Source - SMW
RusHydro's first half revenues rose by 10.2% to RUB194,340m while net profits increased by 48.4% to RUB29,770m.

The group said the results reflected a significant increase in electricity generation by hydropower plants in 1st half of 2016, liberalisation of hydro capacity market in Siberia and interim results of implementation of programme aimed at improving operating and investment efficiency and reducing costs initiated by the company's management.

Chairman Nikolay Shulginov said: "Financial results of RusHydro Group for the 1st half of 2016 demonstrate that we have chosen the right development vector aimed at efficiency improvement of the whole group. 

"We are now carrying out a process of financial rehabilitation of the Group in order to withstand changing macroeconomic environment. 

"Importantly, for the first time our cost optimisation plan was included in the new development Strategy of RusHydro Group approved by the Board of Directors in June 2016. Currently, we are searching for new areas for optimisation. 

"According to preliminary results of analysis , these areas include a number of inefficient expenses and businesses, that we can get rid of to attain more savings and release additional cash flows, that might be used to invest in efficient projects, and also to pay dividends to our shareholders. 

"One of our priorities is optimisation of organisational structure and decrease in the number of administrative staff. Some major work is yet to be done in terms of repairs and maintenance expenses, fuel supply, administrative and transportation costs. 

"Another important part of our cost optimisation program is disposal of non-core assets. I am sure that we will continue to deliver strong results in the second half of the year".