TEL-AVIV, Israel, Nov. 30, 2016 /PRNewswire/ -- Ellomay Capital
Ltd. (NYSE MKT: ELLO; TASE: ELLO) ("Ellomay" or the
"Company"), an emerging operator in the renewable energy and
energy infrastructure sector, today reported the publication in
Israel of financial statements for
the three months ended September 30,
2016 of Dorad Energy Ltd. ("Dorad"), in which Ellomay
currently indirectly holds approximately 9.4%.
On November 30, 2016, Amos Luzon
Entrepreneurship and Energy Group Ltd. (f/k/a U. Dori Group Ltd.)
(the "Luzon Group"), an Israeli public company that
currently holds 50% of U. Dori Energy Infrastructures Ltd.
("Dori Energy"), which, in turn, holds 18.75% of Dorad,
published its quarterly report in Israel based on the requirements of the
Israeli Securities Law, 1968. Based on applicable regulatory
requirements, the quarterly report of the Luzon Group includes the
financial statements of Dorad for the same period.
The financial results of Dori Energy and of Dorad for the
quarter ended September 30, 2016 were
prepared in accordance with International Financial Reporting
Standards. Ellomay will include its share of these results in its
financial results for this period. In an effort to provide
Ellomay's shareholders with access to Dorad's financial results
(which were published in Hebrew), Ellomay hereby provides a
convenience translation of Dorad's financial results.
Dorad's financial statements include a reference to a hearing
scheduled for December 2016 by the
Israeli Public Utilities Authority – Electricity (the
"Electricity Authority") concerning possible changes in
tariffs, including possible reductions in the electricity
production tariff. The Electricity production tariff is used by
Dorad as the basis for the price charged for the electricity it
provides and is the basis for changes in the price of natural gas
purchased by Dorad and used by it for the production of energy.
Subject to the outcome of this hearing, the Electricity Authority
may reduce the electricity production tariff by 8%. As previously
published, the natural gas price paid by Dorad to its natural gas
supplier has already reached its minimum price in accordance with
the gas supply agreement executed by Dorad and will therefore not
be further reduced following the potential reduction in the
electricity production tariff. Dorad states in its financial
statements that it believes the reduction of the electricity
production tariff will have a material adverse impact on its cash
flows, its profits and on its coverage ratios and that from
the beginning of 2017 it may not be able to meet the coverage
ratios determined by its lenders for distributions to its
shareholders. However, Dorad emphasizes in the financial statements
that it does not anticipate that it will fail to meet the required
coverage ratios in a manner that will constitute a default under
its agreements with its lenders.
Dorad Financial Highlights
- Dorad's unaudited revenues for the three months ended
September 30, 2016 - approximately
NIS 613 million (or approximately
USD 163 million, based on the
exchange rate on September 30,
2016).
- Dorad's unaudited operating profit for the three months ended
September 30, 2016 - approximately
NIS 114 million (or approximately
USD 30 million, based on the exchange
rate on September 30, 2016).
Based on the information provided by Dorad, the demand for
electricity by Dorad's customers is seasonal and is affected by,
inter alia, the climate prevailing in that season. The months of
the year are split into three seasons as follows: the summer season
– the months of July and August; the winter season - the months of
December, January and February; and intermediate seasons – (spring
and autumn), the months from March to June and from September to
November. There is a higher hourly demand for electricity during
the winter and summer seasons, and the average electricity
consumption per hour is higher in these seasons than in the
intermediate seasons and is even characterized by peak demands due
to extreme climate conditions of heat or cold. In addition, Dorad's
revenues are affected by the change in load and time tariffs - TAOZ
(an electricity tariff that varies across seasons and across the
day in accordance with demand hour clusters), as, on average, TAOZ
tariffs are higher in the summer season than in the intermediate
and winter seasons. Therefore, the results presented, which
include the summer and intermediate months of July to September are
not indicative of full year results.
A translation of the financial results for Dorad as of and for
the year ended December 31, 2015 and
as of and for the nine and three month periods ended September 30, 2015 and 2016 is included at the
end of this press release. Ellomay does not undertake to
separately report Dorad's financial results in a press release in
the future. Neither Ellomay nor its independent public accountants
have reviewed or consulted with the Amos Luzon
Entrepreneurship and Energy Group Ltd., Dori Energy or Dorad
with respect to the financial results included in this press
release.
About Ellomay Capital Ltd.
Ellomay is an Israeli based company whose shares are registered
with the NYSE MKT and with the Tel Aviv Stock Exchange under the
trading symbol "ELLO". Since 2009, Ellomay Capital focuses its
business in the energy and infrastructure sectors worldwide.
