s&p annual review presentation korea western power october 2011
TRANSCRIPT
S&P Annual Review PresentationKorea Western Power
October 2011
2
Table of ContentsTable of Contents
Regulatory Environment Regulatory Environment
Operation Overview Operation Overview
Financial Management Financial Management
Financial Forecast Financial Forecast
22
33
44
55
11 Company Overview Company Overview
3
Company Overview
4
Introduction to KOWEPOIntroduction to KOWEPO
Note : Applied FX rate : KRW 1078.10/USD (Bloomberg as of June 30, 2011)
Inception Inception Inception Inception Spun off from KEPCO in April 2, 2001Spun off from KEPCO in April 2, 2001
OwnershipOwnershipOwnershipOwnership 100% owned by KEPCO (51% owned by Korean Government)100% owned by KEPCO (51% owned by Korean Government)
Generation Generation CapacityCapacity
Generation Generation CapacityCapacity 8,404 MW 8,404 MW
Total AssetsTotal AssetsTotal AssetsTotal Assets 1H 2011 : KRW 4,857 bn (USD 4,505mn)FY2010 : KRW 4,499 bn (USD 4,173mn)
1H 2011 : KRW 4,857 bn (USD 4,505mn)FY2010 : KRW 4,499 bn (USD 4,173mn)
Total RevenueTotal RevenueTotal RevenueTotal Revenue 1H 2011 : KRW 2,620 bn (USD 2,430mn)FY2010 : KRW 4,767 bn (USD 4,422mn)
1H 2011 : KRW 2,620 bn (USD 2,430mn)FY2010 : KRW 4,767 bn (USD 4,422mn)
Net IncomeNet IncomeNet IncomeNet Income 1H 2011 : KRW 52 bn (USD 48mn)FY2010 : KRW 246 bn (USD 228mn)
1H 2011 : KRW 52 bn (USD 48mn)FY2010 : KRW 246 bn (USD 228mn)
5
Power Plants PortfolioPower Plants Portfolio
Base load, intermediate load, and peak load account for 48%, 17% and 35% respectively in terms of generation capacity in operation
Over 91% of capacity is located in or near the Seoul and Gyeonggi metropolitan areas
― Seoul and Gyeonggi metropolitan areas comprise approximately 40% of total national demand
Note: T/P denotes “Thermal Power Plant”, C/C denotes “Combined Cycle”, S “Solar”, S/H “Small Hydro”
0
500
1,000
1,500
2,000
2,500
3,000
3,500
4,000
4,500
Base Load Intermediate Load Peak Load
In Operation
Taean T/P(4,000 MW)
Pyeongtaek T/P(1,400 MW)
4,000MW
Seoincheon C/C(1,800 MW)
PyeongtaekC/C (480 MW)
GunsanC/C (718 MW)
3,004MW
CoalLNGBC OilHydro Solar
1,400MW
Generation Capacity by Type of Plant Location of Plant Complex
Taean
Pyeongtaek
Gunsan
Seoincheon
Seoul and Gyeonggi Metropolitan Area
Samrangjin
Source: company data (as of June 2011)
Taean, Gunsan, Samrangjin S;
Taean S/H (6 MW)
6
KOWEPO’s Market Position - 1H 2011KOWEPO’s Market Position - 1H 2011
Generation Capacity Market Share Sales Volume Market Share
(MW) (GWh)
Total Generation Capacity78,810 MW
Total Electricity Sales228,961 GWh
7
Regulatory Environment
8
Latest Power Industry Operating EnvironmentLatest Power Industry Operating Environment
Introduction of vesting contracts for Gencos deferred
Wholesale competition was put on a hold
1999 2000 20022001 2003 2004 2005 2007 20082006 2009
MOCIE announced restructuring plan for power industry
Incorporation of generation companies
Cost-based pool bidding (“CBP”) mechanism
Initiation of KOSEP privatization
Plan to separate KEPCO’s distribution sector was halted due to substantial risk and uncertain benefits from the separation plan
2010
Gencos were designated as market-oriented public firms
IPO of KOSEP was delayed
Implementation of TWBP was suspended
Privatization plan for Gencos cancelled
The Power Industry Restructuring Plan Delayed and the Former Privatization Plan for Gencos Cancelled
