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1
19 July 2011
Fortum Corporation Interim ReportJanuary-June 2011
2
Disclaimer
This presentation does not constitute an invitation to underwrite subscribe for or otherwise acquire or dispose of any Fortum shares
Past performance is no guide to future performance and persons needing advice should consult an independent financial adviser
3
Highlights in Q2bull Good result development continued
bull Timing of planned nuclear outages weakened Power results compared to Q22010
bull Overall Swedish nuclear availability back at 80-85
bull Nuclear stress tests ready in Finland
bull In Russia efficiency improvement of EUR 100 million achieved
bull Fortums CO2 emissions in Europe at 73 gkWh (five- year average) ndash within the EU the industry average close to 350 gkWh
bull Increased uncertainty in the market
4
Increased uncertainty in macro environment
GLOBAL
- Increased global economic uncertainty- Europersquos sovereign-debt crisis- Incident in Fukushima in Japan Finland
- No new decisions-in-principle on nuclear power in four years- The new Governmentrsquos policy framework includes a possible implementation of a windfall tax and a uranium tax
Germany
- Announced plans to abandon nuclear energy by 2022- Total reversal of previous policy- To be replaced by renewable energy
5
Q2 Market conditions
bull Nordic water reservoirs reached normal levels by the end of Q2
bull CO2 prices decreased at the end of the quarter
bull Nordic forward prices decreased
bull In the First price zone (European and Urals part of Russia) power consumption was up by 4 from Q2 2010
6
Nordic water reservoirs
Source Nord Pool Spot
rese
rvoi
r con
tent
(TW
h)
0
20
40
60
80
100
120
Q1 Q2 Q3 Q4
2003 2008 2009 20112010 reference level
7
Price development in the Nordic region and Russia
Includes capacity income
Spot price for power in NordPool power exchange
448 459
662
523621
0
12
24
36
48
60
72
Q22010 Q32010 Q42010 Q12011 Q22011
eurMWh
Powers Nordic power price
447 469 488 479 474
0
10
20
30
40
50
60
Q22010 Q32010 Q42010 Q12011 Q22011
eurMWh
Spot price for power (market price) Urals hub
770
935817
950 954
0
200
400
600
800
1 000
1 200
Q22010 Q32010 Q42010 Q12011 Q22011
RUBMWh
Achieved power price for OAO Fortum
256288 305 292 290
0
6
12
18
24
30
36
Q22010 Q32010 Q42010 Q12011 Q22011
eurMWh
+17
+6
+24
+13
8
Q2 Good development continued
bull Comparable operating profit EUR 348 (339) million
bull Earnings per share EUR 053 (030)
bull Net cash from operating activities 410 (422) million
bull Strong financial position
9
Q2 Comparable profit at last yearrsquos level
Comparable operating profit EUR million
-6730-14 3483390
-8
PowerQ22010 Heat Russia Distribution ElectricitySales
Other Q22011
10
January-June Comparable profit at last yearrsquos level
Comparable operating profit EUR million
31
24990 997-11348
29 -12
PowerH12010 Heat Russia Distribution ElectricitySales
Other H12011
11
bull Dow Jones Sustainability Index Worldndash Fortum is the only Nordic power and heat company listed in the index
bull SAM Sustainability Yearbook 2010 and 2011bull oekombull OMX GES Sustainability Finland Indexbull Storebrand SRI
ndash Based on the assessments conducted in 2006 and 2009 Fortum was the most responsible electricity company globallybull Carbon Disclosure Project
1111
Fortum a forerunner in sustainabilityg CO2kWh electricity 2009
Average 346 gkWh
0
200
400
600
800
1000
1200
DE
I
Dra
x
RW
E
CEZ
SS
E
ED
P
Ene
l
Vat
tenf
all
EO
N
Don
g
Uni
on F
enos
a
GD
F S
UE
Z E
urop
e
Iber
drol
a
Fortu
m to
tal
ED
F
PV
O
Ver
bund
Fortu
m E
U
Sta
tkra
ft
41155
g CO2kWh electricity 2009
Average 346 gkWh
0
200
400
600
800
1000
1200
DE
I
Dra
x
RW
E
CEZ
SS
E
ED
P
Ene
l
Vat
tenf
all
EO
N
Don
g
Uni
on F
enos
a
GD
F S
UE
Z E
urop
e
Iber
drol
a
Fortu
m to
tal
ED
F
PV
O
Ver
bund
Fortu
m E
U
Sta
tkra
ft
411550
200
400
600
800
1000
1200
DE
I
Dra
x
RW
E
CEZ
SS
E
ED
P
Ene
l
Vat
tenf
all
EO
N
Don
g
Uni
on F
enos
a
GD
F S
UE
Z E
urop
e
Iber
drol
a
Fortu
m to
tal
ED
F
PV
O
Ver
bund
Fortu
m E
U
Sta
tkra
ft
41155
12
Financials
13
Comparable and reported operating profit
MEURII2011 II2010 II2011 II2010 I-II2011 I-II2010 I-II2011 I-II2010
Power 257 271 271 280 582 695 760 747Heat 25 33 25 35 196 165 290 194Russia 21 -9 21 -9 55 7 55 23Distribution 60 53 252 53 184 155 377 166Electricity Sales 10 10 23 23 21 -3 3 -6Other -25 -19 17 -31 -41 -29 24 -49Total 348 339 609 351 997 990 1 509 1 075
Comparable operating profit
Reported operating profit
Comparable operating profit
Reported operating profit
bull IFRS accounting treatment (IAS 39) of derivatives had a positive impact on the reported operating profit EUR 76 (-15) million or earnings per share EUR 007 (-001) in the second quarter and EUR 249 (21) million or earnings per share EUR 021 (002) for January-June 2011
14
Power
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 574 597 1 267 1 366 2 603
Comparable operating profit 257 271 582 695 1 185
Net Assets 5 998 5 726
Comparable RONA 198
Gross Investments 36 22 69 55 136
Q2 Power
bull Comparable operating profit decreasedndash Swedish nuclear availability back at 80-85ndash Lower hydro and nuclear volumesndash Water reservoirs improved significantly towards the
end of the quarter
15
Nuclear output in Q2
Q2 2011
Q2 2010
Nuclear Outage effect
TWh
Planned outages in Oskarshamn 1amp3 and Forsmark 1 in Q22011(In 2010 no outages in Q2)
If timing would have been similar in 2011 compared to 2010 nuclear output would have exceeded 2010 levels during Q2
Improved availability in Sweden
16
Q2 Power result declined due to several reasons
Comparable operating profit EUR million
257-3-40271 3-10
Volumeamp priceQ22010 Stronger
SEKRussianimport
Propertytaxes Other Q22011
17
Heat
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 322 301 1 047 952 1 865
Comparable operating profit 25 33 196 165 306
Net Assets 3 911 3 884
Comparable RONA 82
Gross Investments 72 59 130 121 314
Q2 Heat
bull Comparable operating profit decreasedndash Lower heat volumes in Sweden caused by
divestment during first quarterndash Integration cost provisions in Poland
18
Russiabull Comparable operating profit improved
ndash Commissioning of the new unit ndash Higher electricity market prices ndash Efficiency improvementsndash Reversal of CSA provisions related to the newly
commissioned units
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 195 169 490 413 881
Comparable operating profit 21 -9 55 7 56
Net Assets 3 051 2 690
Comparable RONA 34
Gross Investments 192 167 267 258 608
Q2 Russia
19
Distribution
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 215 200 526 480 1 009
Comparable operating profit 60 53 184 155 336
Net Assets 3 487 3 482
Comparable RONA 99
Gross Investments 62 47 96 76 233
Q2 Distribution
bull Comparable operating profit increasedndash Lower transmission costsndash Stronger SEK
bull Smart metering rollout to network customers in Finland continued
20
Markets
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 183 327 556 964 1 390
Comparable operating profit 10 10 21 -3 35
Net Assets 77 59
Comparable RONA 341
Gross Investments 1 0 4 0 4
Q2 Electricity Sales
bull Comparable operating profit at last yearrsquos levelndash Tough competitionndash Restructuring of the Business Market segment
21
MEUR II2011 II2010 I-II2011 I-II2010 2010 LTM
Sales 1 316 1 295 3 350 3 242 6 296 6 404Expenses -968 -956 -2 353 -2 252 -4 463 -4 564
Comparable operating profit 348 339 997 990 1 833 1 840
Other items affecting comparability 261 12 512 85 -125 302
Operating profit 609 351 1 509 1 075 1 708 2 142Share of profit of associates and jvs 15 15 74 31 62 105Financial expenses net -72 -34 -127 -61 -155 -221
Profit before taxes 552 332 1 456 1 045 1 615 2 026Income tax expense -74 -61 -232 -191 -261 -302
Net profit for the period 478 271 1 224 854 1 354 1 724Non-controlling interests 6 8 74 32 54 96
EPS basic (EUR) 053 030 129 093 146 183EPS diluted (EUR) 053 030 129 093 146 183
Q2 Income statement
22
Q2 Cash flow statement
MEUR II2011 II2010 I-II2011 I-II2010 2010 LTM
Operating profit before depreciations 764 490 1 813 1 351 2 271 2 733
Non-cash flow items and divesting activities -299 -6 -569 -73 124 -372
Financial items and fx gainslosses 12 -146 -290 -323 -641 -608
Taxes -144 -73 -258 -155 -355 -458
Funds from operations (FFO) 333 265 696 800 1 399 1 295
Change in working capital 77 157 168 143 38 63
Total net cash from operating activities 410 422 864 943 1 437 1 358
Paid capital expenditures -297 -263 -503 -486 -1 134 -1 151
Acquisition of shares -1 -1 -20 -1 -28 -47
Other investing activities 331 -16 541 72 60 529
Cash flow before financing activities 443 142 882 528 335 689
23
MEUR LTM 2010 2009EBITDA 2 733 2 271 2 292Comparable EBITDA 2 431 2 396 2 398Interest-bearing net debt 6 783 6 826 5 969Net debtEBITDA 25 30 26Comparable Net debtEBITDA 28 28 25
Return on capital employed () 138 116 121Return on shareholders equity () 191 157 160
) as of 30 June 2011
Key ratios
Q2 lsquo11
24
Debt maturity profile
0
250
500
750
1000
1250
1500
1750
2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021+
Bonds Financial institutions Other long-term debt CPs Other short-term debt
MEUR
2011 231
2012 668
2013 639
2014 1223
2015 1051
2016 879
2017 270
2018 190
2019 840
2020 73
2021+ 1530
per 30 June 2011 per 31 Dec 2010
Average interest rate (incl swaps and forwards) 44 35Portion of floating fixed debt 47 53 49 51
25
Strong financial position
Return on capital employed12
Return on shareholders equity14
Net debtEBITDAaround 30
138
191
28
Fortumrsquos financial targets LTM in Q22011
Good liquidity ndash committed credit lines total EUR 27 billion
Comparable net debtEBITDA
26
Outlook
27
Q2 Summary
bull Solid performance continued - seasonalitybull Power
ndash Improved nuclear availability- timing of Swedish planned nuclear outages impacted volume
ndash Swedish nuclear back at 80-85 in availabilityndash Lower hydro volumes ndash water reservoirs improved at the end of the quarterndash SEK burdenedndash Results year-end weighted compared to 2010
bull Russiandash Commissioning of new units contributed to result improvementndash The return for the new capacity is guaranteed ndash EUR 100 million efficiency improvement reached
bull Nordic countriesndash Water reservoirs improved to long-term average
bull Overall strong financial position
28
Outlook
bull Key drivers and risksndash Wholesale price of electricity
bull Demandbull Fuelsbull CO2 emissions pricesbull Water reservoirsbull Nuclear availability
bull Nordic marketsndash Market continues to recover ndash 2008 level to be reached by 2012-2014ndash Electricity continues to gain share of total energy consumption
bull Russiandash Wholesale market liberalisedndash Profits from Russia build up in pace with the capacity increases
29
Outlook
bull Capex (excluding potential acquisitions)ndash 2011-2012 around EUR 16 to 18 billion annually (mainly due to Russian
investment programme)ndash 2013-2014 around EUR 11 to 14 billion annuallyndash Disclosed divestments totalled approximately EUR 05 billion
bull Hedgingndash 2011 approximately 70 hedge ratio at approximately EUR 45MWh(Q1 70 at EUR 44MWh)ndash 2012 approximately 50 hedge ratio at approximately EUR 46MWh(Q1 45 at EUR 45MWh)
30
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007 2008 2009 2010 2011 20120
10
20
30
40
50
60
70
80
90
100
110Spot prices Forward prices
3131
CO2 -free and energy-efficient solutions important
Create solid earnings growth in Russia
Leverage the strong Nordic core
Build platform for future growth
Competence in CO2 -free hydro nuclear and energy efficient CHP production and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -Fortumrsquos strategy remains intact
32
19 July 2011
Fortum Corporation
Interim Report
January-June 2011
Disclaimer
This presentation does not constitute an invitation to underwrite subscribe for or otherwise acquire or dispose of any Fortum shares
Past performance is no guide to future performance and persons needing advice should consult an independent financial adviser
Highlights in Q2
Increased uncertainty in macro environment
GLOBAL
- Incident in Fukushima in Japan
Finland
- No new decisions-in-principle on nuclear power in four years
- The new Governmentrsquos policy framework includes a possible implementation of a windfall tax and a uranium tax
Germany
- To be replaced by renewable energy
Q2 Market conditions
Nordic water reservoirs
Source Nord Pool Spot
Q1
Q2
Q3
Q4
2003
2008
2009
2011
2010
reference level
reservoir content (TWh)
0
20
40
60
80
100
120
Price development in the Nordic region and Russia
Includes capacity income
+17
+6
+24
+13
Q2 Good development continued
Q2 Comparable profit at last yearrsquos level
Comparable operating profit EUR million
-6
7
30
-14
348
339
0
-8
Power
Q22010
Heat
Russia
Distribution
Electricity
Sales
Other
Q22011
January-June Comparable profit at last yearrsquos level
Comparable operating profit EUR million
31
24
990
997
-113
48
29
-12
Power
H12010
Heat
Russia
Distribution
Electricity
Sales
Other
H12011
Fortum a forerunner in sustainability
Financials
Comparable and reported operating profit
Power
Q2 Power
Nuclear output in Q2
Planned outages in Oskarshamn 1amp3 and Forsmark 1 in Q22011
(In 2010 no outages in Q2)
If timing would have been similar in 2011 compared to 2010 nuclear output would have exceeded 2010 levels during Q2
Improved availability in Sweden
Q2 2011
Q2 2010
Nuclear
Outage effect
TWh
Q2 Power result declined due to several reasons
Comparable operating profit EUR million
257
-3
-4
0
271
3
-10
Volume
amp price
Q22010
Stronger
SEK
Russian
import
Property
taxes
Other
Q22011
Heat
Q2 Heat
Russia
Q2 Russia
Distribution
Q2 Distribution
Markets
Q2 Electricity Sales
Q2 Income statement
Q2 Cash flow statement
Key ratios
Q2 lsquo11
Debt maturity profile
per 30 June 2011 per 31 Dec 2010
Average interest rate (incl swaps and forwards)4435
Portion of floating fixed debt 47 53 49 51
Strong financial position
Return on capital employed
12
Return on shareholders equity
14
Net debtEBITDA
around 30
138
191
28
Fortumrsquos financial targets
LTM in Q22011
Good liquidity ndash committed credit lines total EUR 27 billion
Comparable net debtEBITDA
Outlook
Q2 Summary
Outlook
Outlook
(Q1 70 at EUR 44MWh)
(Q1 45 at EUR 45MWh)
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007
2008
2009
2010
2011
2012
0
10
20
30
40
50
60
70
80
90
100
110
Spot prices
Forward prices
CO2-free and energy-efficient solutions important
Create solid earnings
growth in Russia
Leverage the strong
Nordic core
Build platform for
future growth
Competence in CO2-free hydro nuclear and energy efficient CHP production
and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -
Fortumrsquos strategy remains intact
MEURII2011II2010I-II2011I-II2010LTM
Sales1833275569641 390
Comparable operating profit101021-335
Net Assets7759
Comparable RONA 341
Gross Investments10404
MEURII2011II2010I-II2011I-II2010LTM
Sales2152005264801 009
Comparable operating profit6053184155336
Net Assets3 4873 482
Comparable RONA 99
Gross Investments62479676233
0
250
500
750
1000
1250
1500
1750
20112012201320142015201620172018201920202021+
BondsFinancial institutionsOther long-term debtCPsOther short-term debt
MEURII2011II2010I-II2011I-II2010LTM
Sales195169490413881
Comparable operating profit21-955756
Net Assets3 0512 690
Comparable RONA 34
Gross Investments192167267258608
MEURII2011II2010I-II2011I-II2010LTM
Sales5745971 2671 3662 603
Comparable operating profit2572715826951 185
Net Assets5 9985 726
Comparable RONA 198
Gross Investments36226955136
MEURII2011II2010I-II2011I-II20102010LTM
Sales1 316
1 2953 3503 2426 296
6 404
Expenses-968-956-2 353-2 252-4 463-4 564
Comparable operating profit3483399979901 8331 840
Other items affecting comparability2611251285-125302
Operating profit6093511 5091 0751 7082 142
Share of profit of associates and jvs1515743162105
Financial expenses net-72-34-127-61-155-221
Profit before taxes5523321 4561 0451 6152 026
Income tax expense-74-61-232-191-261-302
Net profit for the period4782711 2248541 3541 724
Non-controlling interests6874325496
EPS basic (EUR)053030129093146183
EPS diluted (EUR)053030129093146183
Spot price for power in NordPool power exchange
448
459
662
523
621
0
12
24
36
48
60
72
Q22010Q32010Q42010Q12011Q22011
eurMWh
Powers Nordic power price
447
469
488
479
474
0
10
20
30
40
50
60
Q22010Q32010Q42010Q12011Q22011
eurMWh
MEURII2011II2010I-II2011I-II20102010LTM
Operating profit before depreciations7644901 8131 3512 2712 733
Non-cash flow items and divesting activities
-299-6-569-73124-372
Financial items and fx gainslosses
12-146-290-323-641-608
Taxes
-144-73-258-155-355-458
Funds from operations (FFO)
3332656968001 3991 295
Change in working capital
771571681433863
Total net cash from operating activities4104228649431 4371 358
Paid capital expenditures-297-263-503-486-1 134-1 151
Acquisition of shares-1-1-20-1-28-47
Other investing activities331-165417260529
Cash flow before financing activities443142882528335689
MEURII2011II2010I-II2011I-II2010LTM
Sales3223011 0479521 865
Comparable operating profit2533196165306
Net Assets3 9113 884
Comparable RONA 82
Gross Investments7259130121314
MEUR
II2011II2010II2011II2010I-II2011I-II2010I-II2011I-II2010
Power257271271280582695760747
Heat25332535196165290194
Russia21-921-95575523
Distribution605325253184155377166
Electricity Sales1010232321-33-6
Other-25-1917-31-41-2924-49
Total3483396093519979901 5091 075
Comparable operating profit
Reported operating profit
Comparable operating profit
Reported operating profit
Spot price for power (market price) Urals hub
770
935
817
950
954
0
200
400
600
800
1 000
1 200
Q22010Q32010Q42010Q12011Q22011
RUBMWh
Achieved power price for OAO Fortum
256
288
305
292
290
0
6
12
18
24
30
36
Q22010Q32010Q42010Q12011Q22011
eurMWh
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
MEURLTM20102009
EBITDA2 7332 2712 292
Comparable EBITDA2 4312 3962 398
Interest-bearing net debt6 7836 8265 969
Net debtEBITDA253026
Comparable Net debtEBITDA282825
Return on capital employed ()138116121
Return on shareholders equity ()191157160
) as of 30 June 2011
MEUR | |||
2011 | 231 | ||
2012 | 668 | ||
2013 | 639 | ||
2014 | 1223 | ||
2015 | 1051 | ||
2016 | 879 | ||
2017 | 270 | ||
2018 | 190 | ||
2019 | 840 | ||
2020 | 73 | ||
2021+ | 1530 |
MEUR | LTM | 2010 | 2009 | 2008 | 2006 | 2005 | |||||||
EBITDA | 2733 | 2271 | 2292 | 2478 | 1884 | ||||||||
Comparable EBITDA | 2431 | 2396 | 2398 | 1151 | 1271 | ||||||||
Interest-bearing net debt | 6 783 | 6826 | 5969 | 6179 | 4345 | 3158 | |||||||
Net debtEBITDA | 25 | 30 | 26 | 25 | 8161 | ||||||||
Comparable Net debtEBITDA | 28 | 28 | 25 | 16839 | 15130 | ||||||||
23 | 18 | ||||||||||||
Return on capital employed () | 138 | 116 | 121 | 150 | 134 | 135 | |||||||
Return on shareholders equity () | 191 | 157 | 160 | 187 | 144 | 135 | |||||||
) as of 30 June 2011 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | |||||||||||
Operating profit before depreciations | 764 | 490 | 1813 | 1351 | 2271 | 2733 | 2478 | 1663 | 2370 | 0 | |||||||||||
Non-cash flow items and divesting activities | -299 | -6 | -569 | -73 | 124 | -372 | -275 | -268 | -56 | 0 | |||||||||||
Financial items and fx gainslosses | 12 | -146 | -290 | -323 | -641 | -608 | 233 | ||||||||||||||
Taxes | -144 | -73 | -258 | -155 | -355 | -458 | -332 | -231 | -534 | 0 | |||||||||||
Funds from operations (FFO) | 333 | 265 | 696 | 800 | 1399 | 1295 | 2104 | 1164 | 1780 | 0 | |||||||||||
Change in working capital | 77 | 157 | 168 | 143 | 38 | 63 | -102 | 161 | 5 | 0 | |||||||||||
Total net cash from operating activities | 410 | 422 | 864 | 943 | 1437 | 1358 | 2002 | 1325 | 1785 | 0 | |||||||||||
Paid capital expenditures | -297 | -263 | -503 | -486 | -1134 | -1151 | -1018 | -341 | -931 | 0 | |||||||||||
Acquisition of shares | -1 | -1 | -20 | -1 | -28 | -47 | -1243 | -257 | -1243 | 0 | |||||||||||
Other investing activities | 331 | -16 | 541 | 72 | 60 | 529 | -21 | 258 | -34 | 0 | |||||||||||
Cash flow before financing activities | 443 | 142 | 882 | 528 | 335 | 689 | -280 | 985 | -423 | 0 |
MEUR | Q1-Q300 | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | 2004 | ||||||||||||||||||
Sales | 7732 | 1316 | 1295 | 3350 | 3242 | 6296 | 6404 | 5636 | 3159 | 5354 | 0 | 3835 | ||||||||||||||||||
Expenses | -7109 | -968 | -956 | -2353 | -2252 | -4463 | -4564 | -3673 | -1832 | -3482 | 0 | -2640 | ||||||||||||||||||
Comparable operating profit | 623 | 348 | 339 | 997 | 990 | 1833 | 1840 | 1963 | 1327 | 1872 | 0 | 1195 | ||||||||||||||||||
Other items affecting comparability | 261 | 12 | 512 | 85 | -125 | 302 | ||||||||||||||||||||||||
Operating profit | 609 | 351 | 1509 | 1075 | 1708 | 2142 | ||||||||||||||||||||||||
Share of profit of associates and jvs | 15 | 15 | 74 | 31 | 62 | 105 | 126 | 223 | 96 | 0 | 12 | |||||||||||||||||||
Financial expenses net | -209 | -72 | -34 | -127 | -61 | -155 | -221 | -239 | -117 | -222 | 0 | -245 | ||||||||||||||||||
Profit before taxes | 0 | 552 | 332 | 1456 | 1045 | 1615 | 2026 | 1850 | 1433 | 1746 | 0 | 0 | ||||||||||||||||||
Income tax expense | -83 | -74 | -61 | -232 | -191 | -261 | -302 | -254 | -218 | -364 | 0 | -259 | ||||||||||||||||||
Net profit for the period | -26 | 478 | 271 | 1224 | 854 | 1354 | 1724 | 1596 | 1215 | 1382 | 0 | 0 | ||||||||||||||||||
Non-controlling interests | 6 | 8 | 74 | 32 | 54 | 96 | 54 | 31 | 35 | 0 | 33 | |||||||||||||||||||
EPS basic (EUR) | 039 | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 148 | ||||||||||||||||||
EPS diluted (EUR) | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 079 | |||||||||||||||||||
069 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 183 | 327 | 556 | 964 | 1390 | |||||||
Comparable operating profit | 10 | 10 | 21 | -3 | 35 | |||||||
Net Assets | 77 | 59 | ||||||||||
Comparable RONA | 341 | |||||||||||
Gross Investments | 1 | 0 | 4 | 0 | 4 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 215 | 200 | 526 | 480 | 1009 | |||||||
Comparable operating profit | 60 | 53 | 184 | 155 | 336 | |||||||
Net Assets | 3487 | 3482 | ||||||||||
Comparable RONA | 99 | |||||||||||
Gross Investments | 62 | 47 | 96 | 76 | 233 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 195 | 169 | 490 | 413 | 881 | |||||||
Comparable operating profit | 21 | -9 | 55 | 7 | 56 | |||||||
Net Assets | 3051 | 2690 | ||||||||||
Comparable RONA | 34 | |||||||||||
Gross Investments | 192 | 167 | 267 | 258 | 608 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 322 | 301 | 1047 | 952 | 1865 | |||||||
Comparable operating profit | 25 | 33 | 196 | 165 | 306 | |||||||
Net Assets | 3911 | 3884 | ||||||||||
Comparable RONA | 82 | |||||||||||
Gross Investments | 72 | 59 | 130 | 121 | 314 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 574 | 597 | 1267 | 1366 | 2603 | |||||||
Comparable operating profit | 257 | 271 | 582 | 695 | 1185 | |||||||
Net Assets | 5998 | 5726 | ||||||||||
Comparable RONA | 198 | |||||||||||
Gross Investments | 36 | 22 | 69 | 55 | 136 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Roumlrelseresultat II2009 | Roumlrelseresultat II2008 | Liikevoitto 2008 | Liikevoitto 2007 | |||||||||||||||||||||||
Jaumlmfoumlrbart | Rapporterat | Jaumlmfoumlrbart | Rapporterat | Vertkelp | Raportoitu | Vertkelp | Raportoitu | |||||||||||||||||||
Kraftproduktion | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Vaumlrme | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Markets | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Ryssland | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Oumlvrigt | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Summa | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Liikevoitto II2010 | Liikevoitto II2009 | Liikevoitto I-II2010 | Liikevoitto I-II2009 | |||||||||||||||||||||||
Vertkelp | Raportoitu | Vertkelp | Raportoitu | Vertkelp | Raportoitu | Vertkelp | Raportoitu | |||||||||||||||||||
Power | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Heat | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Saumlhkoumlnmyynti | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Russia | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Muut | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Yhteensauml | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 | ||||||||||||||||||
I-III2009 | ||||||||||||||||||||||||||
SEK | Muut | Yhteensauml | ||||||||||||||||||||||||
Saumlhkoumlntuotanto | -67 | -3 | -70 | |||||||||||||||||||||||
Laumlmpouml | -10 | -2 | -12 | |||||||||||||||||||||||
Saumlhkoumlnsiirto | -13 | -1 | -14 | |||||||||||||||||||||||
Markets | -1 | -1 | -2 | |||||||||||||||||||||||
Venaumljauml | 0 | 6 | 6 | |||||||||||||||||||||||
Muu | 0 | 1 | 1 | |||||||||||||||||||||||
Yhteensauml | -91 | 0 | -91 |
Operating profit II2010 | Operating profit II2009 | Operating profit I-II2010 | Operating profit I-2009 | |||||||||||||||||||||||
Comparable | Reported | Comparable | Reported | Comparable | Reported | Comparable | Reported | |||||||||||||||||||
Power | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Heat | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Electricity Sales | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Russia | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Other | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Total | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 | ||||||||||||||||||
Currency translation effects on comparable operating profit | ||||||||||||||||||||||||||
I2009 | I-III2009 | |||||||||||||||||||||||||
SEK | Other | Total | SEK | Other | Total | |||||||||||||||||||||
Power Generation | -55 | -3 | -58 | Power Generation | -67 | -3 | -70 | |||||||||||||||||||
Heat | -12 | -3 | -15 | Heat | -10 | -2 | -12 | |||||||||||||||||||
Distribution | -11 | -1 | -12 | Distribution | -13 | -1 | -14 | |||||||||||||||||||
Markets | -1 | 0 | -1 | Markets | -1 | -1 | -2 | |||||||||||||||||||
Russia | 0 | 1 | 1 | Russia | 0 | 6 | 6 | |||||||||||||||||||
Other | 1 | 0 | 1 | Other | 0 | 1 | 1 | |||||||||||||||||||
Total | -78 | -6 | -84 | Total | -91 | 0 | -91 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Vertkelpliikevoitto | Raportoitu liikevoitto | Vertkelpliikevoitto | Raportoitu liikevoitto | |||||||||||||||||||||||
II2010 | II2009 | II2010 | II2009 | I-II2010 | I-II2009 | I-II2010 | I-II2009 | |||||||||||||||||||
Power | 257 | 271 | 271 | 280 | 582 | 695 | 760 | 747 | ||||||||||||||||||
Heat | 25 | 33 | 25 | 35 | 196 | 165 | 290 | 194 | ||||||||||||||||||
Distribution | 21 | -9 | 21 | -9 | 55 | 7 | 55 | 23 | ||||||||||||||||||
Saumlhkoumlnmyynti | 60 | 53 | 252 | 53 | 184 | 155 | 377 | 166 | ||||||||||||||||||
Russia | 10 | 10 | 23 | 23 | 21 | -3 | 3 | -6 | ||||||||||||||||||
Muut | -25 | -19 | 17 | -31 | -41 | -29 | 24 | -49 | ||||||||||||||||||
Yhteensauml | 348 | 339 | 609 | 351 | 997 | 990 | 1509 | 1075 | ||||||||||||||||||
I-III2009 | ||||||||||||||||||||||||||
SEK | Muut | Yhteensauml | ||||||||||||||||||||||||
Saumlhkoumlntuotanto | -67 | -3 | -70 | |||||||||||||||||||||||
Laumlmpouml | -10 | -2 | -12 | |||||||||||||||||||||||
Saumlhkoumlnsiirto | -13 | -1 | -14 | |||||||||||||||||||||||
Markets | -1 | -1 | -2 | |||||||||||||||||||||||
Venaumljauml | 0 | 6 | 6 | |||||||||||||||||||||||
Muu | 0 | 1 | 1 | |||||||||||||||||||||||
Yhteensauml | -91 | 0 | -91 |
MEUR | Comparable operating profit | Reported operating profit | Comparable operating profit | Reported operating profit | ||||||||||||||||||||||
II2011 | II2010 | II2011 | II2010 | I-II2011 | I-II2010 | I-II2011 | I-II2010 | |||||||||||||||||||
Power | 257 | 271 | 271 | 280 | 582 | 695 | 760 | 747 | ||||||||||||||||||
Heat | 25 | 33 | 25 | 35 | 196 | 165 | 290 | 194 | ||||||||||||||||||
Russia | 21 | -9 | 21 | -9 | 55 | 7 | 55 | 23 | ||||||||||||||||||
Distribution | 60 | 53 | 252 | 53 | 184 | 155 | 377 | 166 | ||||||||||||||||||
Electricity Sales | 10 | 10 | 23 | 23 | 21 | -3 | 3 | -6 | ||||||||||||||||||
Other | -25 | -19 | 17 | -31 | -41 | -29 | 24 | -49 | ||||||||||||||||||
Total | 348 | 339 | 609 | 351 | 997 | 990 | 1509 | 1075 | ||||||||||||||||||
Currency translation effects on comparable operating profit | ||||||||||||||||||||||||||
I2009 | I-III2009 | |||||||||||||||||||||||||
SEK | Other | Total | SEK | Other | Total | |||||||||||||||||||||
Power Generation | -55 | -3 | -58 | Power Generation | -67 | -3 | -70 | |||||||||||||||||||
Heat | -12 | -3 | -15 | Heat | -10 | -2 | -12 | |||||||||||||||||||
Distribution | -11 | -1 | -12 | Distribution | -13 | -1 | -14 | |||||||||||||||||||
Markets | -1 | 0 | -1 | Markets | -1 | -1 | -2 | |||||||||||||||||||
Russia | 0 | 1 | 1 | Russia | 0 | 6 | 6 | |||||||||||||||||||
Other | 1 | 0 | 1 | Other | 0 | 1 | 1 | |||||||||||||||||||
Total | -78 | -6 | -84 | Total | -91 | 0 | -91 |
2
Disclaimer
This presentation does not constitute an invitation to underwrite subscribe for or otherwise acquire or dispose of any Fortum shares
Past performance is no guide to future performance and persons needing advice should consult an independent financial adviser
3
Highlights in Q2bull Good result development continued
bull Timing of planned nuclear outages weakened Power results compared to Q22010
bull Overall Swedish nuclear availability back at 80-85
bull Nuclear stress tests ready in Finland
bull In Russia efficiency improvement of EUR 100 million achieved
bull Fortums CO2 emissions in Europe at 73 gkWh (five- year average) ndash within the EU the industry average close to 350 gkWh
bull Increased uncertainty in the market
4
Increased uncertainty in macro environment
GLOBAL
- Increased global economic uncertainty- Europersquos sovereign-debt crisis- Incident in Fukushima in Japan Finland
- No new decisions-in-principle on nuclear power in four years- The new Governmentrsquos policy framework includes a possible implementation of a windfall tax and a uranium tax
Germany
- Announced plans to abandon nuclear energy by 2022- Total reversal of previous policy- To be replaced by renewable energy
5
Q2 Market conditions
bull Nordic water reservoirs reached normal levels by the end of Q2
bull CO2 prices decreased at the end of the quarter
bull Nordic forward prices decreased
bull In the First price zone (European and Urals part of Russia) power consumption was up by 4 from Q2 2010
6
Nordic water reservoirs
Source Nord Pool Spot
rese
rvoi
r con
tent
(TW
h)
0
20
40
60
80
100
120
Q1 Q2 Q3 Q4
2003 2008 2009 20112010 reference level
7
Price development in the Nordic region and Russia
Includes capacity income
Spot price for power in NordPool power exchange
448 459
662
523621
0
12
24
36
48
60
72
Q22010 Q32010 Q42010 Q12011 Q22011
eurMWh
Powers Nordic power price
447 469 488 479 474
0
10
20
30
40
50
60
Q22010 Q32010 Q42010 Q12011 Q22011
eurMWh
Spot price for power (market price) Urals hub
770
935817
950 954
0
200
400
600
800
1 000
1 200
Q22010 Q32010 Q42010 Q12011 Q22011
RUBMWh
Achieved power price for OAO Fortum
256288 305 292 290
0
6
12
18
24
30
36
Q22010 Q32010 Q42010 Q12011 Q22011
eurMWh
+17
+6
+24
+13
8
Q2 Good development continued
bull Comparable operating profit EUR 348 (339) million
bull Earnings per share EUR 053 (030)
bull Net cash from operating activities 410 (422) million
bull Strong financial position
9
Q2 Comparable profit at last yearrsquos level
Comparable operating profit EUR million
-6730-14 3483390
-8
PowerQ22010 Heat Russia Distribution ElectricitySales
Other Q22011
10
January-June Comparable profit at last yearrsquos level
Comparable operating profit EUR million
31
24990 997-11348
29 -12
PowerH12010 Heat Russia Distribution ElectricitySales
Other H12011
11
bull Dow Jones Sustainability Index Worldndash Fortum is the only Nordic power and heat company listed in the index
bull SAM Sustainability Yearbook 2010 and 2011bull oekombull OMX GES Sustainability Finland Indexbull Storebrand SRI
ndash Based on the assessments conducted in 2006 and 2009 Fortum was the most responsible electricity company globallybull Carbon Disclosure Project
1111
Fortum a forerunner in sustainabilityg CO2kWh electricity 2009
Average 346 gkWh
0
200
400
600
800
1000
1200
DE
I
Dra
x
RW
E
CEZ
SS
E
ED
P
Ene
l
Vat
tenf
all
EO
N
Don
g
Uni
on F
enos
a
GD
F S
UE
Z E
urop
e
Iber
drol
a
Fortu
m to
tal
ED
F
PV
O
Ver
bund
Fortu
m E
U
Sta
tkra
ft
41155
g CO2kWh electricity 2009
Average 346 gkWh
0
200
400
600
800
1000
1200
DE
I
Dra
x
RW
E
CEZ
SS
E
ED
P
Ene
l
Vat
tenf
all
EO
N
Don
g
Uni
on F
enos
a
GD
F S
UE
Z E
urop
e
Iber
drol
a
Fortu
m to
tal
ED
F
PV
O
Ver
bund
Fortu
m E
U
Sta
tkra
ft
411550
200
400
600
800
1000
1200
DE
I
Dra
x
RW
E
CEZ
SS
E
ED
P
Ene
l
Vat
tenf
all
EO
N
Don
g
Uni
on F
enos
a
GD
F S
UE
Z E
urop
e
Iber
drol
a
Fortu
m to
tal
ED
F
PV
O
Ver
bund
Fortu
m E
U
Sta
tkra
ft
41155
12
Financials
13
Comparable and reported operating profit
MEURII2011 II2010 II2011 II2010 I-II2011 I-II2010 I-II2011 I-II2010
Power 257 271 271 280 582 695 760 747Heat 25 33 25 35 196 165 290 194Russia 21 -9 21 -9 55 7 55 23Distribution 60 53 252 53 184 155 377 166Electricity Sales 10 10 23 23 21 -3 3 -6Other -25 -19 17 -31 -41 -29 24 -49Total 348 339 609 351 997 990 1 509 1 075
Comparable operating profit
Reported operating profit
Comparable operating profit
Reported operating profit
bull IFRS accounting treatment (IAS 39) of derivatives had a positive impact on the reported operating profit EUR 76 (-15) million or earnings per share EUR 007 (-001) in the second quarter and EUR 249 (21) million or earnings per share EUR 021 (002) for January-June 2011
14
Power
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 574 597 1 267 1 366 2 603
Comparable operating profit 257 271 582 695 1 185
Net Assets 5 998 5 726
Comparable RONA 198
Gross Investments 36 22 69 55 136
Q2 Power
bull Comparable operating profit decreasedndash Swedish nuclear availability back at 80-85ndash Lower hydro and nuclear volumesndash Water reservoirs improved significantly towards the
end of the quarter
15
Nuclear output in Q2
Q2 2011
Q2 2010
Nuclear Outage effect
TWh
Planned outages in Oskarshamn 1amp3 and Forsmark 1 in Q22011(In 2010 no outages in Q2)
If timing would have been similar in 2011 compared to 2010 nuclear output would have exceeded 2010 levels during Q2
Improved availability in Sweden
16
Q2 Power result declined due to several reasons
Comparable operating profit EUR million
257-3-40271 3-10
Volumeamp priceQ22010 Stronger
SEKRussianimport
Propertytaxes Other Q22011
17
Heat
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 322 301 1 047 952 1 865
Comparable operating profit 25 33 196 165 306
Net Assets 3 911 3 884
Comparable RONA 82
Gross Investments 72 59 130 121 314
Q2 Heat
bull Comparable operating profit decreasedndash Lower heat volumes in Sweden caused by
divestment during first quarterndash Integration cost provisions in Poland
18
Russiabull Comparable operating profit improved
ndash Commissioning of the new unit ndash Higher electricity market prices ndash Efficiency improvementsndash Reversal of CSA provisions related to the newly
commissioned units
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 195 169 490 413 881
Comparable operating profit 21 -9 55 7 56
Net Assets 3 051 2 690
Comparable RONA 34
Gross Investments 192 167 267 258 608
Q2 Russia
19
Distribution
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 215 200 526 480 1 009
Comparable operating profit 60 53 184 155 336
Net Assets 3 487 3 482
Comparable RONA 99
Gross Investments 62 47 96 76 233
Q2 Distribution
bull Comparable operating profit increasedndash Lower transmission costsndash Stronger SEK
bull Smart metering rollout to network customers in Finland continued
20
Markets
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 183 327 556 964 1 390
Comparable operating profit 10 10 21 -3 35
Net Assets 77 59
Comparable RONA 341
Gross Investments 1 0 4 0 4
Q2 Electricity Sales
bull Comparable operating profit at last yearrsquos levelndash Tough competitionndash Restructuring of the Business Market segment
21
MEUR II2011 II2010 I-II2011 I-II2010 2010 LTM
Sales 1 316 1 295 3 350 3 242 6 296 6 404Expenses -968 -956 -2 353 -2 252 -4 463 -4 564
Comparable operating profit 348 339 997 990 1 833 1 840
Other items affecting comparability 261 12 512 85 -125 302
Operating profit 609 351 1 509 1 075 1 708 2 142Share of profit of associates and jvs 15 15 74 31 62 105Financial expenses net -72 -34 -127 -61 -155 -221
Profit before taxes 552 332 1 456 1 045 1 615 2 026Income tax expense -74 -61 -232 -191 -261 -302
Net profit for the period 478 271 1 224 854 1 354 1 724Non-controlling interests 6 8 74 32 54 96
EPS basic (EUR) 053 030 129 093 146 183EPS diluted (EUR) 053 030 129 093 146 183
Q2 Income statement
22
Q2 Cash flow statement
MEUR II2011 II2010 I-II2011 I-II2010 2010 LTM
Operating profit before depreciations 764 490 1 813 1 351 2 271 2 733
Non-cash flow items and divesting activities -299 -6 -569 -73 124 -372
Financial items and fx gainslosses 12 -146 -290 -323 -641 -608
Taxes -144 -73 -258 -155 -355 -458
Funds from operations (FFO) 333 265 696 800 1 399 1 295
Change in working capital 77 157 168 143 38 63
Total net cash from operating activities 410 422 864 943 1 437 1 358
Paid capital expenditures -297 -263 -503 -486 -1 134 -1 151
Acquisition of shares -1 -1 -20 -1 -28 -47
Other investing activities 331 -16 541 72 60 529
Cash flow before financing activities 443 142 882 528 335 689
23
MEUR LTM 2010 2009EBITDA 2 733 2 271 2 292Comparable EBITDA 2 431 2 396 2 398Interest-bearing net debt 6 783 6 826 5 969Net debtEBITDA 25 30 26Comparable Net debtEBITDA 28 28 25
Return on capital employed () 138 116 121Return on shareholders equity () 191 157 160
) as of 30 June 2011
Key ratios
Q2 lsquo11
24
Debt maturity profile
0
250
500
750
1000
1250
1500
1750
2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021+
Bonds Financial institutions Other long-term debt CPs Other short-term debt
MEUR
2011 231
2012 668
2013 639
2014 1223
2015 1051
2016 879
2017 270
2018 190
2019 840
2020 73
2021+ 1530
per 30 June 2011 per 31 Dec 2010
Average interest rate (incl swaps and forwards) 44 35Portion of floating fixed debt 47 53 49 51
25
Strong financial position
Return on capital employed12
Return on shareholders equity14
Net debtEBITDAaround 30
138
191
28
Fortumrsquos financial targets LTM in Q22011
Good liquidity ndash committed credit lines total EUR 27 billion
Comparable net debtEBITDA
26
Outlook
27
Q2 Summary
bull Solid performance continued - seasonalitybull Power
ndash Improved nuclear availability- timing of Swedish planned nuclear outages impacted volume
ndash Swedish nuclear back at 80-85 in availabilityndash Lower hydro volumes ndash water reservoirs improved at the end of the quarterndash SEK burdenedndash Results year-end weighted compared to 2010
bull Russiandash Commissioning of new units contributed to result improvementndash The return for the new capacity is guaranteed ndash EUR 100 million efficiency improvement reached
bull Nordic countriesndash Water reservoirs improved to long-term average
bull Overall strong financial position
28
Outlook
bull Key drivers and risksndash Wholesale price of electricity
bull Demandbull Fuelsbull CO2 emissions pricesbull Water reservoirsbull Nuclear availability
bull Nordic marketsndash Market continues to recover ndash 2008 level to be reached by 2012-2014ndash Electricity continues to gain share of total energy consumption
bull Russiandash Wholesale market liberalisedndash Profits from Russia build up in pace with the capacity increases
29
Outlook
bull Capex (excluding potential acquisitions)ndash 2011-2012 around EUR 16 to 18 billion annually (mainly due to Russian
investment programme)ndash 2013-2014 around EUR 11 to 14 billion annuallyndash Disclosed divestments totalled approximately EUR 05 billion
bull Hedgingndash 2011 approximately 70 hedge ratio at approximately EUR 45MWh(Q1 70 at EUR 44MWh)ndash 2012 approximately 50 hedge ratio at approximately EUR 46MWh(Q1 45 at EUR 45MWh)
30
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007 2008 2009 2010 2011 20120
10
20
30
40
50
60
70
80
90
100
110Spot prices Forward prices
3131
CO2 -free and energy-efficient solutions important
Create solid earnings growth in Russia
Leverage the strong Nordic core
Build platform for future growth
Competence in CO2 -free hydro nuclear and energy efficient CHP production and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -Fortumrsquos strategy remains intact
32
19 July 2011
Fortum Corporation
Interim Report
January-June 2011
Disclaimer
This presentation does not constitute an invitation to underwrite subscribe for or otherwise acquire or dispose of any Fortum shares
Past performance is no guide to future performance and persons needing advice should consult an independent financial adviser
Highlights in Q2
Increased uncertainty in macro environment
GLOBAL
- Incident in Fukushima in Japan
Finland
- No new decisions-in-principle on nuclear power in four years
- The new Governmentrsquos policy framework includes a possible implementation of a windfall tax and a uranium tax
Germany
- To be replaced by renewable energy
Q2 Market conditions
Nordic water reservoirs
Source Nord Pool Spot
Q1
Q2
Q3
Q4
2003
2008
2009
2011
2010
reference level
reservoir content (TWh)
0
20
40
60
80
100
120
Price development in the Nordic region and Russia
Includes capacity income
+17
+6
+24
+13
Q2 Good development continued
Q2 Comparable profit at last yearrsquos level
Comparable operating profit EUR million
-6
7
30
-14
348
339
0
-8
Power
Q22010
Heat
Russia
Distribution
Electricity
Sales
Other
Q22011
January-June Comparable profit at last yearrsquos level
Comparable operating profit EUR million
31
24
990
997
-113
48
29
-12
Power
H12010
Heat
Russia
Distribution
Electricity
Sales
Other
H12011
Fortum a forerunner in sustainability
Financials
Comparable and reported operating profit
Power
Q2 Power
Nuclear output in Q2
Planned outages in Oskarshamn 1amp3 and Forsmark 1 in Q22011
(In 2010 no outages in Q2)
If timing would have been similar in 2011 compared to 2010 nuclear output would have exceeded 2010 levels during Q2
Improved availability in Sweden
Q2 2011
Q2 2010
Nuclear
Outage effect
TWh
Q2 Power result declined due to several reasons
Comparable operating profit EUR million
257
-3
-4
0
271
3
-10
Volume
amp price
Q22010
Stronger
SEK
Russian
import
Property
taxes
Other
Q22011
Heat
Q2 Heat
Russia
Q2 Russia
Distribution
Q2 Distribution
Markets
Q2 Electricity Sales
Q2 Income statement
Q2 Cash flow statement
Key ratios
Q2 lsquo11
Debt maturity profile
per 30 June 2011 per 31 Dec 2010
Average interest rate (incl swaps and forwards)4435
Portion of floating fixed debt 47 53 49 51
Strong financial position
Return on capital employed
12
Return on shareholders equity
14
Net debtEBITDA
around 30
138
191
28
Fortumrsquos financial targets
LTM in Q22011
Good liquidity ndash committed credit lines total EUR 27 billion
Comparable net debtEBITDA
Outlook
Q2 Summary
Outlook
Outlook
(Q1 70 at EUR 44MWh)
(Q1 45 at EUR 45MWh)
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007
2008
2009
2010
2011
2012
0
10
20
30
40
50
60
70
80
90
100
110
Spot prices
Forward prices
CO2-free and energy-efficient solutions important
Create solid earnings
growth in Russia
Leverage the strong
Nordic core
Build platform for
future growth
Competence in CO2-free hydro nuclear and energy efficient CHP production
and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -
Fortumrsquos strategy remains intact
MEURII2011II2010I-II2011I-II2010LTM
Sales1833275569641 390
Comparable operating profit101021-335
Net Assets7759
Comparable RONA 341
Gross Investments10404
MEURII2011II2010I-II2011I-II2010LTM
Sales2152005264801 009
Comparable operating profit6053184155336
Net Assets3 4873 482
Comparable RONA 99
Gross Investments62479676233
0
250
500
750
1000
1250
1500
1750
20112012201320142015201620172018201920202021+
BondsFinancial institutionsOther long-term debtCPsOther short-term debt
MEURII2011II2010I-II2011I-II2010LTM
Sales195169490413881
Comparable operating profit21-955756
Net Assets3 0512 690
Comparable RONA 34
Gross Investments192167267258608
MEURII2011II2010I-II2011I-II2010LTM
Sales5745971 2671 3662 603
Comparable operating profit2572715826951 185
Net Assets5 9985 726
Comparable RONA 198
Gross Investments36226955136
MEURII2011II2010I-II2011I-II20102010LTM
Sales1 316
1 2953 3503 2426 296
6 404
Expenses-968-956-2 353-2 252-4 463-4 564
Comparable operating profit3483399979901 8331 840
Other items affecting comparability2611251285-125302
Operating profit6093511 5091 0751 7082 142
Share of profit of associates and jvs1515743162105
Financial expenses net-72-34-127-61-155-221
Profit before taxes5523321 4561 0451 6152 026
Income tax expense-74-61-232-191-261-302
Net profit for the period4782711 2248541 3541 724
Non-controlling interests6874325496
EPS basic (EUR)053030129093146183
EPS diluted (EUR)053030129093146183
Spot price for power in NordPool power exchange
448
459
662
523
621
0
12
24
36
48
60
72
Q22010Q32010Q42010Q12011Q22011
eurMWh
Powers Nordic power price
447
469
488
479
474
0
10
20
30
40
50
60
Q22010Q32010Q42010Q12011Q22011
eurMWh
MEURII2011II2010I-II2011I-II20102010LTM
Operating profit before depreciations7644901 8131 3512 2712 733
Non-cash flow items and divesting activities
-299-6-569-73124-372
Financial items and fx gainslosses
12-146-290-323-641-608
Taxes
-144-73-258-155-355-458
Funds from operations (FFO)
3332656968001 3991 295
Change in working capital
771571681433863
Total net cash from operating activities4104228649431 4371 358
Paid capital expenditures-297-263-503-486-1 134-1 151
Acquisition of shares-1-1-20-1-28-47
Other investing activities331-165417260529
Cash flow before financing activities443142882528335689
MEURII2011II2010I-II2011I-II2010LTM
Sales3223011 0479521 865
Comparable operating profit2533196165306
Net Assets3 9113 884
Comparable RONA 82
Gross Investments7259130121314
MEUR
II2011II2010II2011II2010I-II2011I-II2010I-II2011I-II2010
Power257271271280582695760747
Heat25332535196165290194
Russia21-921-95575523
Distribution605325253184155377166
Electricity Sales1010232321-33-6
Other-25-1917-31-41-2924-49
Total3483396093519979901 5091 075
Comparable operating profit
Reported operating profit
Comparable operating profit
Reported operating profit
Spot price for power (market price) Urals hub
770
935
817
950
954
0
200
400
600
800
1 000
1 200
Q22010Q32010Q42010Q12011Q22011
RUBMWh
Achieved power price for OAO Fortum
256
288
305
292
290
0
6
12
18
24
30
36
Q22010Q32010Q42010Q12011Q22011
eurMWh
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
MEURLTM20102009
EBITDA2 7332 2712 292
Comparable EBITDA2 4312 3962 398
Interest-bearing net debt6 7836 8265 969
Net debtEBITDA253026
Comparable Net debtEBITDA282825
Return on capital employed ()138116121
Return on shareholders equity ()191157160
) as of 30 June 2011
MEUR | |||
2011 | 231 | ||
2012 | 668 | ||
2013 | 639 | ||
2014 | 1223 | ||
2015 | 1051 | ||
2016 | 879 | ||
2017 | 270 | ||
2018 | 190 | ||
2019 | 840 | ||
2020 | 73 | ||
2021+ | 1530 |
MEUR | LTM | 2010 | 2009 | 2008 | 2006 | 2005 | |||||||
EBITDA | 2733 | 2271 | 2292 | 2478 | 1884 | ||||||||
Comparable EBITDA | 2431 | 2396 | 2398 | 1151 | 1271 | ||||||||
Interest-bearing net debt | 6 783 | 6826 | 5969 | 6179 | 4345 | 3158 | |||||||
Net debtEBITDA | 25 | 30 | 26 | 25 | 8161 | ||||||||
Comparable Net debtEBITDA | 28 | 28 | 25 | 16839 | 15130 | ||||||||
23 | 18 | ||||||||||||
Return on capital employed () | 138 | 116 | 121 | 150 | 134 | 135 | |||||||
Return on shareholders equity () | 191 | 157 | 160 | 187 | 144 | 135 | |||||||
) as of 30 June 2011 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | |||||||||||
Operating profit before depreciations | 764 | 490 | 1813 | 1351 | 2271 | 2733 | 2478 | 1663 | 2370 | 0 | |||||||||||
Non-cash flow items and divesting activities | -299 | -6 | -569 | -73 | 124 | -372 | -275 | -268 | -56 | 0 | |||||||||||
Financial items and fx gainslosses | 12 | -146 | -290 | -323 | -641 | -608 | 233 | ||||||||||||||
Taxes | -144 | -73 | -258 | -155 | -355 | -458 | -332 | -231 | -534 | 0 | |||||||||||
Funds from operations (FFO) | 333 | 265 | 696 | 800 | 1399 | 1295 | 2104 | 1164 | 1780 | 0 | |||||||||||
Change in working capital | 77 | 157 | 168 | 143 | 38 | 63 | -102 | 161 | 5 | 0 | |||||||||||
Total net cash from operating activities | 410 | 422 | 864 | 943 | 1437 | 1358 | 2002 | 1325 | 1785 | 0 | |||||||||||
Paid capital expenditures | -297 | -263 | -503 | -486 | -1134 | -1151 | -1018 | -341 | -931 | 0 | |||||||||||
Acquisition of shares | -1 | -1 | -20 | -1 | -28 | -47 | -1243 | -257 | -1243 | 0 | |||||||||||
Other investing activities | 331 | -16 | 541 | 72 | 60 | 529 | -21 | 258 | -34 | 0 | |||||||||||
Cash flow before financing activities | 443 | 142 | 882 | 528 | 335 | 689 | -280 | 985 | -423 | 0 |
MEUR | Q1-Q300 | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | 2004 | ||||||||||||||||||
Sales | 7732 | 1316 | 1295 | 3350 | 3242 | 6296 | 6404 | 5636 | 3159 | 5354 | 0 | 3835 | ||||||||||||||||||
Expenses | -7109 | -968 | -956 | -2353 | -2252 | -4463 | -4564 | -3673 | -1832 | -3482 | 0 | -2640 | ||||||||||||||||||
Comparable operating profit | 623 | 348 | 339 | 997 | 990 | 1833 | 1840 | 1963 | 1327 | 1872 | 0 | 1195 | ||||||||||||||||||
Other items affecting comparability | 261 | 12 | 512 | 85 | -125 | 302 | ||||||||||||||||||||||||
Operating profit | 609 | 351 | 1509 | 1075 | 1708 | 2142 | ||||||||||||||||||||||||
Share of profit of associates and jvs | 15 | 15 | 74 | 31 | 62 | 105 | 126 | 223 | 96 | 0 | 12 | |||||||||||||||||||
Financial expenses net | -209 | -72 | -34 | -127 | -61 | -155 | -221 | -239 | -117 | -222 | 0 | -245 | ||||||||||||||||||
Profit before taxes | 0 | 552 | 332 | 1456 | 1045 | 1615 | 2026 | 1850 | 1433 | 1746 | 0 | 0 | ||||||||||||||||||
Income tax expense | -83 | -74 | -61 | -232 | -191 | -261 | -302 | -254 | -218 | -364 | 0 | -259 | ||||||||||||||||||
Net profit for the period | -26 | 478 | 271 | 1224 | 854 | 1354 | 1724 | 1596 | 1215 | 1382 | 0 | 0 | ||||||||||||||||||
Non-controlling interests | 6 | 8 | 74 | 32 | 54 | 96 | 54 | 31 | 35 | 0 | 33 | |||||||||||||||||||
EPS basic (EUR) | 039 | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 148 | ||||||||||||||||||
EPS diluted (EUR) | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 079 | |||||||||||||||||||
069 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 183 | 327 | 556 | 964 | 1390 | |||||||
Comparable operating profit | 10 | 10 | 21 | -3 | 35 | |||||||
Net Assets | 77 | 59 | ||||||||||
Comparable RONA | 341 | |||||||||||
Gross Investments | 1 | 0 | 4 | 0 | 4 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 215 | 200 | 526 | 480 | 1009 | |||||||
Comparable operating profit | 60 | 53 | 184 | 155 | 336 | |||||||
Net Assets | 3487 | 3482 | ||||||||||
Comparable RONA | 99 | |||||||||||
Gross Investments | 62 | 47 | 96 | 76 | 233 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 195 | 169 | 490 | 413 | 881 | |||||||
Comparable operating profit | 21 | -9 | 55 | 7 | 56 | |||||||
Net Assets | 3051 | 2690 | ||||||||||
Comparable RONA | 34 | |||||||||||
Gross Investments | 192 | 167 | 267 | 258 | 608 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 322 | 301 | 1047 | 952 | 1865 | |||||||
Comparable operating profit | 25 | 33 | 196 | 165 | 306 | |||||||
Net Assets | 3911 | 3884 | ||||||||||
Comparable RONA | 82 | |||||||||||
Gross Investments | 72 | 59 | 130 | 121 | 314 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 574 | 597 | 1267 | 1366 | 2603 | |||||||
Comparable operating profit | 257 | 271 | 582 | 695 | 1185 | |||||||
Net Assets | 5998 | 5726 | ||||||||||
Comparable RONA | 198 | |||||||||||
Gross Investments | 36 | 22 | 69 | 55 | 136 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Roumlrelseresultat II2009 | Roumlrelseresultat II2008 | Liikevoitto 2008 | Liikevoitto 2007 | |||||||||||||||||||||||
Jaumlmfoumlrbart | Rapporterat | Jaumlmfoumlrbart | Rapporterat | Vertkelp | Raportoitu | Vertkelp | Raportoitu | |||||||||||||||||||
Kraftproduktion | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Vaumlrme | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Markets | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Ryssland | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Oumlvrigt | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Summa | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Liikevoitto II2010 | Liikevoitto II2009 | Liikevoitto I-II2010 | Liikevoitto I-II2009 | |||||||||||||||||||||||
Vertkelp | Raportoitu | Vertkelp | Raportoitu | Vertkelp | Raportoitu | Vertkelp | Raportoitu | |||||||||||||||||||
Power | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Heat | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Saumlhkoumlnmyynti | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Russia | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Muut | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Yhteensauml | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 | ||||||||||||||||||
I-III2009 | ||||||||||||||||||||||||||
SEK | Muut | Yhteensauml | ||||||||||||||||||||||||
Saumlhkoumlntuotanto | -67 | -3 | -70 | |||||||||||||||||||||||
Laumlmpouml | -10 | -2 | -12 | |||||||||||||||||||||||
Saumlhkoumlnsiirto | -13 | -1 | -14 | |||||||||||||||||||||||
Markets | -1 | -1 | -2 | |||||||||||||||||||||||
Venaumljauml | 0 | 6 | 6 | |||||||||||||||||||||||
Muu | 0 | 1 | 1 | |||||||||||||||||||||||
Yhteensauml | -91 | 0 | -91 |
Operating profit II2010 | Operating profit II2009 | Operating profit I-II2010 | Operating profit I-2009 | |||||||||||||||||||||||
Comparable | Reported | Comparable | Reported | Comparable | Reported | Comparable | Reported | |||||||||||||||||||
Power | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Heat | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Electricity Sales | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Russia | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Other | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Total | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 | ||||||||||||||||||
Currency translation effects on comparable operating profit | ||||||||||||||||||||||||||
I2009 | I-III2009 | |||||||||||||||||||||||||
SEK | Other | Total | SEK | Other | Total | |||||||||||||||||||||
Power Generation | -55 | -3 | -58 | Power Generation | -67 | -3 | -70 | |||||||||||||||||||
Heat | -12 | -3 | -15 | Heat | -10 | -2 | -12 | |||||||||||||||||||
Distribution | -11 | -1 | -12 | Distribution | -13 | -1 | -14 | |||||||||||||||||||
Markets | -1 | 0 | -1 | Markets | -1 | -1 | -2 | |||||||||||||||||||
Russia | 0 | 1 | 1 | Russia | 0 | 6 | 6 | |||||||||||||||||||
Other | 1 | 0 | 1 | Other | 0 | 1 | 1 | |||||||||||||||||||
Total | -78 | -6 | -84 | Total | -91 | 0 | -91 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Vertkelpliikevoitto | Raportoitu liikevoitto | Vertkelpliikevoitto | Raportoitu liikevoitto | |||||||||||||||||||||||
II2010 | II2009 | II2010 | II2009 | I-II2010 | I-II2009 | I-II2010 | I-II2009 | |||||||||||||||||||
Power | 257 | 271 | 271 | 280 | 582 | 695 | 760 | 747 | ||||||||||||||||||
Heat | 25 | 33 | 25 | 35 | 196 | 165 | 290 | 194 | ||||||||||||||||||
Distribution | 21 | -9 | 21 | -9 | 55 | 7 | 55 | 23 | ||||||||||||||||||
Saumlhkoumlnmyynti | 60 | 53 | 252 | 53 | 184 | 155 | 377 | 166 | ||||||||||||||||||
Russia | 10 | 10 | 23 | 23 | 21 | -3 | 3 | -6 | ||||||||||||||||||
Muut | -25 | -19 | 17 | -31 | -41 | -29 | 24 | -49 | ||||||||||||||||||
Yhteensauml | 348 | 339 | 609 | 351 | 997 | 990 | 1509 | 1075 | ||||||||||||||||||
I-III2009 | ||||||||||||||||||||||||||
SEK | Muut | Yhteensauml | ||||||||||||||||||||||||
Saumlhkoumlntuotanto | -67 | -3 | -70 | |||||||||||||||||||||||
Laumlmpouml | -10 | -2 | -12 | |||||||||||||||||||||||
Saumlhkoumlnsiirto | -13 | -1 | -14 | |||||||||||||||||||||||
Markets | -1 | -1 | -2 | |||||||||||||||||||||||
Venaumljauml | 0 | 6 | 6 | |||||||||||||||||||||||
Muu | 0 | 1 | 1 | |||||||||||||||||||||||
Yhteensauml | -91 | 0 | -91 |
MEUR | Comparable operating profit | Reported operating profit | Comparable operating profit | Reported operating profit | ||||||||||||||||||||||
II2011 | II2010 | II2011 | II2010 | I-II2011 | I-II2010 | I-II2011 | I-II2010 | |||||||||||||||||||
Power | 257 | 271 | 271 | 280 | 582 | 695 | 760 | 747 | ||||||||||||||||||
Heat | 25 | 33 | 25 | 35 | 196 | 165 | 290 | 194 | ||||||||||||||||||
Russia | 21 | -9 | 21 | -9 | 55 | 7 | 55 | 23 | ||||||||||||||||||
Distribution | 60 | 53 | 252 | 53 | 184 | 155 | 377 | 166 | ||||||||||||||||||
Electricity Sales | 10 | 10 | 23 | 23 | 21 | -3 | 3 | -6 | ||||||||||||||||||
Other | -25 | -19 | 17 | -31 | -41 | -29 | 24 | -49 | ||||||||||||||||||
Total | 348 | 339 | 609 | 351 | 997 | 990 | 1509 | 1075 | ||||||||||||||||||
Currency translation effects on comparable operating profit | ||||||||||||||||||||||||||
I2009 | I-III2009 | |||||||||||||||||||||||||
SEK | Other | Total | SEK | Other | Total | |||||||||||||||||||||
Power Generation | -55 | -3 | -58 | Power Generation | -67 | -3 | -70 | |||||||||||||||||||
Heat | -12 | -3 | -15 | Heat | -10 | -2 | -12 | |||||||||||||||||||
Distribution | -11 | -1 | -12 | Distribution | -13 | -1 | -14 | |||||||||||||||||||
Markets | -1 | 0 | -1 | Markets | -1 | -1 | -2 | |||||||||||||||||||
Russia | 0 | 1 | 1 | Russia | 0 | 6 | 6 | |||||||||||||||||||
Other | 1 | 0 | 1 | Other | 0 | 1 | 1 | |||||||||||||||||||
Total | -78 | -6 | -84 | Total | -91 | 0 | -91 |
3
Highlights in Q2bull Good result development continued
bull Timing of planned nuclear outages weakened Power results compared to Q22010
bull Overall Swedish nuclear availability back at 80-85
bull Nuclear stress tests ready in Finland
bull In Russia efficiency improvement of EUR 100 million achieved
bull Fortums CO2 emissions in Europe at 73 gkWh (five- year average) ndash within the EU the industry average close to 350 gkWh
bull Increased uncertainty in the market
4
Increased uncertainty in macro environment
GLOBAL
- Increased global economic uncertainty- Europersquos sovereign-debt crisis- Incident in Fukushima in Japan Finland
- No new decisions-in-principle on nuclear power in four years- The new Governmentrsquos policy framework includes a possible implementation of a windfall tax and a uranium tax
Germany
- Announced plans to abandon nuclear energy by 2022- Total reversal of previous policy- To be replaced by renewable energy
5
Q2 Market conditions
bull Nordic water reservoirs reached normal levels by the end of Q2
bull CO2 prices decreased at the end of the quarter
bull Nordic forward prices decreased
bull In the First price zone (European and Urals part of Russia) power consumption was up by 4 from Q2 2010
6
Nordic water reservoirs
Source Nord Pool Spot
rese
rvoi
r con
tent
(TW
h)
0
20
40
60
80
100
120
Q1 Q2 Q3 Q4
2003 2008 2009 20112010 reference level
7
Price development in the Nordic region and Russia
Includes capacity income
Spot price for power in NordPool power exchange
448 459
662
523621
0
12
24
36
48
60
72
Q22010 Q32010 Q42010 Q12011 Q22011
eurMWh
Powers Nordic power price
447 469 488 479 474
0
10
20
30
40
50
60
Q22010 Q32010 Q42010 Q12011 Q22011
eurMWh
Spot price for power (market price) Urals hub
770
935817
950 954
0
200
400
600
800
1 000
1 200
Q22010 Q32010 Q42010 Q12011 Q22011
RUBMWh
Achieved power price for OAO Fortum
256288 305 292 290
0
6
12
18
24
30
36
Q22010 Q32010 Q42010 Q12011 Q22011
eurMWh
+17
+6
+24
+13
8
Q2 Good development continued
bull Comparable operating profit EUR 348 (339) million
bull Earnings per share EUR 053 (030)
bull Net cash from operating activities 410 (422) million
bull Strong financial position
9
Q2 Comparable profit at last yearrsquos level
Comparable operating profit EUR million
-6730-14 3483390
-8
PowerQ22010 Heat Russia Distribution ElectricitySales
Other Q22011
10
January-June Comparable profit at last yearrsquos level
Comparable operating profit EUR million
31
24990 997-11348
29 -12
PowerH12010 Heat Russia Distribution ElectricitySales
Other H12011
11
bull Dow Jones Sustainability Index Worldndash Fortum is the only Nordic power and heat company listed in the index
bull SAM Sustainability Yearbook 2010 and 2011bull oekombull OMX GES Sustainability Finland Indexbull Storebrand SRI
ndash Based on the assessments conducted in 2006 and 2009 Fortum was the most responsible electricity company globallybull Carbon Disclosure Project
1111
Fortum a forerunner in sustainabilityg CO2kWh electricity 2009
Average 346 gkWh
0
200
400
600
800
1000
1200
DE
I
Dra
x
RW
E
CEZ
SS
E
ED
P
Ene
l
Vat
tenf
all
EO
N
Don
g
Uni
on F
enos
a
GD
F S
UE
Z E
urop
e
Iber
drol
a
Fortu
m to
tal
ED
F
PV
O
Ver
bund
Fortu
m E
U
Sta
tkra
ft
41155
g CO2kWh electricity 2009
Average 346 gkWh
0
200
400
600
800
1000
1200
DE
I
Dra
x
RW
E
CEZ
SS
E
ED
P
Ene
l
Vat
tenf
all
EO
N
Don
g
Uni
on F
enos
a
GD
F S
UE
Z E
urop
e
Iber
drol
a
Fortu
m to
tal
ED
F
PV
O
Ver
bund
Fortu
m E
U
Sta
tkra
ft
411550
200
400
600
800
1000
1200
DE
I
Dra
x
RW
E
CEZ
SS
E
ED
P
Ene
l
Vat
tenf
all
EO
N
Don
g
Uni
on F
enos
a
GD
F S
UE
Z E
urop
e
Iber
drol
a
Fortu
m to
tal
ED
F
PV
O
Ver
bund
Fortu
m E
U
Sta
tkra
ft
41155
12
Financials
13
Comparable and reported operating profit
MEURII2011 II2010 II2011 II2010 I-II2011 I-II2010 I-II2011 I-II2010
Power 257 271 271 280 582 695 760 747Heat 25 33 25 35 196 165 290 194Russia 21 -9 21 -9 55 7 55 23Distribution 60 53 252 53 184 155 377 166Electricity Sales 10 10 23 23 21 -3 3 -6Other -25 -19 17 -31 -41 -29 24 -49Total 348 339 609 351 997 990 1 509 1 075
Comparable operating profit
Reported operating profit
Comparable operating profit
Reported operating profit
bull IFRS accounting treatment (IAS 39) of derivatives had a positive impact on the reported operating profit EUR 76 (-15) million or earnings per share EUR 007 (-001) in the second quarter and EUR 249 (21) million or earnings per share EUR 021 (002) for January-June 2011
14
Power
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 574 597 1 267 1 366 2 603
Comparable operating profit 257 271 582 695 1 185
Net Assets 5 998 5 726
Comparable RONA 198
Gross Investments 36 22 69 55 136
Q2 Power
bull Comparable operating profit decreasedndash Swedish nuclear availability back at 80-85ndash Lower hydro and nuclear volumesndash Water reservoirs improved significantly towards the
end of the quarter
15
Nuclear output in Q2
Q2 2011
Q2 2010
Nuclear Outage effect
TWh
Planned outages in Oskarshamn 1amp3 and Forsmark 1 in Q22011(In 2010 no outages in Q2)
If timing would have been similar in 2011 compared to 2010 nuclear output would have exceeded 2010 levels during Q2
Improved availability in Sweden
16
Q2 Power result declined due to several reasons
Comparable operating profit EUR million
257-3-40271 3-10
Volumeamp priceQ22010 Stronger
SEKRussianimport
Propertytaxes Other Q22011
17
Heat
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 322 301 1 047 952 1 865
Comparable operating profit 25 33 196 165 306
Net Assets 3 911 3 884
Comparable RONA 82
Gross Investments 72 59 130 121 314
Q2 Heat
bull Comparable operating profit decreasedndash Lower heat volumes in Sweden caused by
divestment during first quarterndash Integration cost provisions in Poland
18
Russiabull Comparable operating profit improved
ndash Commissioning of the new unit ndash Higher electricity market prices ndash Efficiency improvementsndash Reversal of CSA provisions related to the newly
commissioned units
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 195 169 490 413 881
Comparable operating profit 21 -9 55 7 56
Net Assets 3 051 2 690
Comparable RONA 34
Gross Investments 192 167 267 258 608
Q2 Russia
19
Distribution
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 215 200 526 480 1 009
Comparable operating profit 60 53 184 155 336
Net Assets 3 487 3 482
Comparable RONA 99
Gross Investments 62 47 96 76 233
Q2 Distribution
bull Comparable operating profit increasedndash Lower transmission costsndash Stronger SEK
bull Smart metering rollout to network customers in Finland continued
20
Markets
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 183 327 556 964 1 390
Comparable operating profit 10 10 21 -3 35
Net Assets 77 59
Comparable RONA 341
Gross Investments 1 0 4 0 4
Q2 Electricity Sales
bull Comparable operating profit at last yearrsquos levelndash Tough competitionndash Restructuring of the Business Market segment
21
MEUR II2011 II2010 I-II2011 I-II2010 2010 LTM
Sales 1 316 1 295 3 350 3 242 6 296 6 404Expenses -968 -956 -2 353 -2 252 -4 463 -4 564
Comparable operating profit 348 339 997 990 1 833 1 840
Other items affecting comparability 261 12 512 85 -125 302
Operating profit 609 351 1 509 1 075 1 708 2 142Share of profit of associates and jvs 15 15 74 31 62 105Financial expenses net -72 -34 -127 -61 -155 -221
Profit before taxes 552 332 1 456 1 045 1 615 2 026Income tax expense -74 -61 -232 -191 -261 -302
Net profit for the period 478 271 1 224 854 1 354 1 724Non-controlling interests 6 8 74 32 54 96
EPS basic (EUR) 053 030 129 093 146 183EPS diluted (EUR) 053 030 129 093 146 183
Q2 Income statement
22
Q2 Cash flow statement
MEUR II2011 II2010 I-II2011 I-II2010 2010 LTM
Operating profit before depreciations 764 490 1 813 1 351 2 271 2 733
Non-cash flow items and divesting activities -299 -6 -569 -73 124 -372
Financial items and fx gainslosses 12 -146 -290 -323 -641 -608
Taxes -144 -73 -258 -155 -355 -458
Funds from operations (FFO) 333 265 696 800 1 399 1 295
Change in working capital 77 157 168 143 38 63
Total net cash from operating activities 410 422 864 943 1 437 1 358
Paid capital expenditures -297 -263 -503 -486 -1 134 -1 151
Acquisition of shares -1 -1 -20 -1 -28 -47
Other investing activities 331 -16 541 72 60 529
Cash flow before financing activities 443 142 882 528 335 689
23
MEUR LTM 2010 2009EBITDA 2 733 2 271 2 292Comparable EBITDA 2 431 2 396 2 398Interest-bearing net debt 6 783 6 826 5 969Net debtEBITDA 25 30 26Comparable Net debtEBITDA 28 28 25
Return on capital employed () 138 116 121Return on shareholders equity () 191 157 160
) as of 30 June 2011
Key ratios
Q2 lsquo11
24
Debt maturity profile
0
250
500
750
1000
1250
1500
1750
2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021+
Bonds Financial institutions Other long-term debt CPs Other short-term debt
MEUR
2011 231
2012 668
2013 639
2014 1223
2015 1051
2016 879
2017 270
2018 190
2019 840
2020 73
2021+ 1530
per 30 June 2011 per 31 Dec 2010
Average interest rate (incl swaps and forwards) 44 35Portion of floating fixed debt 47 53 49 51
25
Strong financial position
Return on capital employed12
Return on shareholders equity14
Net debtEBITDAaround 30
138
191
28
Fortumrsquos financial targets LTM in Q22011
Good liquidity ndash committed credit lines total EUR 27 billion
Comparable net debtEBITDA
26
Outlook
27
Q2 Summary
bull Solid performance continued - seasonalitybull Power
ndash Improved nuclear availability- timing of Swedish planned nuclear outages impacted volume
ndash Swedish nuclear back at 80-85 in availabilityndash Lower hydro volumes ndash water reservoirs improved at the end of the quarterndash SEK burdenedndash Results year-end weighted compared to 2010
bull Russiandash Commissioning of new units contributed to result improvementndash The return for the new capacity is guaranteed ndash EUR 100 million efficiency improvement reached
bull Nordic countriesndash Water reservoirs improved to long-term average
bull Overall strong financial position
28
Outlook
bull Key drivers and risksndash Wholesale price of electricity
bull Demandbull Fuelsbull CO2 emissions pricesbull Water reservoirsbull Nuclear availability
bull Nordic marketsndash Market continues to recover ndash 2008 level to be reached by 2012-2014ndash Electricity continues to gain share of total energy consumption
bull Russiandash Wholesale market liberalisedndash Profits from Russia build up in pace with the capacity increases
29
Outlook
bull Capex (excluding potential acquisitions)ndash 2011-2012 around EUR 16 to 18 billion annually (mainly due to Russian
investment programme)ndash 2013-2014 around EUR 11 to 14 billion annuallyndash Disclosed divestments totalled approximately EUR 05 billion
bull Hedgingndash 2011 approximately 70 hedge ratio at approximately EUR 45MWh(Q1 70 at EUR 44MWh)ndash 2012 approximately 50 hedge ratio at approximately EUR 46MWh(Q1 45 at EUR 45MWh)
30
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007 2008 2009 2010 2011 20120
10
20
30
40
50
60
70
80
90
100
110Spot prices Forward prices
3131
CO2 -free and energy-efficient solutions important
Create solid earnings growth in Russia
Leverage the strong Nordic core
Build platform for future growth
Competence in CO2 -free hydro nuclear and energy efficient CHP production and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -Fortumrsquos strategy remains intact
32
19 July 2011
Fortum Corporation
Interim Report
January-June 2011
Disclaimer
This presentation does not constitute an invitation to underwrite subscribe for or otherwise acquire or dispose of any Fortum shares
Past performance is no guide to future performance and persons needing advice should consult an independent financial adviser
Highlights in Q2
Increased uncertainty in macro environment
GLOBAL
- Incident in Fukushima in Japan
Finland
- No new decisions-in-principle on nuclear power in four years
- The new Governmentrsquos policy framework includes a possible implementation of a windfall tax and a uranium tax
Germany
- To be replaced by renewable energy
Q2 Market conditions
Nordic water reservoirs
Source Nord Pool Spot
Q1
Q2
Q3
Q4
2003
2008
2009
2011
2010
reference level
reservoir content (TWh)
0
20
40
60
80
100
120
Price development in the Nordic region and Russia
Includes capacity income
+17
+6
+24
+13
Q2 Good development continued
Q2 Comparable profit at last yearrsquos level
Comparable operating profit EUR million
-6
7
30
-14
348
339
0
-8
Power
Q22010
Heat
Russia
Distribution
Electricity
Sales
Other
Q22011
January-June Comparable profit at last yearrsquos level
Comparable operating profit EUR million
31
24
990
997
-113
48
29
-12
Power
H12010
Heat
Russia
Distribution
Electricity
Sales
Other
H12011
Fortum a forerunner in sustainability
Financials
Comparable and reported operating profit
Power
Q2 Power
Nuclear output in Q2
Planned outages in Oskarshamn 1amp3 and Forsmark 1 in Q22011
(In 2010 no outages in Q2)
If timing would have been similar in 2011 compared to 2010 nuclear output would have exceeded 2010 levels during Q2
Improved availability in Sweden
Q2 2011
Q2 2010
Nuclear
Outage effect
TWh
Q2 Power result declined due to several reasons
Comparable operating profit EUR million
257
-3
-4
0
271
3
-10
Volume
amp price
Q22010
Stronger
SEK
Russian
import
Property
taxes
Other
Q22011
Heat
Q2 Heat
Russia
Q2 Russia
Distribution
Q2 Distribution
Markets
Q2 Electricity Sales
Q2 Income statement
Q2 Cash flow statement
Key ratios
Q2 lsquo11
Debt maturity profile
per 30 June 2011 per 31 Dec 2010
Average interest rate (incl swaps and forwards)4435
Portion of floating fixed debt 47 53 49 51
Strong financial position
Return on capital employed
12
Return on shareholders equity
14
Net debtEBITDA
around 30
138
191
28
Fortumrsquos financial targets
LTM in Q22011
Good liquidity ndash committed credit lines total EUR 27 billion
Comparable net debtEBITDA
Outlook
Q2 Summary
Outlook
Outlook
(Q1 70 at EUR 44MWh)
(Q1 45 at EUR 45MWh)
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007
2008
2009
2010
2011
2012
0
10
20
30
40
50
60
70
80
90
100
110
Spot prices
Forward prices
CO2-free and energy-efficient solutions important
Create solid earnings
growth in Russia
Leverage the strong
Nordic core
Build platform for
future growth
Competence in CO2-free hydro nuclear and energy efficient CHP production
and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -
Fortumrsquos strategy remains intact
MEURII2011II2010I-II2011I-II2010LTM
Sales1833275569641 390
Comparable operating profit101021-335
Net Assets7759
Comparable RONA 341
Gross Investments10404
MEURII2011II2010I-II2011I-II2010LTM
Sales2152005264801 009
Comparable operating profit6053184155336
Net Assets3 4873 482
Comparable RONA 99
Gross Investments62479676233
0
250
500
750
1000
1250
1500
1750
20112012201320142015201620172018201920202021+
BondsFinancial institutionsOther long-term debtCPsOther short-term debt
MEURII2011II2010I-II2011I-II2010LTM
Sales195169490413881
Comparable operating profit21-955756
Net Assets3 0512 690
Comparable RONA 34
Gross Investments192167267258608
MEURII2011II2010I-II2011I-II2010LTM
Sales5745971 2671 3662 603
Comparable operating profit2572715826951 185
Net Assets5 9985 726
Comparable RONA 198
Gross Investments36226955136
MEURII2011II2010I-II2011I-II20102010LTM
Sales1 316
1 2953 3503 2426 296
6 404
Expenses-968-956-2 353-2 252-4 463-4 564
Comparable operating profit3483399979901 8331 840
Other items affecting comparability2611251285-125302
Operating profit6093511 5091 0751 7082 142
Share of profit of associates and jvs1515743162105
Financial expenses net-72-34-127-61-155-221
Profit before taxes5523321 4561 0451 6152 026
Income tax expense-74-61-232-191-261-302
Net profit for the period4782711 2248541 3541 724
Non-controlling interests6874325496
EPS basic (EUR)053030129093146183
EPS diluted (EUR)053030129093146183
Spot price for power in NordPool power exchange
448
459
662
523
621
0
12
24
36
48
60
72
Q22010Q32010Q42010Q12011Q22011
eurMWh
Powers Nordic power price
447
469
488
479
474
0
10
20
30
40
50
60
Q22010Q32010Q42010Q12011Q22011
eurMWh
MEURII2011II2010I-II2011I-II20102010LTM
Operating profit before depreciations7644901 8131 3512 2712 733
Non-cash flow items and divesting activities
-299-6-569-73124-372
Financial items and fx gainslosses
12-146-290-323-641-608
Taxes
-144-73-258-155-355-458
Funds from operations (FFO)
3332656968001 3991 295
Change in working capital
771571681433863
Total net cash from operating activities4104228649431 4371 358
Paid capital expenditures-297-263-503-486-1 134-1 151
Acquisition of shares-1-1-20-1-28-47
Other investing activities331-165417260529
Cash flow before financing activities443142882528335689
MEURII2011II2010I-II2011I-II2010LTM
