Behaviour pattern of Rosseti Group’s financial stability indicators

As of 31 December 2023, the debt burden level in terms of Debt/EBITDA decreased by 28% compared to the same period of 2022 and amounted to 1.22, which can be explained by the growth of EBITDA with insignificant changes in the debt portfolio.

The financial leverageFinancial leverage is the ratio of the total long-term and short-term liabilities to equity capital, which reflects the debt‑to‑equity ratio, was driven down by the growth of equity as a result of the Company’s restructuring.

In 2023, the return on equityReturn on equity is calculated as the ratio of net profit adjusted for the loss from impairment of fixed assets to the average annual value of equity capital. and return on net assetsReturn on assets is calculated as the ratio of net profit adjusted for impairment loss on fixed assets to the average annual value of assets. continued to grow and reached 14.7% and 8.2%, respectively, supported by the growth of net income. Positive movements in these indicators are indicative of efficient capital and asset management at the Rosseti Group.

The liquidity ratios were on a growing year‑on‑year trend, driven by the outstripping growth rate of current assets over short‑term liabilities. Given the specifics of the electric power industry, this level of liquidity can be considered sufficient to close existing liabilities, and the Company is financially stable.