Update on Gencos Privatization and Consolidation Plan Privatization plan for KEPCO and its Gencos was cancelled in July 2008
Gencos have been designated as market oriented public firms by government to create a more efficient management structure and enhance their competitiveness in 2011
2011
9
Latest Power Industry Operating Environment (Cont’d)Latest Power Industry Operating Environment (Cont’d)
As a result of the transfer of water pump generator, we expect approximately 10% decrease in asset size, but given profit and generation consists of only 2-4%, the decrease relative to asset size is small
Note: Unit in KRW100mm
Transfer of water pump generators to Korea Hydro Nuclear Power
Genco Generator Power Capacity (kW)
KOSEP Mooju 600,000
KOMIPO Yangyang 1,000,000
KOWEPOSamrangjin
Chungsong
600,000
600,000
KOSPO Chungpyung 400,000
EWP Sanchung 700,000
Total 6 Generators 3,900,000
Electric Power Industry Reorganization - Transfer of Water Pump Generators to KHNP Purpose: Exclude water pump generator from competition and seek stability in electricity system network at the same time
achieving synergy from integration of the water pump generation and water generation
Timeline: all assets have been transferred before 2011
Effect on governance: No change in corporate governance – KEPCO will continue to hold 100% of respective GENCOs
Implication for Korea Western Power
Site Asset Rev (% M/S) Generation (% M/S)
Samrangjin 1,453 658 (1.37%) 298GWh (0.58%)
Chungsong 3,843 1,265 (2.65%) 607GWh (1.18%)
10
128147
163182
201 193
240258
278294
312332
349361
385 390
425
214
6.10%
8.50%9.20%
7.00%
5.80%
-6.90%
3.80%
9.50%
4.70%
8.50% 7.20%
2.80%
4.60%4.00%
5.20% 5.10%
2.30%
0.20%
0
50
100
150
200
250
300
350
400
450
1993 1994 1995 1996 1997 2000 2005 2010
-8.00%
-6.00%
-4.00%
-2.00%
0.00%
2.00%
4.00%
6.00%
8.00%
10.00%
12.00%
Power consumption GDP growth rate
Nationwide Power ConsumptionNationwide Power Consumption
Power consumption has continued to rise on the back of strong economic growth at an average rate of 5.7% per annum from 1998 to 2010
Continuous increase in power consumption expected
* Source: “Statistics of Electric Power in Korea”, KEPCO / The Bank of Korea (Jan 2011) “Electricity Supply and Demand Basic Plan #5, MKE (Dec 2010)
Power consumption (TWh) (Growth rate)
11
612626
640654
425444
462482
503521
536551
567582
598
300
400
500
600
700
2010 2015 2020 2024
Electricity Demand ForecastElectricity Demand Forecast
Korea’s electricity sector is expected to enjoy robust demand growth – Continuous economic growth will be the primary driver of power demand growth
Power demand is expected to grow at a rate of 3.1% per annum from 2010 to 2024
(TWh)
* Source: MKE (Electricity Supply and Demand Basic Plan #5 – Published in Dec 2010)
12
Expansion on cost effective base load infrastructure in addition to promotion of environmental friendly energy sources such as renewable energies, following the Government’s Green Growth Plan
By year 2024, the installed capacity for
Nuclear Power : 24.8% (’10) 31.9% (’24)
Coal : 32.1% (’10) 27.9% (’24)
LNG : 25.8% (’10) 20.9% (’24)
Renewable : 2.2% (’10) 4.3% (’24)
Installed Capacity Forecast by different energy sources
Government’s Mid-to-Long Term Energy Strategy Government’s Mid-to-Long Term Energy Strategy
Govt’s Mid-to-Long Term Energy Supply Scheme
* Source: MKE (Electricity Supply and Demand Basic Plan #5 – Published in Dec 2010)
4.6%
13
Update on Electricity Pricing MechanismUpdate on Electricity Pricing Mechanism