Ellomay (formerly Nur Macroprinters Ltd.) previously was a supplier
of wide format and super-wide format digital printing systems and
related products worldwide, and sold this business to
Hewlett-Packard Company during 2008 for more than $100 million.
To date, Ellomay has evaluated numerous opportunities and
invested significant funds in the renewable, clean energy and
natural resources industries in Israel, Italy
and Spain, including:
- Approximately 22.6MW of photovoltaic power plants in
Italy and approximately 7.9MW of
photovoltaic power plants in Spain;
- 9.375% indirect interest in Dorad Energy Ltd., which owns and
operates one of Israel's largest
private power plants with production capacity of approximately 850
MW, representing about 6%-8% of Israel's total current electricity
consumption; and
- 75% of Chashgal Elyon Ltd., Agira Sheuva Electra, L.P. and
Ellomay Pumped Storage (2014) Ltd., all of which are involved in a
project to construct a 340 MW pumped storage hydro power plant in
the Manara Cliff, Israel.
Ellomay Capital is controlled by Mr. Shlomo Nehama, Mr. Hemi
Raphael and Mr. Ran Fridrich. Mr. Nehama is one of
Israel's prominent businessmen and
the former Chairman of Israel's
leading bank, Bank Hapohalim, and Messrs. Raphael and Fridrich both
have vast experience in financial and industrial businesses. These
controlling shareholders, along with Ellomay's dedicated
professional management, accumulated extensive experience in
recognizing suitable business opportunities worldwide. Ellomay
believes the expertise of Ellomay's controlling shareholders and
management enables the Company to access the capital markets, as
well as assemble global institutional investors and other potential
partners. As a result, we believe Ellomay is capable of considering
significant and complex transactions, beyond its immediate
financial resources.
For more information about Ellomay, visit
http://www.ellomay.com.
Information Relating to Forward-Looking
Statements
This press release contains forward-looking statements that
involve substantial risks and uncertainties, including statements
that are based on the current expectations and assumptions of the
Company's management. All statements, other than statements of
historical facts, included in this press release regarding the
Company's plans and objectives, expectations and assumptions of
management are forward-looking statements. The use of certain
words, including the words "estimate," "project," "intend,"
"expect," "believe" and similar expressions are intended to
identify forward-looking statements within the meaning of the
Private Securities Litigation Reform Act of 1995. The Company
may not actually achieve the plans, intentions or expectations
disclosed in the forward-looking statements and you should not
place undue reliance on the Company's forward-looking statements.
Various important factors could cause actual results or events to
differ materially from those that may be expressed or implied by
our forward-looking statements, such as regulatory changes, changes
in demand, technical and other disruptions in the operations of the
power plant operated by Dorad and changes in the prices of natural
gas. These and other risks and uncertainties associated with the
Company's business are described in greater detail in the filings
the Company makes from time to time with Securities and Exchange
Commission, including its Annual Report on Form 20-F. The
forward-looking statements are made as of this date and the Company
does not undertake any obligation to update any forward-looking
statements, whether as a result of new information, future events
or otherwise.
Contact:
Kalia Weintraub
CFO
Tel: +972 (3) 797-1111
Email: anatb@ellomay.com
Dorad Energy
Ltd.