Sales3223011 0479521 865
Comparable operating profit2533196165306
Net Assets3 9113 884
Comparable RONA 82
Gross Investments7259130121314
MEUR
II2011II2010II2011II2010I-II2011I-II2010I-II2011I-II2010
Power257271271280582695760747
Heat25332535196165290194
Russia21-921-95575523
Distribution605325253184155377166
Electricity Sales1010232321-33-6
Other-25-1917-31-41-2924-49
Total3483396093519979901 5091 075
Comparable operating profit
Reported operating profit
Comparable operating profit
Reported operating profit
Spot price for power (market price) Urals hub
770
935
817
950
954
0
200
400
600
800
1 000
1 200
Q22010Q32010Q42010Q12011Q22011
RUBMWh
Achieved power price for OAO Fortum
256
288
305
292
290
0
6
12
18
24
30
36
Q22010Q32010Q42010Q12011Q22011
eurMWh
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
MEURLTM20102009
EBITDA2 7332 2712 292
Comparable EBITDA2 4312 3962 398
Interest-bearing net debt6 7836 8265 969
Net debtEBITDA253026
Comparable Net debtEBITDA282825
Return on capital employed ()138116121
Return on shareholders equity ()191157160
) as of 30 June 2011
MEUR | |||
2011 | 231 | ||
2012 | 668 | ||
2013 | 639 | ||
2014 | 1223 | ||
2015 | 1051 | ||
2016 | 879 | ||
2017 | 270 | ||
2018 | 190 | ||
2019 | 840 | ||
2020 | 73 | ||
2021+ | 1530 |
MEUR | LTM | 2010 | 2009 | 2008 | 2006 | 2005 | |||||||
EBITDA | 2733 | 2271 | 2292 | 2478 | 1884 | ||||||||
Comparable EBITDA | 2431 | 2396 | 2398 | 1151 | 1271 | ||||||||
Interest-bearing net debt | 6 783 | 6826 | 5969 | 6179 | 4345 | 3158 | |||||||
Net debtEBITDA | 25 | 30 | 26 | 25 | 8161 | ||||||||
Comparable Net debtEBITDA | 28 | 28 | 25 | 16839 | 15130 | ||||||||
23 | 18 | ||||||||||||
Return on capital employed () | 138 | 116 | 121 | 150 | 134 | 135 | |||||||
Return on shareholders equity () | 191 | 157 | 160 | 187 | 144 | 135 | |||||||
) as of 30 June 2011 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | |||||||||||
Operating profit before depreciations | 764 | 490 | 1813 | 1351 | 2271 | 2733 | 2478 | 1663 | 2370 | 0 | |||||||||||
Non-cash flow items and divesting activities | -299 | -6 | -569 | -73 | 124 | -372 | -275 | -268 | -56 | 0 | |||||||||||
Financial items and fx gainslosses | 12 | -146 | -290 | -323 | -641 | -608 | 233 | ||||||||||||||
Taxes | -144 | -73 | -258 | -155 | -355 | -458 | -332 | -231 | -534 | 0 | |||||||||||
Funds from operations (FFO) | 333 | 265 | 696 | 800 | 1399 | 1295 | 2104 | 1164 | 1780 | 0 | |||||||||||
Change in working capital | 77 | 157 | 168 | 143 | 38 | 63 | -102 | 161 | 5 | 0 | |||||||||||
Total net cash from operating activities | 410 | 422 | 864 | 943 | 1437 | 1358 | 2002 | 1325 | 1785 | 0 | |||||||||||
Paid capital expenditures | -297 | -263 | -503 | -486 | -1134 | -1151 | -1018 | -341 | -931 | 0 | |||||||||||
Acquisition of shares | -1 | -1 | -20 | -1 | -28 | -47 | -1243 | -257 | -1243 | 0 | |||||||||||
Other investing activities | 331 | -16 | 541 | 72 | 60 | 529 | -21 | 258 | -34 | 0 | |||||||||||
Cash flow before financing activities | 443 | 142 | 882 | 528 | 335 | 689 | -280 | 985 | -423 | 0 |
MEUR | Q1-Q300 | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | 2004 | ||||||||||||||||||
Sales | 7732 | 1316 | 1295 | 3350 | 3242 | 6296 | 6404 | 5636 | 3159 | 5354 | 0 | 3835 | ||||||||||||||||||
Expenses | -7109 | -968 | -956 | -2353 | -2252 | -4463 | -4564 | -3673 | -1832 | -3482 | 0 | -2640 | ||||||||||||||||||
Comparable operating profit | 623 | 348 | 339 | 997 | 990 | 1833 | 1840 | 1963 | 1327 | 1872 | 0 | 1195 | ||||||||||||||||||
Other items affecting comparability | 261 | 12 | 512 | 85 | -125 | 302 | ||||||||||||||||||||||||
Operating profit | 609 | 351 | 1509 | 1075 | 1708 | 2142 | ||||||||||||||||||||||||
Share of profit of associates and jvs | 15 | 15 | 74 | 31 | 62 | 105 | 126 | 223 | 96 | 0 | 12 | |||||||||||||||||||
Financial expenses net | -209 | -72 | -34 | -127 | -61 | -155 | -221 | -239 | -117 | -222 | 0 | -245 | ||||||||||||||||||
Profit before taxes | 0 | 552 | 332 | 1456 | 1045 | 1615 | 2026 | 1850 | 1433 | 1746 | 0 | 0 | ||||||||||||||||||
Income tax expense | -83 | -74 | -61 | -232 | -191 | -261 | -302 | -254 | -218 | -364 | 0 | -259 | ||||||||||||||||||
Net profit for the period | -26 | 478 | 271 | 1224 | 854 | 1354 | 1724 | 1596 | 1215 | 1382 | 0 | 0 | ||||||||||||||||||
Non-controlling interests | 6 | 8 | 74 | 32 | 54 | 96 | 54 | 31 | 35 | 0 | 33 | |||||||||||||||||||
EPS basic (EUR) | 039 | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 148 | ||||||||||||||||||
EPS diluted (EUR) | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 079 | |||||||||||||||||||
069 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 183 | 327 | 556 | 964 | 1390 | |||||||
Comparable operating profit | 10 | 10 | 21 | -3 | 35 | |||||||
Net Assets | 77 | 59 | ||||||||||
Comparable RONA | 341 | |||||||||||
Gross Investments | 1 | 0 | 4 | 0 | 4 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 215 | 200 | 526 | 480 | 1009 | |||||||
Comparable operating profit | 60 | 53 | 184 | 155 | 336 | |||||||
Net Assets | 3487 | 3482 | ||||||||||
Comparable RONA | 99 | |||||||||||
Gross Investments | 62 | 47 | 96 | 76 | 233 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 195 | 169 | 490 | 413 | 881 | |||||||
Comparable operating profit | 21 | -9 | 55 | 7 | 56 | |||||||
Net Assets | 3051 | 2690 | ||||||||||
Comparable RONA | 34 | |||||||||||
Gross Investments | 192 | 167 | 267 | 258 | 608 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 322 | 301 | 1047 | 952 | 1865 | |||||||
Comparable operating profit | 25 | 33 | 196 | 165 | 306 | |||||||
Net Assets | 3911 | 3884 | ||||||||||
Comparable RONA | 82 | |||||||||||
Gross Investments | 72 | 59 | 130 | 121 | 314 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 574 | 597 | 1267 | 1366 | 2603 | |||||||
Comparable operating profit | 257 | 271 | 582 | 695 | 1185 | |||||||
Net Assets | 5998 | 5726 | ||||||||||
Comparable RONA | 198 | |||||||||||
Gross Investments | 36 | 22 | 69 | 55 | 136 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Roumlrelseresultat II2009 | Roumlrelseresultat II2008 | Liikevoitto 2008 | Liikevoitto 2007 | |||||||||||||||||||||||
Jaumlmfoumlrbart | Rapporterat | Jaumlmfoumlrbart | Rapporterat | Vertkelp | Raportoitu | Vertkelp | Raportoitu | |||||||||||||||||||
Kraftproduktion | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Vaumlrme | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Markets | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Ryssland | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Oumlvrigt | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Summa | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Liikevoitto II2010 | Liikevoitto II2009 | Liikevoitto I-II2010 | Liikevoitto I-II2009 | |||||||||||||||||||||||
Vertkelp | Raportoitu | Vertkelp | Raportoitu | Vertkelp | Raportoitu | Vertkelp | Raportoitu | |||||||||||||||||||
Power | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Heat | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Saumlhkoumlnmyynti | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Russia | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Muut | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Yhteensauml | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 | ||||||||||||||||||
I-III2009 | ||||||||||||||||||||||||||
SEK | Muut | Yhteensauml | ||||||||||||||||||||||||
Saumlhkoumlntuotanto | -67 | -3 | -70 | |||||||||||||||||||||||
Laumlmpouml | -10 | -2 | -12 | |||||||||||||||||||||||
Saumlhkoumlnsiirto | -13 | -1 | -14 | |||||||||||||||||||||||
Markets | -1 | -1 | -2 | |||||||||||||||||||||||
Venaumljauml | 0 | 6 | 6 | |||||||||||||||||||||||
Muu | 0 | 1 | 1 | |||||||||||||||||||||||
Yhteensauml | -91 | 0 | -91 |
Operating profit II2010 | Operating profit II2009 | Operating profit I-II2010 | Operating profit I-2009 | |||||||||||||||||||||||
Comparable | Reported | Comparable | Reported | Comparable | Reported | Comparable | Reported | |||||||||||||||||||
Power | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Heat | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Electricity Sales | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Russia | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Other | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Total | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 | ||||||||||||||||||
Currency translation effects on comparable operating profit | ||||||||||||||||||||||||||
I2009 | I-III2009 | |||||||||||||||||||||||||
SEK | Other | Total | SEK | Other | Total | |||||||||||||||||||||
Power Generation | -55 | -3 | -58 | Power Generation | -67 | -3 | -70 | |||||||||||||||||||
Heat | -12 | -3 | -15 | Heat | -10 | -2 | -12 | |||||||||||||||||||
Distribution | -11 | -1 | -12 | Distribution | -13 | -1 | -14 | |||||||||||||||||||
Markets | -1 | 0 | -1 | Markets | -1 | -1 | -2 | |||||||||||||||||||
Russia | 0 | 1 | 1 | Russia | 0 | 6 | 6 | |||||||||||||||||||
Other | 1 | 0 | 1 | Other | 0 | 1 | 1 | |||||||||||||||||||
Total | -78 | -6 | -84 | Total | -91 | 0 | -91 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Vertkelpliikevoitto | Raportoitu liikevoitto | Vertkelpliikevoitto | Raportoitu liikevoitto | |||||||||||||||||||||||
II2010 | II2009 | II2010 | II2009 | I-II2010 | I-II2009 | I-II2010 | I-II2009 | |||||||||||||||||||
Power | 257 | 271 | 271 | 280 | 582 | 695 | 760 | 747 | ||||||||||||||||||
Heat | 25 | 33 | 25 | 35 | 196 | 165 | 290 | 194 | ||||||||||||||||||
Distribution | 21 | -9 | 21 | -9 | 55 | 7 | 55 | 23 | ||||||||||||||||||
Saumlhkoumlnmyynti | 60 | 53 | 252 | 53 | 184 | 155 | 377 | 166 | ||||||||||||||||||
Russia | 10 | 10 | 23 | 23 | 21 | -3 | 3 | -6 | ||||||||||||||||||
Muut | -25 | -19 | 17 | -31 | -41 | -29 | 24 | -49 | ||||||||||||||||||
Yhteensauml | 348 | 339 | 609 | 351 | 997 | 990 | 1509 | 1075 | ||||||||||||||||||
I-III2009 | ||||||||||||||||||||||||||
SEK | Muut | Yhteensauml | ||||||||||||||||||||||||
Saumlhkoumlntuotanto | -67 | -3 | -70 | |||||||||||||||||||||||
Laumlmpouml | -10 | -2 | -12 | |||||||||||||||||||||||
Saumlhkoumlnsiirto | -13 | -1 | -14 | |||||||||||||||||||||||
Markets | -1 | -1 | -2 | |||||||||||||||||||||||
Venaumljauml | 0 | 6 | 6 | |||||||||||||||||||||||
Muu | 0 | 1 | 1 | |||||||||||||||||||||||
Yhteensauml | -91 | 0 | -91 |
MEUR | Comparable operating profit | Reported operating profit | Comparable operating profit | Reported operating profit | ||||||||||||||||||||||
II2011 | II2010 | II2011 | II2010 | I-II2011 | I-II2010 | I-II2011 | I-II2010 | |||||||||||||||||||
Power | 257 | 271 | 271 | 280 | 582 | 695 | 760 | 747 | ||||||||||||||||||
Heat | 25 | 33 | 25 | 35 | 196 | 165 | 290 | 194 | ||||||||||||||||||
Russia | 21 | -9 | 21 | -9 | 55 | 7 | 55 | 23 | ||||||||||||||||||
Distribution | 60 | 53 | 252 | 53 | 184 | 155 | 377 | 166 | ||||||||||||||||||
Electricity Sales | 10 | 10 | 23 | 23 | 21 | -3 | 3 | -6 | ||||||||||||||||||
Other | -25 | -19 | 17 | -31 | -41 | -29 | 24 | -49 | ||||||||||||||||||
Total | 348 | 339 | 609 | 351 | 997 | 990 | 1509 | 1075 | ||||||||||||||||||
Currency translation effects on comparable operating profit | ||||||||||||||||||||||||||
I2009 | I-III2009 | |||||||||||||||||||||||||
SEK | Other | Total | SEK | Other | Total | |||||||||||||||||||||
Power Generation | -55 | -3 | -58 | Power Generation | -67 | -3 | -70 | |||||||||||||||||||
Heat | -12 | -3 | -15 | Heat | -10 | -2 | -12 | |||||||||||||||||||
Distribution | -11 | -1 | -12 | Distribution | -13 | -1 | -14 | |||||||||||||||||||
Markets | -1 | 0 | -1 | Markets | -1 | -1 | -2 | |||||||||||||||||||
Russia | 0 | 1 | 1 | Russia | 0 | 6 | 6 | |||||||||||||||||||
Other | 1 | 0 | 1 | Other | 0 | 1 | 1 | |||||||||||||||||||
Total | -78 | -6 | -84 | Total | -91 | 0 | -91 |
4
Increased uncertainty in macro environment
GLOBAL
- Increased global economic uncertainty- Europersquos sovereign-debt crisis- Incident in Fukushima in Japan Finland
- No new decisions-in-principle on nuclear power in four years- The new Governmentrsquos policy framework includes a possible implementation of a windfall tax and a uranium tax
Germany
- Announced plans to abandon nuclear energy by 2022- Total reversal of previous policy- To be replaced by renewable energy
5
Q2 Market conditions
bull Nordic water reservoirs reached normal levels by the end of Q2
bull CO2 prices decreased at the end of the quarter
bull Nordic forward prices decreased
bull In the First price zone (European and Urals part of Russia) power consumption was up by 4 from Q2 2010
6
Nordic water reservoirs
Source Nord Pool Spot
rese
rvoi
r con
tent
(TW
h)
0
20
40
60
80
100
120
Q1 Q2 Q3 Q4
2003 2008 2009 20112010 reference level
7
Price development in the Nordic region and Russia
Includes capacity income
Spot price for power in NordPool power exchange
448 459
662
523621
0
12
24
36
48
60
72
Q22010 Q32010 Q42010 Q12011 Q22011
eurMWh
Powers Nordic power price
447 469 488 479 474
0
10
20
30
40
50
60
Q22010 Q32010 Q42010 Q12011 Q22011
eurMWh
Spot price for power (market price) Urals hub
770
935817
950 954
0
200
400
600
800
1 000
1 200
Q22010 Q32010 Q42010 Q12011 Q22011
RUBMWh
Achieved power price for OAO Fortum
256288 305 292 290
0
6
12
18
24
30
36
Q22010 Q32010 Q42010 Q12011 Q22011
eurMWh
+17
+6
+24
+13
8
Q2 Good development continued
bull Comparable operating profit EUR 348 (339) million
bull Earnings per share EUR 053 (030)
bull Net cash from operating activities 410 (422) million
bull Strong financial position
9
Q2 Comparable profit at last yearrsquos level
Comparable operating profit EUR million
-6730-14 3483390
-8
PowerQ22010 Heat Russia Distribution ElectricitySales
Other Q22011
10
January-June Comparable profit at last yearrsquos level
Comparable operating profit EUR million
31
24990 997-11348
29 -12
PowerH12010 Heat Russia Distribution ElectricitySales
Other H12011
11
bull Dow Jones Sustainability Index Worldndash Fortum is the only Nordic power and heat company listed in the index
bull SAM Sustainability Yearbook 2010 and 2011bull oekombull OMX GES Sustainability Finland Indexbull Storebrand SRI
ndash Based on the assessments conducted in 2006 and 2009 Fortum was the most responsible electricity company globallybull Carbon Disclosure Project
1111
Fortum a forerunner in sustainabilityg CO2kWh electricity 2009
Average 346 gkWh
0
200
400
600
800
1000
1200
DE
I
Dra
x
RW
E
CEZ
SS
E
ED
P
Ene
l
Vat
tenf
all
EO
N
Don
g
Uni
on F
enos
a
GD
F S
UE
Z E
urop
e
Iber
drol
a
Fortu
m to
tal
ED
F
PV
O
Ver
bund
Fortu
m E
U
Sta
tkra
ft
41155
g CO2kWh electricity 2009
Average 346 gkWh
0
200
400
600
800
1000
1200
DE
I
Dra
x
RW
E
CEZ
SS
E
ED
P
Ene
l
Vat
tenf
all
EO
N
Don
g
Uni
on F
enos
a
GD
F S
UE
Z E
urop
e
Iber
drol
a
Fortu
m to
tal
ED
F
PV
O
Ver
bund
Fortu
m E
U
Sta
tkra
ft
411550
200
400
600
800
1000
1200
DE
I
Dra
x
RW
E
CEZ
SS
E
ED
P
Ene
l
Vat
tenf
all
EO
N
Don
g
Uni
on F
enos
a
GD
F S
UE
Z E
urop
e
Iber
drol
a
Fortu
m to
tal
ED
F
PV
O
Ver
bund
Fortu
m E
U
Sta
tkra
ft
41155
12
Financials
13
Comparable and reported operating profit
MEURII2011 II2010 II2011 II2010 I-II2011 I-II2010 I-II2011 I-II2010
Power 257 271 271 280 582 695 760 747Heat 25 33 25 35 196 165 290 194Russia 21 -9 21 -9 55 7 55 23Distribution 60 53 252 53 184 155 377 166Electricity Sales 10 10 23 23 21 -3 3 -6Other -25 -19 17 -31 -41 -29 24 -49Total 348 339 609 351 997 990 1 509 1 075
Comparable operating profit
Reported operating profit
Comparable operating profit
Reported operating profit
bull IFRS accounting treatment (IAS 39) of derivatives had a positive impact on the reported operating profit EUR 76 (-15) million or earnings per share EUR 007 (-001) in the second quarter and EUR 249 (21) million or earnings per share EUR 021 (002) for January-June 2011
14
Power
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 574 597 1 267 1 366 2 603
Comparable operating profit 257 271 582 695 1 185
Net Assets 5 998 5 726
Comparable RONA 198
Gross Investments 36 22 69 55 136
Q2 Power
bull Comparable operating profit decreasedndash Swedish nuclear availability back at 80-85ndash Lower hydro and nuclear volumesndash Water reservoirs improved significantly towards the
end of the quarter
15
Nuclear output in Q2
Q2 2011
Q2 2010
Nuclear Outage effect
TWh
Planned outages in Oskarshamn 1amp3 and Forsmark 1 in Q22011(In 2010 no outages in Q2)
If timing would have been similar in 2011 compared to 2010 nuclear output would have exceeded 2010 levels during Q2
Improved availability in Sweden
16
Q2 Power result declined due to several reasons
Comparable operating profit EUR million
257-3-40271 3-10
Volumeamp priceQ22010 Stronger
SEKRussianimport
Propertytaxes Other Q22011
17
Heat
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 322 301 1 047 952 1 865
Comparable operating profit 25 33 196 165 306
Net Assets 3 911 3 884
Comparable RONA 82
Gross Investments 72 59 130 121 314
Q2 Heat
bull Comparable operating profit decreasedndash Lower heat volumes in Sweden caused by
divestment during first quarterndash Integration cost provisions in Poland
18
Russiabull Comparable operating profit improved
ndash Commissioning of the new unit ndash Higher electricity market prices ndash Efficiency improvementsndash Reversal of CSA provisions related to the newly
commissioned units
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 195 169 490 413 881
Comparable operating profit 21 -9 55 7 56
Net Assets 3 051 2 690
Comparable RONA 34
Gross Investments 192 167 267 258 608
Q2 Russia
19
Distribution
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 215 200 526 480 1 009
Comparable operating profit 60 53 184 155 336
Net Assets 3 487 3 482
Comparable RONA 99
Gross Investments 62 47 96 76 233
Q2 Distribution
bull Comparable operating profit increasedndash Lower transmission costsndash Stronger SEK
bull Smart metering rollout to network customers in Finland continued
20
Markets
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 183 327 556 964 1 390
Comparable operating profit 10 10 21 -3 35
Net Assets 77 59
Comparable RONA 341
Gross Investments 1 0 4 0 4
Q2 Electricity Sales
bull Comparable operating profit at last yearrsquos levelndash Tough competitionndash Restructuring of the Business Market segment
21
MEUR II2011 II2010 I-II2011 I-II2010 2010 LTM
Sales 1 316 1 295 3 350 3 242 6 296 6 404Expenses -968 -956 -2 353 -2 252 -4 463 -4 564
Comparable operating profit 348 339 997 990 1 833 1 840
Other items affecting comparability 261 12 512 85 -125 302
Operating profit 609 351 1 509 1 075 1 708 2 142Share of profit of associates and jvs 15 15 74 31 62 105Financial expenses net -72 -34 -127 -61 -155 -221
Profit before taxes 552 332 1 456 1 045 1 615 2 026Income tax expense -74 -61 -232 -191 -261 -302
Net profit for the period 478 271 1 224 854 1 354 1 724Non-controlling interests 6 8 74 32 54 96
EPS basic (EUR) 053 030 129 093 146 183EPS diluted (EUR) 053 030 129 093 146 183
Q2 Income statement
22
Q2 Cash flow statement
MEUR II2011 II2010 I-II2011 I-II2010 2010 LTM
Operating profit before depreciations 764 490 1 813 1 351 2 271 2 733
Non-cash flow items and divesting activities -299 -6 -569 -73 124 -372
Financial items and fx gainslosses 12 -146 -290 -323 -641 -608
Taxes -144 -73 -258 -155 -355 -458
Funds from operations (FFO) 333 265 696 800 1 399 1 295
Change in working capital 77 157 168 143 38 63
Total net cash from operating activities 410 422 864 943 1 437 1 358
Paid capital expenditures -297 -263 -503 -486 -1 134 -1 151
Acquisition of shares -1 -1 -20 -1 -28 -47
Other investing activities 331 -16 541 72 60 529
Cash flow before financing activities 443 142 882 528 335 689
23
MEUR LTM 2010 2009EBITDA 2 733 2 271 2 292Comparable EBITDA 2 431 2 396 2 398Interest-bearing net debt 6 783 6 826 5 969Net debtEBITDA 25 30 26Comparable Net debtEBITDA 28 28 25
Return on capital employed () 138 116 121Return on shareholders equity () 191 157 160
) as of 30 June 2011
Key ratios
Q2 lsquo11
24
Debt maturity profile
0
250
500
750
1000
1250
1500
1750
2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021+
Bonds Financial institutions Other long-term debt CPs Other short-term debt
MEUR
2011 231
2012 668
2013 639
2014 1223
2015 1051
2016 879
2017 270
2018 190
2019 840
2020 73
2021+ 1530
per 30 June 2011 per 31 Dec 2010
Average interest rate (incl swaps and forwards) 44 35Portion of floating fixed debt 47 53 49 51
25
Strong financial position
Return on capital employed12
Return on shareholders equity14
Net debtEBITDAaround 30
138
191
28
Fortumrsquos financial targets LTM in Q22011
Good liquidity ndash committed credit lines total EUR 27 billion
Comparable net debtEBITDA
26
Outlook
27
Q2 Summary
bull Solid performance continued - seasonalitybull Power
ndash Improved nuclear availability- timing of Swedish planned nuclear outages impacted volume
ndash Swedish nuclear back at 80-85 in availabilityndash Lower hydro volumes ndash water reservoirs improved at the end of the quarterndash SEK burdenedndash Results year-end weighted compared to 2010
bull Russiandash Commissioning of new units contributed to result improvementndash The return for the new capacity is guaranteed ndash EUR 100 million efficiency improvement reached
bull Nordic countriesndash Water reservoirs improved to long-term average
bull Overall strong financial position
28
Outlook
bull Key drivers and risksndash Wholesale price of electricity
bull Demandbull Fuelsbull CO2 emissions pricesbull Water reservoirsbull Nuclear availability
bull Nordic marketsndash Market continues to recover ndash 2008 level to be reached by 2012-2014ndash Electricity continues to gain share of total energy consumption
bull Russiandash Wholesale market liberalisedndash Profits from Russia build up in pace with the capacity increases
29
Outlook
bull Capex (excluding potential acquisitions)ndash 2011-2012 around EUR 16 to 18 billion annually (mainly due to Russian
investment programme)ndash 2013-2014 around EUR 11 to 14 billion annuallyndash Disclosed divestments totalled approximately EUR 05 billion
bull Hedgingndash 2011 approximately 70 hedge ratio at approximately EUR 45MWh(Q1 70 at EUR 44MWh)ndash 2012 approximately 50 hedge ratio at approximately EUR 46MWh(Q1 45 at EUR 45MWh)
30
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007 2008 2009 2010 2011 20120
10
20
30
40
50
60
70
80
90
100
110Spot prices Forward prices
3131
CO2 -free and energy-efficient solutions important
Create solid earnings growth in Russia
Leverage the strong Nordic core
Build platform for future growth
Competence in CO2 -free hydro nuclear and energy efficient CHP production and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -Fortumrsquos strategy remains intact
32
19 July 2011
Fortum Corporation
Interim Report
January-June 2011
Disclaimer
This presentation does not constitute an invitation to underwrite subscribe for or otherwise acquire or dispose of any Fortum shares
Past performance is no guide to future performance and persons needing advice should consult an independent financial adviser
Highlights in Q2
Increased uncertainty in macro environment
GLOBAL
- Incident in Fukushima in Japan
Finland
- No new decisions-in-principle on nuclear power in four years
- The new Governmentrsquos policy framework includes a possible implementation of a windfall tax and a uranium tax
Germany
- To be replaced by renewable energy
Q2 Market conditions
Nordic water reservoirs
Source Nord Pool Spot
Q1
Q2
Q3
Q4
2003
2008
2009
2011
2010
reference level
reservoir content (TWh)
0
20
40
60
80
100
120
Price development in the Nordic region and Russia
Includes capacity income
+17
+6
+24
+13
Q2 Good development continued
Q2 Comparable profit at last yearrsquos level
Comparable operating profit EUR million
-6
7
30
-14
348
339
0
-8
Power
Q22010
Heat
Russia
Distribution
Electricity
Sales
Other
Q22011
January-June Comparable profit at last yearrsquos level
Comparable operating profit EUR million
31
24
990
997
-113
48
29
-12
Power
H12010
Heat
Russia
Distribution
Electricity
Sales
Other
H12011
Fortum a forerunner in sustainability
Financials
Comparable and reported operating profit
Power
Q2 Power
Nuclear output in Q2
Planned outages in Oskarshamn 1amp3 and Forsmark 1 in Q22011
(In 2010 no outages in Q2)
If timing would have been similar in 2011 compared to 2010 nuclear output would have exceeded 2010 levels during Q2
Improved availability in Sweden
Q2 2011
Q2 2010
Nuclear
Outage effect
TWh
Q2 Power result declined due to several reasons
Comparable operating profit EUR million
257
-3
-4
0
271
3
-10
Volume
amp price
Q22010
Stronger
SEK
Russian
import
Property
taxes
Other
Q22011
Heat
Q2 Heat
Russia
Q2 Russia
Distribution
Q2 Distribution
Markets
Q2 Electricity Sales
Q2 Income statement
Q2 Cash flow statement
Key ratios
Q2 lsquo11
Debt maturity profile
per 30 June 2011 per 31 Dec 2010
Average interest rate (incl swaps and forwards)4435
Portion of floating fixed debt 47 53 49 51
Strong financial position
Return on capital employed
12
Return on shareholders equity
14
Net debtEBITDA
around 30
138
191
28
Fortumrsquos financial targets
LTM in Q22011
Good liquidity ndash committed credit lines total EUR 27 billion
Comparable net debtEBITDA
Outlook
Q2 Summary
Outlook
Outlook
(Q1 70 at EUR 44MWh)
(Q1 45 at EUR 45MWh)
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007
2008
2009
2010
2011
2012
0
10
20
30
40
50
60
70
80
90
100
110
Spot prices
Forward prices
CO2-free and energy-efficient solutions important
Create solid earnings
growth in Russia
Leverage the strong
Nordic core
Build platform for
future growth
Competence in CO2-free hydro nuclear and energy efficient CHP production
and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -
Fortumrsquos strategy remains intact
MEURII2011II2010I-II2011I-II2010LTM
Sales1833275569641 390
Comparable operating profit101021-335
Net Assets7759
Comparable RONA 341
Gross Investments10404
MEURII2011II2010I-II2011I-II2010LTM
Sales2152005264801 009
Comparable operating profit6053184155336
Net Assets3 4873 482
Comparable RONA 99
Gross Investments62479676233
0
250
500
750
1000
1250
1500
1750
20112012201320142015201620172018201920202021+
BondsFinancial institutionsOther long-term debtCPsOther short-term debt
MEURII2011II2010I-II2011I-II2010LTM
Sales195169490413881
Comparable operating profit21-955756
Net Assets3 0512 690
Comparable RONA 34
Gross Investments192167267258608
MEURII2011II2010I-II2011I-II2010LTM
Sales5745971 2671 3662 603
Comparable operating profit2572715826951 185
Net Assets5 9985 726
Comparable RONA 198
Gross Investments36226955136
MEURII2011II2010I-II2011I-II20102010LTM
Sales1 316
1 2953 3503 2426 296
6 404
Expenses-968-956-2 353-2 252-4 463-4 564
Comparable operating profit3483399979901 8331 840
Other items affecting comparability2611251285-125302
Operating profit6093511 5091 0751 7082 142
Share of profit of associates and jvs1515743162105
Financial expenses net-72-34-127-61-155-221
Profit before taxes5523321 4561 0451 6152 026
Income tax expense-74-61-232-191-261-302
Net profit for the period4782711 2248541 3541 724
Non-controlling interests6874325496
EPS basic (EUR)053030129093146183
EPS diluted (EUR)053030129093146183
Spot price for power in NordPool power exchange
448
459
662
523
621
0
12
24
36
48
60
72
Q22010Q32010Q42010Q12011Q22011
eurMWh
Powers Nordic power price
447
469
488
479
474
0
10
20
30
40
50
60
Q22010Q32010Q42010Q12011Q22011
eurMWh
MEURII2011II2010I-II2011I-II20102010LTM
Operating profit before depreciations7644901 8131 3512 2712 733
Non-cash flow items and divesting activities
-299-6-569-73124-372
Financial items and fx gainslosses
12-146-290-323-641-608
Taxes
-144-73-258-155-355-458
Funds from operations (FFO)
3332656968001 3991 295
Change in working capital
771571681433863
Total net cash from operating activities4104228649431 4371 358
Paid capital expenditures-297-263-503-486-1 134-1 151
Acquisition of shares-1-1-20-1-28-47
Other investing activities331-165417260529
Cash flow before financing activities443142882528335689
MEURII2011II2010I-II2011I-II2010LTM
Sales3223011 0479521 865
Comparable operating profit2533196165306
Net Assets3 9113 884
Comparable RONA 82
Gross Investments7259130121314
MEUR
II2011II2010II2011II2010I-II2011I-II2010I-II2011I-II2010
Power257271271280582695760747
Heat25332535196165290194
Russia21-921-95575523
Distribution605325253184155377166
Electricity Sales1010232321-33-6
Other-25-1917-31-41-2924-49
Total3483396093519979901 5091 075
Comparable operating profit
Reported operating profit
Comparable operating profit
Reported operating profit
Spot price for power (market price) Urals hub
770
935
817
950
954
0
200
400
600
800
1 000
1 200
Q22010Q32010Q42010Q12011Q22011
RUBMWh
Achieved power price for OAO Fortum
256
288
305
292
290
0
6
12
18
24
30
36
Q22010Q32010Q42010Q12011Q22011
eurMWh
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
MEURLTM20102009
EBITDA2 7332 2712 292
Comparable EBITDA2 4312 3962 398
Interest-bearing net debt6 7836 8265 969
Net debtEBITDA253026
Comparable Net debtEBITDA282825
Return on capital employed ()138116121
Return on shareholders equity ()191157160
) as of 30 June 2011
MEUR | |||
2011 | 231 | ||
2012 | 668 | ||
2013 | 639 | ||
2014 | 1223 | ||
2015 | 1051 | ||
2016 | 879 | ||
2017 | 270 | ||
2018 | 190 | ||
2019 | 840 | ||
2020 | 73 | ||
2021+ | 1530 |
MEUR | LTM | 2010 | 2009 | 2008 | 2006 | 2005 | |||||||
EBITDA | 2733 | 2271 | 2292 | 2478 | 1884 | ||||||||
Comparable EBITDA | 2431 | 2396 | 2398 | 1151 | 1271 | ||||||||
Interest-bearing net debt | 6 783 | 6826 | 5969 | 6179 | 4345 | 3158 | |||||||
Net debtEBITDA | 25 | 30 | 26 | 25 | 8161 | ||||||||
Comparable Net debtEBITDA | 28 | 28 | 25 | 16839 | 15130 | ||||||||
23 | 18 | ||||||||||||
Return on capital employed () | 138 | 116 | 121 | 150 | 134 | 135 | |||||||
Return on shareholders equity () | 191 | 157 | 160 | 187 | 144 | 135 | |||||||
) as of 30 June 2011 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | |||||||||||
Operating profit before depreciations | 764 | 490 | 1813 | 1351 | 2271 | 2733 | 2478 | 1663 | 2370 | 0 | |||||||||||
Non-cash flow items and divesting activities | -299 | -6 | -569 | -73 | 124 | -372 | -275 | -268 | -56 | 0 | |||||||||||
Financial items and fx gainslosses | 12 | -146 | -290 | -323 | -641 | -608 | 233 | ||||||||||||||
Taxes | -144 | -73 | -258 | -155 | -355 | -458 | -332 | -231 | -534 | 0 | |||||||||||
Funds from operations (FFO) | 333 | 265 | 696 | 800 | 1399 | 1295 | 2104 | 1164 | 1780 | 0 | |||||||||||
Change in working capital | 77 | 157 | 168 | 143 | 38 | 63 | -102 | 161 | 5 | 0 | |||||||||||
Total net cash from operating activities | 410 | 422 | 864 | 943 | 1437 | 1358 | 2002 | 1325 | 1785 | 0 | |||||||||||
Paid capital expenditures | -297 | -263 | -503 | -486 | -1134 | -1151 | -1018 | -341 | -931 | 0 | |||||||||||
Acquisition of shares | -1 | -1 | -20 | -1 | -28 | -47 | -1243 | -257 | -1243 | 0 | |||||||||||
Other investing activities | 331 | -16 | 541 | 72 | 60 | 529 | -21 | 258 | -34 | 0 | |||||||||||
Cash flow before financing activities | 443 | 142 | 882 | 528 | 335 | 689 | -280 | 985 | -423 | 0 |
MEUR | Q1-Q300 | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | 2004 | ||||||||||||||||||
Sales | 7732 | 1316 | 1295 | 3350 | 3242 | 6296 | 6404 | 5636 | 3159 | 5354 | 0 | 3835 | ||||||||||||||||||
Expenses | -7109 | -968 | -956 | -2353 | -2252 | -4463 | -4564 | -3673 | -1832 | -3482 | 0 | -2640 | ||||||||||||||||||
Comparable operating profit | 623 | 348 | 339 | 997 | 990 | 1833 | 1840 | 1963 | 1327 | 1872 | 0 | 1195 | ||||||||||||||||||
Other items affecting comparability | 261 | 12 | 512 | 85 | -125 | 302 | ||||||||||||||||||||||||
Operating profit | 609 | 351 | 1509 | 1075 | 1708 | 2142 | ||||||||||||||||||||||||
Share of profit of associates and jvs | 15 | 15 | 74 | 31 | 62 | 105 | 126 | 223 | 96 | 0 | 12 | |||||||||||||||||||
Financial expenses net | -209 | -72 | -34 | -127 | -61 | -155 | -221 | -239 | -117 | -222 | 0 | -245 | ||||||||||||||||||
Profit before taxes | 0 | 552 | 332 | 1456 | 1045 | 1615 | 2026 | 1850 | 1433 | 1746 | 0 | 0 | ||||||||||||||||||
Income tax expense | -83 | -74 | -61 | -232 | -191 | -261 | -302 | -254 | -218 | -364 | 0 | -259 | ||||||||||||||||||
Net profit for the period | -26 | 478 | 271 | 1224 | 854 | 1354 | 1724 | 1596 | 1215 | 1382 | 0 | 0 | ||||||||||||||||||
Non-controlling interests | 6 | 8 | 74 | 32 | 54 | 96 | 54 | 31 | 35 | 0 | 33 | |||||||||||||||||||
EPS basic (EUR) | 039 | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 148 | ||||||||||||||||||
EPS diluted (EUR) | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 079 | |||||||||||||||||||
069 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 183 | 327 | 556 | 964 | 1390 | |||||||
Comparable operating profit | 10 | 10 | 21 | -3 | 35 | |||||||
Net Assets | 77 | 59 | ||||||||||
Comparable RONA | 341 | |||||||||||
Gross Investments | 1 | 0 | 4 | 0 | 4 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 215 | 200 | 526 | 480 | 1009 | |||||||
Comparable operating profit | 60 | 53 | 184 | 155 | 336 | |||||||
Net Assets | 3487 | 3482 | ||||||||||
Comparable RONA | 99 | |||||||||||
Gross Investments | 62 | 47 | 96 | 76 | 233 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 195 | 169 | 490 | 413 | 881 | |||||||
Comparable operating profit | 21 | -9 | 55 | 7 | 56 | |||||||
Net Assets | 3051 | 2690 | ||||||||||
Comparable RONA | 34 | |||||||||||
Gross Investments | 192 | 167 | 267 | 258 | 608 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 322 | 301 | 1047 | 952 | 1865 | |||||||
Comparable operating profit | 25 | 33 | 196 | 165 | 306 | |||||||
Net Assets | 3911 | 3884 | ||||||||||
Comparable RONA | 82 | |||||||||||
Gross Investments | 72 | 59 | 130 | 121 | 314 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 574 | 597 | 1267 | 1366 | 2603 | |||||||
Comparable operating profit | 257 | 271 | 582 | 695 | 1185 | |||||||
Net Assets | 5998 | 5726 | ||||||||||
Comparable RONA | 198 | |||||||||||
Gross Investments | 36 | 22 | 69 | 55 | 136 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Roumlrelseresultat II2009 | Roumlrelseresultat II2008 | Liikevoitto 2008 | Liikevoitto 2007 | |||||||||||||||||||||||
Jaumlmfoumlrbart | Rapporterat | Jaumlmfoumlrbart | Rapporterat | Vertkelp | Raportoitu | Vertkelp | Raportoitu | |||||||||||||||||||
Kraftproduktion | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Vaumlrme | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Markets | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Ryssland | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Oumlvrigt | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Summa | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Liikevoitto II2010 | Liikevoitto II2009 | Liikevoitto I-II2010 | Liikevoitto I-II2009 | |||||||||||||||||||||||
Vertkelp | Raportoitu | Vertkelp | Raportoitu | Vertkelp | Raportoitu | Vertkelp | Raportoitu | |||||||||||||||||||
Power | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Heat | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Saumlhkoumlnmyynti | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Russia | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Muut | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Yhteensauml | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 | ||||||||||||||||||
I-III2009 | ||||||||||||||||||||||||||
SEK | Muut | Yhteensauml | ||||||||||||||||||||||||
Saumlhkoumlntuotanto | -67 | -3 | -70 | |||||||||||||||||||||||
Laumlmpouml | -10 | -2 | -12 | |||||||||||||||||||||||
Saumlhkoumlnsiirto | -13 | -1 | -14 | |||||||||||||||||||||||
Markets | -1 | -1 | -2 | |||||||||||||||||||||||
Venaumljauml | 0 | 6 | 6 | |||||||||||||||||||||||
Muu | 0 | 1 | 1 | |||||||||||||||||||||||
Yhteensauml | -91 | 0 | -91 |
Operating profit II2010 | Operating profit II2009 | Operating profit I-II2010 | Operating profit I-2009 | |||||||||||||||||||||||
Comparable | Reported | Comparable | Reported | Comparable | Reported | Comparable | Reported | |||||||||||||||||||
Power | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Heat | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Electricity Sales | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Russia | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Other | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Total | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 | ||||||||||||||||||
Currency translation effects on comparable operating profit | ||||||||||||||||||||||||||
I2009 | I-III2009 | |||||||||||||||||||||||||
SEK | Other | Total | SEK | Other | Total | |||||||||||||||||||||
Power Generation | -55 | -3 | -58 | Power Generation | -67 | -3 | -70 | |||||||||||||||||||
Heat | -12 | -3 | -15 | Heat | -10 | -2 | -12 | |||||||||||||||||||
Distribution | -11 | -1 | -12 | Distribution | -13 | -1 | -14 | |||||||||||||||||||
Markets | -1 | 0 | -1 | Markets | -1 | -1 | -2 | |||||||||||||||||||
Russia | 0 | 1 | 1 | Russia | 0 | 6 | 6 | |||||||||||||||||||
Other | 1 | 0 | 1 | Other | 0 | 1 | 1 | |||||||||||||||||||
Total | -78 | -6 | -84 | Total | -91 | 0 | -91 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Vertkelpliikevoitto | Raportoitu liikevoitto | Vertkelpliikevoitto | Raportoitu liikevoitto | |||||||||||||||||||||||
II2010 | II2009 | II2010 | II2009 | I-II2010 | I-II2009 | I-II2010 | I-II2009 | |||||||||||||||||||
Power | 257 | 271 | 271 | 280 | 582 | 695 | 760 | 747 | ||||||||||||||||||
Heat | 25 | 33 | 25 | 35 | 196 | 165 | 290 | 194 | ||||||||||||||||||
Distribution | 21 | -9 | 21 | -9 | 55 | 7 | 55 | 23 | ||||||||||||||||||
Saumlhkoumlnmyynti | 60 | 53 | 252 | 53 | 184 | 155 | 377 | 166 | ||||||||||||||||||
Russia | 10 | 10 | 23 | 23 | 21 | -3 | 3 | -6 | ||||||||||||||||||
Muut | -25 | -19 | 17 | -31 | -41 | -29 | 24 | -49 | ||||||||||||||||||
Yhteensauml | 348 | 339 | 609 | 351 | 997 | 990 | 1509 | 1075 | ||||||||||||||||||
I-III2009 | ||||||||||||||||||||||||||
SEK | Muut | Yhteensauml | ||||||||||||||||||||||||
Saumlhkoumlntuotanto | -67 | -3 | -70 | |||||||||||||||||||||||
Laumlmpouml | -10 | -2 | -12 | |||||||||||||||||||||||
Saumlhkoumlnsiirto | -13 | -1 | -14 | |||||||||||||||||||||||
Markets | -1 | -1 | -2 | |||||||||||||||||||||||
Venaumljauml | 0 | 6 | 6 | |||||||||||||||||||||||
Muu | 0 | 1 | 1 | |||||||||||||||||||||||
Yhteensauml | -91 | 0 | -91 |
MEUR | Comparable operating profit | Reported operating profit | Comparable operating profit | Reported operating profit | ||||||||||||||||||||||
II2011 | II2010 | II2011 | II2010 | I-II2011 | I-II2010 | I-II2011 | I-II2010 | |||||||||||||||||||
Power | 257 | 271 | 271 | 280 | 582 | 695 | 760 | 747 | ||||||||||||||||||
Heat | 25 | 33 | 25 | 35 | 196 | 165 | 290 | 194 | ||||||||||||||||||
Russia | 21 | -9 | 21 | -9 | 55 | 7 | 55 | 23 | ||||||||||||||||||
Distribution | 60 | 53 | 252 | 53 | 184 | 155 | 377 | 166 | ||||||||||||||||||
Electricity Sales | 10 | 10 | 23 | 23 | 21 | -3 | 3 | -6 | ||||||||||||||||||
Other | -25 | -19 | 17 | -31 | -41 | -29 | 24 | -49 | ||||||||||||||||||
Total | 348 | 339 | 609 | 351 | 997 | 990 | 1509 | 1075 | ||||||||||||||||||
Currency translation effects on comparable operating profit | ||||||||||||||||||||||||||
I2009 | I-III2009 | |||||||||||||||||||||||||
SEK | Other | Total | SEK | Other | Total | |||||||||||||||||||||
Power Generation | -55 | -3 | -58 | Power Generation | -67 | -3 | -70 | |||||||||||||||||||
Heat | -12 | -3 | -15 | Heat | -10 | -2 | -12 | |||||||||||||||||||
Distribution | -11 | -1 | -12 | Distribution | -13 | -1 | -14 | |||||||||||||||||||
Markets | -1 | 0 | -1 | Markets | -1 | -1 | -2 | |||||||||||||||||||
Russia | 0 | 1 | 1 | Russia | 0 | 6 | 6 | |||||||||||||||||||
Other | 1 | 0 | 1 | Other | 0 | 1 | 1 | |||||||||||||||||||
Total | -78 | -6 | -84 | Total | -91 | 0 | -91 |
5
Q2 Market conditions
bull Nordic water reservoirs reached normal levels by the end of Q2
bull CO2 prices decreased at the end of the quarter
bull Nordic forward prices decreased
bull In the First price zone (European and Urals part of Russia) power consumption was up by 4 from Q2 2010
6
Nordic water reservoirs
Source Nord Pool Spot
rese
rvoi
r con
tent
(TW
h)
0
20
40
60
80
100
120
Q1 Q2 Q3 Q4
2003 2008 2009 20112010 reference level
7
Price development in the Nordic region and Russia
Includes capacity income
Spot price for power in NordPool power exchange
448 459
662
523621
0
12
24
36
48
60
72
Q22010 Q32010 Q42010 Q12011 Q22011
eurMWh
Powers Nordic power price
447 469 488 479 474
0
10
20
30
40
50
60
Q22010 Q32010 Q42010 Q12011 Q22011
eurMWh
Spot price for power (market price) Urals hub
770
935817
950 954
0
200
400
600
800
1 000
1 200
Q22010 Q32010 Q42010 Q12011 Q22011
RUBMWh
Achieved power price for OAO Fortum
256288 305 292 290
0
6
12
18
24
30
36
Q22010 Q32010 Q42010 Q12011 Q22011
eurMWh
+17
+6
+24
+13
8
Q2 Good development continued
bull Comparable operating profit EUR 348 (339) million
bull Earnings per share EUR 053 (030)
bull Net cash from operating activities 410 (422) million
bull Strong financial position
9
Q2 Comparable profit at last yearrsquos level
Comparable operating profit EUR million
-6730-14 3483390
-8
PowerQ22010 Heat Russia Distribution ElectricitySales
Other Q22011
10
January-June Comparable profit at last yearrsquos level
Comparable operating profit EUR million
31
24990 997-11348
29 -12
PowerH12010 Heat Russia Distribution ElectricitySales
Other H12011
11
bull Dow Jones Sustainability Index Worldndash Fortum is the only Nordic power and heat company listed in the index
bull SAM Sustainability Yearbook 2010 and 2011bull oekombull OMX GES Sustainability Finland Indexbull Storebrand SRI
ndash Based on the assessments conducted in 2006 and 2009 Fortum was the most responsible electricity company globallybull Carbon Disclosure Project
1111
Fortum a forerunner in sustainabilityg CO2kWh electricity 2009
Average 346 gkWh
0
200
400
600
800
1000
1200
DE
I
Dra
x
RW
E
CEZ
SS
E
ED
P
Ene
l
Vat
tenf
all
EO
N
Don
g
Uni
on F
enos
a
GD
F S
UE
Z E
urop
e
Iber
drol
a
Fortu
m to
tal
ED
F
PV
O
Ver
bund
Fortu
m E
U
Sta
tkra
ft
41155
g CO2kWh electricity 2009
Average 346 gkWh
0
200
400
600
800
1000
1200
DE
I
Dra
x
RW
E
CEZ
SS
E
ED
P
Ene
l
Vat
tenf
all
EO
N
Don
g
Uni
on F
enos
a
GD
F S
UE
Z E
urop
e
Iber
drol
a
Fortu
m to
tal
ED
F
PV
O
Ver
bund
Fortu
m E
U
Sta
tkra
ft
411550
200
400
600
800
1000
1200
DE
I
Dra
x
RW
E
CEZ
SS
E
ED
P
Ene
l
Vat
tenf
all
EO
N
Don
g
Uni
on F
enos
a
GD
F S
UE
Z E
urop
e
Iber
drol
a
Fortu
m to
tal
ED
F
PV
O
Ver
bund
Fortu
m E
U
Sta
tkra
ft
41155
12
Financials
13
Comparable and reported operating profit
MEURII2011 II2010 II2011 II2010 I-II2011 I-II2010 I-II2011 I-II2010
Power 257 271 271 280 582 695 760 747Heat 25 33 25 35 196 165 290 194Russia 21 -9 21 -9 55 7 55 23Distribution 60 53 252 53 184 155 377 166Electricity Sales 10 10 23 23 21 -3 3 -6Other -25 -19 17 -31 -41 -29 24 -49Total 348 339 609 351 997 990 1 509 1 075
Comparable operating profit
Reported operating profit
Comparable operating profit
Reported operating profit
bull IFRS accounting treatment (IAS 39) of derivatives had a positive impact on the reported operating profit EUR 76 (-15) million or earnings per share EUR 007 (-001) in the second quarter and EUR 249 (21) million or earnings per share EUR 021 (002) for January-June 2011
14
Power
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 574 597 1 267 1 366 2 603
Comparable operating profit 257 271 582 695 1 185
Net Assets 5 998 5 726
Comparable RONA 198
Gross Investments 36 22 69 55 136
Q2 Power
bull Comparable operating profit decreasedndash Swedish nuclear availability back at 80-85ndash Lower hydro and nuclear volumesndash Water reservoirs improved significantly towards the
end of the quarter
15
Nuclear output in Q2
Q2 2011
Q2 2010
Nuclear Outage effect
TWh
Planned outages in Oskarshamn 1amp3 and Forsmark 1 in Q22011(In 2010 no outages in Q2)
If timing would have been similar in 2011 compared to 2010 nuclear output would have exceeded 2010 levels during Q2
Improved availability in Sweden
16
Q2 Power result declined due to several reasons
Comparable operating profit EUR million
257-3-40271 3-10
Volumeamp priceQ22010 Stronger
SEKRussianimport
Propertytaxes Other Q22011
17
Heat
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 322 301 1 047 952 1 865
Comparable operating profit 25 33 196 165 306
Net Assets 3 911 3 884
Comparable RONA 82
Gross Investments 72 59 130 121 314
Q2 Heat
bull Comparable operating profit decreasedndash Lower heat volumes in Sweden caused by
divestment during first quarterndash Integration cost provisions in Poland
18
Russiabull Comparable operating profit improved
ndash Commissioning of the new unit ndash Higher electricity market prices ndash Efficiency improvementsndash Reversal of CSA provisions related to the newly
commissioned units
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 195 169 490 413 881
Comparable operating profit 21 -9 55 7 56
Net Assets 3 051 2 690
Comparable RONA 34
Gross Investments 192 167 267 258 608
Q2 Russia
19
Distribution
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 215 200 526 480 1 009
Comparable operating profit 60 53 184 155 336
Net Assets 3 487 3 482
Comparable RONA 99
Gross Investments 62 47 96 76 233
Q2 Distribution
bull Comparable operating profit increasedndash Lower transmission costsndash Stronger SEK
bull Smart metering rollout to network customers in Finland continued
20
Markets
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 183 327 556 964 1 390
Comparable operating profit 10 10 21 -3 35
Net Assets 77 59
Comparable RONA 341
Gross Investments 1 0 4 0 4
Q2 Electricity Sales
bull Comparable operating profit at last yearrsquos levelndash Tough competitionndash Restructuring of the Business Market segment
21
MEUR II2011 II2010 I-II2011 I-II2010 2010 LTM
Sales 1 316 1 295 3 350 3 242 6 296 6 404Expenses -968 -956 -2 353 -2 252 -4 463 -4 564
Comparable operating profit 348 339 997 990 1 833 1 840
Other items affecting comparability 261 12 512 85 -125 302
Operating profit 609 351 1 509 1 075 1 708 2 142Share of profit of associates and jvs 15 15 74 31 62 105Financial expenses net -72 -34 -127 -61 -155 -221
Profit before taxes 552 332 1 456 1 045 1 615 2 026Income tax expense -74 -61 -232 -191 -261 -302
Net profit for the period 478 271 1 224 854 1 354 1 724Non-controlling interests 6 8 74 32 54 96
EPS basic (EUR) 053 030 129 093 146 183EPS diluted (EUR) 053 030 129 093 146 183
Q2 Income statement
22
Q2 Cash flow statement
MEUR II2011 II2010 I-II2011 I-II2010 2010 LTM
Operating profit before depreciations 764 490 1 813 1 351 2 271 2 733
Non-cash flow items and divesting activities -299 -6 -569 -73 124 -372
Financial items and fx gainslosses 12 -146 -290 -323 -641 -608
Taxes -144 -73 -258 -155 -355 -458
Funds from operations (FFO) 333 265 696 800 1 399 1 295
Change in working capital 77 157 168 143 38 63
Total net cash from operating activities 410 422 864 943 1 437 1 358
Paid capital expenditures -297 -263 -503 -486 -1 134 -1 151
Acquisition of shares -1 -1 -20 -1 -28 -47
Other investing activities 331 -16 541 72 60 529
Cash flow before financing activities 443 142 882 528 335 689
23
MEUR LTM 2010 2009EBITDA 2 733 2 271 2 292Comparable EBITDA 2 431 2 396 2 398Interest-bearing net debt 6 783 6 826 5 969Net debtEBITDA 25 30 26Comparable Net debtEBITDA 28 28 25
Return on capital employed () 138 116 121Return on shareholders equity () 191 157 160
) as of 30 June 2011
Key ratios
Q2 lsquo11
24
Debt maturity profile
0
250
500
750
1000
1250
1500
1750
2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021+
Bonds Financial institutions Other long-term debt CPs Other short-term debt
MEUR
2011 231
2012 668
2013 639
2014 1223
2015 1051
2016 879
2017 270
2018 190
2019 840
2020 73
2021+ 1530
per 30 June 2011 per 31 Dec 2010
Average interest rate (incl swaps and forwards) 44 35Portion of floating fixed debt 47 53 49 51
25
Strong financial position
Return on capital employed12
Return on shareholders equity14
Net debtEBITDAaround 30
138
191
28
Fortumrsquos financial targets LTM in Q22011
Good liquidity ndash committed credit lines total EUR 27 billion
Comparable net debtEBITDA
26
Outlook
27
Q2 Summary
bull Solid performance continued - seasonalitybull Power
ndash Improved nuclear availability- timing of Swedish planned nuclear outages impacted volume
ndash Swedish nuclear back at 80-85 in availabilityndash Lower hydro volumes ndash water reservoirs improved at the end of the quarterndash SEK burdenedndash Results year-end weighted compared to 2010
bull Russiandash Commissioning of new units contributed to result improvementndash The return for the new capacity is guaranteed ndash EUR 100 million efficiency improvement reached
bull Nordic countriesndash Water reservoirs improved to long-term average
bull Overall strong financial position
28
Outlook
bull Key drivers and risksndash Wholesale price of electricity
bull Demandbull Fuelsbull CO2 emissions pricesbull Water reservoirsbull Nuclear availability
bull Nordic marketsndash Market continues to recover ndash 2008 level to be reached by 2012-2014ndash Electricity continues to gain share of total energy consumption
bull Russiandash Wholesale market liberalisedndash Profits from Russia build up in pace with the capacity increases
29
Outlook
bull Capex (excluding potential acquisitions)ndash 2011-2012 around EUR 16 to 18 billion annually (mainly due to Russian
investment programme)ndash 2013-2014 around EUR 11 to 14 billion annuallyndash Disclosed divestments totalled approximately EUR 05 billion
bull Hedgingndash 2011 approximately 70 hedge ratio at approximately EUR 45MWh(Q1 70 at EUR 44MWh)ndash 2012 approximately 50 hedge ratio at approximately EUR 46MWh(Q1 45 at EUR 45MWh)
30
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007 2008 2009 2010 2011 20120
10
20
30
40
50
60
70
80
90
100
110Spot prices Forward prices
3131
CO2 -free and energy-efficient solutions important
Create solid earnings growth in Russia
Leverage the strong Nordic core
Build platform for future growth
Competence in CO2 -free hydro nuclear and energy efficient CHP production and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -Fortumrsquos strategy remains intact
32
19 July 2011
Fortum Corporation
Interim Report
January-June 2011
Disclaimer
This presentation does not constitute an invitation to underwrite subscribe for or otherwise acquire or dispose of any Fortum shares
Past performance is no guide to future performance and persons needing advice should consult an independent financial adviser
Highlights in Q2
Increased uncertainty in macro environment
GLOBAL
- Incident in Fukushima in Japan
Finland
- No new decisions-in-principle on nuclear power in four years
- The new Governmentrsquos policy framework includes a possible implementation of a windfall tax and a uranium tax
Germany
- To be replaced by renewable energy
Q2 Market conditions
Nordic water reservoirs
Source Nord Pool Spot
Q1
Q2
Q3
Q4
2003
2008
2009
2011
2010
reference level
reservoir content (TWh)
0
20
40
60
80
100
120
Price development in the Nordic region and Russia
Includes capacity income
+17
+6
+24
+13
Q2 Good development continued
Q2 Comparable profit at last yearrsquos level
Comparable operating profit EUR million
-6
7
30
-14
348
339
0
-8
Power
Q22010
Heat
Russia
Distribution
Electricity
Sales
Other
Q22011
January-June Comparable profit at last yearrsquos level
Comparable operating profit EUR million
31
24
990
997
-113
48
29
-12
Power
H12010
Heat
Russia
Distribution
Electricity
Sales
Other
H12011
Fortum a forerunner in sustainability
Financials
Comparable and reported operating profit
Power
Q2 Power
Nuclear output in Q2
Planned outages in Oskarshamn 1amp3 and Forsmark 1 in Q22011
(In 2010 no outages in Q2)
If timing would have been similar in 2011 compared to 2010 nuclear output would have exceeded 2010 levels during Q2
Improved availability in Sweden
Q2 2011
Q2 2010
Nuclear
Outage effect
TWh
Q2 Power result declined due to several reasons
Comparable operating profit EUR million
257
-3
-4
0
271
3
-10
Volume
amp price
Q22010
Stronger
SEK
Russian
import
Property
taxes
Other
Q22011
Heat
Q2 Heat
Russia
Q2 Russia
Distribution
Q2 Distribution
Markets
Q2 Electricity Sales
Q2 Income statement
Q2 Cash flow statement
Key ratios
Q2 lsquo11
Debt maturity profile
per 30 June 2011 per 31 Dec 2010
Average interest rate (incl swaps and forwards)4435
Portion of floating fixed debt 47 53 49 51
Strong financial position
Return on capital employed
12
Return on shareholders equity
14
Net debtEBITDA
around 30
138
191
28
Fortumrsquos financial targets
LTM in Q22011
Good liquidity ndash committed credit lines total EUR 27 billion
Comparable net debtEBITDA
Outlook
Q2 Summary
Outlook
Outlook
(Q1 70 at EUR 44MWh)
(Q1 45 at EUR 45MWh)
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007
2008
2009
2010
2011
2012
0
10
20
30
40
50
60
70
80
90
100
110
Spot prices
Forward prices
CO2-free and energy-efficient solutions important
Create solid earnings
growth in Russia
Leverage the strong
Nordic core
Build platform for
future growth
Competence in CO2-free hydro nuclear and energy efficient CHP production
and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -
Fortumrsquos strategy remains intact
MEURII2011II2010I-II2011I-II2010LTM
Sales1833275569641 390
Comparable operating profit101021-335
Net Assets7759
Comparable RONA 341
Gross Investments10404
MEURII2011II2010I-II2011I-II2010LTM
Sales2152005264801 009
Comparable operating profit6053184155336
Net Assets3 4873 482
Comparable RONA 99
Gross Investments62479676233
0
250
500
750
1000
1250
1500
1750
20112012201320142015201620172018201920202021+
BondsFinancial institutionsOther long-term debtCPsOther short-term debt
MEURII2011II2010I-II2011I-II2010LTM
Sales195169490413881
Comparable operating profit21-955756
Net Assets3 0512 690
Comparable RONA 34
Gross Investments192167267258608
MEURII2011II2010I-II2011I-II2010LTM
Sales5745971 2671 3662 603
Comparable operating profit2572715826951 185
Net Assets5 9985 726
Comparable RONA 198
Gross Investments36226955136
MEURII2011II2010I-II2011I-II20102010LTM
Sales1 316
1 2953 3503 2426 296
6 404
Expenses-968-956-2 353-2 252-4 463-4 564
Comparable operating profit3483399979901 8331 840
Other items affecting comparability2611251285-125302
Operating profit6093511 5091 0751 7082 142
Share of profit of associates and jvs1515743162105
Financial expenses net-72-34-127-61-155-221
Profit before taxes5523321 4561 0451 6152 026
Income tax expense-74-61-232-191-261-302
Net profit for the period4782711 2248541 3541 724
Non-controlling interests6874325496
EPS basic (EUR)053030129093146183
EPS diluted (EUR)053030129093146183
Spot price for power in NordPool power exchange
448
459
662
523
621
0
12
24
36
48
60
72
Q22010Q32010Q42010Q12011Q22011
eurMWh
Powers Nordic power price
447
469
488
479
474
0
10
20
30
40
50
60
Q22010Q32010Q42010Q12011Q22011
eurMWh
MEURII2011II2010I-II2011I-II20102010LTM
Operating profit before depreciations7644901 8131 3512 2712 733
Non-cash flow items and divesting activities
-299-6-569-73124-372
Financial items and fx gainslosses
12-146-290-323-641-608
Taxes
-144-73-258-155-355-458
Funds from operations (FFO)
3332656968001 3991 295
Change in working capital
771571681433863
Total net cash from operating activities4104228649431 4371 358
Paid capital expenditures-297-263-503-486-1 134-1 151
Acquisition of shares-1-1-20-1-28-47
Other investing activities331-165417260529
Cash flow before financing activities443142882528335689
MEURII2011II2010I-II2011I-II2010LTM
Sales3223011 0479521 865
Comparable operating profit2533196165306
Net Assets3 9113 884
Comparable RONA 82
Gross Investments7259130121314
MEUR
II2011II2010II2011II2010I-II2011I-II2010I-II2011I-II2010
Power257271271280582695760747
Heat25332535196165290194
Russia21-921-95575523
Distribution605325253184155377166
Electricity Sales1010232321-33-6
Other-25-1917-31-41-2924-49
Total3483396093519979901 5091 075
Comparable operating profit
Reported operating profit
Comparable operating profit
Reported operating profit
Spot price for power (market price) Urals hub
770
935
817
950
954
0
200
400
600
800
1 000
1 200
Q22010Q32010Q42010Q12011Q22011
RUBMWh
Achieved power price for OAO Fortum
256
288
305
292
290
0
6
12
18
24
30
36
Q22010Q32010Q42010Q12011Q22011
eurMWh
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
MEURLTM20102009
EBITDA2 7332 2712 292
Comparable EBITDA2 4312 3962 398
Interest-bearing net debt6 7836 8265 969
Net debtEBITDA253026
Comparable Net debtEBITDA282825
Return on capital employed ()138116121
Return on shareholders equity ()191157160
) as of 30 June 2011
MEUR | |||
2011 | 231 | ||
2012 | 668 | ||
2013 | 639 | ||
2014 | 1223 | ||
2015 | 1051 | ||
2016 | 879 | ||
2017 | 270 | ||
2018 | 190 | ||
2019 | 840 | ||
2020 | 73 | ||
2021+ | 1530 |
MEUR | LTM | 2010 | 2009 | 2008 | 2006 | 2005 | |||||||
EBITDA | 2733 | 2271 | 2292 | 2478 | 1884 | ||||||||
Comparable EBITDA | 2431 | 2396 | 2398 | 1151 | 1271 | ||||||||
Interest-bearing net debt | 6 783 | 6826 | 5969 | 6179 | 4345 | 3158 | |||||||
Net debtEBITDA | 25 | 30 | 26 | 25 | 8161 | ||||||||
Comparable Net debtEBITDA | 28 | 28 | 25 | 16839 | 15130 | ||||||||
23 | 18 | ||||||||||||
Return on capital employed () | 138 | 116 | 121 | 150 | 134 | 135 | |||||||
Return on shareholders equity () | 191 | 157 | 160 | 187 | 144 | 135 | |||||||
) as of 30 June 2011 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | |||||||||||
Operating profit before depreciations | 764 | 490 | 1813 | 1351 | 2271 | 2733 | 2478 | 1663 | 2370 | 0 | |||||||||||
Non-cash flow items and divesting activities | -299 | -6 | -569 | -73 | 124 | -372 | -275 | -268 | -56 | 0 | |||||||||||
Financial items and fx gainslosses | 12 | -146 | -290 | -323 | -641 | -608 | 233 | ||||||||||||||
Taxes | -144 | -73 | -258 | -155 | -355 | -458 | -332 | -231 | -534 | 0 | |||||||||||
Funds from operations (FFO) | 333 | 265 | 696 | 800 | 1399 | 1295 | 2104 | 1164 | 1780 | 0 | |||||||||||
Change in working capital | 77 | 157 | 168 | 143 | 38 | 63 | -102 | 161 | 5 | 0 | |||||||||||
Total net cash from operating activities | 410 | 422 | 864 | 943 | 1437 | 1358 | 2002 | 1325 | 1785 | 0 | |||||||||||
Paid capital expenditures | -297 | -263 | -503 | -486 | -1134 | -1151 | -1018 | -341 | -931 | 0 | |||||||||||
Acquisition of shares | -1 | -1 | -20 | -1 | -28 | -47 | -1243 | -257 | -1243 | 0 | |||||||||||
Other investing activities | 331 | -16 | 541 | 72 | 60 | 529 | -21 | 258 | -34 | 0 | |||||||||||
Cash flow before financing activities | 443 | 142 | 882 | 528 | 335 | 689 | -280 | 985 | -423 | 0 |
MEUR | Q1-Q300 | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | 2004 | ||||||||||||||||||
Sales | 7732 | 1316 | 1295 | 3350 | 3242 | 6296 | 6404 | 5636 | 3159 | 5354 | 0 | 3835 | ||||||||||||||||||
Expenses | -7109 | -968 | -956 | -2353 | -2252 | -4463 | -4564 | -3673 | -1832 | -3482 | 0 | -2640 | ||||||||||||||||||
Comparable operating profit | 623 | 348 | 339 | 997 | 990 | 1833 | 1840 | 1963 | 1327 | 1872 | 0 | 1195 | ||||||||||||||||||
Other items affecting comparability | 261 | 12 | 512 | 85 | -125 | 302 | ||||||||||||||||||||||||
Operating profit | 609 | 351 | 1509 | 1075 | 1708 | 2142 | ||||||||||||||||||||||||
Share of profit of associates and jvs | 15 | 15 | 74 | 31 | 62 | 105 | 126 | 223 | 96 | 0 | 12 | |||||||||||||||||||
Financial expenses net | -209 | -72 | -34 | -127 | -61 | -155 | -221 | -239 | -117 | -222 | 0 | -245 | ||||||||||||||||||
Profit before taxes | 0 | 552 | 332 | 1456 | 1045 | 1615 | 2026 | 1850 | 1433 | 1746 | 0 | 0 | ||||||||||||||||||
Income tax expense | -83 | -74 | -61 | -232 | -191 | -261 | -302 | -254 | -218 | -364 | 0 | -259 | ||||||||||||||||||
Net profit for the period | -26 | 478 | 271 | 1224 | 854 | 1354 | 1724 | 1596 | 1215 | 1382 | 0 | 0 | ||||||||||||||||||
Non-controlling interests | 6 | 8 | 74 | 32 | 54 | 96 | 54 | 31 | 35 | 0 | 33 | |||||||||||||||||||
EPS basic (EUR) | 039 | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 148 | ||||||||||||||||||
EPS diluted (EUR) | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 079 | |||||||||||||||||||
069 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 183 | 327 | 556 | 964 | 1390 | |||||||
Comparable operating profit | 10 | 10 | 21 | -3 | 35 | |||||||
Net Assets | 77 | 59 | ||||||||||
Comparable RONA | 341 | |||||||||||
Gross Investments | 1 | 0 | 4 | 0 | 4 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 215 | 200 | 526 | 480 | 1009 | |||||||
Comparable operating profit | 60 | 53 | 184 | 155 | 336 | |||||||
Net Assets | 3487 | 3482 | ||||||||||
Comparable RONA | 99 | |||||||||||
Gross Investments | 62 | 47 | 96 | 76 | 233 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 195 | 169 | 490 | 413 | 881 | |||||||
Comparable operating profit | 21 | -9 | 55 | 7 | 56 | |||||||
Net Assets | 3051 | 2690 | ||||||||||
Comparable RONA | 34 | |||||||||||
Gross Investments | 192 | 167 | 267 | 258 | 608 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 322 | 301 | 1047 | 952 | 1865 | |||||||
Comparable operating profit | 25 | 33 | 196 | 165 | 306 | |||||||
Net Assets | 3911 | 3884 | ||||||||||
Comparable RONA | 82 | |||||||||||
Gross Investments | 72 | 59 | 130 | 121 | 314 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 574 | 597 | 1267 | 1366 | 2603 | |||||||
Comparable operating profit | 257 | 271 | 582 | 695 | 1185 | |||||||
Net Assets | 5998 | 5726 | ||||||||||
Comparable RONA | 198 | |||||||||||
Gross Investments | 36 | 22 | 69 | 55 | 136 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Roumlrelseresultat II2009 | Roumlrelseresultat II2008 | Liikevoitto 2008 | Liikevoitto 2007 | |||||||||||||||||||||||
Jaumlmfoumlrbart | Rapporterat | Jaumlmfoumlrbart | Rapporterat | Vertkelp | Raportoitu | Vertkelp | Raportoitu | |||||||||||||||||||
Kraftproduktion | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Vaumlrme | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Markets | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Ryssland | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Oumlvrigt | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Summa | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Liikevoitto II2010 | Liikevoitto II2009 | Liikevoitto I-II2010 | Liikevoitto I-II2009 | |||||||||||||||||||||||
Vertkelp | Raportoitu | Vertkelp | Raportoitu | Vertkelp | Raportoitu | Vertkelp | Raportoitu | |||||||||||||||||||
Power | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Heat | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Saumlhkoumlnmyynti | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Russia | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Muut | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Yhteensauml | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 | ||||||||||||||||||
I-III2009 | ||||||||||||||||||||||||||
SEK | Muut | Yhteensauml | ||||||||||||||||||||||||
Saumlhkoumlntuotanto | -67 | -3 | -70 | |||||||||||||||||||||||
Laumlmpouml | -10 | -2 | -12 | |||||||||||||||||||||||
Saumlhkoumlnsiirto | -13 | -1 | -14 | |||||||||||||||||||||||
Markets | -1 | -1 | -2 | |||||||||||||||||||||||
Venaumljauml | 0 | 6 | 6 | |||||||||||||||||||||||
Muu | 0 | 1 | 1 | |||||||||||||||||||||||
Yhteensauml | -91 | 0 | -91 |
Operating profit II2010 | Operating profit II2009 | Operating profit I-II2010 | Operating profit I-2009 | |||||||||||||||||||||||
Comparable | Reported | Comparable | Reported | Comparable | Reported | Comparable | Reported | |||||||||||||||||||
Power | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Heat | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Electricity Sales | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Russia | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Other | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Total | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 | ||||||||||||||||||
Currency translation effects on comparable operating profit | ||||||||||||||||||||||||||
I2009 | I-III2009 | |||||||||||||||||||||||||
SEK | Other | Total | SEK | Other | Total | |||||||||||||||||||||
Power Generation | -55 | -3 | -58 | Power Generation | -67 | -3 | -70 | |||||||||||||||||||
Heat | -12 | -3 | -15 | Heat | -10 | -2 | -12 | |||||||||||||||||||
Distribution | -11 | -1 | -12 | Distribution | -13 | -1 | -14 | |||||||||||||||||||
Markets | -1 | 0 | -1 | Markets | -1 | -1 | -2 | |||||||||||||||||||
Russia | 0 | 1 | 1 | Russia | 0 | 6 | 6 | |||||||||||||||||||
Other | 1 | 0 | 1 | Other | 0 | 1 | 1 | |||||||||||||||||||
Total | -78 | -6 | -84 | Total | -91 | 0 | -91 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Vertkelpliikevoitto | Raportoitu liikevoitto | Vertkelpliikevoitto | Raportoitu liikevoitto | |||||||||||||||||||||||
II2010 | II2009 | II2010 | II2009 | I-II2010 | I-II2009 | I-II2010 | I-II2009 | |||||||||||||||||||
Power | 257 | 271 | 271 | 280 | 582 | 695 | 760 | 747 | ||||||||||||||||||
Heat | 25 | 33 | 25 | 35 | 196 | 165 | 290 | 194 | ||||||||||||||||||
Distribution | 21 | -9 | 21 | -9 | 55 | 7 | 55 | 23 | ||||||||||||||||||
Saumlhkoumlnmyynti | 60 | 53 | 252 | 53 | 184 | 155 | 377 | 166 | ||||||||||||||||||
Russia | 10 | 10 | 23 | 23 | 21 | -3 | 3 | -6 | ||||||||||||||||||
Muut | -25 | -19 | 17 | -31 | -41 | -29 | 24 | -49 | ||||||||||||||||||
Yhteensauml | 348 | 339 | 609 | 351 | 997 | 990 | 1509 | 1075 | ||||||||||||||||||
I-III2009 | ||||||||||||||||||||||||||
SEK | Muut | Yhteensauml | ||||||||||||||||||||||||
Saumlhkoumlntuotanto | -67 | -3 | -70 | |||||||||||||||||||||||
Laumlmpouml | -10 | -2 | -12 | |||||||||||||||||||||||
Saumlhkoumlnsiirto | -13 | -1 | -14 | |||||||||||||||||||||||
Markets | -1 | -1 | -2 | |||||||||||||||||||||||
Venaumljauml | 0 | 6 | 6 | |||||||||||||||||||||||
Muu | 0 | 1 | 1 | |||||||||||||||||||||||
Yhteensauml | -91 | 0 | -91 |
MEUR | Comparable operating profit | Reported operating profit | Comparable operating profit | Reported operating profit | ||||||||||||||||||||||
II2011 | II2010 | II2011 | II2010 | I-II2011 | I-II2010 | I-II2011 | I-II2010 | |||||||||||||||||||
Power | 257 | 271 | 271 | 280 | 582 | 695 | 760 | 747 | ||||||||||||||||||
Heat | 25 | 33 | 25 | 35 | 196 | 165 | 290 | 194 | ||||||||||||||||||
Russia | 21 | -9 | 21 | -9 | 55 | 7 | 55 | 23 | ||||||||||||||||||
Distribution | 60 | 53 | 252 | 53 | 184 | 155 | 377 | 166 | ||||||||||||||||||
Electricity Sales | 10 | 10 | 23 | 23 | 21 | -3 | 3 | -6 | ||||||||||||||||||
Other | -25 | -19 | 17 | -31 | -41 | -29 | 24 | -49 | ||||||||||||||||||
Total | 348 | 339 | 609 | 351 | 997 | 990 | 1509 | 1075 | ||||||||||||||||||
Currency translation effects on comparable operating profit | ||||||||||||||||||||||||||
I2009 | I-III2009 | |||||||||||||||||||||||||
SEK | Other | Total | SEK | Other | Total | |||||||||||||||||||||
Power Generation | -55 | -3 | -58 | Power Generation | -67 | -3 | -70 | |||||||||||||||||||
Heat | -12 | -3 | -15 | Heat | -10 | -2 | -12 | |||||||||||||||||||
Distribution | -11 | -1 | -12 | Distribution | -13 | -1 | -14 | |||||||||||||||||||
Markets | -1 | 0 | -1 | Markets | -1 | -1 | -2 | |||||||||||||||||||
Russia | 0 | 1 | 1 | Russia | 0 | 6 | 6 | |||||||||||||||||||
Other | 1 | 0 | 1 | Other | 0 | 1 | 1 | |||||||||||||||||||
Total | -78 | -6 | -84 | Total | -91 | 0 | -91 |
6
Nordic water reservoirs
Source Nord Pool Spot
rese
rvoi
r con
tent
(TW
h)
0
20
40
60
80
100
120
Q1 Q2 Q3 Q4
2003 2008 2009 20112010 reference level
7
Price development in the Nordic region and Russia
Includes capacity income
Spot price for power in NordPool power exchange
448 459
662
523621
0
12
24
36
48
60
72
Q22010 Q32010 Q42010 Q12011 Q22011
eurMWh
Powers Nordic power price
447 469 488 479 474
0
10
20
30
40
50
60
Q22010 Q32010 Q42010 Q12011 Q22011
eurMWh
Spot price for power (market price) Urals hub
770
935817
950 954
0
200
400
600
800
1 000
1 200
Q22010 Q32010 Q42010 Q12011 Q22011
RUBMWh
Achieved power price for OAO Fortum
256288 305 292 290
0
6
12
18
24
30
36
Q22010 Q32010 Q42010 Q12011 Q22011
eurMWh
+17
+6
+24
+13
8
Q2 Good development continued
bull Comparable operating profit EUR 348 (339) million
bull Earnings per share EUR 053 (030)
bull Net cash from operating activities 410 (422) million
bull Strong financial position
9
Q2 Comparable profit at last yearrsquos level
Comparable operating profit EUR million
-6730-14 3483390
-8
PowerQ22010 Heat Russia Distribution ElectricitySales
Other Q22011
10
January-June Comparable profit at last yearrsquos level
Comparable operating profit EUR million
31
24990 997-11348
29 -12
PowerH12010 Heat Russia Distribution ElectricitySales
Other H12011
11
bull Dow Jones Sustainability Index Worldndash Fortum is the only Nordic power and heat company listed in the index
bull SAM Sustainability Yearbook 2010 and 2011bull oekombull OMX GES Sustainability Finland Indexbull Storebrand SRI
ndash Based on the assessments conducted in 2006 and 2009 Fortum was the most responsible electricity company globallybull Carbon Disclosure Project
1111
Fortum a forerunner in sustainabilityg CO2kWh electricity 2009
Average 346 gkWh
0
200
400
600
800
1000
1200
DE
I
Dra
x
RW
E
CEZ
SS
E
ED
P
Ene
l
Vat
tenf
all
EO
N
Don
g
Uni
on F
enos
a
GD
F S
UE
Z E
urop
e
Iber
drol
a
Fortu
m to
tal
ED
F
PV
O
Ver
bund
Fortu
m E
U
Sta
tkra
ft
41155
g CO2kWh electricity 2009
Average 346 gkWh
0
200
400
600
800
1000
1200
DE
I
Dra
x
RW
E
CEZ
SS
E
ED
P
Ene
l
Vat
tenf
all
EO
N
Don
g
Uni
on F
enos
a
GD
F S
UE
Z E
urop
e
Iber
drol
a
Fortu
m to
tal
ED
F
PV
O
Ver
bund
Fortu
m E
U
Sta
tkra
ft
411550
200
400
600
800
1000
1200
DE
I
Dra
x
RW
E
CEZ
SS
E
ED
P
Ene
l
Vat
tenf
all
EO
N
Don
g
Uni
on F
enos
a
GD
F S
UE
Z E
urop
e
Iber
drol
a
Fortu
m to
tal
ED
F
PV
O
Ver
bund
Fortu
m E
U
Sta
tkra
ft
41155
12
Financials
13
Comparable and reported operating profit
MEURII2011 II2010 II2011 II2010 I-II2011 I-II2010 I-II2011 I-II2010
Power 257 271 271 280 582 695 760 747Heat 25 33 25 35 196 165 290 194Russia 21 -9 21 -9 55 7 55 23Distribution 60 53 252 53 184 155 377 166Electricity Sales 10 10 23 23 21 -3 3 -6Other -25 -19 17 -31 -41 -29 24 -49Total 348 339 609 351 997 990 1 509 1 075
Comparable operating profit
Reported operating profit
Comparable operating profit
Reported operating profit
bull IFRS accounting treatment (IAS 39) of derivatives had a positive impact on the reported operating profit EUR 76 (-15) million or earnings per share EUR 007 (-001) in the second quarter and EUR 249 (21) million or earnings per share EUR 021 (002) for January-June 2011
14
Power
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 574 597 1 267 1 366 2 603
Comparable operating profit 257 271 582 695 1 185
Net Assets 5 998 5 726
Comparable RONA 198
Gross Investments 36 22 69 55 136
Q2 Power
bull Comparable operating profit decreasedndash Swedish nuclear availability back at 80-85ndash Lower hydro and nuclear volumesndash Water reservoirs improved significantly towards the
end of the quarter
15
Nuclear output in Q2
Q2 2011
Q2 2010
Nuclear Outage effect
TWh
Planned outages in Oskarshamn 1amp3 and Forsmark 1 in Q22011(In 2010 no outages in Q2)
If timing would have been similar in 2011 compared to 2010 nuclear output would have exceeded 2010 levels during Q2
Improved availability in Sweden
16
Q2 Power result declined due to several reasons
Comparable operating profit EUR million
257-3-40271 3-10
Volumeamp priceQ22010 Stronger
SEKRussianimport
Propertytaxes Other Q22011
17
Heat
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 322 301 1 047 952 1 865
Comparable operating profit 25 33 196 165 306
Net Assets 3 911 3 884
Comparable RONA 82
Gross Investments 72 59 130 121 314
Q2 Heat
bull Comparable operating profit decreasedndash Lower heat volumes in Sweden caused by
divestment during first quarterndash Integration cost provisions in Poland
18
Russiabull Comparable operating profit improved
ndash Commissioning of the new unit ndash Higher electricity market prices ndash Efficiency improvementsndash Reversal of CSA provisions related to the newly
commissioned units
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 195 169 490 413 881
Comparable operating profit 21 -9 55 7 56
Net Assets 3 051 2 690
Comparable RONA 34
Gross Investments 192 167 267 258 608
Q2 Russia
19
Distribution
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 215 200 526 480 1 009
Comparable operating profit 60 53 184 155 336
Net Assets 3 487 3 482
Comparable RONA 99
Gross Investments 62 47 96 76 233
Q2 Distribution
bull Comparable operating profit increasedndash Lower transmission costsndash Stronger SEK
bull Smart metering rollout to network customers in Finland continued
20
Markets
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 183 327 556 964 1 390
Comparable operating profit 10 10 21 -3 35
Net Assets 77 59
Comparable RONA 341
Gross Investments 1 0 4 0 4
Q2 Electricity Sales
bull Comparable operating profit at last yearrsquos levelndash Tough competitionndash Restructuring of the Business Market segment
21
MEUR II2011 II2010 I-II2011 I-II2010 2010 LTM
Sales 1 316 1 295 3 350 3 242 6 296 6 404Expenses -968 -956 -2 353 -2 252 -4 463 -4 564
Comparable operating profit 348 339 997 990 1 833 1 840
Other items affecting comparability 261 12 512 85 -125 302
Operating profit 609 351 1 509 1 075 1 708 2 142Share of profit of associates and jvs 15 15 74 31 62 105Financial expenses net -72 -34 -127 -61 -155 -221
Profit before taxes 552 332 1 456 1 045 1 615 2 026Income tax expense -74 -61 -232 -191 -261 -302
Net profit for the period 478 271 1 224 854 1 354 1 724Non-controlling interests 6 8 74 32 54 96
EPS basic (EUR) 053 030 129 093 146 183EPS diluted (EUR) 053 030 129 093 146 183
Q2 Income statement
22
Q2 Cash flow statement
MEUR II2011 II2010 I-II2011 I-II2010 2010 LTM
Operating profit before depreciations 764 490 1 813 1 351 2 271 2 733
Non-cash flow items and divesting activities -299 -6 -569 -73 124 -372
Financial items and fx gainslosses 12 -146 -290 -323 -641 -608
Taxes -144 -73 -258 -155 -355 -458
Funds from operations (FFO) 333 265 696 800 1 399 1 295
Change in working capital 77 157 168 143 38 63
Total net cash from operating activities 410 422 864 943 1 437 1 358
Paid capital expenditures -297 -263 -503 -486 -1 134 -1 151
Acquisition of shares -1 -1 -20 -1 -28 -47
Other investing activities 331 -16 541 72 60 529