Introduction of “The Adjusted Coefficient of SMP” will lead to fair competition among Gencos. It will increase the efficiency of the power market by stimulating cost reduction
Application of The Adjusted Coefficient of SMP
Abolition of Regulated Market Price (RMP) system
KOWEPO can pass through 100% of its fuel cost through the energy price
Electricity Generation Cost Evaluation Committee annually determines The Adjusted Coefficient
Power Price Comparison
Because the Adjusted Coefficient of Coal decreased and Others/General Increased, Newly lowered Adjusted Coefficient will have not great impact on KOWEPO’s operating income for 6 months (Jul ~ Dec 2011)
※ RMP : Regulated Market Price, SMP : System Marginal Price
Price type Price Remarks
Capacity Payment
(CP)
Base Load
KRW 7.46/kWhKRW 7.46/kWh as a base price, CP is differentiated by regions, by seasons and by hoursNon Base Load
Energy Price
Base Load
[Max {(SMP-Fuel Cost), 0} x
The Adjusted Coefficient + Fuel Cost]
The Adjusted Coefficient (Lowerd in July 2011) Nuclear : 0.2086 (← 0.2597) Coal : 0.1176 (← 0.1881) Anthracite : 0.2002 (← 0.5000) Others/General : 0.6602 (← 0.3033)
Non Base Load
14
Operation Overview
Note : Taean IGCC (300MW) will be added in Dec 2015
Power Plant Facilities in OperationPower Plant Facilities in Operation
* Source: Company. As of June 30, 2011
KOWEPO Operates 44 Generation Units with Total Generation Capacity of 8,404MW.
Type Fuel Type Number of Units Total Capacity Sales Utilization Rate (%)
Taean Thermal Bituminous 8 4,000 15,533 93.6
Taean Small Hydro 4 2 2 19.57
Taean Solar 1 0.1 0 14.24
Pyeongtaek Thermal Plant Oil 4 1,400 1,614 27.5
Pyeongtaek Combined Cycle LNGGT : 4
ST : 1
320
160968 46.92
Seoincheon Combined Cycle LNGGT : 8
ST : 8
1,200
6006,229 80.51
Samrangjin Solar - 2 3 2 15.56
Gunsan Combined Cycle LNGGT : 2
ST : 1718 2,765 90.12
Gunsan Solar - 1 0.27 - 15.12
TOTAL 44 8404 27,114 64.62
16
New Business(1)New Business(1)
KOWEPO plans to maintain its leading market position and superior operating performance promoting growth with new plant constructions and new business
Domestic
Power Plant Type Generation Capacity Completion Remarks
New Plant
Taean IGCC 300MW Nov. 2015Integrated Gasification Combined Cycle
R&D project supported by Government
Taean #9, 10 Thermal Plant 2000MW Dec. 2016 Largest unit capacity in Korea
Pyeongtaek Combined Cycle 920MW Oct. 2014 GT 320 MW * 2 ; ST 280 MW * 1
Equity Investment
Garorim Tidal 520MW Dec. 2015
Consortium With Posco E&C, Daewoo E&C, Lotte E&C
Project Financing
KOWEPO to be in charge of operation and maintenance
Dongducheon Combined Cycle 1500MW Dec. 2014
Consortium with Samsung E&C
Project Financing
KOWEPO to be in charge of operation and maintenance
17
New Business(2)New Business(2)
KOWEPO plans to diversify its revenue sources through overseas expansion by leveraging its proven experiences and track records in operating and maintaining power plants
Project financing as a key funding source to minimize the financial risks
Overseas
Power Plant Type Generation Capacity Remarks
Equity Investment
Philippines Kanan Hydro 150MW
Consortium with SK E&C (Korea)
Build, Own, Operate
Project Financing
KOWEPO to be in charge of operation and maintenance
Indonesia Takalar Thermal (Coal) 200MW
Consortium with SAMBU, Yooho and MSC (Indonesia)
Build, Own, Operate
Project Financing
KOWEPO to be in charge of operation and maintenance
Laos Xe-Namnoi Hydro 390MW