|
Condensed Interim
Statement of Financial Position as at
|
|
|
|
|
|
|
|
September
30
|
September
30
|
December
31
|
|
|
2016
|
2015
|
2015
|
|
|
(Unaudited)
|
(Unaudited)
|
(Audited)
|
|
|
NIS
thousands
|
NIS
thousands
|
NIS
thousands
|
Current
assets
|
|
|
|
|
Cash and cash
equivalents
|
|
215,072
|
423,144
|
51,894
|
Trade
receivables
|
|
227,405
|
319,863
|
278,982
|
Other
receivables
|
|
17,615
|
19,312
|
31,994
|
Pledged
deposit
|
|
-
|
29,484
|
29,485
|
Financial
derivatives
|
|
-
|
-
|
646
|
Total current
assets
|
|
460,092
|
791,803
|
393,001
|
|
|
|
|
|
Non-current
assets
|
|
|
|
|
Restricted
deposit
|
|
408,043
|
270,074
|
335,085
|
Prepaid
expenses
|
|
45,502
|
47,420
|
46,918
|
Fixed
asset
|
|
4,231,913
|
4,427,658
|
4,386,971
|
Intangible
assets
|
|
8,297
|
8,100
|
8,391
|
Total non-current
assets
|
|
4,693,755
|
4,753,252
|
4,777,365
|
|
|
|
|
|
Total
assets
|
|
5,153,847
|
5,545,055
|
5,170,366
|
|
|
|
|
|
Current
liabilities
|
|
|
|
|
Current maturities of
loans from banks
|
|
234,680
|
214,713
|
170,722
|
Current maturity of
loans from related parties
|
|
70,000
|
130,000
|
130,000
|
Trade
payables
|
|
267,688
|
555,979
|
247,129
|
Other
payables
|
|
10,818
|
45,310
|
16,906
|
Financial
derivatives
|
|
1,574
|
768
|
-
|
Total current
liabilities
|
|
584,760
|
946,770
|
564,757
|
|
|
|
|
|
Non-current
liabilities
|
|
|
|
|
Loans from
banks
|
|
3,464,531
|
3,409,930
|
3,316,740
|
Loans from related
parties
|
|
156,946
|
387,888
|
396,259
|
Provision for
dismantling and restoration
|
|
35,567
|
29,001
|
35,170
|
Deferred tax
liabilities, net
|
|
71,102
|
38,197
|
60,882
|
Liabilities for
employee benefits, net
|
|
160
|
114
|
160
|
Total non-current
liabilities
|
|
3,728,306
|
3,865,130
|
3,809,211
|
|
|
|
|
|
Equity
|
|
|
|
|
Share
capital
|
|
11
|
11
|
11
|
Share
premium
|
|
642,199
|
642,199
|
642,199
|
Capital reserve from
activities with shareholders
|
|
3,748
|
3,748
|
3,748
|
Retained
earnings
|
|
194,823
|
87,197
|
150,440
|
Total
equity
|
|
840,781
|
733,155
|
796,398
|
|
|
|
|
|
Total liabilities
and equity
|
|
5,153,847
|
5,545,055
|
5,170,366
|
Dorad Energy
Ltd.
|
Condensed Interim
Income Statement
|
|
|
|
|
|
For the nine
months ended
|
For the three
months ended
|
Year
ended
|
|
September
30
|
September
30
|
December
31
|
|
2016
|
2015
|
2016
|
2015
|
2015
|
|
(Unaudited)
|
(Unaudited)
|
(Unaudited)
|
(Unaudited)
|
(Audited)
|
|
NIS
thousands
|
NIS
thousands
|
NIS
thousands
|
NIS
thousands
|
NIS
thousands
|
|
|
|
|
|
|
Revenues
|
1,739,691
|
1,840,706
|
613,233
|
673,378
|
2,356,832
|
|
|
|
|
|
|
Operating costs of
the Power
|
|
|
|
|
|
Plant
|
|
|
|
|
|
Energy
costs
|
419,033
|
482,598
|
134,223
|
186,420
|
613,689
|
Electricity purchase
and
|
|
|
|
|
|
infrastructure
services
|
813,480
|
841,539
|
269,846
|
272,953
|
1,000,947
|
Depreciation and
amortization
|
157,811
|
158,364
|
52,480
|
53,160
|
209,953
|
Other operating
costs
|
102,815
|
112,980
|
37,626
|
46,155
|
149,808
|
|
|
|
|
|
|
Total cost of
Power Plant
|
1,493,139
|
1,595,481
|
494,175
|
558,688
|
1,974,397
|
|
|
|
|
|
|
Profit from
operating the
|
|
|
|
|
|
Power
Plant
|
246,552
|
245,225
|
119,058
|
114,690
|
382,435
|
|
|
|
|
|
|
General and
administrative
|
|
|
|
|
|
expenses
|
13,612
|
17,084
|
4,867
|
4,279
|
25,681
|
|
|
|
|
|
|
Operating
profit
|
232,940
|
228,141
|
114,191
|
110,411
|
356,754
|
|
|
|
|
|
|
Financing
income
|
1,429
|
3,415
|
(768)
|
(598)
|
476
|
Financing
expenses
|
(179,766)
|
(177,062)
|
(70,963)
|
(69,279)
|
(216,808)
|
Financing
expenses, net
|
(178,337)
|
(173,647)
|
(71,731)
|
(69,877)
|
(216,332)
|
|
|
|
|
|
|
Profit before
taxes
|
|
|
|
|
|
on
income
|
54,603
|
54,494
|
42,460
|
40,534
|
140,422
|
|
|
|
|
|
|
Taxes on
income
|
(10,220)
|
(14,922)
|
(10,627)
|
(10,741)
|
(37,607)
|
|
|
|
|
|
|
Profit for
the period
|
44,383
|
39,572
|
31,833
|
29,793
|
102,815
|
Dorad Energy
Ltd.