Cash flow before financing activities 443 142 882 528 335 689
23
MEUR LTM 2010 2009EBITDA 2 733 2 271 2 292Comparable EBITDA 2 431 2 396 2 398Interest-bearing net debt 6 783 6 826 5 969Net debtEBITDA 25 30 26Comparable Net debtEBITDA 28 28 25
Return on capital employed () 138 116 121Return on shareholders equity () 191 157 160
) as of 30 June 2011
Key ratios
Q2 lsquo11
24
Debt maturity profile
0
250
500
750
1000
1250
1500
1750
2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021+
Bonds Financial institutions Other long-term debt CPs Other short-term debt
MEUR
2011 231
2012 668
2013 639
2014 1223
2015 1051
2016 879
2017 270
2018 190
2019 840
2020 73
2021+ 1530
per 30 June 2011 per 31 Dec 2010
Average interest rate (incl swaps and forwards) 44 35Portion of floating fixed debt 47 53 49 51
25
Strong financial position
Return on capital employed12
Return on shareholders equity14
Net debtEBITDAaround 30
138
191
28
Fortumrsquos financial targets LTM in Q22011
Good liquidity ndash committed credit lines total EUR 27 billion
Comparable net debtEBITDA
26
Outlook
27
Q2 Summary
bull Solid performance continued - seasonalitybull Power
ndash Improved nuclear availability- timing of Swedish planned nuclear outages impacted volume
ndash Swedish nuclear back at 80-85 in availabilityndash Lower hydro volumes ndash water reservoirs improved at the end of the quarterndash SEK burdenedndash Results year-end weighted compared to 2010
bull Russiandash Commissioning of new units contributed to result improvementndash The return for the new capacity is guaranteed ndash EUR 100 million efficiency improvement reached
bull Nordic countriesndash Water reservoirs improved to long-term average
bull Overall strong financial position
28
Outlook
bull Key drivers and risksndash Wholesale price of electricity
bull Demandbull Fuelsbull CO2 emissions pricesbull Water reservoirsbull Nuclear availability
bull Nordic marketsndash Market continues to recover ndash 2008 level to be reached by 2012-2014ndash Electricity continues to gain share of total energy consumption
bull Russiandash Wholesale market liberalisedndash Profits from Russia build up in pace with the capacity increases
29
Outlook
bull Capex (excluding potential acquisitions)ndash 2011-2012 around EUR 16 to 18 billion annually (mainly due to Russian
investment programme)ndash 2013-2014 around EUR 11 to 14 billion annuallyndash Disclosed divestments totalled approximately EUR 05 billion
bull Hedgingndash 2011 approximately 70 hedge ratio at approximately EUR 45MWh(Q1 70 at EUR 44MWh)ndash 2012 approximately 50 hedge ratio at approximately EUR 46MWh(Q1 45 at EUR 45MWh)
30
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007 2008 2009 2010 2011 20120
10
20
30
40
50
60
70
80
90
100
110Spot prices Forward prices
3131
CO2 -free and energy-efficient solutions important
Create solid earnings growth in Russia
Leverage the strong Nordic core
Build platform for future growth
Competence in CO2 -free hydro nuclear and energy efficient CHP production and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -Fortumrsquos strategy remains intact
32
19 July 2011
Fortum Corporation
Interim Report
January-June 2011
Disclaimer
This presentation does not constitute an invitation to underwrite subscribe for or otherwise acquire or dispose of any Fortum shares
Past performance is no guide to future performance and persons needing advice should consult an independent financial adviser
Highlights in Q2
Increased uncertainty in macro environment
GLOBAL
- Incident in Fukushima in Japan
Finland
- No new decisions-in-principle on nuclear power in four years
- The new Governmentrsquos policy framework includes a possible implementation of a windfall tax and a uranium tax
Germany
- To be replaced by renewable energy
Q2 Market conditions
Nordic water reservoirs
Source Nord Pool Spot
Q1
Q2
Q3
Q4
2003
2008
2009
2011
2010
reference level
reservoir content (TWh)
0
20
40
60
80
100
120
Price development in the Nordic region and Russia
Includes capacity income
+17
+6
+24
+13
Q2 Good development continued
Q2 Comparable profit at last yearrsquos level
Comparable operating profit EUR million
-6
7
30
-14
348
339
0
-8
Power
Q22010
Heat
Russia
Distribution
Electricity
Sales
Other
Q22011
January-June Comparable profit at last yearrsquos level
Comparable operating profit EUR million
31
24
990
997
-113
48
29
-12
Power
H12010
Heat
Russia
Distribution
Electricity
Sales
Other
H12011
Fortum a forerunner in sustainability
Financials
Comparable and reported operating profit
Power
Q2 Power
Nuclear output in Q2
Planned outages in Oskarshamn 1amp3 and Forsmark 1 in Q22011
(In 2010 no outages in Q2)
If timing would have been similar in 2011 compared to 2010 nuclear output would have exceeded 2010 levels during Q2
Improved availability in Sweden
Q2 2011
Q2 2010
Nuclear
Outage effect
TWh
Q2 Power result declined due to several reasons
Comparable operating profit EUR million
257
-3
-4
0
271
3
-10
Volume
amp price
Q22010
Stronger
SEK
Russian
import
Property
taxes
Other
Q22011
Heat
Q2 Heat
Russia
Q2 Russia
Distribution
Q2 Distribution
Markets
Q2 Electricity Sales
Q2 Income statement
Q2 Cash flow statement
Key ratios
Q2 lsquo11
Debt maturity profile
per 30 June 2011 per 31 Dec 2010
Average interest rate (incl swaps and forwards)4435
Portion of floating fixed debt 47 53 49 51
Strong financial position
Return on capital employed
12
Return on shareholders equity
14
Net debtEBITDA
around 30
138
191
28
Fortumrsquos financial targets
LTM in Q22011
Good liquidity ndash committed credit lines total EUR 27 billion
Comparable net debtEBITDA
Outlook
Q2 Summary
Outlook
Outlook
(Q1 70 at EUR 44MWh)
(Q1 45 at EUR 45MWh)
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007
2008
2009
2010
2011
2012
0
10
20
30
40
50
60
70
80
90
100
110
Spot prices
Forward prices
CO2-free and energy-efficient solutions important
Create solid earnings
growth in Russia
Leverage the strong
Nordic core
Build platform for
future growth
Competence in CO2-free hydro nuclear and energy efficient CHP production
and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -
Fortumrsquos strategy remains intact
MEURII2011II2010I-II2011I-II2010LTM
Sales1833275569641 390
Comparable operating profit101021-335
Net Assets7759
Comparable RONA 341
Gross Investments10404
MEURII2011II2010I-II2011I-II2010LTM
Sales2152005264801 009
Comparable operating profit6053184155336
Net Assets3 4873 482
Comparable RONA 99
Gross Investments62479676233
0
250
500
750
1000
1250
1500
1750
20112012201320142015201620172018201920202021+
BondsFinancial institutionsOther long-term debtCPsOther short-term debt
MEURII2011II2010I-II2011I-II2010LTM
Sales195169490413881
Comparable operating profit21-955756
Net Assets3 0512 690
Comparable RONA 34
Gross Investments192167267258608
MEURII2011II2010I-II2011I-II2010LTM
Sales5745971 2671 3662 603
Comparable operating profit2572715826951 185
Net Assets5 9985 726
Comparable RONA 198
Gross Investments36226955136
MEURII2011II2010I-II2011I-II20102010LTM
Sales1 316
1 2953 3503 2426 296
6 404
Expenses-968-956-2 353-2 252-4 463-4 564
Comparable operating profit3483399979901 8331 840
Other items affecting comparability2611251285-125302
Operating profit6093511 5091 0751 7082 142
Share of profit of associates and jvs1515743162105
Financial expenses net-72-34-127-61-155-221
Profit before taxes5523321 4561 0451 6152 026
Income tax expense-74-61-232-191-261-302
Net profit for the period4782711 2248541 3541 724
Non-controlling interests6874325496
EPS basic (EUR)053030129093146183
EPS diluted (EUR)053030129093146183
Spot price for power in NordPool power exchange
448
459
662
523
621
0
12
24
36
48
60
72
Q22010Q32010Q42010Q12011Q22011
eurMWh
Powers Nordic power price
447
469
488
479
474
0
10
20
30
40
50
60
Q22010Q32010Q42010Q12011Q22011
eurMWh
MEURII2011II2010I-II2011I-II20102010LTM
Operating profit before depreciations7644901 8131 3512 2712 733
Non-cash flow items and divesting activities
-299-6-569-73124-372
Financial items and fx gainslosses
12-146-290-323-641-608
Taxes
-144-73-258-155-355-458
Funds from operations (FFO)
3332656968001 3991 295
Change in working capital
771571681433863
Total net cash from operating activities4104228649431 4371 358
Paid capital expenditures-297-263-503-486-1 134-1 151
Acquisition of shares-1-1-20-1-28-47
Other investing activities331-165417260529
Cash flow before financing activities443142882528335689
MEURII2011II2010I-II2011I-II2010LTM
Sales3223011 0479521 865
Comparable operating profit2533196165306
Net Assets3 9113 884
Comparable RONA 82
Gross Investments7259130121314
MEUR
II2011II2010II2011II2010I-II2011I-II2010I-II2011I-II2010
Power257271271280582695760747
Heat25332535196165290194
Russia21-921-95575523
Distribution605325253184155377166
Electricity Sales1010232321-33-6
Other-25-1917-31-41-2924-49
Total3483396093519979901 5091 075
Comparable operating profit
Reported operating profit
Comparable operating profit
Reported operating profit
Spot price for power (market price) Urals hub
770
935
817
950
954
0
200
400
600
800
1 000
1 200
Q22010Q32010Q42010Q12011Q22011
RUBMWh
Achieved power price for OAO Fortum
256
288
305
292
290
0
6
12
18
24
30
36
Q22010Q32010Q42010Q12011Q22011
eurMWh
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
MEURLTM20102009
EBITDA2 7332 2712 292
Comparable EBITDA2 4312 3962 398
Interest-bearing net debt6 7836 8265 969
Net debtEBITDA253026
Comparable Net debtEBITDA282825
Return on capital employed ()138116121
Return on shareholders equity ()191157160
) as of 30 June 2011
MEUR | |||
2011 | 231 | ||
2012 | 668 | ||
2013 | 639 | ||
2014 | 1223 | ||
2015 | 1051 | ||
2016 | 879 | ||
2017 | 270 | ||
2018 | 190 | ||
2019 | 840 | ||
2020 | 73 | ||
2021+ | 1530 |
MEUR | LTM | 2010 | 2009 | 2008 | 2006 | 2005 | |||||||
EBITDA | 2733 | 2271 | 2292 | 2478 | 1884 | ||||||||
Comparable EBITDA | 2431 | 2396 | 2398 | 1151 | 1271 | ||||||||
Interest-bearing net debt | 6 783 | 6826 | 5969 | 6179 | 4345 | 3158 | |||||||
Net debtEBITDA | 25 | 30 | 26 | 25 | 8161 | ||||||||
Comparable Net debtEBITDA | 28 | 28 | 25 | 16839 | 15130 | ||||||||
23 | 18 | ||||||||||||
Return on capital employed () | 138 | 116 | 121 | 150 | 134 | 135 | |||||||
Return on shareholders equity () | 191 | 157 | 160 | 187 | 144 | 135 | |||||||
) as of 30 June 2011 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | |||||||||||
Operating profit before depreciations | 764 | 490 | 1813 | 1351 | 2271 | 2733 | 2478 | 1663 | 2370 | 0 | |||||||||||
Non-cash flow items and divesting activities | -299 | -6 | -569 | -73 | 124 | -372 | -275 | -268 | -56 | 0 | |||||||||||
Financial items and fx gainslosses | 12 | -146 | -290 | -323 | -641 | -608 | 233 | ||||||||||||||
Taxes | -144 | -73 | -258 | -155 | -355 | -458 | -332 | -231 | -534 | 0 | |||||||||||
Funds from operations (FFO) | 333 | 265 | 696 | 800 | 1399 | 1295 | 2104 | 1164 | 1780 | 0 | |||||||||||
Change in working capital | 77 | 157 | 168 | 143 | 38 | 63 | -102 | 161 | 5 | 0 | |||||||||||
Total net cash from operating activities | 410 | 422 | 864 | 943 | 1437 | 1358 | 2002 | 1325 | 1785 | 0 | |||||||||||
Paid capital expenditures | -297 | -263 | -503 | -486 | -1134 | -1151 | -1018 | -341 | -931 | 0 | |||||||||||
Acquisition of shares | -1 | -1 | -20 | -1 | -28 | -47 | -1243 | -257 | -1243 | 0 | |||||||||||
Other investing activities | 331 | -16 | 541 | 72 | 60 | 529 | -21 | 258 | -34 | 0 | |||||||||||
Cash flow before financing activities | 443 | 142 | 882 | 528 | 335 | 689 | -280 | 985 | -423 | 0 |
MEUR | Q1-Q300 | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | 2004 | ||||||||||||||||||
Sales | 7732 | 1316 | 1295 | 3350 | 3242 | 6296 | 6404 | 5636 | 3159 | 5354 | 0 | 3835 | ||||||||||||||||||
Expenses | -7109 | -968 | -956 | -2353 | -2252 | -4463 | -4564 | -3673 | -1832 | -3482 | 0 | -2640 | ||||||||||||||||||
Comparable operating profit | 623 | 348 | 339 | 997 | 990 | 1833 | 1840 | 1963 | 1327 | 1872 | 0 | 1195 | ||||||||||||||||||
Other items affecting comparability | 261 | 12 | 512 | 85 | -125 | 302 | ||||||||||||||||||||||||
Operating profit | 609 | 351 | 1509 | 1075 | 1708 | 2142 | ||||||||||||||||||||||||
Share of profit of associates and jvs | 15 | 15 | 74 | 31 | 62 | 105 | 126 | 223 | 96 | 0 | 12 | |||||||||||||||||||
Financial expenses net | -209 | -72 | -34 | -127 | -61 | -155 | -221 | -239 | -117 | -222 | 0 | -245 | ||||||||||||||||||
Profit before taxes | 0 | 552 | 332 | 1456 | 1045 | 1615 | 2026 | 1850 | 1433 | 1746 | 0 | 0 | ||||||||||||||||||
Income tax expense | -83 | -74 | -61 | -232 | -191 | -261 | -302 | -254 | -218 | -364 | 0 | -259 | ||||||||||||||||||
Net profit for the period | -26 | 478 | 271 | 1224 | 854 | 1354 | 1724 | 1596 | 1215 | 1382 | 0 | 0 | ||||||||||||||||||
Non-controlling interests | 6 | 8 | 74 | 32 | 54 | 96 | 54 | 31 | 35 | 0 | 33 | |||||||||||||||||||
EPS basic (EUR) | 039 | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 148 | ||||||||||||||||||
EPS diluted (EUR) | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 079 | |||||||||||||||||||
069 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 183 | 327 | 556 | 964 | 1390 | |||||||
Comparable operating profit | 10 | 10 | 21 | -3 | 35 | |||||||
Net Assets | 77 | 59 | ||||||||||
Comparable RONA | 341 | |||||||||||
Gross Investments | 1 | 0 | 4 | 0 | 4 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 215 | 200 | 526 | 480 | 1009 | |||||||
Comparable operating profit | 60 | 53 | 184 | 155 | 336 | |||||||
Net Assets | 3487 | 3482 | ||||||||||
Comparable RONA | 99 | |||||||||||
Gross Investments | 62 | 47 | 96 | 76 | 233 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 195 | 169 | 490 | 413 | 881 | |||||||
Comparable operating profit | 21 | -9 | 55 | 7 | 56 | |||||||
Net Assets | 3051 | 2690 | ||||||||||
Comparable RONA | 34 | |||||||||||
Gross Investments | 192 | 167 | 267 | 258 | 608 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 322 | 301 | 1047 | 952 | 1865 | |||||||
Comparable operating profit | 25 | 33 | 196 | 165 | 306 | |||||||
Net Assets | 3911 | 3884 | ||||||||||
Comparable RONA | 82 | |||||||||||
Gross Investments | 72 | 59 | 130 | 121 | 314 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 574 | 597 | 1267 | 1366 | 2603 | |||||||
Comparable operating profit | 257 | 271 | 582 | 695 | 1185 | |||||||
Net Assets | 5998 | 5726 | ||||||||||
Comparable RONA | 198 | |||||||||||
Gross Investments | 36 | 22 | 69 | 55 | 136 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Roumlrelseresultat II2009 | Roumlrelseresultat II2008 | Liikevoitto 2008 | Liikevoitto 2007 | |||||||||||||||||||||||
Jaumlmfoumlrbart | Rapporterat | Jaumlmfoumlrbart | Rapporterat | Vertkelp | Raportoitu | Vertkelp | Raportoitu | |||||||||||||||||||
Kraftproduktion | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Vaumlrme | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Markets | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Ryssland | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Oumlvrigt | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Summa | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Liikevoitto II2010 | Liikevoitto II2009 | Liikevoitto I-II2010 | Liikevoitto I-II2009 | |||||||||||||||||||||||
Vertkelp | Raportoitu | Vertkelp | Raportoitu | Vertkelp | Raportoitu | Vertkelp | Raportoitu | |||||||||||||||||||
Power | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Heat | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Saumlhkoumlnmyynti | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Russia | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Muut | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Yhteensauml | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 | ||||||||||||||||||
I-III2009 | ||||||||||||||||||||||||||
SEK | Muut | Yhteensauml | ||||||||||||||||||||||||
Saumlhkoumlntuotanto | -67 | -3 | -70 | |||||||||||||||||||||||
Laumlmpouml | -10 | -2 | -12 | |||||||||||||||||||||||
Saumlhkoumlnsiirto | -13 | -1 | -14 | |||||||||||||||||||||||
Markets | -1 | -1 | -2 | |||||||||||||||||||||||
Venaumljauml | 0 | 6 | 6 | |||||||||||||||||||||||
Muu | 0 | 1 | 1 | |||||||||||||||||||||||
Yhteensauml | -91 | 0 | -91 |
Operating profit II2010 | Operating profit II2009 | Operating profit I-II2010 | Operating profit I-2009 | |||||||||||||||||||||||
Comparable | Reported | Comparable | Reported | Comparable | Reported | Comparable | Reported | |||||||||||||||||||
Power | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Heat | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Electricity Sales | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Russia | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Other | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Total | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 | ||||||||||||||||||
Currency translation effects on comparable operating profit | ||||||||||||||||||||||||||
I2009 | I-III2009 | |||||||||||||||||||||||||
SEK | Other | Total | SEK | Other | Total | |||||||||||||||||||||
Power Generation | -55 | -3 | -58 | Power Generation | -67 | -3 | -70 | |||||||||||||||||||
Heat | -12 | -3 | -15 | Heat | -10 | -2 | -12 | |||||||||||||||||||
Distribution | -11 | -1 | -12 | Distribution | -13 | -1 | -14 | |||||||||||||||||||
Markets | -1 | 0 | -1 | Markets | -1 | -1 | -2 | |||||||||||||||||||
Russia | 0 | 1 | 1 | Russia | 0 | 6 | 6 | |||||||||||||||||||
Other | 1 | 0 | 1 | Other | 0 | 1 | 1 | |||||||||||||||||||
Total | -78 | -6 | -84 | Total | -91 | 0 | -91 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Vertkelpliikevoitto | Raportoitu liikevoitto | Vertkelpliikevoitto | Raportoitu liikevoitto | |||||||||||||||||||||||
II2010 | II2009 | II2010 | II2009 | I-II2010 | I-II2009 | I-II2010 | I-II2009 | |||||||||||||||||||
Power | 257 | 271 | 271 | 280 | 582 | 695 | 760 | 747 | ||||||||||||||||||
Heat | 25 | 33 | 25 | 35 | 196 | 165 | 290 | 194 | ||||||||||||||||||
Distribution | 21 | -9 | 21 | -9 | 55 | 7 | 55 | 23 | ||||||||||||||||||
Saumlhkoumlnmyynti | 60 | 53 | 252 | 53 | 184 | 155 | 377 | 166 | ||||||||||||||||||
Russia | 10 | 10 | 23 | 23 | 21 | -3 | 3 | -6 | ||||||||||||||||||
Muut | -25 | -19 | 17 | -31 | -41 | -29 | 24 | -49 | ||||||||||||||||||
Yhteensauml | 348 | 339 | 609 | 351 | 997 | 990 | 1509 | 1075 | ||||||||||||||||||
I-III2009 | ||||||||||||||||||||||||||
SEK | Muut | Yhteensauml | ||||||||||||||||||||||||
Saumlhkoumlntuotanto | -67 | -3 | -70 | |||||||||||||||||||||||
Laumlmpouml | -10 | -2 | -12 | |||||||||||||||||||||||
Saumlhkoumlnsiirto | -13 | -1 | -14 | |||||||||||||||||||||||
Markets | -1 | -1 | -2 | |||||||||||||||||||||||
Venaumljauml | 0 | 6 | 6 | |||||||||||||||||||||||
Muu | 0 | 1 | 1 | |||||||||||||||||||||||
Yhteensauml | -91 | 0 | -91 |
MEUR | Comparable operating profit | Reported operating profit | Comparable operating profit | Reported operating profit | ||||||||||||||||||||||
II2011 | II2010 | II2011 | II2010 | I-II2011 | I-II2010 | I-II2011 | I-II2010 | |||||||||||||||||||
Power | 257 | 271 | 271 | 280 | 582 | 695 | 760 | 747 | ||||||||||||||||||
Heat | 25 | 33 | 25 | 35 | 196 | 165 | 290 | 194 | ||||||||||||||||||
Russia | 21 | -9 | 21 | -9 | 55 | 7 | 55 | 23 | ||||||||||||||||||
Distribution | 60 | 53 | 252 | 53 | 184 | 155 | 377 | 166 | ||||||||||||||||||
Electricity Sales | 10 | 10 | 23 | 23 | 21 | -3 | 3 | -6 | ||||||||||||||||||
Other | -25 | -19 | 17 | -31 | -41 | -29 | 24 | -49 | ||||||||||||||||||
Total | 348 | 339 | 609 | 351 | 997 | 990 | 1509 | 1075 | ||||||||||||||||||
Currency translation effects on comparable operating profit | ||||||||||||||||||||||||||
I2009 | I-III2009 | |||||||||||||||||||||||||
SEK | Other | Total | SEK | Other | Total | |||||||||||||||||||||
Power Generation | -55 | -3 | -58 | Power Generation | -67 | -3 | -70 | |||||||||||||||||||
Heat | -12 | -3 | -15 | Heat | -10 | -2 | -12 | |||||||||||||||||||
Distribution | -11 | -1 | -12 | Distribution | -13 | -1 | -14 | |||||||||||||||||||
Markets | -1 | 0 | -1 | Markets | -1 | -1 | -2 | |||||||||||||||||||
Russia | 0 | 1 | 1 | Russia | 0 | 6 | 6 | |||||||||||||||||||
Other | 1 | 0 | 1 | Other | 0 | 1 | 1 | |||||||||||||||||||
Total | -78 | -6 | -84 | Total | -91 | 0 | -91 |
7
Price development in the Nordic region and Russia
Includes capacity income
Spot price for power in NordPool power exchange
448 459
662
523621
0
12
24
36
48
60
72
Q22010 Q32010 Q42010 Q12011 Q22011
eurMWh
Powers Nordic power price
447 469 488 479 474
0
10
20
30
40
50
60
Q22010 Q32010 Q42010 Q12011 Q22011
eurMWh
Spot price for power (market price) Urals hub
770
935817
950 954
0
200
400
600
800
1 000
1 200
Q22010 Q32010 Q42010 Q12011 Q22011
RUBMWh
Achieved power price for OAO Fortum
256288 305 292 290
0
6
12
18
24
30
36
Q22010 Q32010 Q42010 Q12011 Q22011
eurMWh
+17
+6
+24
+13
8
Q2 Good development continued
bull Comparable operating profit EUR 348 (339) million
bull Earnings per share EUR 053 (030)
bull Net cash from operating activities 410 (422) million
bull Strong financial position
9
Q2 Comparable profit at last yearrsquos level
Comparable operating profit EUR million
-6730-14 3483390
-8
PowerQ22010 Heat Russia Distribution ElectricitySales
Other Q22011
10
January-June Comparable profit at last yearrsquos level
Comparable operating profit EUR million
31
24990 997-11348
29 -12
PowerH12010 Heat Russia Distribution ElectricitySales
Other H12011
11
bull Dow Jones Sustainability Index Worldndash Fortum is the only Nordic power and heat company listed in the index
bull SAM Sustainability Yearbook 2010 and 2011bull oekombull OMX GES Sustainability Finland Indexbull Storebrand SRI
ndash Based on the assessments conducted in 2006 and 2009 Fortum was the most responsible electricity company globallybull Carbon Disclosure Project
1111
Fortum a forerunner in sustainabilityg CO2kWh electricity 2009
Average 346 gkWh
0
200
400
600
800
1000
1200
DE
I
Dra
x
RW
E
CEZ
SS
E
ED
P
Ene
l
Vat
tenf
all
EO
N
Don
g
Uni
on F
enos
a
GD
F S
UE
Z E
urop
e
Iber
drol
a
Fortu
m to
tal
ED
F
PV
O
Ver
bund
Fortu
m E
U
Sta
tkra
ft
41155
g CO2kWh electricity 2009
Average 346 gkWh
0
200
400
600
800
1000
1200
DE
I
Dra
x
RW
E
CEZ
SS
E
ED
P
Ene
l
Vat
tenf
all
EO
N
Don
g
Uni
on F
enos
a
GD
F S
UE
Z E
urop
e
Iber
drol
a
Fortu
m to
tal
ED
F
PV
O
Ver
bund
Fortu
m E
U
Sta
tkra
ft
411550
200
400
600
800
1000
1200
DE
I
Dra
x
RW
E
CEZ
SS
E
ED
P
Ene
l
Vat
tenf
all
EO
N
Don
g
Uni
on F
enos
a
GD
F S
UE
Z E
urop
e
Iber
drol
a
Fortu
m to
tal
ED
F
PV
O
Ver
bund
Fortu
m E
U
Sta
tkra
ft
41155
12
Financials
13
Comparable and reported operating profit
MEURII2011 II2010 II2011 II2010 I-II2011 I-II2010 I-II2011 I-II2010
Power 257 271 271 280 582 695 760 747Heat 25 33 25 35 196 165 290 194Russia 21 -9 21 -9 55 7 55 23Distribution 60 53 252 53 184 155 377 166Electricity Sales 10 10 23 23 21 -3 3 -6Other -25 -19 17 -31 -41 -29 24 -49Total 348 339 609 351 997 990 1 509 1 075
Comparable operating profit
Reported operating profit
Comparable operating profit
Reported operating profit
bull IFRS accounting treatment (IAS 39) of derivatives had a positive impact on the reported operating profit EUR 76 (-15) million or earnings per share EUR 007 (-001) in the second quarter and EUR 249 (21) million or earnings per share EUR 021 (002) for January-June 2011
14
Power
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 574 597 1 267 1 366 2 603
Comparable operating profit 257 271 582 695 1 185
Net Assets 5 998 5 726
Comparable RONA 198
Gross Investments 36 22 69 55 136
Q2 Power
bull Comparable operating profit decreasedndash Swedish nuclear availability back at 80-85ndash Lower hydro and nuclear volumesndash Water reservoirs improved significantly towards the
end of the quarter
15
Nuclear output in Q2
Q2 2011
Q2 2010
Nuclear Outage effect
TWh
Planned outages in Oskarshamn 1amp3 and Forsmark 1 in Q22011(In 2010 no outages in Q2)
If timing would have been similar in 2011 compared to 2010 nuclear output would have exceeded 2010 levels during Q2
Improved availability in Sweden
16
Q2 Power result declined due to several reasons
Comparable operating profit EUR million
257-3-40271 3-10
Volumeamp priceQ22010 Stronger
SEKRussianimport
Propertytaxes Other Q22011
17
Heat
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 322 301 1 047 952 1 865
Comparable operating profit 25 33 196 165 306
Net Assets 3 911 3 884
Comparable RONA 82
Gross Investments 72 59 130 121 314
Q2 Heat
bull Comparable operating profit decreasedndash Lower heat volumes in Sweden caused by
divestment during first quarterndash Integration cost provisions in Poland
18
Russiabull Comparable operating profit improved
ndash Commissioning of the new unit ndash Higher electricity market prices ndash Efficiency improvementsndash Reversal of CSA provisions related to the newly
commissioned units
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 195 169 490 413 881
Comparable operating profit 21 -9 55 7 56
Net Assets 3 051 2 690
Comparable RONA 34
Gross Investments 192 167 267 258 608
Q2 Russia
19
Distribution
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 215 200 526 480 1 009
Comparable operating profit 60 53 184 155 336
Net Assets 3 487 3 482
Comparable RONA 99
Gross Investments 62 47 96 76 233
Q2 Distribution
bull Comparable operating profit increasedndash Lower transmission costsndash Stronger SEK
bull Smart metering rollout to network customers in Finland continued
20
Markets
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 183 327 556 964 1 390
Comparable operating profit 10 10 21 -3 35
Net Assets 77 59
Comparable RONA 341
Gross Investments 1 0 4 0 4
Q2 Electricity Sales
bull Comparable operating profit at last yearrsquos levelndash Tough competitionndash Restructuring of the Business Market segment
21
MEUR II2011 II2010 I-II2011 I-II2010 2010 LTM
Sales 1 316 1 295 3 350 3 242 6 296 6 404Expenses -968 -956 -2 353 -2 252 -4 463 -4 564
Comparable operating profit 348 339 997 990 1 833 1 840
Other items affecting comparability 261 12 512 85 -125 302
Operating profit 609 351 1 509 1 075 1 708 2 142Share of profit of associates and jvs 15 15 74 31 62 105Financial expenses net -72 -34 -127 -61 -155 -221
Profit before taxes 552 332 1 456 1 045 1 615 2 026Income tax expense -74 -61 -232 -191 -261 -302
Net profit for the period 478 271 1 224 854 1 354 1 724Non-controlling interests 6 8 74 32 54 96
EPS basic (EUR) 053 030 129 093 146 183EPS diluted (EUR) 053 030 129 093 146 183
Q2 Income statement
22
Q2 Cash flow statement
MEUR II2011 II2010 I-II2011 I-II2010 2010 LTM
Operating profit before depreciations 764 490 1 813 1 351 2 271 2 733
Non-cash flow items and divesting activities -299 -6 -569 -73 124 -372
Financial items and fx gainslosses 12 -146 -290 -323 -641 -608
Taxes -144 -73 -258 -155 -355 -458
Funds from operations (FFO) 333 265 696 800 1 399 1 295
Change in working capital 77 157 168 143 38 63
Total net cash from operating activities 410 422 864 943 1 437 1 358
Paid capital expenditures -297 -263 -503 -486 -1 134 -1 151
Acquisition of shares -1 -1 -20 -1 -28 -47
Other investing activities 331 -16 541 72 60 529
Cash flow before financing activities 443 142 882 528 335 689
23
MEUR LTM 2010 2009EBITDA 2 733 2 271 2 292Comparable EBITDA 2 431 2 396 2 398Interest-bearing net debt 6 783 6 826 5 969Net debtEBITDA 25 30 26Comparable Net debtEBITDA 28 28 25
Return on capital employed () 138 116 121Return on shareholders equity () 191 157 160
) as of 30 June 2011
Key ratios
Q2 lsquo11
24
Debt maturity profile
0
250
500
750
1000
1250
1500
1750
2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021+
Bonds Financial institutions Other long-term debt CPs Other short-term debt
MEUR
2011 231
2012 668
2013 639
2014 1223
2015 1051
2016 879
2017 270
2018 190
2019 840
2020 73
2021+ 1530
per 30 June 2011 per 31 Dec 2010
Average interest rate (incl swaps and forwards) 44 35Portion of floating fixed debt 47 53 49 51
25
Strong financial position
Return on capital employed12
Return on shareholders equity14
Net debtEBITDAaround 30
138
191
28
Fortumrsquos financial targets LTM in Q22011
Good liquidity ndash committed credit lines total EUR 27 billion
Comparable net debtEBITDA
26
Outlook
27
Q2 Summary
bull Solid performance continued - seasonalitybull Power
ndash Improved nuclear availability- timing of Swedish planned nuclear outages impacted volume
ndash Swedish nuclear back at 80-85 in availabilityndash Lower hydro volumes ndash water reservoirs improved at the end of the quarterndash SEK burdenedndash Results year-end weighted compared to 2010
bull Russiandash Commissioning of new units contributed to result improvementndash The return for the new capacity is guaranteed ndash EUR 100 million efficiency improvement reached
bull Nordic countriesndash Water reservoirs improved to long-term average
bull Overall strong financial position
28
Outlook
bull Key drivers and risksndash Wholesale price of electricity
bull Demandbull Fuelsbull CO2 emissions pricesbull Water reservoirsbull Nuclear availability
bull Nordic marketsndash Market continues to recover ndash 2008 level to be reached by 2012-2014ndash Electricity continues to gain share of total energy consumption
bull Russiandash Wholesale market liberalisedndash Profits from Russia build up in pace with the capacity increases
29
Outlook
bull Capex (excluding potential acquisitions)ndash 2011-2012 around EUR 16 to 18 billion annually (mainly due to Russian
investment programme)ndash 2013-2014 around EUR 11 to 14 billion annuallyndash Disclosed divestments totalled approximately EUR 05 billion
bull Hedgingndash 2011 approximately 70 hedge ratio at approximately EUR 45MWh(Q1 70 at EUR 44MWh)ndash 2012 approximately 50 hedge ratio at approximately EUR 46MWh(Q1 45 at EUR 45MWh)
30
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007 2008 2009 2010 2011 20120
10
20
30
40
50
60
70
80
90
100
110Spot prices Forward prices
3131
CO2 -free and energy-efficient solutions important
Create solid earnings growth in Russia
Leverage the strong Nordic core
Build platform for future growth
Competence in CO2 -free hydro nuclear and energy efficient CHP production and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -Fortumrsquos strategy remains intact
32
19 July 2011
Fortum Corporation
Interim Report
January-June 2011
Disclaimer
This presentation does not constitute an invitation to underwrite subscribe for or otherwise acquire or dispose of any Fortum shares
Past performance is no guide to future performance and persons needing advice should consult an independent financial adviser
Highlights in Q2
Increased uncertainty in macro environment
GLOBAL
- Incident in Fukushima in Japan
Finland
- No new decisions-in-principle on nuclear power in four years
- The new Governmentrsquos policy framework includes a possible implementation of a windfall tax and a uranium tax
Germany
- To be replaced by renewable energy
Q2 Market conditions
Nordic water reservoirs
Source Nord Pool Spot
Q1
Q2
Q3
Q4
2003
2008
2009
2011
2010
reference level
reservoir content (TWh)
0
20
40
60
80
100
120
Price development in the Nordic region and Russia
Includes capacity income
+17
+6
+24
+13
Q2 Good development continued
Q2 Comparable profit at last yearrsquos level
Comparable operating profit EUR million
-6
7
30
-14
348
339
0
-8
Power
Q22010
Heat
Russia
Distribution
Electricity
Sales
Other
Q22011
January-June Comparable profit at last yearrsquos level
Comparable operating profit EUR million
31
24
990
997
-113
48
29
-12
Power
H12010
Heat
Russia
Distribution
Electricity
Sales
Other
H12011
Fortum a forerunner in sustainability
Financials
Comparable and reported operating profit
Power
Q2 Power
Nuclear output in Q2
Planned outages in Oskarshamn 1amp3 and Forsmark 1 in Q22011
(In 2010 no outages in Q2)
If timing would have been similar in 2011 compared to 2010 nuclear output would have exceeded 2010 levels during Q2
Improved availability in Sweden
Q2 2011
Q2 2010
Nuclear
Outage effect
TWh
Q2 Power result declined due to several reasons
Comparable operating profit EUR million
257
-3
-4
0
271
3
-10
Volume
amp price
Q22010
Stronger
SEK
Russian
import
Property
taxes
Other
Q22011
Heat
Q2 Heat
Russia
Q2 Russia
Distribution
Q2 Distribution
Markets
Q2 Electricity Sales
Q2 Income statement
Q2 Cash flow statement
Key ratios
Q2 lsquo11
Debt maturity profile
per 30 June 2011 per 31 Dec 2010
Average interest rate (incl swaps and forwards)4435
Portion of floating fixed debt 47 53 49 51
Strong financial position
Return on capital employed
12
Return on shareholders equity
14
Net debtEBITDA
around 30
138
191
28
Fortumrsquos financial targets
LTM in Q22011
Good liquidity ndash committed credit lines total EUR 27 billion
Comparable net debtEBITDA
Outlook
Q2 Summary
Outlook
Outlook
(Q1 70 at EUR 44MWh)
(Q1 45 at EUR 45MWh)
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007
2008
2009
2010
2011
2012
0
10
20
30
40
50
60
70
80
90
100
110
Spot prices
Forward prices
CO2-free and energy-efficient solutions important
Create solid earnings
growth in Russia
Leverage the strong
Nordic core
Build platform for
future growth
Competence in CO2-free hydro nuclear and energy efficient CHP production
and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -
Fortumrsquos strategy remains intact
MEURII2011II2010I-II2011I-II2010LTM
Sales1833275569641 390
Comparable operating profit101021-335
Net Assets7759
Comparable RONA 341
Gross Investments10404
MEURII2011II2010I-II2011I-II2010LTM
Sales2152005264801 009
Comparable operating profit6053184155336
Net Assets3 4873 482
Comparable RONA 99
Gross Investments62479676233
0
250
500
750
1000
1250
1500
1750
20112012201320142015201620172018201920202021+
BondsFinancial institutionsOther long-term debtCPsOther short-term debt
MEURII2011II2010I-II2011I-II2010LTM
Sales195169490413881
Comparable operating profit21-955756
Net Assets3 0512 690
Comparable RONA 34
Gross Investments192167267258608
MEURII2011II2010I-II2011I-II2010LTM
Sales5745971 2671 3662 603
Comparable operating profit2572715826951 185
Net Assets5 9985 726
Comparable RONA 198
Gross Investments36226955136
MEURII2011II2010I-II2011I-II20102010LTM
Sales1 316
1 2953 3503 2426 296
6 404
Expenses-968-956-2 353-2 252-4 463-4 564
Comparable operating profit3483399979901 8331 840
Other items affecting comparability2611251285-125302
Operating profit6093511 5091 0751 7082 142
Share of profit of associates and jvs1515743162105
Financial expenses net-72-34-127-61-155-221
Profit before taxes5523321 4561 0451 6152 026
Income tax expense-74-61-232-191-261-302
Net profit for the period4782711 2248541 3541 724
Non-controlling interests6874325496
EPS basic (EUR)053030129093146183
EPS diluted (EUR)053030129093146183
Spot price for power in NordPool power exchange
448
459
662
523
621
0
12
24
36
48
60
72
Q22010Q32010Q42010Q12011Q22011
eurMWh
Powers Nordic power price
447
469
488
479
474
0
10
20
30
40
50
60
Q22010Q32010Q42010Q12011Q22011
eurMWh
MEURII2011II2010I-II2011I-II20102010LTM
Operating profit before depreciations7644901 8131 3512 2712 733
Non-cash flow items and divesting activities
-299-6-569-73124-372
Financial items and fx gainslosses
12-146-290-323-641-608
Taxes
-144-73-258-155-355-458
Funds from operations (FFO)
3332656968001 3991 295
Change in working capital
771571681433863
Total net cash from operating activities4104228649431 4371 358
Paid capital expenditures-297-263-503-486-1 134-1 151
Acquisition of shares-1-1-20-1-28-47
Other investing activities331-165417260529
Cash flow before financing activities443142882528335689
MEURII2011II2010I-II2011I-II2010LTM
Sales3223011 0479521 865
Comparable operating profit2533196165306
Net Assets3 9113 884
Comparable RONA 82
Gross Investments7259130121314
MEUR
II2011II2010II2011II2010I-II2011I-II2010I-II2011I-II2010
Power257271271280582695760747
Heat25332535196165290194
Russia21-921-95575523
Distribution605325253184155377166
Electricity Sales1010232321-33-6
Other-25-1917-31-41-2924-49
Total3483396093519979901 5091 075
Comparable operating profit
Reported operating profit
Comparable operating profit
Reported operating profit
Spot price for power (market price) Urals hub
770
935
817
950
954
0
200
400
600
800
1 000
1 200
Q22010Q32010Q42010Q12011Q22011
RUBMWh
Achieved power price for OAO Fortum
256
288
305
292
290
0
6
12
18
24
30
36
Q22010Q32010Q42010Q12011Q22011
eurMWh
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
MEURLTM20102009
EBITDA2 7332 2712 292
Comparable EBITDA2 4312 3962 398
Interest-bearing net debt6 7836 8265 969
Net debtEBITDA253026
Comparable Net debtEBITDA282825
Return on capital employed ()138116121
Return on shareholders equity ()191157160
) as of 30 June 2011
MEUR | |||
2011 | 231 | ||
2012 | 668 | ||
2013 | 639 | ||
2014 | 1223 | ||
2015 | 1051 | ||
2016 | 879 | ||
2017 | 270 | ||
2018 | 190 | ||
2019 | 840 | ||
2020 | 73 | ||
2021+ | 1530 |
MEUR | LTM | 2010 | 2009 | 2008 | 2006 | 2005 | |||||||
EBITDA | 2733 | 2271 | 2292 | 2478 | 1884 | ||||||||
Comparable EBITDA | 2431 | 2396 | 2398 | 1151 | 1271 | ||||||||
Interest-bearing net debt | 6 783 | 6826 | 5969 | 6179 | 4345 | 3158 | |||||||
Net debtEBITDA | 25 | 30 | 26 | 25 | 8161 | ||||||||
Comparable Net debtEBITDA | 28 | 28 | 25 | 16839 | 15130 | ||||||||
23 | 18 | ||||||||||||
Return on capital employed () | 138 | 116 | 121 | 150 | 134 | 135 | |||||||
Return on shareholders equity () | 191 | 157 | 160 | 187 | 144 | 135 | |||||||
) as of 30 June 2011 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | |||||||||||
Operating profit before depreciations | 764 | 490 | 1813 | 1351 | 2271 | 2733 | 2478 | 1663 | 2370 | 0 | |||||||||||
Non-cash flow items and divesting activities | -299 | -6 | -569 | -73 | 124 | -372 | -275 | -268 | -56 | 0 | |||||||||||
Financial items and fx gainslosses | 12 | -146 | -290 | -323 | -641 | -608 | 233 | ||||||||||||||
Taxes | -144 | -73 | -258 | -155 | -355 | -458 | -332 | -231 | -534 | 0 | |||||||||||
Funds from operations (FFO) | 333 | 265 | 696 | 800 | 1399 | 1295 | 2104 | 1164 | 1780 | 0 | |||||||||||
Change in working capital | 77 | 157 | 168 | 143 | 38 | 63 | -102 | 161 | 5 | 0 | |||||||||||
Total net cash from operating activities | 410 | 422 | 864 | 943 | 1437 | 1358 | 2002 | 1325 | 1785 | 0 | |||||||||||
Paid capital expenditures | -297 | -263 | -503 | -486 | -1134 | -1151 | -1018 | -341 | -931 | 0 | |||||||||||
Acquisition of shares | -1 | -1 | -20 | -1 | -28 | -47 | -1243 | -257 | -1243 | 0 | |||||||||||
Other investing activities | 331 | -16 | 541 | 72 | 60 | 529 | -21 | 258 | -34 | 0 | |||||||||||
Cash flow before financing activities | 443 | 142 | 882 | 528 | 335 | 689 | -280 | 985 | -423 | 0 |
MEUR | Q1-Q300 | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | 2004 | ||||||||||||||||||
Sales | 7732 | 1316 | 1295 | 3350 | 3242 | 6296 | 6404 | 5636 | 3159 | 5354 | 0 | 3835 | ||||||||||||||||||
Expenses | -7109 | -968 | -956 | -2353 | -2252 | -4463 | -4564 | -3673 | -1832 | -3482 | 0 | -2640 | ||||||||||||||||||
Comparable operating profit | 623 | 348 | 339 | 997 | 990 | 1833 | 1840 | 1963 | 1327 | 1872 | 0 | 1195 | ||||||||||||||||||
Other items affecting comparability | 261 | 12 | 512 | 85 | -125 | 302 | ||||||||||||||||||||||||
Operating profit | 609 | 351 | 1509 | 1075 | 1708 | 2142 | ||||||||||||||||||||||||
Share of profit of associates and jvs | 15 | 15 | 74 | 31 | 62 | 105 | 126 | 223 | 96 | 0 | 12 | |||||||||||||||||||
Financial expenses net | -209 | -72 | -34 | -127 | -61 | -155 | -221 | -239 | -117 | -222 | 0 | -245 | ||||||||||||||||||
Profit before taxes | 0 | 552 | 332 | 1456 | 1045 | 1615 | 2026 | 1850 | 1433 | 1746 | 0 | 0 | ||||||||||||||||||
Income tax expense | -83 | -74 | -61 | -232 | -191 | -261 | -302 | -254 | -218 | -364 | 0 | -259 | ||||||||||||||||||
Net profit for the period | -26 | 478 | 271 | 1224 | 854 | 1354 | 1724 | 1596 | 1215 | 1382 | 0 | 0 | ||||||||||||||||||
Non-controlling interests | 6 | 8 | 74 | 32 | 54 | 96 | 54 | 31 | 35 | 0 | 33 | |||||||||||||||||||
EPS basic (EUR) | 039 | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 148 | ||||||||||||||||||
EPS diluted (EUR) | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 079 | |||||||||||||||||||
069 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 183 | 327 | 556 | 964 | 1390 | |||||||
Comparable operating profit | 10 | 10 | 21 | -3 | 35 | |||||||
Net Assets | 77 | 59 | ||||||||||
Comparable RONA | 341 | |||||||||||
Gross Investments | 1 | 0 | 4 | 0 | 4 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 215 | 200 | 526 | 480 | 1009 | |||||||
Comparable operating profit | 60 | 53 | 184 | 155 | 336 | |||||||
Net Assets | 3487 | 3482 | ||||||||||
Comparable RONA | 99 | |||||||||||
Gross Investments | 62 | 47 | 96 | 76 | 233 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 195 | 169 | 490 | 413 | 881 | |||||||
Comparable operating profit | 21 | -9 | 55 | 7 | 56 | |||||||
Net Assets | 3051 | 2690 | ||||||||||
Comparable RONA | 34 | |||||||||||
Gross Investments | 192 | 167 | 267 | 258 | 608 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 322 | 301 | 1047 | 952 | 1865 | |||||||
Comparable operating profit | 25 | 33 | 196 | 165 | 306 | |||||||
Net Assets | 3911 | 3884 | ||||||||||
Comparable RONA | 82 | |||||||||||
Gross Investments | 72 | 59 | 130 | 121 | 314 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 574 | 597 | 1267 | 1366 | 2603 | |||||||
Comparable operating profit | 257 | 271 | 582 | 695 | 1185 | |||||||
Net Assets | 5998 | 5726 | ||||||||||
Comparable RONA | 198 | |||||||||||
Gross Investments | 36 | 22 | 69 | 55 | 136 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Roumlrelseresultat II2009 | Roumlrelseresultat II2008 | Liikevoitto 2008 | Liikevoitto 2007 | |||||||||||||||||||||||
Jaumlmfoumlrbart | Rapporterat | Jaumlmfoumlrbart | Rapporterat | Vertkelp | Raportoitu | Vertkelp | Raportoitu | |||||||||||||||||||
Kraftproduktion | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Vaumlrme | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Markets | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Ryssland | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Oumlvrigt | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Summa | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Liikevoitto II2010 | Liikevoitto II2009 | Liikevoitto I-II2010 | Liikevoitto I-II2009 | |||||||||||||||||||||||
Vertkelp | Raportoitu | Vertkelp | Raportoitu | Vertkelp | Raportoitu | Vertkelp | Raportoitu | |||||||||||||||||||
Power | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Heat | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Saumlhkoumlnmyynti | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Russia | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Muut | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Yhteensauml | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 | ||||||||||||||||||
I-III2009 | ||||||||||||||||||||||||||
SEK | Muut | Yhteensauml | ||||||||||||||||||||||||
Saumlhkoumlntuotanto | -67 | -3 | -70 | |||||||||||||||||||||||
Laumlmpouml | -10 | -2 | -12 | |||||||||||||||||||||||
Saumlhkoumlnsiirto | -13 | -1 | -14 | |||||||||||||||||||||||
Markets | -1 | -1 | -2 | |||||||||||||||||||||||
Venaumljauml | 0 | 6 | 6 | |||||||||||||||||||||||
Muu | 0 | 1 | 1 | |||||||||||||||||||||||
Yhteensauml | -91 | 0 | -91 |
Operating profit II2010 | Operating profit II2009 | Operating profit I-II2010 | Operating profit I-2009 | |||||||||||||||||||||||
Comparable | Reported | Comparable | Reported | Comparable | Reported | Comparable | Reported | |||||||||||||||||||
Power | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Heat | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Electricity Sales | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Russia | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Other | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Total | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 | ||||||||||||||||||
Currency translation effects on comparable operating profit | ||||||||||||||||||||||||||
I2009 | I-III2009 | |||||||||||||||||||||||||
SEK | Other | Total | SEK | Other | Total | |||||||||||||||||||||
Power Generation | -55 | -3 | -58 | Power Generation | -67 | -3 | -70 | |||||||||||||||||||
Heat | -12 | -3 | -15 | Heat | -10 | -2 | -12 | |||||||||||||||||||
Distribution | -11 | -1 | -12 | Distribution | -13 | -1 | -14 | |||||||||||||||||||
Markets | -1 | 0 | -1 | Markets | -1 | -1 | -2 | |||||||||||||||||||
Russia | 0 | 1 | 1 | Russia | 0 | 6 | 6 | |||||||||||||||||||
Other | 1 | 0 | 1 | Other | 0 | 1 | 1 | |||||||||||||||||||
Total | -78 | -6 | -84 | Total | -91 | 0 | -91 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Vertkelpliikevoitto | Raportoitu liikevoitto | Vertkelpliikevoitto | Raportoitu liikevoitto | |||||||||||||||||||||||
II2010 | II2009 | II2010 | II2009 | I-II2010 | I-II2009 | I-II2010 | I-II2009 | |||||||||||||||||||
Power | 257 | 271 | 271 | 280 | 582 | 695 | 760 | 747 | ||||||||||||||||||
Heat | 25 | 33 | 25 | 35 | 196 | 165 | 290 | 194 | ||||||||||||||||||
Distribution | 21 | -9 | 21 | -9 | 55 | 7 | 55 | 23 | ||||||||||||||||||
Saumlhkoumlnmyynti | 60 | 53 | 252 | 53 | 184 | 155 | 377 | 166 | ||||||||||||||||||
Russia | 10 | 10 | 23 | 23 | 21 | -3 | 3 | -6 | ||||||||||||||||||
Muut | -25 | -19 | 17 | -31 | -41 | -29 | 24 | -49 | ||||||||||||||||||
Yhteensauml | 348 | 339 | 609 | 351 | 997 | 990 | 1509 | 1075 | ||||||||||||||||||
I-III2009 | ||||||||||||||||||||||||||
SEK | Muut | Yhteensauml | ||||||||||||||||||||||||
Saumlhkoumlntuotanto | -67 | -3 | -70 | |||||||||||||||||||||||
Laumlmpouml | -10 | -2 | -12 | |||||||||||||||||||||||
Saumlhkoumlnsiirto | -13 | -1 | -14 | |||||||||||||||||||||||
Markets | -1 | -1 | -2 | |||||||||||||||||||||||
Venaumljauml | 0 | 6 | 6 | |||||||||||||||||||||||
Muu | 0 | 1 | 1 | |||||||||||||||||||||||
Yhteensauml | -91 | 0 | -91 |
MEUR | Comparable operating profit | Reported operating profit | Comparable operating profit | Reported operating profit | ||||||||||||||||||||||
II2011 | II2010 | II2011 | II2010 | I-II2011 | I-II2010 | I-II2011 | I-II2010 | |||||||||||||||||||
Power | 257 | 271 | 271 | 280 | 582 | 695 | 760 | 747 | ||||||||||||||||||
Heat | 25 | 33 | 25 | 35 | 196 | 165 | 290 | 194 | ||||||||||||||||||
Russia | 21 | -9 | 21 | -9 | 55 | 7 | 55 | 23 | ||||||||||||||||||
Distribution | 60 | 53 | 252 | 53 | 184 | 155 | 377 | 166 | ||||||||||||||||||
Electricity Sales | 10 | 10 | 23 | 23 | 21 | -3 | 3 | -6 | ||||||||||||||||||
Other | -25 | -19 | 17 | -31 | -41 | -29 | 24 | -49 | ||||||||||||||||||
Total | 348 | 339 | 609 | 351 | 997 | 990 | 1509 | 1075 | ||||||||||||||||||
Currency translation effects on comparable operating profit | ||||||||||||||||||||||||||
I2009 | I-III2009 | |||||||||||||||||||||||||
SEK | Other | Total | SEK | Other | Total | |||||||||||||||||||||
Power Generation | -55 | -3 | -58 | Power Generation | -67 | -3 | -70 | |||||||||||||||||||
Heat | -12 | -3 | -15 | Heat | -10 | -2 | -12 | |||||||||||||||||||
Distribution | -11 | -1 | -12 | Distribution | -13 | -1 | -14 | |||||||||||||||||||
Markets | -1 | 0 | -1 | Markets | -1 | -1 | -2 | |||||||||||||||||||
Russia | 0 | 1 | 1 | Russia | 0 | 6 | 6 | |||||||||||||||||||
Other | 1 | 0 | 1 | Other | 0 | 1 | 1 | |||||||||||||||||||
Total | -78 | -6 | -84 | Total | -91 | 0 | -91 |
8
Q2 Good development continued
bull Comparable operating profit EUR 348 (339) million
bull Earnings per share EUR 053 (030)
bull Net cash from operating activities 410 (422) million
bull Strong financial position
9
Q2 Comparable profit at last yearrsquos level
Comparable operating profit EUR million
-6730-14 3483390
-8
PowerQ22010 Heat Russia Distribution ElectricitySales
Other Q22011
10
January-June Comparable profit at last yearrsquos level
Comparable operating profit EUR million
31
24990 997-11348
29 -12
PowerH12010 Heat Russia Distribution ElectricitySales
Other H12011
11
bull Dow Jones Sustainability Index Worldndash Fortum is the only Nordic power and heat company listed in the index
bull SAM Sustainability Yearbook 2010 and 2011bull oekombull OMX GES Sustainability Finland Indexbull Storebrand SRI
ndash Based on the assessments conducted in 2006 and 2009 Fortum was the most responsible electricity company globallybull Carbon Disclosure Project
1111
Fortum a forerunner in sustainabilityg CO2kWh electricity 2009
Average 346 gkWh
0
200
400
600
800
1000
1200
DE
I
Dra
x
RW
E
CEZ
SS
E
ED
P
Ene
l
Vat
tenf
all
EO
N
Don
g
Uni
on F
enos
a
GD
F S
UE
Z E
urop
e
Iber
drol
a
Fortu
m to
tal
ED
F
PV
O
Ver
bund
Fortu
m E
U
Sta
tkra
ft
41155
g CO2kWh electricity 2009
Average 346 gkWh
0
200
400
600
800
1000
1200
DE
I
Dra
x
RW
E
CEZ
SS
E
ED
P
Ene
l
Vat
tenf
all
EO
N
Don
g
Uni
on F
enos
a
GD
F S
UE
Z E
urop
e
Iber
drol
a
Fortu
m to
tal
ED
F
PV
O
Ver
bund
Fortu
m E
U
Sta
tkra
ft
411550
200
400
600
800
1000
1200
DE
I
Dra
x
RW
E
CEZ
SS
E
ED
P
Ene
l
Vat
tenf
all
EO
N
Don
g
Uni
on F
enos
a
GD
F S
UE
Z E
urop
e
Iber
drol
a
Fortu
m to
tal
ED
F
PV
O
Ver
bund
Fortu
m E
U
Sta
tkra
ft
41155
12
Financials
13
Comparable and reported operating profit
MEURII2011 II2010 II2011 II2010 I-II2011 I-II2010 I-II2011 I-II2010
Power 257 271 271 280 582 695 760 747Heat 25 33 25 35 196 165 290 194Russia 21 -9 21 -9 55 7 55 23Distribution 60 53 252 53 184 155 377 166Electricity Sales 10 10 23 23 21 -3 3 -6Other -25 -19 17 -31 -41 -29 24 -49Total 348 339 609 351 997 990 1 509 1 075
Comparable operating profit
Reported operating profit
Comparable operating profit
Reported operating profit
bull IFRS accounting treatment (IAS 39) of derivatives had a positive impact on the reported operating profit EUR 76 (-15) million or earnings per share EUR 007 (-001) in the second quarter and EUR 249 (21) million or earnings per share EUR 021 (002) for January-June 2011
14
Power
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 574 597 1 267 1 366 2 603
Comparable operating profit 257 271 582 695 1 185
Net Assets 5 998 5 726
Comparable RONA 198
Gross Investments 36 22 69 55 136
Q2 Power
bull Comparable operating profit decreasedndash Swedish nuclear availability back at 80-85ndash Lower hydro and nuclear volumesndash Water reservoirs improved significantly towards the
end of the quarter
15
Nuclear output in Q2
Q2 2011
Q2 2010
Nuclear Outage effect
TWh
Planned outages in Oskarshamn 1amp3 and Forsmark 1 in Q22011(In 2010 no outages in Q2)
If timing would have been similar in 2011 compared to 2010 nuclear output would have exceeded 2010 levels during Q2
Improved availability in Sweden
16
Q2 Power result declined due to several reasons
Comparable operating profit EUR million
257-3-40271 3-10
Volumeamp priceQ22010 Stronger
SEKRussianimport
Propertytaxes Other Q22011
17
Heat
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 322 301 1 047 952 1 865
Comparable operating profit 25 33 196 165 306
Net Assets 3 911 3 884
Comparable RONA 82
Gross Investments 72 59 130 121 314
Q2 Heat
bull Comparable operating profit decreasedndash Lower heat volumes in Sweden caused by
divestment during first quarterndash Integration cost provisions in Poland
18
Russiabull Comparable operating profit improved
ndash Commissioning of the new unit ndash Higher electricity market prices ndash Efficiency improvementsndash Reversal of CSA provisions related to the newly
commissioned units
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 195 169 490 413 881
Comparable operating profit 21 -9 55 7 56
Net Assets 3 051 2 690
Comparable RONA 34
Gross Investments 192 167 267 258 608
Q2 Russia
19
Distribution
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 215 200 526 480 1 009
Comparable operating profit 60 53 184 155 336
Net Assets 3 487 3 482
Comparable RONA 99
Gross Investments 62 47 96 76 233
Q2 Distribution
bull Comparable operating profit increasedndash Lower transmission costsndash Stronger SEK
bull Smart metering rollout to network customers in Finland continued
20
Markets
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 183 327 556 964 1 390
Comparable operating profit 10 10 21 -3 35
Net Assets 77 59
Comparable RONA 341
Gross Investments 1 0 4 0 4
Q2 Electricity Sales
bull Comparable operating profit at last yearrsquos levelndash Tough competitionndash Restructuring of the Business Market segment
21
MEUR II2011 II2010 I-II2011 I-II2010 2010 LTM
Sales 1 316 1 295 3 350 3 242 6 296 6 404Expenses -968 -956 -2 353 -2 252 -4 463 -4 564
Comparable operating profit 348 339 997 990 1 833 1 840
Other items affecting comparability 261 12 512 85 -125 302
Operating profit 609 351 1 509 1 075 1 708 2 142Share of profit of associates and jvs 15 15 74 31 62 105Financial expenses net -72 -34 -127 -61 -155 -221
Profit before taxes 552 332 1 456 1 045 1 615 2 026Income tax expense -74 -61 -232 -191 -261 -302
Net profit for the period 478 271 1 224 854 1 354 1 724Non-controlling interests 6 8 74 32 54 96
EPS basic (EUR) 053 030 129 093 146 183EPS diluted (EUR) 053 030 129 093 146 183
Q2 Income statement
22
Q2 Cash flow statement
MEUR II2011 II2010 I-II2011 I-II2010 2010 LTM
Operating profit before depreciations 764 490 1 813 1 351 2 271 2 733
Non-cash flow items and divesting activities -299 -6 -569 -73 124 -372
Financial items and fx gainslosses 12 -146 -290 -323 -641 -608
Taxes -144 -73 -258 -155 -355 -458
Funds from operations (FFO) 333 265 696 800 1 399 1 295
Change in working capital 77 157 168 143 38 63
Total net cash from operating activities 410 422 864 943 1 437 1 358
Paid capital expenditures -297 -263 -503 -486 -1 134 -1 151
Acquisition of shares -1 -1 -20 -1 -28 -47
Other investing activities 331 -16 541 72 60 529
Cash flow before financing activities 443 142 882 528 335 689
23
MEUR LTM 2010 2009EBITDA 2 733 2 271 2 292Comparable EBITDA 2 431 2 396 2 398Interest-bearing net debt 6 783 6 826 5 969Net debtEBITDA 25 30 26Comparable Net debtEBITDA 28 28 25
Return on capital employed () 138 116 121Return on shareholders equity () 191 157 160
) as of 30 June 2011
Key ratios
Q2 lsquo11
24
Debt maturity profile
0
250
500
750
1000
1250
1500
1750
2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021+
Bonds Financial institutions Other long-term debt CPs Other short-term debt
MEUR
2011 231
2012 668
2013 639
2014 1223
2015 1051
2016 879
2017 270
2018 190
2019 840
2020 73
2021+ 1530
per 30 June 2011 per 31 Dec 2010
Average interest rate (incl swaps and forwards) 44 35Portion of floating fixed debt 47 53 49 51
25
Strong financial position
Return on capital employed12
Return on shareholders equity14
Net debtEBITDAaround 30
138
191
28
Fortumrsquos financial targets LTM in Q22011
Good liquidity ndash committed credit lines total EUR 27 billion
Comparable net debtEBITDA
26
Outlook
27
Q2 Summary
bull Solid performance continued - seasonalitybull Power
ndash Improved nuclear availability- timing of Swedish planned nuclear outages impacted volume
ndash Swedish nuclear back at 80-85 in availabilityndash Lower hydro volumes ndash water reservoirs improved at the end of the quarterndash SEK burdenedndash Results year-end weighted compared to 2010
bull Russiandash Commissioning of new units contributed to result improvementndash The return for the new capacity is guaranteed ndash EUR 100 million efficiency improvement reached
bull Nordic countriesndash Water reservoirs improved to long-term average
bull Overall strong financial position
28
Outlook
bull Key drivers and risksndash Wholesale price of electricity
bull Demandbull Fuelsbull CO2 emissions pricesbull Water reservoirsbull Nuclear availability
bull Nordic marketsndash Market continues to recover ndash 2008 level to be reached by 2012-2014ndash Electricity continues to gain share of total energy consumption
bull Russiandash Wholesale market liberalisedndash Profits from Russia build up in pace with the capacity increases
29
Outlook
bull Capex (excluding potential acquisitions)ndash 2011-2012 around EUR 16 to 18 billion annually (mainly due to Russian
investment programme)ndash 2013-2014 around EUR 11 to 14 billion annuallyndash Disclosed divestments totalled approximately EUR 05 billion
bull Hedgingndash 2011 approximately 70 hedge ratio at approximately EUR 45MWh(Q1 70 at EUR 44MWh)ndash 2012 approximately 50 hedge ratio at approximately EUR 46MWh(Q1 45 at EUR 45MWh)
30
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007 2008 2009 2010 2011 20120
10
20
30
40
50
60
70
80
90
100
110Spot prices Forward prices
3131
CO2 -free and energy-efficient solutions important
Create solid earnings growth in Russia
Leverage the strong Nordic core
Build platform for future growth
Competence in CO2 -free hydro nuclear and energy efficient CHP production and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -Fortumrsquos strategy remains intact
32
19 July 2011
Fortum Corporation
Interim Report
January-June 2011
Disclaimer
This presentation does not constitute an invitation to underwrite subscribe for or otherwise acquire or dispose of any Fortum shares
Past performance is no guide to future performance and persons needing advice should consult an independent financial adviser
Highlights in Q2
Increased uncertainty in macro environment
GLOBAL
- Incident in Fukushima in Japan
Finland
- No new decisions-in-principle on nuclear power in four years
- The new Governmentrsquos policy framework includes a possible implementation of a windfall tax and a uranium tax
Germany
- To be replaced by renewable energy
Q2 Market conditions
Nordic water reservoirs
Source Nord Pool Spot
Q1
Q2
Q3
Q4
2003
2008
2009
2011
2010
reference level
reservoir content (TWh)
0
20
40
60
80
100
120
Price development in the Nordic region and Russia
Includes capacity income
+17
+6
+24
+13
Q2 Good development continued
Q2 Comparable profit at last yearrsquos level
Comparable operating profit EUR million
-6
7
30
-14
348
339
0
-8
Power
Q22010
Heat
Russia
Distribution
Electricity
Sales
Other
Q22011
January-June Comparable profit at last yearrsquos level
Comparable operating profit EUR million
31
24
990
997
-113
48
29
-12
Power
H12010
Heat
Russia
Distribution
Electricity
Sales
Other
H12011
Fortum a forerunner in sustainability
Financials
Comparable and reported operating profit
Power
Q2 Power
Nuclear output in Q2
Planned outages in Oskarshamn 1amp3 and Forsmark 1 in Q22011
(In 2010 no outages in Q2)
If timing would have been similar in 2011 compared to 2010 nuclear output would have exceeded 2010 levels during Q2
Improved availability in Sweden
Q2 2011
Q2 2010
Nuclear
Outage effect
TWh
Q2 Power result declined due to several reasons
Comparable operating profit EUR million
257
-3
-4
0
271
3
-10
Volume
amp price
Q22010
Stronger
SEK
Russian
import
Property
taxes
Other
Q22011
Heat
Q2 Heat
Russia
Q2 Russia
Distribution
Q2 Distribution
Markets
Q2 Electricity Sales
Q2 Income statement
Q2 Cash flow statement
Key ratios
Q2 lsquo11
Debt maturity profile
per 30 June 2011 per 31 Dec 2010
Average interest rate (incl swaps and forwards)4435
Portion of floating fixed debt 47 53 49 51
Strong financial position
Return on capital employed
12
Return on shareholders equity
14
Net debtEBITDA
around 30
138
191
28
Fortumrsquos financial targets
LTM in Q22011
Good liquidity ndash committed credit lines total EUR 27 billion
Comparable net debtEBITDA
Outlook
Q2 Summary
Outlook
Outlook
(Q1 70 at EUR 44MWh)
(Q1 45 at EUR 45MWh)
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007
2008
2009
2010
2011
2012
0
10
20
30
40
50
60
70
80
90
100
110
Spot prices
Forward prices
CO2-free and energy-efficient solutions important
Create solid earnings
growth in Russia
Leverage the strong
Nordic core
Build platform for
future growth
Competence in CO2-free hydro nuclear and energy efficient CHP production
and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -
Fortumrsquos strategy remains intact
MEURII2011II2010I-II2011I-II2010LTM
Sales1833275569641 390
Comparable operating profit101021-335
Net Assets7759
Comparable RONA 341
Gross Investments10404
MEURII2011II2010I-II2011I-II2010LTM
Sales2152005264801 009
Comparable operating profit6053184155336
Net Assets3 4873 482
Comparable RONA 99
Gross Investments62479676233
0
250
500
750
1000
1250
1500
1750
20112012201320142015201620172018201920202021+
BondsFinancial institutionsOther long-term debtCPsOther short-term debt
MEURII2011II2010I-II2011I-II2010LTM
Sales195169490413881
Comparable operating profit21-955756
Net Assets3 0512 690
Comparable RONA 34
Gross Investments192167267258608
MEURII2011II2010I-II2011I-II2010LTM
Sales5745971 2671 3662 603
Comparable operating profit2572715826951 185
Net Assets5 9985 726
Comparable RONA 198
Gross Investments36226955136
MEURII2011II2010I-II2011I-II20102010LTM
Sales1 316
1 2953 3503 2426 296
6 404
Expenses-968-956-2 353-2 252-4 463-4 564
Comparable operating profit3483399979901 8331 840
Other items affecting comparability2611251285-125302
Operating profit6093511 5091 0751 7082 142
Share of profit of associates and jvs1515743162105
Financial expenses net-72-34-127-61-155-221
Profit before taxes5523321 4561 0451 6152 026
Income tax expense-74-61-232-191-261-302
Net profit for the period4782711 2248541 3541 724
Non-controlling interests6874325496
EPS basic (EUR)053030129093146183
EPS diluted (EUR)053030129093146183
Spot price for power in NordPool power exchange
448
459
662
523
621
0
12
24
36
48
60
72
Q22010Q32010Q42010Q12011Q22011
eurMWh
Powers Nordic power price
447
469
488
479
474
0
10
20
30
40
50
60
Q22010Q32010Q42010Q12011Q22011
eurMWh
MEURII2011II2010I-II2011I-II20102010LTM
Operating profit before depreciations7644901 8131 3512 2712 733
Non-cash flow items and divesting activities
-299-6-569-73124-372
Financial items and fx gainslosses
12-146-290-323-641-608
Taxes
-144-73-258-155-355-458
Funds from operations (FFO)
3332656968001 3991 295
Change in working capital
771571681433863
Total net cash from operating activities4104228649431 4371 358
Paid capital expenditures-297-263-503-486-1 134-1 151
Acquisition of shares-1-1-20-1-28-47
Other investing activities331-165417260529
Cash flow before financing activities443142882528335689
MEURII2011II2010I-II2011I-II2010LTM
Sales3223011 0479521 865
Comparable operating profit2533196165306
Net Assets3 9113 884
Comparable RONA 82
Gross Investments7259130121314
MEUR
II2011II2010II2011II2010I-II2011I-II2010I-II2011I-II2010
Power257271271280582695760747
Heat25332535196165290194
Russia21-921-95575523
Distribution605325253184155377166
Electricity Sales1010232321-33-6
Other-25-1917-31-41-2924-49
Total3483396093519979901 5091 075
Comparable operating profit
Reported operating profit
Comparable operating profit
Reported operating profit
Spot price for power (market price) Urals hub
770
935
817
950
954
0
200
400
600
800
1 000
1 200
Q22010Q32010Q42010Q12011Q22011
RUBMWh
Achieved power price for OAO Fortum
256
288
305
292
290
0
6
12
18
24
30
36
Q22010Q32010Q42010Q12011Q22011
eurMWh
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
MEURLTM20102009
EBITDA2 7332 2712 292
Comparable EBITDA2 4312 3962 398
Interest-bearing net debt6 7836 8265 969
Net debtEBITDA253026
Comparable Net debtEBITDA282825
Return on capital employed ()138116121
Return on shareholders equity ()191157160
) as of 30 June 2011
MEUR | |||
2011 | 231 | ||
2012 | 668 | ||
2013 | 639 | ||
2014 | 1223 | ||
2015 | 1051 | ||
2016 | 879 | ||
2017 | 270 | ||
2018 | 190 | ||
2019 | 840 | ||
2020 | 73 | ||
2021+ | 1530 |
MEUR | LTM | 2010 | 2009 | 2008 | 2006 | 2005 | |||||||
EBITDA | 2733 | 2271 | 2292 | 2478 | 1884 | ||||||||
Comparable EBITDA | 2431 | 2396 | 2398 | 1151 | 1271 | ||||||||
Interest-bearing net debt | 6 783 | 6826 | 5969 | 6179 | 4345 | 3158 | |||||||
Net debtEBITDA | 25 | 30 | 26 | 25 | 8161 | ||||||||
Comparable Net debtEBITDA | 28 | 28 | 25 | 16839 | 15130 | ||||||||
23 | 18 | ||||||||||||
Return on capital employed () | 138 | 116 | 121 | 150 | 134 | 135 | |||||||
Return on shareholders equity () | 191 | 157 | 160 | 187 | 144 | 135 | |||||||
) as of 30 June 2011 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | |||||||||||
Operating profit before depreciations | 764 | 490 | 1813 | 1351 | 2271 | 2733 | 2478 | 1663 | 2370 | 0 | |||||||||||
Non-cash flow items and divesting activities | -299 | -6 | -569 | -73 | 124 | -372 | -275 | -268 | -56 | 0 | |||||||||||
Financial items and fx gainslosses | 12 | -146 | -290 | -323 | -641 | -608 | 233 | ||||||||||||||
Taxes | -144 | -73 | -258 | -155 | -355 | -458 | -332 | -231 | -534 | 0 | |||||||||||
Funds from operations (FFO) | 333 | 265 | 696 | 800 | 1399 | 1295 | 2104 | 1164 | 1780 | 0 | |||||||||||
Change in working capital | 77 | 157 | 168 | 143 | 38 | 63 | -102 | 161 | 5 | 0 | |||||||||||
Total net cash from operating activities | 410 | 422 | 864 | 943 | 1437 | 1358 | 2002 | 1325 | 1785 | 0 | |||||||||||
Paid capital expenditures | -297 | -263 | -503 | -486 | -1134 | -1151 | -1018 | -341 | -931 | 0 | |||||||||||
Acquisition of shares | -1 | -1 | -20 | -1 | -28 | -47 | -1243 | -257 | -1243 | 0 | |||||||||||
Other investing activities | 331 | -16 | 541 | 72 | 60 | 529 | -21 | 258 | -34 | 0 | |||||||||||
Cash flow before financing activities | 443 | 142 | 882 | 528 | 335 | 689 | -280 | 985 | -423 | 0 |
MEUR | Q1-Q300 | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | 2004 | ||||||||||||||||||
Sales | 7732 | 1316 | 1295 | 3350 | 3242 | 6296 | 6404 | 5636 | 3159 | 5354 | 0 | 3835 | ||||||||||||||||||
Expenses | -7109 | -968 | -956 | -2353 | -2252 | -4463 | -4564 | -3673 | -1832 | -3482 | 0 | -2640 | ||||||||||||||||||
Comparable operating profit | 623 | 348 | 339 | 997 | 990 | 1833 | 1840 | 1963 | 1327 | 1872 | 0 | 1195 | ||||||||||||||||||
Other items affecting comparability | 261 | 12 | 512 | 85 | -125 | 302 | ||||||||||||||||||||||||
Operating profit | 609 | 351 | 1509 | 1075 | 1708 | 2142 | ||||||||||||||||||||||||
Share of profit of associates and jvs | 15 | 15 | 74 | 31 | 62 | 105 | 126 | 223 | 96 | 0 | 12 | |||||||||||||||||||
Financial expenses net | -209 | -72 | -34 | -127 | -61 | -155 | -221 | -239 | -117 | -222 | 0 | -245 | ||||||||||||||||||
Profit before taxes | 0 | 552 | 332 | 1456 | 1045 | 1615 | 2026 | 1850 | 1433 | 1746 | 0 | 0 | ||||||||||||||||||
Income tax expense | -83 | -74 | -61 | -232 | -191 | -261 | -302 | -254 | -218 | -364 | 0 | -259 | ||||||||||||||||||
Net profit for the period | -26 | 478 | 271 | 1224 | 854 | 1354 | 1724 | 1596 | 1215 | 1382 | 0 | 0 | ||||||||||||||||||
Non-controlling interests | 6 | 8 | 74 | 32 | 54 | 96 | 54 | 31 | 35 | 0 | 33 | |||||||||||||||||||
EPS basic (EUR) | 039 | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 148 | ||||||||||||||||||
EPS diluted (EUR) | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 079 | |||||||||||||||||||
069 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 183 | 327 | 556 | 964 | 1390 | |||||||
Comparable operating profit | 10 | 10 | 21 | -3 | 35 | |||||||
Net Assets | 77 | 59 | ||||||||||
Comparable RONA | 341 | |||||||||||
Gross Investments | 1 | 0 | 4 | 0 | 4 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 215 | 200 | 526 | 480 | 1009 | |||||||
Comparable operating profit | 60 | 53 | 184 | 155 | 336 | |||||||
Net Assets | 3487 | 3482 | ||||||||||
Comparable RONA | 99 | |||||||||||
Gross Investments | 62 | 47 | 96 | 76 | 233 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 195 | 169 | 490 | 413 | 881 | |||||||
Comparable operating profit | 21 | -9 | 55 | 7 | 56 | |||||||
Net Assets | 3051 | 2690 | ||||||||||
Comparable RONA | 34 | |||||||||||
Gross Investments | 192 | 167 | 267 | 258 | 608 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 322 | 301 | 1047 | 952 | 1865 | |||||||
Comparable operating profit | 25 | 33 | 196 | 165 | 306 | |||||||
Net Assets | 3911 | 3884 | ||||||||||
Comparable RONA | 82 | |||||||||||
Gross Investments | 72 | 59 | 130 | 121 | 314 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 574 | 597 | 1267 | 1366 | 2603 | |||||||
Comparable operating profit | 257 | 271 | 582 | 695 | 1185 | |||||||
Net Assets | 5998 | 5726 | ||||||||||
Comparable RONA | 198 | |||||||||||
Gross Investments | 36 | 22 | 69 | 55 | 136 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Roumlrelseresultat II2009 | Roumlrelseresultat II2008 | Liikevoitto 2008 | Liikevoitto 2007 | |||||||||||||||||||||||
Jaumlmfoumlrbart | Rapporterat | Jaumlmfoumlrbart | Rapporterat | Vertkelp | Raportoitu | Vertkelp | Raportoitu | |||||||||||||||||||
Kraftproduktion | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Vaumlrme | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Markets | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Ryssland | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Oumlvrigt | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Summa | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Liikevoitto II2010 | Liikevoitto II2009 | Liikevoitto I-II2010 | Liikevoitto I-II2009 | |||||||||||||||||||||||
Vertkelp | Raportoitu | Vertkelp | Raportoitu | Vertkelp | Raportoitu | Vertkelp | Raportoitu | |||||||||||||||||||
Power | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Heat | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Saumlhkoumlnmyynti | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Russia | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Muut | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Yhteensauml | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 | ||||||||||||||||||
I-III2009 | ||||||||||||||||||||||||||
SEK | Muut | Yhteensauml | ||||||||||||||||||||||||
Saumlhkoumlntuotanto | -67 | -3 | -70 | |||||||||||||||||||||||
Laumlmpouml | -10 | -2 | -12 | |||||||||||||||||||||||
Saumlhkoumlnsiirto | -13 | -1 | -14 | |||||||||||||||||||||||
Markets | -1 | -1 | -2 | |||||||||||||||||||||||
Venaumljauml | 0 | 6 | 6 | |||||||||||||||||||||||
Muu | 0 | 1 | 1 | |||||||||||||||||||||||
Yhteensauml | -91 | 0 | -91 |
Operating profit II2010 | Operating profit II2009 | Operating profit I-II2010 | Operating profit I-2009 | |||||||||||||||||||||||
Comparable | Reported | Comparable | Reported | Comparable | Reported | Comparable | Reported | |||||||||||||||||||
Power | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Heat | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Electricity Sales | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Russia | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Other | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Total | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 | ||||||||||||||||||
Currency translation effects on comparable operating profit | ||||||||||||||||||||||||||
I2009 | I-III2009 | |||||||||||||||||||||||||
SEK | Other | Total | SEK | Other | Total | |||||||||||||||||||||
Power Generation | -55 | -3 | -58 | Power Generation | -67 | -3 | -70 | |||||||||||||||||||
Heat | -12 | -3 | -15 | Heat | -10 | -2 | -12 | |||||||||||||||||||
Distribution | -11 | -1 | -12 | Distribution | -13 | -1 | -14 | |||||||||||||||||||
Markets | -1 | 0 | -1 | Markets | -1 | -1 | -2 | |||||||||||||||||||
Russia | 0 | 1 | 1 | Russia | 0 | 6 | 6 | |||||||||||||||||||
Other | 1 | 0 | 1 | Other | 0 | 1 | 1 | |||||||||||||||||||
Total | -78 | -6 | -84 | Total | -91 | 0 | -91 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Vertkelpliikevoitto | Raportoitu liikevoitto | Vertkelpliikevoitto | Raportoitu liikevoitto | |||||||||||||||||||||||
II2010 | II2009 | II2010 | II2009 | I-II2010 | I-II2009 | I-II2010 | I-II2009 | |||||||||||||||||||
Power | 257 | 271 | 271 | 280 | 582 | 695 | 760 | 747 | ||||||||||||||||||
Heat | 25 | 33 | 25 | 35 | 196 | 165 | 290 | 194 | ||||||||||||||||||
Distribution | 21 | -9 | 21 | -9 | 55 | 7 | 55 | 23 | ||||||||||||||||||
Saumlhkoumlnmyynti | 60 | 53 | 252 | 53 | 184 | 155 | 377 | 166 | ||||||||||||||||||
Russia | 10 | 10 | 23 | 23 | 21 | -3 | 3 | -6 | ||||||||||||||||||
Muut | -25 | -19 | 17 | -31 | -41 | -29 | 24 | -49 | ||||||||||||||||||
Yhteensauml | 348 | 339 | 609 | 351 | 997 | 990 | 1509 | 1075 | ||||||||||||||||||
I-III2009 | ||||||||||||||||||||||||||
SEK | Muut | Yhteensauml | ||||||||||||||||||||||||
Saumlhkoumlntuotanto | -67 | -3 | -70 | |||||||||||||||||||||||
Laumlmpouml | -10 | -2 | -12 | |||||||||||||||||||||||
Saumlhkoumlnsiirto | -13 | -1 | -14 | |||||||||||||||||||||||
Markets | -1 | -1 | -2 | |||||||||||||||||||||||
Venaumljauml | 0 | 6 | 6 | |||||||||||||||||||||||
Muu | 0 | 1 | 1 | |||||||||||||||||||||||
Yhteensauml | -91 | 0 | -91 |
MEUR | Comparable operating profit | Reported operating profit | Comparable operating profit | Reported operating profit | ||||||||||||||||||||||
II2011 | II2010 | II2011 | II2010 | I-II2011 | I-II2010 | I-II2011 | I-II2010 | |||||||||||||||||||
Power | 257 | 271 | 271 | 280 | 582 | 695 | 760 | 747 | ||||||||||||||||||
Heat | 25 | 33 | 25 | 35 | 196 | 165 | 290 | 194 | ||||||||||||||||||
Russia | 21 | -9 | 21 | -9 | 55 | 7 | 55 | 23 | ||||||||||||||||||
Distribution | 60 | 53 | 252 | 53 | 184 | 155 | 377 | 166 | ||||||||||||||||||
Electricity Sales | 10 | 10 | 23 | 23 | 21 | -3 | 3 | -6 | ||||||||||||||||||
Other | -25 | -19 | 17 | -31 | -41 | -29 | 24 | -49 | ||||||||||||||||||
Total | 348 | 339 | 609 | 351 | 997 | 990 | 1509 | 1075 | ||||||||||||||||||
Currency translation effects on comparable operating profit | ||||||||||||||||||||||||||
I2009 | I-III2009 | |||||||||||||||||||||||||
SEK | Other | Total | SEK | Other | Total | |||||||||||||||||||||
Power Generation | -55 | -3 | -58 | Power Generation | -67 | -3 | -70 | |||||||||||||||||||
Heat | -12 | -3 | -15 | Heat | -10 | -2 | -12 | |||||||||||||||||||
Distribution | -11 | -1 | -12 | Distribution | -13 | -1 | -14 | |||||||||||||||||||
Markets | -1 | 0 | -1 | Markets | -1 | -1 | -2 | |||||||||||||||||||
Russia | 0 | 1 | 1 | Russia | 0 | 6 | 6 | |||||||||||||||||||
Other | 1 | 0 | 1 | Other | 0 | 1 | 1 | |||||||||||||||||||
Total | -78 | -6 | -84 | Total | -91 | 0 | -91 |
9
Q2 Comparable profit at last yearrsquos level
Comparable operating profit EUR million
-6730-14 3483390
-8
PowerQ22010 Heat Russia Distribution ElectricitySales
Other Q22011
10
January-June Comparable profit at last yearrsquos level
Comparable operating profit EUR million
31
24990 997-11348
29 -12
PowerH12010 Heat Russia Distribution ElectricitySales
Other H12011
11
bull Dow Jones Sustainability Index Worldndash Fortum is the only Nordic power and heat company listed in the index