Consortium with SK E&C (Korea), Ratchaburi (Thai) and LHSE (Laos)
Build, Own, Operate, Transfer
Project Financing
KOWEPO to be in charge of operation and maintenance
Saudi Arabia Rabigh Thermal (Heavy Oil) 1,204MW
Consortium between KEPCO and ACWA received order for
Build, Own, Operate
Consortium between KOWEPO and NOMAC (Saudi)
received mandate for O&M from KEPCO–ACWA consortium
Global Fuel Market TrendGlobal Fuel Market Trend
Recent Fuel Market Trends & Forecasts
COAL OIL
20
50
80
110
140
Jan-08
May-08
Sep-08
Jan-09
May-09
Sep-09
Jan-10
May-10
Sep-10
Jan-11
May-11
Sep-11
Brent WTI Dubai
50
100
150
200
Jan-08
May-08
Sep-08
Jan-09
May-09
Sep-09
Jan-10
May-10
Sep-10
Jan-11
May-11
Sep-11
NEWC RB
(US$) (US$)
After the 2008 global economic crisis, the price of raw material plummeted as the economy stagnated; however, since 2010, due to growing expectation of economic recovery, the price of coal and oil has been continuously increasing.
If the demand from India and China continuously grows, then the increase in fuel price will continue in 2012.
The price of LNG is directly related to the international oil price; therefore, its outlook will be in line with that of international oil price
* Source: Bloomberg; Factset
19
Fuel Procurement Strategy & Long – Term Supply ContractsFuel Procurement Strategy & Long – Term Supply Contracts
KOWEPO enters into long-term supply contracts
― To assure an adequate supply of the raw materials for a streamlined operation
― KOWEPO will adjust the portion of long-term supply contracts according to the market price volatility
Short-term30%
Long-term70%
Bituminous Coal
LNG
Long-term
100%
Overseas87%
Domestic13%
Oil
Stable supply of favorable quality fuel
― Long term contract with producer
― Diversification of supply source by country & ports
― Investment & development in overseas coal mine
Economic purchase
― Utilization of spot market
― Open bidding
20
Insurance Coverage -1H 2011Insurance Coverage -1H 2011
KOWEPO is fully insured on its facilities under operation or construction and shipment/transportation of fuels and raw materials to refrain from any unexpected accident and subsequent losses.
Asset Comprehensive Insurance
Details
Insurance Type2011 Asset Comprehensive Insurance
Insurer Dong-bu Fire & Marine
Insured Amount KRW 6,364,329mn
Insured Target Generation Facilities
Assembly Insurance
Details
Insurance TypeConstruction works for Taean Site
Insurer Samsung fire & Marine
Insured Amount KRW 162,721mn
Insured TargetFuel Unloading dock and Equipments
Insurance on Cargo
Details
Insurance TypeFuel and Equipment Facilities Comprehensive Insurance on Cargo
Insurer Samsung Fire & Marine
Insured Amount KRW 1,654,969mn
Insured Target Fuel and Equipments
21
View on KRW/USD and its ImpactView on KRW/USD and its Impact
Management’s View on USD/KRW
Impact of change in FX rate on KOWEPO
Current 4Q 2011 2012 2013 2014
USD/KRW 1,179 1,100 1,080 1,060 1,040
USD/KRW rate is expected to be gradually stabilized with downward tendency
The precise estimation of USD/KRW rate is difficult given the volatile nature of world’s macro economies
Under the CBP (Cost-Based Pool) system, the fuel price hikes as a result of depreciation of KRW (or appreciation of USD) shall be 100% compensated.
In that reason, KEPCO’s financial condition could be impacted by the FX fluctuation.
The company enters into the cross-currency swaps for all its long-term foreign currency denominated debt, thus neutrally positioned against FX fluctuation.