|
Condensed Interim
Statement of Changes in Equity
|
|
|
|
|
|
|
|
|
|
Capital
reserve
|
|
|
|
Share
|
Share
|
for activities
with
|
Retained
|
|
|
capital
|
premium
|
shareholders
|
earnings
(losses)
|
Total
Equity
|
|
NIS
thousands
|
NIS
thousands
|
NIS
thousands
|
NIS
thousands
|
NIS
thousands
|
For the nine
months ended
|
|
|
|
|
|
September
30, 2016 (Unaudited)
|
|
|
|
|
|
|
Balance as
at
|
|
|
|
|
|
January 1,
2016 (Audited)
|
11
|
642,199
|
3,748
|
150,440
|
796,398
|
|
|
|
|
|
|
Profit for the
period
|
-
|
-
|
-
|
44,383
|
44,383
|
|
|
|
|
|
|
Balance as at
September 30,
|
|
|
|
|
|
2016
(Unaudited)
|
11
|
642,199
|
3,748
|
194,823
|
840,781
|
|
|
|
|
|
|
For the nine
months ended
|
|
|
|
|
|
September
30, 2015 (Unaudited)
|
|
|
|
|
|
|
Balance as
at
|
|
|
|
|
|
January 1,
2015 (Audited)
|
11
|
642,199
|
3,748
|
47,625
|
693,583
|
|
|
|
|
|
|
Profit for the
period
|
-
|
-
|
-
|
39,572
|
39,572
|
|
|
|
|
|
|
Balance as at
September 30,
|
|
|
|
|
|
2015
(Unaudited)
|
11
|
642,199
|
3,748
|
87,197
|
733,155
|
|
|
|
|
|
|
For the three
months ended
|
|
|
|
|
|
September 30, 2016
(Unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
Balance as
at
|
|
|
|
|
|
July 1, 2016
(Unaudited)
|
11
|
642,199
|
3,748
|
162,990
|
808,948
|
|
|
|
|
|
|
Profit for the
period
|
-
|
-
|
-
|
31,833
|
31,833
|
|
|
|
|
|
|
Balance as at
September 30,
|
|
|
|
|
|
2016
(Unaudited)
|
11
|
642,199
|
3,748
|
194,823
|
840,781
|
|
|
|
|
|
|
For the three
months ended
|
|
|
|
|
|
September 30, 2015
(Unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
Balance as
at
|
|
|
|
|
|
July 1, 2015
(Unaudited)
|
11
|
642,199
|
3,748
|
57,404
|
703,362
|
|
|
|
|
|
|
Profit for the
period
|
-
|
-
|
-
|
29,793
|
29,793
|
|
|
|
|
|
|
Balance as at
September 30,
|
|
|
|
|
|
2015
(Unaudited)
|
11
|
642,199
|
3,748
|
87,197
|
733,155
|
Dorad Energy
Ltd.
|
Condensed Interim
Statement of Changes in Equity (cont')
|
|
|
|
|
|
|
|
|
|
Capital
reserve
|
|
|
|
Share
|
Share
|
for activities
with
|
Retained
|
|
|
capital
|
premium
|
shareholders
|
earnings
(losses)
|
Total
Equity
|
|
NIS
thousands
|
NIS
thousands
|
NIS
thousands
|
NIS
thousands
|
NIS
thousands
|
For the year
ended
|
|
|
|
|
|
December 31,
2015 (Audited)
|
|
|
|
|
|
|
|
|
|
|
|
Balance as
at
|
|
|
|
|
|
January 1, 2015
(Audited)
|
11
|
642,199
|
3,748
|
47,625
|
693,583
|
|
|
|
|
|
|
Profit for the
year
|
|
-
|
-
|
102,815
|
102,815
|
|
|
|
|
|
|
Balance as at
December 31,
|
|
|
|
|
|
2015
(Audited)
|
11
|
642,199
|
3,748
|
150,440
|
796,398
|
Dorad Energy
Ltd.
