Wiener Stadtwerke Annual Report 2012

The internal ratings of banks providing funding (assessments
based on the Internal Ratings-Based Approach defined by
Basel II) are drawn upon in order to assess the Group‘s
creditworthiness. These regularly confirm the outstanding
creditworthiness of Wiener Stadtwerke.
The contingent liabilities of the Wiener Stadtwerke Group on
the balance sheet date amount to EUR 496.6 million, around
14.0 percent higher than a year earlier. This position primarily
recognises US cross-border leasing transactions entered into by
Wiener Linien, which are offset by means of rights of recourse in
the same amount carried as assets, in addition to partly restricted
and partly unrestricted comfort letters issued on behalf of
e&t Energie Handelsgesellschaft m.b.H. As in the prior year,
these contingent liabilities have been recorded under the
balance sheet total as a net liability position (being the balance
of energy purchase and sale contracts valued at market prices
quoted on 31 December 2012). Taking into account the
contracts concluded by e&t Energie Handelsgesellschaft m.b.H.
with its trading partners, the net liability position amounts to
EUR 70.3 million (prior year: EUR 20.8 million), which accounts
for the majority of the increase. The liabilities associated with
e&t are partially offset by receivables in the amount of
EUR 17.4 million.
INVESTMENT AND FINANCIAL POSITIONS
in EUR million 2012 2011 ± ±%
Investments in intangible
assets
18.8 20.7 -1.9 -9.4
Investments in tangible assets 857.2 674.9 182.3 27.0
Investments in financial assets 65.6 335.8 -270.2 -80.5
Total investment 941.6 1,031.4 -89.8 -8.7
Due to the change in the balance sheet date, the 2012 figures for the energy segment relate
to five quarters
In 2012, the Wiener Stadtwerke Group undertook investments
with a total volume of EUR 941.6 million, representing an
increase of 8.9 percent even after taking the five quarters
reported in the energy segment into account. The peak in
investment activity seen in 2011 was attributable in part to the
financial investment in shares in Verbund Innkraftwerke GmbH
(Germany). In 2012, on the other hand, there was a sharp rise in
investment in tangible assets, which rose by 27.0 percent to
EUR 857.2 million. Restated to take the fifth quarter in the
energy segment into account, the increase still amounts to
21.1 percent. This increase is foremostly accounted for by the
assets acquired by Wiener Stadtwerke TownTown GmbH & Co
Stationsturm KG and the first-time consolidation of Windnet
Windkraftanlagenbetriebs-GmbH & Co KG and Vienna Energy
Természeti Erö kft.
Given that depreciation expenses will only be incurred after
the relevant assets have been commissioned and due to the
fact that the underlying useful life of such assets often extends
into decades, this comparably high level of investment will
continue to have a significant impact on the development of
earnings in the years to come. Generally speaking, depreciation
expenses have been increasing steadily for a number of
years due to the Group‘s intensive investment activity. Besides
the consideration of the fifth quarter in the energy segment,
the rise in the depreciation expenses incurred during the
course of the financial year of 27.3 percent to EUR 655.1 million
is primarily attributable to the impairment charges taken
against power station assets.
Due to the higher level of investment in tangible assets, the
CAPEx ratio rose in 2012 to 23.2 percent compared with 22.7
percent in the prior year. Given that the fifth quarter reported
by the energy segment is taken into account in both the
investments in tangible assets and the turnover, this anomaly
does not distort the validity of this ratio.
INVESTMENTS AND DEPRECIATION / AMORTISATION
(TANGIBLE AND INTANGIBLE ASSETS)
in EUR million
2008 768
469
2009
2010
2011
2012
Investments
Depreciation and amortisation
FINANCING
in EUR million
690
493
742
534
696
515
876
655
Abridged balance sheet 2012 2011 ± ±%
Operating cash flow before
changes in working capital
429.9 381.4 48.5 12.7
Change in working capital
and operating cash flow
(long-term)
Cash flow from operating
activities
Cash flow from investment
activities
Cash flow from financing
activities
Change in cash and cash
equivalents
Balance of cash and cash
equivalents at 31.12.
15.7 255.3 -239.6 -93.9
445.6 636.7 -191.1 -30.0
-607.7 -746.9 139.2 -18.6
-90.5 165.6 -256.1 -154.6
-252.6 55.4 -308.0 n.a.
211.6 464.2 -252.6 -54.4
*Cash and cash equivalents are the sum of the cash and bank balance positions.
Net cash flow remained largely unchanged (an increase of
around EUR 48 million). The decline in operating cash flows is
accounted for by the increase in current receivables as well as
the decline in the value of non-current liabilities compared to
the prior year. The negative cash flow from investment
activities reflects Wiener Stadtwerke‘s high level of investment
activity. Compared to the prior year, the lower cash outflows
are accounted for predominantly by the decline in investments
in financial assets, albeit partially offset by a higher volume of
investments in tangible assets and lower cash inflows from the
disposal of assets. As a result of the accelerated repayment of
borrowed capital, the cash flow from financing activities was
Consolidated Management Report | Annual Report 2012
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