KOWEPO is putting enormous effort on currency rate risk management through increasing credit line of the company and reviewing to set dollar reserves
22
Financial Management
23
Capital Structure - 1H 2011Capital Structure - 1H 2011
AssetsKRW 4,857 bn
– Non-Current Assets/Total Assets Ratio : 83.1%
Liability
Shareholders Equity
Revenue
EBITDA
KRW 1,930 bn
– Debt/Capital Ratio : 28.0%
KRW 2,927 bn
– Stake is wholly owned by KEPCO
KRW 2,620 bn
KRW 251 bn
– Net Income : 52 bn
Capital Structure
3,8854,199
4,482 4,499
4,857
2,926.90
1,929.90
3,708
2,302 2,4262,273
2,3542,567
1,932
1,4061,459
1,926
2,127
0
1,000
2,000
3,000
4,000
5,000
6,000
2006 2007 2008 2009 2010 1H2011
Total Assets Total Shareholders' Equity Total Liability
(KRW billion)
24
465
273
423
732616
251293 312214 246
394
0
200
400
600
800
2006 2007 2008 2009 2010 1H 2011
Full Year 1H
Financial PerformanceFinancial Performance
Sales revenue has shown a continuous growth rate EBITDA has been stable but we have seen a decline in 2008 resulting from the surge in raw material costsCoverage ratio was deteriorated in 2008 and 1H 2009 due to the sharp increase in raw material costs, but has recovered in 1H 2010Leverage ratio has been deteriorated due to increased debt, but still maintains a stable level
Revenue EBITDA
(KRW billion) (KRW billion)
2,4243,069
3,700 3,8174,767
2,6202,3341,8571,7021,535
1,235
0
2,000
4,000
6,000
2006 2007 2008 2009 2010 1H 2011
Full Year 1H
Coverage Leverage
(Times) (%)
5.7 5.5
-1.6
2.0
6.3
2.64.5
1.83.5
4.7
1.52.2
-3
0
3
6
9
2006 2007 2008 2009 2010 1H 2011
EBIT / Gross Interest Expense Debt/EBITDA
43.656.7 51.4
62.5
38.837.628.033.9
38.536.227.330.4
0
20
40
60
80
2006 2007 2008 2009 2010 1H 2011
Debt/Equity Debt/Capital
25
Financial Highlights(1)Financial Highlights(1)
Income Statement
(Unit : KRW bn) 2007 2008 2009 2010 1H 2010 1H 2011
Sales 3,069 3,700 3,817 4,767 2,334 2,620
Cost of Sales 2,769 3,736 3,681 4393 2,074 2,524
Gross Profit 300 (35) 136 374 260 95
SG&A 36 38 32 38 18 22
Operating Income 264 (73) 104 335 242 73
Non-Operating Income 26 197 141 87 56 31
Non-Operating Expense 54 248 132 104 68 42
Income before Tax 236 (125) 113 318 230 62
Tax Expense 61 (22) 25 72 57 10
Net Income 175 (104) 88 246 173 52
Cash & Equivalents 173 43 126 147 308 78
Other Current Asset 434 696 717 60 640 72
Investment Assets 13 46 74 87 79 74
Tangible Assets 3,051 2,999 3,275 3,373 3,441 3,882
Intangible Asset 167 167 161 147 154 21
Other Asset 48 249 128 77 104 57
Total Asset 3,885 4,199 4,482 4,499 4,725 4,857
Current Liabilities 543 740 956 765 944 714
Debenture, net of discount 655 907 809 709 819 659
Long-term Debt 86 93 178 263 266 204
Other L/T Liabilities 175 187 184 458 462 556
Total Liabilities 1,459 1,926 2,127 1,932 2,224 1,930
Total Stockholder's Equities 2,426 2,272 2,354 2,567 2,501 2,927
Balance Sheet
26
Financial Highlights(2)Financial Highlights(2)
Cash flowStatement
(Unit : KRW bn) 2007 2008 2009 2010 1H 2010 1H 2011
