State-owned energy trader Energy Company of Ukraine (ECU) has transferred UAH 100.4 million in dividends to the state budget of Ukraine based on the results of its operations in 2023.
In a press release on Monday, the company said that by doing so, it became the first company to make such payments among all enterprises managed by the State Property Fund (SPF) of Ukraine.
“Today, our primary focus is to ensure reliable supply of electricity to Ukrainian consumers in the face of energy shortages. To this end, we are increasing imports, developing cooperation with electricity producers, and launching new products and services. At the same time, our activities create new sources of revenue for the state in a very difficult period for the Ukrainian economy,” commented Vitaliy Butenko, CEO of ECU.
According to Vitaliy Koval, Head of the SPFU, ESU demonstrates how state assets can work and generate significant profits for the state, and the dividends paid by the company will be a significant contribution to the state budget, which, in particular, finances the Ukrainian Defense Forces.
The company noted that the amount of dividends paid by it in the first five months of commercial activity in 2022 amounted to UAH 27.1 million.
As reported, Energy Company of Ukraine JSC is a national energy trading company established in the summer of 2022 that carries out operations for the purchase, sale and supply of energy resources, in particular through import and export operations.
“The company is one of the top 5 traders in Ukraine in terms of electricity sales and founded the first state-owned balancing group of electricity market participants, currently the second largest in Ukraine. The company is 100% owned by the state.
In 2023, the net profit of the company amounted to UAH 148.9 million, which is more than four times higher than in 2022, and contributions to the state budget amounted to UAH 209.4 million.
The Cabinet of Ministers of Ukraine has approved the payment of UAH 207.883 million in dividends by NPC Ukrenergo, which is 90% of the company’s consolidated profit for 2023, reduced by the amount of income from the distribution of cross-border crossing capacity last year.
The relevant decision is enshrined in the Resolution of the Cabinet of Ministers No. 589-r dated June 28, 2024, the text of which is published on the government portal.
Earlier, Volodymyr Kudrytskyi, CEO of Ukrenergo, reported that the NPC received about UAH 400 million in profit for UAH 83 billion in revenue in 2023.
The shareholders of Sukha Balka Mine (Kryvyi Rih, Dnipropetrovska oblast), a part of Aleksandr Yaroslavskyi’s DCH Group, intend to allocate part of the company’s retained earnings for 2007, 2008, 2012, 2020 and 2022 in the amount of UAH 1 billion 4.865 million to pay dividends.
According to the agenda of the extraordinary general meeting of shareholders to be held on July 12 remotely, part of the net profit for 2007 in the amount of UAH 74 million 527.49 thousand and part of the net profit for 2008 in the amount of UAH 131 million 469.85 thousand are to be allocated for dividends.
In addition, it is proposed to allocate part of the net profit for 2012 in the amount of UAH 77 million 877.04 thousand, part for 2020 – UAH 240 million 330.23 thousand and part for 2022 – UAH 480 million 660.45 thousand for dividends.
“To pay dividends to the company’s shareholders for 2007, 2008, 2012, 2020, 2022 at the rate of UAH 1.2 per ordinary share, in particular: UAH 0.089 for 2007; UAH 0.157 for 2008; UAH 0.093 for 2012; UAH 0.287 for 2020; UAH 0.574 for 2022,” the draft resolution of the meeting states.
As reported, in 2023, Sukha Balka PrJSC reduced its net profit by 2.7 times compared to 2022 – to UAH 114.837 million from UAH 487.878 million.
According to the results of 2022, Sukha Balka PrJSC decreased its net profit by 2.7 times compared to 2021 – to UAH 487.878 million from UAH 1 billion 326.460 million.
It was also reported that an extraordinary meeting of shareholders of Sukha Balka on July 10, 2023 had already decided to allocate UAH 1 billion 4.865 million from retained earnings for 2008, 2010 and 2011 to pay dividends.
Sukha Balka Mine is one of the leading mining companies in Ukraine. It produces iron ore by underground mining. It includes Yubileynaya and Frunze mines. Frunze mine.
DCH Group acquired the mine from Evraz Group in May 2017.
According to the NDU for the first quarter of 2024, Yaroslavsky, who is designated as a non-resident of Ukraine (British citizen – IF-U), directly owns 77.4193% of the mine’s shares, and a resident individual, Artem Aleksandrov, owns 20%.
The authorized capital of Sukha Balka PrJSC is UAH 41.869 million, with a share par value of UAH 0.05.
Pivdennyi GOK (Northern Mining and Processing Plant, Kryvyi Rih, Dnipro Oblast), a part of Metinvest Group, reported a net profit of UAH 866.090 million in 2023, compared to a net loss of UAH 2 billion 972.333 million in 2022.