|
Condensed Interim
Statements of Cash Flows
|
|
|
|
|
|
For the nine
months ended
|
For the three
months ended
|
Year
ended
|
|
September
30
|
September
30
|
December
31
|
|
2016
|
2015
|
2016
|
2015
|
2015
|
|
(Unaudited)
|
(Unaudited)
|
(Unaudited)
|
(Unaudited)
|
(Audited)
|
|
NIS
thousands
|
NIS
thousands
|
NIS
thousands
|
NIS
thousands
|
NIS
thousands
|
Cash flows from
operating
|
|
|
|
|
|
activities:
|
|
|
|
|
|
Profit for the
period
|
44,383
|
39,572
|
31,833
|
29,793
|
102,815
|
Adjustments:
|
|
|
|
|
|
Depreciation and
amortization
|
|
|
|
|
|
and fuel
consumption
|
171,941
|
179,190
|
57,862
|
73,634
|
237,295
|
Taxes on
income
|
10,220
|
14,922
|
10,627
|
10,741
|
37,607
|
Financing expenses,
net
|
178,337
|
173,647
|
71,731
|
69,878
|
216,332
|
|
360,498
|
367,759
|
140,220
|
154,253
|
491,234
|
|
|
|
|
|
|
Change in trade
receivables
|
52,185
|
8,811
|
49,219
|
(101,282)
|
49,693
|
Change in other
receivables
|
14,379
|
(8,194)
|
776
|
(10,534)
|
(20,876)
|
Change in trade
payables
|
23,566
|
179,464
|
(57,262)
|
164,470
|
(129,385)
|
Change in other
payable
|
1,714
|
4,892
|
1,553
|
(15,804)
|
(6,842)
|
Change in
employee benefits, net
|
-
|
8
|
-
|
-
|
55
|
|
91,844
|
184,981
|
(5,714)
|
36,850
|
(107,355)
|
Net cash
flows provided by
|
|
|
|
|
|
operating
activities
|
496,725
|
592,312
|
166,339
|
220,896
|
486,694
|
Net cash flows
used in
|
|
|
|
|
|
investing
activities
|
|
|
|
|
|
Proceeds from
(payments for)
|
|
|
|
|
|
settlement of
financial derivatives
|
(2,670)
|
10,651
|
(1,305)
|
626
|
9,609
|
Payment of pledged
deposit
|
29,486
|
38,679
|
29,486
|
-
|
38,679
|
Investment in
long-term restricted
|
|
|
|
|
|
deposit
|
(143,891)
|
(70,000)
|
(103,500)
|
-
|
(135,000)
|
Release of long-term
restricted deposits
|
70,000
|
-
|
-
|
-
|
-
|
Investment in
long-term prepaid expenses
|
(90)
|
-
|
-
|
-
|
-
|
Investment in fixed
assets
|
(21,221)
|
(414,269)
|
(5,442)
|
(11,911)
|
(447,338)
|
Investment in
intangible assets
|
(1,864)
|
(987)
|
(110)
|
(659)
|
(1,767)
|
Interest
received
|
196
|
100
|
75
|
14
|
115
|
Net Cash flows
used in
|
|
|
|
|
|
investing
activities
|
(70,054)
|
(435,826)
|
(80,796)
|
(11,930)
|
(535,702)
|
|
|
|
|
|
|
Cash flows from
financing
|
|
|
|
|
|
activities:
|
|
|
|
|
|
Receipt of long-term
loans
|
|
|
|
|
|
from related
parties
|
16,689
|
23,208
|
16,689
|
-
|
23,208
|
Receipt of long-term
loans from banks
|
242,772
|
318,100
|
242,772
|
-
|
318,100
|
Repayment of loans
from related
|
|
|
|
|
|
parties
|
(147,219)
|
-
|
(147,219)
|
-
|
-
|
Repayment of loans
from banks
|
(73,460)
|
(44,495)
|
-
|
-
|
(105,121)
|
Interest
paid
|
(302,676)
|
(100,753)
|
(199,997)
|
(938)
|
(206,032)
|
Net cash flows
provided by
|
|
|
|
|
|
(used in)
financing activities
|
(263,894)
|
196,060
|
(87,755)
|
(938)
|
30,155
|
|
|
|
|
|
|
Net increase
(decrease) in cash
|
|
|
|
|
|
and cash
equivalents for the period
|
162,777
|
352,546
|
(2,212)
|
208,028
|
(18,853)
|
|
|
|
|
|
|
Effect of exchange
rate
|
|
|
|
|
|
fluctuations
on cash and cash
|
|
|
|
|
|
equivalents
|
401
|
(1,180)
|
69
|
(1,139)
|
(1,031)
|
|
|
|
|
|
|
Cash and cash
equivalents at
|
|
|
|
|
|
beginning of
period
|
51,894
|
71,778
|
217,215
|
216,255
|
71,778
|
|
|
|
|
|
|
Cash and cash
equivalents at
|
|
|
|
|
|
end of
period
|
215,072
|
423,144
|
215,072
|
423,144
|
51,894
|
To view the original version on PR Newswire,
visit:http://www.prnewswire.com/news-releases/ellomay-capital-reports-publication-of-financial-results-of-dorad-energy-ltd-for-the-three-months-ended-september-30-2016-300370436.html
SOURCE Ellomay Capital Ltd