Cash Flows from Operating Activities
Net Income 174.8 (103.5) 87.9 246.2 173.2 51.7
Non-cash Expense and Income 373.5 371.2 305.9 410.0 171.3 182.9
Depreciation 351.3 345.9 319.4 396.8 152.0 178
Changes in Assets and Liabilities (66.8) (190.3) 97.8 (38) (5.4) (72.6)
Net cash flows provided by operating activities 481.4 77.4 491.6 618.5 339.1 162.0
Cash Flows from Investing Activities
Capex / Purchase of Fixed Assets (282.5) (294.1) (593.1) (380.6) (245.9) (196.8)
Other (1.7) (17.1) (34.3) (125.2) (65.0) 13.1
Net cash flows used in investing activities (284.2) (311.3) (627.4) (505.9) (310.9) (183.7)
Cash flows from Financing Activities
Cash inflows 880.9 1,028.9 1,233.9 968.7 438.2 15.0
Cash outflows (1,069.5) (923.7) (1,013.5) (1,062.5) (284.4) (62.0)
Dividends (51.3) (69.9) (26.4) - - -
Net cash flows used in financing activities (188.7) 105.2 220.4 (93.8) 153.8 (46.9)
NET INCREASE(DECREASE) IN CASH 8.6 (128.7) 84.5 18.8 182.0 (68.7)
CASH, BEGINNING OF THE YEAR 166.9 175.5 46.8 131.3 131.3 131.3
CASH, END OF THE YEAR 175.5 46.8 131.3 150.1 313.3 62.7
27
Sales BreakdownSales Breakdown
In 2010, sales increased due to the completion of Gunsan Combined Cycle
Note : Sales unit price includes other revenues associated with power generation
Sales (GWh) 46,987 45,266 43,539 51,207 27,114
Unit Price (KRW/kWh) 66.80 81.39 86.5 93.3 96.4
Revenue Source
KRW billion 2007 2008 2009 2010 1H 2011
LNG 1,223.2 1,596.2 1,056.0 2,020.9 1,272.6
Coal 1,133.3 1,542.5 2,149.6 2,040.5 1,039.9
Oil 569.6 350.5 443.7 520.1 298.5
Pumped Storage 65.3 139.3 113.9 192.5 -
Others 0.2 0.9 1.2 3.0 1.7
TOTAL 2,991.6 3,629.4 3,764.4 4,777.0 2,612.7
28
Details on Credit Line Facilities -1H 2011Details on Credit Line Facilities -1H 2011
Bank Overdraft Facilities
Bank Amount Used
NACF KRW 100 billion -
Bill Acceptance Facilities
Bank Amount Used Amount
KEB KRW 284 billion KRW 200 billion
Woori KRW 30 billion KRW 10 billion
Shinhan KRW 100 billion -
Short-term FCY Credit Facilities
Bank Amount Used Amount
KEB USD 18 million -
RBS USD 80 million USD 12 million
BNP Paribas USD 60 million USD 22 million
SC First Bank USD 50 million -
Shinhan USD 30 million -
29
Debt Profile(1) –1H 2011Debt Profile(1) –1H 2011
KOWEPO prefers long-term funding of at least 5 year as the plant construction usually takes mid to long term period to complete
The company prefers to borrow 80% to 90% of it total debt in KRW and the remaining in foreign currencies
90.3% of KOWEPO’s debt carries fixed interest rate, while 9.7% is in floating rate
All of total debt is unsecured.
Local Bond67.4%
(KRW 720bn)
Eurobond 13.5%
(KRW 144bn)
Long TermBorrowing
19.1%(KRW 204bn)
Total Debt Profile: 1,068 billion
Currency Distribution Type of Instrument
KRW86.5%
(KRW 924bn)
USD13.5%
(KRW 144bn)
Note: 1. Total debt in 2011 represents the remaining outstanding debt as of June 30, 2011. 2. Total amount of debt is reflected currency swap in case of foreign currency bond.