According to the decision of the sole shareholder, Metinvest B.V. (Netherlands), which owns 100% of the shares in Pivnichnyi GOK, at its meeting on April 30, 2024, the profit for 2023 was left undistributed.
Another shareholder’s decision – at the meeting of May 14, 2024 – changed the company’s management structure to a one-tier one with the corresponding amendments to the charter. At the same time, after the registration of the updated charter, the supervisory board was liquidated and a four-member board of directors was created. It includes Metinvest CEO Yuriy Ryzhenkov, Metinvest CFO Yulia Dankova and Metinvest Legal Director Svetlana Romanova as non-executive directors for three years, as well as Igor Tonev as executive director, whose position as CEO is being eliminated.
Earlier, based on the shareholder’s decision of March 28, 2024, Andrey Skachkov’s powers as CEO were terminated by agreement of the parties, and Tonev was appointed CEO.
On May 24, 2024, the state registration of the new version of Northern GOK’s charter took place. On May 25 this year, at a meeting of the Board of Directors of Northern GOK, Metinvest’s CFO Yulia Dankova was elected Chairman of the Board of Directors for a term from May 25, 2024 to May 24, 2027 inclusive. Igor Tonev was elected Chief Executive Officer with a term of office from May 25, 2024 to April 2, 2025 inclusive. And it was determined that in accordance with clause 7.8 of the Charter of Northern GOK, the chief executive officer is referred to as the general director in the company’s activities in general, organizational structure, staffing and document flow.
By the decision of the shareholder of June 13, 2024, at its meeting, the net profit of UAH 580.409 million received in January-March of this year is allocated to pay dividends for 2024. At the same time, UAH 0.25 of dividends are paid per ordinary share.
The Board of Directors of the company (Minutes No. 3 dated June 14, 2024) decided to establish the date of compiling the list of persons entitled to receive dividends, the procedure and term for their payment. The start date of dividend payment is July 1, 2024, and the end date of dividend payment is December 13, 2024 inclusive.
As reported, for 9M2023, Northern Mining earned a net profit of UAH 681.867 million, while it ended the same period in 2022 with a net loss of UAH 2 billion 227.488 million. Retained earnings as of the end of September 2023 amounted to UAH 10 billion 727.921 million.
The company ended 2022 with a net loss of UAH 2 billion 972.333 million, while in 2021 it made a net profit of UAH 25 billion 293.042 million.
It was also reported that in April this year, Metinvest introduced a new model for the operation of Kryvyi Rih mining enterprises, uniting mining and processing plants in Kryvyi Rih under a single management. Central, Ingulets and Northern GOKs are managed by a single administrative and management center. For this purpose, a mining department was set up within the group’s operating directorate. The department is headed by Igor Tonev, who has also been appointed as the sole CEO of the three GOKs. Prior to this position, he was the head of Metinvest-SMC’s sales company since 2019 and has been with Metinvest since 2011.
The plant specializes in the extraction, processing and sale of iron ore.
Metinvest B.V. owns 100% of the shares in Northern GOK.
Northern GOK is part of Metinvest Group, whose major shareholders are System Capital Management (SCM, Donetsk) (71.24%) and Smart Holding Group (23.76%). Metinvest Holding LLC is the management company of Metinvest Group.
The authorized capital of Yenakiieve Mining is UAH 579.707 million.
Concern-Electron JSC (Lviv) will pay dividends to shareholders for 2023 totaling UAH 8 million at the rate of UAH 0.5 per share (par value UAH 3.5) from June 25 to October 26 this year.
According to the information in the information disclosure system of the National Securities and Stock Market Commission (NSSMC), the decision to pay dividends was made by the general meeting of shareholders on April 26.
According to the company’s financial report on its website, in 2023, its consolidated net profit amounted to almost UAH 17 million, compared to a consolidated loss of UAH 26.1 million a year earlier.
In particular, the net profit of the parent organization, Concern-Electron JSC, amounted to UAH 13.1 million (a loss of UAH 23.5 million a year earlier) on revenues of UAH 0.3 million (at the level of 2022).
Concern-Electron Group, in addition to the parent organization, includes 12 assets, and employed 688 people at the beginning of 2024 (752 people a year earlier).
As of the beginning of this year, Concern-Electron JSC’s shareholders numbered 20.468 thousand people, and the owners of more than 5% of the shares are President and Chairman of the Board Yuriy Bubes (5.6% of shares), Chairman of the Supervisory Board Sergey Medvedev (5.06%), as well as Victoria Starodub (8.73%) and Mikhail Sholomitsky (5.76%).
Last year, the largest net income in the group was generated by Spheros-Electron Plant LLC, a manufacturer of heaters and heat exchangers for cars, which generated UAH 167.5 million (55% more than in 2022) with an 82% increase in net profit to UAH 24.9 million. Concern-Electron JSC holds an 80% stake in the company.
