Bogdanka publishes Q3 results
LW Bogdanka S.A. has published its consolidated financial results after the first 3 quarters of 2023. LW Bogdanka Group's revenue for the period was PLN 2,688.8 million. EBITDA reached PLN 673.4 million, operating profit PLN 309.0 million and net profit PLN 256.7 million.
Coal production in the period under review was 4.6 million tons. In Q3 alone, production stood at 1.3 million tons while sales were at 1.5 million tons.
The Company's strong financial performance for the first 3 quarters continued to be pressured by unpredictable geological events in late 2022 and in the first half of 2023, as well as by high input prices. These negative events were mitigated by the achievement of higher contract prices. The current operating results for October and November allow us to be optimistic about the future and maintain our projected production plan for this year.
said Artur Wasilewski, Vice-President of the Management Board of LW Bogdanka for Economic and Financial Affairs.
The total length of roadway excavations completed during the first 9 months of 2023 was approx. 22.8 km. The average yield in the first 3 quarters of 2023 was 57.5%, and in Q3 alone – 56.7% (compared to 61.4% in Q3 2022).
In Q3 2023 Bogdanka maintained its strong market position, achieving a 25.1% share of coal sales to the commercial power sector. Its share of total steam coal sales was 19.6%.
In the period in question the LW Bogdanka Group incurred capital expenditures of nearly PLN 557.5 million. The largest chunk of this amount, PLN 368 million, was spent on new excavations and modernization of existing ones.
The table below portrays the LW Bogdanka Group’s financial results for Q3 and the first 3 quarters of 2023:
[PLN 000s] | Q3 2022 | Q3 2023 | Change | Q1-Q3 2022 | Q1-Q3 2023 | Change |
|---|---|---|---|---|---|---|
Net revenue on sales | 567 525 | 863 685 | 52,2% | 2 030 114 | 2 688 765 | 32,4% |
EBITDA | 60 999 | 140 624 | 130,5% | 676 391 | 673 420 | -0,4% |
EBIT | - 37 942 | 34 042 | -189,7% | 374 016 | 308 974 | -17,4% |
Net profit/loss | -25 777 | 30 850 | -219,7% | 310 267 | 256 697 | -17,3% |
Lubelski Węgiel Bogdanka S.A. is a leading hard coal producer in Poland that stands apart from its peers in terms of its modern and efficient mining. It is one of the largest Polish hard coal mines. Lubelski Węgiel Bogdanka S.A. chiefly conducts mining operations in terms of hard coal extraction, enrichment and sales. It supplies this raw material mainly to industrial offtakers. Supply contracts are long-term, and the product is sold to the commercial power sector and the industrial power sector.
The company has been listed on the Warsaw Stock Exchange since June of 2009. In August 2022, Lubelski Węgiel Bogdanka S.A. returned to listing on the WIG-ESG Index.
Since October of 2015 Bogdanka has been a member of the Enea Group, the second largest player on Poland’s electrical power market in terms of the generation of electricity, which manages the entire value chain on the electricity market ranging from fuel to the generation of electricity, distribution, sales (supply) and customer service.