100
220 220
80
100
244
102
0
50
100
150
200
250
300
'11 '12 '13 '14 '15 '16 '17~
Debt Repayment Schedule
(KRW in billions)
30
Debt Profile(2) -1H 2011Debt Profile(2) -1H 2011
Rating Triggers / Financial Covenants
Bond # 5~ 6(KRW)
Bond # 9~15 (KRW)
Rating Trigger
-
Financial Covenants
Liability/Equity ratio 500% or less
Collateral Not permitted
Sales of assetsSales more than 5 trillion KRW are not permitted in the same fiscal year
Maturity
2011.11- 2018.5
Currency Swap
Eurobond
Issue USD 150mn / 5.95%
Currency Swap KRW 143.8bn / 4.95%
Counter Party Barclays / Deutsche Bank
31
Capital Expenditure PlanCapital Expenditure Plan
Capital Expenditure Schedule
(KRW bn)
202
1,616
2,2772,596
657
2,014
2,650
3,001
365
302
305
398
35
66
86
3
5
5
7
54
0
500
1000
1500
2000
2500
3000
3500
2011 2012 2013 2014
New Plant Construction Facility Improvement Equity Investment Others 2
Taean #9,10: 30
Taean IGCC: 44
Shin Pyungtaek: 0
Taean #9,10: 103
Taean IGCC: 211
Shin Pyungtaek: 214
Taean #9,10: 441
Taean IGCC: 393
Shin Pyungtaek: 402
Taean #9,10: 1,175
Taean IGCC: 366
Shin Pyungtaek: 290
32
Financial Forecast
33
Key AssumptionKey Assumption
Capital Expenditure Schedule
(Unit : KRW bn) 2011 2012 2013
Inflation
Domestic 3.00% 3.00% 3.00%
FX rate (KRW/USD) 1,100 1,100 1,100
Oil Price (US$/barrel) 80.00 82.40 84.90
Gross Generation (GWh) 50,161 51,328 50,018
34
Financial Statements(1)Financial Statements(1)
Balance Sheet
(Unit : KRW bn) 2011 2012 2013
Assets
Current Assets 802.0 816.8 819.4
Non-Current Assets 4,338.5 5,969.8 8,252.5
Total Assets 5,140.6 6,786.6 9,071.8
Liabilities
Current Liabilities 942.2 884.5 895.4
Non-Current Liabilities 1,050.0 2,122.0 4,211.0
Total Liabilities 1,992.2 3,006.6 5,106.4
Stockholder’s Equity
Capital Stock 213.2 595.1 595.1
Capital Surplus 988.3 988.3 988.3
Retained Earnings 1,943.4 2,193.2 2,378.6
Total Stockholders’ Equity 3,148.3 3,780.0 3,965.5
Total Liabilities and Stockholders’ Equity 5,140.6 6,786.6 9,071.8
Note : Forecast subject to change by year-end
35
Financial Statements(2)Financial Statements(2)
Income Statement
(Unit : KRW bn) 2011 2012 2013
Sales 5,016.1 5,132.8 5,001.8
Sales of Electric Power 5,007.8 5,124.2 4,993.5
Others 8.3 8.5 8.3
Cost of Sales & SGA 4,802.5 4,737.6 4,603.3
Operating Income 213.6 395.2 398.5
Non-Operating Income 83.2 81.9 84.3
Non-Operating Expense 95.0 97.9 131.4
Income before Tax 201.8 379.1 351.4
Income Tax 48.8 83.4 77.3
Net Income 153.0 295.7 274.1
Dividend 45.9 88.7 82.2
Note : Forecast subject to change by year-end
Plans to declare annual dividend at the level of 30% of net income
36
Financial Statements(3)Financial Statements(3)
Cash Flow Forecasts
(Unit : KRW bn) 2011 2012 2013
Operating Activities 609.3 733.7 668.9
Net Income 153.0 295.7 274.1
Non-cash Expenses &Incomes 73.0 75.6 77.8
Depreciation 367.6 376.1 372.5
Changes in Assets and Liabilities 90.2 32.3 (30.4)
Investing Activities (185.5) (2,012.3) (2,663.7)
Plant Construction &Facility Improvement 16.7 (1,820.5) (2,477.8)
Others (202.2) (191.8) (185.8)
Financing Activities (539.4) 1,279.8 1,993.4
Cash Balance, Beginning of Year 165.7 50.1 51.2
Net Cash (115.6) 1.2 (1.3)
Cash Balance, End of Year 50.1 51.2 49.9
37
Thank You