bull SAM Sustainability Yearbook 2010 and 2011bull oekombull OMX GES Sustainability Finland Indexbull Storebrand SRI
ndash Based on the assessments conducted in 2006 and 2009 Fortum was the most responsible electricity company globallybull Carbon Disclosure Project
1111
Fortum a forerunner in sustainabilityg CO2kWh electricity 2009
Average 346 gkWh
0
200
400
600
800
1000
1200
DE
I
Dra
x
RW
E
CEZ
SS
E
ED
P
Ene
l
Vat
tenf
all
EO
N
Don
g
Uni
on F
enos
a
GD
F S
UE
Z E
urop
e
Iber
drol
a
Fortu
m to
tal
ED
F
PV
O
Ver
bund
Fortu
m E
U
Sta
tkra
ft
41155
g CO2kWh electricity 2009
Average 346 gkWh
0
200
400
600
800
1000
1200
DE
I
Dra
x
RW
E
CEZ
SS
E
ED
P
Ene
l
Vat
tenf
all
EO
N
Don
g
Uni
on F
enos
a
GD
F S
UE
Z E
urop
e
Iber
drol
a
Fortu
m to
tal
ED
F
PV
O
Ver
bund
Fortu
m E
U
Sta
tkra
ft
411550
200
400
600
800
1000
1200
DE
I
Dra
x
RW
E
CEZ
SS
E
ED
P
Ene
l
Vat
tenf
all
EO
N
Don
g
Uni
on F
enos
a
GD
F S
UE
Z E
urop
e
Iber
drol
a
Fortu
m to
tal
ED
F
PV
O
Ver
bund
Fortu
m E
U
Sta
tkra
ft
41155
12
Financials
13
Comparable and reported operating profit
MEURII2011 II2010 II2011 II2010 I-II2011 I-II2010 I-II2011 I-II2010
Power 257 271 271 280 582 695 760 747Heat 25 33 25 35 196 165 290 194Russia 21 -9 21 -9 55 7 55 23Distribution 60 53 252 53 184 155 377 166Electricity Sales 10 10 23 23 21 -3 3 -6Other -25 -19 17 -31 -41 -29 24 -49Total 348 339 609 351 997 990 1 509 1 075
Comparable operating profit
Reported operating profit
Comparable operating profit
Reported operating profit
bull IFRS accounting treatment (IAS 39) of derivatives had a positive impact on the reported operating profit EUR 76 (-15) million or earnings per share EUR 007 (-001) in the second quarter and EUR 249 (21) million or earnings per share EUR 021 (002) for January-June 2011
14
Power
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 574 597 1 267 1 366 2 603
Comparable operating profit 257 271 582 695 1 185
Net Assets 5 998 5 726
Comparable RONA 198
Gross Investments 36 22 69 55 136
Q2 Power
bull Comparable operating profit decreasedndash Swedish nuclear availability back at 80-85ndash Lower hydro and nuclear volumesndash Water reservoirs improved significantly towards the
end of the quarter
15
Nuclear output in Q2
Q2 2011
Q2 2010
Nuclear Outage effect
TWh
Planned outages in Oskarshamn 1amp3 and Forsmark 1 in Q22011(In 2010 no outages in Q2)
If timing would have been similar in 2011 compared to 2010 nuclear output would have exceeded 2010 levels during Q2
Improved availability in Sweden
16
Q2 Power result declined due to several reasons
Comparable operating profit EUR million
257-3-40271 3-10
Volumeamp priceQ22010 Stronger
SEKRussianimport
Propertytaxes Other Q22011
17
Heat
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 322 301 1 047 952 1 865
Comparable operating profit 25 33 196 165 306
Net Assets 3 911 3 884
Comparable RONA 82
Gross Investments 72 59 130 121 314
Q2 Heat
bull Comparable operating profit decreasedndash Lower heat volumes in Sweden caused by
divestment during first quarterndash Integration cost provisions in Poland
18
Russiabull Comparable operating profit improved
ndash Commissioning of the new unit ndash Higher electricity market prices ndash Efficiency improvementsndash Reversal of CSA provisions related to the newly
commissioned units
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 195 169 490 413 881
Comparable operating profit 21 -9 55 7 56
Net Assets 3 051 2 690
Comparable RONA 34
Gross Investments 192 167 267 258 608
Q2 Russia
19
Distribution
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 215 200 526 480 1 009
Comparable operating profit 60 53 184 155 336
Net Assets 3 487 3 482
Comparable RONA 99
Gross Investments 62 47 96 76 233
Q2 Distribution
bull Comparable operating profit increasedndash Lower transmission costsndash Stronger SEK
bull Smart metering rollout to network customers in Finland continued
20
Markets
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 183 327 556 964 1 390
Comparable operating profit 10 10 21 -3 35
Net Assets 77 59
Comparable RONA 341
Gross Investments 1 0 4 0 4
Q2 Electricity Sales
bull Comparable operating profit at last yearrsquos levelndash Tough competitionndash Restructuring of the Business Market segment
21
MEUR II2011 II2010 I-II2011 I-II2010 2010 LTM
Sales 1 316 1 295 3 350 3 242 6 296 6 404Expenses -968 -956 -2 353 -2 252 -4 463 -4 564
Comparable operating profit 348 339 997 990 1 833 1 840
Other items affecting comparability 261 12 512 85 -125 302
Operating profit 609 351 1 509 1 075 1 708 2 142Share of profit of associates and jvs 15 15 74 31 62 105Financial expenses net -72 -34 -127 -61 -155 -221
Profit before taxes 552 332 1 456 1 045 1 615 2 026Income tax expense -74 -61 -232 -191 -261 -302
Net profit for the period 478 271 1 224 854 1 354 1 724Non-controlling interests 6 8 74 32 54 96
EPS basic (EUR) 053 030 129 093 146 183EPS diluted (EUR) 053 030 129 093 146 183
Q2 Income statement
22
Q2 Cash flow statement
MEUR II2011 II2010 I-II2011 I-II2010 2010 LTM
Operating profit before depreciations 764 490 1 813 1 351 2 271 2 733
Non-cash flow items and divesting activities -299 -6 -569 -73 124 -372
Financial items and fx gainslosses 12 -146 -290 -323 -641 -608
Taxes -144 -73 -258 -155 -355 -458
Funds from operations (FFO) 333 265 696 800 1 399 1 295
Change in working capital 77 157 168 143 38 63
Total net cash from operating activities 410 422 864 943 1 437 1 358
Paid capital expenditures -297 -263 -503 -486 -1 134 -1 151
Acquisition of shares -1 -1 -20 -1 -28 -47
Other investing activities 331 -16 541 72 60 529
Cash flow before financing activities 443 142 882 528 335 689
23
MEUR LTM 2010 2009EBITDA 2 733 2 271 2 292Comparable EBITDA 2 431 2 396 2 398Interest-bearing net debt 6 783 6 826 5 969Net debtEBITDA 25 30 26Comparable Net debtEBITDA 28 28 25
Return on capital employed () 138 116 121Return on shareholders equity () 191 157 160
) as of 30 June 2011
Key ratios
Q2 lsquo11
24
Debt maturity profile
0
250
500
750
1000
1250
1500
1750
2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021+
Bonds Financial institutions Other long-term debt CPs Other short-term debt
MEUR
2011 231
2012 668
2013 639
2014 1223
2015 1051
2016 879
2017 270
2018 190
2019 840
2020 73
2021+ 1530
per 30 June 2011 per 31 Dec 2010
Average interest rate (incl swaps and forwards) 44 35Portion of floating fixed debt 47 53 49 51
25
Strong financial position
Return on capital employed12
Return on shareholders equity14
Net debtEBITDAaround 30
138
191
28
Fortumrsquos financial targets LTM in Q22011
Good liquidity ndash committed credit lines total EUR 27 billion
Comparable net debtEBITDA
26
Outlook
27
Q2 Summary
bull Solid performance continued - seasonalitybull Power
ndash Improved nuclear availability- timing of Swedish planned nuclear outages impacted volume
ndash Swedish nuclear back at 80-85 in availabilityndash Lower hydro volumes ndash water reservoirs improved at the end of the quarterndash SEK burdenedndash Results year-end weighted compared to 2010
bull Russiandash Commissioning of new units contributed to result improvementndash The return for the new capacity is guaranteed ndash EUR 100 million efficiency improvement reached
bull Nordic countriesndash Water reservoirs improved to long-term average
bull Overall strong financial position
28
Outlook
bull Key drivers and risksndash Wholesale price of electricity
bull Demandbull Fuelsbull CO2 emissions pricesbull Water reservoirsbull Nuclear availability
bull Nordic marketsndash Market continues to recover ndash 2008 level to be reached by 2012-2014ndash Electricity continues to gain share of total energy consumption
bull Russiandash Wholesale market liberalisedndash Profits from Russia build up in pace with the capacity increases
29
Outlook
bull Capex (excluding potential acquisitions)ndash 2011-2012 around EUR 16 to 18 billion annually (mainly due to Russian
investment programme)ndash 2013-2014 around EUR 11 to 14 billion annuallyndash Disclosed divestments totalled approximately EUR 05 billion
bull Hedgingndash 2011 approximately 70 hedge ratio at approximately EUR 45MWh(Q1 70 at EUR 44MWh)ndash 2012 approximately 50 hedge ratio at approximately EUR 46MWh(Q1 45 at EUR 45MWh)
30
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007 2008 2009 2010 2011 20120
10
20
30
40
50
60
70
80
90
100
110Spot prices Forward prices
3131
CO2 -free and energy-efficient solutions important
Create solid earnings growth in Russia
Leverage the strong Nordic core
Build platform for future growth
Competence in CO2 -free hydro nuclear and energy efficient CHP production and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -Fortumrsquos strategy remains intact
32
19 July 2011
Fortum Corporation
Interim Report
January-June 2011
Disclaimer
This presentation does not constitute an invitation to underwrite subscribe for or otherwise acquire or dispose of any Fortum shares
Past performance is no guide to future performance and persons needing advice should consult an independent financial adviser
Highlights in Q2
Increased uncertainty in macro environment
GLOBAL
- Incident in Fukushima in Japan
Finland
- No new decisions-in-principle on nuclear power in four years
- The new Governmentrsquos policy framework includes a possible implementation of a windfall tax and a uranium tax
Germany
- To be replaced by renewable energy
Q2 Market conditions
Nordic water reservoirs
Source Nord Pool Spot
Q1
Q2
Q3
Q4
2003
2008
2009
2011
2010
reference level
reservoir content (TWh)
0
20
40
60
80
100
120
Price development in the Nordic region and Russia
Includes capacity income
+17
+6
+24
+13
Q2 Good development continued
Q2 Comparable profit at last yearrsquos level
Comparable operating profit EUR million
-6
7
30
-14
348
339
0
-8
Power
Q22010
Heat
Russia
Distribution
Electricity
Sales
Other
Q22011
January-June Comparable profit at last yearrsquos level
Comparable operating profit EUR million
31
24
990
997
-113
48
29
-12
Power
H12010
Heat
Russia
Distribution
Electricity
Sales
Other
H12011
Fortum a forerunner in sustainability
Financials
Comparable and reported operating profit
Power
Q2 Power
Nuclear output in Q2
Planned outages in Oskarshamn 1amp3 and Forsmark 1 in Q22011
(In 2010 no outages in Q2)
If timing would have been similar in 2011 compared to 2010 nuclear output would have exceeded 2010 levels during Q2
Improved availability in Sweden
Q2 2011
Q2 2010
Nuclear
Outage effect
TWh
Q2 Power result declined due to several reasons
Comparable operating profit EUR million
257
-3
-4
0
271
3
-10
Volume
amp price
Q22010
Stronger
SEK
Russian
import
Property
taxes
Other
Q22011
Heat
Q2 Heat
Russia
Q2 Russia
Distribution
Q2 Distribution
Markets
Q2 Electricity Sales
Q2 Income statement
Q2 Cash flow statement
Key ratios
Q2 lsquo11
Debt maturity profile
per 30 June 2011 per 31 Dec 2010
Average interest rate (incl swaps and forwards)4435
Portion of floating fixed debt 47 53 49 51
Strong financial position
Return on capital employed
12
Return on shareholders equity
14
Net debtEBITDA
around 30
138
191
28
Fortumrsquos financial targets
LTM in Q22011
Good liquidity ndash committed credit lines total EUR 27 billion
Comparable net debtEBITDA
Outlook
Q2 Summary
Outlook
Outlook
(Q1 70 at EUR 44MWh)
(Q1 45 at EUR 45MWh)
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007
2008
2009
2010
2011
2012
0
10
20
30
40
50
60
70
80
90
100
110
Spot prices
Forward prices
CO2-free and energy-efficient solutions important
Create solid earnings
growth in Russia
Leverage the strong
Nordic core
Build platform for
future growth
Competence in CO2-free hydro nuclear and energy efficient CHP production
and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -
Fortumrsquos strategy remains intact
MEURII2011II2010I-II2011I-II2010LTM
Sales1833275569641 390
Comparable operating profit101021-335
Net Assets7759
Comparable RONA 341
Gross Investments10404
MEURII2011II2010I-II2011I-II2010LTM
Sales2152005264801 009
Comparable operating profit6053184155336
Net Assets3 4873 482
Comparable RONA 99
Gross Investments62479676233
0
250
500
750
1000
1250
1500
1750
20112012201320142015201620172018201920202021+
BondsFinancial institutionsOther long-term debtCPsOther short-term debt
MEURII2011II2010I-II2011I-II2010LTM
Sales195169490413881
Comparable operating profit21-955756
Net Assets3 0512 690
Comparable RONA 34
Gross Investments192167267258608
MEURII2011II2010I-II2011I-II2010LTM
Sales5745971 2671 3662 603
Comparable operating profit2572715826951 185
Net Assets5 9985 726
Comparable RONA 198
Gross Investments36226955136
MEURII2011II2010I-II2011I-II20102010LTM
Sales1 316
1 2953 3503 2426 296
6 404
Expenses-968-956-2 353-2 252-4 463-4 564
Comparable operating profit3483399979901 8331 840
Other items affecting comparability2611251285-125302
Operating profit6093511 5091 0751 7082 142
Share of profit of associates and jvs1515743162105
Financial expenses net-72-34-127-61-155-221
Profit before taxes5523321 4561 0451 6152 026
Income tax expense-74-61-232-191-261-302
Net profit for the period4782711 2248541 3541 724
Non-controlling interests6874325496
EPS basic (EUR)053030129093146183
EPS diluted (EUR)053030129093146183
Spot price for power in NordPool power exchange
448
459
662
523
621
0
12
24
36
48
60
72
Q22010Q32010Q42010Q12011Q22011
eurMWh
Powers Nordic power price
447
469
488
479
474
0
10
20
30
40
50
60
Q22010Q32010Q42010Q12011Q22011
eurMWh
MEURII2011II2010I-II2011I-II20102010LTM
Operating profit before depreciations7644901 8131 3512 2712 733
Non-cash flow items and divesting activities
-299-6-569-73124-372
Financial items and fx gainslosses
12-146-290-323-641-608
Taxes
-144-73-258-155-355-458
Funds from operations (FFO)
3332656968001 3991 295
Change in working capital
771571681433863
Total net cash from operating activities4104228649431 4371 358
Paid capital expenditures-297-263-503-486-1 134-1 151
Acquisition of shares-1-1-20-1-28-47
Other investing activities331-165417260529
Cash flow before financing activities443142882528335689
MEURII2011II2010I-II2011I-II2010LTM
Sales3223011 0479521 865
Comparable operating profit2533196165306
Net Assets3 9113 884
Comparable RONA 82
Gross Investments7259130121314
MEUR
II2011II2010II2011II2010I-II2011I-II2010I-II2011I-II2010
Power257271271280582695760747
Heat25332535196165290194
Russia21-921-95575523
Distribution605325253184155377166
Electricity Sales1010232321-33-6
Other-25-1917-31-41-2924-49
Total3483396093519979901 5091 075
Comparable operating profit
Reported operating profit
Comparable operating profit
Reported operating profit
Spot price for power (market price) Urals hub
770
935
817
950
954
0
200
400
600
800
1 000
1 200
Q22010Q32010Q42010Q12011Q22011
RUBMWh
Achieved power price for OAO Fortum
256
288
305
292
290
0
6
12
18
24
30
36
Q22010Q32010Q42010Q12011Q22011
eurMWh
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
MEURLTM20102009
EBITDA2 7332 2712 292
Comparable EBITDA2 4312 3962 398
Interest-bearing net debt6 7836 8265 969
Net debtEBITDA253026
Comparable Net debtEBITDA282825
Return on capital employed ()138116121
Return on shareholders equity ()191157160
) as of 30 June 2011
MEUR | |||
2011 | 231 | ||
2012 | 668 | ||
2013 | 639 | ||
2014 | 1223 | ||
2015 | 1051 | ||
2016 | 879 | ||
2017 | 270 | ||
2018 | 190 | ||
2019 | 840 | ||
2020 | 73 | ||
2021+ | 1530 |
MEUR | LTM | 2010 | 2009 | 2008 | 2006 | 2005 | |||||||
EBITDA | 2733 | 2271 | 2292 | 2478 | 1884 | ||||||||
Comparable EBITDA | 2431 | 2396 | 2398 | 1151 | 1271 | ||||||||
Interest-bearing net debt | 6 783 | 6826 | 5969 | 6179 | 4345 | 3158 | |||||||
Net debtEBITDA | 25 | 30 | 26 | 25 | 8161 | ||||||||
Comparable Net debtEBITDA | 28 | 28 | 25 | 16839 | 15130 | ||||||||
23 | 18 | ||||||||||||
Return on capital employed () | 138 | 116 | 121 | 150 | 134 | 135 | |||||||
Return on shareholders equity () | 191 | 157 | 160 | 187 | 144 | 135 | |||||||
) as of 30 June 2011 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | |||||||||||
Operating profit before depreciations | 764 | 490 | 1813 | 1351 | 2271 | 2733 | 2478 | 1663 | 2370 | 0 | |||||||||||
Non-cash flow items and divesting activities | -299 | -6 | -569 | -73 | 124 | -372 | -275 | -268 | -56 | 0 | |||||||||||
Financial items and fx gainslosses | 12 | -146 | -290 | -323 | -641 | -608 | 233 | ||||||||||||||
Taxes | -144 | -73 | -258 | -155 | -355 | -458 | -332 | -231 | -534 | 0 | |||||||||||
Funds from operations (FFO) | 333 | 265 | 696 | 800 | 1399 | 1295 | 2104 | 1164 | 1780 | 0 | |||||||||||
Change in working capital | 77 | 157 | 168 | 143 | 38 | 63 | -102 | 161 | 5 | 0 | |||||||||||
Total net cash from operating activities | 410 | 422 | 864 | 943 | 1437 | 1358 | 2002 | 1325 | 1785 | 0 | |||||||||||
Paid capital expenditures | -297 | -263 | -503 | -486 | -1134 | -1151 | -1018 | -341 | -931 | 0 | |||||||||||
Acquisition of shares | -1 | -1 | -20 | -1 | -28 | -47 | -1243 | -257 | -1243 | 0 | |||||||||||
Other investing activities | 331 | -16 | 541 | 72 | 60 | 529 | -21 | 258 | -34 | 0 | |||||||||||
Cash flow before financing activities | 443 | 142 | 882 | 528 | 335 | 689 | -280 | 985 | -423 | 0 |
MEUR | Q1-Q300 | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | 2004 | ||||||||||||||||||
Sales | 7732 | 1316 | 1295 | 3350 | 3242 | 6296 | 6404 | 5636 | 3159 | 5354 | 0 | 3835 | ||||||||||||||||||
Expenses | -7109 | -968 | -956 | -2353 | -2252 | -4463 | -4564 | -3673 | -1832 | -3482 | 0 | -2640 | ||||||||||||||||||
Comparable operating profit | 623 | 348 | 339 | 997 | 990 | 1833 | 1840 | 1963 | 1327 | 1872 | 0 | 1195 | ||||||||||||||||||
Other items affecting comparability | 261 | 12 | 512 | 85 | -125 | 302 | ||||||||||||||||||||||||
Operating profit | 609 | 351 | 1509 | 1075 | 1708 | 2142 | ||||||||||||||||||||||||
Share of profit of associates and jvs | 15 | 15 | 74 | 31 | 62 | 105 | 126 | 223 | 96 | 0 | 12 | |||||||||||||||||||
Financial expenses net | -209 | -72 | -34 | -127 | -61 | -155 | -221 | -239 | -117 | -222 | 0 | -245 | ||||||||||||||||||
Profit before taxes | 0 | 552 | 332 | 1456 | 1045 | 1615 | 2026 | 1850 | 1433 | 1746 | 0 | 0 | ||||||||||||||||||
Income tax expense | -83 | -74 | -61 | -232 | -191 | -261 | -302 | -254 | -218 | -364 | 0 | -259 | ||||||||||||||||||
Net profit for the period | -26 | 478 | 271 | 1224 | 854 | 1354 | 1724 | 1596 | 1215 | 1382 | 0 | 0 | ||||||||||||||||||
Non-controlling interests | 6 | 8 | 74 | 32 | 54 | 96 | 54 | 31 | 35 | 0 | 33 | |||||||||||||||||||
EPS basic (EUR) | 039 | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 148 | ||||||||||||||||||
EPS diluted (EUR) | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 079 | |||||||||||||||||||
069 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 183 | 327 | 556 | 964 | 1390 | |||||||
Comparable operating profit | 10 | 10 | 21 | -3 | 35 | |||||||
Net Assets | 77 | 59 | ||||||||||
Comparable RONA | 341 | |||||||||||
Gross Investments | 1 | 0 | 4 | 0 | 4 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 215 | 200 | 526 | 480 | 1009 | |||||||
Comparable operating profit | 60 | 53 | 184 | 155 | 336 | |||||||
Net Assets | 3487 | 3482 | ||||||||||
Comparable RONA | 99 | |||||||||||
Gross Investments | 62 | 47 | 96 | 76 | 233 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 195 | 169 | 490 | 413 | 881 | |||||||
Comparable operating profit | 21 | -9 | 55 | 7 | 56 | |||||||
Net Assets | 3051 | 2690 | ||||||||||
Comparable RONA | 34 | |||||||||||
Gross Investments | 192 | 167 | 267 | 258 | 608 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 322 | 301 | 1047 | 952 | 1865 | |||||||
Comparable operating profit | 25 | 33 | 196 | 165 | 306 | |||||||
Net Assets | 3911 | 3884 | ||||||||||
Comparable RONA | 82 | |||||||||||
Gross Investments | 72 | 59 | 130 | 121 | 314 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 574 | 597 | 1267 | 1366 | 2603 | |||||||
Comparable operating profit | 257 | 271 | 582 | 695 | 1185 | |||||||
Net Assets | 5998 | 5726 | ||||||||||
Comparable RONA | 198 | |||||||||||
Gross Investments | 36 | 22 | 69 | 55 | 136 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Roumlrelseresultat II2009 | Roumlrelseresultat II2008 | Liikevoitto 2008 | Liikevoitto 2007 | |||||||||||||||||||||||
Jaumlmfoumlrbart | Rapporterat | Jaumlmfoumlrbart | Rapporterat | Vertkelp | Raportoitu | Vertkelp | Raportoitu | |||||||||||||||||||
Kraftproduktion | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Vaumlrme | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Markets | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Ryssland | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Oumlvrigt | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Summa | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Liikevoitto II2010 | Liikevoitto II2009 | Liikevoitto I-II2010 | Liikevoitto I-II2009 | |||||||||||||||||||||||
Vertkelp | Raportoitu | Vertkelp | Raportoitu | Vertkelp | Raportoitu | Vertkelp | Raportoitu | |||||||||||||||||||
Power | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Heat | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Saumlhkoumlnmyynti | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Russia | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Muut | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Yhteensauml | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 | ||||||||||||||||||
I-III2009 | ||||||||||||||||||||||||||
SEK | Muut | Yhteensauml | ||||||||||||||||||||||||
Saumlhkoumlntuotanto | -67 | -3 | -70 | |||||||||||||||||||||||
Laumlmpouml | -10 | -2 | -12 | |||||||||||||||||||||||
Saumlhkoumlnsiirto | -13 | -1 | -14 | |||||||||||||||||||||||
Markets | -1 | -1 | -2 | |||||||||||||||||||||||
Venaumljauml | 0 | 6 | 6 | |||||||||||||||||||||||
Muu | 0 | 1 | 1 | |||||||||||||||||||||||
Yhteensauml | -91 | 0 | -91 |
Operating profit II2010 | Operating profit II2009 | Operating profit I-II2010 | Operating profit I-2009 | |||||||||||||||||||||||
Comparable | Reported | Comparable | Reported | Comparable | Reported | Comparable | Reported | |||||||||||||||||||
Power | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Heat | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Electricity Sales | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Russia | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Other | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Total | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 | ||||||||||||||||||
Currency translation effects on comparable operating profit | ||||||||||||||||||||||||||
I2009 | I-III2009 | |||||||||||||||||||||||||
SEK | Other | Total | SEK | Other | Total | |||||||||||||||||||||
Power Generation | -55 | -3 | -58 | Power Generation | -67 | -3 | -70 | |||||||||||||||||||
Heat | -12 | -3 | -15 | Heat | -10 | -2 | -12 | |||||||||||||||||||
Distribution | -11 | -1 | -12 | Distribution | -13 | -1 | -14 | |||||||||||||||||||
Markets | -1 | 0 | -1 | Markets | -1 | -1 | -2 | |||||||||||||||||||
Russia | 0 | 1 | 1 | Russia | 0 | 6 | 6 | |||||||||||||||||||
Other | 1 | 0 | 1 | Other | 0 | 1 | 1 | |||||||||||||||||||
Total | -78 | -6 | -84 | Total | -91 | 0 | -91 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Vertkelpliikevoitto | Raportoitu liikevoitto | Vertkelpliikevoitto | Raportoitu liikevoitto | |||||||||||||||||||||||
II2010 | II2009 | II2010 | II2009 | I-II2010 | I-II2009 | I-II2010 | I-II2009 | |||||||||||||||||||
Power | 257 | 271 | 271 | 280 | 582 | 695 | 760 | 747 | ||||||||||||||||||
Heat | 25 | 33 | 25 | 35 | 196 | 165 | 290 | 194 | ||||||||||||||||||
Distribution | 21 | -9 | 21 | -9 | 55 | 7 | 55 | 23 | ||||||||||||||||||
Saumlhkoumlnmyynti | 60 | 53 | 252 | 53 | 184 | 155 | 377 | 166 | ||||||||||||||||||
Russia | 10 | 10 | 23 | 23 | 21 | -3 | 3 | -6 | ||||||||||||||||||
Muut | -25 | -19 | 17 | -31 | -41 | -29 | 24 | -49 | ||||||||||||||||||
Yhteensauml | 348 | 339 | 609 | 351 | 997 | 990 | 1509 | 1075 | ||||||||||||||||||
I-III2009 | ||||||||||||||||||||||||||
SEK | Muut | Yhteensauml | ||||||||||||||||||||||||
Saumlhkoumlntuotanto | -67 | -3 | -70 | |||||||||||||||||||||||
Laumlmpouml | -10 | -2 | -12 | |||||||||||||||||||||||
Saumlhkoumlnsiirto | -13 | -1 | -14 | |||||||||||||||||||||||
Markets | -1 | -1 | -2 | |||||||||||||||||||||||
Venaumljauml | 0 | 6 | 6 | |||||||||||||||||||||||
Muu | 0 | 1 | 1 | |||||||||||||||||||||||
Yhteensauml | -91 | 0 | -91 |
MEUR | Comparable operating profit | Reported operating profit | Comparable operating profit | Reported operating profit | ||||||||||||||||||||||
II2011 | II2010 | II2011 | II2010 | I-II2011 | I-II2010 | I-II2011 | I-II2010 | |||||||||||||||||||
Power | 257 | 271 | 271 | 280 | 582 | 695 | 760 | 747 | ||||||||||||||||||
Heat | 25 | 33 | 25 | 35 | 196 | 165 | 290 | 194 | ||||||||||||||||||
Russia | 21 | -9 | 21 | -9 | 55 | 7 | 55 | 23 | ||||||||||||||||||
Distribution | 60 | 53 | 252 | 53 | 184 | 155 | 377 | 166 | ||||||||||||||||||
Electricity Sales | 10 | 10 | 23 | 23 | 21 | -3 | 3 | -6 | ||||||||||||||||||
Other | -25 | -19 | 17 | -31 | -41 | -29 | 24 | -49 | ||||||||||||||||||
Total | 348 | 339 | 609 | 351 | 997 | 990 | 1509 | 1075 | ||||||||||||||||||
Currency translation effects on comparable operating profit | ||||||||||||||||||||||||||
I2009 | I-III2009 | |||||||||||||||||||||||||
SEK | Other | Total | SEK | Other | Total | |||||||||||||||||||||
Power Generation | -55 | -3 | -58 | Power Generation | -67 | -3 | -70 | |||||||||||||||||||
Heat | -12 | -3 | -15 | Heat | -10 | -2 | -12 | |||||||||||||||||||
Distribution | -11 | -1 | -12 | Distribution | -13 | -1 | -14 | |||||||||||||||||||
Markets | -1 | 0 | -1 | Markets | -1 | -1 | -2 | |||||||||||||||||||
Russia | 0 | 1 | 1 | Russia | 0 | 6 | 6 | |||||||||||||||||||
Other | 1 | 0 | 1 | Other | 0 | 1 | 1 | |||||||||||||||||||
Total | -78 | -6 | -84 | Total | -91 | 0 | -91 |
10
January-June Comparable profit at last yearrsquos level
Comparable operating profit EUR million
31
24990 997-11348
29 -12
PowerH12010 Heat Russia Distribution ElectricitySales
Other H12011
11
bull Dow Jones Sustainability Index Worldndash Fortum is the only Nordic power and heat company listed in the index
bull SAM Sustainability Yearbook 2010 and 2011bull oekombull OMX GES Sustainability Finland Indexbull Storebrand SRI
ndash Based on the assessments conducted in 2006 and 2009 Fortum was the most responsible electricity company globallybull Carbon Disclosure Project
1111
Fortum a forerunner in sustainabilityg CO2kWh electricity 2009
Average 346 gkWh
0
200
400
600
800
1000
1200
DE
I
Dra
x
RW
E
CEZ
SS
E
ED
P
Ene
l
Vat
tenf
all
EO
N
Don
g
Uni
on F
enos
a
GD
F S
UE
Z E
urop
e
Iber
drol
a
Fortu
m to
tal
ED
F
PV
O
Ver
bund
Fortu
m E
U
Sta
tkra
ft
41155
g CO2kWh electricity 2009
Average 346 gkWh
0
200
400
600
800
1000
1200
DE
I
Dra
x
RW
E
CEZ
SS
E
ED
P
Ene
l
Vat
tenf
all
EO
N
Don
g
Uni
on F
enos
a
GD
F S
UE
Z E
urop
e
Iber
drol
a
Fortu
m to
tal
ED
F
PV
O
Ver
bund
Fortu
m E
U
Sta
tkra
ft
411550
200
400
600
800
1000
1200
DE
I
Dra
x
RW
E
CEZ
SS
E
ED
P
Ene
l
Vat
tenf
all
EO
N
Don
g
Uni
on F
enos
a
GD
F S
UE
Z E
urop
e
Iber
drol
a
Fortu
m to
tal
ED
F
PV
O
Ver
bund
Fortu
m E
U
Sta
tkra
ft
41155
12
Financials
13
Comparable and reported operating profit
MEURII2011 II2010 II2011 II2010 I-II2011 I-II2010 I-II2011 I-II2010
Power 257 271 271 280 582 695 760 747Heat 25 33 25 35 196 165 290 194Russia 21 -9 21 -9 55 7 55 23Distribution 60 53 252 53 184 155 377 166Electricity Sales 10 10 23 23 21 -3 3 -6Other -25 -19 17 -31 -41 -29 24 -49Total 348 339 609 351 997 990 1 509 1 075
Comparable operating profit
Reported operating profit
Comparable operating profit
Reported operating profit
bull IFRS accounting treatment (IAS 39) of derivatives had a positive impact on the reported operating profit EUR 76 (-15) million or earnings per share EUR 007 (-001) in the second quarter and EUR 249 (21) million or earnings per share EUR 021 (002) for January-June 2011
14
Power
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 574 597 1 267 1 366 2 603
Comparable operating profit 257 271 582 695 1 185
Net Assets 5 998 5 726
Comparable RONA 198
Gross Investments 36 22 69 55 136
Q2 Power
bull Comparable operating profit decreasedndash Swedish nuclear availability back at 80-85ndash Lower hydro and nuclear volumesndash Water reservoirs improved significantly towards the
end of the quarter
15
Nuclear output in Q2
Q2 2011
Q2 2010
Nuclear Outage effect
TWh
Planned outages in Oskarshamn 1amp3 and Forsmark 1 in Q22011(In 2010 no outages in Q2)
If timing would have been similar in 2011 compared to 2010 nuclear output would have exceeded 2010 levels during Q2
Improved availability in Sweden
16
Q2 Power result declined due to several reasons
Comparable operating profit EUR million
257-3-40271 3-10
Volumeamp priceQ22010 Stronger
SEKRussianimport
Propertytaxes Other Q22011
17
Heat
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 322 301 1 047 952 1 865
Comparable operating profit 25 33 196 165 306
Net Assets 3 911 3 884
Comparable RONA 82
Gross Investments 72 59 130 121 314
Q2 Heat
bull Comparable operating profit decreasedndash Lower heat volumes in Sweden caused by
divestment during first quarterndash Integration cost provisions in Poland
18
Russiabull Comparable operating profit improved
ndash Commissioning of the new unit ndash Higher electricity market prices ndash Efficiency improvementsndash Reversal of CSA provisions related to the newly
commissioned units
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 195 169 490 413 881
Comparable operating profit 21 -9 55 7 56
Net Assets 3 051 2 690
Comparable RONA 34
Gross Investments 192 167 267 258 608
Q2 Russia
19
Distribution
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 215 200 526 480 1 009
Comparable operating profit 60 53 184 155 336
Net Assets 3 487 3 482
Comparable RONA 99
Gross Investments 62 47 96 76 233
Q2 Distribution
bull Comparable operating profit increasedndash Lower transmission costsndash Stronger SEK
bull Smart metering rollout to network customers in Finland continued
20
Markets
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 183 327 556 964 1 390
Comparable operating profit 10 10 21 -3 35
Net Assets 77 59
Comparable RONA 341
Gross Investments 1 0 4 0 4
Q2 Electricity Sales
bull Comparable operating profit at last yearrsquos levelndash Tough competitionndash Restructuring of the Business Market segment
21
MEUR II2011 II2010 I-II2011 I-II2010 2010 LTM
Sales 1 316 1 295 3 350 3 242 6 296 6 404Expenses -968 -956 -2 353 -2 252 -4 463 -4 564
Comparable operating profit 348 339 997 990 1 833 1 840
Other items affecting comparability 261 12 512 85 -125 302
Operating profit 609 351 1 509 1 075 1 708 2 142Share of profit of associates and jvs 15 15 74 31 62 105Financial expenses net -72 -34 -127 -61 -155 -221
Profit before taxes 552 332 1 456 1 045 1 615 2 026Income tax expense -74 -61 -232 -191 -261 -302
Net profit for the period 478 271 1 224 854 1 354 1 724Non-controlling interests 6 8 74 32 54 96
EPS basic (EUR) 053 030 129 093 146 183EPS diluted (EUR) 053 030 129 093 146 183
Q2 Income statement
22
Q2 Cash flow statement
MEUR II2011 II2010 I-II2011 I-II2010 2010 LTM
Operating profit before depreciations 764 490 1 813 1 351 2 271 2 733
Non-cash flow items and divesting activities -299 -6 -569 -73 124 -372
Financial items and fx gainslosses 12 -146 -290 -323 -641 -608
Taxes -144 -73 -258 -155 -355 -458
Funds from operations (FFO) 333 265 696 800 1 399 1 295
Change in working capital 77 157 168 143 38 63
Total net cash from operating activities 410 422 864 943 1 437 1 358
Paid capital expenditures -297 -263 -503 -486 -1 134 -1 151
Acquisition of shares -1 -1 -20 -1 -28 -47
Other investing activities 331 -16 541 72 60 529
Cash flow before financing activities 443 142 882 528 335 689
23
MEUR LTM 2010 2009EBITDA 2 733 2 271 2 292Comparable EBITDA 2 431 2 396 2 398Interest-bearing net debt 6 783 6 826 5 969Net debtEBITDA 25 30 26Comparable Net debtEBITDA 28 28 25
Return on capital employed () 138 116 121Return on shareholders equity () 191 157 160
) as of 30 June 2011
Key ratios
Q2 lsquo11
24
Debt maturity profile
0
250
500
750
1000
1250
1500
1750
2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021+
Bonds Financial institutions Other long-term debt CPs Other short-term debt
MEUR
2011 231
2012 668
2013 639
2014 1223
2015 1051
2016 879
2017 270
2018 190
2019 840
2020 73
2021+ 1530
per 30 June 2011 per 31 Dec 2010
Average interest rate (incl swaps and forwards) 44 35Portion of floating fixed debt 47 53 49 51
25
Strong financial position
Return on capital employed12
Return on shareholders equity14
Net debtEBITDAaround 30
138
191
28
Fortumrsquos financial targets LTM in Q22011
Good liquidity ndash committed credit lines total EUR 27 billion
Comparable net debtEBITDA
26
Outlook
27
Q2 Summary
bull Solid performance continued - seasonalitybull Power
ndash Improved nuclear availability- timing of Swedish planned nuclear outages impacted volume
ndash Swedish nuclear back at 80-85 in availabilityndash Lower hydro volumes ndash water reservoirs improved at the end of the quarterndash SEK burdenedndash Results year-end weighted compared to 2010
bull Russiandash Commissioning of new units contributed to result improvementndash The return for the new capacity is guaranteed ndash EUR 100 million efficiency improvement reached
bull Nordic countriesndash Water reservoirs improved to long-term average
bull Overall strong financial position
28
Outlook
bull Key drivers and risksndash Wholesale price of electricity
bull Demandbull Fuelsbull CO2 emissions pricesbull Water reservoirsbull Nuclear availability
bull Nordic marketsndash Market continues to recover ndash 2008 level to be reached by 2012-2014ndash Electricity continues to gain share of total energy consumption
bull Russiandash Wholesale market liberalisedndash Profits from Russia build up in pace with the capacity increases
29
Outlook
bull Capex (excluding potential acquisitions)ndash 2011-2012 around EUR 16 to 18 billion annually (mainly due to Russian
investment programme)ndash 2013-2014 around EUR 11 to 14 billion annuallyndash Disclosed divestments totalled approximately EUR 05 billion
bull Hedgingndash 2011 approximately 70 hedge ratio at approximately EUR 45MWh(Q1 70 at EUR 44MWh)ndash 2012 approximately 50 hedge ratio at approximately EUR 46MWh(Q1 45 at EUR 45MWh)
30
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007 2008 2009 2010 2011 20120
10
20
30
40
50
60
70
80
90
100
110Spot prices Forward prices
3131
CO2 -free and energy-efficient solutions important
Create solid earnings growth in Russia
Leverage the strong Nordic core
Build platform for future growth
Competence in CO2 -free hydro nuclear and energy efficient CHP production and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -Fortumrsquos strategy remains intact
32
19 July 2011
Fortum Corporation
Interim Report
January-June 2011
Disclaimer
This presentation does not constitute an invitation to underwrite subscribe for or otherwise acquire or dispose of any Fortum shares
Past performance is no guide to future performance and persons needing advice should consult an independent financial adviser
Highlights in Q2
Increased uncertainty in macro environment
GLOBAL
- Incident in Fukushima in Japan
Finland
- No new decisions-in-principle on nuclear power in four years
- The new Governmentrsquos policy framework includes a possible implementation of a windfall tax and a uranium tax
Germany
- To be replaced by renewable energy
Q2 Market conditions
Nordic water reservoirs
Source Nord Pool Spot
Q1
Q2
Q3
Q4
2003
2008
2009
2011
2010
reference level
reservoir content (TWh)
0
20
40
60
80
100
120
Price development in the Nordic region and Russia
Includes capacity income
+17
+6
+24
+13
Q2 Good development continued
Q2 Comparable profit at last yearrsquos level
Comparable operating profit EUR million
-6
7
30
-14
348
339
0
-8
Power
Q22010
Heat
Russia
Distribution
Electricity
Sales
Other
Q22011
January-June Comparable profit at last yearrsquos level
Comparable operating profit EUR million
31
24
990
997
-113
48
29
-12
Power
H12010
Heat
Russia
Distribution
Electricity
Sales
Other
H12011
Fortum a forerunner in sustainability
Financials
Comparable and reported operating profit
Power
Q2 Power
Nuclear output in Q2
Planned outages in Oskarshamn 1amp3 and Forsmark 1 in Q22011
(In 2010 no outages in Q2)
If timing would have been similar in 2011 compared to 2010 nuclear output would have exceeded 2010 levels during Q2
Improved availability in Sweden
Q2 2011
Q2 2010
Nuclear
Outage effect
TWh
Q2 Power result declined due to several reasons
Comparable operating profit EUR million
257
-3
-4
0
271
3
-10
Volume
amp price
Q22010
Stronger
SEK
Russian
import
Property
taxes
Other
Q22011
Heat
Q2 Heat
Russia
Q2 Russia
Distribution
Q2 Distribution
Markets
Q2 Electricity Sales
Q2 Income statement
Q2 Cash flow statement
Key ratios
Q2 lsquo11
Debt maturity profile
per 30 June 2011 per 31 Dec 2010
Average interest rate (incl swaps and forwards)4435
Portion of floating fixed debt 47 53 49 51
Strong financial position
Return on capital employed
12
Return on shareholders equity
14
Net debtEBITDA
around 30
138
191
28
Fortumrsquos financial targets
LTM in Q22011
Good liquidity ndash committed credit lines total EUR 27 billion
Comparable net debtEBITDA
Outlook
Q2 Summary
Outlook
Outlook
(Q1 70 at EUR 44MWh)
(Q1 45 at EUR 45MWh)
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007
2008
2009
2010
2011
2012
0
10
20
30
40
50
60
70
80
90
100
110
Spot prices
Forward prices
CO2-free and energy-efficient solutions important
Create solid earnings
growth in Russia
Leverage the strong
Nordic core
Build platform for
future growth
Competence in CO2-free hydro nuclear and energy efficient CHP production
and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -
Fortumrsquos strategy remains intact
MEURII2011II2010I-II2011I-II2010LTM
Sales1833275569641 390
Comparable operating profit101021-335
Net Assets7759
Comparable RONA 341
Gross Investments10404
MEURII2011II2010I-II2011I-II2010LTM
Sales2152005264801 009
Comparable operating profit6053184155336
Net Assets3 4873 482
Comparable RONA 99
Gross Investments62479676233
0
250
500
750
1000
1250
1500
1750
20112012201320142015201620172018201920202021+
BondsFinancial institutionsOther long-term debtCPsOther short-term debt
MEURII2011II2010I-II2011I-II2010LTM
Sales195169490413881
Comparable operating profit21-955756
Net Assets3 0512 690
Comparable RONA 34
Gross Investments192167267258608
MEURII2011II2010I-II2011I-II2010LTM
Sales5745971 2671 3662 603
Comparable operating profit2572715826951 185
Net Assets5 9985 726
Comparable RONA 198
Gross Investments36226955136
MEURII2011II2010I-II2011I-II20102010LTM
Sales1 316
1 2953 3503 2426 296
6 404
Expenses-968-956-2 353-2 252-4 463-4 564
Comparable operating profit3483399979901 8331 840
Other items affecting comparability2611251285-125302
Operating profit6093511 5091 0751 7082 142
Share of profit of associates and jvs1515743162105
Financial expenses net-72-34-127-61-155-221
Profit before taxes5523321 4561 0451 6152 026
Income tax expense-74-61-232-191-261-302
Net profit for the period4782711 2248541 3541 724
Non-controlling interests6874325496
EPS basic (EUR)053030129093146183
EPS diluted (EUR)053030129093146183
Spot price for power in NordPool power exchange
448
459
662
523
621
0
12
24
36
48
60
72
Q22010Q32010Q42010Q12011Q22011
eurMWh
Powers Nordic power price
447
469
488
479
474
0
10
20
30
40
50
60
Q22010Q32010Q42010Q12011Q22011
eurMWh
MEURII2011II2010I-II2011I-II20102010LTM
Operating profit before depreciations7644901 8131 3512 2712 733
Non-cash flow items and divesting activities
-299-6-569-73124-372
Financial items and fx gainslosses
12-146-290-323-641-608
Taxes
-144-73-258-155-355-458
Funds from operations (FFO)
3332656968001 3991 295
Change in working capital
771571681433863
Total net cash from operating activities4104228649431 4371 358
Paid capital expenditures-297-263-503-486-1 134-1 151
Acquisition of shares-1-1-20-1-28-47
Other investing activities331-165417260529
Cash flow before financing activities443142882528335689
MEURII2011II2010I-II2011I-II2010LTM
Sales3223011 0479521 865
Comparable operating profit2533196165306
Net Assets3 9113 884
Comparable RONA 82
Gross Investments7259130121314
MEUR
II2011II2010II2011II2010I-II2011I-II2010I-II2011I-II2010
Power257271271280582695760747
Heat25332535196165290194
Russia21-921-95575523
Distribution605325253184155377166
Electricity Sales1010232321-33-6
Other-25-1917-31-41-2924-49
Total3483396093519979901 5091 075
Comparable operating profit
Reported operating profit
Comparable operating profit
Reported operating profit
Spot price for power (market price) Urals hub
770
935
817
950
954
0
200
400
600
800
1 000
1 200
Q22010Q32010Q42010Q12011Q22011
RUBMWh
Achieved power price for OAO Fortum
256
288
305
292
290
0
6
12
18
24
30
36
Q22010Q32010Q42010Q12011Q22011
eurMWh
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
MEURLTM20102009
EBITDA2 7332 2712 292
Comparable EBITDA2 4312 3962 398
Interest-bearing net debt6 7836 8265 969
Net debtEBITDA253026
Comparable Net debtEBITDA282825
Return on capital employed ()138116121
Return on shareholders equity ()191157160
) as of 30 June 2011
MEUR | |||
2011 | 231 | ||
2012 | 668 | ||
2013 | 639 | ||
2014 | 1223 | ||
2015 | 1051 | ||
2016 | 879 | ||
2017 | 270 | ||
2018 | 190 | ||
2019 | 840 | ||
2020 | 73 | ||
2021+ | 1530 |
MEUR | LTM | 2010 | 2009 | 2008 | 2006 | 2005 | |||||||
EBITDA | 2733 | 2271 | 2292 | 2478 | 1884 | ||||||||
Comparable EBITDA | 2431 | 2396 | 2398 | 1151 | 1271 | ||||||||
Interest-bearing net debt | 6 783 | 6826 | 5969 | 6179 | 4345 | 3158 | |||||||
Net debtEBITDA | 25 | 30 | 26 | 25 | 8161 | ||||||||
Comparable Net debtEBITDA | 28 | 28 | 25 | 16839 | 15130 | ||||||||
23 | 18 | ||||||||||||
Return on capital employed () | 138 | 116 | 121 | 150 | 134 | 135 | |||||||
Return on shareholders equity () | 191 | 157 | 160 | 187 | 144 | 135 | |||||||
) as of 30 June 2011 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | |||||||||||
Operating profit before depreciations | 764 | 490 | 1813 | 1351 | 2271 | 2733 | 2478 | 1663 | 2370 | 0 | |||||||||||
Non-cash flow items and divesting activities | -299 | -6 | -569 | -73 | 124 | -372 | -275 | -268 | -56 | 0 | |||||||||||
Financial items and fx gainslosses | 12 | -146 | -290 | -323 | -641 | -608 | 233 | ||||||||||||||
Taxes | -144 | -73 | -258 | -155 | -355 | -458 | -332 | -231 | -534 | 0 | |||||||||||
Funds from operations (FFO) | 333 | 265 | 696 | 800 | 1399 | 1295 | 2104 | 1164 | 1780 | 0 | |||||||||||
Change in working capital | 77 | 157 | 168 | 143 | 38 | 63 | -102 | 161 | 5 | 0 | |||||||||||
Total net cash from operating activities | 410 | 422 | 864 | 943 | 1437 | 1358 | 2002 | 1325 | 1785 | 0 | |||||||||||
Paid capital expenditures | -297 | -263 | -503 | -486 | -1134 | -1151 | -1018 | -341 | -931 | 0 | |||||||||||
Acquisition of shares | -1 | -1 | -20 | -1 | -28 | -47 | -1243 | -257 | -1243 | 0 | |||||||||||
Other investing activities | 331 | -16 | 541 | 72 | 60 | 529 | -21 | 258 | -34 | 0 | |||||||||||
Cash flow before financing activities | 443 | 142 | 882 | 528 | 335 | 689 | -280 | 985 | -423 | 0 |
MEUR | Q1-Q300 | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | 2004 | ||||||||||||||||||
Sales | 7732 | 1316 | 1295 | 3350 | 3242 | 6296 | 6404 | 5636 | 3159 | 5354 | 0 | 3835 | ||||||||||||||||||
Expenses | -7109 | -968 | -956 | -2353 | -2252 | -4463 | -4564 | -3673 | -1832 | -3482 | 0 | -2640 | ||||||||||||||||||
Comparable operating profit | 623 | 348 | 339 | 997 | 990 | 1833 | 1840 | 1963 | 1327 | 1872 | 0 | 1195 | ||||||||||||||||||
Other items affecting comparability | 261 | 12 | 512 | 85 | -125 | 302 | ||||||||||||||||||||||||
Operating profit | 609 | 351 | 1509 | 1075 | 1708 | 2142 | ||||||||||||||||||||||||
Share of profit of associates and jvs | 15 | 15 | 74 | 31 | 62 | 105 | 126 | 223 | 96 | 0 | 12 | |||||||||||||||||||
Financial expenses net | -209 | -72 | -34 | -127 | -61 | -155 | -221 | -239 | -117 | -222 | 0 | -245 | ||||||||||||||||||
Profit before taxes | 0 | 552 | 332 | 1456 | 1045 | 1615 | 2026 | 1850 | 1433 | 1746 | 0 | 0 | ||||||||||||||||||
Income tax expense | -83 | -74 | -61 | -232 | -191 | -261 | -302 | -254 | -218 | -364 | 0 | -259 | ||||||||||||||||||
Net profit for the period | -26 | 478 | 271 | 1224 | 854 | 1354 | 1724 | 1596 | 1215 | 1382 | 0 | 0 | ||||||||||||||||||
Non-controlling interests | 6 | 8 | 74 | 32 | 54 | 96 | 54 | 31 | 35 | 0 | 33 | |||||||||||||||||||
EPS basic (EUR) | 039 | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 148 | ||||||||||||||||||
EPS diluted (EUR) | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 079 | |||||||||||||||||||
069 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 183 | 327 | 556 | 964 | 1390 | |||||||
Comparable operating profit | 10 | 10 | 21 | -3 | 35 | |||||||
Net Assets | 77 | 59 | ||||||||||
Comparable RONA | 341 | |||||||||||
Gross Investments | 1 | 0 | 4 | 0 | 4 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 215 | 200 | 526 | 480 | 1009 | |||||||
Comparable operating profit | 60 | 53 | 184 | 155 | 336 | |||||||
Net Assets | 3487 | 3482 | ||||||||||
Comparable RONA | 99 | |||||||||||
Gross Investments | 62 | 47 | 96 | 76 | 233 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 195 | 169 | 490 | 413 | 881 | |||||||
Comparable operating profit | 21 | -9 | 55 | 7 | 56 | |||||||
Net Assets | 3051 | 2690 | ||||||||||
Comparable RONA | 34 | |||||||||||
Gross Investments | 192 | 167 | 267 | 258 | 608 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 322 | 301 | 1047 | 952 | 1865 | |||||||
Comparable operating profit | 25 | 33 | 196 | 165 | 306 | |||||||
Net Assets | 3911 | 3884 | ||||||||||
Comparable RONA | 82 | |||||||||||
Gross Investments | 72 | 59 | 130 | 121 | 314 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 574 | 597 | 1267 | 1366 | 2603 | |||||||
Comparable operating profit | 257 | 271 | 582 | 695 | 1185 | |||||||
Net Assets | 5998 | 5726 | ||||||||||
Comparable RONA | 198 | |||||||||||
Gross Investments | 36 | 22 | 69 | 55 | 136 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Roumlrelseresultat II2009 | Roumlrelseresultat II2008 | Liikevoitto 2008 | Liikevoitto 2007 | |||||||||||||||||||||||
Jaumlmfoumlrbart | Rapporterat | Jaumlmfoumlrbart | Rapporterat | Vertkelp | Raportoitu | Vertkelp | Raportoitu | |||||||||||||||||||
Kraftproduktion | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Vaumlrme | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Markets | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Ryssland | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Oumlvrigt | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Summa | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Liikevoitto II2010 | Liikevoitto II2009 | Liikevoitto I-II2010 | Liikevoitto I-II2009 | |||||||||||||||||||||||
Vertkelp | Raportoitu | Vertkelp | Raportoitu | Vertkelp | Raportoitu | Vertkelp | Raportoitu | |||||||||||||||||||
Power | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Heat | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Saumlhkoumlnmyynti | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Russia | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Muut | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Yhteensauml | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 | ||||||||||||||||||
I-III2009 | ||||||||||||||||||||||||||
SEK | Muut | Yhteensauml | ||||||||||||||||||||||||
Saumlhkoumlntuotanto | -67 | -3 | -70 | |||||||||||||||||||||||
Laumlmpouml | -10 | -2 | -12 | |||||||||||||||||||||||
Saumlhkoumlnsiirto | -13 | -1 | -14 | |||||||||||||||||||||||
Markets | -1 | -1 | -2 | |||||||||||||||||||||||
Venaumljauml | 0 | 6 | 6 | |||||||||||||||||||||||
Muu | 0 | 1 | 1 | |||||||||||||||||||||||
Yhteensauml | -91 | 0 | -91 |
Operating profit II2010 | Operating profit II2009 | Operating profit I-II2010 | Operating profit I-2009 | |||||||||||||||||||||||
Comparable | Reported | Comparable | Reported | Comparable | Reported | Comparable | Reported | |||||||||||||||||||
Power | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Heat | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Electricity Sales | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Russia | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Other | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Total | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 | ||||||||||||||||||
Currency translation effects on comparable operating profit | ||||||||||||||||||||||||||
I2009 | I-III2009 | |||||||||||||||||||||||||
SEK | Other | Total | SEK | Other | Total | |||||||||||||||||||||
Power Generation | -55 | -3 | -58 | Power Generation | -67 | -3 | -70 | |||||||||||||||||||
Heat | -12 | -3 | -15 | Heat | -10 | -2 | -12 | |||||||||||||||||||
Distribution | -11 | -1 | -12 | Distribution | -13 | -1 | -14 | |||||||||||||||||||
Markets | -1 | 0 | -1 | Markets | -1 | -1 | -2 | |||||||||||||||||||
Russia | 0 | 1 | 1 | Russia | 0 | 6 | 6 | |||||||||||||||||||
Other | 1 | 0 | 1 | Other | 0 | 1 | 1 | |||||||||||||||||||
Total | -78 | -6 | -84 | Total | -91 | 0 | -91 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Vertkelpliikevoitto | Raportoitu liikevoitto | Vertkelpliikevoitto | Raportoitu liikevoitto | |||||||||||||||||||||||
II2010 | II2009 | II2010 | II2009 | I-II2010 | I-II2009 | I-II2010 | I-II2009 | |||||||||||||||||||
Power | 257 | 271 | 271 | 280 | 582 | 695 | 760 | 747 | ||||||||||||||||||
Heat | 25 | 33 | 25 | 35 | 196 | 165 | 290 | 194 | ||||||||||||||||||
Distribution | 21 | -9 | 21 | -9 | 55 | 7 | 55 | 23 | ||||||||||||||||||
Saumlhkoumlnmyynti | 60 | 53 | 252 | 53 | 184 | 155 | 377 | 166 | ||||||||||||||||||
Russia | 10 | 10 | 23 | 23 | 21 | -3 | 3 | -6 | ||||||||||||||||||
Muut | -25 | -19 | 17 | -31 | -41 | -29 | 24 | -49 | ||||||||||||||||||
Yhteensauml | 348 | 339 | 609 | 351 | 997 | 990 | 1509 | 1075 | ||||||||||||||||||
I-III2009 | ||||||||||||||||||||||||||
SEK | Muut | Yhteensauml | ||||||||||||||||||||||||
Saumlhkoumlntuotanto | -67 | -3 | -70 | |||||||||||||||||||||||
Laumlmpouml | -10 | -2 | -12 | |||||||||||||||||||||||
Saumlhkoumlnsiirto | -13 | -1 | -14 | |||||||||||||||||||||||
Markets | -1 | -1 | -2 | |||||||||||||||||||||||
Venaumljauml | 0 | 6 | 6 | |||||||||||||||||||||||
Muu | 0 | 1 | 1 | |||||||||||||||||||||||
Yhteensauml | -91 | 0 | -91 |
MEUR | Comparable operating profit | Reported operating profit | Comparable operating profit | Reported operating profit | ||||||||||||||||||||||
II2011 | II2010 | II2011 | II2010 | I-II2011 | I-II2010 | I-II2011 | I-II2010 | |||||||||||||||||||
Power | 257 | 271 | 271 | 280 | 582 | 695 | 760 | 747 | ||||||||||||||||||
Heat | 25 | 33 | 25 | 35 | 196 | 165 | 290 | 194 | ||||||||||||||||||
Russia | 21 | -9 | 21 | -9 | 55 | 7 | 55 | 23 | ||||||||||||||||||
Distribution | 60 | 53 | 252 | 53 | 184 | 155 | 377 | 166 | ||||||||||||||||||
Electricity Sales | 10 | 10 | 23 | 23 | 21 | -3 | 3 | -6 | ||||||||||||||||||
Other | -25 | -19 | 17 | -31 | -41 | -29 | 24 | -49 | ||||||||||||||||||
Total | 348 | 339 | 609 | 351 | 997 | 990 | 1509 | 1075 | ||||||||||||||||||
Currency translation effects on comparable operating profit | ||||||||||||||||||||||||||
I2009 | I-III2009 | |||||||||||||||||||||||||
SEK | Other | Total | SEK | Other | Total | |||||||||||||||||||||
Power Generation | -55 | -3 | -58 | Power Generation | -67 | -3 | -70 | |||||||||||||||||||
Heat | -12 | -3 | -15 | Heat | -10 | -2 | -12 | |||||||||||||||||||
Distribution | -11 | -1 | -12 | Distribution | -13 | -1 | -14 | |||||||||||||||||||
Markets | -1 | 0 | -1 | Markets | -1 | -1 | -2 | |||||||||||||||||||
Russia | 0 | 1 | 1 | Russia | 0 | 6 | 6 | |||||||||||||||||||
Other | 1 | 0 | 1 | Other | 0 | 1 | 1 | |||||||||||||||||||
Total | -78 | -6 | -84 | Total | -91 | 0 | -91 |
11
bull Dow Jones Sustainability Index Worldndash Fortum is the only Nordic power and heat company listed in the index
bull SAM Sustainability Yearbook 2010 and 2011bull oekombull OMX GES Sustainability Finland Indexbull Storebrand SRI
ndash Based on the assessments conducted in 2006 and 2009 Fortum was the most responsible electricity company globallybull Carbon Disclosure Project
1111
Fortum a forerunner in sustainabilityg CO2kWh electricity 2009
Average 346 gkWh
0
200
400
600
800
1000
1200
DE
I
Dra
x
RW
E
CEZ
SS
E
ED
P
Ene
l
Vat
tenf
all
EO
N
Don
g
Uni
on F
enos
a
GD
F S
UE
Z E
urop
e
Iber
drol
a
Fortu
m to
tal
ED
F
PV
O
Ver
bund
Fortu
m E
U
Sta
tkra
ft
41155
g CO2kWh electricity 2009
Average 346 gkWh
0
200
400
600
800
1000
1200
DE
I
Dra
x
RW
E
CEZ
SS
E
ED
P
Ene
l
Vat
tenf
all
EO
N
Don
g
Uni
on F
enos
a
GD
F S
UE
Z E
urop
e
Iber
drol
a
Fortu
m to
tal
ED
F
PV
O
Ver
bund
Fortu
m E
U
Sta
tkra
ft
411550
200
400
600
800
1000
1200
DE
I
Dra
x
RW
E
CEZ
SS
E
ED
P
Ene
l
Vat
tenf
all
EO
N
Don
g
Uni
on F
enos
a
GD
F S
UE
Z E
urop
e
Iber
drol
a
Fortu
m to
tal
ED
F
PV
O
Ver
bund
Fortu
m E
U
Sta
tkra
ft
41155
12
Financials
13
Comparable and reported operating profit
MEURII2011 II2010 II2011 II2010 I-II2011 I-II2010 I-II2011 I-II2010
Power 257 271 271 280 582 695 760 747Heat 25 33 25 35 196 165 290 194Russia 21 -9 21 -9 55 7 55 23Distribution 60 53 252 53 184 155 377 166Electricity Sales 10 10 23 23 21 -3 3 -6Other -25 -19 17 -31 -41 -29 24 -49Total 348 339 609 351 997 990 1 509 1 075
Comparable operating profit
Reported operating profit
Comparable operating profit
Reported operating profit
bull IFRS accounting treatment (IAS 39) of derivatives had a positive impact on the reported operating profit EUR 76 (-15) million or earnings per share EUR 007 (-001) in the second quarter and EUR 249 (21) million or earnings per share EUR 021 (002) for January-June 2011
14
Power
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 574 597 1 267 1 366 2 603
Comparable operating profit 257 271 582 695 1 185
Net Assets 5 998 5 726
Comparable RONA 198
Gross Investments 36 22 69 55 136
Q2 Power
bull Comparable operating profit decreasedndash Swedish nuclear availability back at 80-85ndash Lower hydro and nuclear volumesndash Water reservoirs improved significantly towards the
end of the quarter
15
Nuclear output in Q2
Q2 2011
Q2 2010
Nuclear Outage effect
TWh
Planned outages in Oskarshamn 1amp3 and Forsmark 1 in Q22011(In 2010 no outages in Q2)
If timing would have been similar in 2011 compared to 2010 nuclear output would have exceeded 2010 levels during Q2
Improved availability in Sweden
16
Q2 Power result declined due to several reasons
Comparable operating profit EUR million
257-3-40271 3-10
Volumeamp priceQ22010 Stronger
SEKRussianimport
Propertytaxes Other Q22011
17
Heat
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 322 301 1 047 952 1 865
Comparable operating profit 25 33 196 165 306
Net Assets 3 911 3 884
Comparable RONA 82
Gross Investments 72 59 130 121 314
Q2 Heat
bull Comparable operating profit decreasedndash Lower heat volumes in Sweden caused by
divestment during first quarterndash Integration cost provisions in Poland
18
Russiabull Comparable operating profit improved
ndash Commissioning of the new unit ndash Higher electricity market prices ndash Efficiency improvementsndash Reversal of CSA provisions related to the newly
commissioned units
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 195 169 490 413 881
Comparable operating profit 21 -9 55 7 56
Net Assets 3 051 2 690
Comparable RONA 34
Gross Investments 192 167 267 258 608
Q2 Russia
19
Distribution
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 215 200 526 480 1 009
Comparable operating profit 60 53 184 155 336
Net Assets 3 487 3 482
Comparable RONA 99
Gross Investments 62 47 96 76 233
Q2 Distribution
bull Comparable operating profit increasedndash Lower transmission costsndash Stronger SEK
bull Smart metering rollout to network customers in Finland continued
20
Markets
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 183 327 556 964 1 390
Comparable operating profit 10 10 21 -3 35
Net Assets 77 59
Comparable RONA 341
Gross Investments 1 0 4 0 4
Q2 Electricity Sales
bull Comparable operating profit at last yearrsquos levelndash Tough competitionndash Restructuring of the Business Market segment
21
MEUR II2011 II2010 I-II2011 I-II2010 2010 LTM
Sales 1 316 1 295 3 350 3 242 6 296 6 404Expenses -968 -956 -2 353 -2 252 -4 463 -4 564
Comparable operating profit 348 339 997 990 1 833 1 840
Other items affecting comparability 261 12 512 85 -125 302
Operating profit 609 351 1 509 1 075 1 708 2 142Share of profit of associates and jvs 15 15 74 31 62 105Financial expenses net -72 -34 -127 -61 -155 -221
Profit before taxes 552 332 1 456 1 045 1 615 2 026Income tax expense -74 -61 -232 -191 -261 -302
Net profit for the period 478 271 1 224 854 1 354 1 724Non-controlling interests 6 8 74 32 54 96
EPS basic (EUR) 053 030 129 093 146 183EPS diluted (EUR) 053 030 129 093 146 183
Q2 Income statement
22
Q2 Cash flow statement
MEUR II2011 II2010 I-II2011 I-II2010 2010 LTM
Operating profit before depreciations 764 490 1 813 1 351 2 271 2 733
Non-cash flow items and divesting activities -299 -6 -569 -73 124 -372
Financial items and fx gainslosses 12 -146 -290 -323 -641 -608
Taxes -144 -73 -258 -155 -355 -458
Funds from operations (FFO) 333 265 696 800 1 399 1 295
Change in working capital 77 157 168 143 38 63
Total net cash from operating activities 410 422 864 943 1 437 1 358
Paid capital expenditures -297 -263 -503 -486 -1 134 -1 151
Acquisition of shares -1 -1 -20 -1 -28 -47
Other investing activities 331 -16 541 72 60 529
Cash flow before financing activities 443 142 882 528 335 689
23
MEUR LTM 2010 2009EBITDA 2 733 2 271 2 292Comparable EBITDA 2 431 2 396 2 398Interest-bearing net debt 6 783 6 826 5 969Net debtEBITDA 25 30 26Comparable Net debtEBITDA 28 28 25
Return on capital employed () 138 116 121Return on shareholders equity () 191 157 160
) as of 30 June 2011
Key ratios
Q2 lsquo11
24
Debt maturity profile
0
250
500
750
1000
1250
1500
1750
2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021+
Bonds Financial institutions Other long-term debt CPs Other short-term debt
MEUR
2011 231
2012 668
2013 639
2014 1223
2015 1051
2016 879
2017 270
2018 190
2019 840
2020 73
2021+ 1530
per 30 June 2011 per 31 Dec 2010
Average interest rate (incl swaps and forwards) 44 35Portion of floating fixed debt 47 53 49 51
25
Strong financial position
Return on capital employed12
Return on shareholders equity14
Net debtEBITDAaround 30
138
191
28
Fortumrsquos financial targets LTM in Q22011
Good liquidity ndash committed credit lines total EUR 27 billion
Comparable net debtEBITDA
26
Outlook
27
Q2 Summary
bull Solid performance continued - seasonalitybull Power
ndash Improved nuclear availability- timing of Swedish planned nuclear outages impacted volume
ndash Swedish nuclear back at 80-85 in availabilityndash Lower hydro volumes ndash water reservoirs improved at the end of the quarterndash SEK burdenedndash Results year-end weighted compared to 2010
bull Russiandash Commissioning of new units contributed to result improvementndash The return for the new capacity is guaranteed ndash EUR 100 million efficiency improvement reached
bull Nordic countriesndash Water reservoirs improved to long-term average
bull Overall strong financial position
28
Outlook
bull Key drivers and risksndash Wholesale price of electricity
bull Demandbull Fuelsbull CO2 emissions pricesbull Water reservoirsbull Nuclear availability
bull Nordic marketsndash Market continues to recover ndash 2008 level to be reached by 2012-2014ndash Electricity continues to gain share of total energy consumption
bull Russiandash Wholesale market liberalisedndash Profits from Russia build up in pace with the capacity increases
29
Outlook
bull Capex (excluding potential acquisitions)ndash 2011-2012 around EUR 16 to 18 billion annually (mainly due to Russian
investment programme)ndash 2013-2014 around EUR 11 to 14 billion annuallyndash Disclosed divestments totalled approximately EUR 05 billion
bull Hedgingndash 2011 approximately 70 hedge ratio at approximately EUR 45MWh(Q1 70 at EUR 44MWh)ndash 2012 approximately 50 hedge ratio at approximately EUR 46MWh(Q1 45 at EUR 45MWh)
30
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007 2008 2009 2010 2011 20120
10
20
30
40
50
60
70
80
90
100
110Spot prices Forward prices
3131
CO2 -free and energy-efficient solutions important
Create solid earnings growth in Russia
Leverage the strong Nordic core
Build platform for future growth
Competence in CO2 -free hydro nuclear and energy efficient CHP production and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -Fortumrsquos strategy remains intact
32
19 July 2011
Fortum Corporation
Interim Report
January-June 2011
Disclaimer
This presentation does not constitute an invitation to underwrite subscribe for or otherwise acquire or dispose of any Fortum shares
Past performance is no guide to future performance and persons needing advice should consult an independent financial adviser
Highlights in Q2
Increased uncertainty in macro environment
GLOBAL
- Incident in Fukushima in Japan
Finland
- No new decisions-in-principle on nuclear power in four years
- The new Governmentrsquos policy framework includes a possible implementation of a windfall tax and a uranium tax
Germany
- To be replaced by renewable energy
Q2 Market conditions
Nordic water reservoirs
Source Nord Pool Spot
Q1
Q2
Q3
Q4
2003
2008
2009
2011
2010
reference level
reservoir content (TWh)
0
20
40
60
80
100
120
Price development in the Nordic region and Russia
Includes capacity income
+17
+6
+24
+13
Q2 Good development continued
Q2 Comparable profit at last yearrsquos level
Comparable operating profit EUR million
-6
7
30
-14
348
339
0
-8
Power
Q22010
Heat
Russia
Distribution
Electricity
Sales
Other
Q22011
January-June Comparable profit at last yearrsquos level
Comparable operating profit EUR million
31
24
990
997
-113
48
29
-12
Power
H12010
Heat
Russia
Distribution
Electricity
Sales
Other
H12011
Fortum a forerunner in sustainability
Financials
Comparable and reported operating profit
Power
Q2 Power
Nuclear output in Q2
Planned outages in Oskarshamn 1amp3 and Forsmark 1 in Q22011
(In 2010 no outages in Q2)
If timing would have been similar in 2011 compared to 2010 nuclear output would have exceeded 2010 levels during Q2
Improved availability in Sweden
Q2 2011
Q2 2010
Nuclear
Outage effect
TWh
Q2 Power result declined due to several reasons
Comparable operating profit EUR million
257
-3
-4
0
271
3
-10
Volume
amp price
Q22010
Stronger
SEK
Russian
import
Property
taxes
Other
Q22011
Heat
Q2 Heat
Russia
Q2 Russia
Distribution
Q2 Distribution
Markets
Q2 Electricity Sales
Q2 Income statement
Q2 Cash flow statement
Key ratios
Q2 lsquo11
Debt maturity profile
per 30 June 2011 per 31 Dec 2010
Average interest rate (incl swaps and forwards)4435
Portion of floating fixed debt 47 53 49 51
Strong financial position
Return on capital employed
12
Return on shareholders equity
14
Net debtEBITDA
around 30
138
191
28
Fortumrsquos financial targets
LTM in Q22011
Good liquidity ndash committed credit lines total EUR 27 billion
Comparable net debtEBITDA
Outlook
Q2 Summary
Outlook
Outlook
(Q1 70 at EUR 44MWh)
(Q1 45 at EUR 45MWh)
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007
2008
2009
2010
2011
2012
0
10
20
30
40
50
60
70
80
90
100
110
Spot prices
Forward prices
CO2-free and energy-efficient solutions important
Create solid earnings
growth in Russia
Leverage the strong
Nordic core
Build platform for
future growth
Competence in CO2-free hydro nuclear and energy efficient CHP production
and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -
Fortumrsquos strategy remains intact
MEURII2011II2010I-II2011I-II2010LTM
Sales1833275569641 390
Comparable operating profit101021-335
Net Assets7759
Comparable RONA 341
Gross Investments10404
MEURII2011II2010I-II2011I-II2010LTM
Sales2152005264801 009
Comparable operating profit6053184155336
Net Assets3 4873 482
Comparable RONA 99
Gross Investments62479676233
0
250
500
750
1000
1250
1500
1750
20112012201320142015201620172018201920202021+
BondsFinancial institutionsOther long-term debtCPsOther short-term debt
MEURII2011II2010I-II2011I-II2010LTM
Sales195169490413881
Comparable operating profit21-955756
Net Assets3 0512 690
Comparable RONA 34
Gross Investments192167267258608
MEURII2011II2010I-II2011I-II2010LTM
Sales5745971 2671 3662 603
Comparable operating profit2572715826951 185
Net Assets5 9985 726
Comparable RONA 198
Gross Investments36226955136
MEURII2011II2010I-II2011I-II20102010LTM
Sales1 316
1 2953 3503 2426 296
6 404
Expenses-968-956-2 353-2 252-4 463-4 564
Comparable operating profit3483399979901 8331 840
Other items affecting comparability2611251285-125302
Operating profit6093511 5091 0751 7082 142
Share of profit of associates and jvs1515743162105
Financial expenses net-72-34-127-61-155-221
Profit before taxes5523321 4561 0451 6152 026
Income tax expense-74-61-232-191-261-302
Net profit for the period4782711 2248541 3541 724
Non-controlling interests6874325496
EPS basic (EUR)053030129093146183
EPS diluted (EUR)053030129093146183
Spot price for power in NordPool power exchange
448
459
662
523
621
0
12
24
36
48
60
72
Q22010Q32010Q42010Q12011Q22011
eurMWh
Powers Nordic power price
447
469
488
479
474
0
10
20
30
40
50
60
Q22010Q32010Q42010Q12011Q22011
eurMWh
MEURII2011II2010I-II2011I-II20102010LTM
Operating profit before depreciations7644901 8131 3512 2712 733
Non-cash flow items and divesting activities
-299-6-569-73124-372
Financial items and fx gainslosses
12-146-290-323-641-608
Taxes
-144-73-258-155-355-458
Funds from operations (FFO)
3332656968001 3991 295
Change in working capital
771571681433863
Total net cash from operating activities4104228649431 4371 358
Paid capital expenditures-297-263-503-486-1 134-1 151
Acquisition of shares-1-1-20-1-28-47
Other investing activities331-165417260529
Cash flow before financing activities443142882528335689
MEURII2011II2010I-II2011I-II2010LTM
Sales3223011 0479521 865
Comparable operating profit2533196165306
Net Assets3 9113 884
Comparable RONA 82
Gross Investments7259130121314
MEUR
II2011II2010II2011II2010I-II2011I-II2010I-II2011I-II2010
Power257271271280582695760747
Heat25332535196165290194
Russia21-921-95575523
Distribution605325253184155377166
Electricity Sales1010232321-33-6
Other-25-1917-31-41-2924-49
Total3483396093519979901 5091 075
Comparable operating profit
Reported operating profit
Comparable operating profit
Reported operating profit
Spot price for power (market price) Urals hub
770
935
817
950
954
0
200
400
600
800
1 000
1 200
Q22010Q32010Q42010Q12011Q22011
RUBMWh
Achieved power price for OAO Fortum
256
288
305
292
290
0
6
12
18
24
30
36
Q22010Q32010Q42010Q12011Q22011
eurMWh
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
MEURLTM20102009
EBITDA2 7332 2712 292
Comparable EBITDA2 4312 3962 398
Interest-bearing net debt6 7836 8265 969
Net debtEBITDA253026
Comparable Net debtEBITDA282825
Return on capital employed ()138116121
Return on shareholders equity ()191157160
) as of 30 June 2011
MEUR | |||
2011 | 231 | ||
2012 | 668 | ||
2013 | 639 | ||
2014 | 1223 | ||
2015 | 1051 | ||
2016 | 879 | ||
2017 | 270 | ||
2018 | 190 | ||
2019 | 840 | ||
2020 | 73 | ||
2021+ | 1530 |
MEUR | LTM | 2010 | 2009 | 2008 | 2006 | 2005 | |||||||
EBITDA | 2733 | 2271 | 2292 | 2478 | 1884 | ||||||||
Comparable EBITDA | 2431 | 2396 | 2398 | 1151 | 1271 | ||||||||
Interest-bearing net debt | 6 783 | 6826 | 5969 | 6179 | 4345 | 3158 | |||||||
Net debtEBITDA | 25 | 30 | 26 | 25 | 8161 | ||||||||
Comparable Net debtEBITDA | 28 | 28 | 25 | 16839 | 15130 | ||||||||
23 | 18 | ||||||||||||
Return on capital employed () | 138 | 116 | 121 | 150 | 134 | 135 | |||||||
Return on shareholders equity () | 191 | 157 | 160 | 187 | 144 | 135 | |||||||
) as of 30 June 2011 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | |||||||||||
Operating profit before depreciations | 764 | 490 | 1813 | 1351 | 2271 | 2733 | 2478 | 1663 | 2370 | 0 | |||||||||||
Non-cash flow items and divesting activities | -299 | -6 | -569 | -73 | 124 | -372 | -275 | -268 | -56 | 0 | |||||||||||
Financial items and fx gainslosses | 12 | -146 | -290 | -323 | -641 | -608 | 233 | ||||||||||||||
Taxes | -144 | -73 | -258 | -155 | -355 | -458 | -332 | -231 | -534 | 0 | |||||||||||
Funds from operations (FFO) | 333 | 265 | 696 | 800 | 1399 | 1295 | 2104 | 1164 | 1780 | 0 | |||||||||||
Change in working capital | 77 | 157 | 168 | 143 | 38 | 63 | -102 | 161 | 5 | 0 | |||||||||||
Total net cash from operating activities | 410 | 422 | 864 | 943 | 1437 | 1358 | 2002 | 1325 | 1785 | 0 | |||||||||||
Paid capital expenditures | -297 | -263 | -503 | -486 | -1134 | -1151 | -1018 | -341 | -931 | 0 | |||||||||||
Acquisition of shares | -1 | -1 | -20 | -1 | -28 | -47 | -1243 | -257 | -1243 | 0 | |||||||||||
Other investing activities | 331 | -16 | 541 | 72 | 60 | 529 | -21 | 258 | -34 | 0 | |||||||||||
Cash flow before financing activities | 443 | 142 | 882 | 528 | 335 | 689 | -280 | 985 | -423 | 0 |
MEUR | Q1-Q300 | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | 2004 | ||||||||||||||||||
Sales | 7732 | 1316 | 1295 | 3350 | 3242 | 6296 | 6404 | 5636 | 3159 | 5354 | 0 | 3835 | ||||||||||||||||||
Expenses | -7109 | -968 | -956 | -2353 | -2252 | -4463 | -4564 | -3673 | -1832 | -3482 | 0 | -2640 | ||||||||||||||||||
Comparable operating profit | 623 | 348 | 339 | 997 | 990 | 1833 | 1840 | 1963 | 1327 | 1872 | 0 | 1195 | ||||||||||||||||||
Other items affecting comparability | 261 | 12 | 512 | 85 | -125 | 302 | ||||||||||||||||||||||||
Operating profit | 609 | 351 | 1509 | 1075 | 1708 | 2142 | ||||||||||||||||||||||||
Share of profit of associates and jvs | 15 | 15 | 74 | 31 | 62 | 105 | 126 | 223 | 96 | 0 | 12 | |||||||||||||||||||
Financial expenses net | -209 | -72 | -34 | -127 | -61 | -155 | -221 | -239 | -117 | -222 | 0 | -245 | ||||||||||||||||||
Profit before taxes | 0 | 552 | 332 | 1456 | 1045 | 1615 | 2026 | 1850 | 1433 | 1746 | 0 | 0 | ||||||||||||||||||
Income tax expense | -83 | -74 | -61 | -232 | -191 | -261 | -302 | -254 | -218 | -364 | 0 | -259 | ||||||||||||||||||
Net profit for the period | -26 | 478 | 271 | 1224 | 854 | 1354 | 1724 | 1596 | 1215 | 1382 | 0 | 0 | ||||||||||||||||||
Non-controlling interests | 6 | 8 | 74 | 32 | 54 | 96 | 54 | 31 | 35 | 0 | 33 | |||||||||||||||||||
EPS basic (EUR) | 039 | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 148 | ||||||||||||||||||
EPS diluted (EUR) | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 079 | |||||||||||||||||||
069 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 183 | 327 | 556 | 964 | 1390 | |||||||
Comparable operating profit | 10 | 10 | 21 | -3 | 35 | |||||||
Net Assets | 77 | 59 | ||||||||||
Comparable RONA | 341 | |||||||||||
Gross Investments | 1 | 0 | 4 | 0 | 4 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 215 | 200 | 526 | 480 | 1009 | |||||||
Comparable operating profit | 60 | 53 | 184 | 155 | 336 | |||||||
Net Assets | 3487 | 3482 | ||||||||||
Comparable RONA | 99 | |||||||||||
Gross Investments | 62 | 47 | 96 | 76 | 233 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 195 | 169 | 490 | 413 | 881 | |||||||
Comparable operating profit | 21 | -9 | 55 | 7 | 56 | |||||||
Net Assets | 3051 | 2690 | ||||||||||
Comparable RONA | 34 | |||||||||||
Gross Investments | 192 | 167 | 267 | 258 | 608 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 322 | 301 | 1047 | 952 | 1865 | |||||||
Comparable operating profit | 25 | 33 | 196 | 165 | 306 | |||||||
Net Assets | 3911 | 3884 | ||||||||||
Comparable RONA | 82 | |||||||||||
Gross Investments | 72 | 59 | 130 | 121 | 314 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 574 | 597 | 1267 | 1366 | 2603 | |||||||
Comparable operating profit | 257 | 271 | 582 | 695 | 1185 | |||||||
Net Assets | 5998 | 5726 | ||||||||||
Comparable RONA | 198 | |||||||||||
Gross Investments | 36 | 22 | 69 | 55 | 136 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Roumlrelseresultat II2009 | Roumlrelseresultat II2008 | Liikevoitto 2008 | Liikevoitto 2007 | |||||||||||||||||||||||
Jaumlmfoumlrbart | Rapporterat | Jaumlmfoumlrbart | Rapporterat | Vertkelp | Raportoitu | Vertkelp | Raportoitu | |||||||||||||||||||
Kraftproduktion | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Vaumlrme | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Markets | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Ryssland | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Oumlvrigt | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Summa | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Liikevoitto II2010 | Liikevoitto II2009 | Liikevoitto I-II2010 | Liikevoitto I-II2009 | |||||||||||||||||||||||
Vertkelp | Raportoitu | Vertkelp | Raportoitu | Vertkelp | Raportoitu | Vertkelp | Raportoitu | |||||||||||||||||||
Power | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Heat | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Saumlhkoumlnmyynti | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Russia | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Muut | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Yhteensauml | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 | ||||||||||||||||||
I-III2009 | ||||||||||||||||||||||||||
SEK | Muut | Yhteensauml | ||||||||||||||||||||||||
Saumlhkoumlntuotanto | -67 | -3 | -70 | |||||||||||||||||||||||
Laumlmpouml | -10 | -2 | -12 | |||||||||||||||||||||||
Saumlhkoumlnsiirto | -13 | -1 | -14 | |||||||||||||||||||||||
Markets | -1 | -1 | -2 | |||||||||||||||||||||||
Venaumljauml | 0 | 6 | 6 | |||||||||||||||||||||||
Muu | 0 | 1 | 1 | |||||||||||||||||||||||
Yhteensauml | -91 | 0 | -91 |
Operating profit II2010 | Operating profit II2009 | Operating profit I-II2010 | Operating profit I-2009 | |||||||||||||||||||||||
Comparable | Reported | Comparable | Reported | Comparable | Reported | Comparable | Reported | |||||||||||||||||||
Power | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Heat | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Electricity Sales | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Russia | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Other | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Total | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 | ||||||||||||||||||