Vehicle manufacturer Zavod Elektronmash LLC, in which Concern-Electron JSC owns a 55% stake, showed a 23.5% decrease in net income to UAH 129.8 million, and net profit amounted to UAH 0.9 million against a loss of about UAH 10 million a year earlier.
The group’s top three in terms of net income last year also included FLC’s subsidiary Electron-Leasing, which leases equipment and vacant premises in office business centers, as well as industrial and warehouse space. The company increased its revenue by 18.6% to UAH 101.9 million, earning UAH 4.1 million in net profit.
Another major subsidiary, Polymer-Electron Plant (production of plastic and polystyrene foam products), ended 2023 with a net profit of UAH 1.2 million against a loss of UAH 0.8 million, with net income increasing by 30% to UAH 80.4 million.
As reported, Concern-Electron JSC also paid dividends of UAH 0.5 per share in 2022.
PrJSC Ingulets Mining and Processing Plant (InGOK, Kryvyi Rih, Dnipro region), a member of Metinvest Group, reduced its net loss by 5 times to UAH 167.235 million in 2023 from UAH 851.259 million in 2022.
According to the decision of the sole shareholder, Metinvest B.V. (Netherlands), which owns 100% of the shares of PJSC “InGOK”, at its meeting on April 30, 2024, the losses for 2023 will be covered by future periods.
Another shareholder’s decision – at the meeting of May 14, 2024 – changed the company’s management structure to a one-tier one with the corresponding amendments to the charter. At the same time, after the registration of the updated charter, the supervisory board was dissolved and a four-member board of directors was created. It includes Metinvest CEO Yuriy Ryzhenkov, Metinvest CFO Yulia Dankova and Metinvest Legal Director Svetlana Romanova as non-executive directors for three years, as well as Igor Tonev as executive director, whose position as CEO is being eliminated.
Earlier, based on the shareholder’s decision of March 23, 2024, Oleksandr Gerasymchuk’s powers as CEO were terminated by agreement of the parties, and Tonev was appointed CEO.
On May 24, 2024, the state registration of the new version of the charter of InGOK took place. On May 25 this year, at a meeting of the Board of Directors of InGOK, Metinvest’s CFO Yulia Dankova was elected Chairman of the Board of Directors for a term from May 25, 2024 to May 24, 2027 inclusive. Igor Tonev was elected Chief Executive Officer with a term of office from May 25, 2024 to April 2, 2025 inclusive. And it was determined that in accordance with clause 7.8 of the charter of InGOK, the chief executive officer in the general activities, organizational structure, staffing and document flow of the company is called the general director.
By the shareholder’s decision of June 13, 2024, at its meeting, the net profit of UAH 1 billion 613.7 million received in January-March of this year is allocated to pay dividends for 2024. At the same time, almost UAH 0.585 of dividends are paid per ordinary share.
The Board of Directors of the company (Minutes No. 2 dated June 14, 2024) decided to establish the date of compiling the list of persons entitled to receive dividends, the procedure and term for their payment. The start date of dividend payment is July 1, 2024, and the end date of dividend payment is December 13, 2024 inclusive.
As reported, InGOK completed 9 months of the year. 2023 with a net loss of UAH 1 billion 316.821 million, while in the same period of 2022 it received a net profit of UAH 113.843 million. The company’s retained earnings as of the end of September 23 amounted to UAH 13 billion 869.051 million.
InGOK ended 2022 with a net loss of UAH 851.259 million, while in 2021 it received UAH 20 billion 446.101 million in net profit. In 2020, InGOK reduced its net profit by 75.3% year-on-year to UAH 1.5 billion.
It was also reported that in April this year, Metinvest introduced a new model for the operation of Kryvyi Rih mining enterprises, uniting mining and processing plants in Kryvyi Rih under a single management. Central, Ingulets and Northern GOKs are managed by a single administrative and management center. For this purpose, a mining department was set up within the group’s operating directorate. The department is headed by Igor Tonev, who has also been appointed as the sole CEO of the three GOKs. Prior to this position, he was the head of Metinvest-SMC, a sales company, since 2019, and has been with Metinvest since 2011.
The company specializes in the extraction and processing of ferruginous quartzite from the Ingulets deposit located in the southern part of the Kryvyi Rih iron ore basin. It produces iron ore concentrate. The company’s production capacity is 14 million tons of iron ore concentrate per year.
Metinvest B.V. (Netherlands) owns 100% of the shares of PrJSC “InGOK”.
The authorized capital of PrJSC “InGOK” is UAH 689.906 million, the share price is UAH 0.25.
InGOK is a part of Metinvest Group, whose major shareholders are System Capital Management (SCM, Donetsk, 71.24%) and Smart Holding Group (23.76%). Metinvest Group’s management company is Metinvest Holding LLC.
