JSC "UAC" announces standalone net profit growth by more than 3 times

07-Nov-2013

• Net profit of JSC "UAC" for 9m2013 grew by more than 3 times compared to the same period of last financial year
• Growth of income from investments in other companies has reached 2%
• Standalone net debt reduced by 17% compared to the beginning of the year

Moscow, November 07, 2013 - Joint Stock Company "United Aircraft Corporation" (MOEX: UNAC), Russian national aircraft manufacture, announces the unaudited standalone financial statements for the nine months of 2013 in compliance with the Russian Accounting Standards (RAS).

Revenue for 9m2013 amounted to 3.3 bln RUB. At the same time, given the irregularity of Company's revenue recognition during the year caused by the specialty of aircraft delivery, the majority of revenue is planned to be recognized in the fourth quarter of 2013: the size of standalone revenue of the year 2013 is expected to reach 12.0-13.0 bln RUB and to exceed the level of 2012.

By reducing costs per unit of revenue for the 9m2013 the Company increased the gross margin from 3.0% to 7.6% compared to the beginning of the year.

Moreover, the Company reduced other expenses due to (including but not limited to) reduction of foreign exchange losses. As a result , the delta of other income/expenses increased almost 8 times - up to 2.3 bln RUB, and this allowed to increase net profit by more than 3 times compared to the same period in 2012 , to achieve net profit margin at the level of more than 41% , and in comparison with the beginning of 2013 to reduce the accumulated loss of JSC "UAC" by 51.2 % - to 0.8 bln RUB.

Net debt of JSC "UAC" compared to the beginning of the year reduced by more than 17% and amounted to 29.7 bln RUB, interest expenses also reduced - by 3%.

Summing up the results of reporting period JSC "UAC" Vice-President for Economics and Finance (CFO) Vladimir Chirikov said: "Stabilization of the Company's standalone financial position is the major task of the management, the realization of which allows JSC "UAC" to form a long-term policy for equity capital management and dividend payments".

Financial statements of JSC "UAC" for the 9 months of 2013 in compliance with RAS are available for download at the Company's website (in Russian): http://www.uacrussia.ru/ru/investors/reports/financial_reports/.

Statement of financial position in compliance with RAS (short form)

Profit and loss statement in compliance with RAS (short form)