Currency translation effects on comparable operating profit | ||||||||||||||||||||||||||
I2009 | I-III2009 | |||||||||||||||||||||||||
SEK | Other | Total | SEK | Other | Total | |||||||||||||||||||||
Power Generation | -55 | -3 | -58 | Power Generation | -67 | -3 | -70 | |||||||||||||||||||
Heat | -12 | -3 | -15 | Heat | -10 | -2 | -12 | |||||||||||||||||||
Distribution | -11 | -1 | -12 | Distribution | -13 | -1 | -14 | |||||||||||||||||||
Markets | -1 | 0 | -1 | Markets | -1 | -1 | -2 | |||||||||||||||||||
Russia | 0 | 1 | 1 | Russia | 0 | 6 | 6 | |||||||||||||||||||
Other | 1 | 0 | 1 | Other | 0 | 1 | 1 | |||||||||||||||||||
Total | -78 | -6 | -84 | Total | -91 | 0 | -91 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Vertkelpliikevoitto | Raportoitu liikevoitto | Vertkelpliikevoitto | Raportoitu liikevoitto | |||||||||||||||||||||||
II2010 | II2009 | II2010 | II2009 | I-II2010 | I-II2009 | I-II2010 | I-II2009 | |||||||||||||||||||
Power | 257 | 271 | 271 | 280 | 582 | 695 | 760 | 747 | ||||||||||||||||||
Heat | 25 | 33 | 25 | 35 | 196 | 165 | 290 | 194 | ||||||||||||||||||
Distribution | 21 | -9 | 21 | -9 | 55 | 7 | 55 | 23 | ||||||||||||||||||
Saumlhkoumlnmyynti | 60 | 53 | 252 | 53 | 184 | 155 | 377 | 166 | ||||||||||||||||||
Russia | 10 | 10 | 23 | 23 | 21 | -3 | 3 | -6 | ||||||||||||||||||
Muut | -25 | -19 | 17 | -31 | -41 | -29 | 24 | -49 | ||||||||||||||||||
Yhteensauml | 348 | 339 | 609 | 351 | 997 | 990 | 1509 | 1075 | ||||||||||||||||||
I-III2009 | ||||||||||||||||||||||||||
SEK | Muut | Yhteensauml | ||||||||||||||||||||||||
Saumlhkoumlntuotanto | -67 | -3 | -70 | |||||||||||||||||||||||
Laumlmpouml | -10 | -2 | -12 | |||||||||||||||||||||||
Saumlhkoumlnsiirto | -13 | -1 | -14 | |||||||||||||||||||||||
Markets | -1 | -1 | -2 | |||||||||||||||||||||||
Venaumljauml | 0 | 6 | 6 | |||||||||||||||||||||||
Muu | 0 | 1 | 1 | |||||||||||||||||||||||
Yhteensauml | -91 | 0 | -91 |
MEUR | Comparable operating profit | Reported operating profit | Comparable operating profit | Reported operating profit | ||||||||||||||||||||||
II2011 | II2010 | II2011 | II2010 | I-II2011 | I-II2010 | I-II2011 | I-II2010 | |||||||||||||||||||
Power | 257 | 271 | 271 | 280 | 582 | 695 | 760 | 747 | ||||||||||||||||||
Heat | 25 | 33 | 25 | 35 | 196 | 165 | 290 | 194 | ||||||||||||||||||
Russia | 21 | -9 | 21 | -9 | 55 | 7 | 55 | 23 | ||||||||||||||||||
Distribution | 60 | 53 | 252 | 53 | 184 | 155 | 377 | 166 | ||||||||||||||||||
Electricity Sales | 10 | 10 | 23 | 23 | 21 | -3 | 3 | -6 | ||||||||||||||||||
Other | -25 | -19 | 17 | -31 | -41 | -29 | 24 | -49 | ||||||||||||||||||
Total | 348 | 339 | 609 | 351 | 997 | 990 | 1509 | 1075 | ||||||||||||||||||
Currency translation effects on comparable operating profit | ||||||||||||||||||||||||||
I2009 | I-III2009 | |||||||||||||||||||||||||
SEK | Other | Total | SEK | Other | Total | |||||||||||||||||||||
Power Generation | -55 | -3 | -58 | Power Generation | -67 | -3 | -70 | |||||||||||||||||||
Heat | -12 | -3 | -15 | Heat | -10 | -2 | -12 | |||||||||||||||||||
Distribution | -11 | -1 | -12 | Distribution | -13 | -1 | -14 | |||||||||||||||||||
Markets | -1 | 0 | -1 | Markets | -1 | -1 | -2 | |||||||||||||||||||
Russia | 0 | 1 | 1 | Russia | 0 | 6 | 6 | |||||||||||||||||||
Other | 1 | 0 | 1 | Other | 0 | 1 | 1 | |||||||||||||||||||
Total | -78 | -6 | -84 | Total | -91 | 0 | -91 |
12
Financials
13
Comparable and reported operating profit
MEURII2011 II2010 II2011 II2010 I-II2011 I-II2010 I-II2011 I-II2010
Power 257 271 271 280 582 695 760 747Heat 25 33 25 35 196 165 290 194Russia 21 -9 21 -9 55 7 55 23Distribution 60 53 252 53 184 155 377 166Electricity Sales 10 10 23 23 21 -3 3 -6Other -25 -19 17 -31 -41 -29 24 -49Total 348 339 609 351 997 990 1 509 1 075
Comparable operating profit
Reported operating profit
Comparable operating profit
Reported operating profit
bull IFRS accounting treatment (IAS 39) of derivatives had a positive impact on the reported operating profit EUR 76 (-15) million or earnings per share EUR 007 (-001) in the second quarter and EUR 249 (21) million or earnings per share EUR 021 (002) for January-June 2011
14
Power
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 574 597 1 267 1 366 2 603
Comparable operating profit 257 271 582 695 1 185
Net Assets 5 998 5 726
Comparable RONA 198
Gross Investments 36 22 69 55 136
Q2 Power
bull Comparable operating profit decreasedndash Swedish nuclear availability back at 80-85ndash Lower hydro and nuclear volumesndash Water reservoirs improved significantly towards the
end of the quarter
15
Nuclear output in Q2
Q2 2011
Q2 2010
Nuclear Outage effect
TWh
Planned outages in Oskarshamn 1amp3 and Forsmark 1 in Q22011(In 2010 no outages in Q2)
If timing would have been similar in 2011 compared to 2010 nuclear output would have exceeded 2010 levels during Q2
Improved availability in Sweden
16
Q2 Power result declined due to several reasons
Comparable operating profit EUR million
257-3-40271 3-10
Volumeamp priceQ22010 Stronger
SEKRussianimport
Propertytaxes Other Q22011
17
Heat
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 322 301 1 047 952 1 865
Comparable operating profit 25 33 196 165 306
Net Assets 3 911 3 884
Comparable RONA 82
Gross Investments 72 59 130 121 314
Q2 Heat
bull Comparable operating profit decreasedndash Lower heat volumes in Sweden caused by
divestment during first quarterndash Integration cost provisions in Poland
18
Russiabull Comparable operating profit improved
ndash Commissioning of the new unit ndash Higher electricity market prices ndash Efficiency improvementsndash Reversal of CSA provisions related to the newly
commissioned units
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 195 169 490 413 881
Comparable operating profit 21 -9 55 7 56
Net Assets 3 051 2 690
Comparable RONA 34
Gross Investments 192 167 267 258 608
Q2 Russia
19
Distribution
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 215 200 526 480 1 009
Comparable operating profit 60 53 184 155 336
Net Assets 3 487 3 482
Comparable RONA 99
Gross Investments 62 47 96 76 233
Q2 Distribution
bull Comparable operating profit increasedndash Lower transmission costsndash Stronger SEK
bull Smart metering rollout to network customers in Finland continued
20
Markets
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 183 327 556 964 1 390
Comparable operating profit 10 10 21 -3 35
Net Assets 77 59
Comparable RONA 341
Gross Investments 1 0 4 0 4
Q2 Electricity Sales
bull Comparable operating profit at last yearrsquos levelndash Tough competitionndash Restructuring of the Business Market segment
21
MEUR II2011 II2010 I-II2011 I-II2010 2010 LTM
Sales 1 316 1 295 3 350 3 242 6 296 6 404Expenses -968 -956 -2 353 -2 252 -4 463 -4 564
Comparable operating profit 348 339 997 990 1 833 1 840
Other items affecting comparability 261 12 512 85 -125 302
Operating profit 609 351 1 509 1 075 1 708 2 142Share of profit of associates and jvs 15 15 74 31 62 105Financial expenses net -72 -34 -127 -61 -155 -221
Profit before taxes 552 332 1 456 1 045 1 615 2 026Income tax expense -74 -61 -232 -191 -261 -302
Net profit for the period 478 271 1 224 854 1 354 1 724Non-controlling interests 6 8 74 32 54 96
EPS basic (EUR) 053 030 129 093 146 183EPS diluted (EUR) 053 030 129 093 146 183
Q2 Income statement
22
Q2 Cash flow statement
MEUR II2011 II2010 I-II2011 I-II2010 2010 LTM
Operating profit before depreciations 764 490 1 813 1 351 2 271 2 733
Non-cash flow items and divesting activities -299 -6 -569 -73 124 -372
Financial items and fx gainslosses 12 -146 -290 -323 -641 -608
Taxes -144 -73 -258 -155 -355 -458
Funds from operations (FFO) 333 265 696 800 1 399 1 295
Change in working capital 77 157 168 143 38 63
Total net cash from operating activities 410 422 864 943 1 437 1 358
Paid capital expenditures -297 -263 -503 -486 -1 134 -1 151
Acquisition of shares -1 -1 -20 -1 -28 -47
Other investing activities 331 -16 541 72 60 529
Cash flow before financing activities 443 142 882 528 335 689
23
MEUR LTM 2010 2009EBITDA 2 733 2 271 2 292Comparable EBITDA 2 431 2 396 2 398Interest-bearing net debt 6 783 6 826 5 969Net debtEBITDA 25 30 26Comparable Net debtEBITDA 28 28 25
Return on capital employed () 138 116 121Return on shareholders equity () 191 157 160
) as of 30 June 2011
Key ratios
Q2 lsquo11
24
Debt maturity profile
0
250
500
750
1000
1250
1500
1750
2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021+
Bonds Financial institutions Other long-term debt CPs Other short-term debt
MEUR
2011 231
2012 668
2013 639
2014 1223
2015 1051
2016 879
2017 270
2018 190
2019 840
2020 73
2021+ 1530
per 30 June 2011 per 31 Dec 2010
Average interest rate (incl swaps and forwards) 44 35Portion of floating fixed debt 47 53 49 51
25
Strong financial position
Return on capital employed12
Return on shareholders equity14
Net debtEBITDAaround 30
138
191
28
Fortumrsquos financial targets LTM in Q22011
Good liquidity ndash committed credit lines total EUR 27 billion
Comparable net debtEBITDA
26
Outlook
27
Q2 Summary
bull Solid performance continued - seasonalitybull Power
ndash Improved nuclear availability- timing of Swedish planned nuclear outages impacted volume
ndash Swedish nuclear back at 80-85 in availabilityndash Lower hydro volumes ndash water reservoirs improved at the end of the quarterndash SEK burdenedndash Results year-end weighted compared to 2010
bull Russiandash Commissioning of new units contributed to result improvementndash The return for the new capacity is guaranteed ndash EUR 100 million efficiency improvement reached
bull Nordic countriesndash Water reservoirs improved to long-term average
bull Overall strong financial position
28
Outlook
bull Key drivers and risksndash Wholesale price of electricity
bull Demandbull Fuelsbull CO2 emissions pricesbull Water reservoirsbull Nuclear availability
bull Nordic marketsndash Market continues to recover ndash 2008 level to be reached by 2012-2014ndash Electricity continues to gain share of total energy consumption
bull Russiandash Wholesale market liberalisedndash Profits from Russia build up in pace with the capacity increases
29
Outlook
bull Capex (excluding potential acquisitions)ndash 2011-2012 around EUR 16 to 18 billion annually (mainly due to Russian
investment programme)ndash 2013-2014 around EUR 11 to 14 billion annuallyndash Disclosed divestments totalled approximately EUR 05 billion
bull Hedgingndash 2011 approximately 70 hedge ratio at approximately EUR 45MWh(Q1 70 at EUR 44MWh)ndash 2012 approximately 50 hedge ratio at approximately EUR 46MWh(Q1 45 at EUR 45MWh)
30
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007 2008 2009 2010 2011 20120
10
20
30
40
50
60
70
80
90
100
110Spot prices Forward prices
3131
CO2 -free and energy-efficient solutions important
Create solid earnings growth in Russia
Leverage the strong Nordic core
Build platform for future growth
Competence in CO2 -free hydro nuclear and energy efficient CHP production and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -Fortumrsquos strategy remains intact
32
19 July 2011
Fortum Corporation
Interim Report
January-June 2011
Disclaimer
This presentation does not constitute an invitation to underwrite subscribe for or otherwise acquire or dispose of any Fortum shares
Past performance is no guide to future performance and persons needing advice should consult an independent financial adviser
Highlights in Q2
Increased uncertainty in macro environment
GLOBAL
- Incident in Fukushima in Japan
Finland
- No new decisions-in-principle on nuclear power in four years
- The new Governmentrsquos policy framework includes a possible implementation of a windfall tax and a uranium tax
Germany
- To be replaced by renewable energy
Q2 Market conditions
Nordic water reservoirs
Source Nord Pool Spot
Q1
Q2
Q3
Q4
2003
2008
2009
2011
2010
reference level
reservoir content (TWh)
0
20
40
60
80
100
120
Price development in the Nordic region and Russia
Includes capacity income
+17
+6
+24
+13
Q2 Good development continued
Q2 Comparable profit at last yearrsquos level
Comparable operating profit EUR million
-6
7
30
-14
348
339
0
-8
Power
Q22010
Heat
Russia
Distribution
Electricity
Sales
Other
Q22011
January-June Comparable profit at last yearrsquos level
Comparable operating profit EUR million
31
24
990
997
-113
48
29
-12
Power
H12010
Heat
Russia
Distribution
Electricity
Sales
Other
H12011
Fortum a forerunner in sustainability
Financials
Comparable and reported operating profit
Power
Q2 Power
Nuclear output in Q2
Planned outages in Oskarshamn 1amp3 and Forsmark 1 in Q22011
(In 2010 no outages in Q2)
If timing would have been similar in 2011 compared to 2010 nuclear output would have exceeded 2010 levels during Q2
Improved availability in Sweden
Q2 2011
Q2 2010
Nuclear
Outage effect
TWh
Q2 Power result declined due to several reasons
Comparable operating profit EUR million
257
-3
-4
0
271
3
-10
Volume
amp price
Q22010
Stronger
SEK
Russian
import
Property
taxes
Other
Q22011
Heat
Q2 Heat
Russia
Q2 Russia
Distribution
Q2 Distribution
Markets
Q2 Electricity Sales
Q2 Income statement
Q2 Cash flow statement
Key ratios
Q2 lsquo11
Debt maturity profile
per 30 June 2011 per 31 Dec 2010
Average interest rate (incl swaps and forwards)4435
Portion of floating fixed debt 47 53 49 51
Strong financial position
Return on capital employed
12
Return on shareholders equity
14
Net debtEBITDA
around 30
138
191
28
Fortumrsquos financial targets
LTM in Q22011
Good liquidity ndash committed credit lines total EUR 27 billion
Comparable net debtEBITDA
Outlook
Q2 Summary
Outlook
Outlook
(Q1 70 at EUR 44MWh)
(Q1 45 at EUR 45MWh)
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007
2008
2009
2010
2011
2012
0
10
20
30
40
50
60
70
80
90
100
110
Spot prices
Forward prices
CO2-free and energy-efficient solutions important
Create solid earnings
growth in Russia
Leverage the strong
Nordic core
Build platform for
future growth
Competence in CO2-free hydro nuclear and energy efficient CHP production
and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -
Fortumrsquos strategy remains intact
MEURII2011II2010I-II2011I-II2010LTM
Sales1833275569641 390
Comparable operating profit101021-335
Net Assets7759
Comparable RONA 341
Gross Investments10404
MEURII2011II2010I-II2011I-II2010LTM
Sales2152005264801 009
Comparable operating profit6053184155336
Net Assets3 4873 482
Comparable RONA 99
Gross Investments62479676233
0
250
500
750
1000
1250
1500
1750
20112012201320142015201620172018201920202021+
BondsFinancial institutionsOther long-term debtCPsOther short-term debt
MEURII2011II2010I-II2011I-II2010LTM
Sales195169490413881
Comparable operating profit21-955756
Net Assets3 0512 690
Comparable RONA 34
Gross Investments192167267258608
MEURII2011II2010I-II2011I-II2010LTM
Sales5745971 2671 3662 603
Comparable operating profit2572715826951 185
Net Assets5 9985 726
Comparable RONA 198
Gross Investments36226955136
MEURII2011II2010I-II2011I-II20102010LTM
Sales1 316
1 2953 3503 2426 296
6 404
Expenses-968-956-2 353-2 252-4 463-4 564
Comparable operating profit3483399979901 8331 840
Other items affecting comparability2611251285-125302
Operating profit6093511 5091 0751 7082 142
Share of profit of associates and jvs1515743162105
Financial expenses net-72-34-127-61-155-221
Profit before taxes5523321 4561 0451 6152 026
Income tax expense-74-61-232-191-261-302
Net profit for the period4782711 2248541 3541 724
Non-controlling interests6874325496
EPS basic (EUR)053030129093146183
EPS diluted (EUR)053030129093146183
Spot price for power in NordPool power exchange
448
459
662
523
621
0
12
24
36
48
60
72
Q22010Q32010Q42010Q12011Q22011
eurMWh
Powers Nordic power price
447
469
488
479
474
0
10
20
30
40
50
60
Q22010Q32010Q42010Q12011Q22011
eurMWh
MEURII2011II2010I-II2011I-II20102010LTM
Operating profit before depreciations7644901 8131 3512 2712 733
Non-cash flow items and divesting activities
-299-6-569-73124-372
Financial items and fx gainslosses
12-146-290-323-641-608
Taxes
-144-73-258-155-355-458
Funds from operations (FFO)
3332656968001 3991 295
Change in working capital
771571681433863
Total net cash from operating activities4104228649431 4371 358
Paid capital expenditures-297-263-503-486-1 134-1 151
Acquisition of shares-1-1-20-1-28-47
Other investing activities331-165417260529
Cash flow before financing activities443142882528335689
MEURII2011II2010I-II2011I-II2010LTM
Sales3223011 0479521 865
Comparable operating profit2533196165306
Net Assets3 9113 884
Comparable RONA 82
Gross Investments7259130121314
MEUR
II2011II2010II2011II2010I-II2011I-II2010I-II2011I-II2010
Power257271271280582695760747
Heat25332535196165290194
Russia21-921-95575523
Distribution605325253184155377166
Electricity Sales1010232321-33-6
Other-25-1917-31-41-2924-49
Total3483396093519979901 5091 075
Comparable operating profit
Reported operating profit
Comparable operating profit
Reported operating profit
Spot price for power (market price) Urals hub
770
935
817
950
954
0
200
400
600
800
1 000
1 200
Q22010Q32010Q42010Q12011Q22011
RUBMWh
Achieved power price for OAO Fortum
256
288
305
292
290
0
6
12
18
24
30
36
Q22010Q32010Q42010Q12011Q22011
eurMWh
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
MEURLTM20102009
EBITDA2 7332 2712 292
Comparable EBITDA2 4312 3962 398
Interest-bearing net debt6 7836 8265 969
Net debtEBITDA253026
Comparable Net debtEBITDA282825
Return on capital employed ()138116121
Return on shareholders equity ()191157160
) as of 30 June 2011
MEUR | |||
2011 | 231 | ||
2012 | 668 | ||
2013 | 639 | ||
2014 | 1223 | ||
2015 | 1051 | ||
2016 | 879 | ||
2017 | 270 | ||
2018 | 190 | ||
2019 | 840 | ||
2020 | 73 | ||
2021+ | 1530 |
MEUR | LTM | 2010 | 2009 | 2008 | 2006 | 2005 | |||||||
EBITDA | 2733 | 2271 | 2292 | 2478 | 1884 | ||||||||
Comparable EBITDA | 2431 | 2396 | 2398 | 1151 | 1271 | ||||||||
Interest-bearing net debt | 6 783 | 6826 | 5969 | 6179 | 4345 | 3158 | |||||||
Net debtEBITDA | 25 | 30 | 26 | 25 | 8161 | ||||||||
Comparable Net debtEBITDA | 28 | 28 | 25 | 16839 | 15130 | ||||||||
23 | 18 | ||||||||||||
Return on capital employed () | 138 | 116 | 121 | 150 | 134 | 135 | |||||||
Return on shareholders equity () | 191 | 157 | 160 | 187 | 144 | 135 | |||||||
) as of 30 June 2011 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | |||||||||||
Operating profit before depreciations | 764 | 490 | 1813 | 1351 | 2271 | 2733 | 2478 | 1663 | 2370 | 0 | |||||||||||
Non-cash flow items and divesting activities | -299 | -6 | -569 | -73 | 124 | -372 | -275 | -268 | -56 | 0 | |||||||||||
Financial items and fx gainslosses | 12 | -146 | -290 | -323 | -641 | -608 | 233 | ||||||||||||||
Taxes | -144 | -73 | -258 | -155 | -355 | -458 | -332 | -231 | -534 | 0 | |||||||||||
Funds from operations (FFO) | 333 | 265 | 696 | 800 | 1399 | 1295 | 2104 | 1164 | 1780 | 0 | |||||||||||
Change in working capital | 77 | 157 | 168 | 143 | 38 | 63 | -102 | 161 | 5 | 0 | |||||||||||
Total net cash from operating activities | 410 | 422 | 864 | 943 | 1437 | 1358 | 2002 | 1325 | 1785 | 0 | |||||||||||
Paid capital expenditures | -297 | -263 | -503 | -486 | -1134 | -1151 | -1018 | -341 | -931 | 0 | |||||||||||
Acquisition of shares | -1 | -1 | -20 | -1 | -28 | -47 | -1243 | -257 | -1243 | 0 | |||||||||||
Other investing activities | 331 | -16 | 541 | 72 | 60 | 529 | -21 | 258 | -34 | 0 | |||||||||||
Cash flow before financing activities | 443 | 142 | 882 | 528 | 335 | 689 | -280 | 985 | -423 | 0 |
MEUR | Q1-Q300 | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | 2004 | ||||||||||||||||||
Sales | 7732 | 1316 | 1295 | 3350 | 3242 | 6296 | 6404 | 5636 | 3159 | 5354 | 0 | 3835 | ||||||||||||||||||
Expenses | -7109 | -968 | -956 | -2353 | -2252 | -4463 | -4564 | -3673 | -1832 | -3482 | 0 | -2640 | ||||||||||||||||||
Comparable operating profit | 623 | 348 | 339 | 997 | 990 | 1833 | 1840 | 1963 | 1327 | 1872 | 0 | 1195 | ||||||||||||||||||
Other items affecting comparability | 261 | 12 | 512 | 85 | -125 | 302 | ||||||||||||||||||||||||
Operating profit | 609 | 351 | 1509 | 1075 | 1708 | 2142 | ||||||||||||||||||||||||
Share of profit of associates and jvs | 15 | 15 | 74 | 31 | 62 | 105 | 126 | 223 | 96 | 0 | 12 | |||||||||||||||||||
Financial expenses net | -209 | -72 | -34 | -127 | -61 | -155 | -221 | -239 | -117 | -222 | 0 | -245 | ||||||||||||||||||
Profit before taxes | 0 | 552 | 332 | 1456 | 1045 | 1615 | 2026 | 1850 | 1433 | 1746 | 0 | 0 | ||||||||||||||||||
Income tax expense | -83 | -74 | -61 | -232 | -191 | -261 | -302 | -254 | -218 | -364 | 0 | -259 | ||||||||||||||||||
Net profit for the period | -26 | 478 | 271 | 1224 | 854 | 1354 | 1724 | 1596 | 1215 | 1382 | 0 | 0 | ||||||||||||||||||
Non-controlling interests | 6 | 8 | 74 | 32 | 54 | 96 | 54 | 31 | 35 | 0 | 33 | |||||||||||||||||||
EPS basic (EUR) | 039 | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 148 | ||||||||||||||||||
EPS diluted (EUR) | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 079 | |||||||||||||||||||
069 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 183 | 327 | 556 | 964 | 1390 | |||||||
Comparable operating profit | 10 | 10 | 21 | -3 | 35 | |||||||
Net Assets | 77 | 59 | ||||||||||
Comparable RONA | 341 | |||||||||||
Gross Investments | 1 | 0 | 4 | 0 | 4 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 215 | 200 | 526 | 480 | 1009 | |||||||
Comparable operating profit | 60 | 53 | 184 | 155 | 336 | |||||||
Net Assets | 3487 | 3482 | ||||||||||
Comparable RONA | 99 | |||||||||||
Gross Investments | 62 | 47 | 96 | 76 | 233 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 195 | 169 | 490 | 413 | 881 | |||||||
Comparable operating profit | 21 | -9 | 55 | 7 | 56 | |||||||
Net Assets | 3051 | 2690 | ||||||||||
Comparable RONA | 34 | |||||||||||
Gross Investments | 192 | 167 | 267 | 258 | 608 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 322 | 301 | 1047 | 952 | 1865 | |||||||
Comparable operating profit | 25 | 33 | 196 | 165 | 306 | |||||||
Net Assets | 3911 | 3884 | ||||||||||
Comparable RONA | 82 | |||||||||||
Gross Investments | 72 | 59 | 130 | 121 | 314 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 574 | 597 | 1267 | 1366 | 2603 | |||||||
Comparable operating profit | 257 | 271 | 582 | 695 | 1185 | |||||||
Net Assets | 5998 | 5726 | ||||||||||
Comparable RONA | 198 | |||||||||||
Gross Investments | 36 | 22 | 69 | 55 | 136 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Roumlrelseresultat II2009 | Roumlrelseresultat II2008 | Liikevoitto 2008 | Liikevoitto 2007 | |||||||||||||||||||||||
Jaumlmfoumlrbart | Rapporterat | Jaumlmfoumlrbart | Rapporterat | Vertkelp | Raportoitu | Vertkelp | Raportoitu | |||||||||||||||||||
Kraftproduktion | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Vaumlrme | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Markets | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Ryssland | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Oumlvrigt | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Summa | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Liikevoitto II2010 | Liikevoitto II2009 | Liikevoitto I-II2010 | Liikevoitto I-II2009 | |||||||||||||||||||||||
Vertkelp | Raportoitu | Vertkelp | Raportoitu | Vertkelp | Raportoitu | Vertkelp | Raportoitu | |||||||||||||||||||
Power | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Heat | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Saumlhkoumlnmyynti | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Russia | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Muut | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Yhteensauml | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 | ||||||||||||||||||
I-III2009 | ||||||||||||||||||||||||||
SEK | Muut | Yhteensauml | ||||||||||||||||||||||||
Saumlhkoumlntuotanto | -67 | -3 | -70 | |||||||||||||||||||||||
Laumlmpouml | -10 | -2 | -12 | |||||||||||||||||||||||
Saumlhkoumlnsiirto | -13 | -1 | -14 | |||||||||||||||||||||||
Markets | -1 | -1 | -2 | |||||||||||||||||||||||
Venaumljauml | 0 | 6 | 6 | |||||||||||||||||||||||
Muu | 0 | 1 | 1 | |||||||||||||||||||||||
Yhteensauml | -91 | 0 | -91 |
Operating profit II2010 | Operating profit II2009 | Operating profit I-II2010 | Operating profit I-2009 | |||||||||||||||||||||||
Comparable | Reported | Comparable | Reported | Comparable | Reported | Comparable | Reported | |||||||||||||||||||
Power | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Heat | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Electricity Sales | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Russia | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Other | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Total | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 | ||||||||||||||||||
Currency translation effects on comparable operating profit | ||||||||||||||||||||||||||
I2009 | I-III2009 | |||||||||||||||||||||||||
SEK | Other | Total | SEK | Other | Total | |||||||||||||||||||||
Power Generation | -55 | -3 | -58 | Power Generation | -67 | -3 | -70 | |||||||||||||||||||
Heat | -12 | -3 | -15 | Heat | -10 | -2 | -12 | |||||||||||||||||||
Distribution | -11 | -1 | -12 | Distribution | -13 | -1 | -14 | |||||||||||||||||||
Markets | -1 | 0 | -1 | Markets | -1 | -1 | -2 | |||||||||||||||||||
Russia | 0 | 1 | 1 | Russia | 0 | 6 | 6 | |||||||||||||||||||
Other | 1 | 0 | 1 | Other | 0 | 1 | 1 | |||||||||||||||||||
Total | -78 | -6 | -84 | Total | -91 | 0 | -91 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Vertkelpliikevoitto | Raportoitu liikevoitto | Vertkelpliikevoitto | Raportoitu liikevoitto | |||||||||||||||||||||||
II2010 | II2009 | II2010 | II2009 | I-II2010 | I-II2009 | I-II2010 | I-II2009 | |||||||||||||||||||
Power | 257 | 271 | 271 | 280 | 582 | 695 | 760 | 747 | ||||||||||||||||||
Heat | 25 | 33 | 25 | 35 | 196 | 165 | 290 | 194 | ||||||||||||||||||
Distribution | 21 | -9 | 21 | -9 | 55 | 7 | 55 | 23 | ||||||||||||||||||
Saumlhkoumlnmyynti | 60 | 53 | 252 | 53 | 184 | 155 | 377 | 166 | ||||||||||||||||||
Russia | 10 | 10 | 23 | 23 | 21 | -3 | 3 | -6 | ||||||||||||||||||
Muut | -25 | -19 | 17 | -31 | -41 | -29 | 24 | -49 | ||||||||||||||||||
Yhteensauml | 348 | 339 | 609 | 351 | 997 | 990 | 1509 | 1075 | ||||||||||||||||||
I-III2009 | ||||||||||||||||||||||||||
SEK | Muut | Yhteensauml | ||||||||||||||||||||||||
Saumlhkoumlntuotanto | -67 | -3 | -70 | |||||||||||||||||||||||
Laumlmpouml | -10 | -2 | -12 | |||||||||||||||||||||||
Saumlhkoumlnsiirto | -13 | -1 | -14 | |||||||||||||||||||||||
Markets | -1 | -1 | -2 | |||||||||||||||||||||||
Venaumljauml | 0 | 6 | 6 | |||||||||||||||||||||||
Muu | 0 | 1 | 1 | |||||||||||||||||||||||
Yhteensauml | -91 | 0 | -91 |
MEUR | Comparable operating profit | Reported operating profit | Comparable operating profit | Reported operating profit | ||||||||||||||||||||||
II2011 | II2010 | II2011 | II2010 | I-II2011 | I-II2010 | I-II2011 | I-II2010 | |||||||||||||||||||
Power | 257 | 271 | 271 | 280 | 582 | 695 | 760 | 747 | ||||||||||||||||||
Heat | 25 | 33 | 25 | 35 | 196 | 165 | 290 | 194 | ||||||||||||||||||
Russia | 21 | -9 | 21 | -9 | 55 | 7 | 55 | 23 | ||||||||||||||||||
Distribution | 60 | 53 | 252 | 53 | 184 | 155 | 377 | 166 | ||||||||||||||||||
Electricity Sales | 10 | 10 | 23 | 23 | 21 | -3 | 3 | -6 | ||||||||||||||||||
Other | -25 | -19 | 17 | -31 | -41 | -29 | 24 | -49 | ||||||||||||||||||
Total | 348 | 339 | 609 | 351 | 997 | 990 | 1509 | 1075 | ||||||||||||||||||
Currency translation effects on comparable operating profit | ||||||||||||||||||||||||||
I2009 | I-III2009 | |||||||||||||||||||||||||
SEK | Other | Total | SEK | Other | Total | |||||||||||||||||||||
Power Generation | -55 | -3 | -58 | Power Generation | -67 | -3 | -70 | |||||||||||||||||||
Heat | -12 | -3 | -15 | Heat | -10 | -2 | -12 | |||||||||||||||||||
Distribution | -11 | -1 | -12 | Distribution | -13 | -1 | -14 | |||||||||||||||||||
Markets | -1 | 0 | -1 | Markets | -1 | -1 | -2 | |||||||||||||||||||
Russia | 0 | 1 | 1 | Russia | 0 | 6 | 6 | |||||||||||||||||||
Other | 1 | 0 | 1 | Other | 0 | 1 | 1 | |||||||||||||||||||
Total | -78 | -6 | -84 | Total | -91 | 0 | -91 |
13
Comparable and reported operating profit
MEURII2011 II2010 II2011 II2010 I-II2011 I-II2010 I-II2011 I-II2010
Power 257 271 271 280 582 695 760 747Heat 25 33 25 35 196 165 290 194Russia 21 -9 21 -9 55 7 55 23Distribution 60 53 252 53 184 155 377 166Electricity Sales 10 10 23 23 21 -3 3 -6Other -25 -19 17 -31 -41 -29 24 -49Total 348 339 609 351 997 990 1 509 1 075
Comparable operating profit
Reported operating profit
Comparable operating profit
Reported operating profit
bull IFRS accounting treatment (IAS 39) of derivatives had a positive impact on the reported operating profit EUR 76 (-15) million or earnings per share EUR 007 (-001) in the second quarter and EUR 249 (21) million or earnings per share EUR 021 (002) for January-June 2011
14
Power
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 574 597 1 267 1 366 2 603
Comparable operating profit 257 271 582 695 1 185
Net Assets 5 998 5 726
Comparable RONA 198
Gross Investments 36 22 69 55 136
Q2 Power
bull Comparable operating profit decreasedndash Swedish nuclear availability back at 80-85ndash Lower hydro and nuclear volumesndash Water reservoirs improved significantly towards the
end of the quarter
15
Nuclear output in Q2
Q2 2011
Q2 2010
Nuclear Outage effect
TWh
Planned outages in Oskarshamn 1amp3 and Forsmark 1 in Q22011(In 2010 no outages in Q2)
If timing would have been similar in 2011 compared to 2010 nuclear output would have exceeded 2010 levels during Q2
Improved availability in Sweden
16
Q2 Power result declined due to several reasons
Comparable operating profit EUR million
257-3-40271 3-10
Volumeamp priceQ22010 Stronger
SEKRussianimport
Propertytaxes Other Q22011
17
Heat
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 322 301 1 047 952 1 865
Comparable operating profit 25 33 196 165 306
Net Assets 3 911 3 884
Comparable RONA 82
Gross Investments 72 59 130 121 314
Q2 Heat
bull Comparable operating profit decreasedndash Lower heat volumes in Sweden caused by
divestment during first quarterndash Integration cost provisions in Poland
18
Russiabull Comparable operating profit improved
ndash Commissioning of the new unit ndash Higher electricity market prices ndash Efficiency improvementsndash Reversal of CSA provisions related to the newly
commissioned units
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 195 169 490 413 881
Comparable operating profit 21 -9 55 7 56
Net Assets 3 051 2 690
Comparable RONA 34
Gross Investments 192 167 267 258 608
Q2 Russia
19
Distribution
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 215 200 526 480 1 009
Comparable operating profit 60 53 184 155 336
Net Assets 3 487 3 482
Comparable RONA 99
Gross Investments 62 47 96 76 233
Q2 Distribution
bull Comparable operating profit increasedndash Lower transmission costsndash Stronger SEK
bull Smart metering rollout to network customers in Finland continued
20
Markets
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 183 327 556 964 1 390
Comparable operating profit 10 10 21 -3 35
Net Assets 77 59
Comparable RONA 341
Gross Investments 1 0 4 0 4
Q2 Electricity Sales
bull Comparable operating profit at last yearrsquos levelndash Tough competitionndash Restructuring of the Business Market segment
21
MEUR II2011 II2010 I-II2011 I-II2010 2010 LTM
Sales 1 316 1 295 3 350 3 242 6 296 6 404Expenses -968 -956 -2 353 -2 252 -4 463 -4 564
Comparable operating profit 348 339 997 990 1 833 1 840
Other items affecting comparability 261 12 512 85 -125 302
Operating profit 609 351 1 509 1 075 1 708 2 142Share of profit of associates and jvs 15 15 74 31 62 105Financial expenses net -72 -34 -127 -61 -155 -221
Profit before taxes 552 332 1 456 1 045 1 615 2 026Income tax expense -74 -61 -232 -191 -261 -302
Net profit for the period 478 271 1 224 854 1 354 1 724Non-controlling interests 6 8 74 32 54 96
EPS basic (EUR) 053 030 129 093 146 183EPS diluted (EUR) 053 030 129 093 146 183
Q2 Income statement
22
Q2 Cash flow statement
MEUR II2011 II2010 I-II2011 I-II2010 2010 LTM
Operating profit before depreciations 764 490 1 813 1 351 2 271 2 733
Non-cash flow items and divesting activities -299 -6 -569 -73 124 -372
Financial items and fx gainslosses 12 -146 -290 -323 -641 -608
Taxes -144 -73 -258 -155 -355 -458
Funds from operations (FFO) 333 265 696 800 1 399 1 295
Change in working capital 77 157 168 143 38 63
Total net cash from operating activities 410 422 864 943 1 437 1 358
Paid capital expenditures -297 -263 -503 -486 -1 134 -1 151
Acquisition of shares -1 -1 -20 -1 -28 -47
Other investing activities 331 -16 541 72 60 529
Cash flow before financing activities 443 142 882 528 335 689
23
MEUR LTM 2010 2009EBITDA 2 733 2 271 2 292Comparable EBITDA 2 431 2 396 2 398Interest-bearing net debt 6 783 6 826 5 969Net debtEBITDA 25 30 26Comparable Net debtEBITDA 28 28 25
Return on capital employed () 138 116 121Return on shareholders equity () 191 157 160
) as of 30 June 2011
Key ratios
Q2 lsquo11
24
Debt maturity profile
0
250
500
750
1000
1250
1500
1750
2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021+
Bonds Financial institutions Other long-term debt CPs Other short-term debt
MEUR
2011 231
2012 668
2013 639
2014 1223
2015 1051
2016 879
2017 270
2018 190
2019 840
2020 73
2021+ 1530
per 30 June 2011 per 31 Dec 2010
Average interest rate (incl swaps and forwards) 44 35Portion of floating fixed debt 47 53 49 51
25
Strong financial position
Return on capital employed12
Return on shareholders equity14
Net debtEBITDAaround 30
138
191
28
Fortumrsquos financial targets LTM in Q22011
Good liquidity ndash committed credit lines total EUR 27 billion
Comparable net debtEBITDA
26
Outlook
27
Q2 Summary
bull Solid performance continued - seasonalitybull Power
ndash Improved nuclear availability- timing of Swedish planned nuclear outages impacted volume
ndash Swedish nuclear back at 80-85 in availabilityndash Lower hydro volumes ndash water reservoirs improved at the end of the quarterndash SEK burdenedndash Results year-end weighted compared to 2010
bull Russiandash Commissioning of new units contributed to result improvementndash The return for the new capacity is guaranteed ndash EUR 100 million efficiency improvement reached
bull Nordic countriesndash Water reservoirs improved to long-term average
bull Overall strong financial position
28
Outlook
bull Key drivers and risksndash Wholesale price of electricity
bull Demandbull Fuelsbull CO2 emissions pricesbull Water reservoirsbull Nuclear availability
bull Nordic marketsndash Market continues to recover ndash 2008 level to be reached by 2012-2014ndash Electricity continues to gain share of total energy consumption
bull Russiandash Wholesale market liberalisedndash Profits from Russia build up in pace with the capacity increases
29
Outlook
bull Capex (excluding potential acquisitions)ndash 2011-2012 around EUR 16 to 18 billion annually (mainly due to Russian
investment programme)ndash 2013-2014 around EUR 11 to 14 billion annuallyndash Disclosed divestments totalled approximately EUR 05 billion
bull Hedgingndash 2011 approximately 70 hedge ratio at approximately EUR 45MWh(Q1 70 at EUR 44MWh)ndash 2012 approximately 50 hedge ratio at approximately EUR 46MWh(Q1 45 at EUR 45MWh)
30
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007 2008 2009 2010 2011 20120
10
20
30
40
50
60
70
80
90
100
110Spot prices Forward prices
3131
CO2 -free and energy-efficient solutions important
Create solid earnings growth in Russia
Leverage the strong Nordic core
Build platform for future growth
Competence in CO2 -free hydro nuclear and energy efficient CHP production and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -Fortumrsquos strategy remains intact
32
19 July 2011
Fortum Corporation
Interim Report
January-June 2011
Disclaimer
This presentation does not constitute an invitation to underwrite subscribe for or otherwise acquire or dispose of any Fortum shares
Past performance is no guide to future performance and persons needing advice should consult an independent financial adviser
Highlights in Q2
Increased uncertainty in macro environment
GLOBAL
- Incident in Fukushima in Japan
Finland
- No new decisions-in-principle on nuclear power in four years
- The new Governmentrsquos policy framework includes a possible implementation of a windfall tax and a uranium tax
Germany
- To be replaced by renewable energy
Q2 Market conditions
Nordic water reservoirs
Source Nord Pool Spot
Q1
Q2
Q3
Q4
2003
2008
2009
2011
2010
reference level
reservoir content (TWh)
0
20
40
60
80
100
120
Price development in the Nordic region and Russia
Includes capacity income
+17
+6
+24
+13
Q2 Good development continued
Q2 Comparable profit at last yearrsquos level
Comparable operating profit EUR million
-6
7
30
-14
348
339
0
-8
Power
Q22010
Heat
Russia
Distribution
Electricity
Sales
Other
Q22011
January-June Comparable profit at last yearrsquos level
Comparable operating profit EUR million
31
24
990
997
-113
48
29
-12
Power
H12010
Heat
Russia
Distribution
Electricity
Sales
Other
H12011
Fortum a forerunner in sustainability
Financials
Comparable and reported operating profit
Power
Q2 Power
Nuclear output in Q2
Planned outages in Oskarshamn 1amp3 and Forsmark 1 in Q22011
(In 2010 no outages in Q2)
If timing would have been similar in 2011 compared to 2010 nuclear output would have exceeded 2010 levels during Q2
Improved availability in Sweden
Q2 2011
Q2 2010
Nuclear
Outage effect
TWh
Q2 Power result declined due to several reasons
Comparable operating profit EUR million
257
-3
-4
0
271
3
-10
Volume
amp price
Q22010
Stronger
SEK
Russian
import
Property
taxes
Other
Q22011
Heat
Q2 Heat
Russia
Q2 Russia
Distribution
Q2 Distribution
Markets
Q2 Electricity Sales
Q2 Income statement
Q2 Cash flow statement
Key ratios
Q2 lsquo11
Debt maturity profile
per 30 June 2011 per 31 Dec 2010
Average interest rate (incl swaps and forwards)4435
Portion of floating fixed debt 47 53 49 51
Strong financial position
Return on capital employed
12
Return on shareholders equity
14
Net debtEBITDA
around 30
138
191
28
Fortumrsquos financial targets
LTM in Q22011
Good liquidity ndash committed credit lines total EUR 27 billion
Comparable net debtEBITDA
Outlook
Q2 Summary
Outlook
Outlook
(Q1 70 at EUR 44MWh)
(Q1 45 at EUR 45MWh)
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007
2008
2009
2010
2011
2012
0
10
20
30
40
50
60
70
80
90
100
110
Spot prices
Forward prices
CO2-free and energy-efficient solutions important
Create solid earnings
growth in Russia
Leverage the strong
Nordic core
Build platform for
future growth
Competence in CO2-free hydro nuclear and energy efficient CHP production
and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -
Fortumrsquos strategy remains intact
MEURII2011II2010I-II2011I-II2010LTM
Sales1833275569641 390
Comparable operating profit101021-335
Net Assets7759
Comparable RONA 341
Gross Investments10404
MEURII2011II2010I-II2011I-II2010LTM
Sales2152005264801 009
Comparable operating profit6053184155336
Net Assets3 4873 482
Comparable RONA 99
Gross Investments62479676233
0
250
500
750
1000
1250
1500
1750
20112012201320142015201620172018201920202021+
BondsFinancial institutionsOther long-term debtCPsOther short-term debt
MEURII2011II2010I-II2011I-II2010LTM
Sales195169490413881
Comparable operating profit21-955756
Net Assets3 0512 690
Comparable RONA 34
Gross Investments192167267258608
MEURII2011II2010I-II2011I-II2010LTM
Sales5745971 2671 3662 603
Comparable operating profit2572715826951 185
Net Assets5 9985 726
Comparable RONA 198
Gross Investments36226955136
MEURII2011II2010I-II2011I-II20102010LTM
Sales1 316
1 2953 3503 2426 296
6 404
Expenses-968-956-2 353-2 252-4 463-4 564
Comparable operating profit3483399979901 8331 840
Other items affecting comparability2611251285-125302
Operating profit6093511 5091 0751 7082 142
Share of profit of associates and jvs1515743162105
Financial expenses net-72-34-127-61-155-221
Profit before taxes5523321 4561 0451 6152 026
Income tax expense-74-61-232-191-261-302
Net profit for the period4782711 2248541 3541 724
Non-controlling interests6874325496
EPS basic (EUR)053030129093146183
EPS diluted (EUR)053030129093146183
Spot price for power in NordPool power exchange
448
459
662
523
621
0
12
24
36
48
60
72
Q22010Q32010Q42010Q12011Q22011
eurMWh
Powers Nordic power price
447
469
488
479
474
0
10
20
30
40
50
60
Q22010Q32010Q42010Q12011Q22011
eurMWh
MEURII2011II2010I-II2011I-II20102010LTM
Operating profit before depreciations7644901 8131 3512 2712 733
Non-cash flow items and divesting activities
-299-6-569-73124-372
Financial items and fx gainslosses
12-146-290-323-641-608
Taxes
-144-73-258-155-355-458
Funds from operations (FFO)
3332656968001 3991 295
Change in working capital
771571681433863
Total net cash from operating activities4104228649431 4371 358
Paid capital expenditures-297-263-503-486-1 134-1 151
Acquisition of shares-1-1-20-1-28-47
Other investing activities331-165417260529
Cash flow before financing activities443142882528335689
MEURII2011II2010I-II2011I-II2010LTM
Sales3223011 0479521 865
Comparable operating profit2533196165306
Net Assets3 9113 884
Comparable RONA 82
Gross Investments7259130121314
MEUR
II2011II2010II2011II2010I-II2011I-II2010I-II2011I-II2010
Power257271271280582695760747
Heat25332535196165290194
Russia21-921-95575523
Distribution605325253184155377166
Electricity Sales1010232321-33-6
Other-25-1917-31-41-2924-49
Total3483396093519979901 5091 075
Comparable operating profit
Reported operating profit
Comparable operating profit
Reported operating profit
Spot price for power (market price) Urals hub
770
935
817
950
954
0
200
400
600
800
1 000
1 200
Q22010Q32010Q42010Q12011Q22011
RUBMWh
Achieved power price for OAO Fortum
256
288
305
292
290
0
6
12
18
24
30
36
Q22010Q32010Q42010Q12011Q22011
eurMWh
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
MEURLTM20102009
EBITDA2 7332 2712 292
Comparable EBITDA2 4312 3962 398
Interest-bearing net debt6 7836 8265 969
Net debtEBITDA253026
Comparable Net debtEBITDA282825
Return on capital employed ()138116121
Return on shareholders equity ()191157160
) as of 30 June 2011
MEUR | |||
2011 | 231 | ||
2012 | 668 | ||
2013 | 639 | ||
2014 | 1223 | ||
2015 | 1051 | ||
2016 | 879 | ||
2017 | 270 | ||
2018 | 190 | ||
2019 | 840 | ||
2020 | 73 | ||
2021+ | 1530 |
MEUR | LTM | 2010 | 2009 | 2008 | 2006 | 2005 | |||||||
EBITDA | 2733 | 2271 | 2292 | 2478 | 1884 | ||||||||
Comparable EBITDA | 2431 | 2396 | 2398 | 1151 | 1271 | ||||||||
Interest-bearing net debt | 6 783 | 6826 | 5969 | 6179 | 4345 | 3158 | |||||||
Net debtEBITDA | 25 | 30 | 26 | 25 | 8161 | ||||||||
Comparable Net debtEBITDA | 28 | 28 | 25 | 16839 | 15130 | ||||||||
23 | 18 | ||||||||||||
Return on capital employed () | 138 | 116 | 121 | 150 | 134 | 135 | |||||||
Return on shareholders equity () | 191 | 157 | 160 | 187 | 144 | 135 | |||||||
) as of 30 June 2011 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | |||||||||||
Operating profit before depreciations | 764 | 490 | 1813 | 1351 | 2271 | 2733 | 2478 | 1663 | 2370 | 0 | |||||||||||
Non-cash flow items and divesting activities | -299 | -6 | -569 | -73 | 124 | -372 | -275 | -268 | -56 | 0 | |||||||||||
Financial items and fx gainslosses | 12 | -146 | -290 | -323 | -641 | -608 | 233 | ||||||||||||||
Taxes | -144 | -73 | -258 | -155 | -355 | -458 | -332 | -231 | -534 | 0 | |||||||||||
Funds from operations (FFO) | 333 | 265 | 696 | 800 | 1399 | 1295 | 2104 | 1164 | 1780 | 0 | |||||||||||
Change in working capital | 77 | 157 | 168 | 143 | 38 | 63 | -102 | 161 | 5 | 0 | |||||||||||
Total net cash from operating activities | 410 | 422 | 864 | 943 | 1437 | 1358 | 2002 | 1325 | 1785 | 0 | |||||||||||
Paid capital expenditures | -297 | -263 | -503 | -486 | -1134 | -1151 | -1018 | -341 | -931 | 0 | |||||||||||
Acquisition of shares | -1 | -1 | -20 | -1 | -28 | -47 | -1243 | -257 | -1243 | 0 | |||||||||||
Other investing activities | 331 | -16 | 541 | 72 | 60 | 529 | -21 | 258 | -34 | 0 | |||||||||||
Cash flow before financing activities | 443 | 142 | 882 | 528 | 335 | 689 | -280 | 985 | -423 | 0 |
MEUR | Q1-Q300 | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | 2004 | ||||||||||||||||||
Sales | 7732 | 1316 | 1295 | 3350 | 3242 | 6296 | 6404 | 5636 | 3159 | 5354 | 0 | 3835 | ||||||||||||||||||
Expenses | -7109 | -968 | -956 | -2353 | -2252 | -4463 | -4564 | -3673 | -1832 | -3482 | 0 | -2640 | ||||||||||||||||||
Comparable operating profit | 623 | 348 | 339 | 997 | 990 | 1833 | 1840 | 1963 | 1327 | 1872 | 0 | 1195 | ||||||||||||||||||
Other items affecting comparability | 261 | 12 | 512 | 85 | -125 | 302 | ||||||||||||||||||||||||
Operating profit | 609 | 351 | 1509 | 1075 | 1708 | 2142 | ||||||||||||||||||||||||
Share of profit of associates and jvs | 15 | 15 | 74 | 31 | 62 | 105 | 126 | 223 | 96 | 0 | 12 | |||||||||||||||||||
Financial expenses net | -209 | -72 | -34 | -127 | -61 | -155 | -221 | -239 | -117 | -222 | 0 | -245 | ||||||||||||||||||
Profit before taxes | 0 | 552 | 332 | 1456 | 1045 | 1615 | 2026 | 1850 | 1433 | 1746 | 0 | 0 | ||||||||||||||||||
Income tax expense | -83 | -74 | -61 | -232 | -191 | -261 | -302 | -254 | -218 | -364 | 0 | -259 | ||||||||||||||||||
Net profit for the period | -26 | 478 | 271 | 1224 | 854 | 1354 | 1724 | 1596 | 1215 | 1382 | 0 | 0 | ||||||||||||||||||
Non-controlling interests | 6 | 8 | 74 | 32 | 54 | 96 | 54 | 31 | 35 | 0 | 33 | |||||||||||||||||||
EPS basic (EUR) | 039 | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 148 | ||||||||||||||||||
EPS diluted (EUR) | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 079 | |||||||||||||||||||
069 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 183 | 327 | 556 | 964 | 1390 | |||||||
Comparable operating profit | 10 | 10 | 21 | -3 | 35 | |||||||
Net Assets | 77 | 59 | ||||||||||
Comparable RONA | 341 | |||||||||||
Gross Investments | 1 | 0 | 4 | 0 | 4 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 215 | 200 | 526 | 480 | 1009 | |||||||
Comparable operating profit | 60 | 53 | 184 | 155 | 336 | |||||||
Net Assets | 3487 | 3482 | ||||||||||
Comparable RONA | 99 | |||||||||||
Gross Investments | 62 | 47 | 96 | 76 | 233 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 195 | 169 | 490 | 413 | 881 | |||||||
Comparable operating profit | 21 | -9 | 55 | 7 | 56 | |||||||
Net Assets | 3051 | 2690 | ||||||||||
Comparable RONA | 34 | |||||||||||
Gross Investments | 192 | 167 | 267 | 258 | 608 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 322 | 301 | 1047 | 952 | 1865 | |||||||
Comparable operating profit | 25 | 33 | 196 | 165 | 306 | |||||||
Net Assets | 3911 | 3884 | ||||||||||
Comparable RONA | 82 | |||||||||||
Gross Investments | 72 | 59 | 130 | 121 | 314 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 574 | 597 | 1267 | 1366 | 2603 | |||||||
Comparable operating profit | 257 | 271 | 582 | 695 | 1185 | |||||||
Net Assets | 5998 | 5726 | ||||||||||
Comparable RONA | 198 | |||||||||||
Gross Investments | 36 | 22 | 69 | 55 | 136 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Roumlrelseresultat II2009 | Roumlrelseresultat II2008 | Liikevoitto 2008 | Liikevoitto 2007 | |||||||||||||||||||||||
Jaumlmfoumlrbart | Rapporterat | Jaumlmfoumlrbart | Rapporterat | Vertkelp | Raportoitu | Vertkelp | Raportoitu | |||||||||||||||||||
Kraftproduktion | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Vaumlrme | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Markets | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Ryssland | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Oumlvrigt | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Summa | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Liikevoitto II2010 | Liikevoitto II2009 | Liikevoitto I-II2010 | Liikevoitto I-II2009 | |||||||||||||||||||||||
Vertkelp | Raportoitu | Vertkelp | Raportoitu | Vertkelp | Raportoitu | Vertkelp | Raportoitu | |||||||||||||||||||
Power | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Heat | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Saumlhkoumlnmyynti | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Russia | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Muut | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Yhteensauml | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 | ||||||||||||||||||
I-III2009 | ||||||||||||||||||||||||||
SEK | Muut | Yhteensauml | ||||||||||||||||||||||||
Saumlhkoumlntuotanto | -67 | -3 | -70 | |||||||||||||||||||||||
Laumlmpouml | -10 | -2 | -12 | |||||||||||||||||||||||
Saumlhkoumlnsiirto | -13 | -1 | -14 | |||||||||||||||||||||||
Markets | -1 | -1 | -2 | |||||||||||||||||||||||
Venaumljauml | 0 | 6 | 6 | |||||||||||||||||||||||
Muu | 0 | 1 | 1 | |||||||||||||||||||||||
Yhteensauml | -91 | 0 | -91 |
Operating profit II2010 | Operating profit II2009 | Operating profit I-II2010 | Operating profit I-2009 | |||||||||||||||||||||||
Comparable | Reported | Comparable | Reported | Comparable | Reported | Comparable | Reported | |||||||||||||||||||
Power | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Heat | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Electricity Sales | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Russia | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Other | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Total | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 | ||||||||||||||||||
Currency translation effects on comparable operating profit | ||||||||||||||||||||||||||
I2009 | I-III2009 | |||||||||||||||||||||||||
SEK | Other | Total | SEK | Other | Total | |||||||||||||||||||||
Power Generation | -55 | -3 | -58 | Power Generation | -67 | -3 | -70 | |||||||||||||||||||
Heat | -12 | -3 | -15 | Heat | -10 | -2 | -12 | |||||||||||||||||||
Distribution | -11 | -1 | -12 | Distribution | -13 | -1 | -14 | |||||||||||||||||||
Markets | -1 | 0 | -1 | Markets | -1 | -1 | -2 | |||||||||||||||||||
Russia | 0 | 1 | 1 | Russia | 0 | 6 | 6 | |||||||||||||||||||
Other | 1 | 0 | 1 | Other | 0 | 1 | 1 | |||||||||||||||||||
Total | -78 | -6 | -84 | Total | -91 | 0 | -91 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Vertkelpliikevoitto | Raportoitu liikevoitto | Vertkelpliikevoitto | Raportoitu liikevoitto | |||||||||||||||||||||||
II2010 | II2009 | II2010 | II2009 | I-II2010 | I-II2009 | I-II2010 | I-II2009 | |||||||||||||||||||
Power | 257 | 271 | 271 | 280 | 582 | 695 | 760 | 747 | ||||||||||||||||||
Heat | 25 | 33 | 25 | 35 | 196 | 165 | 290 | 194 | ||||||||||||||||||
Distribution | 21 | -9 | 21 | -9 | 55 | 7 | 55 | 23 | ||||||||||||||||||
Saumlhkoumlnmyynti | 60 | 53 | 252 | 53 | 184 | 155 | 377 | 166 | ||||||||||||||||||
Russia | 10 | 10 | 23 | 23 | 21 | -3 | 3 | -6 | ||||||||||||||||||
Muut | -25 | -19 | 17 | -31 | -41 | -29 | 24 | -49 | ||||||||||||||||||
Yhteensauml | 348 | 339 | 609 | 351 | 997 | 990 | 1509 | 1075 | ||||||||||||||||||
I-III2009 | ||||||||||||||||||||||||||
SEK | Muut | Yhteensauml | ||||||||||||||||||||||||
Saumlhkoumlntuotanto | -67 | -3 | -70 | |||||||||||||||||||||||
Laumlmpouml | -10 | -2 | -12 | |||||||||||||||||||||||
Saumlhkoumlnsiirto | -13 | -1 | -14 | |||||||||||||||||||||||
Markets | -1 | -1 | -2 | |||||||||||||||||||||||
Venaumljauml | 0 | 6 | 6 | |||||||||||||||||||||||
Muu | 0 | 1 | 1 | |||||||||||||||||||||||
Yhteensauml | -91 | 0 | -91 |
MEUR | Comparable operating profit | Reported operating profit | Comparable operating profit | Reported operating profit | ||||||||||||||||||||||
II2011 | II2010 | II2011 | II2010 | I-II2011 | I-II2010 | I-II2011 | I-II2010 | |||||||||||||||||||
Power | 257 | 271 | 271 | 280 | 582 | 695 | 760 | 747 | ||||||||||||||||||
Heat | 25 | 33 | 25 | 35 | 196 | 165 | 290 | 194 | ||||||||||||||||||
Russia | 21 | -9 | 21 | -9 | 55 | 7 | 55 | 23 | ||||||||||||||||||
Distribution | 60 | 53 | 252 | 53 | 184 | 155 | 377 | 166 | ||||||||||||||||||
Electricity Sales | 10 | 10 | 23 | 23 | 21 | -3 | 3 | -6 | ||||||||||||||||||
Other | -25 | -19 | 17 | -31 | -41 | -29 | 24 | -49 | ||||||||||||||||||
Total | 348 | 339 | 609 | 351 | 997 | 990 | 1509 | 1075 | ||||||||||||||||||
Currency translation effects on comparable operating profit | ||||||||||||||||||||||||||
I2009 | I-III2009 | |||||||||||||||||||||||||
SEK | Other | Total | SEK | Other | Total | |||||||||||||||||||||
Power Generation | -55 | -3 | -58 | Power Generation | -67 | -3 | -70 | |||||||||||||||||||
Heat | -12 | -3 | -15 | Heat | -10 | -2 | -12 | |||||||||||||||||||
Distribution | -11 | -1 | -12 | Distribution | -13 | -1 | -14 | |||||||||||||||||||
Markets | -1 | 0 | -1 | Markets | -1 | -1 | -2 | |||||||||||||||||||
Russia | 0 | 1 | 1 | Russia | 0 | 6 | 6 | |||||||||||||||||||
Other | 1 | 0 | 1 | Other | 0 | 1 | 1 | |||||||||||||||||||
Total | -78 | -6 | -84 | Total | -91 | 0 | -91 |
14
Power
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 574 597 1 267 1 366 2 603
Comparable operating profit 257 271 582 695 1 185
Net Assets 5 998 5 726
Comparable RONA 198
Gross Investments 36 22 69 55 136
Q2 Power
bull Comparable operating profit decreasedndash Swedish nuclear availability back at 80-85ndash Lower hydro and nuclear volumesndash Water reservoirs improved significantly towards the
end of the quarter
15
Nuclear output in Q2
Q2 2011
Q2 2010
Nuclear Outage effect
TWh
Planned outages in Oskarshamn 1amp3 and Forsmark 1 in Q22011(In 2010 no outages in Q2)
If timing would have been similar in 2011 compared to 2010 nuclear output would have exceeded 2010 levels during Q2
Improved availability in Sweden
16
Q2 Power result declined due to several reasons
Comparable operating profit EUR million
257-3-40271 3-10
Volumeamp priceQ22010 Stronger
SEKRussianimport
Propertytaxes Other Q22011
17
Heat
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 322 301 1 047 952 1 865
Comparable operating profit 25 33 196 165 306
Net Assets 3 911 3 884
Comparable RONA 82
Gross Investments 72 59 130 121 314
Q2 Heat
bull Comparable operating profit decreasedndash Lower heat volumes in Sweden caused by
divestment during first quarterndash Integration cost provisions in Poland
18
Russiabull Comparable operating profit improved
ndash Commissioning of the new unit ndash Higher electricity market prices ndash Efficiency improvementsndash Reversal of CSA provisions related to the newly
commissioned units
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 195 169 490 413 881
Comparable operating profit 21 -9 55 7 56
Net Assets 3 051 2 690
Comparable RONA 34
Gross Investments 192 167 267 258 608
Q2 Russia
19
Distribution
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 215 200 526 480 1 009
Comparable operating profit 60 53 184 155 336
Net Assets 3 487 3 482
Comparable RONA 99
Gross Investments 62 47 96 76 233
Q2 Distribution
bull Comparable operating profit increasedndash Lower transmission costsndash Stronger SEK
bull Smart metering rollout to network customers in Finland continued
20
Markets
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 183 327 556 964 1 390
Comparable operating profit 10 10 21 -3 35
Net Assets 77 59
Comparable RONA 341
Gross Investments 1 0 4 0 4
Q2 Electricity Sales
bull Comparable operating profit at last yearrsquos levelndash Tough competitionndash Restructuring of the Business Market segment
21
MEUR II2011 II2010 I-II2011 I-II2010 2010 LTM
Sales 1 316 1 295 3 350 3 242 6 296 6 404Expenses -968 -956 -2 353 -2 252 -4 463 -4 564
Comparable operating profit 348 339 997 990 1 833 1 840
Other items affecting comparability 261 12 512 85 -125 302
Operating profit 609 351 1 509 1 075 1 708 2 142Share of profit of associates and jvs 15 15 74 31 62 105Financial expenses net -72 -34 -127 -61 -155 -221
Profit before taxes 552 332 1 456 1 045 1 615 2 026Income tax expense -74 -61 -232 -191 -261 -302
Net profit for the period 478 271 1 224 854 1 354 1 724Non-controlling interests 6 8 74 32 54 96
EPS basic (EUR) 053 030 129 093 146 183EPS diluted (EUR) 053 030 129 093 146 183
Q2 Income statement
22
Q2 Cash flow statement
MEUR II2011 II2010 I-II2011 I-II2010 2010 LTM
Operating profit before depreciations 764 490 1 813 1 351 2 271 2 733
Non-cash flow items and divesting activities -299 -6 -569 -73 124 -372
Financial items and fx gainslosses 12 -146 -290 -323 -641 -608
Taxes -144 -73 -258 -155 -355 -458
Funds from operations (FFO) 333 265 696 800 1 399 1 295
Change in working capital 77 157 168 143 38 63
Total net cash from operating activities 410 422 864 943 1 437 1 358
Paid capital expenditures -297 -263 -503 -486 -1 134 -1 151
Acquisition of shares -1 -1 -20 -1 -28 -47
Other investing activities 331 -16 541 72 60 529
Cash flow before financing activities 443 142 882 528 335 689
23
MEUR LTM 2010 2009EBITDA 2 733 2 271 2 292Comparable EBITDA 2 431 2 396 2 398Interest-bearing net debt 6 783 6 826 5 969Net debtEBITDA 25 30 26Comparable Net debtEBITDA 28 28 25
Return on capital employed () 138 116 121Return on shareholders equity () 191 157 160
) as of 30 June 2011
Key ratios
Q2 lsquo11
24
Debt maturity profile
0
250
500
750
1000
1250
1500
1750
2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021+
Bonds Financial institutions Other long-term debt CPs Other short-term debt
MEUR
2011 231
2012 668
2013 639
2014 1223
2015 1051
2016 879
2017 270
2018 190
2019 840
2020 73
2021+ 1530
per 30 June 2011 per 31 Dec 2010
Average interest rate (incl swaps and forwards) 44 35Portion of floating fixed debt 47 53 49 51
25
Strong financial position
Return on capital employed12
Return on shareholders equity14
Net debtEBITDAaround 30
138
191
28
Fortumrsquos financial targets LTM in Q22011
Good liquidity ndash committed credit lines total EUR 27 billion
Comparable net debtEBITDA
26
Outlook
27
Q2 Summary
bull Solid performance continued - seasonalitybull Power
ndash Improved nuclear availability- timing of Swedish planned nuclear outages impacted volume
ndash Swedish nuclear back at 80-85 in availabilityndash Lower hydro volumes ndash water reservoirs improved at the end of the quarterndash SEK burdenedndash Results year-end weighted compared to 2010
bull Russiandash Commissioning of new units contributed to result improvementndash The return for the new capacity is guaranteed ndash EUR 100 million efficiency improvement reached
bull Nordic countriesndash Water reservoirs improved to long-term average
bull Overall strong financial position
28
Outlook
bull Key drivers and risksndash Wholesale price of electricity
bull Demandbull Fuelsbull CO2 emissions pricesbull Water reservoirsbull Nuclear availability
bull Nordic marketsndash Market continues to recover ndash 2008 level to be reached by 2012-2014ndash Electricity continues to gain share of total energy consumption
bull Russiandash Wholesale market liberalisedndash Profits from Russia build up in pace with the capacity increases
29
Outlook
bull Capex (excluding potential acquisitions)ndash 2011-2012 around EUR 16 to 18 billion annually (mainly due to Russian
investment programme)ndash 2013-2014 around EUR 11 to 14 billion annuallyndash Disclosed divestments totalled approximately EUR 05 billion
bull Hedgingndash 2011 approximately 70 hedge ratio at approximately EUR 45MWh(Q1 70 at EUR 44MWh)ndash 2012 approximately 50 hedge ratio at approximately EUR 46MWh(Q1 45 at EUR 45MWh)
30
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007 2008 2009 2010 2011 20120
10
20
30
40
50
60
70
80
90
100
110Spot prices Forward prices
3131
CO2 -free and energy-efficient solutions important
Create solid earnings growth in Russia
Leverage the strong Nordic core
Build platform for future growth
Competence in CO2 -free hydro nuclear and energy efficient CHP production and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -Fortumrsquos strategy remains intact
32
19 July 2011
Fortum Corporation
Interim Report
January-June 2011
Disclaimer
This presentation does not constitute an invitation to underwrite subscribe for or otherwise acquire or dispose of any Fortum shares
Past performance is no guide to future performance and persons needing advice should consult an independent financial adviser
Highlights in Q2
Increased uncertainty in macro environment
GLOBAL
- Incident in Fukushima in Japan
Finland
- No new decisions-in-principle on nuclear power in four years
- The new Governmentrsquos policy framework includes a possible implementation of a windfall tax and a uranium tax
Germany
- To be replaced by renewable energy
Q2 Market conditions
Nordic water reservoirs
Source Nord Pool Spot
Q1
Q2
Q3
Q4
2003
2008
2009
2011
2010
reference level
reservoir content (TWh)
0
20
40
60
80
100
120
Price development in the Nordic region and Russia
Includes capacity income
+17
+6
+24
+13
Q2 Good development continued
Q2 Comparable profit at last yearrsquos level
Comparable operating profit EUR million
-6
7
30
-14
348
339
0
-8
Power
Q22010
Heat
Russia
Distribution
Electricity
Sales
Other
Q22011
January-June Comparable profit at last yearrsquos level
Comparable operating profit EUR million
31
24
990
997
-113
48
29
-12
Power
H12010
Heat
Russia
Distribution
Electricity
Sales
Other
H12011
Fortum a forerunner in sustainability
Financials
Comparable and reported operating profit
Power
Q2 Power
Nuclear output in Q2
Planned outages in Oskarshamn 1amp3 and Forsmark 1 in Q22011
(In 2010 no outages in Q2)
If timing would have been similar in 2011 compared to 2010 nuclear output would have exceeded 2010 levels during Q2
Improved availability in Sweden
Q2 2011
Q2 2010
Nuclear
Outage effect
TWh
Q2 Power result declined due to several reasons
Comparable operating profit EUR million
257
-3
-4
0
271
3
-10
Volume
amp price
Q22010
Stronger
SEK
Russian
import
Property
taxes
Other
Q22011
Heat
Q2 Heat
Russia
Q2 Russia
Distribution
Q2 Distribution
Markets
Q2 Electricity Sales
Q2 Income statement
Q2 Cash flow statement
Key ratios
Q2 lsquo11
Debt maturity profile
per 30 June 2011 per 31 Dec 2010
Average interest rate (incl swaps and forwards)4435
Portion of floating fixed debt 47 53 49 51
Strong financial position
Return on capital employed
12
Return on shareholders equity
14
Net debtEBITDA
around 30
138
191
28
Fortumrsquos financial targets
LTM in Q22011
Good liquidity ndash committed credit lines total EUR 27 billion
Comparable net debtEBITDA
Outlook
Q2 Summary
Outlook
Outlook
(Q1 70 at EUR 44MWh)
(Q1 45 at EUR 45MWh)
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007
2008
2009
2010
2011
2012
0
10
20
30
40
50
60
70
80
90
100
110
Spot prices
Forward prices
CO2-free and energy-efficient solutions important
Create solid earnings
growth in Russia
Leverage the strong
Nordic core
Build platform for
future growth
Competence in CO2-free hydro nuclear and energy efficient CHP production
and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -
Fortumrsquos strategy remains intact
MEURII2011II2010I-II2011I-II2010LTM
Sales1833275569641 390
Comparable operating profit101021-335
Net Assets7759
Comparable RONA 341
Gross Investments10404
MEURII2011II2010I-II2011I-II2010LTM
Sales2152005264801 009
Comparable operating profit6053184155336
Net Assets3 4873 482
Comparable RONA 99
Gross Investments62479676233
0
250
500
750
1000
1250
1500
1750
20112012201320142015201620172018201920202021+
BondsFinancial institutionsOther long-term debtCPsOther short-term debt
MEURII2011II2010I-II2011I-II2010LTM
Sales195169490413881
Comparable operating profit21-955756
Net Assets3 0512 690
Comparable RONA 34
Gross Investments192167267258608
MEURII2011II2010I-II2011I-II2010LTM
Sales5745971 2671 3662 603
Comparable operating profit2572715826951 185
Net Assets5 9985 726
Comparable RONA 198
Gross Investments36226955136
MEURII2011II2010I-II2011I-II20102010LTM
Sales1 316
1 2953 3503 2426 296
6 404
Expenses-968-956-2 353-2 252-4 463-4 564
Comparable operating profit3483399979901 8331 840
Other items affecting comparability2611251285-125302
Operating profit6093511 5091 0751 7082 142
Share of profit of associates and jvs1515743162105
Financial expenses net-72-34-127-61-155-221
Profit before taxes5523321 4561 0451 6152 026
Income tax expense-74-61-232-191-261-302
Net profit for the period4782711 2248541 3541 724
Non-controlling interests6874325496
EPS basic (EUR)053030129093146183
EPS diluted (EUR)053030129093146183
Spot price for power in NordPool power exchange
448
459
662
523
621
0
12
24
36
48
60
72
Q22010Q32010Q42010Q12011Q22011
eurMWh
Powers Nordic power price
447
469
488
479
474
0
10
20
30
40
50
60
Q22010Q32010Q42010Q12011Q22011
eurMWh
MEURII2011II2010I-II2011I-II20102010LTM
Operating profit before depreciations7644901 8131 3512 2712 733
Non-cash flow items and divesting activities
-299-6-569-73124-372
Financial items and fx gainslosses
12-146-290-323-641-608
Taxes
-144-73-258-155-355-458
Funds from operations (FFO)
3332656968001 3991 295
Change in working capital
771571681433863
Total net cash from operating activities4104228649431 4371 358
Paid capital expenditures-297-263-503-486-1 134-1 151
Acquisition of shares-1-1-20-1-28-47
Other investing activities331-165417260529
Cash flow before financing activities443142882528335689
MEURII2011II2010I-II2011I-II2010LTM
Sales3223011 0479521 865
Comparable operating profit2533196165306
Net Assets3 9113 884
Comparable RONA 82
Gross Investments7259130121314
MEUR
II2011II2010II2011II2010I-II2011I-II2010I-II2011I-II2010
Power257271271280582695760747
Heat25332535196165290194
Russia21-921-95575523
Distribution605325253184155377166
Electricity Sales1010232321-33-6
Other-25-1917-31-41-2924-49
Total3483396093519979901 5091 075
Comparable operating profit
Reported operating profit
Comparable operating profit
Reported operating profit
Spot price for power (market price) Urals hub
770
935
817
950
954
0
200
400
600
800
1 000
1 200
Q22010Q32010Q42010Q12011Q22011
RUBMWh
Achieved power price for OAO Fortum
256
288
305
292
290
0
6
12
18
24
30
36
Q22010Q32010Q42010Q12011Q22011
eurMWh
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
MEURLTM20102009
EBITDA2 7332 2712 292
Comparable EBITDA2 4312 3962 398
Interest-bearing net debt6 7836 8265 969
Net debtEBITDA253026
Comparable Net debtEBITDA282825
Return on capital employed ()138116121
Return on shareholders equity ()191157160
) as of 30 June 2011
MEUR | |||
2011 | 231 | ||
2012 | 668 | ||
2013 | 639 | ||
2014 | 1223 | ||
2015 | 1051 | ||
2016 | 879 | ||
2017 | 270 | ||
2018 | 190 | ||
2019 | 840 | ||
2020 | 73 | ||
2021+ | 1530 |
MEUR | LTM | 2010 | 2009 | 2008 | 2006 | 2005 | |||||||
EBITDA | 2733 | 2271 | 2292 | 2478 | 1884 | ||||||||
Comparable EBITDA | 2431 | 2396 | 2398 | 1151 | 1271 | ||||||||
Interest-bearing net debt | 6 783 | 6826 | 5969 | 6179 | 4345 | 3158 | |||||||
Net debtEBITDA | 25 | 30 | 26 | 25 | 8161 | ||||||||
Comparable Net debtEBITDA | 28 | 28 | 25 | 16839 | 15130 | ||||||||
23 | 18 | ||||||||||||
Return on capital employed () | 138 | 116 | 121 | 150 | 134 | 135 | |||||||
Return on shareholders equity () | 191 | 157 | 160 | 187 | 144 | 135 | |||||||
) as of 30 June 2011 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | |||||||||||
Operating profit before depreciations | 764 | 490 | 1813 | 1351 | 2271 | 2733 | 2478 | 1663 | 2370 | 0 | |||||||||||
Non-cash flow items and divesting activities | -299 | -6 | -569 | -73 | 124 | -372 | -275 | -268 | -56 | 0 | |||||||||||
Financial items and fx gainslosses | 12 | -146 | -290 | -323 | -641 | -608 | 233 | ||||||||||||||
Taxes | -144 | -73 | -258 | -155 | -355 | -458 | -332 | -231 | -534 | 0 | |||||||||||
Funds from operations (FFO) | 333 | 265 | 696 | 800 | 1399 | 1295 | 2104 | 1164 | 1780 | 0 | |||||||||||
Change in working capital | 77 | 157 | 168 | 143 | 38 | 63 | -102 | 161 | 5 | 0 | |||||||||||
Total net cash from operating activities | 410 | 422 | 864 | 943 | 1437 | 1358 | 2002 | 1325 | 1785 | 0 | |||||||||||
Paid capital expenditures | -297 | -263 | -503 | -486 | -1134 | -1151 | -1018 | -341 | -931 | 0 | |||||||||||
Acquisition of shares | -1 | -1 | -20 | -1 | -28 | -47 | -1243 | -257 | -1243 | 0 | |||||||||||
Other investing activities | 331 | -16 | 541 | 72 | 60 | 529 | -21 | 258 | -34 | 0 | |||||||||||
Cash flow before financing activities | 443 | 142 | 882 | 528 | 335 | 689 | -280 | 985 | -423 | 0 |
MEUR | Q1-Q300 | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | 2004 | ||||||||||||||||||
Sales | 7732 | 1316 | 1295 | 3350 | 3242 | 6296 | 6404 | 5636 | 3159 | 5354 | 0 | 3835 | ||||||||||||||||||
Expenses | -7109 | -968 | -956 | -2353 | -2252 | -4463 | -4564 | -3673 | -1832 | -3482 | 0 | -2640 | ||||||||||||||||||
Comparable operating profit | 623 | 348 | 339 | 997 | 990 | 1833 | 1840 | 1963 | 1327 | 1872 | 0 | 1195 | ||||||||||||||||||
Other items affecting comparability | 261 | 12 | 512 | 85 | -125 | 302 | ||||||||||||||||||||||||
Operating profit | 609 | 351 | 1509 | 1075 | 1708 | 2142 | ||||||||||||||||||||||||
Share of profit of associates and jvs | 15 | 15 | 74 | 31 | 62 | 105 | 126 | 223 | 96 | 0 | 12 | |||||||||||||||||||
Financial expenses net | -209 | -72 | -34 | -127 | -61 | -155 | -221 | -239 | -117 | -222 | 0 | -245 | ||||||||||||||||||
Profit before taxes | 0 | 552 | 332 | 1456 | 1045 | 1615 | 2026 | 1850 | 1433 | 1746 | 0 | 0 | ||||||||||||||||||
Income tax expense | -83 | -74 | -61 | -232 | -191 | -261 | -302 | -254 | -218 | -364 | 0 | -259 | ||||||||||||||||||
Net profit for the period | -26 | 478 | 271 | 1224 | 854 | 1354 | 1724 | 1596 | 1215 | 1382 | 0 | 0 | ||||||||||||||||||
Non-controlling interests | 6 | 8 | 74 | 32 | 54 | 96 | 54 | 31 | 35 | 0 | 33 | |||||||||||||||||||
EPS basic (EUR) | 039 | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 148 | ||||||||||||||||||
EPS diluted (EUR) | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 079 | |||||||||||||||||||
069 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 183 | 327 | 556 | 964 | 1390 | |||||||
Comparable operating profit | 10 | 10 | 21 | -3 | 35 | |||||||
Net Assets | 77 | 59 | ||||||||||
Comparable RONA | 341 | |||||||||||
Gross Investments | 1 | 0 | 4 | 0 | 4 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 215 | 200 | 526 | 480 | 1009 | |||||||
Comparable operating profit | 60 | 53 | 184 | 155 | 336 | |||||||
Net Assets | 3487 | 3482 | ||||||||||
Comparable RONA | 99 | |||||||||||
Gross Investments | 62 | 47 | 96 | 76 | 233 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 195 | 169 | 490 | 413 | 881 | |||||||
Comparable operating profit | 21 | -9 | 55 | 7 | 56 | |||||||
Net Assets | 3051 | 2690 | ||||||||||
Comparable RONA | 34 | |||||||||||
Gross Investments | 192 | 167 | 267 | 258 | 608 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 322 | 301 | 1047 | 952 | 1865 | |||||||
Comparable operating profit | 25 | 33 | 196 | 165 | 306 | |||||||
Net Assets | 3911 | 3884 | ||||||||||
Comparable RONA | 82 | |||||||||||
Gross Investments | 72 | 59 | 130 | 121 | 314 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 574 | 597 | 1267 | 1366 | 2603 | |||||||
Comparable operating profit | 257 | 271 | 582 | 695 | 1185 | |||||||
Net Assets | 5998 | 5726 | ||||||||||
Comparable RONA | 198 | |||||||||||
Gross Investments | 36 | 22 | 69 | 55 | 136 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Roumlrelseresultat II2009 | Roumlrelseresultat II2008 | Liikevoitto 2008 | Liikevoitto 2007 | |||||||||||||||||||||||
Jaumlmfoumlrbart | Rapporterat | Jaumlmfoumlrbart | Rapporterat | Vertkelp | Raportoitu | Vertkelp | Raportoitu | |||||||||||||||||||
Kraftproduktion | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Vaumlrme | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Markets | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Ryssland | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Oumlvrigt | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Summa | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Liikevoitto II2010 | Liikevoitto II2009 | Liikevoitto I-II2010 | Liikevoitto I-II2009 | |||||||||||||||||||||||
Vertkelp | Raportoitu | Vertkelp | Raportoitu | Vertkelp | Raportoitu | Vertkelp | Raportoitu | |||||||||||||||||||
Power | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Heat | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Saumlhkoumlnmyynti | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Russia | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Muut | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Yhteensauml | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 | ||||||||||||||||||
I-III2009 | ||||||||||||||||||||||||||
SEK | Muut | Yhteensauml | ||||||||||||||||||||||||
Saumlhkoumlntuotanto | -67 | -3 | -70 | |||||||||||||||||||||||
Laumlmpouml | -10 | -2 | -12 | |||||||||||||||||||||||
Saumlhkoumlnsiirto | -13 | -1 | -14 | |||||||||||||||||||||||
Markets | -1 | -1 | -2 | |||||||||||||||||||||||
Venaumljauml | 0 | 6 | 6 | |||||||||||||||||||||||
Muu | 0 | 1 | 1 | |||||||||||||||||||||||
Yhteensauml | -91 | 0 | -91 |
Operating profit II2010 | Operating profit II2009 | Operating profit I-II2010 | Operating profit I-2009 | |||||||||||||||||||||||
Comparable | Reported | Comparable | Reported | Comparable | Reported | Comparable | Reported | |||||||||||||||||||
Power | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Heat | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Electricity Sales | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Russia | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Other | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Total | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 | ||||||||||||||||||
Currency translation effects on comparable operating profit | ||||||||||||||||||||||||||
I2009 | I-III2009 | |||||||||||||||||||||||||
SEK | Other | Total | SEK | Other | Total | |||||||||||||||||||||
Power Generation | -55 | -3 | -58 | Power Generation | -67 | -3 | -70 | |||||||||||||||||||
Heat | -12 | -3 | -15 | Heat | -10 | -2 | -12 | |||||||||||||||||||
Distribution | -11 | -1 | -12 | Distribution | -13 | -1 | -14 | |||||||||||||||||||
Markets | -1 | 0 | -1 | Markets | -1 | -1 | -2 | |||||||||||||||||||
Russia | 0 | 1 | 1 | Russia | 0 | 6 | 6 | |||||||||||||||||||
Other | 1 | 0 | 1 | Other | 0 | 1 | 1 | |||||||||||||||||||
