin wholesale division +22.6% y/y. Group EBITDA +14.7% y/y, with stronger contributions across all the segments except for the low margin volatile wholesale unit where EBITDA more than halved, which is not alarming.
- Working capital outflow of PLN868mn in 1H 25 resulted in operating cashflow of PLN2.95bn and capex of PLN2.6bn resulted in marginal FCF. Net debt was marginally flat q/q at PLN13.6bn and non-adj leveraged marginally lower at 2.5x sequentially.
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