Total | -78 | -6 | -84 | Total | -91 | 0 | -91 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Vertkelpliikevoitto | Raportoitu liikevoitto | Vertkelpliikevoitto | Raportoitu liikevoitto | |||||||||||||||||||||||
II2010 | II2009 | II2010 | II2009 | I-II2010 | I-II2009 | I-II2010 | I-II2009 | |||||||||||||||||||
Power | 257 | 271 | 271 | 280 | 582 | 695 | 760 | 747 | ||||||||||||||||||
Heat | 25 | 33 | 25 | 35 | 196 | 165 | 290 | 194 | ||||||||||||||||||
Distribution | 21 | -9 | 21 | -9 | 55 | 7 | 55 | 23 | ||||||||||||||||||
Saumlhkoumlnmyynti | 60 | 53 | 252 | 53 | 184 | 155 | 377 | 166 | ||||||||||||||||||
Russia | 10 | 10 | 23 | 23 | 21 | -3 | 3 | -6 | ||||||||||||||||||
Muut | -25 | -19 | 17 | -31 | -41 | -29 | 24 | -49 | ||||||||||||||||||
Yhteensauml | 348 | 339 | 609 | 351 | 997 | 990 | 1509 | 1075 | ||||||||||||||||||
I-III2009 | ||||||||||||||||||||||||||
SEK | Muut | Yhteensauml | ||||||||||||||||||||||||
Saumlhkoumlntuotanto | -67 | -3 | -70 | |||||||||||||||||||||||
Laumlmpouml | -10 | -2 | -12 | |||||||||||||||||||||||
Saumlhkoumlnsiirto | -13 | -1 | -14 | |||||||||||||||||||||||
Markets | -1 | -1 | -2 | |||||||||||||||||||||||
Venaumljauml | 0 | 6 | 6 | |||||||||||||||||||||||
Muu | 0 | 1 | 1 | |||||||||||||||||||||||
Yhteensauml | -91 | 0 | -91 |
MEUR | Comparable operating profit | Reported operating profit | Comparable operating profit | Reported operating profit | ||||||||||||||||||||||
II2011 | II2010 | II2011 | II2010 | I-II2011 | I-II2010 | I-II2011 | I-II2010 | |||||||||||||||||||
Power | 257 | 271 | 271 | 280 | 582 | 695 | 760 | 747 | ||||||||||||||||||
Heat | 25 | 33 | 25 | 35 | 196 | 165 | 290 | 194 | ||||||||||||||||||
Russia | 21 | -9 | 21 | -9 | 55 | 7 | 55 | 23 | ||||||||||||||||||
Distribution | 60 | 53 | 252 | 53 | 184 | 155 | 377 | 166 | ||||||||||||||||||
Electricity Sales | 10 | 10 | 23 | 23 | 21 | -3 | 3 | -6 | ||||||||||||||||||
Other | -25 | -19 | 17 | -31 | -41 | -29 | 24 | -49 | ||||||||||||||||||
Total | 348 | 339 | 609 | 351 | 997 | 990 | 1509 | 1075 | ||||||||||||||||||
Currency translation effects on comparable operating profit | ||||||||||||||||||||||||||
I2009 | I-III2009 | |||||||||||||||||||||||||
SEK | Other | Total | SEK | Other | Total | |||||||||||||||||||||
Power Generation | -55 | -3 | -58 | Power Generation | -67 | -3 | -70 | |||||||||||||||||||
Heat | -12 | -3 | -15 | Heat | -10 | -2 | -12 | |||||||||||||||||||
Distribution | -11 | -1 | -12 | Distribution | -13 | -1 | -14 | |||||||||||||||||||
Markets | -1 | 0 | -1 | Markets | -1 | -1 | -2 | |||||||||||||||||||
Russia | 0 | 1 | 1 | Russia | 0 | 6 | 6 | |||||||||||||||||||
Other | 1 | 0 | 1 | Other | 0 | 1 | 1 | |||||||||||||||||||
Total | -78 | -6 | -84 | Total | -91 | 0 | -91 |
15
Nuclear output in Q2
Q2 2011
Q2 2010
Nuclear Outage effect
TWh
Planned outages in Oskarshamn 1amp3 and Forsmark 1 in Q22011(In 2010 no outages in Q2)
If timing would have been similar in 2011 compared to 2010 nuclear output would have exceeded 2010 levels during Q2
Improved availability in Sweden
16
Q2 Power result declined due to several reasons
Comparable operating profit EUR million
257-3-40271 3-10
Volumeamp priceQ22010 Stronger
SEKRussianimport
Propertytaxes Other Q22011
17
Heat
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 322 301 1 047 952 1 865
Comparable operating profit 25 33 196 165 306
Net Assets 3 911 3 884
Comparable RONA 82
Gross Investments 72 59 130 121 314
Q2 Heat
bull Comparable operating profit decreasedndash Lower heat volumes in Sweden caused by
divestment during first quarterndash Integration cost provisions in Poland
18
Russiabull Comparable operating profit improved
ndash Commissioning of the new unit ndash Higher electricity market prices ndash Efficiency improvementsndash Reversal of CSA provisions related to the newly
commissioned units
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 195 169 490 413 881
Comparable operating profit 21 -9 55 7 56
Net Assets 3 051 2 690
Comparable RONA 34
Gross Investments 192 167 267 258 608
Q2 Russia
19
Distribution
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 215 200 526 480 1 009
Comparable operating profit 60 53 184 155 336
Net Assets 3 487 3 482
Comparable RONA 99
Gross Investments 62 47 96 76 233
Q2 Distribution
bull Comparable operating profit increasedndash Lower transmission costsndash Stronger SEK
bull Smart metering rollout to network customers in Finland continued
20
Markets
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 183 327 556 964 1 390
Comparable operating profit 10 10 21 -3 35
Net Assets 77 59
Comparable RONA 341
Gross Investments 1 0 4 0 4
Q2 Electricity Sales
bull Comparable operating profit at last yearrsquos levelndash Tough competitionndash Restructuring of the Business Market segment
21
MEUR II2011 II2010 I-II2011 I-II2010 2010 LTM
Sales 1 316 1 295 3 350 3 242 6 296 6 404Expenses -968 -956 -2 353 -2 252 -4 463 -4 564
Comparable operating profit 348 339 997 990 1 833 1 840
Other items affecting comparability 261 12 512 85 -125 302
Operating profit 609 351 1 509 1 075 1 708 2 142Share of profit of associates and jvs 15 15 74 31 62 105Financial expenses net -72 -34 -127 -61 -155 -221
Profit before taxes 552 332 1 456 1 045 1 615 2 026Income tax expense -74 -61 -232 -191 -261 -302
Net profit for the period 478 271 1 224 854 1 354 1 724Non-controlling interests 6 8 74 32 54 96
EPS basic (EUR) 053 030 129 093 146 183EPS diluted (EUR) 053 030 129 093 146 183
Q2 Income statement
22
Q2 Cash flow statement
MEUR II2011 II2010 I-II2011 I-II2010 2010 LTM
Operating profit before depreciations 764 490 1 813 1 351 2 271 2 733
Non-cash flow items and divesting activities -299 -6 -569 -73 124 -372
Financial items and fx gainslosses 12 -146 -290 -323 -641 -608
Taxes -144 -73 -258 -155 -355 -458
Funds from operations (FFO) 333 265 696 800 1 399 1 295
Change in working capital 77 157 168 143 38 63
Total net cash from operating activities 410 422 864 943 1 437 1 358
Paid capital expenditures -297 -263 -503 -486 -1 134 -1 151
Acquisition of shares -1 -1 -20 -1 -28 -47
Other investing activities 331 -16 541 72 60 529
Cash flow before financing activities 443 142 882 528 335 689
23
MEUR LTM 2010 2009EBITDA 2 733 2 271 2 292Comparable EBITDA 2 431 2 396 2 398Interest-bearing net debt 6 783 6 826 5 969Net debtEBITDA 25 30 26Comparable Net debtEBITDA 28 28 25
Return on capital employed () 138 116 121Return on shareholders equity () 191 157 160
) as of 30 June 2011
Key ratios
Q2 lsquo11
24
Debt maturity profile
0
250
500
750
1000
1250
1500
1750
2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021+
Bonds Financial institutions Other long-term debt CPs Other short-term debt
MEUR
2011 231
2012 668
2013 639
2014 1223
2015 1051
2016 879
2017 270
2018 190
2019 840
2020 73
2021+ 1530
per 30 June 2011 per 31 Dec 2010
Average interest rate (incl swaps and forwards) 44 35Portion of floating fixed debt 47 53 49 51
25
Strong financial position
Return on capital employed12
Return on shareholders equity14
Net debtEBITDAaround 30
138
191
28
Fortumrsquos financial targets LTM in Q22011
Good liquidity ndash committed credit lines total EUR 27 billion
Comparable net debtEBITDA
26
Outlook
27
Q2 Summary
bull Solid performance continued - seasonalitybull Power
ndash Improved nuclear availability- timing of Swedish planned nuclear outages impacted volume
ndash Swedish nuclear back at 80-85 in availabilityndash Lower hydro volumes ndash water reservoirs improved at the end of the quarterndash SEK burdenedndash Results year-end weighted compared to 2010
bull Russiandash Commissioning of new units contributed to result improvementndash The return for the new capacity is guaranteed ndash EUR 100 million efficiency improvement reached
bull Nordic countriesndash Water reservoirs improved to long-term average
bull Overall strong financial position
28
Outlook
bull Key drivers and risksndash Wholesale price of electricity
bull Demandbull Fuelsbull CO2 emissions pricesbull Water reservoirsbull Nuclear availability
bull Nordic marketsndash Market continues to recover ndash 2008 level to be reached by 2012-2014ndash Electricity continues to gain share of total energy consumption
bull Russiandash Wholesale market liberalisedndash Profits from Russia build up in pace with the capacity increases
29
Outlook
bull Capex (excluding potential acquisitions)ndash 2011-2012 around EUR 16 to 18 billion annually (mainly due to Russian
investment programme)ndash 2013-2014 around EUR 11 to 14 billion annuallyndash Disclosed divestments totalled approximately EUR 05 billion
bull Hedgingndash 2011 approximately 70 hedge ratio at approximately EUR 45MWh(Q1 70 at EUR 44MWh)ndash 2012 approximately 50 hedge ratio at approximately EUR 46MWh(Q1 45 at EUR 45MWh)
30
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007 2008 2009 2010 2011 20120
10
20
30
40
50
60
70
80
90
100
110Spot prices Forward prices
3131
CO2 -free and energy-efficient solutions important
Create solid earnings growth in Russia
Leverage the strong Nordic core
Build platform for future growth
Competence in CO2 -free hydro nuclear and energy efficient CHP production and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -Fortumrsquos strategy remains intact
32
19 July 2011
Fortum Corporation
Interim Report
January-June 2011
Disclaimer
This presentation does not constitute an invitation to underwrite subscribe for or otherwise acquire or dispose of any Fortum shares
Past performance is no guide to future performance and persons needing advice should consult an independent financial adviser
Highlights in Q2
Increased uncertainty in macro environment
GLOBAL
- Incident in Fukushima in Japan
Finland
- No new decisions-in-principle on nuclear power in four years
- The new Governmentrsquos policy framework includes a possible implementation of a windfall tax and a uranium tax
Germany
- To be replaced by renewable energy
Q2 Market conditions
Nordic water reservoirs
Source Nord Pool Spot
Q1
Q2
Q3
Q4
2003
2008
2009
2011
2010
reference level
reservoir content (TWh)
0
20
40
60
80
100
120
Price development in the Nordic region and Russia
Includes capacity income
+17
+6
+24
+13
Q2 Good development continued
Q2 Comparable profit at last yearrsquos level
Comparable operating profit EUR million
-6
7
30
-14
348
339
0
-8
Power
Q22010
Heat
Russia
Distribution
Electricity
Sales
Other
Q22011
January-June Comparable profit at last yearrsquos level
Comparable operating profit EUR million
31
24
990
997
-113
48
29
-12
Power
H12010
Heat
Russia
Distribution
Electricity
Sales
Other
H12011
Fortum a forerunner in sustainability
Financials
Comparable and reported operating profit
Power
Q2 Power
Nuclear output in Q2
Planned outages in Oskarshamn 1amp3 and Forsmark 1 in Q22011
(In 2010 no outages in Q2)
If timing would have been similar in 2011 compared to 2010 nuclear output would have exceeded 2010 levels during Q2
Improved availability in Sweden
Q2 2011
Q2 2010
Nuclear
Outage effect
TWh
Q2 Power result declined due to several reasons
Comparable operating profit EUR million
257
-3
-4
0
271
3
-10
Volume
amp price
Q22010
Stronger
SEK
Russian
import
Property
taxes
Other
Q22011
Heat
Q2 Heat
Russia
Q2 Russia
Distribution
Q2 Distribution
Markets
Q2 Electricity Sales
Q2 Income statement
Q2 Cash flow statement
Key ratios
Q2 lsquo11
Debt maturity profile
per 30 June 2011 per 31 Dec 2010
Average interest rate (incl swaps and forwards)4435
Portion of floating fixed debt 47 53 49 51
Strong financial position
Return on capital employed
12
Return on shareholders equity
14
Net debtEBITDA
around 30
138
191
28
Fortumrsquos financial targets
LTM in Q22011
Good liquidity ndash committed credit lines total EUR 27 billion
Comparable net debtEBITDA
Outlook
Q2 Summary
Outlook
Outlook
(Q1 70 at EUR 44MWh)
(Q1 45 at EUR 45MWh)
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007
2008
2009
2010
2011
2012
0
10
20
30
40
50
60
70
80
90
100
110
Spot prices
Forward prices
CO2-free and energy-efficient solutions important
Create solid earnings
growth in Russia
Leverage the strong
Nordic core
Build platform for
future growth
Competence in CO2-free hydro nuclear and energy efficient CHP production
and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -
Fortumrsquos strategy remains intact
MEURII2011II2010I-II2011I-II2010LTM
Sales1833275569641 390
Comparable operating profit101021-335
Net Assets7759
Comparable RONA 341
Gross Investments10404
MEURII2011II2010I-II2011I-II2010LTM
Sales2152005264801 009
Comparable operating profit6053184155336
Net Assets3 4873 482
Comparable RONA 99
Gross Investments62479676233
0
250
500
750
1000
1250
1500
1750
20112012201320142015201620172018201920202021+
BondsFinancial institutionsOther long-term debtCPsOther short-term debt
MEURII2011II2010I-II2011I-II2010LTM
Sales195169490413881
Comparable operating profit21-955756
Net Assets3 0512 690
Comparable RONA 34
Gross Investments192167267258608
MEURII2011II2010I-II2011I-II2010LTM
Sales5745971 2671 3662 603
Comparable operating profit2572715826951 185
Net Assets5 9985 726
Comparable RONA 198
Gross Investments36226955136
MEURII2011II2010I-II2011I-II20102010LTM
Sales1 316
1 2953 3503 2426 296
6 404
Expenses-968-956-2 353-2 252-4 463-4 564
Comparable operating profit3483399979901 8331 840
Other items affecting comparability2611251285-125302
Operating profit6093511 5091 0751 7082 142
Share of profit of associates and jvs1515743162105
Financial expenses net-72-34-127-61-155-221
Profit before taxes5523321 4561 0451 6152 026
Income tax expense-74-61-232-191-261-302
Net profit for the period4782711 2248541 3541 724
Non-controlling interests6874325496
EPS basic (EUR)053030129093146183
EPS diluted (EUR)053030129093146183
Spot price for power in NordPool power exchange
448
459
662
523
621
0
12
24
36
48
60
72
Q22010Q32010Q42010Q12011Q22011
eurMWh
Powers Nordic power price
447
469
488
479
474
0
10
20
30
40
50
60
Q22010Q32010Q42010Q12011Q22011
eurMWh
MEURII2011II2010I-II2011I-II20102010LTM
Operating profit before depreciations7644901 8131 3512 2712 733
Non-cash flow items and divesting activities
-299-6-569-73124-372
Financial items and fx gainslosses
12-146-290-323-641-608
Taxes
-144-73-258-155-355-458
Funds from operations (FFO)
3332656968001 3991 295
Change in working capital
771571681433863
Total net cash from operating activities4104228649431 4371 358
Paid capital expenditures-297-263-503-486-1 134-1 151
Acquisition of shares-1-1-20-1-28-47
Other investing activities331-165417260529
Cash flow before financing activities443142882528335689
MEURII2011II2010I-II2011I-II2010LTM
Sales3223011 0479521 865
Comparable operating profit2533196165306
Net Assets3 9113 884
Comparable RONA 82
Gross Investments7259130121314
MEUR
II2011II2010II2011II2010I-II2011I-II2010I-II2011I-II2010
Power257271271280582695760747
Heat25332535196165290194
Russia21-921-95575523
Distribution605325253184155377166
Electricity Sales1010232321-33-6
Other-25-1917-31-41-2924-49
Total3483396093519979901 5091 075
Comparable operating profit
Reported operating profit
Comparable operating profit
Reported operating profit
Spot price for power (market price) Urals hub
770
935
817
950
954
0
200
400
600
800
1 000
1 200
Q22010Q32010Q42010Q12011Q22011
RUBMWh
Achieved power price for OAO Fortum
256
288
305
292
290
0
6
12
18
24
30
36
Q22010Q32010Q42010Q12011Q22011
eurMWh
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
MEURLTM20102009
EBITDA2 7332 2712 292
Comparable EBITDA2 4312 3962 398
Interest-bearing net debt6 7836 8265 969
Net debtEBITDA253026
Comparable Net debtEBITDA282825
Return on capital employed ()138116121
Return on shareholders equity ()191157160
) as of 30 June 2011
MEUR | |||
2011 | 231 | ||
2012 | 668 | ||
2013 | 639 | ||
2014 | 1223 | ||
2015 | 1051 | ||
2016 | 879 | ||
2017 | 270 | ||
2018 | 190 | ||
2019 | 840 | ||
2020 | 73 | ||
2021+ | 1530 |
MEUR | LTM | 2010 | 2009 | 2008 | 2006 | 2005 | |||||||
EBITDA | 2733 | 2271 | 2292 | 2478 | 1884 | ||||||||
Comparable EBITDA | 2431 | 2396 | 2398 | 1151 | 1271 | ||||||||
Interest-bearing net debt | 6 783 | 6826 | 5969 | 6179 | 4345 | 3158 | |||||||
Net debtEBITDA | 25 | 30 | 26 | 25 | 8161 | ||||||||
Comparable Net debtEBITDA | 28 | 28 | 25 | 16839 | 15130 | ||||||||
23 | 18 | ||||||||||||
Return on capital employed () | 138 | 116 | 121 | 150 | 134 | 135 | |||||||
Return on shareholders equity () | 191 | 157 | 160 | 187 | 144 | 135 | |||||||
) as of 30 June 2011 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | |||||||||||
Operating profit before depreciations | 764 | 490 | 1813 | 1351 | 2271 | 2733 | 2478 | 1663 | 2370 | 0 | |||||||||||
Non-cash flow items and divesting activities | -299 | -6 | -569 | -73 | 124 | -372 | -275 | -268 | -56 | 0 | |||||||||||
Financial items and fx gainslosses | 12 | -146 | -290 | -323 | -641 | -608 | 233 | ||||||||||||||
Taxes | -144 | -73 | -258 | -155 | -355 | -458 | -332 | -231 | -534 | 0 | |||||||||||
Funds from operations (FFO) | 333 | 265 | 696 | 800 | 1399 | 1295 | 2104 | 1164 | 1780 | 0 | |||||||||||
Change in working capital | 77 | 157 | 168 | 143 | 38 | 63 | -102 | 161 | 5 | 0 | |||||||||||
Total net cash from operating activities | 410 | 422 | 864 | 943 | 1437 | 1358 | 2002 | 1325 | 1785 | 0 | |||||||||||
Paid capital expenditures | -297 | -263 | -503 | -486 | -1134 | -1151 | -1018 | -341 | -931 | 0 | |||||||||||
Acquisition of shares | -1 | -1 | -20 | -1 | -28 | -47 | -1243 | -257 | -1243 | 0 | |||||||||||
Other investing activities | 331 | -16 | 541 | 72 | 60 | 529 | -21 | 258 | -34 | 0 | |||||||||||
Cash flow before financing activities | 443 | 142 | 882 | 528 | 335 | 689 | -280 | 985 | -423 | 0 |
MEUR | Q1-Q300 | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | 2004 | ||||||||||||||||||
Sales | 7732 | 1316 | 1295 | 3350 | 3242 | 6296 | 6404 | 5636 | 3159 | 5354 | 0 | 3835 | ||||||||||||||||||
Expenses | -7109 | -968 | -956 | -2353 | -2252 | -4463 | -4564 | -3673 | -1832 | -3482 | 0 | -2640 | ||||||||||||||||||
Comparable operating profit | 623 | 348 | 339 | 997 | 990 | 1833 | 1840 | 1963 | 1327 | 1872 | 0 | 1195 | ||||||||||||||||||
Other items affecting comparability | 261 | 12 | 512 | 85 | -125 | 302 | ||||||||||||||||||||||||
Operating profit | 609 | 351 | 1509 | 1075 | 1708 | 2142 | ||||||||||||||||||||||||
Share of profit of associates and jvs | 15 | 15 | 74 | 31 | 62 | 105 | 126 | 223 | 96 | 0 | 12 | |||||||||||||||||||
Financial expenses net | -209 | -72 | -34 | -127 | -61 | -155 | -221 | -239 | -117 | -222 | 0 | -245 | ||||||||||||||||||
Profit before taxes | 0 | 552 | 332 | 1456 | 1045 | 1615 | 2026 | 1850 | 1433 | 1746 | 0 | 0 | ||||||||||||||||||
Income tax expense | -83 | -74 | -61 | -232 | -191 | -261 | -302 | -254 | -218 | -364 | 0 | -259 | ||||||||||||||||||
Net profit for the period | -26 | 478 | 271 | 1224 | 854 | 1354 | 1724 | 1596 | 1215 | 1382 | 0 | 0 | ||||||||||||||||||
Non-controlling interests | 6 | 8 | 74 | 32 | 54 | 96 | 54 | 31 | 35 | 0 | 33 | |||||||||||||||||||
EPS basic (EUR) | 039 | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 148 | ||||||||||||||||||
EPS diluted (EUR) | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 079 | |||||||||||||||||||
069 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 183 | 327 | 556 | 964 | 1390 | |||||||
Comparable operating profit | 10 | 10 | 21 | -3 | 35 | |||||||
Net Assets | 77 | 59 | ||||||||||
Comparable RONA | 341 | |||||||||||
Gross Investments | 1 | 0 | 4 | 0 | 4 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 215 | 200 | 526 | 480 | 1009 | |||||||
Comparable operating profit | 60 | 53 | 184 | 155 | 336 | |||||||
Net Assets | 3487 | 3482 | ||||||||||
Comparable RONA | 99 | |||||||||||
Gross Investments | 62 | 47 | 96 | 76 | 233 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 195 | 169 | 490 | 413 | 881 | |||||||
Comparable operating profit | 21 | -9 | 55 | 7 | 56 | |||||||
Net Assets | 3051 | 2690 | ||||||||||
Comparable RONA | 34 | |||||||||||
Gross Investments | 192 | 167 | 267 | 258 | 608 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 322 | 301 | 1047 | 952 | 1865 | |||||||
Comparable operating profit | 25 | 33 | 196 | 165 | 306 | |||||||
Net Assets | 3911 | 3884 | ||||||||||
Comparable RONA | 82 | |||||||||||
Gross Investments | 72 | 59 | 130 | 121 | 314 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 574 | 597 | 1267 | 1366 | 2603 | |||||||
Comparable operating profit | 257 | 271 | 582 | 695 | 1185 | |||||||
Net Assets | 5998 | 5726 | ||||||||||
Comparable RONA | 198 | |||||||||||
Gross Investments | 36 | 22 | 69 | 55 | 136 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Roumlrelseresultat II2009 | Roumlrelseresultat II2008 | Liikevoitto 2008 | Liikevoitto 2007 | |||||||||||||||||||||||
Jaumlmfoumlrbart | Rapporterat | Jaumlmfoumlrbart | Rapporterat | Vertkelp | Raportoitu | Vertkelp | Raportoitu | |||||||||||||||||||
Kraftproduktion | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Vaumlrme | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Markets | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Ryssland | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Oumlvrigt | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Summa | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Liikevoitto II2010 | Liikevoitto II2009 | Liikevoitto I-II2010 | Liikevoitto I-II2009 | |||||||||||||||||||||||
Vertkelp | Raportoitu | Vertkelp | Raportoitu | Vertkelp | Raportoitu | Vertkelp | Raportoitu | |||||||||||||||||||
Power | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Heat | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Saumlhkoumlnmyynti | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Russia | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Muut | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Yhteensauml | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 | ||||||||||||||||||
I-III2009 | ||||||||||||||||||||||||||
SEK | Muut | Yhteensauml | ||||||||||||||||||||||||
Saumlhkoumlntuotanto | -67 | -3 | -70 | |||||||||||||||||||||||
Laumlmpouml | -10 | -2 | -12 | |||||||||||||||||||||||
Saumlhkoumlnsiirto | -13 | -1 | -14 | |||||||||||||||||||||||
Markets | -1 | -1 | -2 | |||||||||||||||||||||||
Venaumljauml | 0 | 6 | 6 | |||||||||||||||||||||||
Muu | 0 | 1 | 1 | |||||||||||||||||||||||
Yhteensauml | -91 | 0 | -91 |
Operating profit II2010 | Operating profit II2009 | Operating profit I-II2010 | Operating profit I-2009 | |||||||||||||||||||||||
Comparable | Reported | Comparable | Reported | Comparable | Reported | Comparable | Reported | |||||||||||||||||||
Power | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Heat | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Electricity Sales | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Russia | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Other | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Total | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 | ||||||||||||||||||
Currency translation effects on comparable operating profit | ||||||||||||||||||||||||||
I2009 | I-III2009 | |||||||||||||||||||||||||
SEK | Other | Total | SEK | Other | Total | |||||||||||||||||||||
Power Generation | -55 | -3 | -58 | Power Generation | -67 | -3 | -70 | |||||||||||||||||||
Heat | -12 | -3 | -15 | Heat | -10 | -2 | -12 | |||||||||||||||||||
Distribution | -11 | -1 | -12 | Distribution | -13 | -1 | -14 | |||||||||||||||||||
Markets | -1 | 0 | -1 | Markets | -1 | -1 | -2 | |||||||||||||||||||
Russia | 0 | 1 | 1 | Russia | 0 | 6 | 6 | |||||||||||||||||||
Other | 1 | 0 | 1 | Other | 0 | 1 | 1 | |||||||||||||||||||
Total | -78 | -6 | -84 | Total | -91 | 0 | -91 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Vertkelpliikevoitto | Raportoitu liikevoitto | Vertkelpliikevoitto | Raportoitu liikevoitto | |||||||||||||||||||||||
II2010 | II2009 | II2010 | II2009 | I-II2010 | I-II2009 | I-II2010 | I-II2009 | |||||||||||||||||||
Power | 257 | 271 | 271 | 280 | 582 | 695 | 760 | 747 | ||||||||||||||||||
Heat | 25 | 33 | 25 | 35 | 196 | 165 | 290 | 194 | ||||||||||||||||||
Distribution | 21 | -9 | 21 | -9 | 55 | 7 | 55 | 23 | ||||||||||||||||||
Saumlhkoumlnmyynti | 60 | 53 | 252 | 53 | 184 | 155 | 377 | 166 | ||||||||||||||||||
Russia | 10 | 10 | 23 | 23 | 21 | -3 | 3 | -6 | ||||||||||||||||||
Muut | -25 | -19 | 17 | -31 | -41 | -29 | 24 | -49 | ||||||||||||||||||
Yhteensauml | 348 | 339 | 609 | 351 | 997 | 990 | 1509 | 1075 | ||||||||||||||||||
I-III2009 | ||||||||||||||||||||||||||
SEK | Muut | Yhteensauml | ||||||||||||||||||||||||
Saumlhkoumlntuotanto | -67 | -3 | -70 | |||||||||||||||||||||||
Laumlmpouml | -10 | -2 | -12 | |||||||||||||||||||||||
Saumlhkoumlnsiirto | -13 | -1 | -14 | |||||||||||||||||||||||
Markets | -1 | -1 | -2 | |||||||||||||||||||||||
Venaumljauml | 0 | 6 | 6 | |||||||||||||||||||||||
Muu | 0 | 1 | 1 | |||||||||||||||||||||||
Yhteensauml | -91 | 0 | -91 |
MEUR | Comparable operating profit | Reported operating profit | Comparable operating profit | Reported operating profit | ||||||||||||||||||||||
II2011 | II2010 | II2011 | II2010 | I-II2011 | I-II2010 | I-II2011 | I-II2010 | |||||||||||||||||||
Power | 257 | 271 | 271 | 280 | 582 | 695 | 760 | 747 | ||||||||||||||||||
Heat | 25 | 33 | 25 | 35 | 196 | 165 | 290 | 194 | ||||||||||||||||||
Russia | 21 | -9 | 21 | -9 | 55 | 7 | 55 | 23 | ||||||||||||||||||
Distribution | 60 | 53 | 252 | 53 | 184 | 155 | 377 | 166 | ||||||||||||||||||
Electricity Sales | 10 | 10 | 23 | 23 | 21 | -3 | 3 | -6 | ||||||||||||||||||
Other | -25 | -19 | 17 | -31 | -41 | -29 | 24 | -49 | ||||||||||||||||||
Total | 348 | 339 | 609 | 351 | 997 | 990 | 1509 | 1075 | ||||||||||||||||||
Currency translation effects on comparable operating profit | ||||||||||||||||||||||||||
I2009 | I-III2009 | |||||||||||||||||||||||||
SEK | Other | Total | SEK | Other | Total | |||||||||||||||||||||
Power Generation | -55 | -3 | -58 | Power Generation | -67 | -3 | -70 | |||||||||||||||||||
Heat | -12 | -3 | -15 | Heat | -10 | -2 | -12 | |||||||||||||||||||
Distribution | -11 | -1 | -12 | Distribution | -13 | -1 | -14 | |||||||||||||||||||
Markets | -1 | 0 | -1 | Markets | -1 | -1 | -2 | |||||||||||||||||||
Russia | 0 | 1 | 1 | Russia | 0 | 6 | 6 | |||||||||||||||||||
Other | 1 | 0 | 1 | Other | 0 | 1 | 1 | |||||||||||||||||||
Total | -78 | -6 | -84 | Total | -91 | 0 | -91 |
16
Q2 Power result declined due to several reasons
Comparable operating profit EUR million
257-3-40271 3-10
Volumeamp priceQ22010 Stronger
SEKRussianimport
Propertytaxes Other Q22011
17
Heat
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 322 301 1 047 952 1 865
Comparable operating profit 25 33 196 165 306
Net Assets 3 911 3 884
Comparable RONA 82
Gross Investments 72 59 130 121 314
Q2 Heat
bull Comparable operating profit decreasedndash Lower heat volumes in Sweden caused by
divestment during first quarterndash Integration cost provisions in Poland
18
Russiabull Comparable operating profit improved
ndash Commissioning of the new unit ndash Higher electricity market prices ndash Efficiency improvementsndash Reversal of CSA provisions related to the newly
commissioned units
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 195 169 490 413 881
Comparable operating profit 21 -9 55 7 56
Net Assets 3 051 2 690
Comparable RONA 34
Gross Investments 192 167 267 258 608
Q2 Russia
19
Distribution
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 215 200 526 480 1 009
Comparable operating profit 60 53 184 155 336
Net Assets 3 487 3 482
Comparable RONA 99
Gross Investments 62 47 96 76 233
Q2 Distribution
bull Comparable operating profit increasedndash Lower transmission costsndash Stronger SEK
bull Smart metering rollout to network customers in Finland continued
20
Markets
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 183 327 556 964 1 390
Comparable operating profit 10 10 21 -3 35
Net Assets 77 59
Comparable RONA 341
Gross Investments 1 0 4 0 4
Q2 Electricity Sales
bull Comparable operating profit at last yearrsquos levelndash Tough competitionndash Restructuring of the Business Market segment
21
MEUR II2011 II2010 I-II2011 I-II2010 2010 LTM
Sales 1 316 1 295 3 350 3 242 6 296 6 404Expenses -968 -956 -2 353 -2 252 -4 463 -4 564
Comparable operating profit 348 339 997 990 1 833 1 840
Other items affecting comparability 261 12 512 85 -125 302
Operating profit 609 351 1 509 1 075 1 708 2 142Share of profit of associates and jvs 15 15 74 31 62 105Financial expenses net -72 -34 -127 -61 -155 -221
Profit before taxes 552 332 1 456 1 045 1 615 2 026Income tax expense -74 -61 -232 -191 -261 -302
Net profit for the period 478 271 1 224 854 1 354 1 724Non-controlling interests 6 8 74 32 54 96
EPS basic (EUR) 053 030 129 093 146 183EPS diluted (EUR) 053 030 129 093 146 183
Q2 Income statement
22
Q2 Cash flow statement
MEUR II2011 II2010 I-II2011 I-II2010 2010 LTM
Operating profit before depreciations 764 490 1 813 1 351 2 271 2 733
Non-cash flow items and divesting activities -299 -6 -569 -73 124 -372
Financial items and fx gainslosses 12 -146 -290 -323 -641 -608
Taxes -144 -73 -258 -155 -355 -458
Funds from operations (FFO) 333 265 696 800 1 399 1 295
Change in working capital 77 157 168 143 38 63
Total net cash from operating activities 410 422 864 943 1 437 1 358
Paid capital expenditures -297 -263 -503 -486 -1 134 -1 151
Acquisition of shares -1 -1 -20 -1 -28 -47
Other investing activities 331 -16 541 72 60 529
Cash flow before financing activities 443 142 882 528 335 689
23
MEUR LTM 2010 2009EBITDA 2 733 2 271 2 292Comparable EBITDA 2 431 2 396 2 398Interest-bearing net debt 6 783 6 826 5 969Net debtEBITDA 25 30 26Comparable Net debtEBITDA 28 28 25
Return on capital employed () 138 116 121Return on shareholders equity () 191 157 160
) as of 30 June 2011
Key ratios
Q2 lsquo11
24
Debt maturity profile
0
250
500
750
1000
1250
1500
1750
2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021+
Bonds Financial institutions Other long-term debt CPs Other short-term debt
MEUR
2011 231
2012 668
2013 639
2014 1223
2015 1051
2016 879
2017 270
2018 190
2019 840
2020 73
2021+ 1530
per 30 June 2011 per 31 Dec 2010
Average interest rate (incl swaps and forwards) 44 35Portion of floating fixed debt 47 53 49 51
25
Strong financial position
Return on capital employed12
Return on shareholders equity14
Net debtEBITDAaround 30
138
191
28
Fortumrsquos financial targets LTM in Q22011
Good liquidity ndash committed credit lines total EUR 27 billion
Comparable net debtEBITDA
26
Outlook
27
Q2 Summary
bull Solid performance continued - seasonalitybull Power
ndash Improved nuclear availability- timing of Swedish planned nuclear outages impacted volume
ndash Swedish nuclear back at 80-85 in availabilityndash Lower hydro volumes ndash water reservoirs improved at the end of the quarterndash SEK burdenedndash Results year-end weighted compared to 2010
bull Russiandash Commissioning of new units contributed to result improvementndash The return for the new capacity is guaranteed ndash EUR 100 million efficiency improvement reached
bull Nordic countriesndash Water reservoirs improved to long-term average
bull Overall strong financial position
28
Outlook
bull Key drivers and risksndash Wholesale price of electricity
bull Demandbull Fuelsbull CO2 emissions pricesbull Water reservoirsbull Nuclear availability
bull Nordic marketsndash Market continues to recover ndash 2008 level to be reached by 2012-2014ndash Electricity continues to gain share of total energy consumption
bull Russiandash Wholesale market liberalisedndash Profits from Russia build up in pace with the capacity increases
29
Outlook
bull Capex (excluding potential acquisitions)ndash 2011-2012 around EUR 16 to 18 billion annually (mainly due to Russian
investment programme)ndash 2013-2014 around EUR 11 to 14 billion annuallyndash Disclosed divestments totalled approximately EUR 05 billion
bull Hedgingndash 2011 approximately 70 hedge ratio at approximately EUR 45MWh(Q1 70 at EUR 44MWh)ndash 2012 approximately 50 hedge ratio at approximately EUR 46MWh(Q1 45 at EUR 45MWh)
30
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007 2008 2009 2010 2011 20120
10
20
30
40
50
60
70
80
90
100
110Spot prices Forward prices
3131
CO2 -free and energy-efficient solutions important
Create solid earnings growth in Russia
Leverage the strong Nordic core
Build platform for future growth
Competence in CO2 -free hydro nuclear and energy efficient CHP production and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -Fortumrsquos strategy remains intact
32
19 July 2011
Fortum Corporation
Interim Report
January-June 2011
Disclaimer
This presentation does not constitute an invitation to underwrite subscribe for or otherwise acquire or dispose of any Fortum shares
Past performance is no guide to future performance and persons needing advice should consult an independent financial adviser
Highlights in Q2
Increased uncertainty in macro environment
GLOBAL
- Incident in Fukushima in Japan
Finland
- No new decisions-in-principle on nuclear power in four years
- The new Governmentrsquos policy framework includes a possible implementation of a windfall tax and a uranium tax
Germany
- To be replaced by renewable energy
Q2 Market conditions
Nordic water reservoirs
Source Nord Pool Spot
Q1
Q2
Q3
Q4
2003
2008
2009
2011
2010
reference level
reservoir content (TWh)
0
20
40
60
80
100
120
Price development in the Nordic region and Russia
Includes capacity income
+17
+6
+24
+13
Q2 Good development continued
Q2 Comparable profit at last yearrsquos level
Comparable operating profit EUR million
-6
7
30
-14
348
339
0
-8
Power
Q22010
Heat
Russia
Distribution
Electricity
Sales
Other
Q22011
January-June Comparable profit at last yearrsquos level
Comparable operating profit EUR million
31
24
990
997
-113
48
29
-12
Power
H12010
Heat
Russia
Distribution
Electricity
Sales
Other
H12011
Fortum a forerunner in sustainability
Financials
Comparable and reported operating profit
Power
Q2 Power
Nuclear output in Q2
Planned outages in Oskarshamn 1amp3 and Forsmark 1 in Q22011
(In 2010 no outages in Q2)
If timing would have been similar in 2011 compared to 2010 nuclear output would have exceeded 2010 levels during Q2
Improved availability in Sweden
Q2 2011
Q2 2010
Nuclear
Outage effect
TWh
Q2 Power result declined due to several reasons
Comparable operating profit EUR million
257
-3
-4
0
271
3
-10
Volume
amp price
Q22010
Stronger
SEK
Russian
import
Property
taxes
Other
Q22011
Heat
Q2 Heat
Russia
Q2 Russia
Distribution
Q2 Distribution
Markets
Q2 Electricity Sales
Q2 Income statement
Q2 Cash flow statement
Key ratios
Q2 lsquo11
Debt maturity profile
per 30 June 2011 per 31 Dec 2010
Average interest rate (incl swaps and forwards)4435
Portion of floating fixed debt 47 53 49 51
Strong financial position
Return on capital employed
12
Return on shareholders equity
14
Net debtEBITDA
around 30
138
191
28
Fortumrsquos financial targets
LTM in Q22011
Good liquidity ndash committed credit lines total EUR 27 billion
Comparable net debtEBITDA
Outlook
Q2 Summary
Outlook
Outlook
(Q1 70 at EUR 44MWh)
(Q1 45 at EUR 45MWh)
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007
2008
2009
2010
2011
2012
0
10
20
30
40
50
60
70
80
90
100
110
Spot prices
Forward prices
CO2-free and energy-efficient solutions important
Create solid earnings
growth in Russia
Leverage the strong
Nordic core
Build platform for
future growth
Competence in CO2-free hydro nuclear and energy efficient CHP production
and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -
Fortumrsquos strategy remains intact
MEURII2011II2010I-II2011I-II2010LTM
Sales1833275569641 390
Comparable operating profit101021-335
Net Assets7759
Comparable RONA 341
Gross Investments10404
MEURII2011II2010I-II2011I-II2010LTM
Sales2152005264801 009
Comparable operating profit6053184155336
Net Assets3 4873 482
Comparable RONA 99
Gross Investments62479676233
0
250
500
750
1000
1250
1500
1750
20112012201320142015201620172018201920202021+
BondsFinancial institutionsOther long-term debtCPsOther short-term debt
MEURII2011II2010I-II2011I-II2010LTM
Sales195169490413881
Comparable operating profit21-955756
Net Assets3 0512 690
Comparable RONA 34
Gross Investments192167267258608
MEURII2011II2010I-II2011I-II2010LTM
Sales5745971 2671 3662 603
Comparable operating profit2572715826951 185
Net Assets5 9985 726
Comparable RONA 198
Gross Investments36226955136
MEURII2011II2010I-II2011I-II20102010LTM
Sales1 316
1 2953 3503 2426 296
6 404
Expenses-968-956-2 353-2 252-4 463-4 564
Comparable operating profit3483399979901 8331 840
Other items affecting comparability2611251285-125302
Operating profit6093511 5091 0751 7082 142
Share of profit of associates and jvs1515743162105
Financial expenses net-72-34-127-61-155-221
Profit before taxes5523321 4561 0451 6152 026
Income tax expense-74-61-232-191-261-302
Net profit for the period4782711 2248541 3541 724
Non-controlling interests6874325496
EPS basic (EUR)053030129093146183
EPS diluted (EUR)053030129093146183
Spot price for power in NordPool power exchange
448
459
662
523
621
0
12
24
36
48
60
72
Q22010Q32010Q42010Q12011Q22011
eurMWh
Powers Nordic power price
447
469
488
479
474
0
10
20
30
40
50
60
Q22010Q32010Q42010Q12011Q22011
eurMWh
MEURII2011II2010I-II2011I-II20102010LTM
Operating profit before depreciations7644901 8131 3512 2712 733
Non-cash flow items and divesting activities
-299-6-569-73124-372
Financial items and fx gainslosses
12-146-290-323-641-608
Taxes
-144-73-258-155-355-458
Funds from operations (FFO)
3332656968001 3991 295
Change in working capital
771571681433863
Total net cash from operating activities4104228649431 4371 358
Paid capital expenditures-297-263-503-486-1 134-1 151
Acquisition of shares-1-1-20-1-28-47
Other investing activities331-165417260529
Cash flow before financing activities443142882528335689
MEURII2011II2010I-II2011I-II2010LTM
Sales3223011 0479521 865
Comparable operating profit2533196165306
Net Assets3 9113 884
Comparable RONA 82
Gross Investments7259130121314
MEUR
II2011II2010II2011II2010I-II2011I-II2010I-II2011I-II2010
Power257271271280582695760747
Heat25332535196165290194
Russia21-921-95575523
Distribution605325253184155377166
Electricity Sales1010232321-33-6
Other-25-1917-31-41-2924-49
Total3483396093519979901 5091 075
Comparable operating profit
Reported operating profit
Comparable operating profit
Reported operating profit
Spot price for power (market price) Urals hub
770
935
817
950
954
0
200
400
600
800
1 000
1 200
Q22010Q32010Q42010Q12011Q22011
RUBMWh
Achieved power price for OAO Fortum
256
288
305
292
290
0
6
12
18
24
30
36
Q22010Q32010Q42010Q12011Q22011
eurMWh
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
MEURLTM20102009
EBITDA2 7332 2712 292
Comparable EBITDA2 4312 3962 398
Interest-bearing net debt6 7836 8265 969
Net debtEBITDA253026
Comparable Net debtEBITDA282825
Return on capital employed ()138116121
Return on shareholders equity ()191157160
) as of 30 June 2011
MEUR | |||
2011 | 231 | ||
2012 | 668 | ||
2013 | 639 | ||
2014 | 1223 | ||
2015 | 1051 | ||
2016 | 879 | ||
2017 | 270 | ||
2018 | 190 | ||
2019 | 840 | ||
2020 | 73 | ||
2021+ | 1530 |
MEUR | LTM | 2010 | 2009 | 2008 | 2006 | 2005 | |||||||
EBITDA | 2733 | 2271 | 2292 | 2478 | 1884 | ||||||||
Comparable EBITDA | 2431 | 2396 | 2398 | 1151 | 1271 | ||||||||
Interest-bearing net debt | 6 783 | 6826 | 5969 | 6179 | 4345 | 3158 | |||||||
Net debtEBITDA | 25 | 30 | 26 | 25 | 8161 | ||||||||
Comparable Net debtEBITDA | 28 | 28 | 25 | 16839 | 15130 | ||||||||
23 | 18 | ||||||||||||
Return on capital employed () | 138 | 116 | 121 | 150 | 134 | 135 | |||||||
Return on shareholders equity () | 191 | 157 | 160 | 187 | 144 | 135 | |||||||
) as of 30 June 2011 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | |||||||||||
Operating profit before depreciations | 764 | 490 | 1813 | 1351 | 2271 | 2733 | 2478 | 1663 | 2370 | 0 | |||||||||||
Non-cash flow items and divesting activities | -299 | -6 | -569 | -73 | 124 | -372 | -275 | -268 | -56 | 0 | |||||||||||
Financial items and fx gainslosses | 12 | -146 | -290 | -323 | -641 | -608 | 233 | ||||||||||||||
Taxes | -144 | -73 | -258 | -155 | -355 | -458 | -332 | -231 | -534 | 0 | |||||||||||
Funds from operations (FFO) | 333 | 265 | 696 | 800 | 1399 | 1295 | 2104 | 1164 | 1780 | 0 | |||||||||||
Change in working capital | 77 | 157 | 168 | 143 | 38 | 63 | -102 | 161 | 5 | 0 | |||||||||||
Total net cash from operating activities | 410 | 422 | 864 | 943 | 1437 | 1358 | 2002 | 1325 | 1785 | 0 | |||||||||||
Paid capital expenditures | -297 | -263 | -503 | -486 | -1134 | -1151 | -1018 | -341 | -931 | 0 | |||||||||||
Acquisition of shares | -1 | -1 | -20 | -1 | -28 | -47 | -1243 | -257 | -1243 | 0 | |||||||||||
Other investing activities | 331 | -16 | 541 | 72 | 60 | 529 | -21 | 258 | -34 | 0 | |||||||||||
Cash flow before financing activities | 443 | 142 | 882 | 528 | 335 | 689 | -280 | 985 | -423 | 0 |
MEUR | Q1-Q300 | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | 2004 | ||||||||||||||||||
Sales | 7732 | 1316 | 1295 | 3350 | 3242 | 6296 | 6404 | 5636 | 3159 | 5354 | 0 | 3835 | ||||||||||||||||||
Expenses | -7109 | -968 | -956 | -2353 | -2252 | -4463 | -4564 | -3673 | -1832 | -3482 | 0 | -2640 | ||||||||||||||||||
Comparable operating profit | 623 | 348 | 339 | 997 | 990 | 1833 | 1840 | 1963 | 1327 | 1872 | 0 | 1195 | ||||||||||||||||||
Other items affecting comparability | 261 | 12 | 512 | 85 | -125 | 302 | ||||||||||||||||||||||||
Operating profit | 609 | 351 | 1509 | 1075 | 1708 | 2142 | ||||||||||||||||||||||||
Share of profit of associates and jvs | 15 | 15 | 74 | 31 | 62 | 105 | 126 | 223 | 96 | 0 | 12 | |||||||||||||||||||
Financial expenses net | -209 | -72 | -34 | -127 | -61 | -155 | -221 | -239 | -117 | -222 | 0 | -245 | ||||||||||||||||||
Profit before taxes | 0 | 552 | 332 | 1456 | 1045 | 1615 | 2026 | 1850 | 1433 | 1746 | 0 | 0 | ||||||||||||||||||
Income tax expense | -83 | -74 | -61 | -232 | -191 | -261 | -302 | -254 | -218 | -364 | 0 | -259 | ||||||||||||||||||
Net profit for the period | -26 | 478 | 271 | 1224 | 854 | 1354 | 1724 | 1596 | 1215 | 1382 | 0 | 0 | ||||||||||||||||||
Non-controlling interests | 6 | 8 | 74 | 32 | 54 | 96 | 54 | 31 | 35 | 0 | 33 | |||||||||||||||||||
EPS basic (EUR) | 039 | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 148 | ||||||||||||||||||
EPS diluted (EUR) | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 079 | |||||||||||||||||||
069 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 183 | 327 | 556 | 964 | 1390 | |||||||
Comparable operating profit | 10 | 10 | 21 | -3 | 35 | |||||||
Net Assets | 77 | 59 | ||||||||||
Comparable RONA | 341 | |||||||||||
Gross Investments | 1 | 0 | 4 | 0 | 4 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 215 | 200 | 526 | 480 | 1009 | |||||||
Comparable operating profit | 60 | 53 | 184 | 155 | 336 | |||||||
Net Assets | 3487 | 3482 | ||||||||||
Comparable RONA | 99 | |||||||||||
Gross Investments | 62 | 47 | 96 | 76 | 233 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 195 | 169 | 490 | 413 | 881 | |||||||
Comparable operating profit | 21 | -9 | 55 | 7 | 56 | |||||||
Net Assets | 3051 | 2690 | ||||||||||
Comparable RONA | 34 | |||||||||||
Gross Investments | 192 | 167 | 267 | 258 | 608 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 322 | 301 | 1047 | 952 | 1865 | |||||||
Comparable operating profit | 25 | 33 | 196 | 165 | 306 | |||||||
Net Assets | 3911 | 3884 | ||||||||||
Comparable RONA | 82 | |||||||||||
Gross Investments | 72 | 59 | 130 | 121 | 314 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 574 | 597 | 1267 | 1366 | 2603 | |||||||
Comparable operating profit | 257 | 271 | 582 | 695 | 1185 | |||||||
Net Assets | 5998 | 5726 | ||||||||||
Comparable RONA | 198 | |||||||||||
Gross Investments | 36 | 22 | 69 | 55 | 136 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Roumlrelseresultat II2009 | Roumlrelseresultat II2008 | Liikevoitto 2008 | Liikevoitto 2007 | |||||||||||||||||||||||
Jaumlmfoumlrbart | Rapporterat | Jaumlmfoumlrbart | Rapporterat | Vertkelp | Raportoitu | Vertkelp | Raportoitu | |||||||||||||||||||
Kraftproduktion | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Vaumlrme | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Markets | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Ryssland | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Oumlvrigt | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Summa | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Liikevoitto II2010 | Liikevoitto II2009 | Liikevoitto I-II2010 | Liikevoitto I-II2009 | |||||||||||||||||||||||
Vertkelp | Raportoitu | Vertkelp | Raportoitu | Vertkelp | Raportoitu | Vertkelp | Raportoitu | |||||||||||||||||||
Power | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Heat | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Saumlhkoumlnmyynti | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Russia | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Muut | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Yhteensauml | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 | ||||||||||||||||||
I-III2009 | ||||||||||||||||||||||||||
SEK | Muut | Yhteensauml | ||||||||||||||||||||||||
Saumlhkoumlntuotanto | -67 | -3 | -70 | |||||||||||||||||||||||
Laumlmpouml | -10 | -2 | -12 | |||||||||||||||||||||||
Saumlhkoumlnsiirto | -13 | -1 | -14 | |||||||||||||||||||||||
Markets | -1 | -1 | -2 | |||||||||||||||||||||||
Venaumljauml | 0 | 6 | 6 | |||||||||||||||||||||||
Muu | 0 | 1 | 1 | |||||||||||||||||||||||
Yhteensauml | -91 | 0 | -91 |
Operating profit II2010 | Operating profit II2009 | Operating profit I-II2010 | Operating profit I-2009 | |||||||||||||||||||||||
Comparable | Reported | Comparable | Reported | Comparable | Reported | Comparable | Reported | |||||||||||||||||||
Power | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Heat | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Electricity Sales | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Russia | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Other | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Total | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 | ||||||||||||||||||
Currency translation effects on comparable operating profit | ||||||||||||||||||||||||||
I2009 | I-III2009 | |||||||||||||||||||||||||
SEK | Other | Total | SEK | Other | Total | |||||||||||||||||||||
Power Generation | -55 | -3 | -58 | Power Generation | -67 | -3 | -70 | |||||||||||||||||||
Heat | -12 | -3 | -15 | Heat | -10 | -2 | -12 | |||||||||||||||||||
Distribution | -11 | -1 | -12 | Distribution | -13 | -1 | -14 | |||||||||||||||||||
Markets | -1 | 0 | -1 | Markets | -1 | -1 | -2 | |||||||||||||||||||
Russia | 0 | 1 | 1 | Russia | 0 | 6 | 6 | |||||||||||||||||||
Other | 1 | 0 | 1 | Other | 0 | 1 | 1 | |||||||||||||||||||
Total | -78 | -6 | -84 | Total | -91 | 0 | -91 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Vertkelpliikevoitto | Raportoitu liikevoitto | Vertkelpliikevoitto | Raportoitu liikevoitto | |||||||||||||||||||||||
II2010 | II2009 | II2010 | II2009 | I-II2010 | I-II2009 | I-II2010 | I-II2009 | |||||||||||||||||||
Power | 257 | 271 | 271 | 280 | 582 | 695 | 760 | 747 | ||||||||||||||||||
Heat | 25 | 33 | 25 | 35 | 196 | 165 | 290 | 194 | ||||||||||||||||||
Distribution | 21 | -9 | 21 | -9 | 55 | 7 | 55 | 23 | ||||||||||||||||||
Saumlhkoumlnmyynti | 60 | 53 | 252 | 53 | 184 | 155 | 377 | 166 | ||||||||||||||||||
Russia | 10 | 10 | 23 | 23 | 21 | -3 | 3 | -6 | ||||||||||||||||||
Muut | -25 | -19 | 17 | -31 | -41 | -29 | 24 | -49 | ||||||||||||||||||
Yhteensauml | 348 | 339 | 609 | 351 | 997 | 990 | 1509 | 1075 | ||||||||||||||||||
I-III2009 | ||||||||||||||||||||||||||
SEK | Muut | Yhteensauml | ||||||||||||||||||||||||
Saumlhkoumlntuotanto | -67 | -3 | -70 | |||||||||||||||||||||||
Laumlmpouml | -10 | -2 | -12 | |||||||||||||||||||||||
Saumlhkoumlnsiirto | -13 | -1 | -14 | |||||||||||||||||||||||
Markets | -1 | -1 | -2 | |||||||||||||||||||||||
Venaumljauml | 0 | 6 | 6 | |||||||||||||||||||||||
Muu | 0 | 1 | 1 | |||||||||||||||||||||||
Yhteensauml | -91 | 0 | -91 |
MEUR | Comparable operating profit | Reported operating profit | Comparable operating profit | Reported operating profit | ||||||||||||||||||||||
II2011 | II2010 | II2011 | II2010 | I-II2011 | I-II2010 | I-II2011 | I-II2010 | |||||||||||||||||||
Power | 257 | 271 | 271 | 280 | 582 | 695 | 760 | 747 | ||||||||||||||||||
Heat | 25 | 33 | 25 | 35 | 196 | 165 | 290 | 194 | ||||||||||||||||||
Russia | 21 | -9 | 21 | -9 | 55 | 7 | 55 | 23 | ||||||||||||||||||
Distribution | 60 | 53 | 252 | 53 | 184 | 155 | 377 | 166 | ||||||||||||||||||
Electricity Sales | 10 | 10 | 23 | 23 | 21 | -3 | 3 | -6 | ||||||||||||||||||
Other | -25 | -19 | 17 | -31 | -41 | -29 | 24 | -49 | ||||||||||||||||||
Total | 348 | 339 | 609 | 351 | 997 | 990 | 1509 | 1075 | ||||||||||||||||||
Currency translation effects on comparable operating profit | ||||||||||||||||||||||||||
I2009 | I-III2009 | |||||||||||||||||||||||||
SEK | Other | Total | SEK | Other | Total | |||||||||||||||||||||
Power Generation | -55 | -3 | -58 | Power Generation | -67 | -3 | -70 | |||||||||||||||||||
Heat | -12 | -3 | -15 | Heat | -10 | -2 | -12 | |||||||||||||||||||
Distribution | -11 | -1 | -12 | Distribution | -13 | -1 | -14 | |||||||||||||||||||
Markets | -1 | 0 | -1 | Markets | -1 | -1 | -2 | |||||||||||||||||||
Russia | 0 | 1 | 1 | Russia | 0 | 6 | 6 | |||||||||||||||||||
Other | 1 | 0 | 1 | Other | 0 | 1 | 1 | |||||||||||||||||||
Total | -78 | -6 | -84 | Total | -91 | 0 | -91 |
17
Heat
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 322 301 1 047 952 1 865
Comparable operating profit 25 33 196 165 306
Net Assets 3 911 3 884
Comparable RONA 82
Gross Investments 72 59 130 121 314
Q2 Heat
bull Comparable operating profit decreasedndash Lower heat volumes in Sweden caused by
divestment during first quarterndash Integration cost provisions in Poland
18
Russiabull Comparable operating profit improved
ndash Commissioning of the new unit ndash Higher electricity market prices ndash Efficiency improvementsndash Reversal of CSA provisions related to the newly
commissioned units
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 195 169 490 413 881
Comparable operating profit 21 -9 55 7 56
Net Assets 3 051 2 690
Comparable RONA 34
Gross Investments 192 167 267 258 608
Q2 Russia
19
Distribution
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 215 200 526 480 1 009
Comparable operating profit 60 53 184 155 336
Net Assets 3 487 3 482
Comparable RONA 99
Gross Investments 62 47 96 76 233
Q2 Distribution
bull Comparable operating profit increasedndash Lower transmission costsndash Stronger SEK
bull Smart metering rollout to network customers in Finland continued
20
Markets
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 183 327 556 964 1 390
Comparable operating profit 10 10 21 -3 35
Net Assets 77 59
Comparable RONA 341
Gross Investments 1 0 4 0 4
Q2 Electricity Sales
bull Comparable operating profit at last yearrsquos levelndash Tough competitionndash Restructuring of the Business Market segment
21
MEUR II2011 II2010 I-II2011 I-II2010 2010 LTM
Sales 1 316 1 295 3 350 3 242 6 296 6 404Expenses -968 -956 -2 353 -2 252 -4 463 -4 564
Comparable operating profit 348 339 997 990 1 833 1 840
Other items affecting comparability 261 12 512 85 -125 302
Operating profit 609 351 1 509 1 075 1 708 2 142Share of profit of associates and jvs 15 15 74 31 62 105Financial expenses net -72 -34 -127 -61 -155 -221
Profit before taxes 552 332 1 456 1 045 1 615 2 026Income tax expense -74 -61 -232 -191 -261 -302
Net profit for the period 478 271 1 224 854 1 354 1 724Non-controlling interests 6 8 74 32 54 96
EPS basic (EUR) 053 030 129 093 146 183EPS diluted (EUR) 053 030 129 093 146 183
Q2 Income statement
22
Q2 Cash flow statement
MEUR II2011 II2010 I-II2011 I-II2010 2010 LTM
Operating profit before depreciations 764 490 1 813 1 351 2 271 2 733
Non-cash flow items and divesting activities -299 -6 -569 -73 124 -372
Financial items and fx gainslosses 12 -146 -290 -323 -641 -608
Taxes -144 -73 -258 -155 -355 -458
Funds from operations (FFO) 333 265 696 800 1 399 1 295
Change in working capital 77 157 168 143 38 63
Total net cash from operating activities 410 422 864 943 1 437 1 358
Paid capital expenditures -297 -263 -503 -486 -1 134 -1 151
Acquisition of shares -1 -1 -20 -1 -28 -47
Other investing activities 331 -16 541 72 60 529
Cash flow before financing activities 443 142 882 528 335 689
23
MEUR LTM 2010 2009EBITDA 2 733 2 271 2 292Comparable EBITDA 2 431 2 396 2 398Interest-bearing net debt 6 783 6 826 5 969Net debtEBITDA 25 30 26Comparable Net debtEBITDA 28 28 25
Return on capital employed () 138 116 121Return on shareholders equity () 191 157 160
) as of 30 June 2011
Key ratios
Q2 lsquo11
24
Debt maturity profile
0
250
500
750
1000
1250
1500
1750
2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021+
Bonds Financial institutions Other long-term debt CPs Other short-term debt
MEUR
2011 231
2012 668
2013 639
2014 1223
2015 1051
2016 879
2017 270
2018 190
2019 840
2020 73
2021+ 1530
per 30 June 2011 per 31 Dec 2010
Average interest rate (incl swaps and forwards) 44 35Portion of floating fixed debt 47 53 49 51
25
Strong financial position
Return on capital employed12
Return on shareholders equity14
Net debtEBITDAaround 30
138
191
28
Fortumrsquos financial targets LTM in Q22011
Good liquidity ndash committed credit lines total EUR 27 billion
Comparable net debtEBITDA
26
Outlook
27
Q2 Summary
bull Solid performance continued - seasonalitybull Power
ndash Improved nuclear availability- timing of Swedish planned nuclear outages impacted volume
ndash Swedish nuclear back at 80-85 in availabilityndash Lower hydro volumes ndash water reservoirs improved at the end of the quarterndash SEK burdenedndash Results year-end weighted compared to 2010
bull Russiandash Commissioning of new units contributed to result improvementndash The return for the new capacity is guaranteed ndash EUR 100 million efficiency improvement reached
bull Nordic countriesndash Water reservoirs improved to long-term average
bull Overall strong financial position
28
Outlook
bull Key drivers and risksndash Wholesale price of electricity
bull Demandbull Fuelsbull CO2 emissions pricesbull Water reservoirsbull Nuclear availability
bull Nordic marketsndash Market continues to recover ndash 2008 level to be reached by 2012-2014ndash Electricity continues to gain share of total energy consumption
bull Russiandash Wholesale market liberalisedndash Profits from Russia build up in pace with the capacity increases
29
Outlook
bull Capex (excluding potential acquisitions)ndash 2011-2012 around EUR 16 to 18 billion annually (mainly due to Russian
investment programme)ndash 2013-2014 around EUR 11 to 14 billion annuallyndash Disclosed divestments totalled approximately EUR 05 billion
bull Hedgingndash 2011 approximately 70 hedge ratio at approximately EUR 45MWh(Q1 70 at EUR 44MWh)ndash 2012 approximately 50 hedge ratio at approximately EUR 46MWh(Q1 45 at EUR 45MWh)
30
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007 2008 2009 2010 2011 20120
10
20
30
40
50
60
70
80
90
100
110Spot prices Forward prices
3131
CO2 -free and energy-efficient solutions important
Create solid earnings growth in Russia
Leverage the strong Nordic core
Build platform for future growth
Competence in CO2 -free hydro nuclear and energy efficient CHP production and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -Fortumrsquos strategy remains intact
32
19 July 2011
Fortum Corporation
Interim Report
January-June 2011
Disclaimer
This presentation does not constitute an invitation to underwrite subscribe for or otherwise acquire or dispose of any Fortum shares
Past performance is no guide to future performance and persons needing advice should consult an independent financial adviser
Highlights in Q2
Increased uncertainty in macro environment
GLOBAL
- Incident in Fukushima in Japan
Finland
- No new decisions-in-principle on nuclear power in four years
- The new Governmentrsquos policy framework includes a possible implementation of a windfall tax and a uranium tax
Germany
- To be replaced by renewable energy
Q2 Market conditions
Nordic water reservoirs
Source Nord Pool Spot
Q1
Q2
Q3
Q4
2003
2008
2009
2011
2010
reference level
reservoir content (TWh)
0
20
40
60
80
100
120
Price development in the Nordic region and Russia
Includes capacity income
+17
+6
+24
+13
Q2 Good development continued
Q2 Comparable profit at last yearrsquos level
Comparable operating profit EUR million
-6
7
30
-14
348
339
0
-8
Power
Q22010
Heat
Russia
Distribution
Electricity
Sales
Other
Q22011
January-June Comparable profit at last yearrsquos level
Comparable operating profit EUR million
31
24
990
997
-113
48
29
-12
Power
H12010
Heat
Russia
Distribution
Electricity
Sales
Other
H12011
Fortum a forerunner in sustainability
Financials
Comparable and reported operating profit
Power
Q2 Power
Nuclear output in Q2
Planned outages in Oskarshamn 1amp3 and Forsmark 1 in Q22011
(In 2010 no outages in Q2)
If timing would have been similar in 2011 compared to 2010 nuclear output would have exceeded 2010 levels during Q2
Improved availability in Sweden
Q2 2011
Q2 2010
Nuclear
Outage effect
TWh
Q2 Power result declined due to several reasons
Comparable operating profit EUR million
257
-3
-4
0
271
3
-10
Volume
amp price
Q22010
Stronger
SEK
Russian
import
Property
taxes
Other
Q22011
Heat
Q2 Heat
Russia
Q2 Russia
Distribution
Q2 Distribution
Markets
Q2 Electricity Sales
Q2 Income statement
Q2 Cash flow statement
Key ratios
Q2 lsquo11
Debt maturity profile
per 30 June 2011 per 31 Dec 2010
Average interest rate (incl swaps and forwards)4435
Portion of floating fixed debt 47 53 49 51
Strong financial position
Return on capital employed
12
Return on shareholders equity
14
Net debtEBITDA
around 30
138
191
28
Fortumrsquos financial targets
LTM in Q22011
Good liquidity ndash committed credit lines total EUR 27 billion
Comparable net debtEBITDA
Outlook
Q2 Summary
Outlook
Outlook
(Q1 70 at EUR 44MWh)
(Q1 45 at EUR 45MWh)
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007
2008
2009
2010
2011
2012
0
10
20
30
40
50
60
70
80
90
100
110
Spot prices
Forward prices
CO2-free and energy-efficient solutions important
Create solid earnings
growth in Russia
Leverage the strong
Nordic core
Build platform for
future growth
Competence in CO2-free hydro nuclear and energy efficient CHP production
and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -
Fortumrsquos strategy remains intact
MEURII2011II2010I-II2011I-II2010LTM
Sales1833275569641 390
Comparable operating profit101021-335
Net Assets7759
Comparable RONA 341
Gross Investments10404
MEURII2011II2010I-II2011I-II2010LTM
Sales2152005264801 009
Comparable operating profit6053184155336
Net Assets3 4873 482
Comparable RONA 99
Gross Investments62479676233
0
250
500
750
1000
1250
1500
1750
20112012201320142015201620172018201920202021+
BondsFinancial institutionsOther long-term debtCPsOther short-term debt
MEURII2011II2010I-II2011I-II2010LTM
Sales195169490413881
Comparable operating profit21-955756
Net Assets3 0512 690
Comparable RONA 34
Gross Investments192167267258608
MEURII2011II2010I-II2011I-II2010LTM
Sales5745971 2671 3662 603
Comparable operating profit2572715826951 185
Net Assets5 9985 726
Comparable RONA 198
Gross Investments36226955136
MEURII2011II2010I-II2011I-II20102010LTM
Sales1 316
1 2953 3503 2426 296
6 404
Expenses-968-956-2 353-2 252-4 463-4 564
Comparable operating profit3483399979901 8331 840
Other items affecting comparability2611251285-125302
Operating profit6093511 5091 0751 7082 142
Share of profit of associates and jvs1515743162105
Financial expenses net-72-34-127-61-155-221
Profit before taxes5523321 4561 0451 6152 026
Income tax expense-74-61-232-191-261-302
Net profit for the period4782711 2248541 3541 724
Non-controlling interests6874325496
EPS basic (EUR)053030129093146183
EPS diluted (EUR)053030129093146183
Spot price for power in NordPool power exchange
448
459
662
523
621
0
12
24
36
48
60
72
Q22010Q32010Q42010Q12011Q22011
eurMWh
Powers Nordic power price
447
469
488
479
474
0
10
20
30
40
50
60
Q22010Q32010Q42010Q12011Q22011
eurMWh
MEURII2011II2010I-II2011I-II20102010LTM
Operating profit before depreciations7644901 8131 3512 2712 733
Non-cash flow items and divesting activities
-299-6-569-73124-372
Financial items and fx gainslosses
12-146-290-323-641-608
Taxes
-144-73-258-155-355-458
Funds from operations (FFO)
3332656968001 3991 295
Change in working capital
771571681433863
Total net cash from operating activities4104228649431 4371 358
Paid capital expenditures-297-263-503-486-1 134-1 151
Acquisition of shares-1-1-20-1-28-47
Other investing activities331-165417260529
Cash flow before financing activities443142882528335689
MEURII2011II2010I-II2011I-II2010LTM
Sales3223011 0479521 865
Comparable operating profit2533196165306
Net Assets3 9113 884
Comparable RONA 82
Gross Investments7259130121314
MEUR
II2011II2010II2011II2010I-II2011I-II2010I-II2011I-II2010
Power257271271280582695760747
Heat25332535196165290194
Russia21-921-95575523
Distribution605325253184155377166
Electricity Sales1010232321-33-6
Other-25-1917-31-41-2924-49
Total3483396093519979901 5091 075
Comparable operating profit
Reported operating profit
Comparable operating profit
Reported operating profit
Spot price for power (market price) Urals hub
770
935
817
950
954
0
200
400
600
800
1 000
1 200
Q22010Q32010Q42010Q12011Q22011
RUBMWh
Achieved power price for OAO Fortum
256
288
305
292
290
0
6
12
18
24
30
36
Q22010Q32010Q42010Q12011Q22011
eurMWh
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
MEURLTM20102009
EBITDA2 7332 2712 292
Comparable EBITDA2 4312 3962 398
Interest-bearing net debt6 7836 8265 969
Net debtEBITDA253026
Comparable Net debtEBITDA282825
Return on capital employed ()138116121
Return on shareholders equity ()191157160
) as of 30 June 2011
MEUR | |||
2011 | 231 | ||
2012 | 668 | ||
2013 | 639 | ||
2014 | 1223 | ||
2015 | 1051 | ||
2016 | 879 | ||
2017 | 270 | ||
2018 | 190 | ||
2019 | 840 | ||
2020 | 73 | ||
2021+ | 1530 |
MEUR | LTM | 2010 | 2009 | 2008 | 2006 | 2005 | |||||||
EBITDA | 2733 | 2271 | 2292 | 2478 | 1884 | ||||||||
Comparable EBITDA | 2431 | 2396 | 2398 | 1151 | 1271 | ||||||||
Interest-bearing net debt | 6 783 | 6826 | 5969 | 6179 | 4345 | 3158 | |||||||
Net debtEBITDA | 25 | 30 | 26 | 25 | 8161 | ||||||||
Comparable Net debtEBITDA | 28 | 28 | 25 | 16839 | 15130 | ||||||||
23 | 18 | ||||||||||||
Return on capital employed () | 138 | 116 | 121 | 150 | 134 | 135 | |||||||
Return on shareholders equity () | 191 | 157 | 160 | 187 | 144 | 135 | |||||||
) as of 30 June 2011 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | |||||||||||
Operating profit before depreciations | 764 | 490 | 1813 | 1351 | 2271 | 2733 | 2478 | 1663 | 2370 | 0 | |||||||||||
Non-cash flow items and divesting activities | -299 | -6 | -569 | -73 | 124 | -372 | -275 | -268 | -56 | 0 | |||||||||||
Financial items and fx gainslosses | 12 | -146 | -290 | -323 | -641 | -608 | 233 | ||||||||||||||
Taxes | -144 | -73 | -258 | -155 | -355 | -458 | -332 | -231 | -534 | 0 | |||||||||||
Funds from operations (FFO) | 333 | 265 | 696 | 800 | 1399 | 1295 | 2104 | 1164 | 1780 | 0 | |||||||||||
Change in working capital | 77 | 157 | 168 | 143 | 38 | 63 | -102 | 161 | 5 | 0 | |||||||||||
Total net cash from operating activities | 410 | 422 | 864 | 943 | 1437 | 1358 | 2002 | 1325 | 1785 | 0 | |||||||||||
Paid capital expenditures | -297 | -263 | -503 | -486 | -1134 | -1151 | -1018 | -341 | -931 | 0 | |||||||||||
Acquisition of shares | -1 | -1 | -20 | -1 | -28 | -47 | -1243 | -257 | -1243 | 0 | |||||||||||
Other investing activities | 331 | -16 | 541 | 72 | 60 | 529 | -21 | 258 | -34 | 0 | |||||||||||
Cash flow before financing activities | 443 | 142 | 882 | 528 | 335 | 689 | -280 | 985 | -423 | 0 |
MEUR | Q1-Q300 | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | 2004 | ||||||||||||||||||
Sales | 7732 | 1316 | 1295 | 3350 | 3242 | 6296 | 6404 | 5636 | 3159 | 5354 | 0 | 3835 | ||||||||||||||||||
Expenses | -7109 | -968 | -956 | -2353 | -2252 | -4463 | -4564 | -3673 | -1832 | -3482 | 0 | -2640 | ||||||||||||||||||
Comparable operating profit | 623 | 348 | 339 | 997 | 990 | 1833 | 1840 | 1963 | 1327 | 1872 | 0 | 1195 | ||||||||||||||||||
Other items affecting comparability | 261 | 12 | 512 | 85 | -125 | 302 | ||||||||||||||||||||||||
Operating profit | 609 | 351 | 1509 | 1075 | 1708 | 2142 | ||||||||||||||||||||||||
Share of profit of associates and jvs | 15 | 15 | 74 | 31 | 62 | 105 | 126 | 223 | 96 | 0 | 12 | |||||||||||||||||||
Financial expenses net | -209 | -72 | -34 | -127 | -61 | -155 | -221 | -239 | -117 | -222 | 0 | -245 | ||||||||||||||||||
Profit before taxes | 0 | 552 | 332 | 1456 | 1045 | 1615 | 2026 | 1850 | 1433 | 1746 | 0 | 0 | ||||||||||||||||||
Income tax expense | -83 | -74 | -61 | -232 | -191 | -261 | -302 | -254 | -218 | -364 | 0 | -259 | ||||||||||||||||||
Net profit for the period | -26 | 478 | 271 | 1224 | 854 | 1354 | 1724 | 1596 | 1215 | 1382 | 0 | 0 | ||||||||||||||||||
Non-controlling interests | 6 | 8 | 74 | 32 | 54 | 96 | 54 | 31 | 35 | 0 | 33 | |||||||||||||||||||
EPS basic (EUR) | 039 | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 148 | ||||||||||||||||||
EPS diluted (EUR) | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 079 | |||||||||||||||||||
069 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 183 | 327 | 556 | 964 | 1390 | |||||||
Comparable operating profit | 10 | 10 | 21 | -3 | 35 | |||||||
Net Assets | 77 | 59 | ||||||||||
Comparable RONA | 341 | |||||||||||
Gross Investments | 1 | 0 | 4 | 0 | 4 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 215 | 200 | 526 | 480 | 1009 | |||||||
Comparable operating profit | 60 | 53 | 184 | 155 | 336 | |||||||
Net Assets | 3487 | 3482 | ||||||||||
Comparable RONA | 99 | |||||||||||
Gross Investments | 62 | 47 | 96 | 76 | 233 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 195 | 169 | 490 | 413 | 881 | |||||||
Comparable operating profit | 21 | -9 | 55 | 7 | 56 | |||||||
Net Assets | 3051 | 2690 | ||||||||||
Comparable RONA | 34 | |||||||||||
Gross Investments | 192 | 167 | 267 | 258 | 608 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 322 | 301 | 1047 | 952 | 1865 | |||||||
Comparable operating profit | 25 | 33 | 196 | 165 | 306 | |||||||
Net Assets | 3911 | 3884 | ||||||||||
Comparable RONA | 82 | |||||||||||
Gross Investments | 72 | 59 | 130 | 121 | 314 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 574 | 597 | 1267 | 1366 | 2603 | |||||||
Comparable operating profit | 257 | 271 | 582 | 695 | 1185 | |||||||
Net Assets | 5998 | 5726 | ||||||||||
Comparable RONA | 198 | |||||||||||
Gross Investments | 36 | 22 | 69 | 55 | 136 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Roumlrelseresultat II2009 | Roumlrelseresultat II2008 | Liikevoitto 2008 | Liikevoitto 2007 | |||||||||||||||||||||||
Jaumlmfoumlrbart | Rapporterat | Jaumlmfoumlrbart | Rapporterat | Vertkelp | Raportoitu | Vertkelp | Raportoitu | |||||||||||||||||||
Kraftproduktion | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Vaumlrme | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Markets | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Ryssland | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Oumlvrigt | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Summa | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Liikevoitto II2010 | Liikevoitto II2009 | Liikevoitto I-II2010 | Liikevoitto I-II2009 | |||||||||||||||||||||||
Vertkelp | Raportoitu | Vertkelp | Raportoitu | Vertkelp | Raportoitu | Vertkelp | Raportoitu | |||||||||||||||||||
Power | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Heat | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Saumlhkoumlnmyynti | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Russia | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Muut | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Yhteensauml | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 | ||||||||||||||||||
I-III2009 | ||||||||||||||||||||||||||
SEK | Muut | Yhteensauml | ||||||||||||||||||||||||
Saumlhkoumlntuotanto | -67 | -3 | -70 | |||||||||||||||||||||||
Laumlmpouml | -10 | -2 | -12 | |||||||||||||||||||||||
Saumlhkoumlnsiirto | -13 | -1 | -14 | |||||||||||||||||||||||
Markets | -1 | -1 | -2 | |||||||||||||||||||||||
Venaumljauml | 0 | 6 | 6 | |||||||||||||||||||||||
Muu | 0 | 1 | 1 | |||||||||||||||||||||||
Yhteensauml | -91 | 0 | -91 |
Operating profit II2010 | Operating profit II2009 | Operating profit I-II2010 | Operating profit I-2009 | |||||||||||||||||||||||
Comparable | Reported | Comparable | Reported | Comparable | Reported | Comparable | Reported | |||||||||||||||||||
Power | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Heat | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Electricity Sales | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Russia | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Other | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Total | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 | ||||||||||||||||||
Currency translation effects on comparable operating profit | ||||||||||||||||||||||||||
I2009 | I-III2009 | |||||||||||||||||||||||||
SEK | Other | Total | SEK | Other | Total | |||||||||||||||||||||
Power Generation | -55 | -3 | -58 | Power Generation | -67 | -3 | -70 | |||||||||||||||||||
Heat | -12 | -3 | -15 | Heat | -10 | -2 | -12 | |||||||||||||||||||
Distribution | -11 | -1 | -12 | Distribution | -13 | -1 | -14 | |||||||||||||||||||
Markets | -1 | 0 | -1 | Markets | -1 | -1 | -2 | |||||||||||||||||||
Russia | 0 | 1 | 1 | Russia | 0 | 6 | 6 | |||||||||||||||||||
Other | 1 | 0 | 1 | Other | 0 | 1 | 1 | |||||||||||||||||||
Total | -78 | -6 | -84 | Total | -91 | 0 | -91 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Vertkelpliikevoitto | Raportoitu liikevoitto | Vertkelpliikevoitto | Raportoitu liikevoitto | |||||||||||||||||||||||
II2010 | II2009 | II2010 | II2009 | I-II2010 | I-II2009 | I-II2010 | I-II2009 | |||||||||||||||||||
Power | 257 | 271 | 271 | 280 | 582 | 695 | 760 | 747 | ||||||||||||||||||
Heat | 25 | 33 | 25 | 35 | 196 | 165 | 290 | 194 | ||||||||||||||||||
Distribution | 21 | -9 | 21 | -9 | 55 | 7 | 55 | 23 | ||||||||||||||||||
Saumlhkoumlnmyynti | 60 | 53 | 252 | 53 | 184 | 155 | 377 | 166 | ||||||||||||||||||
Russia | 10 | 10 | 23 | 23 | 21 | -3 | 3 | -6 | ||||||||||||||||||
Muut | -25 | -19 | 17 | -31 | -41 | -29 | 24 | -49 | ||||||||||||||||||
Yhteensauml | 348 | 339 | 609 | 351 | 997 | 990 | 1509 | 1075 | ||||||||||||||||||
I-III2009 | ||||||||||||||||||||||||||
SEK | Muut | Yhteensauml | ||||||||||||||||||||||||
Saumlhkoumlntuotanto | -67 | -3 | -70 | |||||||||||||||||||||||
Laumlmpouml | -10 | -2 | -12 | |||||||||||||||||||||||
Saumlhkoumlnsiirto | -13 | -1 | -14 | |||||||||||||||||||||||
Markets | -1 | -1 | -2 | |||||||||||||||||||||||
Venaumljauml | 0 | 6 | 6 | |||||||||||||||||||||||
Muu | 0 | 1 | 1 | |||||||||||||||||||||||
Yhteensauml | -91 | 0 | -91 |
MEUR | Comparable operating profit | Reported operating profit | Comparable operating profit | Reported operating profit | ||||||||||||||||||||||
II2011 | II2010 | II2011 | II2010 | I-II2011 | I-II2010 | I-II2011 | I-II2010 | |||||||||||||||||||
Power | 257 | 271 | 271 | 280 | 582 | 695 | 760 | 747 | ||||||||||||||||||
Heat | 25 | 33 | 25 | 35 | 196 | 165 | 290 | 194 | ||||||||||||||||||
Russia | 21 | -9 | 21 | -9 | 55 | 7 | 55 | 23 | ||||||||||||||||||
Distribution | 60 | 53 | 252 | 53 | 184 | 155 | 377 | 166 | ||||||||||||||||||
Electricity Sales | 10 | 10 | 23 | 23 | 21 | -3 | 3 | -6 | ||||||||||||||||||
Other | -25 | -19 | 17 | -31 | -41 | -29 | 24 | -49 | ||||||||||||||||||
Total | 348 | 339 | 609 | 351 | 997 | 990 | 1509 | 1075 | ||||||||||||||||||
Currency translation effects on comparable operating profit | ||||||||||||||||||||||||||
I2009 | I-III2009 | |||||||||||||||||||||||||
SEK | Other | Total | SEK | Other | Total | |||||||||||||||||||||
Power Generation | -55 | -3 | -58 | Power Generation | -67 | -3 | -70 | |||||||||||||||||||
Heat | -12 | -3 | -15 | Heat | -10 | -2 | -12 | |||||||||||||||||||
Distribution | -11 | -1 | -12 | Distribution | -13 | -1 | -14 | |||||||||||||||||||
Markets | -1 | 0 | -1 | Markets | -1 | -1 | -2 | |||||||||||||||||||
Russia | 0 | 1 | 1 | Russia | 0 | 6 | 6 | |||||||||||||||||||
Other | 1 | 0 | 1 | Other | 0 | 1 | 1 | |||||||||||||||||||
Total | -78 | -6 | -84 | Total | -91 | 0 | -91 |
18
Russiabull Comparable operating profit improved
ndash Commissioning of the new unit ndash Higher electricity market prices ndash Efficiency improvementsndash Reversal of CSA provisions related to the newly
commissioned units
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 195 169 490 413 881
Comparable operating profit 21 -9 55 7 56
Net Assets 3 051 2 690
Comparable RONA 34
Gross Investments 192 167 267 258 608
Q2 Russia
19
Distribution
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 215 200 526 480 1 009
Comparable operating profit 60 53 184 155 336
Net Assets 3 487 3 482
Comparable RONA 99
Gross Investments 62 47 96 76 233
Q2 Distribution
bull Comparable operating profit increasedndash Lower transmission costsndash Stronger SEK
bull Smart metering rollout to network customers in Finland continued
20
Markets
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 183 327 556 964 1 390
Comparable operating profit 10 10 21 -3 35
Net Assets 77 59
Comparable RONA 341
Gross Investments 1 0 4 0 4
Q2 Electricity Sales
bull Comparable operating profit at last yearrsquos levelndash Tough competitionndash Restructuring of the Business Market segment
21
MEUR II2011 II2010 I-II2011 I-II2010 2010 LTM
Sales 1 316 1 295 3 350 3 242 6 296 6 404Expenses -968 -956 -2 353 -2 252 -4 463 -4 564
Comparable operating profit 348 339 997 990 1 833 1 840
Other items affecting comparability 261 12 512 85 -125 302
Operating profit 609 351 1 509 1 075 1 708 2 142Share of profit of associates and jvs 15 15 74 31 62 105Financial expenses net -72 -34 -127 -61 -155 -221
Profit before taxes 552 332 1 456 1 045 1 615 2 026Income tax expense -74 -61 -232 -191 -261 -302
Net profit for the period 478 271 1 224 854 1 354 1 724Non-controlling interests 6 8 74 32 54 96
EPS basic (EUR) 053 030 129 093 146 183EPS diluted (EUR) 053 030 129 093 146 183
Q2 Income statement
22
Q2 Cash flow statement
MEUR II2011 II2010 I-II2011 I-II2010 2010 LTM
Operating profit before depreciations 764 490 1 813 1 351 2 271 2 733
Non-cash flow items and divesting activities -299 -6 -569 -73 124 -372
Financial items and fx gainslosses 12 -146 -290 -323 -641 -608
Taxes -144 -73 -258 -155 -355 -458
Funds from operations (FFO) 333 265 696 800 1 399 1 295
Change in working capital 77 157 168 143 38 63
Total net cash from operating activities 410 422 864 943 1 437 1 358
Paid capital expenditures -297 -263 -503 -486 -1 134 -1 151
Acquisition of shares -1 -1 -20 -1 -28 -47
Other investing activities 331 -16 541 72 60 529
Cash flow before financing activities 443 142 882 528 335 689
23
MEUR LTM 2010 2009EBITDA 2 733 2 271 2 292Comparable EBITDA 2 431 2 396 2 398Interest-bearing net debt 6 783 6 826 5 969Net debtEBITDA 25 30 26Comparable Net debtEBITDA 28 28 25
Return on capital employed () 138 116 121Return on shareholders equity () 191 157 160
) as of 30 June 2011
Key ratios
Q2 lsquo11
24
Debt maturity profile
0
250
500
750
1000
1250
1500
1750
2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021+
Bonds Financial institutions Other long-term debt CPs Other short-term debt
MEUR
2011 231
2012 668
2013 639
2014 1223
2015 1051
2016 879
2017 270
2018 190
2019 840
2020 73
2021+ 1530
per 30 June 2011 per 31 Dec 2010
Average interest rate (incl swaps and forwards) 44 35Portion of floating fixed debt 47 53 49 51
25
Strong financial position
Return on capital employed12
Return on shareholders equity14
Net debtEBITDAaround 30
138
191
28
Fortumrsquos financial targets LTM in Q22011
Good liquidity ndash committed credit lines total EUR 27 billion
Comparable net debtEBITDA
26
Outlook
27
Q2 Summary
bull Solid performance continued - seasonalitybull Power
ndash Improved nuclear availability- timing of Swedish planned nuclear outages impacted volume
ndash Swedish nuclear back at 80-85 in availabilityndash Lower hydro volumes ndash water reservoirs improved at the end of the quarterndash SEK burdenedndash Results year-end weighted compared to 2010
bull Russiandash Commissioning of new units contributed to result improvementndash The return for the new capacity is guaranteed ndash EUR 100 million efficiency improvement reached
bull Nordic countriesndash Water reservoirs improved to long-term average
bull Overall strong financial position
28
Outlook
bull Key drivers and risksndash Wholesale price of electricity
bull Demandbull Fuelsbull CO2 emissions pricesbull Water reservoirsbull Nuclear availability
bull Nordic marketsndash Market continues to recover ndash 2008 level to be reached by 2012-2014ndash Electricity continues to gain share of total energy consumption
bull Russiandash Wholesale market liberalisedndash Profits from Russia build up in pace with the capacity increases
29
Outlook
bull Capex (excluding potential acquisitions)ndash 2011-2012 around EUR 16 to 18 billion annually (mainly due to Russian
investment programme)ndash 2013-2014 around EUR 11 to 14 billion annuallyndash Disclosed divestments totalled approximately EUR 05 billion
bull Hedgingndash 2011 approximately 70 hedge ratio at approximately EUR 45MWh(Q1 70 at EUR 44MWh)ndash 2012 approximately 50 hedge ratio at approximately EUR 46MWh(Q1 45 at EUR 45MWh)
30
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007 2008 2009 2010 2011 20120
10
20
30
40
50
60
70
80
90
100
110Spot prices Forward prices
3131
CO2 -free and energy-efficient solutions important
Create solid earnings growth in Russia
Leverage the strong Nordic core
Build platform for future growth
Competence in CO2 -free hydro nuclear and energy efficient CHP production and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -Fortumrsquos strategy remains intact
32
19 July 2011
Fortum Corporation
Interim Report
January-June 2011
Disclaimer
This presentation does not constitute an invitation to underwrite subscribe for or otherwise acquire or dispose of any Fortum shares
Past performance is no guide to future performance and persons needing advice should consult an independent financial adviser
Highlights in Q2
Increased uncertainty in macro environment
GLOBAL
- Incident in Fukushima in Japan
Finland
- No new decisions-in-principle on nuclear power in four years
- The new Governmentrsquos policy framework includes a possible implementation of a windfall tax and a uranium tax
Germany
- To be replaced by renewable energy
Q2 Market conditions
Nordic water reservoirs
Source Nord Pool Spot
Q1
Q2
Q3
Q4
2003
2008
2009
2011
2010
reference level
reservoir content (TWh)
0
20
40
60
80
100
120
Price development in the Nordic region and Russia
Includes capacity income
+17
+6
+24
+13
Q2 Good development continued
Q2 Comparable profit at last yearrsquos level
Comparable operating profit EUR million
-6
7
30
-14
348
339
0
-8
Power
Q22010
Heat
Russia
Distribution
Electricity
Sales
Other
Q22011
January-June Comparable profit at last yearrsquos level
Comparable operating profit EUR million
31
24
990
997
-113
48
29
-12
Power
H12010
Heat
Russia
Distribution
Electricity
Sales
Other
H12011
Fortum a forerunner in sustainability
Financials
Comparable and reported operating profit
Power
Q2 Power
Nuclear output in Q2
Planned outages in Oskarshamn 1amp3 and Forsmark 1 in Q22011
(In 2010 no outages in Q2)
If timing would have been similar in 2011 compared to 2010 nuclear output would have exceeded 2010 levels during Q2
Improved availability in Sweden
Q2 2011
Q2 2010
Nuclear
Outage effect
TWh
Q2 Power result declined due to several reasons
Comparable operating profit EUR million
257
-3
-4
0
271
3
-10
Volume
amp price
Q22010
Stronger
SEK
Russian
import
Property
taxes
Other
Q22011
Heat
Q2 Heat
Russia
Q2 Russia
Distribution
Q2 Distribution
Markets
Q2 Electricity Sales
Q2 Income statement
Q2 Cash flow statement
Key ratios
Q2 lsquo11
Debt maturity profile
per 30 June 2011 per 31 Dec 2010
Average interest rate (incl swaps and forwards)4435
Portion of floating fixed debt 47 53 49 51
Strong financial position
Return on capital employed
12
Return on shareholders equity
14
Net debtEBITDA
around 30
138
191
28
Fortumrsquos financial targets
LTM in Q22011
Good liquidity ndash committed credit lines total EUR 27 billion
Comparable net debtEBITDA
Outlook
Q2 Summary
Outlook
Outlook
(Q1 70 at EUR 44MWh)
(Q1 45 at EUR 45MWh)
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007
2008
2009
2010
2011
2012
0
10
20
30
40
50
60
70
80
90
100
110
Spot prices
Forward prices
CO2-free and energy-efficient solutions important
Create solid earnings
growth in Russia
Leverage the strong
Nordic core
Build platform for
future growth
Competence in CO2-free hydro nuclear and energy efficient CHP production
and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -
Fortumrsquos strategy remains intact
MEURII2011II2010I-II2011I-II2010LTM
Sales1833275569641 390
Comparable operating profit101021-335
Net Assets7759
Comparable RONA 341
Gross Investments10404
MEURII2011II2010I-II2011I-II2010LTM
Sales2152005264801 009
Comparable operating profit6053184155336
Net Assets3 4873 482
Comparable RONA 99
Gross Investments62479676233
0
250
500
750
1000
1250
1500
1750
20112012201320142015201620172018201920202021+
BondsFinancial institutionsOther long-term debtCPsOther short-term debt
MEURII2011II2010I-II2011I-II2010LTM
Sales195169490413881
Comparable operating profit21-955756
Net Assets3 0512 690
Comparable RONA 34
Gross Investments192167267258608
MEURII2011II2010I-II2011I-II2010LTM
Sales5745971 2671 3662 603
Comparable operating profit2572715826951 185
Net Assets5 9985 726
Comparable RONA 198
Gross Investments36226955136
MEURII2011II2010I-II2011I-II20102010LTM
Sales1 316
1 2953 3503 2426 296
6 404
Expenses-968-956-2 353-2 252-4 463-4 564
Comparable operating profit3483399979901 8331 840
Other items affecting comparability2611251285-125302
Operating profit6093511 5091 0751 7082 142
Share of profit of associates and jvs1515743162105
Financial expenses net-72-34-127-61-155-221
Profit before taxes5523321 4561 0451 6152 026
Income tax expense-74-61-232-191-261-302
Net profit for the period4782711 2248541 3541 724
Non-controlling interests6874325496
EPS basic (EUR)053030129093146183
EPS diluted (EUR)053030129093146183
Spot price for power in NordPool power exchange
448
459
662
523
621
0
12
24
36
48
60
72
Q22010Q32010Q42010Q12011Q22011
eurMWh
Powers Nordic power price
447
469
488
479
474
0
10
20
30
40
50
60
Q22010Q32010Q42010Q12011Q22011
eurMWh
MEURII2011II2010I-II2011I-II20102010LTM
Operating profit before depreciations7644901 8131 3512 2712 733
Non-cash flow items and divesting activities
-299-6-569-73124-372
Financial items and fx gainslosses
12-146-290-323-641-608
Taxes
-144-73-258-155-355-458
Funds from operations (FFO)
3332656968001 3991 295
Change in working capital
771571681433863
Total net cash from operating activities4104228649431 4371 358
Paid capital expenditures-297-263-503-486-1 134-1 151
Acquisition of shares-1-1-20-1-28-47
Other investing activities331-165417260529
Cash flow before financing activities443142882528335689
MEURII2011II2010I-II2011I-II2010LTM
Sales3223011 0479521 865
Comparable operating profit2533196165306
Net Assets3 9113 884
Comparable RONA 82
Gross Investments7259130121314
MEUR
II2011II2010II2011II2010I-II2011I-II2010I-II2011I-II2010
Power257271271280582695760747
Heat25332535196165290194
Russia21-921-95575523
Distribution605325253184155377166
Electricity Sales1010232321-33-6
Other-25-1917-31-41-2924-49
Total3483396093519979901 5091 075
Comparable operating profit
Reported operating profit
Comparable operating profit
Reported operating profit
Spot price for power (market price) Urals hub
770
935
817
950
954
0
200
400
600
800
1 000
1 200
Q22010Q32010Q42010Q12011Q22011
RUBMWh
Achieved power price for OAO Fortum
256
288
305
292
290
0
6
12
18
24
30
36
Q22010Q32010Q42010Q12011Q22011
eurMWh
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
MEURLTM20102009
EBITDA2 7332 2712 292
Comparable EBITDA2 4312 3962 398
Interest-bearing net debt6 7836 8265 969
Net debtEBITDA253026
Comparable Net debtEBITDA282825
Return on capital employed ()138116121
Return on shareholders equity ()191157160
) as of 30 June 2011
MEUR | |||
2011 | 231 | ||
2012 | 668 | ||
2013 | 639 | ||
2014 | 1223 | ||
2015 | 1051 | ||
2016 | 879 | ||
2017 | 270 | ||
2018 | 190 | ||
2019 | 840 | ||
2020 | 73 | ||
2021+ | 1530 |
MEUR | LTM | 2010 | 2009 | 2008 | 2006 | 2005 | |||||||
EBITDA | 2733 | 2271 | 2292 | 2478 | 1884 | ||||||||
Comparable EBITDA | 2431 | 2396 | 2398 | 1151 | 1271 | ||||||||
Interest-bearing net debt | 6 783 | 6826 | 5969 | 6179 | 4345 | 3158 | |||||||
Net debtEBITDA | 25 | 30 | 26 | 25 | 8161 | ||||||||
Comparable Net debtEBITDA | 28 | 28 | 25 | 16839 | 15130 | ||||||||
23 | 18 | ||||||||||||
Return on capital employed () | 138 | 116 | 121 | 150 | 134 | 135 | |||||||
Return on shareholders equity () | 191 | 157 | 160 | 187 | 144 | 135 | |||||||
) as of 30 June 2011 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | |||||||||||
Operating profit before depreciations | 764 | 490 | 1813 | 1351 | 2271 | 2733 | 2478 | 1663 | 2370 | 0 | |||||||||||
Non-cash flow items and divesting activities | -299 | -6 | -569 | -73 | 124 | -372 | -275 | -268 | -56 | 0 | |||||||||||
Financial items and fx gainslosses | 12 | -146 | -290 | -323 | -641 | -608 | 233 | ||||||||||||||
Taxes | -144 | -73 | -258 | -155 | -355 | -458 | -332 | -231 | -534 | 0 | |||||||||||
Funds from operations (FFO) | 333 | 265 | 696 | 800 | 1399 | 1295 | 2104 | 1164 | 1780 | 0 | |||||||||||
Change in working capital | 77 | 157 | 168 | 143 | 38 | 63 | -102 | 161 | 5 | 0 | |||||||||||
Total net cash from operating activities | 410 | 422 | 864 | 943 | 1437 | 1358 | 2002 | 1325 | 1785 | 0 | |||||||||||
Paid capital expenditures | -297 | -263 | -503 | -486 | -1134 | -1151 | -1018 | -341 | -931 | 0 | |||||||||||
Acquisition of shares | -1 | -1 | -20 | -1 | -28 | -47 | -1243 | -257 | -1243 | 0 | |||||||||||
Other investing activities | 331 | -16 | 541 | 72 | 60 | 529 | -21 | 258 | -34 | 0 | |||||||||||
Cash flow before financing activities | 443 | 142 | 882 | 528 | 335 | 689 | -280 | 985 | -423 | 0 |
MEUR | Q1-Q300 | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | 2004 | ||||||||||||||||||
Sales | 7732 | 1316 | 1295 | 3350 | 3242 | 6296 | 6404 | 5636 | 3159 | 5354 | 0 | 3835 | ||||||||||||||||||
Expenses | -7109 | -968 | -956 | -2353 | -2252 | -4463 | -4564 | -3673 | -1832 | -3482 | 0 | -2640 | ||||||||||||||||||
Comparable operating profit | 623 | 348 | 339 | 997 | 990 | 1833 | 1840 | 1963 | 1327 | 1872 | 0 | 1195 | ||||||||||||||||||
Other items affecting comparability | 261 | 12 | 512 | 85 | -125 | 302 | ||||||||||||||||||||||||
Operating profit | 609 | 351 | 1509 | 1075 | 1708 | 2142 | ||||||||||||||||||||||||
Share of profit of associates and jvs | 15 | 15 | 74 | 31 | 62 | 105 | 126 | 223 | 96 | 0 | 12 | |||||||||||||||||||
Financial expenses net | -209 | -72 | -34 | -127 | -61 | -155 | -221 | -239 | -117 | -222 | 0 | -245 | ||||||||||||||||||
Profit before taxes | 0 | 552 | 332 | 1456 | 1045 | 1615 | 2026 | 1850 | 1433 | 1746 | 0 | 0 | ||||||||||||||||||
Income tax expense | -83 | -74 | -61 | -232 | -191 | -261 | -302 | -254 | -218 | -364 | 0 | -259 | ||||||||||||||||||
Net profit for the period | -26 | 478 | 271 | 1224 | 854 | 1354 | 1724 | 1596 | 1215 | 1382 | 0 | 0 | ||||||||||||||||||
Non-controlling interests | 6 | 8 | 74 | 32 | 54 | 96 | 54 | 31 | 35 | 0 | 33 | |||||||||||||||||||
EPS basic (EUR) | 039 | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 148 | ||||||||||||||||||
EPS diluted (EUR) | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 079 | |||||||||||||||||||
069 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 183 | 327 | 556 | 964 | 1390 | |||||||
Comparable operating profit | 10 | 10 | 21 | -3 | 35 | |||||||
Net Assets | 77 | 59 | ||||||||||
Comparable RONA | 341 | |||||||||||
Gross Investments | 1 | 0 | 4 | 0 | 4 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 215 | 200 | 526 | 480 | 1009 | |||||||
Comparable operating profit | 60 | 53 | 184 | 155 | 336 | |||||||
Net Assets | 3487 | 3482 | ||||||||||
Comparable RONA | 99 | |||||||||||
Gross Investments | 62 | 47 | 96 | 76 | 233 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 195 | 169 | 490 | 413 | 881 | |||||||
Comparable operating profit | 21 | -9 | 55 | 7 | 56 | |||||||
Net Assets | 3051 | 2690 | ||||||||||
Comparable RONA | 34 | |||||||||||
Gross Investments | 192 | 167 | 267 | 258 | 608 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 322 | 301 | 1047 | 952 | 1865 | |||||||
Comparable operating profit | 25 | 33 | 196 | 165 | 306 | |||||||
Net Assets | 3911 | 3884 | ||||||||||
Comparable RONA | 82 | |||||||||||
Gross Investments | 72 | 59 | 130 | 121 | 314 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 574 | 597 | 1267 | 1366 | 2603 | |||||||
Comparable operating profit | 257 | 271 | 582 | 695 | 1185 | |||||||
Net Assets | 5998 | 5726 | ||||||||||
Comparable RONA | 198 | |||||||||||
Gross Investments | 36 | 22 | 69 | 55 | 136 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Roumlrelseresultat II2009 | Roumlrelseresultat II2008 | Liikevoitto 2008 | Liikevoitto 2007 | |||||||||||||||||||||||
Jaumlmfoumlrbart | Rapporterat | Jaumlmfoumlrbart | Rapporterat | Vertkelp | Raportoitu | Vertkelp | Raportoitu | |||||||||||||||||||
Kraftproduktion | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Vaumlrme | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Markets | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Ryssland | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Oumlvrigt | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Summa | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Liikevoitto II2010 | Liikevoitto II2009 | Liikevoitto I-II2010 | Liikevoitto I-II2009 | |||||||||||||||||||||||
Vertkelp | Raportoitu | Vertkelp | Raportoitu | Vertkelp | Raportoitu | Vertkelp | Raportoitu | |||||||||||||||||||
Power | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Heat | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Saumlhkoumlnmyynti | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Russia | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Muut | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Yhteensauml | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 | ||||||||||||||||||
I-III2009 | ||||||||||||||||||||||||||
SEK | Muut | Yhteensauml | ||||||||||||||||||||||||
Saumlhkoumlntuotanto | -67 | -3 | -70 | |||||||||||||||||||||||
Laumlmpouml | -10 | -2 | -12 | |||||||||||||||||||||||
Saumlhkoumlnsiirto | -13 | -1 | -14 | |||||||||||||||||||||||
Markets | -1 | -1 | -2 | |||||||||||||||||||||||
Venaumljauml | 0 | 6 | 6 | |||||||||||||||||||||||
Muu | 0 | 1 | 1 | |||||||||||||||||||||||
Yhteensauml | -91 | 0 | -91 |
Operating profit II2010 | Operating profit II2009 | Operating profit I-II2010 | Operating profit I-2009 | |||||||||||||||||||||||
Comparable | Reported | Comparable | Reported | Comparable | Reported | Comparable | Reported | |||||||||||||||||||
Power | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Heat | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Electricity Sales | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Russia | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Other | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Total | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 | ||||||||||||||||||
Currency translation effects on comparable operating profit | ||||||||||||||||||||||||||
I2009 | I-III2009 | |||||||||||||||||||||||||
SEK | Other | Total | SEK | Other | Total | |||||||||||||||||||||
Power Generation | -55 | -3 | -58 | Power Generation | -67 | -3 | -70 | |||||||||||||||||||
Heat | -12 | -3 | -15 | Heat | -10 | -2 | -12 | |||||||||||||||||||
Distribution | -11 | -1 | -12 | Distribution | -13 | -1 | -14 | |||||||||||||||||||
Markets | -1 | 0 | -1 | Markets | -1 | -1 | -2 | |||||||||||||||||||
Russia | 0 | 1 | 1 | Russia | 0 | 6 | 6 | |||||||||||||||||||
Other | 1 | 0 | 1 | Other | 0 | 1 | 1 | |||||||||||||||||||
Total | -78 | -6 | -84 | Total | -91 | 0 | -91 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Vertkelpliikevoitto | Raportoitu liikevoitto | Vertkelpliikevoitto | Raportoitu liikevoitto | |||||||||||||||||||||||
II2010 | II2009 | II2010 | II2009 | I-II2010 | I-II2009 | I-II2010 | I-II2009 | |||||||||||||||||||
Power | 257 | 271 | 271 | 280 | 582 | 695 | 760 | 747 | ||||||||||||||||||
Heat | 25 | 33 | 25 | 35 | 196 | 165 | 290 | 194 | ||||||||||||||||||
Distribution | 21 | -9 | 21 | -9 | 55 | 7 | 55 | 23 | ||||||||||||||||||
Saumlhkoumlnmyynti | 60 | 53 | 252 | 53 | 184 | 155 | 377 | 166 | ||||||||||||||||||
Russia | 10 | 10 | 23 | 23 | 21 | -3 | 3 | -6 | ||||||||||||||||||
Muut | -25 | -19 | 17 | -31 | -41 | -29 | 24 | -49 | ||||||||||||||||||
Yhteensauml | 348 | 339 | 609 | 351 | 997 | 990 | 1509 | 1075 | ||||||||||||||||||
I-III2009 | ||||||||||||||||||||||||||
SEK | Muut | Yhteensauml | ||||||||||||||||||||||||
Saumlhkoumlntuotanto | -67 | -3 | -70 | |||||||||||||||||||||||
Laumlmpouml | -10 | -2 | -12 | |||||||||||||||||||||||
Saumlhkoumlnsiirto | -13 | -1 | -14 | |||||||||||||||||||||||
Markets | -1 | -1 | -2 | |||||||||||||||||||||||
Venaumljauml | 0 | 6 | 6 | |||||||||||||||||||||||
Muu | 0 | 1 | 1 | |||||||||||||||||||||||
Yhteensauml | -91 | 0 | -91 |
MEUR | Comparable operating profit | Reported operating profit | Comparable operating profit | Reported operating profit | ||||||||||||||||||||||
II2011 | II2010 | II2011 | II2010 | I-II2011 | I-II2010 | I-II2011 | I-II2010 | |||||||||||||||||||
Power | 257 | 271 | 271 | 280 | 582 | 695 | 760 | 747 | ||||||||||||||||||
Heat | 25 | 33 | 25 | 35 | 196 | 165 | 290 | 194 | ||||||||||||||||||
Russia | 21 | -9 | 21 | -9 | 55 | 7 | 55 | 23 | ||||||||||||||||||
Distribution | 60 | 53 | 252 | 53 | 184 | 155 | 377 | 166 | ||||||||||||||||||
Electricity Sales | 10 | 10 | 23 | 23 | 21 | -3 | 3 | -6 | ||||||||||||||||||
Other | -25 | -19 | 17 | -31 | -41 | -29 | 24 | -49 | ||||||||||||||||||
Total | 348 | 339 | 609 | 351 | 997 | 990 | 1509 | 1075 | ||||||||||||||||||
Currency translation effects on comparable operating profit | ||||||||||||||||||||||||||
I2009 | I-III2009 | |||||||||||||||||||||||||
SEK | Other | Total | SEK | Other | Total | |||||||||||||||||||||
Power Generation | -55 | -3 | -58 | Power Generation | -67 | -3 | -70 | |||||||||||||||||||
Heat | -12 | -3 | -15 | Heat | -10 | -2 | -12 | |||||||||||||||||||
Distribution | -11 | -1 | -12 | Distribution | -13 | -1 | -14 | |||||||||||||||||||
Markets | -1 | 0 | -1 | Markets | -1 | -1 | -2 | |||||||||||||||||||
Russia | 0 | 1 | 1 | Russia | 0 | 6 | 6 | |||||||||||||||||||
Other | 1 | 0 | 1 | Other | 0 | 1 | 1 | |||||||||||||||||||
Total | -78 | -6 | -84 | Total | -91 | 0 | -91 |
19
Distribution
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 215 200 526 480 1 009
Comparable operating profit 60 53 184 155 336
Net Assets 3 487 3 482
Comparable RONA 99
Gross Investments 62 47 96 76 233
Q2 Distribution
bull Comparable operating profit increasedndash Lower transmission costsndash Stronger SEK
bull Smart metering rollout to network customers in Finland continued
20
Markets
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 183 327 556 964 1 390
Comparable operating profit 10 10 21 -3 35
Net Assets 77 59
Comparable RONA 341
Gross Investments 1 0 4 0 4
Q2 Electricity Sales
bull Comparable operating profit at last yearrsquos levelndash Tough competitionndash Restructuring of the Business Market segment
21
MEUR II2011 II2010 I-II2011 I-II2010 2010 LTM
Sales 1 316 1 295 3 350 3 242 6 296 6 404Expenses -968 -956 -2 353 -2 252 -4 463 -4 564
Comparable operating profit 348 339 997 990 1 833 1 840
Other items affecting comparability 261 12 512 85 -125 302
Operating profit 609 351 1 509 1 075 1 708 2 142Share of profit of associates and jvs 15 15 74 31 62 105Financial expenses net -72 -34 -127 -61 -155 -221
Profit before taxes 552 332 1 456 1 045 1 615 2 026Income tax expense -74 -61 -232 -191 -261 -302
Net profit for the period 478 271 1 224 854 1 354 1 724Non-controlling interests 6 8 74 32 54 96
EPS basic (EUR) 053 030 129 093 146 183EPS diluted (EUR) 053 030 129 093 146 183
Q2 Income statement
22
Q2 Cash flow statement
MEUR II2011 II2010 I-II2011 I-II2010 2010 LTM
Operating profit before depreciations 764 490 1 813 1 351 2 271 2 733
Non-cash flow items and divesting activities -299 -6 -569 -73 124 -372
Financial items and fx gainslosses 12 -146 -290 -323 -641 -608
Taxes -144 -73 -258 -155 -355 -458
Funds from operations (FFO) 333 265 696 800 1 399 1 295
Change in working capital 77 157 168 143 38 63
Total net cash from operating activities 410 422 864 943 1 437 1 358
Paid capital expenditures -297 -263 -503 -486 -1 134 -1 151
Acquisition of shares -1 -1 -20 -1 -28 -47
Other investing activities 331 -16 541 72 60 529
Cash flow before financing activities 443 142 882 528 335 689
23
MEUR LTM 2010 2009EBITDA 2 733 2 271 2 292Comparable EBITDA 2 431 2 396 2 398Interest-bearing net debt 6 783 6 826 5 969Net debtEBITDA 25 30 26Comparable Net debtEBITDA 28 28 25
Return on capital employed () 138 116 121Return on shareholders equity () 191 157 160
) as of 30 June 2011
Key ratios
Q2 lsquo11
24
Debt maturity profile
0
250
500
750
1000
1250
1500
1750
2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021+
Bonds Financial institutions Other long-term debt CPs Other short-term debt
MEUR
2011 231
2012 668
2013 639
2014 1223
2015 1051
2016 879
2017 270
2018 190
2019 840
2020 73
2021+ 1530
per 30 June 2011 per 31 Dec 2010
Average interest rate (incl swaps and forwards) 44 35Portion of floating fixed debt 47 53 49 51
25
Strong financial position
Return on capital employed12
Return on shareholders equity14
Net debtEBITDAaround 30
138
191
28
Fortumrsquos financial targets LTM in Q22011
Good liquidity ndash committed credit lines total EUR 27 billion
Comparable net debtEBITDA
26
Outlook
27
Q2 Summary
bull Solid performance continued - seasonalitybull Power
ndash Improved nuclear availability- timing of Swedish planned nuclear outages impacted volume
ndash Swedish nuclear back at 80-85 in availabilityndash Lower hydro volumes ndash water reservoirs improved at the end of the quarterndash SEK burdenedndash Results year-end weighted compared to 2010
bull Russiandash Commissioning of new units contributed to result improvementndash The return for the new capacity is guaranteed ndash EUR 100 million efficiency improvement reached
bull Nordic countriesndash Water reservoirs improved to long-term average
bull Overall strong financial position
28
Outlook
bull Key drivers and risksndash Wholesale price of electricity
bull Demandbull Fuelsbull CO2 emissions pricesbull Water reservoirsbull Nuclear availability
bull Nordic marketsndash Market continues to recover ndash 2008 level to be reached by 2012-2014ndash Electricity continues to gain share of total energy consumption
bull Russiandash Wholesale market liberalisedndash Profits from Russia build up in pace with the capacity increases
29
Outlook
bull Capex (excluding potential acquisitions)ndash 2011-2012 around EUR 16 to 18 billion annually (mainly due to Russian
investment programme)ndash 2013-2014 around EUR 11 to 14 billion annuallyndash Disclosed divestments totalled approximately EUR 05 billion
bull Hedgingndash 2011 approximately 70 hedge ratio at approximately EUR 45MWh(Q1 70 at EUR 44MWh)ndash 2012 approximately 50 hedge ratio at approximately EUR 46MWh(Q1 45 at EUR 45MWh)
30
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007 2008 2009 2010 2011 20120
10
20
30
40
50
60
70
80
90
100
110Spot prices Forward prices
3131
CO2 -free and energy-efficient solutions important
Create solid earnings growth in Russia
Leverage the strong Nordic core
Build platform for future growth
Competence in CO2 -free hydro nuclear and energy efficient CHP production and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -Fortumrsquos strategy remains intact
32
19 July 2011
Fortum Corporation
Interim Report
January-June 2011
Disclaimer
This presentation does not constitute an invitation to underwrite subscribe for or otherwise acquire or dispose of any Fortum shares
Past performance is no guide to future performance and persons needing advice should consult an independent financial adviser
Highlights in Q2
Increased uncertainty in macro environment
GLOBAL
- Incident in Fukushima in Japan
Finland
- No new decisions-in-principle on nuclear power in four years
- The new Governmentrsquos policy framework includes a possible implementation of a windfall tax and a uranium tax
Germany
- To be replaced by renewable energy
Q2 Market conditions
Nordic water reservoirs
Source Nord Pool Spot
Q1
Q2
Q3
Q4
2003
2008
2009
2011
2010
reference level
reservoir content (TWh)
0
20
40
60
80
100
120
Price development in the Nordic region and Russia
Includes capacity income
+17
+6
+24
+13
Q2 Good development continued
Q2 Comparable profit at last yearrsquos level
Comparable operating profit EUR million
-6
7
30
-14
348
339
0
-8
Power
Q22010
Heat
Russia
Distribution
Electricity
Sales
Other
Q22011
January-June Comparable profit at last yearrsquos level
Comparable operating profit EUR million
31
24
990
997
-113
48
29
-12
Power
H12010
Heat
Russia
Distribution
Electricity
Sales
Other
H12011
Fortum a forerunner in sustainability
Financials
Comparable and reported operating profit
Power
Q2 Power
Nuclear output in Q2
Planned outages in Oskarshamn 1amp3 and Forsmark 1 in Q22011
(In 2010 no outages in Q2)
If timing would have been similar in 2011 compared to 2010 nuclear output would have exceeded 2010 levels during Q2
Improved availability in Sweden
Q2 2011
Q2 2010
Nuclear
Outage effect
TWh
Q2 Power result declined due to several reasons
Comparable operating profit EUR million
257
-3
-4
0
271
3
-10
Volume
amp price
Q22010
Stronger
SEK
Russian
import
Property
taxes
Other
Q22011
Heat
Q2 Heat
Russia
Q2 Russia
Distribution
Q2 Distribution
Markets
Q2 Electricity Sales
Q2 Income statement
Q2 Cash flow statement
Key ratios
Q2 lsquo11
Debt maturity profile
per 30 June 2011 per 31 Dec 2010
Average interest rate (incl swaps and forwards)4435
Portion of floating fixed debt 47 53 49 51
Strong financial position
Return on capital employed
12
Return on shareholders equity
14
Net debtEBITDA
around 30
138
191
28
Fortumrsquos financial targets
LTM in Q22011
Good liquidity ndash committed credit lines total EUR 27 billion
Comparable net debtEBITDA
Outlook
Q2 Summary
Outlook
Outlook
(Q1 70 at EUR 44MWh)
(Q1 45 at EUR 45MWh)
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007
2008
2009
2010
2011
2012
0
10
20
30
40
50
60
70
80
90
100
110
Spot prices
Forward prices
CO2-free and energy-efficient solutions important
Create solid earnings
growth in Russia
Leverage the strong
Nordic core
Build platform for
future growth
Competence in CO2-free hydro nuclear and energy efficient CHP production
and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -
Fortumrsquos strategy remains intact
MEURII2011II2010I-II2011I-II2010LTM
Sales1833275569641 390
Comparable operating profit101021-335
Net Assets7759
Comparable RONA 341
Gross Investments10404
MEURII2011II2010I-II2011I-II2010LTM
Sales2152005264801 009
Comparable operating profit6053184155336
Net Assets3 4873 482
Comparable RONA 99
Gross Investments62479676233
0
250
500
750
1000
1250
1500
1750
20112012201320142015201620172018201920202021+
BondsFinancial institutionsOther long-term debtCPsOther short-term debt
MEURII2011II2010I-II2011I-II2010LTM
Sales195169490413881
Comparable operating profit21-955756
Net Assets3 0512 690
Comparable RONA 34
Gross Investments192167267258608
MEURII2011II2010I-II2011I-II2010LTM
Sales5745971 2671 3662 603
Comparable operating profit2572715826951 185
Net Assets5 9985 726
Comparable RONA 198
Gross Investments36226955136
MEURII2011II2010I-II2011I-II20102010LTM
Sales1 316
1 2953 3503 2426 296
6 404
Expenses-968-956-2 353-2 252-4 463-4 564
Comparable operating profit3483399979901 8331 840
Other items affecting comparability2611251285-125302
Operating profit6093511 5091 0751 7082 142
Share of profit of associates and jvs1515743162105
Financial expenses net-72-34-127-61-155-221
Profit before taxes5523321 4561 0451 6152 026
Income tax expense-74-61-232-191-261-302
Net profit for the period4782711 2248541 3541 724
Non-controlling interests6874325496
EPS basic (EUR)053030129093146183
EPS diluted (EUR)053030129093146183
Spot price for power in NordPool power exchange
448
459
662
523
621
0
12
24
36
48
60
72
Q22010Q32010Q42010Q12011Q22011
eurMWh
Powers Nordic power price
447
469
488
479
474
0
10
20
30
40
50
60
Q22010Q32010Q42010Q12011Q22011
eurMWh
MEURII2011II2010I-II2011I-II20102010LTM
Operating profit before depreciations7644901 8131 3512 2712 733
Non-cash flow items and divesting activities
-299-6-569-73124-372
Financial items and fx gainslosses
12-146-290-323-641-608
Taxes
-144-73-258-155-355-458
Funds from operations (FFO)
3332656968001 3991 295
Change in working capital
771571681433863
Total net cash from operating activities4104228649431 4371 358
Paid capital expenditures-297-263-503-486-1 134-1 151
Acquisition of shares-1-1-20-1-28-47
Other investing activities331-165417260529
Cash flow before financing activities443142882528335689
MEURII2011II2010I-II2011I-II2010LTM
Sales3223011 0479521 865
Comparable operating profit2533196165306
Net Assets3 9113 884
Comparable RONA 82
Gross Investments7259130121314
MEUR
II2011II2010II2011II2010I-II2011I-II2010I-II2011I-II2010
Power257271271280582695760747
Heat25332535196165290194
Russia21-921-95575523
Distribution605325253184155377166
Electricity Sales1010232321-33-6
Other-25-1917-31-41-2924-49
Total3483396093519979901 5091 075
Comparable operating profit
Reported operating profit
Comparable operating profit
Reported operating profit
Spot price for power (market price) Urals hub
770
935
817
950
954
0
200
400
600
800
1 000
1 200
Q22010Q32010Q42010Q12011Q22011
RUBMWh
Achieved power price for OAO Fortum
256
288
305
292
290
0
6
12
18
24
30
36
Q22010Q32010Q42010Q12011Q22011
eurMWh
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
MEURLTM20102009
EBITDA2 7332 2712 292
Comparable EBITDA2 4312 3962 398
Interest-bearing net debt6 7836 8265 969
Net debtEBITDA253026
Comparable Net debtEBITDA282825
Return on capital employed ()138116121
Return on shareholders equity ()191157160
) as of 30 June 2011
MEUR | |||
2011 | 231 | ||
2012 | 668 | ||
2013 | 639 | ||
2014 | 1223 | ||
2015 | 1051 | ||
2016 | 879 | ||
2017 | 270 | ||
2018 | 190 | ||
2019 | 840 | ||
2020 | 73 | ||
2021+ | 1530 |
MEUR | LTM | 2010 | 2009 | 2008 | 2006 | 2005 | |||||||
EBITDA | 2733 | 2271 | 2292 | 2478 | 1884 | ||||||||
Comparable EBITDA | 2431 | 2396 | 2398 | 1151 | 1271 | ||||||||
Interest-bearing net debt | 6 783 | 6826 | 5969 | 6179 | 4345 | 3158 | |||||||
Net debtEBITDA | 25 | 30 | 26 | 25 | 8161 | ||||||||
Comparable Net debtEBITDA | 28 | 28 | 25 | 16839 | 15130 | ||||||||
23 | 18 | ||||||||||||
Return on capital employed () | 138 | 116 | 121 | 150 | 134 | 135 | |||||||
Return on shareholders equity () | 191 | 157 | 160 | 187 | 144 | 135 | |||||||
) as of 30 June 2011 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | |||||||||||
Operating profit before depreciations | 764 | 490 | 1813 | 1351 | 2271 | 2733 | 2478 | 1663 | 2370 | 0 | |||||||||||
Non-cash flow items and divesting activities | -299 | -6 | -569 | -73 | 124 | -372 | -275 | -268 | -56 | 0 | |||||||||||
Financial items and fx gainslosses | 12 | -146 | -290 | -323 | -641 | -608 | 233 | ||||||||||||||
Taxes | -144 | -73 | -258 | -155 | -355 | -458 | -332 | -231 | -534 | 0 | |||||||||||
Funds from operations (FFO) | 333 | 265 | 696 | 800 | 1399 | 1295 | 2104 | 1164 | 1780 | 0 | |||||||||||
Change in working capital | 77 | 157 | 168 | 143 | 38 | 63 | -102 | 161 | 5 | 0 | |||||||||||
Total net cash from operating activities | 410 | 422 | 864 | 943 | 1437 | 1358 | 2002 | 1325 | 1785 | 0 | |||||||||||
Paid capital expenditures | -297 | -263 | -503 | -486 | -1134 | -1151 | -1018 | -341 | -931 | 0 | |||||||||||
Acquisition of shares | -1 | -1 | -20 | -1 | -28 | -47 | -1243 | -257 | -1243 | 0 | |||||||||||
Other investing activities | 331 | -16 | 541 | 72 | 60 | 529 | -21 | 258 | -34 | 0 | |||||||||||
Cash flow before financing activities | 443 | 142 | 882 | 528 | 335 | 689 | -280 | 985 | -423 | 0 |
MEUR | Q1-Q300 | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | 2004 | ||||||||||||||||||
Sales | 7732 | 1316 | 1295 | 3350 | 3242 | 6296 | 6404 | 5636 | 3159 | 5354 | 0 | 3835 | ||||||||||||||||||
Expenses | -7109 | -968 | -956 | -2353 | -2252 | -4463 | -4564 | -3673 | -1832 | -3482 | 0 | -2640 | ||||||||||||||||||
Comparable operating profit | 623 | 348 | 339 | 997 | 990 | 1833 | 1840 | 1963 | 1327 | 1872 | 0 | 1195 | ||||||||||||||||||
Other items affecting comparability | 261 | 12 | 512 | 85 | -125 | 302 | ||||||||||||||||||||||||
Operating profit | 609 | 351 | 1509 | 1075 | 1708 | 2142 | ||||||||||||||||||||||||
Share of profit of associates and jvs | 15 | 15 | 74 | 31 | 62 | 105 | 126 | 223 | 96 | 0 | 12 | |||||||||||||||||||
Financial expenses net | -209 | -72 | -34 | -127 | -61 | -155 | -221 | -239 | -117 | -222 | 0 | -245 | ||||||||||||||||||
Profit before taxes | 0 | 552 | 332 | 1456 | 1045 | 1615 | 2026 | 1850 | 1433 | 1746 | 0 | 0 | ||||||||||||||||||
Income tax expense | -83 | -74 | -61 | -232 | -191 | -261 | -302 | -254 | -218 | -364 | 0 | -259 | ||||||||||||||||||
Net profit for the period | -26 | 478 | 271 | 1224 | 854 | 1354 | 1724 | 1596 | 1215 | 1382 | 0 | 0 | ||||||||||||||||||
Non-controlling interests | 6 | 8 | 74 | 32 | 54 | 96 | 54 | 31 | 35 | 0 | 33 | |||||||||||||||||||
EPS basic (EUR) | 039 | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 148 | ||||||||||||||||||
EPS diluted (EUR) | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 079 | |||||||||||||||||||
069 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 183 | 327 | 556 | 964 | 1390 | |||||||
Comparable operating profit | 10 | 10 | 21 | -3 | 35 | |||||||
Net Assets | 77 | 59 | ||||||||||
Comparable RONA | 341 | |||||||||||
Gross Investments | 1 | 0 | 4 | 0 | 4 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 215 | 200 | 526 | 480 | 1009 | |||||||
Comparable operating profit | 60 | 53 | 184 | 155 | 336 | |||||||
Net Assets | 3487 | 3482 | ||||||||||
Comparable RONA | 99 | |||||||||||
Gross Investments | 62 | 47 | 96 | 76 | 233 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 195 | 169 | 490 | 413 | 881 | |||||||
Comparable operating profit | 21 | -9 | 55 | 7 | 56 | |||||||
Net Assets | 3051 | 2690 | ||||||||||
Comparable RONA | 34 | |||||||||||
Gross Investments | 192 | 167 | 267 | 258 | 608 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 322 | 301 | 1047 | 952 | 1865 | |||||||
Comparable operating profit | 25 | 33 | 196 | 165 | 306 | |||||||
Net Assets | 3911 | 3884 | ||||||||||
Comparable RONA | 82 | |||||||||||
Gross Investments | 72 | 59 | 130 | 121 | 314 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 574 | 597 | 1267 | 1366 | 2603 | |||||||
Comparable operating profit | 257 | 271 | 582 | 695 | 1185 | |||||||
Net Assets | 5998 | 5726 | ||||||||||
Comparable RONA | 198 | |||||||||||
Gross Investments | 36 | 22 | 69 | 55 | 136 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Roumlrelseresultat II2009 | Roumlrelseresultat II2008 | Liikevoitto 2008 | Liikevoitto 2007 | |||||||||||||||||||||||
Jaumlmfoumlrbart | Rapporterat | Jaumlmfoumlrbart | Rapporterat | Vertkelp | Raportoitu | Vertkelp | Raportoitu | |||||||||||||||||||
Kraftproduktion | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Vaumlrme | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Markets | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Ryssland | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Oumlvrigt | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Summa | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Liikevoitto II2010 | Liikevoitto II2009 | Liikevoitto I-II2010 | Liikevoitto I-II2009 | |||||||||||||||||||||||
Vertkelp | Raportoitu | Vertkelp | Raportoitu | Vertkelp | Raportoitu | Vertkelp | Raportoitu | |||||||||||||||||||
Power | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Heat | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Saumlhkoumlnmyynti | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Russia | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Muut | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Yhteensauml | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 | ||||||||||||||||||
I-III2009 | ||||||||||||||||||||||||||
SEK | Muut | Yhteensauml | ||||||||||||||||||||||||
Saumlhkoumlntuotanto | -67 | -3 | -70 | |||||||||||||||||||||||
Laumlmpouml | -10 | -2 | -12 | |||||||||||||||||||||||
Saumlhkoumlnsiirto | -13 | -1 | -14 | |||||||||||||||||||||||
Markets | -1 | -1 | -2 | |||||||||||||||||||||||
Venaumljauml | 0 | 6 | 6 | |||||||||||||||||||||||
Muu | 0 | 1 | 1 | |||||||||||||||||||||||
Yhteensauml | -91 | 0 | -91 |
Operating profit II2010 | Operating profit II2009 | Operating profit I-II2010 | Operating profit I-2009 | |||||||||||||||||||||||
Comparable | Reported | Comparable | Reported | Comparable | Reported | Comparable | Reported | |||||||||||||||||||
Power | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Heat | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Electricity Sales | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Russia | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Other | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Total | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 | ||||||||||||||||||
Currency translation effects on comparable operating profit | ||||||||||||||||||||||||||
I2009 | I-III2009 | |||||||||||||||||||||||||
SEK | Other | Total | SEK | Other | Total | |||||||||||||||||||||
Power Generation | -55 | -3 | -58 | Power Generation | -67 | -3 | -70 | |||||||||||||||||||
Heat | -12 | -3 | -15 | Heat | -10 | -2 | -12 | |||||||||||||||||||
Distribution | -11 | -1 | -12 | Distribution | -13 | -1 | -14 | |||||||||||||||||||
Markets | -1 | 0 | -1 | Markets | -1 | -1 | -2 | |||||||||||||||||||
Russia | 0 | 1 | 1 | Russia | 0 | 6 | 6 | |||||||||||||||||||
Other | 1 | 0 | 1 | Other | 0 | 1 | 1 | |||||||||||||||||||
Total | -78 | -6 | -84 | Total | -91 | 0 | -91 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Vertkelpliikevoitto | Raportoitu liikevoitto | Vertkelpliikevoitto | Raportoitu liikevoitto | |||||||||||||||||||||||
II2010 | II2009 | II2010 | II2009 | I-II2010 | I-II2009 | I-II2010 | I-II2009 | |||||||||||||||||||
Power | 257 | 271 | 271 | 280 | 582 | 695 | 760 | 747 | ||||||||||||||||||
Heat | 25 | 33 | 25 | 35 | 196 | 165 | 290 | 194 | ||||||||||||||||||
Distribution | 21 | -9 | 21 | -9 | 55 | 7 | 55 | 23 | ||||||||||||||||||
Saumlhkoumlnmyynti | 60 | 53 | 252 | 53 | 184 | 155 | 377 | 166 | ||||||||||||||||||
Russia | 10 | 10 | 23 | 23 | 21 | -3 | 3 | -6 | ||||||||||||||||||
Muut | -25 | -19 | 17 | -31 | -41 | -29 | 24 | -49 | ||||||||||||||||||
Yhteensauml | 348 | 339 | 609 | 351 | 997 | 990 | 1509 | 1075 | ||||||||||||||||||
I-III2009 | ||||||||||||||||||||||||||
SEK | Muut | Yhteensauml | ||||||||||||||||||||||||
Saumlhkoumlntuotanto | -67 | -3 | -70 | |||||||||||||||||||||||
Laumlmpouml | -10 | -2 | -12 | |||||||||||||||||||||||
Saumlhkoumlnsiirto | -13 | -1 | -14 | |||||||||||||||||||||||
Markets | -1 | -1 | -2 | |||||||||||||||||||||||
Venaumljauml | 0 | 6 | 6 | |||||||||||||||||||||||
Muu | 0 | 1 | 1 | |||||||||||||||||||||||
Yhteensauml | -91 | 0 | -91 |
MEUR | Comparable operating profit | Reported operating profit | Comparable operating profit | Reported operating profit | ||||||||||||||||||||||
II2011 | II2010 | II2011 | II2010 | I-II2011 | I-II2010 | I-II2011 | I-II2010 | |||||||||||||||||||
Power | 257 | 271 | 271 | 280 | 582 | 695 | 760 | 747 | ||||||||||||||||||
Heat | 25 | 33 | 25 | 35 | 196 | 165 | 290 | 194 | ||||||||||||||||||
Russia | 21 | -9 | 21 | -9 | 55 | 7 | 55 | 23 | ||||||||||||||||||
Distribution | 60 | 53 | 252 | 53 | 184 | 155 | 377 | 166 | ||||||||||||||||||
Electricity Sales | 10 | 10 | 23 | 23 | 21 | -3 | 3 | -6 | ||||||||||||||||||
Other | -25 | -19 | 17 | -31 | -41 | -29 | 24 | -49 | ||||||||||||||||||
Total | 348 | 339 | 609 | 351 | 997 | 990 | 1509 | 1075 | ||||||||||||||||||
Currency translation effects on comparable operating profit | ||||||||||||||||||||||||||
I2009 | I-III2009 | |||||||||||||||||||||||||
SEK | Other | Total | SEK | Other | Total | |||||||||||||||||||||
Power Generation | -55 | -3 | -58 | Power Generation | -67 | -3 | -70 | |||||||||||||||||||
Heat | -12 | -3 | -15 | Heat | -10 | -2 | -12 | |||||||||||||||||||
Distribution | -11 | -1 | -12 | Distribution | -13 | -1 | -14 | |||||||||||||||||||
Markets | -1 | 0 | -1 | Markets | -1 | -1 | -2 | |||||||||||||||||||
Russia | 0 | 1 | 1 | Russia | 0 | 6 | 6 | |||||||||||||||||||
Other | 1 | 0 | 1 | Other | 0 | 1 | 1 | |||||||||||||||||||
Total | -78 | -6 | -84 | Total | -91 | 0 | -91 |
20
Markets
MEUR II2011 II2010 I-II2011 I-II2010 LTM
Sales 183 327 556 964 1 390
Comparable operating profit 10 10 21 -3 35
Net Assets 77 59
Comparable RONA 341
Gross Investments 1 0 4 0 4
Q2 Electricity Sales
bull Comparable operating profit at last yearrsquos levelndash Tough competitionndash Restructuring of the Business Market segment
21
MEUR II2011 II2010 I-II2011 I-II2010 2010 LTM
Sales 1 316 1 295 3 350 3 242 6 296 6 404Expenses -968 -956 -2 353 -2 252 -4 463 -4 564
Comparable operating profit 348 339 997 990 1 833 1 840
Other items affecting comparability 261 12 512 85 -125 302
Operating profit 609 351 1 509 1 075 1 708 2 142Share of profit of associates and jvs 15 15 74 31 62 105Financial expenses net -72 -34 -127 -61 -155 -221
Profit before taxes 552 332 1 456 1 045 1 615 2 026Income tax expense -74 -61 -232 -191 -261 -302
Net profit for the period 478 271 1 224 854 1 354 1 724Non-controlling interests 6 8 74 32 54 96
EPS basic (EUR) 053 030 129 093 146 183EPS diluted (EUR) 053 030 129 093 146 183
Q2 Income statement
22
Q2 Cash flow statement
MEUR II2011 II2010 I-II2011 I-II2010 2010 LTM
Operating profit before depreciations 764 490 1 813 1 351 2 271 2 733
Non-cash flow items and divesting activities -299 -6 -569 -73 124 -372
Financial items and fx gainslosses 12 -146 -290 -323 -641 -608
Taxes -144 -73 -258 -155 -355 -458
Funds from operations (FFO) 333 265 696 800 1 399 1 295
Change in working capital 77 157 168 143 38 63
Total net cash from operating activities 410 422 864 943 1 437 1 358
Paid capital expenditures -297 -263 -503 -486 -1 134 -1 151
Acquisition of shares -1 -1 -20 -1 -28 -47
Other investing activities 331 -16 541 72 60 529
Cash flow before financing activities 443 142 882 528 335 689
23
MEUR LTM 2010 2009EBITDA 2 733 2 271 2 292Comparable EBITDA 2 431 2 396 2 398Interest-bearing net debt 6 783 6 826 5 969Net debtEBITDA 25 30 26Comparable Net debtEBITDA 28 28 25
Return on capital employed () 138 116 121Return on shareholders equity () 191 157 160
) as of 30 June 2011
Key ratios
Q2 lsquo11
24
Debt maturity profile
0
250
500
750
1000
1250
1500
1750
2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021+
Bonds Financial institutions Other long-term debt CPs Other short-term debt
MEUR
2011 231
2012 668
2013 639
2014 1223
2015 1051
2016 879
2017 270
2018 190
2019 840
2020 73
2021+ 1530
per 30 June 2011 per 31 Dec 2010
Average interest rate (incl swaps and forwards) 44 35Portion of floating fixed debt 47 53 49 51
25
Strong financial position
Return on capital employed12
Return on shareholders equity14
Net debtEBITDAaround 30
138
191
28
Fortumrsquos financial targets LTM in Q22011
Good liquidity ndash committed credit lines total EUR 27 billion
Comparable net debtEBITDA
26
Outlook
27
Q2 Summary
bull Solid performance continued - seasonalitybull Power
ndash Improved nuclear availability- timing of Swedish planned nuclear outages impacted volume
ndash Swedish nuclear back at 80-85 in availabilityndash Lower hydro volumes ndash water reservoirs improved at the end of the quarterndash SEK burdenedndash Results year-end weighted compared to 2010
bull Russiandash Commissioning of new units contributed to result improvementndash The return for the new capacity is guaranteed ndash EUR 100 million efficiency improvement reached
bull Nordic countriesndash Water reservoirs improved to long-term average
bull Overall strong financial position
28
Outlook
bull Key drivers and risksndash Wholesale price of electricity
bull Demandbull Fuelsbull CO2 emissions pricesbull Water reservoirsbull Nuclear availability
bull Nordic marketsndash Market continues to recover ndash 2008 level to be reached by 2012-2014ndash Electricity continues to gain share of total energy consumption
bull Russiandash Wholesale market liberalisedndash Profits from Russia build up in pace with the capacity increases
29
Outlook
bull Capex (excluding potential acquisitions)ndash 2011-2012 around EUR 16 to 18 billion annually (mainly due to Russian
investment programme)ndash 2013-2014 around EUR 11 to 14 billion annuallyndash Disclosed divestments totalled approximately EUR 05 billion
bull Hedgingndash 2011 approximately 70 hedge ratio at approximately EUR 45MWh(Q1 70 at EUR 44MWh)ndash 2012 approximately 50 hedge ratio at approximately EUR 46MWh(Q1 45 at EUR 45MWh)
30
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007 2008 2009 2010 2011 20120
10
20
30
40
50
60
70
80
90
100
110Spot prices Forward prices
3131
CO2 -free and energy-efficient solutions important
Create solid earnings growth in Russia
Leverage the strong Nordic core
Build platform for future growth
Competence in CO2 -free hydro nuclear and energy efficient CHP production and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -Fortumrsquos strategy remains intact
32
19 July 2011
Fortum Corporation
Interim Report
January-June 2011
Disclaimer
This presentation does not constitute an invitation to underwrite subscribe for or otherwise acquire or dispose of any Fortum shares
Past performance is no guide to future performance and persons needing advice should consult an independent financial adviser
Highlights in Q2
Increased uncertainty in macro environment
GLOBAL
- Incident in Fukushima in Japan
Finland
- No new decisions-in-principle on nuclear power in four years
- The new Governmentrsquos policy framework includes a possible implementation of a windfall tax and a uranium tax
Germany
- To be replaced by renewable energy
Q2 Market conditions
Nordic water reservoirs
Source Nord Pool Spot
Q1
Q2
Q3
Q4
2003
2008
2009
2011
2010
reference level
reservoir content (TWh)
0
20
40
60
80
100
120
Price development in the Nordic region and Russia
Includes capacity income
+17
+6
+24
+13
Q2 Good development continued
Q2 Comparable profit at last yearrsquos level
Comparable operating profit EUR million
-6
7
30
-14
348
339
0
-8
Power
Q22010
Heat
Russia
Distribution
Electricity
Sales
Other
Q22011
January-June Comparable profit at last yearrsquos level
Comparable operating profit EUR million
31
24
990
997
-113
48
29
-12
Power
H12010
Heat
Russia
Distribution
Electricity
Sales
Other
H12011
Fortum a forerunner in sustainability
Financials
Comparable and reported operating profit
Power
Q2 Power
Nuclear output in Q2
Planned outages in Oskarshamn 1amp3 and Forsmark 1 in Q22011
(In 2010 no outages in Q2)
If timing would have been similar in 2011 compared to 2010 nuclear output would have exceeded 2010 levels during Q2
Improved availability in Sweden
Q2 2011
Q2 2010
Nuclear
Outage effect
TWh
Q2 Power result declined due to several reasons
Comparable operating profit EUR million
257
-3
-4
0
271
3
-10
Volume
amp price
Q22010
Stronger
SEK
Russian
import
Property
taxes
Other
Q22011
Heat
Q2 Heat
Russia
Q2 Russia
Distribution
Q2 Distribution
Markets
Q2 Electricity Sales
Q2 Income statement
Q2 Cash flow statement
Key ratios
Q2 lsquo11
Debt maturity profile
per 30 June 2011 per 31 Dec 2010
Average interest rate (incl swaps and forwards)4435
Portion of floating fixed debt 47 53 49 51
Strong financial position
Return on capital employed
12
Return on shareholders equity
14
Net debtEBITDA
around 30
138
191
28
Fortumrsquos financial targets
LTM in Q22011
Good liquidity ndash committed credit lines total EUR 27 billion
Comparable net debtEBITDA
Outlook
Q2 Summary
Outlook
Outlook
(Q1 70 at EUR 44MWh)
(Q1 45 at EUR 45MWh)
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007
2008
2009
2010
2011
2012
0
10
20
30
40
50
60
70
80
90
100
110
Spot prices
Forward prices
CO2-free and energy-efficient solutions important
Create solid earnings
growth in Russia
Leverage the strong
Nordic core
Build platform for
future growth
Competence in CO2-free hydro nuclear and energy efficient CHP production
and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -
Fortumrsquos strategy remains intact
MEURII2011II2010I-II2011I-II2010LTM
Sales1833275569641 390
Comparable operating profit101021-335
Net Assets7759
Comparable RONA 341
Gross Investments10404
MEURII2011II2010I-II2011I-II2010LTM
Sales2152005264801 009
Comparable operating profit6053184155336
Net Assets3 4873 482
Comparable RONA 99
Gross Investments62479676233
0
250
500
750
1000
1250
1500
1750
20112012201320142015201620172018201920202021+
BondsFinancial institutionsOther long-term debtCPsOther short-term debt
MEURII2011II2010I-II2011I-II2010LTM
Sales195169490413881
Comparable operating profit21-955756
Net Assets3 0512 690
Comparable RONA 34
Gross Investments192167267258608
MEURII2011II2010I-II2011I-II2010LTM
Sales5745971 2671 3662 603
Comparable operating profit2572715826951 185
Net Assets5 9985 726
Comparable RONA 198
Gross Investments36226955136
MEURII2011II2010I-II2011I-II20102010LTM
Sales1 316
1 2953 3503 2426 296
6 404
Expenses-968-956-2 353-2 252-4 463-4 564
Comparable operating profit3483399979901 8331 840
Other items affecting comparability2611251285-125302
Operating profit6093511 5091 0751 7082 142
Share of profit of associates and jvs1515743162105
Financial expenses net-72-34-127-61-155-221
Profit before taxes5523321 4561 0451 6152 026
Income tax expense-74-61-232-191-261-302
Net profit for the period4782711 2248541 3541 724
Non-controlling interests6874325496
EPS basic (EUR)053030129093146183
EPS diluted (EUR)053030129093146183
Spot price for power in NordPool power exchange
448
459
662
523
621
0
12
24
36
48
60
72
Q22010Q32010Q42010Q12011Q22011
eurMWh
Powers Nordic power price
447
469
488
479
474
0
10
20
30
40
50
60
Q22010Q32010Q42010Q12011Q22011
eurMWh
MEURII2011II2010I-II2011I-II20102010LTM
Operating profit before depreciations7644901 8131 3512 2712 733
Non-cash flow items and divesting activities
-299-6-569-73124-372
Financial items and fx gainslosses
12-146-290-323-641-608
Taxes
-144-73-258-155-355-458
Funds from operations (FFO)
3332656968001 3991 295
Change in working capital
771571681433863
Total net cash from operating activities4104228649431 4371 358
Paid capital expenditures-297-263-503-486-1 134-1 151
Acquisition of shares-1-1-20-1-28-47
Other investing activities331-165417260529
Cash flow before financing activities443142882528335689
MEURII2011II2010I-II2011I-II2010LTM
Sales3223011 0479521 865
Comparable operating profit2533196165306
Net Assets3 9113 884
Comparable RONA 82
Gross Investments7259130121314
MEUR
II2011II2010II2011II2010I-II2011I-II2010I-II2011I-II2010
Power257271271280582695760747
Heat25332535196165290194
Russia21-921-95575523
Distribution605325253184155377166
Electricity Sales1010232321-33-6
Other-25-1917-31-41-2924-49
Total3483396093519979901 5091 075
Comparable operating profit
Reported operating profit
Comparable operating profit
Reported operating profit
Spot price for power (market price) Urals hub
770
935
817
950
954
0
200
400
600
800
1 000
1 200
Q22010Q32010Q42010Q12011Q22011
RUBMWh
Achieved power price for OAO Fortum
256
288
305
292
290
0
6
12
18
24
30
36
Q22010Q32010Q42010Q12011Q22011
eurMWh
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
MEURLTM20102009
EBITDA2 7332 2712 292
Comparable EBITDA2 4312 3962 398
Interest-bearing net debt6 7836 8265 969
Net debtEBITDA253026
Comparable Net debtEBITDA282825
Return on capital employed ()138116121
Return on shareholders equity ()191157160
) as of 30 June 2011
MEUR | |||
2011 | 231 | ||
2012 | 668 | ||
2013 | 639 | ||
2014 | 1223 | ||
2015 | 1051 | ||
2016 | 879 | ||
2017 | 270 | ||
2018 | 190 | ||
2019 | 840 | ||
2020 | 73 | ||
2021+ | 1530 |
MEUR | LTM | 2010 | 2009 | 2008 | 2006 | 2005 | |||||||
EBITDA | 2733 | 2271 | 2292 | 2478 | 1884 | ||||||||
Comparable EBITDA | 2431 | 2396 | 2398 | 1151 | 1271 | ||||||||
Interest-bearing net debt | 6 783 | 6826 | 5969 | 6179 | 4345 | 3158 | |||||||
Net debtEBITDA | 25 | 30 | 26 | 25 | 8161 | ||||||||
Comparable Net debtEBITDA | 28 | 28 | 25 | 16839 | 15130 | ||||||||
23 | 18 | ||||||||||||
Return on capital employed () | 138 | 116 | 121 | 150 | 134 | 135 | |||||||
Return on shareholders equity () | 191 | 157 | 160 | 187 | 144 | 135 | |||||||
) as of 30 June 2011 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | |||||||||||
Operating profit before depreciations | 764 | 490 | 1813 | 1351 | 2271 | 2733 | 2478 | 1663 | 2370 | 0 | |||||||||||
Non-cash flow items and divesting activities | -299 | -6 | -569 | -73 | 124 | -372 | -275 | -268 | -56 | 0 | |||||||||||
Financial items and fx gainslosses | 12 | -146 | -290 | -323 | -641 | -608 | 233 | ||||||||||||||
Taxes | -144 | -73 | -258 | -155 | -355 | -458 | -332 | -231 | -534 | 0 | |||||||||||
Funds from operations (FFO) | 333 | 265 | 696 | 800 | 1399 | 1295 | 2104 | 1164 | 1780 | 0 | |||||||||||
Change in working capital | 77 | 157 | 168 | 143 | 38 | 63 | -102 | 161 | 5 | 0 | |||||||||||
Total net cash from operating activities | 410 | 422 | 864 | 943 | 1437 | 1358 | 2002 | 1325 | 1785 | 0 | |||||||||||
Paid capital expenditures | -297 | -263 | -503 | -486 | -1134 | -1151 | -1018 | -341 | -931 | 0 | |||||||||||
Acquisition of shares | -1 | -1 | -20 | -1 | -28 | -47 | -1243 | -257 | -1243 | 0 | |||||||||||
Other investing activities | 331 | -16 | 541 | 72 | 60 | 529 | -21 | 258 | -34 | 0 | |||||||||||
Cash flow before financing activities | 443 | 142 | 882 | 528 | 335 | 689 | -280 | 985 | -423 | 0 |
MEUR | Q1-Q300 | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | 2004 | ||||||||||||||||||
Sales | 7732 | 1316 | 1295 | 3350 | 3242 | 6296 | 6404 | 5636 | 3159 | 5354 | 0 | 3835 | ||||||||||||||||||
Expenses | -7109 | -968 | -956 | -2353 | -2252 | -4463 | -4564 | -3673 | -1832 | -3482 | 0 | -2640 | ||||||||||||||||||
Comparable operating profit | 623 | 348 | 339 | 997 | 990 | 1833 | 1840 | 1963 | 1327 | 1872 | 0 | 1195 | ||||||||||||||||||
Other items affecting comparability | 261 | 12 | 512 | 85 | -125 | 302 | ||||||||||||||||||||||||
Operating profit | 609 | 351 | 1509 | 1075 | 1708 | 2142 | ||||||||||||||||||||||||
Share of profit of associates and jvs | 15 | 15 | 74 | 31 | 62 | 105 | 126 | 223 | 96 | 0 | 12 | |||||||||||||||||||
Financial expenses net | -209 | -72 | -34 | -127 | -61 | -155 | -221 | -239 | -117 | -222 | 0 | -245 | ||||||||||||||||||
Profit before taxes | 0 | 552 | 332 | 1456 | 1045 | 1615 | 2026 | 1850 | 1433 | 1746 | 0 | 0 | ||||||||||||||||||
Income tax expense | -83 | -74 | -61 | -232 | -191 | -261 | -302 | -254 | -218 | -364 | 0 | -259 | ||||||||||||||||||
Net profit for the period | -26 | 478 | 271 | 1224 | 854 | 1354 | 1724 | 1596 | 1215 | 1382 | 0 | 0 | ||||||||||||||||||
Non-controlling interests | 6 | 8 | 74 | 32 | 54 | 96 | 54 | 31 | 35 | 0 | 33 | |||||||||||||||||||
EPS basic (EUR) | 039 | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 148 | ||||||||||||||||||
EPS diluted (EUR) | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 079 | |||||||||||||||||||
069 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 183 | 327 | 556 | 964 | 1390 | |||||||
Comparable operating profit | 10 | 10 | 21 | -3 | 35 | |||||||
Net Assets | 77 | 59 | ||||||||||
Comparable RONA | 341 | |||||||||||
Gross Investments | 1 | 0 | 4 | 0 | 4 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 215 | 200 | 526 | 480 | 1009 | |||||||
Comparable operating profit | 60 | 53 | 184 | 155 | 336 | |||||||
Net Assets | 3487 | 3482 | ||||||||||
Comparable RONA | 99 | |||||||||||
Gross Investments | 62 | 47 | 96 | 76 | 233 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 195 | 169 | 490 | 413 | 881 | |||||||
Comparable operating profit | 21 | -9 | 55 | 7 | 56 | |||||||
Net Assets | 3051 | 2690 | ||||||||||
Comparable RONA | 34 | |||||||||||
Gross Investments | 192 | 167 | 267 | 258 | 608 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 322 | 301 | 1047 | 952 | 1865 | |||||||
Comparable operating profit | 25 | 33 | 196 | 165 | 306 | |||||||
Net Assets | 3911 | 3884 | ||||||||||
Comparable RONA | 82 | |||||||||||
Gross Investments | 72 | 59 | 130 | 121 | 314 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 574 | 597 | 1267 | 1366 | 2603 | |||||||
Comparable operating profit | 257 | 271 | 582 | 695 | 1185 | |||||||
Net Assets | 5998 | 5726 | ||||||||||
Comparable RONA | 198 | |||||||||||
Gross Investments | 36 | 22 | 69 | 55 | 136 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Roumlrelseresultat II2009 | Roumlrelseresultat II2008 | Liikevoitto 2008 | Liikevoitto 2007 | |||||||||||||||||||||||
Jaumlmfoumlrbart | Rapporterat | Jaumlmfoumlrbart | Rapporterat | Vertkelp | Raportoitu | Vertkelp | Raportoitu | |||||||||||||||||||
Kraftproduktion | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Vaumlrme | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Markets | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Ryssland | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Oumlvrigt | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Summa | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Liikevoitto II2010 | Liikevoitto II2009 | Liikevoitto I-II2010 | Liikevoitto I-II2009 | |||||||||||||||||||||||
Vertkelp | Raportoitu | Vertkelp | Raportoitu | Vertkelp | Raportoitu | Vertkelp | Raportoitu | |||||||||||||||||||
Power | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Heat | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Saumlhkoumlnmyynti | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Russia | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Muut | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Yhteensauml | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 | ||||||||||||||||||
I-III2009 | ||||||||||||||||||||||||||
SEK | Muut | Yhteensauml | ||||||||||||||||||||||||
Saumlhkoumlntuotanto | -67 | -3 | -70 | |||||||||||||||||||||||
Laumlmpouml | -10 | -2 | -12 | |||||||||||||||||||||||
Saumlhkoumlnsiirto | -13 | -1 | -14 | |||||||||||||||||||||||
Markets | -1 | -1 | -2 | |||||||||||||||||||||||
Venaumljauml | 0 | 6 | 6 | |||||||||||||||||||||||
Muu | 0 | 1 | 1 | |||||||||||||||||||||||
Yhteensauml | -91 | 0 | -91 |
Operating profit II2010 | Operating profit II2009 | Operating profit I-II2010 | Operating profit I-2009 | |||||||||||||||||||||||
Comparable | Reported | Comparable | Reported | Comparable | Reported | Comparable | Reported | |||||||||||||||||||
Power | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Heat | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Electricity Sales | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Russia | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Other | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Total | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 | ||||||||||||||||||
Currency translation effects on comparable operating profit | ||||||||||||||||||||||||||
I2009 | I-III2009 | |||||||||||||||||||||||||
SEK | Other | Total | SEK | Other | Total | |||||||||||||||||||||
Power Generation | -55 | -3 | -58 | Power Generation | -67 | -3 | -70 | |||||||||||||||||||
Heat | -12 | -3 | -15 | Heat | -10 | -2 | -12 | |||||||||||||||||||
Distribution | -11 | -1 | -12 | Distribution | -13 | -1 | -14 | |||||||||||||||||||
Markets | -1 | 0 | -1 | Markets | -1 | -1 | -2 | |||||||||||||||||||
Russia | 0 | 1 | 1 | Russia | 0 | 6 | 6 | |||||||||||||||||||
Other | 1 | 0 | 1 | Other | 0 | 1 | 1 | |||||||||||||||||||
Total | -78 | -6 | -84 | Total | -91 | 0 | -91 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Vertkelpliikevoitto | Raportoitu liikevoitto | Vertkelpliikevoitto | Raportoitu liikevoitto | |||||||||||||||||||||||
II2010 | II2009 | II2010 | II2009 | I-II2010 | I-II2009 | I-II2010 | I-II2009 | |||||||||||||||||||
Power | 257 | 271 | 271 | 280 | 582 | 695 | 760 | 747 | ||||||||||||||||||
Heat | 25 | 33 | 25 | 35 | 196 | 165 | 290 | 194 | ||||||||||||||||||
Distribution | 21 | -9 | 21 | -9 | 55 | 7 | 55 | 23 | ||||||||||||||||||
Saumlhkoumlnmyynti | 60 | 53 | 252 | 53 | 184 | 155 | 377 | 166 | ||||||||||||||||||
Russia | 10 | 10 | 23 | 23 | 21 | -3 | 3 | -6 | ||||||||||||||||||
Muut | -25 | -19 | 17 | -31 | -41 | -29 | 24 | -49 | ||||||||||||||||||
Yhteensauml | 348 | 339 | 609 | 351 | 997 | 990 | 1509 | 1075 | ||||||||||||||||||
I-III2009 | ||||||||||||||||||||||||||
SEK | Muut | Yhteensauml | ||||||||||||||||||||||||
Saumlhkoumlntuotanto | -67 | -3 | -70 | |||||||||||||||||||||||
Laumlmpouml | -10 | -2 | -12 | |||||||||||||||||||||||
Saumlhkoumlnsiirto | -13 | -1 | -14 | |||||||||||||||||||||||
Markets | -1 | -1 | -2 | |||||||||||||||||||||||
Venaumljauml | 0 | 6 | 6 | |||||||||||||||||||||||
Muu | 0 | 1 | 1 | |||||||||||||||||||||||
Yhteensauml | -91 | 0 | -91 |
MEUR | Comparable operating profit | Reported operating profit | Comparable operating profit | Reported operating profit | ||||||||||||||||||||||
II2011 | II2010 | II2011 | II2010 | I-II2011 | I-II2010 | I-II2011 | I-II2010 | |||||||||||||||||||
Power | 257 | 271 | 271 | 280 | 582 | 695 | 760 | 747 | ||||||||||||||||||
Heat | 25 | 33 | 25 | 35 | 196 | 165 | 290 | 194 | ||||||||||||||||||
Russia | 21 | -9 | 21 | -9 | 55 | 7 | 55 | 23 | ||||||||||||||||||
Distribution | 60 | 53 | 252 | 53 | 184 | 155 | 377 | 166 | ||||||||||||||||||
Electricity Sales | 10 | 10 | 23 | 23 | 21 | -3 | 3 | -6 | ||||||||||||||||||
Other | -25 | -19 | 17 | -31 | -41 | -29 | 24 | -49 | ||||||||||||||||||
Total | 348 | 339 | 609 | 351 | 997 | 990 | 1509 | 1075 | ||||||||||||||||||
Currency translation effects on comparable operating profit | ||||||||||||||||||||||||||
I2009 | I-III2009 | |||||||||||||||||||||||||
SEK | Other | Total | SEK | Other | Total | |||||||||||||||||||||
Power Generation | -55 | -3 | -58 | Power Generation | -67 | -3 | -70 | |||||||||||||||||||
Heat | -12 | -3 | -15 | Heat | -10 | -2 | -12 | |||||||||||||||||||
Distribution | -11 | -1 | -12 | Distribution | -13 | -1 | -14 | |||||||||||||||||||
Markets | -1 | 0 | -1 | Markets | -1 | -1 | -2 | |||||||||||||||||||
Russia | 0 | 1 | 1 | Russia | 0 | 6 | 6 | |||||||||||||||||||
Other | 1 | 0 | 1 | Other | 0 | 1 | 1 | |||||||||||||||||||
Total | -78 | -6 | -84 | Total | -91 | 0 | -91 |
21
MEUR II2011 II2010 I-II2011 I-II2010 2010 LTM
Sales 1 316 1 295 3 350 3 242 6 296 6 404Expenses -968 -956 -2 353 -2 252 -4 463 -4 564
Comparable operating profit 348 339 997 990 1 833 1 840
Other items affecting comparability 261 12 512 85 -125 302
Operating profit 609 351 1 509 1 075 1 708 2 142Share of profit of associates and jvs 15 15 74 31 62 105Financial expenses net -72 -34 -127 -61 -155 -221
Profit before taxes 552 332 1 456 1 045 1 615 2 026Income tax expense -74 -61 -232 -191 -261 -302
Net profit for the period 478 271 1 224 854 1 354 1 724Non-controlling interests 6 8 74 32 54 96
EPS basic (EUR) 053 030 129 093 146 183EPS diluted (EUR) 053 030 129 093 146 183
Q2 Income statement
22
Q2 Cash flow statement
MEUR II2011 II2010 I-II2011 I-II2010 2010 LTM
Operating profit before depreciations 764 490 1 813 1 351 2 271 2 733
Non-cash flow items and divesting activities -299 -6 -569 -73 124 -372
Financial items and fx gainslosses 12 -146 -290 -323 -641 -608
Taxes -144 -73 -258 -155 -355 -458
Funds from operations (FFO) 333 265 696 800 1 399 1 295
Change in working capital 77 157 168 143 38 63
Total net cash from operating activities 410 422 864 943 1 437 1 358
Paid capital expenditures -297 -263 -503 -486 -1 134 -1 151
Acquisition of shares -1 -1 -20 -1 -28 -47
Other investing activities 331 -16 541 72 60 529
Cash flow before financing activities 443 142 882 528 335 689
23
MEUR LTM 2010 2009EBITDA 2 733 2 271 2 292Comparable EBITDA 2 431 2 396 2 398Interest-bearing net debt 6 783 6 826 5 969Net debtEBITDA 25 30 26Comparable Net debtEBITDA 28 28 25
Return on capital employed () 138 116 121Return on shareholders equity () 191 157 160
) as of 30 June 2011
Key ratios
Q2 lsquo11
24
Debt maturity profile
0
250
500
750
1000
1250
1500
1750
2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021+
Bonds Financial institutions Other long-term debt CPs Other short-term debt
MEUR
2011 231
2012 668
2013 639
2014 1223
2015 1051
2016 879
2017 270
2018 190
2019 840
2020 73
2021+ 1530
per 30 June 2011 per 31 Dec 2010
Average interest rate (incl swaps and forwards) 44 35Portion of floating fixed debt 47 53 49 51
25
Strong financial position
Return on capital employed12
Return on shareholders equity14
Net debtEBITDAaround 30
138
191
28
Fortumrsquos financial targets LTM in Q22011
Good liquidity ndash committed credit lines total EUR 27 billion
Comparable net debtEBITDA
26
Outlook
27
Q2 Summary
bull Solid performance continued - seasonalitybull Power
ndash Improved nuclear availability- timing of Swedish planned nuclear outages impacted volume
ndash Swedish nuclear back at 80-85 in availabilityndash Lower hydro volumes ndash water reservoirs improved at the end of the quarterndash SEK burdenedndash Results year-end weighted compared to 2010
bull Russiandash Commissioning of new units contributed to result improvementndash The return for the new capacity is guaranteed ndash EUR 100 million efficiency improvement reached
bull Nordic countriesndash Water reservoirs improved to long-term average
bull Overall strong financial position
28
Outlook
bull Key drivers and risksndash Wholesale price of electricity
bull Demandbull Fuelsbull CO2 emissions pricesbull Water reservoirsbull Nuclear availability
bull Nordic marketsndash Market continues to recover ndash 2008 level to be reached by 2012-2014ndash Electricity continues to gain share of total energy consumption
bull Russiandash Wholesale market liberalisedndash Profits from Russia build up in pace with the capacity increases
29
Outlook
bull Capex (excluding potential acquisitions)ndash 2011-2012 around EUR 16 to 18 billion annually (mainly due to Russian
investment programme)ndash 2013-2014 around EUR 11 to 14 billion annuallyndash Disclosed divestments totalled approximately EUR 05 billion
bull Hedgingndash 2011 approximately 70 hedge ratio at approximately EUR 45MWh(Q1 70 at EUR 44MWh)ndash 2012 approximately 50 hedge ratio at approximately EUR 46MWh(Q1 45 at EUR 45MWh)
30
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007 2008 2009 2010 2011 20120
10
20
30
40
50
60
70
80
90
100
110Spot prices Forward prices
3131
CO2 -free and energy-efficient solutions important
Create solid earnings growth in Russia
Leverage the strong Nordic core
Build platform for future growth
Competence in CO2 -free hydro nuclear and energy efficient CHP production and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -Fortumrsquos strategy remains intact
32
19 July 2011
Fortum Corporation
Interim Report
January-June 2011
Disclaimer
This presentation does not constitute an invitation to underwrite subscribe for or otherwise acquire or dispose of any Fortum shares
Past performance is no guide to future performance and persons needing advice should consult an independent financial adviser
Highlights in Q2
Increased uncertainty in macro environment
GLOBAL
- Incident in Fukushima in Japan
Finland
- No new decisions-in-principle on nuclear power in four years
- The new Governmentrsquos policy framework includes a possible implementation of a windfall tax and a uranium tax
Germany
- To be replaced by renewable energy
Q2 Market conditions
Nordic water reservoirs
Source Nord Pool Spot
Q1
Q2
Q3
Q4
2003
2008
2009
2011
2010
reference level
reservoir content (TWh)
0
20
40
60
80
100
120
Price development in the Nordic region and Russia
Includes capacity income
+17
+6
+24
+13
Q2 Good development continued
Q2 Comparable profit at last yearrsquos level
Comparable operating profit EUR million
-6
7
30
-14
348
339
0
-8
Power
Q22010
Heat
Russia
Distribution
Electricity
Sales
Other
Q22011
January-June Comparable profit at last yearrsquos level
Comparable operating profit EUR million
31
24
990
997
-113
48
29
-12
Power
H12010
Heat
Russia
Distribution
Electricity
Sales
Other
H12011
Fortum a forerunner in sustainability
Financials
Comparable and reported operating profit
Power
Q2 Power
Nuclear output in Q2
Planned outages in Oskarshamn 1amp3 and Forsmark 1 in Q22011
(In 2010 no outages in Q2)
If timing would have been similar in 2011 compared to 2010 nuclear output would have exceeded 2010 levels during Q2
Improved availability in Sweden
Q2 2011
Q2 2010
Nuclear
Outage effect
TWh
Q2 Power result declined due to several reasons
Comparable operating profit EUR million
257
-3
-4
0
271
3
-10
Volume
amp price
Q22010
Stronger
SEK
Russian
import
Property
taxes
Other
Q22011
Heat
Q2 Heat
Russia
Q2 Russia
Distribution
Q2 Distribution
Markets
Q2 Electricity Sales
Q2 Income statement
Q2 Cash flow statement
Key ratios
Q2 lsquo11
Debt maturity profile
per 30 June 2011 per 31 Dec 2010
Average interest rate (incl swaps and forwards)4435
Portion of floating fixed debt 47 53 49 51
Strong financial position
Return on capital employed
12
Return on shareholders equity
14
Net debtEBITDA
around 30
138
191
28
Fortumrsquos financial targets
LTM in Q22011
Good liquidity ndash committed credit lines total EUR 27 billion
Comparable net debtEBITDA
Outlook
Q2 Summary
Outlook
Outlook
(Q1 70 at EUR 44MWh)
(Q1 45 at EUR 45MWh)
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007
2008
2009
2010
2011
2012
0
10
20
30
40
50
60
70
80
90
100
110
Spot prices
Forward prices
CO2-free and energy-efficient solutions important
Create solid earnings
growth in Russia
Leverage the strong
Nordic core
Build platform for
future growth
Competence in CO2-free hydro nuclear and energy efficient CHP production
and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -
Fortumrsquos strategy remains intact
MEURII2011II2010I-II2011I-II2010LTM
Sales1833275569641 390
Comparable operating profit101021-335
Net Assets7759
Comparable RONA 341
Gross Investments10404
MEURII2011II2010I-II2011I-II2010LTM
Sales2152005264801 009
Comparable operating profit6053184155336
Net Assets3 4873 482
Comparable RONA 99
Gross Investments62479676233
0
250
500
750
1000
1250
1500
1750
20112012201320142015201620172018201920202021+
BondsFinancial institutionsOther long-term debtCPsOther short-term debt
MEURII2011II2010I-II2011I-II2010LTM
Sales195169490413881
Comparable operating profit21-955756
Net Assets3 0512 690
Comparable RONA 34
Gross Investments192167267258608
MEURII2011II2010I-II2011I-II2010LTM
Sales5745971 2671 3662 603
Comparable operating profit2572715826951 185
Net Assets5 9985 726
Comparable RONA 198
Gross Investments36226955136
MEURII2011II2010I-II2011I-II20102010LTM
Sales1 316
1 2953 3503 2426 296
6 404
Expenses-968-956-2 353-2 252-4 463-4 564
Comparable operating profit3483399979901 8331 840
Other items affecting comparability2611251285-125302
Operating profit6093511 5091 0751 7082 142
Share of profit of associates and jvs1515743162105
Financial expenses net-72-34-127-61-155-221
Profit before taxes5523321 4561 0451 6152 026
Income tax expense-74-61-232-191-261-302
Net profit for the period4782711 2248541 3541 724
Non-controlling interests6874325496
EPS basic (EUR)053030129093146183
EPS diluted (EUR)053030129093146183
Spot price for power in NordPool power exchange
448
459
662
523
621
0
12
24
36
48
60
72
Q22010Q32010Q42010Q12011Q22011
eurMWh
Powers Nordic power price
447
469
488
479
474
0
10
20
30
40
50
60
Q22010Q32010Q42010Q12011Q22011
eurMWh
MEURII2011II2010I-II2011I-II20102010LTM
Operating profit before depreciations7644901 8131 3512 2712 733
Non-cash flow items and divesting activities
-299-6-569-73124-372
Financial items and fx gainslosses
12-146-290-323-641-608
Taxes
-144-73-258-155-355-458
Funds from operations (FFO)
3332656968001 3991 295
Change in working capital
771571681433863
Total net cash from operating activities4104228649431 4371 358
Paid capital expenditures-297-263-503-486-1 134-1 151
Acquisition of shares-1-1-20-1-28-47
Other investing activities331-165417260529
Cash flow before financing activities443142882528335689
MEURII2011II2010I-II2011I-II2010LTM
Sales3223011 0479521 865
Comparable operating profit2533196165306
Net Assets3 9113 884
Comparable RONA 82
Gross Investments7259130121314
MEUR
II2011II2010II2011II2010I-II2011I-II2010I-II2011I-II2010
Power257271271280582695760747
Heat25332535196165290194
Russia21-921-95575523
Distribution605325253184155377166
Electricity Sales1010232321-33-6
Other-25-1917-31-41-2924-49
Total3483396093519979901 5091 075
Comparable operating profit
Reported operating profit
Comparable operating profit
Reported operating profit
Spot price for power (market price) Urals hub
770
935
817
950
954
0
200
400
600
800
1 000
1 200
Q22010Q32010Q42010Q12011Q22011
RUBMWh
Achieved power price for OAO Fortum
256
288
305
292
290
0
6
12
18
24
30
36
Q22010Q32010Q42010Q12011Q22011
eurMWh
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
MEURLTM20102009
EBITDA2 7332 2712 292
Comparable EBITDA2 4312 3962 398
Interest-bearing net debt6 7836 8265 969
Net debtEBITDA253026
Comparable Net debtEBITDA282825
Return on capital employed ()138116121
Return on shareholders equity ()191157160
) as of 30 June 2011
MEUR | |||
2011 | 231 | ||
2012 | 668 | ||
2013 | 639 | ||
2014 | 1223 | ||
2015 | 1051 | ||
2016 | 879 | ||
2017 | 270 | ||
2018 | 190 | ||
2019 | 840 | ||
2020 | 73 | ||
2021+ | 1530 |
MEUR | LTM | 2010 | 2009 | 2008 | 2006 | 2005 | |||||||
EBITDA | 2733 | 2271 | 2292 | 2478 | 1884 | ||||||||
Comparable EBITDA | 2431 | 2396 | 2398 | 1151 | 1271 | ||||||||
Interest-bearing net debt | 6 783 | 6826 | 5969 | 6179 | 4345 | 3158 | |||||||
Net debtEBITDA | 25 | 30 | 26 | 25 | 8161 | ||||||||
Comparable Net debtEBITDA | 28 | 28 | 25 | 16839 | 15130 | ||||||||
23 | 18 | ||||||||||||
Return on capital employed () | 138 | 116 | 121 | 150 | 134 | 135 | |||||||
Return on shareholders equity () | 191 | 157 | 160 | 187 | 144 | 135 | |||||||
) as of 30 June 2011 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | |||||||||||
Operating profit before depreciations | 764 | 490 | 1813 | 1351 | 2271 | 2733 | 2478 | 1663 | 2370 | 0 | |||||||||||
Non-cash flow items and divesting activities | -299 | -6 | -569 | -73 | 124 | -372 | -275 | -268 | -56 | 0 | |||||||||||
Financial items and fx gainslosses | 12 | -146 | -290 | -323 | -641 | -608 | 233 | ||||||||||||||
Taxes | -144 | -73 | -258 | -155 | -355 | -458 | -332 | -231 | -534 | 0 | |||||||||||
Funds from operations (FFO) | 333 | 265 | 696 | 800 | 1399 | 1295 | 2104 | 1164 | 1780 | 0 | |||||||||||
Change in working capital | 77 | 157 | 168 | 143 | 38 | 63 | -102 | 161 | 5 | 0 | |||||||||||
Total net cash from operating activities | 410 | 422 | 864 | 943 | 1437 | 1358 | 2002 | 1325 | 1785 | 0 | |||||||||||
Paid capital expenditures | -297 | -263 | -503 | -486 | -1134 | -1151 | -1018 | -341 | -931 | 0 | |||||||||||
Acquisition of shares | -1 | -1 | -20 | -1 | -28 | -47 | -1243 | -257 | -1243 | 0 | |||||||||||
Other investing activities | 331 | -16 | 541 | 72 | 60 | 529 | -21 | 258 | -34 | 0 | |||||||||||
Cash flow before financing activities | 443 | 142 | 882 | 528 | 335 | 689 | -280 | 985 | -423 | 0 |
MEUR | Q1-Q300 | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | 2004 | ||||||||||||||||||
Sales | 7732 | 1316 | 1295 | 3350 | 3242 | 6296 | 6404 | 5636 | 3159 | 5354 | 0 | 3835 | ||||||||||||||||||
Expenses | -7109 | -968 | -956 | -2353 | -2252 | -4463 | -4564 | -3673 | -1832 | -3482 | 0 | -2640 | ||||||||||||||||||
Comparable operating profit | 623 | 348 | 339 | 997 | 990 | 1833 | 1840 | 1963 | 1327 | 1872 | 0 | 1195 | ||||||||||||||||||
Other items affecting comparability | 261 | 12 | 512 | 85 | -125 | 302 | ||||||||||||||||||||||||
Operating profit | 609 | 351 | 1509 | 1075 | 1708 | 2142 | ||||||||||||||||||||||||
Share of profit of associates and jvs | 15 | 15 | 74 | 31 | 62 | 105 | 126 | 223 | 96 | 0 | 12 | |||||||||||||||||||
Financial expenses net | -209 | -72 | -34 | -127 | -61 | -155 | -221 | -239 | -117 | -222 | 0 | -245 | ||||||||||||||||||
Profit before taxes | 0 | 552 | 332 | 1456 | 1045 | 1615 | 2026 | 1850 | 1433 | 1746 | 0 | 0 | ||||||||||||||||||
Income tax expense | -83 | -74 | -61 | -232 | -191 | -261 | -302 | -254 | -218 | -364 | 0 | -259 | ||||||||||||||||||
Net profit for the period | -26 | 478 | 271 | 1224 | 854 | 1354 | 1724 | 1596 | 1215 | 1382 | 0 | 0 | ||||||||||||||||||
Non-controlling interests | 6 | 8 | 74 | 32 | 54 | 96 | 54 | 31 | 35 | 0 | 33 | |||||||||||||||||||
EPS basic (EUR) | 039 | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 148 | ||||||||||||||||||
EPS diluted (EUR) | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 079 | |||||||||||||||||||
069 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 183 | 327 | 556 | 964 | 1390 | |||||||
Comparable operating profit | 10 | 10 | 21 | -3 | 35 | |||||||
Net Assets | 77 | 59 | ||||||||||
Comparable RONA | 341 | |||||||||||
Gross Investments | 1 | 0 | 4 | 0 | 4 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 215 | 200 | 526 | 480 | 1009 | |||||||
Comparable operating profit | 60 | 53 | 184 | 155 | 336 | |||||||
Net Assets | 3487 | 3482 | ||||||||||
Comparable RONA | 99 | |||||||||||
Gross Investments | 62 | 47 | 96 | 76 | 233 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 195 | 169 | 490 | 413 | 881 | |||||||
Comparable operating profit | 21 | -9 | 55 | 7 | 56 | |||||||
Net Assets | 3051 | 2690 | ||||||||||
Comparable RONA | 34 | |||||||||||
Gross Investments | 192 | 167 | 267 | 258 | 608 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 322 | 301 | 1047 | 952 | 1865 | |||||||
Comparable operating profit | 25 | 33 | 196 | 165 | 306 | |||||||
Net Assets | 3911 | 3884 | ||||||||||
Comparable RONA | 82 | |||||||||||
Gross Investments | 72 | 59 | 130 | 121 | 314 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 574 | 597 | 1267 | 1366 | 2603 | |||||||
Comparable operating profit | 257 | 271 | 582 | 695 | 1185 | |||||||
Net Assets | 5998 | 5726 | ||||||||||
Comparable RONA | 198 | |||||||||||
Gross Investments | 36 | 22 | 69 | 55 | 136 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Roumlrelseresultat II2009 | Roumlrelseresultat II2008 | Liikevoitto 2008 | Liikevoitto 2007 | |||||||||||||||||||||||
Jaumlmfoumlrbart | Rapporterat | Jaumlmfoumlrbart | Rapporterat | Vertkelp | Raportoitu | Vertkelp | Raportoitu | |||||||||||||||||||
Kraftproduktion | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Vaumlrme | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Markets | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Ryssland | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Oumlvrigt | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Summa | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Liikevoitto II2010 | Liikevoitto II2009 | Liikevoitto I-II2010 | Liikevoitto I-II2009 | |||||||||||||||||||||||
Vertkelp | Raportoitu | Vertkelp | Raportoitu | Vertkelp | Raportoitu | Vertkelp | Raportoitu | |||||||||||||||||||
Power | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Heat | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Saumlhkoumlnmyynti | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Russia | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Muut | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Yhteensauml | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 | ||||||||||||||||||
I-III2009 | ||||||||||||||||||||||||||
SEK | Muut | Yhteensauml | ||||||||||||||||||||||||
Saumlhkoumlntuotanto | -67 | -3 | -70 | |||||||||||||||||||||||
Laumlmpouml | -10 | -2 | -12 | |||||||||||||||||||||||
Saumlhkoumlnsiirto | -13 | -1 | -14 | |||||||||||||||||||||||
Markets | -1 | -1 | -2 | |||||||||||||||||||||||
Venaumljauml | 0 | 6 | 6 | |||||||||||||||||||||||
Muu | 0 | 1 | 1 | |||||||||||||||||||||||
Yhteensauml | -91 | 0 | -91 |
Operating profit II2010 | Operating profit II2009 | Operating profit I-II2010 | Operating profit I-2009 | |||||||||||||||||||||||
Comparable | Reported | Comparable | Reported | Comparable | Reported | Comparable | Reported | |||||||||||||||||||
Power | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Heat | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Electricity Sales | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Russia | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Other | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Total | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 | ||||||||||||||||||
Currency translation effects on comparable operating profit | ||||||||||||||||||||||||||
I2009 | I-III2009 | |||||||||||||||||||||||||
SEK | Other | Total | SEK | Other | Total | |||||||||||||||||||||
Power Generation | -55 | -3 | -58 | Power Generation | -67 | -3 | -70 | |||||||||||||||||||
Heat | -12 | -3 | -15 | Heat | -10 | -2 | -12 | |||||||||||||||||||
Distribution | -11 | -1 | -12 | Distribution | -13 | -1 | -14 | |||||||||||||||||||
Markets | -1 | 0 | -1 | Markets | -1 | -1 | -2 | |||||||||||||||||||
Russia | 0 | 1 | 1 | Russia | 0 | 6 | 6 | |||||||||||||||||||
Other | 1 | 0 | 1 | Other | 0 | 1 | 1 | |||||||||||||||||||
Total | -78 | -6 | -84 | Total | -91 | 0 | -91 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Vertkelpliikevoitto | Raportoitu liikevoitto | Vertkelpliikevoitto | Raportoitu liikevoitto | |||||||||||||||||||||||
II2010 | II2009 | II2010 | II2009 | I-II2010 | I-II2009 | I-II2010 | I-II2009 | |||||||||||||||||||
Power | 257 | 271 | 271 | 280 | 582 | 695 | 760 | 747 | ||||||||||||||||||
Heat | 25 | 33 | 25 | 35 | 196 | 165 | 290 | 194 | ||||||||||||||||||
Distribution | 21 | -9 | 21 | -9 | 55 | 7 | 55 | 23 | ||||||||||||||||||
Saumlhkoumlnmyynti | 60 | 53 | 252 | 53 | 184 | 155 | 377 | 166 | ||||||||||||||||||
Russia | 10 | 10 | 23 | 23 | 21 | -3 | 3 | -6 | ||||||||||||||||||
Muut | -25 | -19 | 17 | -31 | -41 | -29 | 24 | -49 | ||||||||||||||||||
Yhteensauml | 348 | 339 | 609 | 351 | 997 | 990 | 1509 | 1075 | ||||||||||||||||||
I-III2009 | ||||||||||||||||||||||||||
SEK | Muut | Yhteensauml | ||||||||||||||||||||||||
Saumlhkoumlntuotanto | -67 | -3 | -70 | |||||||||||||||||||||||
Laumlmpouml | -10 | -2 | -12 | |||||||||||||||||||||||
Saumlhkoumlnsiirto | -13 | -1 | -14 | |||||||||||||||||||||||
Markets | -1 | -1 | -2 | |||||||||||||||||||||||
Venaumljauml | 0 | 6 | 6 | |||||||||||||||||||||||
Muu | 0 | 1 | 1 | |||||||||||||||||||||||
Yhteensauml | -91 | 0 | -91 |
MEUR | Comparable operating profit | Reported operating profit | Comparable operating profit | Reported operating profit | ||||||||||||||||||||||
II2011 | II2010 | II2011 | II2010 | I-II2011 | I-II2010 | I-II2011 | I-II2010 | |||||||||||||||||||
Power | 257 | 271 | 271 | 280 | 582 | 695 | 760 | 747 | ||||||||||||||||||
Heat | 25 | 33 | 25 | 35 | 196 | 165 | 290 | 194 | ||||||||||||||||||
Russia | 21 | -9 | 21 | -9 | 55 | 7 | 55 | 23 | ||||||||||||||||||
Distribution | 60 | 53 | 252 | 53 | 184 | 155 | 377 | 166 | ||||||||||||||||||
Electricity Sales | 10 | 10 | 23 | 23 | 21 | -3 | 3 | -6 | ||||||||||||||||||
Other | -25 | -19 | 17 | -31 | -41 | -29 | 24 | -49 | ||||||||||||||||||
Total | 348 | 339 | 609 | 351 | 997 | 990 | 1509 | 1075 | ||||||||||||||||||
Currency translation effects on comparable operating profit | ||||||||||||||||||||||||||
I2009 | I-III2009 | |||||||||||||||||||||||||
SEK | Other | Total | SEK | Other | Total | |||||||||||||||||||||
Power Generation | -55 | -3 | -58 | Power Generation | -67 | -3 | -70 | |||||||||||||||||||
Heat | -12 | -3 | -15 | Heat | -10 | -2 | -12 | |||||||||||||||||||
Distribution | -11 | -1 | -12 | Distribution | -13 | -1 | -14 | |||||||||||||||||||
Markets | -1 | 0 | -1 | Markets | -1 | -1 | -2 | |||||||||||||||||||
Russia | 0 | 1 | 1 | Russia | 0 | 6 | 6 | |||||||||||||||||||
Other | 1 | 0 | 1 | Other | 0 | 1 | 1 | |||||||||||||||||||
Total | -78 | -6 | -84 | Total | -91 | 0 | -91 |
22
Q2 Cash flow statement
MEUR II2011 II2010 I-II2011 I-II2010 2010 LTM
Operating profit before depreciations 764 490 1 813 1 351 2 271 2 733
Non-cash flow items and divesting activities -299 -6 -569 -73 124 -372
Financial items and fx gainslosses 12 -146 -290 -323 -641 -608
Taxes -144 -73 -258 -155 -355 -458
Funds from operations (FFO) 333 265 696 800 1 399 1 295
Change in working capital 77 157 168 143 38 63
Total net cash from operating activities 410 422 864 943 1 437 1 358
Paid capital expenditures -297 -263 -503 -486 -1 134 -1 151
Acquisition of shares -1 -1 -20 -1 -28 -47
Other investing activities 331 -16 541 72 60 529
Cash flow before financing activities 443 142 882 528 335 689
23
MEUR LTM 2010 2009EBITDA 2 733 2 271 2 292Comparable EBITDA 2 431 2 396 2 398Interest-bearing net debt 6 783 6 826 5 969Net debtEBITDA 25 30 26Comparable Net debtEBITDA 28 28 25
Return on capital employed () 138 116 121Return on shareholders equity () 191 157 160
) as of 30 June 2011
Key ratios
Q2 lsquo11
24
Debt maturity profile
0
250
500
750
1000
1250
1500
1750
2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021+
Bonds Financial institutions Other long-term debt CPs Other short-term debt
MEUR
2011 231
2012 668
2013 639
2014 1223
2015 1051
2016 879
2017 270
2018 190
2019 840
2020 73
2021+ 1530
per 30 June 2011 per 31 Dec 2010
Average interest rate (incl swaps and forwards) 44 35Portion of floating fixed debt 47 53 49 51
25
Strong financial position
Return on capital employed12
Return on shareholders equity14
Net debtEBITDAaround 30
138
191
28
Fortumrsquos financial targets LTM in Q22011
Good liquidity ndash committed credit lines total EUR 27 billion
Comparable net debtEBITDA
26
Outlook
27
Q2 Summary
bull Solid performance continued - seasonalitybull Power
ndash Improved nuclear availability- timing of Swedish planned nuclear outages impacted volume
ndash Swedish nuclear back at 80-85 in availabilityndash Lower hydro volumes ndash water reservoirs improved at the end of the quarterndash SEK burdenedndash Results year-end weighted compared to 2010
bull Russiandash Commissioning of new units contributed to result improvementndash The return for the new capacity is guaranteed ndash EUR 100 million efficiency improvement reached
bull Nordic countriesndash Water reservoirs improved to long-term average
bull Overall strong financial position
28
Outlook
bull Key drivers and risksndash Wholesale price of electricity
bull Demandbull Fuelsbull CO2 emissions pricesbull Water reservoirsbull Nuclear availability
bull Nordic marketsndash Market continues to recover ndash 2008 level to be reached by 2012-2014ndash Electricity continues to gain share of total energy consumption
bull Russiandash Wholesale market liberalisedndash Profits from Russia build up in pace with the capacity increases
29
Outlook
bull Capex (excluding potential acquisitions)ndash 2011-2012 around EUR 16 to 18 billion annually (mainly due to Russian
investment programme)ndash 2013-2014 around EUR 11 to 14 billion annuallyndash Disclosed divestments totalled approximately EUR 05 billion
bull Hedgingndash 2011 approximately 70 hedge ratio at approximately EUR 45MWh(Q1 70 at EUR 44MWh)ndash 2012 approximately 50 hedge ratio at approximately EUR 46MWh(Q1 45 at EUR 45MWh)
30
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007 2008 2009 2010 2011 20120
10
20
30
40
50
60
70
80
90
100
110Spot prices Forward prices
3131
CO2 -free and energy-efficient solutions important
Create solid earnings growth in Russia
Leverage the strong Nordic core
Build platform for future growth
Competence in CO2 -free hydro nuclear and energy efficient CHP production and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -Fortumrsquos strategy remains intact
32
19 July 2011
Fortum Corporation
Interim Report
January-June 2011
Disclaimer
This presentation does not constitute an invitation to underwrite subscribe for or otherwise acquire or dispose of any Fortum shares
Past performance is no guide to future performance and persons needing advice should consult an independent financial adviser
Highlights in Q2
Increased uncertainty in macro environment
GLOBAL
- Incident in Fukushima in Japan
Finland
- No new decisions-in-principle on nuclear power in four years
- The new Governmentrsquos policy framework includes a possible implementation of a windfall tax and a uranium tax
Germany
- To be replaced by renewable energy
Q2 Market conditions
Nordic water reservoirs
Source Nord Pool Spot
Q1
Q2
Q3
Q4
2003
2008
2009
2011
2010
reference level
reservoir content (TWh)
0
20
40
60
80
100
120
Price development in the Nordic region and Russia
Includes capacity income
+17
+6
+24
+13
Q2 Good development continued
Q2 Comparable profit at last yearrsquos level
Comparable operating profit EUR million
-6
7
30
-14
348
339
0
-8
Power
Q22010
Heat
Russia
Distribution
Electricity
Sales
Other
Q22011
January-June Comparable profit at last yearrsquos level
Comparable operating profit EUR million
31
24
990
997
-113
48
29
-12
Power
H12010
Heat
Russia
Distribution
Electricity
Sales
Other
H12011
Fortum a forerunner in sustainability
Financials
Comparable and reported operating profit
Power
Q2 Power
Nuclear output in Q2
Planned outages in Oskarshamn 1amp3 and Forsmark 1 in Q22011
(In 2010 no outages in Q2)
If timing would have been similar in 2011 compared to 2010 nuclear output would have exceeded 2010 levels during Q2
Improved availability in Sweden
Q2 2011
Q2 2010
Nuclear
Outage effect
TWh
Q2 Power result declined due to several reasons
Comparable operating profit EUR million
257
-3
-4
0
271
3
-10
Volume
amp price
Q22010
Stronger
SEK
Russian
import
Property
taxes
Other
Q22011
Heat
Q2 Heat
Russia
Q2 Russia
Distribution
Q2 Distribution
Markets
Q2 Electricity Sales
Q2 Income statement
Q2 Cash flow statement
Key ratios
Q2 lsquo11
Debt maturity profile
per 30 June 2011 per 31 Dec 2010
Average interest rate (incl swaps and forwards)4435
Portion of floating fixed debt 47 53 49 51
Strong financial position
Return on capital employed
12
Return on shareholders equity
14
Net debtEBITDA
around 30
138
191
28
Fortumrsquos financial targets
LTM in Q22011
Good liquidity ndash committed credit lines total EUR 27 billion
Comparable net debtEBITDA
Outlook
Q2 Summary
Outlook
Outlook
(Q1 70 at EUR 44MWh)
(Q1 45 at EUR 45MWh)
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007
2008
2009
2010
2011
2012
0
10
20
30
40
50
60
70
80
90
100
110
Spot prices
Forward prices
CO2-free and energy-efficient solutions important
Create solid earnings
growth in Russia
Leverage the strong
Nordic core
Build platform for
future growth
Competence in CO2-free hydro nuclear and energy efficient CHP production
and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -
Fortumrsquos strategy remains intact
MEURII2011II2010I-II2011I-II2010LTM
Sales1833275569641 390
Comparable operating profit101021-335
Net Assets7759
Comparable RONA 341
Gross Investments10404
MEURII2011II2010I-II2011I-II2010LTM
Sales2152005264801 009
Comparable operating profit6053184155336
Net Assets3 4873 482
Comparable RONA 99
Gross Investments62479676233
0
250
500
750
1000
1250
1500
1750
20112012201320142015201620172018201920202021+
BondsFinancial institutionsOther long-term debtCPsOther short-term debt
MEURII2011II2010I-II2011I-II2010LTM
Sales195169490413881
Comparable operating profit21-955756
Net Assets3 0512 690
Comparable RONA 34
Gross Investments192167267258608
MEURII2011II2010I-II2011I-II2010LTM
Sales5745971 2671 3662 603
Comparable operating profit2572715826951 185
Net Assets5 9985 726
Comparable RONA 198
Gross Investments36226955136
MEURII2011II2010I-II2011I-II20102010LTM
Sales1 316
1 2953 3503 2426 296
6 404
Expenses-968-956-2 353-2 252-4 463-4 564
Comparable operating profit3483399979901 8331 840
Other items affecting comparability2611251285-125302
Operating profit6093511 5091 0751 7082 142
Share of profit of associates and jvs1515743162105
Financial expenses net-72-34-127-61-155-221
Profit before taxes5523321 4561 0451 6152 026
Income tax expense-74-61-232-191-261-302
Net profit for the period4782711 2248541 3541 724
Non-controlling interests6874325496
EPS basic (EUR)053030129093146183
EPS diluted (EUR)053030129093146183
Spot price for power in NordPool power exchange
448
459
662
523
621
0
12
24
36
48
60
72
Q22010Q32010Q42010Q12011Q22011
eurMWh
Powers Nordic power price
447
469
488
479
474
0
10
20
30
40
50
60
Q22010Q32010Q42010Q12011Q22011
eurMWh
MEURII2011II2010I-II2011I-II20102010LTM
Operating profit before depreciations7644901 8131 3512 2712 733
Non-cash flow items and divesting activities
-299-6-569-73124-372
Financial items and fx gainslosses
12-146-290-323-641-608
Taxes
-144-73-258-155-355-458
Funds from operations (FFO)
3332656968001 3991 295
Change in working capital
771571681433863
Total net cash from operating activities4104228649431 4371 358
Paid capital expenditures-297-263-503-486-1 134-1 151
Acquisition of shares-1-1-20-1-28-47
Other investing activities331-165417260529
Cash flow before financing activities443142882528335689
MEURII2011II2010I-II2011I-II2010LTM
Sales3223011 0479521 865
Comparable operating profit2533196165306
Net Assets3 9113 884
Comparable RONA 82
Gross Investments7259130121314
MEUR
II2011II2010II2011II2010I-II2011I-II2010I-II2011I-II2010
Power257271271280582695760747
Heat25332535196165290194
Russia21-921-95575523
Distribution605325253184155377166
Electricity Sales1010232321-33-6
Other-25-1917-31-41-2924-49
Total3483396093519979901 5091 075
Comparable operating profit
Reported operating profit
Comparable operating profit
Reported operating profit
Spot price for power (market price) Urals hub
770
935
817
950
954
0
200
400
600
800
1 000
1 200
Q22010Q32010Q42010Q12011Q22011
RUBMWh
Achieved power price for OAO Fortum
256
288
305
292
290
0
6
12
18
24
30
36
Q22010Q32010Q42010Q12011Q22011
eurMWh
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
MEURLTM20102009
EBITDA2 7332 2712 292
Comparable EBITDA2 4312 3962 398
Interest-bearing net debt6 7836 8265 969
Net debtEBITDA253026
Comparable Net debtEBITDA282825
Return on capital employed ()138116121
Return on shareholders equity ()191157160
) as of 30 June 2011
MEUR | |||
2011 | 231 | ||
2012 | 668 | ||
2013 | 639 | ||
2014 | 1223 | ||
2015 | 1051 | ||
2016 | 879 | ||
2017 | 270 | ||
2018 | 190 | ||
2019 | 840 | ||
2020 | 73 | ||
2021+ | 1530 |
MEUR | LTM | 2010 | 2009 | 2008 | 2006 | 2005 | |||||||
EBITDA | 2733 | 2271 | 2292 | 2478 | 1884 | ||||||||
Comparable EBITDA | 2431 | 2396 | 2398 | 1151 | 1271 | ||||||||
Interest-bearing net debt | 6 783 | 6826 | 5969 | 6179 | 4345 | 3158 | |||||||
Net debtEBITDA | 25 | 30 | 26 | 25 | 8161 | ||||||||
Comparable Net debtEBITDA | 28 | 28 | 25 | 16839 | 15130 | ||||||||
23 | 18 | ||||||||||||
Return on capital employed () | 138 | 116 | 121 | 150 | 134 | 135 | |||||||
Return on shareholders equity () | 191 | 157 | 160 | 187 | 144 | 135 | |||||||
) as of 30 June 2011 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | |||||||||||
Operating profit before depreciations | 764 | 490 | 1813 | 1351 | 2271 | 2733 | 2478 | 1663 | 2370 | 0 | |||||||||||
Non-cash flow items and divesting activities | -299 | -6 | -569 | -73 | 124 | -372 | -275 | -268 | -56 | 0 | |||||||||||
Financial items and fx gainslosses | 12 | -146 | -290 | -323 | -641 | -608 | 233 | ||||||||||||||
Taxes | -144 | -73 | -258 | -155 | -355 | -458 | -332 | -231 | -534 | 0 | |||||||||||
Funds from operations (FFO) | 333 | 265 | 696 | 800 | 1399 | 1295 | 2104 | 1164 | 1780 | 0 | |||||||||||
Change in working capital | 77 | 157 | 168 | 143 | 38 | 63 | -102 | 161 | 5 | 0 | |||||||||||
Total net cash from operating activities | 410 | 422 | 864 | 943 | 1437 | 1358 | 2002 | 1325 | 1785 | 0 | |||||||||||
Paid capital expenditures | -297 | -263 | -503 | -486 | -1134 | -1151 | -1018 | -341 | -931 | 0 | |||||||||||
Acquisition of shares | -1 | -1 | -20 | -1 | -28 | -47 | -1243 | -257 | -1243 | 0 | |||||||||||
Other investing activities | 331 | -16 | 541 | 72 | 60 | 529 | -21 | 258 | -34 | 0 | |||||||||||
Cash flow before financing activities | 443 | 142 | 882 | 528 | 335 | 689 | -280 | 985 | -423 | 0 |
MEUR | Q1-Q300 | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | 2004 | ||||||||||||||||||
Sales | 7732 | 1316 | 1295 | 3350 | 3242 | 6296 | 6404 | 5636 | 3159 | 5354 | 0 | 3835 | ||||||||||||||||||
Expenses | -7109 | -968 | -956 | -2353 | -2252 | -4463 | -4564 | -3673 | -1832 | -3482 | 0 | -2640 | ||||||||||||||||||
Comparable operating profit | 623 | 348 | 339 | 997 | 990 | 1833 | 1840 | 1963 | 1327 | 1872 | 0 | 1195 | ||||||||||||||||||
Other items affecting comparability | 261 | 12 | 512 | 85 | -125 | 302 | ||||||||||||||||||||||||
Operating profit | 609 | 351 | 1509 | 1075 | 1708 | 2142 | ||||||||||||||||||||||||
Share of profit of associates and jvs | 15 | 15 | 74 | 31 | 62 | 105 | 126 | 223 | 96 | 0 | 12 | |||||||||||||||||||
Financial expenses net | -209 | -72 | -34 | -127 | -61 | -155 | -221 | -239 | -117 | -222 | 0 | -245 | ||||||||||||||||||
Profit before taxes | 0 | 552 | 332 | 1456 | 1045 | 1615 | 2026 | 1850 | 1433 | 1746 | 0 | 0 | ||||||||||||||||||
Income tax expense | -83 | -74 | -61 | -232 | -191 | -261 | -302 | -254 | -218 | -364 | 0 | -259 | ||||||||||||||||||
Net profit for the period | -26 | 478 | 271 | 1224 | 854 | 1354 | 1724 | 1596 | 1215 | 1382 | 0 | 0 | ||||||||||||||||||
Non-controlling interests | 6 | 8 | 74 | 32 | 54 | 96 | 54 | 31 | 35 | 0 | 33 | |||||||||||||||||||
EPS basic (EUR) | 039 | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 148 | ||||||||||||||||||
EPS diluted (EUR) | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 079 | |||||||||||||||||||
069 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 183 | 327 | 556 | 964 | 1390 | |||||||
Comparable operating profit | 10 | 10 | 21 | -3 | 35 | |||||||
Net Assets | 77 | 59 | ||||||||||
Comparable RONA | 341 | |||||||||||
Gross Investments | 1 | 0 | 4 | 0 | 4 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 215 | 200 | 526 | 480 | 1009 | |||||||
Comparable operating profit | 60 | 53 | 184 | 155 | 336 | |||||||
Net Assets | 3487 | 3482 | ||||||||||
Comparable RONA | 99 | |||||||||||
Gross Investments | 62 | 47 | 96 | 76 | 233 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 195 | 169 | 490 | 413 | 881 | |||||||
Comparable operating profit | 21 | -9 | 55 | 7 | 56 | |||||||
Net Assets | 3051 | 2690 | ||||||||||
Comparable RONA | 34 | |||||||||||
Gross Investments | 192 | 167 | 267 | 258 | 608 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 322 | 301 | 1047 | 952 | 1865 | |||||||
Comparable operating profit | 25 | 33 | 196 | 165 | 306 | |||||||
Net Assets | 3911 | 3884 | ||||||||||
Comparable RONA | 82 | |||||||||||
Gross Investments | 72 | 59 | 130 | 121 | 314 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 574 | 597 | 1267 | 1366 | 2603 | |||||||
Comparable operating profit | 257 | 271 | 582 | 695 | 1185 | |||||||
Net Assets | 5998 | 5726 | ||||||||||
Comparable RONA | 198 | |||||||||||
Gross Investments | 36 | 22 | 69 | 55 | 136 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Roumlrelseresultat II2009 | Roumlrelseresultat II2008 | Liikevoitto 2008 | Liikevoitto 2007 | |||||||||||||||||||||||
Jaumlmfoumlrbart | Rapporterat | Jaumlmfoumlrbart | Rapporterat | Vertkelp | Raportoitu | Vertkelp | Raportoitu | |||||||||||||||||||
Kraftproduktion | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Vaumlrme | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Markets | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Ryssland | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Oumlvrigt | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Summa | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Liikevoitto II2010 | Liikevoitto II2009 | Liikevoitto I-II2010 | Liikevoitto I-II2009 | |||||||||||||||||||||||
Vertkelp | Raportoitu | Vertkelp | Raportoitu | Vertkelp | Raportoitu | Vertkelp | Raportoitu | |||||||||||||||||||
Power | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Heat | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Saumlhkoumlnmyynti | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Russia | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Muut | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Yhteensauml | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 | ||||||||||||||||||
I-III2009 | ||||||||||||||||||||||||||
SEK | Muut | Yhteensauml | ||||||||||||||||||||||||
Saumlhkoumlntuotanto | -67 | -3 | -70 | |||||||||||||||||||||||
Laumlmpouml | -10 | -2 | -12 | |||||||||||||||||||||||
Saumlhkoumlnsiirto | -13 | -1 | -14 | |||||||||||||||||||||||
Markets | -1 | -1 | -2 | |||||||||||||||||||||||
Venaumljauml | 0 | 6 | 6 | |||||||||||||||||||||||
Muu | 0 | 1 | 1 | |||||||||||||||||||||||
Yhteensauml | -91 | 0 | -91 |
Operating profit II2010 | Operating profit II2009 | Operating profit I-II2010 | Operating profit I-2009 | |||||||||||||||||||||||
Comparable | Reported | Comparable | Reported | Comparable | Reported | Comparable | Reported | |||||||||||||||||||
Power | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Heat | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Electricity Sales | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Russia | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Other | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Total | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 | ||||||||||||||||||
Currency translation effects on comparable operating profit | ||||||||||||||||||||||||||
I2009 | I-III2009 | |||||||||||||||||||||||||
SEK | Other | Total | SEK | Other | Total | |||||||||||||||||||||
Power Generation | -55 | -3 | -58 | Power Generation | -67 | -3 | -70 | |||||||||||||||||||
Heat | -12 | -3 | -15 | Heat | -10 | -2 | -12 | |||||||||||||||||||
Distribution | -11 | -1 | -12 | Distribution | -13 | -1 | -14 | |||||||||||||||||||
Markets | -1 | 0 | -1 | Markets | -1 | -1 | -2 | |||||||||||||||||||
Russia | 0 | 1 | 1 | Russia | 0 | 6 | 6 | |||||||||||||||||||
Other | 1 | 0 | 1 | Other | 0 | 1 | 1 | |||||||||||||||||||
Total | -78 | -6 | -84 | Total | -91 | 0 | -91 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Vertkelpliikevoitto | Raportoitu liikevoitto | Vertkelpliikevoitto | Raportoitu liikevoitto | |||||||||||||||||||||||
II2010 | II2009 | II2010 | II2009 | I-II2010 | I-II2009 | I-II2010 | I-II2009 | |||||||||||||||||||
Power | 257 | 271 | 271 | 280 | 582 | 695 | 760 | 747 | ||||||||||||||||||
Heat | 25 | 33 | 25 | 35 | 196 | 165 | 290 | 194 | ||||||||||||||||||
Distribution | 21 | -9 | 21 | -9 | 55 | 7 | 55 | 23 | ||||||||||||||||||
Saumlhkoumlnmyynti | 60 | 53 | 252 | 53 | 184 | 155 | 377 | 166 | ||||||||||||||||||
Russia | 10 | 10 | 23 | 23 | 21 | -3 | 3 | -6 | ||||||||||||||||||
Muut | -25 | -19 | 17 | -31 | -41 | -29 | 24 | -49 | ||||||||||||||||||
Yhteensauml | 348 | 339 | 609 | 351 | 997 | 990 | 1509 | 1075 | ||||||||||||||||||
I-III2009 | ||||||||||||||||||||||||||
SEK | Muut | Yhteensauml | ||||||||||||||||||||||||
Saumlhkoumlntuotanto | -67 | -3 | -70 | |||||||||||||||||||||||
Laumlmpouml | -10 | -2 | -12 | |||||||||||||||||||||||
Saumlhkoumlnsiirto | -13 | -1 | -14 | |||||||||||||||||||||||
Markets | -1 | -1 | -2 | |||||||||||||||||||||||
Venaumljauml | 0 | 6 | 6 | |||||||||||||||||||||||
Muu | 0 | 1 | 1 | |||||||||||||||||||||||
Yhteensauml | -91 | 0 | -91 |
MEUR | Comparable operating profit | Reported operating profit | Comparable operating profit | Reported operating profit | ||||||||||||||||||||||
II2011 | II2010 | II2011 | II2010 | I-II2011 | I-II2010 | I-II2011 | I-II2010 | |||||||||||||||||||
Power | 257 | 271 | 271 | 280 | 582 | 695 | 760 | 747 | ||||||||||||||||||
Heat | 25 | 33 | 25 | 35 | 196 | 165 | 290 | 194 | ||||||||||||||||||
Russia | 21 | -9 | 21 | -9 | 55 | 7 | 55 | 23 | ||||||||||||||||||
Distribution | 60 | 53 | 252 | 53 | 184 | 155 | 377 | 166 | ||||||||||||||||||
Electricity Sales | 10 | 10 | 23 | 23 | 21 | -3 | 3 | -6 | ||||||||||||||||||
Other | -25 | -19 | 17 | -31 | -41 | -29 | 24 | -49 | ||||||||||||||||||
Total | 348 | 339 | 609 | 351 | 997 | 990 | 1509 | 1075 | ||||||||||||||||||
Currency translation effects on comparable operating profit | ||||||||||||||||||||||||||
I2009 | I-III2009 | |||||||||||||||||||||||||
SEK | Other | Total | SEK | Other | Total | |||||||||||||||||||||
Power Generation | -55 | -3 | -58 | Power Generation | -67 | -3 | -70 | |||||||||||||||||||
Heat | -12 | -3 | -15 | Heat | -10 | -2 | -12 | |||||||||||||||||||
Distribution | -11 | -1 | -12 | Distribution | -13 | -1 | -14 | |||||||||||||||||||
Markets | -1 | 0 | -1 | Markets | -1 | -1 | -2 | |||||||||||||||||||
Russia | 0 | 1 | 1 | Russia | 0 | 6 | 6 | |||||||||||||||||||
Other | 1 | 0 | 1 | Other | 0 | 1 | 1 | |||||||||||||||||||
Total | -78 | -6 | -84 | Total | -91 | 0 | -91 |
23
MEUR LTM 2010 2009EBITDA 2 733 2 271 2 292Comparable EBITDA 2 431 2 396 2 398Interest-bearing net debt 6 783 6 826 5 969Net debtEBITDA 25 30 26Comparable Net debtEBITDA 28 28 25
Return on capital employed () 138 116 121Return on shareholders equity () 191 157 160
) as of 30 June 2011
Key ratios
Q2 lsquo11
24
Debt maturity profile
0
250
500
750
1000
1250
1500
1750
2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021+
Bonds Financial institutions Other long-term debt CPs Other short-term debt
MEUR
2011 231
2012 668
2013 639
2014 1223
2015 1051
2016 879
2017 270
2018 190
2019 840
2020 73
2021+ 1530
per 30 June 2011 per 31 Dec 2010
Average interest rate (incl swaps and forwards) 44 35Portion of floating fixed debt 47 53 49 51
25
Strong financial position
Return on capital employed12
Return on shareholders equity14
Net debtEBITDAaround 30
138
191
28
Fortumrsquos financial targets LTM in Q22011
Good liquidity ndash committed credit lines total EUR 27 billion
Comparable net debtEBITDA
26
Outlook
27
Q2 Summary
bull Solid performance continued - seasonalitybull Power
ndash Improved nuclear availability- timing of Swedish planned nuclear outages impacted volume
ndash Swedish nuclear back at 80-85 in availabilityndash Lower hydro volumes ndash water reservoirs improved at the end of the quarterndash SEK burdenedndash Results year-end weighted compared to 2010
bull Russiandash Commissioning of new units contributed to result improvementndash The return for the new capacity is guaranteed ndash EUR 100 million efficiency improvement reached
bull Nordic countriesndash Water reservoirs improved to long-term average
bull Overall strong financial position
28
Outlook
bull Key drivers and risksndash Wholesale price of electricity
bull Demandbull Fuelsbull CO2 emissions pricesbull Water reservoirsbull Nuclear availability
bull Nordic marketsndash Market continues to recover ndash 2008 level to be reached by 2012-2014ndash Electricity continues to gain share of total energy consumption
bull Russiandash Wholesale market liberalisedndash Profits from Russia build up in pace with the capacity increases
29
Outlook
bull Capex (excluding potential acquisitions)ndash 2011-2012 around EUR 16 to 18 billion annually (mainly due to Russian
investment programme)ndash 2013-2014 around EUR 11 to 14 billion annuallyndash Disclosed divestments totalled approximately EUR 05 billion
bull Hedgingndash 2011 approximately 70 hedge ratio at approximately EUR 45MWh(Q1 70 at EUR 44MWh)ndash 2012 approximately 50 hedge ratio at approximately EUR 46MWh(Q1 45 at EUR 45MWh)
30
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007 2008 2009 2010 2011 20120
10
20
30
40
50
60
70
80
90
100
110Spot prices Forward prices
3131
CO2 -free and energy-efficient solutions important
Create solid earnings growth in Russia
Leverage the strong Nordic core
Build platform for future growth
Competence in CO2 -free hydro nuclear and energy efficient CHP production and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -Fortumrsquos strategy remains intact
32
19 July 2011
Fortum Corporation
Interim Report
January-June 2011
Disclaimer
This presentation does not constitute an invitation to underwrite subscribe for or otherwise acquire or dispose of any Fortum shares
Past performance is no guide to future performance and persons needing advice should consult an independent financial adviser
Highlights in Q2
Increased uncertainty in macro environment
GLOBAL
- Incident in Fukushima in Japan
Finland
- No new decisions-in-principle on nuclear power in four years
- The new Governmentrsquos policy framework includes a possible implementation of a windfall tax and a uranium tax
Germany
- To be replaced by renewable energy
Q2 Market conditions
Nordic water reservoirs
Source Nord Pool Spot
Q1
Q2
Q3
Q4
2003
2008
2009
2011
2010
reference level
reservoir content (TWh)
0
20
40
60
80
100
120
Price development in the Nordic region and Russia
Includes capacity income
+17
+6
+24
+13
Q2 Good development continued
Q2 Comparable profit at last yearrsquos level
Comparable operating profit EUR million
-6
7
30
-14
348
339
0
-8
Power
Q22010
Heat
Russia
Distribution
Electricity
Sales
Other
Q22011
January-June Comparable profit at last yearrsquos level
Comparable operating profit EUR million
31
24
990
997
-113
48
29
-12
Power
H12010
Heat
Russia
Distribution
Electricity
Sales
Other
H12011
Fortum a forerunner in sustainability
Financials
Comparable and reported operating profit
Power
Q2 Power
Nuclear output in Q2
Planned outages in Oskarshamn 1amp3 and Forsmark 1 in Q22011
(In 2010 no outages in Q2)
If timing would have been similar in 2011 compared to 2010 nuclear output would have exceeded 2010 levels during Q2
Improved availability in Sweden
Q2 2011
Q2 2010
Nuclear
Outage effect
TWh
Q2 Power result declined due to several reasons
Comparable operating profit EUR million
257
-3
-4
0
271
3
-10
Volume
amp price
Q22010
Stronger
SEK
Russian
import
Property
taxes
Other
Q22011
Heat
Q2 Heat
Russia
Q2 Russia
Distribution
Q2 Distribution
Markets
Q2 Electricity Sales
Q2 Income statement
Q2 Cash flow statement
Key ratios
Q2 lsquo11
Debt maturity profile
per 30 June 2011 per 31 Dec 2010
Average interest rate (incl swaps and forwards)4435
Portion of floating fixed debt 47 53 49 51
Strong financial position
Return on capital employed
12
Return on shareholders equity
14
Net debtEBITDA
around 30
138
191
28
Fortumrsquos financial targets
LTM in Q22011
Good liquidity ndash committed credit lines total EUR 27 billion
Comparable net debtEBITDA
Outlook
Q2 Summary
Outlook
Outlook
(Q1 70 at EUR 44MWh)
(Q1 45 at EUR 45MWh)
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007
2008
2009
2010
2011
2012
0
10
20
30
40
50
60
70
80
90
100
110
Spot prices
Forward prices
CO2-free and energy-efficient solutions important
Create solid earnings
growth in Russia
Leverage the strong
Nordic core
Build platform for
future growth
Competence in CO2-free hydro nuclear and energy efficient CHP production
and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -
Fortumrsquos strategy remains intact
MEURII2011II2010I-II2011I-II2010LTM
Sales1833275569641 390
Comparable operating profit101021-335
Net Assets7759
Comparable RONA 341
Gross Investments10404
MEURII2011II2010I-II2011I-II2010LTM
Sales2152005264801 009
Comparable operating profit6053184155336
Net Assets3 4873 482
Comparable RONA 99
Gross Investments62479676233
0
250
500
750
1000
1250
1500
1750
20112012201320142015201620172018201920202021+
BondsFinancial institutionsOther long-term debtCPsOther short-term debt
MEURII2011II2010I-II2011I-II2010LTM
Sales195169490413881
Comparable operating profit21-955756
Net Assets3 0512 690
Comparable RONA 34
Gross Investments192167267258608
MEURII2011II2010I-II2011I-II2010LTM
Sales5745971 2671 3662 603
Comparable operating profit2572715826951 185
Net Assets5 9985 726
Comparable RONA 198
Gross Investments36226955136
MEURII2011II2010I-II2011I-II20102010LTM
Sales1 316
1 2953 3503 2426 296
6 404
Expenses-968-956-2 353-2 252-4 463-4 564
Comparable operating profit3483399979901 8331 840
Other items affecting comparability2611251285-125302
Operating profit6093511 5091 0751 7082 142
Share of profit of associates and jvs1515743162105
Financial expenses net-72-34-127-61-155-221
Profit before taxes5523321 4561 0451 6152 026
Income tax expense-74-61-232-191-261-302
Net profit for the period4782711 2248541 3541 724
Non-controlling interests6874325496
EPS basic (EUR)053030129093146183
EPS diluted (EUR)053030129093146183
Spot price for power in NordPool power exchange
448
459
662
523
621
0
12
24
36
48
60
72
Q22010Q32010Q42010Q12011Q22011
eurMWh
Powers Nordic power price
447
469
488
479
474
0
10
20
30
40
50
60
Q22010Q32010Q42010Q12011Q22011
eurMWh
MEURII2011II2010I-II2011I-II20102010LTM
Operating profit before depreciations7644901 8131 3512 2712 733
Non-cash flow items and divesting activities
-299-6-569-73124-372
Financial items and fx gainslosses
12-146-290-323-641-608
Taxes
-144-73-258-155-355-458
Funds from operations (FFO)
3332656968001 3991 295
Change in working capital
771571681433863
Total net cash from operating activities4104228649431 4371 358
Paid capital expenditures-297-263-503-486-1 134-1 151
Acquisition of shares-1-1-20-1-28-47
Other investing activities331-165417260529
Cash flow before financing activities443142882528335689
MEURII2011II2010I-II2011I-II2010LTM
Sales3223011 0479521 865
Comparable operating profit2533196165306
Net Assets3 9113 884
Comparable RONA 82
Gross Investments7259130121314
MEUR
II2011II2010II2011II2010I-II2011I-II2010I-II2011I-II2010
Power257271271280582695760747
Heat25332535196165290194
Russia21-921-95575523
Distribution605325253184155377166
Electricity Sales1010232321-33-6
Other-25-1917-31-41-2924-49
Total3483396093519979901 5091 075
Comparable operating profit
Reported operating profit
Comparable operating profit
Reported operating profit
Spot price for power (market price) Urals hub
770
935
817
950
954
0
200
400
600
800
1 000
1 200
Q22010Q32010Q42010Q12011Q22011
RUBMWh
Achieved power price for OAO Fortum
256
288
305
292
290
0
6
12
18
24
30
36
Q22010Q32010Q42010Q12011Q22011
eurMWh
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
MEURLTM20102009
EBITDA2 7332 2712 292
Comparable EBITDA2 4312 3962 398
Interest-bearing net debt6 7836 8265 969
Net debtEBITDA253026
Comparable Net debtEBITDA282825
Return on capital employed ()138116121
Return on shareholders equity ()191157160
) as of 30 June 2011
MEUR | |||
2011 | 231 | ||
2012 | 668 | ||
2013 | 639 | ||
2014 | 1223 | ||
2015 | 1051 | ||
2016 | 879 | ||
2017 | 270 | ||
2018 | 190 | ||
2019 | 840 | ||
2020 | 73 | ||
2021+ | 1530 |
MEUR | LTM | 2010 | 2009 | 2008 | 2006 | 2005 | |||||||
EBITDA | 2733 | 2271 | 2292 | 2478 | 1884 | ||||||||
Comparable EBITDA | 2431 | 2396 | 2398 | 1151 | 1271 | ||||||||
Interest-bearing net debt | 6 783 | 6826 | 5969 | 6179 | 4345 | 3158 | |||||||
Net debtEBITDA | 25 | 30 | 26 | 25 | 8161 | ||||||||
Comparable Net debtEBITDA | 28 | 28 | 25 | 16839 | 15130 | ||||||||
23 | 18 | ||||||||||||
Return on capital employed () | 138 | 116 | 121 | 150 | 134 | 135 | |||||||
Return on shareholders equity () | 191 | 157 | 160 | 187 | 144 | 135 | |||||||
) as of 30 June 2011 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | |||||||||||
Operating profit before depreciations | 764 | 490 | 1813 | 1351 | 2271 | 2733 | 2478 | 1663 | 2370 | 0 | |||||||||||
Non-cash flow items and divesting activities | -299 | -6 | -569 | -73 | 124 | -372 | -275 | -268 | -56 | 0 | |||||||||||
Financial items and fx gainslosses | 12 | -146 | -290 | -323 | -641 | -608 | 233 | ||||||||||||||
Taxes | -144 | -73 | -258 | -155 | -355 | -458 | -332 | -231 | -534 | 0 | |||||||||||
Funds from operations (FFO) | 333 | 265 | 696 | 800 | 1399 | 1295 | 2104 | 1164 | 1780 | 0 | |||||||||||
Change in working capital | 77 | 157 | 168 | 143 | 38 | 63 | -102 | 161 | 5 | 0 | |||||||||||
Total net cash from operating activities | 410 | 422 | 864 | 943 | 1437 | 1358 | 2002 | 1325 | 1785 | 0 | |||||||||||
Paid capital expenditures | -297 | -263 | -503 | -486 | -1134 | -1151 | -1018 | -341 | -931 | 0 | |||||||||||
Acquisition of shares | -1 | -1 | -20 | -1 | -28 | -47 | -1243 | -257 | -1243 | 0 | |||||||||||
Other investing activities | 331 | -16 | 541 | 72 | 60 | 529 | -21 | 258 | -34 | 0 | |||||||||||
Cash flow before financing activities | 443 | 142 | 882 | 528 | 335 | 689 | -280 | 985 | -423 | 0 |
MEUR | Q1-Q300 | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | 2004 | ||||||||||||||||||
Sales | 7732 | 1316 | 1295 | 3350 | 3242 | 6296 | 6404 | 5636 | 3159 | 5354 | 0 | 3835 | ||||||||||||||||||
Expenses | -7109 | -968 | -956 | -2353 | -2252 | -4463 | -4564 | -3673 | -1832 | -3482 | 0 | -2640 | ||||||||||||||||||
Comparable operating profit | 623 | 348 | 339 | 997 | 990 | 1833 | 1840 | 1963 | 1327 | 1872 | 0 | 1195 | ||||||||||||||||||
Other items affecting comparability | 261 | 12 | 512 | 85 | -125 | 302 | ||||||||||||||||||||||||
Operating profit | 609 | 351 | 1509 | 1075 | 1708 | 2142 | ||||||||||||||||||||||||
Share of profit of associates and jvs | 15 | 15 | 74 | 31 | 62 | 105 | 126 | 223 | 96 | 0 | 12 | |||||||||||||||||||
Financial expenses net | -209 | -72 | -34 | -127 | -61 | -155 | -221 | -239 | -117 | -222 | 0 | -245 | ||||||||||||||||||
Profit before taxes | 0 | 552 | 332 | 1456 | 1045 | 1615 | 2026 | 1850 | 1433 | 1746 | 0 | 0 | ||||||||||||||||||
Income tax expense | -83 | -74 | -61 | -232 | -191 | -261 | -302 | -254 | -218 | -364 | 0 | -259 | ||||||||||||||||||
Net profit for the period | -26 | 478 | 271 | 1224 | 854 | 1354 | 1724 | 1596 | 1215 | 1382 | 0 | 0 | ||||||||||||||||||
Non-controlling interests | 6 | 8 | 74 | 32 | 54 | 96 | 54 | 31 | 35 | 0 | 33 | |||||||||||||||||||
EPS basic (EUR) | 039 | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 148 | ||||||||||||||||||
EPS diluted (EUR) | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 079 | |||||||||||||||||||
069 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 183 | 327 | 556 | 964 | 1390 | |||||||
Comparable operating profit | 10 | 10 | 21 | -3 | 35 | |||||||
Net Assets | 77 | 59 | ||||||||||
Comparable RONA | 341 | |||||||||||
Gross Investments | 1 | 0 | 4 | 0 | 4 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 215 | 200 | 526 | 480 | 1009 | |||||||
Comparable operating profit | 60 | 53 | 184 | 155 | 336 | |||||||
Net Assets | 3487 | 3482 | ||||||||||
Comparable RONA | 99 | |||||||||||
Gross Investments | 62 | 47 | 96 | 76 | 233 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 195 | 169 | 490 | 413 | 881 | |||||||
Comparable operating profit | 21 | -9 | 55 | 7 | 56 | |||||||
Net Assets | 3051 | 2690 | ||||||||||
Comparable RONA | 34 | |||||||||||
Gross Investments | 192 | 167 | 267 | 258 | 608 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 322 | 301 | 1047 | 952 | 1865 | |||||||
Comparable operating profit | 25 | 33 | 196 | 165 | 306 | |||||||
Net Assets | 3911 | 3884 | ||||||||||
Comparable RONA | 82 | |||||||||||
Gross Investments | 72 | 59 | 130 | 121 | 314 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 574 | 597 | 1267 | 1366 | 2603 | |||||||
Comparable operating profit | 257 | 271 | 582 | 695 | 1185 | |||||||
Net Assets | 5998 | 5726 | ||||||||||
Comparable RONA | 198 | |||||||||||
Gross Investments | 36 | 22 | 69 | 55 | 136 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Roumlrelseresultat II2009 | Roumlrelseresultat II2008 | Liikevoitto 2008 | Liikevoitto 2007 | |||||||||||||||||||||||
Jaumlmfoumlrbart | Rapporterat | Jaumlmfoumlrbart | Rapporterat | Vertkelp | Raportoitu | Vertkelp | Raportoitu | |||||||||||||||||||
Kraftproduktion | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Vaumlrme | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Markets | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Ryssland | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Oumlvrigt | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Summa | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Liikevoitto II2010 | Liikevoitto II2009 | Liikevoitto I-II2010 | Liikevoitto I-II2009 | |||||||||||||||||||||||
Vertkelp | Raportoitu | Vertkelp | Raportoitu | Vertkelp | Raportoitu | Vertkelp | Raportoitu | |||||||||||||||||||
Power | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Heat | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Saumlhkoumlnmyynti | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Russia | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Muut | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Yhteensauml | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 | ||||||||||||||||||
I-III2009 | ||||||||||||||||||||||||||
SEK | Muut | Yhteensauml | ||||||||||||||||||||||||
Saumlhkoumlntuotanto | -67 | -3 | -70 | |||||||||||||||||||||||
Laumlmpouml | -10 | -2 | -12 | |||||||||||||||||||||||
Saumlhkoumlnsiirto | -13 | -1 | -14 | |||||||||||||||||||||||
Markets | -1 | -1 | -2 | |||||||||||||||||||||||
Venaumljauml | 0 | 6 | 6 | |||||||||||||||||||||||
Muu | 0 | 1 | 1 | |||||||||||||||||||||||
Yhteensauml | -91 | 0 | -91 |
Operating profit II2010 | Operating profit II2009 | Operating profit I-II2010 | Operating profit I-2009 | |||||||||||||||||||||||
Comparable | Reported | Comparable | Reported | Comparable | Reported | Comparable | Reported | |||||||||||||||||||
Power | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Heat | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Electricity Sales | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Russia | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Other | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Total | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 | ||||||||||||||||||
Currency translation effects on comparable operating profit | ||||||||||||||||||||||||||
I2009 | I-III2009 | |||||||||||||||||||||||||
SEK | Other | Total | SEK | Other | Total | |||||||||||||||||||||
Power Generation | -55 | -3 | -58 | Power Generation | -67 | -3 | -70 | |||||||||||||||||||
Heat | -12 | -3 | -15 | Heat | -10 | -2 | -12 | |||||||||||||||||||
Distribution | -11 | -1 | -12 | Distribution | -13 | -1 | -14 | |||||||||||||||||||
Markets | -1 | 0 | -1 | Markets | -1 | -1 | -2 | |||||||||||||||||||
Russia | 0 | 1 | 1 | Russia | 0 | 6 | 6 | |||||||||||||||||||
Other | 1 | 0 | 1 | Other | 0 | 1 | 1 | |||||||||||||||||||
Total | -78 | -6 | -84 | Total | -91 | 0 | -91 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Vertkelpliikevoitto | Raportoitu liikevoitto | Vertkelpliikevoitto | Raportoitu liikevoitto | |||||||||||||||||||||||
II2010 | II2009 | II2010 | II2009 | I-II2010 | I-II2009 | I-II2010 | I-II2009 | |||||||||||||||||||
Power | 257 | 271 | 271 | 280 | 582 | 695 | 760 | 747 | ||||||||||||||||||
Heat | 25 | 33 | 25 | 35 | 196 | 165 | 290 | 194 | ||||||||||||||||||
Distribution | 21 | -9 | 21 | -9 | 55 | 7 | 55 | 23 | ||||||||||||||||||
Saumlhkoumlnmyynti | 60 | 53 | 252 | 53 | 184 | 155 | 377 | 166 | ||||||||||||||||||
Russia | 10 | 10 | 23 | 23 | 21 | -3 | 3 | -6 | ||||||||||||||||||
Muut | -25 | -19 | 17 | -31 | -41 | -29 | 24 | -49 | ||||||||||||||||||
Yhteensauml | 348 | 339 | 609 | 351 | 997 | 990 | 1509 | 1075 | ||||||||||||||||||
I-III2009 | ||||||||||||||||||||||||||
SEK | Muut | Yhteensauml | ||||||||||||||||||||||||
Saumlhkoumlntuotanto | -67 | -3 | -70 | |||||||||||||||||||||||
Laumlmpouml | -10 | -2 | -12 | |||||||||||||||||||||||
Saumlhkoumlnsiirto | -13 | -1 | -14 | |||||||||||||||||||||||
Markets | -1 | -1 | -2 | |||||||||||||||||||||||
Venaumljauml | 0 | 6 | 6 | |||||||||||||||||||||||
Muu | 0 | 1 | 1 | |||||||||||||||||||||||
Yhteensauml | -91 | 0 | -91 |
MEUR | Comparable operating profit | Reported operating profit | Comparable operating profit | Reported operating profit | ||||||||||||||||||||||
II2011 | II2010 | II2011 | II2010 | I-II2011 | I-II2010 | I-II2011 | I-II2010 | |||||||||||||||||||
Power | 257 | 271 | 271 | 280 | 582 | 695 | 760 | 747 | ||||||||||||||||||
Heat | 25 | 33 | 25 | 35 | 196 | 165 | 290 | 194 | ||||||||||||||||||
Russia | 21 | -9 | 21 | -9 | 55 | 7 | 55 | 23 | ||||||||||||||||||
Distribution | 60 | 53 | 252 | 53 | 184 | 155 | 377 | 166 | ||||||||||||||||||
Electricity Sales | 10 | 10 | 23 | 23 | 21 | -3 | 3 | -6 | ||||||||||||||||||
Other | -25 | -19 | 17 | -31 | -41 | -29 | 24 | -49 | ||||||||||||||||||
Total | 348 | 339 | 609 | 351 | 997 | 990 | 1509 | 1075 | ||||||||||||||||||
Currency translation effects on comparable operating profit | ||||||||||||||||||||||||||
I2009 | I-III2009 | |||||||||||||||||||||||||
SEK | Other | Total | SEK | Other | Total | |||||||||||||||||||||
Power Generation | -55 | -3 | -58 | Power Generation | -67 | -3 | -70 | |||||||||||||||||||
Heat | -12 | -3 | -15 | Heat | -10 | -2 | -12 | |||||||||||||||||||
Distribution | -11 | -1 | -12 | Distribution | -13 | -1 | -14 | |||||||||||||||||||
Markets | -1 | 0 | -1 | Markets | -1 | -1 | -2 | |||||||||||||||||||
Russia | 0 | 1 | 1 | Russia | 0 | 6 | 6 | |||||||||||||||||||
Other | 1 | 0 | 1 | Other | 0 | 1 | 1 | |||||||||||||||||||
Total | -78 | -6 | -84 | Total | -91 | 0 | -91 |
24
Debt maturity profile
0
250
500
750
1000
1250
1500
1750
2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021+
Bonds Financial institutions Other long-term debt CPs Other short-term debt
MEUR
2011 231
2012 668
2013 639
2014 1223
2015 1051
2016 879
2017 270
2018 190
2019 840
2020 73
2021+ 1530
per 30 June 2011 per 31 Dec 2010
Average interest rate (incl swaps and forwards) 44 35Portion of floating fixed debt 47 53 49 51
25
Strong financial position
Return on capital employed12
Return on shareholders equity14
Net debtEBITDAaround 30
138
191
28
Fortumrsquos financial targets LTM in Q22011
Good liquidity ndash committed credit lines total EUR 27 billion
Comparable net debtEBITDA
26
Outlook
27
Q2 Summary
bull Solid performance continued - seasonalitybull Power
ndash Improved nuclear availability- timing of Swedish planned nuclear outages impacted volume
ndash Swedish nuclear back at 80-85 in availabilityndash Lower hydro volumes ndash water reservoirs improved at the end of the quarterndash SEK burdenedndash Results year-end weighted compared to 2010
bull Russiandash Commissioning of new units contributed to result improvementndash The return for the new capacity is guaranteed ndash EUR 100 million efficiency improvement reached
bull Nordic countriesndash Water reservoirs improved to long-term average
bull Overall strong financial position
28
Outlook
bull Key drivers and risksndash Wholesale price of electricity
bull Demandbull Fuelsbull CO2 emissions pricesbull Water reservoirsbull Nuclear availability
bull Nordic marketsndash Market continues to recover ndash 2008 level to be reached by 2012-2014ndash Electricity continues to gain share of total energy consumption
bull Russiandash Wholesale market liberalisedndash Profits from Russia build up in pace with the capacity increases
29
Outlook
bull Capex (excluding potential acquisitions)ndash 2011-2012 around EUR 16 to 18 billion annually (mainly due to Russian
investment programme)ndash 2013-2014 around EUR 11 to 14 billion annuallyndash Disclosed divestments totalled approximately EUR 05 billion
bull Hedgingndash 2011 approximately 70 hedge ratio at approximately EUR 45MWh(Q1 70 at EUR 44MWh)ndash 2012 approximately 50 hedge ratio at approximately EUR 46MWh(Q1 45 at EUR 45MWh)
30
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007 2008 2009 2010 2011 20120
10
20
30
40
50
60
70
80
90
100
110Spot prices Forward prices
3131
CO2 -free and energy-efficient solutions important
Create solid earnings growth in Russia
Leverage the strong Nordic core
Build platform for future growth
Competence in CO2 -free hydro nuclear and energy efficient CHP production and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -Fortumrsquos strategy remains intact
32
19 July 2011
Fortum Corporation
Interim Report
January-June 2011
Disclaimer
This presentation does not constitute an invitation to underwrite subscribe for or otherwise acquire or dispose of any Fortum shares
Past performance is no guide to future performance and persons needing advice should consult an independent financial adviser
Highlights in Q2
Increased uncertainty in macro environment
GLOBAL
- Incident in Fukushima in Japan
Finland
- No new decisions-in-principle on nuclear power in four years
- The new Governmentrsquos policy framework includes a possible implementation of a windfall tax and a uranium tax
Germany
- To be replaced by renewable energy
Q2 Market conditions
Nordic water reservoirs
Source Nord Pool Spot
Q1
Q2
Q3
Q4
2003
2008
2009
2011
2010
reference level
reservoir content (TWh)
0
20
40
60
80
100
120
Price development in the Nordic region and Russia
Includes capacity income
+17
+6
+24
+13
Q2 Good development continued
Q2 Comparable profit at last yearrsquos level
Comparable operating profit EUR million
-6
7
30
-14
348
339
0
-8
Power
Q22010
Heat
Russia
Distribution
Electricity
Sales
Other
Q22011
January-June Comparable profit at last yearrsquos level
Comparable operating profit EUR million
31
24
990
997
-113
48
29
-12
Power
H12010
Heat
Russia
Distribution
Electricity
Sales
Other
H12011
Fortum a forerunner in sustainability
Financials
Comparable and reported operating profit
Power
Q2 Power
Nuclear output in Q2
Planned outages in Oskarshamn 1amp3 and Forsmark 1 in Q22011
(In 2010 no outages in Q2)
If timing would have been similar in 2011 compared to 2010 nuclear output would have exceeded 2010 levels during Q2
Improved availability in Sweden
Q2 2011
Q2 2010
Nuclear
Outage effect
TWh
Q2 Power result declined due to several reasons
Comparable operating profit EUR million
257
-3
-4
0
271
3
-10
Volume
amp price
Q22010
Stronger
SEK
Russian
import
Property
taxes
Other
Q22011
Heat
Q2 Heat
Russia
Q2 Russia
Distribution
Q2 Distribution
Markets
Q2 Electricity Sales
Q2 Income statement
Q2 Cash flow statement
Key ratios
Q2 lsquo11
Debt maturity profile
per 30 June 2011 per 31 Dec 2010
Average interest rate (incl swaps and forwards)4435
Portion of floating fixed debt 47 53 49 51
Strong financial position
Return on capital employed
12
Return on shareholders equity
14
Net debtEBITDA
around 30
138
191
28
Fortumrsquos financial targets
LTM in Q22011
Good liquidity ndash committed credit lines total EUR 27 billion
Comparable net debtEBITDA
Outlook
Q2 Summary
Outlook
Outlook
(Q1 70 at EUR 44MWh)
(Q1 45 at EUR 45MWh)
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007
2008
2009
2010
2011
2012
0
10
20
30
40
50
60
70
80
90
100
110
Spot prices
Forward prices
CO2-free and energy-efficient solutions important
Create solid earnings
growth in Russia
Leverage the strong
Nordic core
Build platform for
future growth
Competence in CO2-free hydro nuclear and energy efficient CHP production
and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -
Fortumrsquos strategy remains intact
MEURII2011II2010I-II2011I-II2010LTM
Sales1833275569641 390
Comparable operating profit101021-335
Net Assets7759
Comparable RONA 341
Gross Investments10404
MEURII2011II2010I-II2011I-II2010LTM
Sales2152005264801 009
Comparable operating profit6053184155336
Net Assets3 4873 482
Comparable RONA 99
Gross Investments62479676233
0
250
500
750
1000
1250
1500
1750
20112012201320142015201620172018201920202021+
BondsFinancial institutionsOther long-term debtCPsOther short-term debt
MEURII2011II2010I-II2011I-II2010LTM
Sales195169490413881
Comparable operating profit21-955756
Net Assets3 0512 690
Comparable RONA 34
Gross Investments192167267258608
MEURII2011II2010I-II2011I-II2010LTM
Sales5745971 2671 3662 603
Comparable operating profit2572715826951 185
Net Assets5 9985 726
Comparable RONA 198
Gross Investments36226955136
MEURII2011II2010I-II2011I-II20102010LTM
Sales1 316
1 2953 3503 2426 296
6 404
Expenses-968-956-2 353-2 252-4 463-4 564
Comparable operating profit3483399979901 8331 840
Other items affecting comparability2611251285-125302
Operating profit6093511 5091 0751 7082 142
Share of profit of associates and jvs1515743162105
Financial expenses net-72-34-127-61-155-221
Profit before taxes5523321 4561 0451 6152 026
Income tax expense-74-61-232-191-261-302
Net profit for the period4782711 2248541 3541 724
Non-controlling interests6874325496
EPS basic (EUR)053030129093146183
EPS diluted (EUR)053030129093146183
Spot price for power in NordPool power exchange
448
459
662
523
621
0
12
24
36
48
60
72
Q22010Q32010Q42010Q12011Q22011
eurMWh
Powers Nordic power price
447
469
488
479
474
0
10
20
30
40
50
60
Q22010Q32010Q42010Q12011Q22011
eurMWh
MEURII2011II2010I-II2011I-II20102010LTM
Operating profit before depreciations7644901 8131 3512 2712 733
Non-cash flow items and divesting activities
-299-6-569-73124-372
Financial items and fx gainslosses
12-146-290-323-641-608
Taxes
-144-73-258-155-355-458
Funds from operations (FFO)
3332656968001 3991 295
Change in working capital
771571681433863
Total net cash from operating activities4104228649431 4371 358
Paid capital expenditures-297-263-503-486-1 134-1 151
Acquisition of shares-1-1-20-1-28-47
Other investing activities331-165417260529
Cash flow before financing activities443142882528335689
MEURII2011II2010I-II2011I-II2010LTM
Sales3223011 0479521 865
Comparable operating profit2533196165306
Net Assets3 9113 884
Comparable RONA 82
Gross Investments7259130121314
MEUR
II2011II2010II2011II2010I-II2011I-II2010I-II2011I-II2010
Power257271271280582695760747
Heat25332535196165290194
Russia21-921-95575523
Distribution605325253184155377166
Electricity Sales1010232321-33-6
Other-25-1917-31-41-2924-49
Total3483396093519979901 5091 075
Comparable operating profit
Reported operating profit
Comparable operating profit
Reported operating profit
Spot price for power (market price) Urals hub
770
935
817
950
954
0
200
400
600
800
1 000
1 200
Q22010Q32010Q42010Q12011Q22011
RUBMWh
Achieved power price for OAO Fortum
256
288
305
292
290
0
6
12
18
24
30
36
Q22010Q32010Q42010Q12011Q22011
eurMWh
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
MEURLTM20102009
EBITDA2 7332 2712 292
Comparable EBITDA2 4312 3962 398
Interest-bearing net debt6 7836 8265 969
Net debtEBITDA253026
Comparable Net debtEBITDA282825
Return on capital employed ()138116121
Return on shareholders equity ()191157160
) as of 30 June 2011
MEUR | |||
2011 | 231 | ||
2012 | 668 | ||
2013 | 639 | ||
2014 | 1223 | ||
2015 | 1051 | ||
2016 | 879 | ||
2017 | 270 | ||
2018 | 190 | ||
2019 | 840 | ||
2020 | 73 | ||
2021+ | 1530 |
MEUR | LTM | 2010 | 2009 | 2008 | 2006 | 2005 | |||||||
EBITDA | 2733 | 2271 | 2292 | 2478 | 1884 | ||||||||
Comparable EBITDA | 2431 | 2396 | 2398 | 1151 | 1271 | ||||||||
Interest-bearing net debt | 6 783 | 6826 | 5969 | 6179 | 4345 | 3158 | |||||||
Net debtEBITDA | 25 | 30 | 26 | 25 | 8161 | ||||||||
Comparable Net debtEBITDA | 28 | 28 | 25 | 16839 | 15130 | ||||||||
23 | 18 | ||||||||||||
Return on capital employed () | 138 | 116 | 121 | 150 | 134 | 135 | |||||||
Return on shareholders equity () | 191 | 157 | 160 | 187 | 144 | 135 | |||||||
) as of 30 June 2011 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | |||||||||||
Operating profit before depreciations | 764 | 490 | 1813 | 1351 | 2271 | 2733 | 2478 | 1663 | 2370 | 0 | |||||||||||
Non-cash flow items and divesting activities | -299 | -6 | -569 | -73 | 124 | -372 | -275 | -268 | -56 | 0 | |||||||||||
Financial items and fx gainslosses | 12 | -146 | -290 | -323 | -641 | -608 | 233 | ||||||||||||||
Taxes | -144 | -73 | -258 | -155 | -355 | -458 | -332 | -231 | -534 | 0 | |||||||||||
Funds from operations (FFO) | 333 | 265 | 696 | 800 | 1399 | 1295 | 2104 | 1164 | 1780 | 0 | |||||||||||
Change in working capital | 77 | 157 | 168 | 143 | 38 | 63 | -102 | 161 | 5 | 0 | |||||||||||
Total net cash from operating activities | 410 | 422 | 864 | 943 | 1437 | 1358 | 2002 | 1325 | 1785 | 0 | |||||||||||
Paid capital expenditures | -297 | -263 | -503 | -486 | -1134 | -1151 | -1018 | -341 | -931 | 0 | |||||||||||
Acquisition of shares | -1 | -1 | -20 | -1 | -28 | -47 | -1243 | -257 | -1243 | 0 | |||||||||||
Other investing activities | 331 | -16 | 541 | 72 | 60 | 529 | -21 | 258 | -34 | 0 | |||||||||||
Cash flow before financing activities | 443 | 142 | 882 | 528 | 335 | 689 | -280 | 985 | -423 | 0 |
MEUR | Q1-Q300 | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | 2004 | ||||||||||||||||||
Sales | 7732 | 1316 | 1295 | 3350 | 3242 | 6296 | 6404 | 5636 | 3159 | 5354 | 0 | 3835 | ||||||||||||||||||
Expenses | -7109 | -968 | -956 | -2353 | -2252 | -4463 | -4564 | -3673 | -1832 | -3482 | 0 | -2640 | ||||||||||||||||||
Comparable operating profit | 623 | 348 | 339 | 997 | 990 | 1833 | 1840 | 1963 | 1327 | 1872 | 0 | 1195 | ||||||||||||||||||
Other items affecting comparability | 261 | 12 | 512 | 85 | -125 | 302 | ||||||||||||||||||||||||
Operating profit | 609 | 351 | 1509 | 1075 | 1708 | 2142 | ||||||||||||||||||||||||
Share of profit of associates and jvs | 15 | 15 | 74 | 31 | 62 | 105 | 126 | 223 | 96 | 0 | 12 | |||||||||||||||||||
Financial expenses net | -209 | -72 | -34 | -127 | -61 | -155 | -221 | -239 | -117 | -222 | 0 | -245 | ||||||||||||||||||
Profit before taxes | 0 | 552 | 332 | 1456 | 1045 | 1615 | 2026 | 1850 | 1433 | 1746 | 0 | 0 | ||||||||||||||||||
Income tax expense | -83 | -74 | -61 | -232 | -191 | -261 | -302 | -254 | -218 | -364 | 0 | -259 | ||||||||||||||||||
Net profit for the period | -26 | 478 | 271 | 1224 | 854 | 1354 | 1724 | 1596 | 1215 | 1382 | 0 | 0 | ||||||||||||||||||
Non-controlling interests | 6 | 8 | 74 | 32 | 54 | 96 | 54 | 31 | 35 | 0 | 33 | |||||||||||||||||||
EPS basic (EUR) | 039 | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 148 | ||||||||||||||||||
EPS diluted (EUR) | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 079 | |||||||||||||||||||
069 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 183 | 327 | 556 | 964 | 1390 | |||||||
Comparable operating profit | 10 | 10 | 21 | -3 | 35 | |||||||
Net Assets | 77 | 59 | ||||||||||
Comparable RONA | 341 | |||||||||||
Gross Investments | 1 | 0 | 4 | 0 | 4 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 215 | 200 | 526 | 480 | 1009 | |||||||
Comparable operating profit | 60 | 53 | 184 | 155 | 336 | |||||||
Net Assets | 3487 | 3482 | ||||||||||
Comparable RONA | 99 | |||||||||||
Gross Investments | 62 | 47 | 96 | 76 | 233 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 195 | 169 | 490 | 413 | 881 | |||||||
Comparable operating profit | 21 | -9 | 55 | 7 | 56 | |||||||
Net Assets | 3051 | 2690 | ||||||||||
Comparable RONA | 34 | |||||||||||
Gross Investments | 192 | 167 | 267 | 258 | 608 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 322 | 301 | 1047 | 952 | 1865 | |||||||
Comparable operating profit | 25 | 33 | 196 | 165 | 306 | |||||||
Net Assets | 3911 | 3884 | ||||||||||
Comparable RONA | 82 | |||||||||||
Gross Investments | 72 | 59 | 130 | 121 | 314 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 574 | 597 | 1267 | 1366 | 2603 | |||||||
Comparable operating profit | 257 | 271 | 582 | 695 | 1185 | |||||||
Net Assets | 5998 | 5726 | ||||||||||
Comparable RONA | 198 | |||||||||||
Gross Investments | 36 | 22 | 69 | 55 | 136 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Roumlrelseresultat II2009 | Roumlrelseresultat II2008 | Liikevoitto 2008 | Liikevoitto 2007 | |||||||||||||||||||||||
Jaumlmfoumlrbart | Rapporterat | Jaumlmfoumlrbart | Rapporterat | Vertkelp | Raportoitu | Vertkelp | Raportoitu | |||||||||||||||||||
Kraftproduktion | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Vaumlrme | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Markets | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Ryssland | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Oumlvrigt | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Summa | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Liikevoitto II2010 | Liikevoitto II2009 | Liikevoitto I-II2010 | Liikevoitto I-II2009 | |||||||||||||||||||||||
Vertkelp | Raportoitu | Vertkelp | Raportoitu | Vertkelp | Raportoitu | Vertkelp | Raportoitu | |||||||||||||||||||
Power | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Heat | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Saumlhkoumlnmyynti | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Russia | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Muut | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Yhteensauml | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 | ||||||||||||||||||
I-III2009 | ||||||||||||||||||||||||||
SEK | Muut | Yhteensauml | ||||||||||||||||||||||||
Saumlhkoumlntuotanto | -67 | -3 | -70 | |||||||||||||||||||||||
Laumlmpouml | -10 | -2 | -12 | |||||||||||||||||||||||
Saumlhkoumlnsiirto | -13 | -1 | -14 | |||||||||||||||||||||||
Markets | -1 | -1 | -2 | |||||||||||||||||||||||
Venaumljauml | 0 | 6 | 6 | |||||||||||||||||||||||
Muu | 0 | 1 | 1 | |||||||||||||||||||||||
Yhteensauml | -91 | 0 | -91 |
Operating profit II2010 | Operating profit II2009 | Operating profit I-II2010 | Operating profit I-2009 | |||||||||||||||||||||||
Comparable | Reported | Comparable | Reported | Comparable | Reported | Comparable | Reported | |||||||||||||||||||
Power | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Heat | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Electricity Sales | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Russia | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Other | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Total | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 | ||||||||||||||||||
Currency translation effects on comparable operating profit | ||||||||||||||||||||||||||
I2009 | I-III2009 | |||||||||||||||||||||||||
SEK | Other | Total | SEK | Other | Total | |||||||||||||||||||||
Power Generation | -55 | -3 | -58 | Power Generation | -67 | -3 | -70 | |||||||||||||||||||
Heat | -12 | -3 | -15 | Heat | -10 | -2 | -12 | |||||||||||||||||||
Distribution | -11 | -1 | -12 | Distribution | -13 | -1 | -14 | |||||||||||||||||||
Markets | -1 | 0 | -1 | Markets | -1 | -1 | -2 | |||||||||||||||||||
Russia | 0 | 1 | 1 | Russia | 0 | 6 | 6 | |||||||||||||||||||
Other | 1 | 0 | 1 | Other | 0 | 1 | 1 | |||||||||||||||||||
Total | -78 | -6 | -84 | Total | -91 | 0 | -91 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Vertkelpliikevoitto | Raportoitu liikevoitto | Vertkelpliikevoitto | Raportoitu liikevoitto | |||||||||||||||||||||||
II2010 | II2009 | II2010 | II2009 | I-II2010 | I-II2009 | I-II2010 | I-II2009 | |||||||||||||||||||
Power | 257 | 271 | 271 | 280 | 582 | 695 | 760 | 747 | ||||||||||||||||||
Heat | 25 | 33 | 25 | 35 | 196 | 165 | 290 | 194 | ||||||||||||||||||
Distribution | 21 | -9 | 21 | -9 | 55 | 7 | 55 | 23 | ||||||||||||||||||
Saumlhkoumlnmyynti | 60 | 53 | 252 | 53 | 184 | 155 | 377 | 166 | ||||||||||||||||||
Russia | 10 | 10 | 23 | 23 | 21 | -3 | 3 | -6 | ||||||||||||||||||
Muut | -25 | -19 | 17 | -31 | -41 | -29 | 24 | -49 | ||||||||||||||||||
Yhteensauml | 348 | 339 | 609 | 351 | 997 | 990 | 1509 | 1075 | ||||||||||||||||||
I-III2009 | ||||||||||||||||||||||||||
SEK | Muut | Yhteensauml | ||||||||||||||||||||||||
Saumlhkoumlntuotanto | -67 | -3 | -70 | |||||||||||||||||||||||
Laumlmpouml | -10 | -2 | -12 | |||||||||||||||||||||||
Saumlhkoumlnsiirto | -13 | -1 | -14 | |||||||||||||||||||||||
Markets | -1 | -1 | -2 | |||||||||||||||||||||||
Venaumljauml | 0 | 6 | 6 | |||||||||||||||||||||||
Muu | 0 | 1 | 1 | |||||||||||||||||||||||
Yhteensauml | -91 | 0 | -91 |
MEUR | Comparable operating profit | Reported operating profit | Comparable operating profit | Reported operating profit | ||||||||||||||||||||||
II2011 | II2010 | II2011 | II2010 | I-II2011 | I-II2010 | I-II2011 | I-II2010 | |||||||||||||||||||
Power | 257 | 271 | 271 | 280 | 582 | 695 | 760 | 747 | ||||||||||||||||||
Heat | 25 | 33 | 25 | 35 | 196 | 165 | 290 | 194 | ||||||||||||||||||
Russia | 21 | -9 | 21 | -9 | 55 | 7 | 55 | 23 | ||||||||||||||||||
Distribution | 60 | 53 | 252 | 53 | 184 | 155 | 377 | 166 | ||||||||||||||||||
Electricity Sales | 10 | 10 | 23 | 23 | 21 | -3 | 3 | -6 | ||||||||||||||||||
Other | -25 | -19 | 17 | -31 | -41 | -29 | 24 | -49 | ||||||||||||||||||
Total | 348 | 339 | 609 | 351 | 997 | 990 | 1509 | 1075 | ||||||||||||||||||
Currency translation effects on comparable operating profit | ||||||||||||||||||||||||||
I2009 | I-III2009 | |||||||||||||||||||||||||
SEK | Other | Total | SEK | Other | Total | |||||||||||||||||||||
Power Generation | -55 | -3 | -58 | Power Generation | -67 | -3 | -70 | |||||||||||||||||||
Heat | -12 | -3 | -15 | Heat | -10 | -2 | -12 | |||||||||||||||||||
Distribution | -11 | -1 | -12 | Distribution | -13 | -1 | -14 | |||||||||||||||||||
Markets | -1 | 0 | -1 | Markets | -1 | -1 | -2 | |||||||||||||||||||
Russia | 0 | 1 | 1 | Russia | 0 | 6 | 6 | |||||||||||||||||||
Other | 1 | 0 | 1 | Other | 0 | 1 | 1 | |||||||||||||||||||
Total | -78 | -6 | -84 | Total | -91 | 0 | -91 |
25
Strong financial position
Return on capital employed12
Return on shareholders equity14
Net debtEBITDAaround 30
138
191
28
Fortumrsquos financial targets LTM in Q22011
Good liquidity ndash committed credit lines total EUR 27 billion
Comparable net debtEBITDA
26
Outlook
27
Q2 Summary
bull Solid performance continued - seasonalitybull Power
ndash Improved nuclear availability- timing of Swedish planned nuclear outages impacted volume
ndash Swedish nuclear back at 80-85 in availabilityndash Lower hydro volumes ndash water reservoirs improved at the end of the quarterndash SEK burdenedndash Results year-end weighted compared to 2010
bull Russiandash Commissioning of new units contributed to result improvementndash The return for the new capacity is guaranteed ndash EUR 100 million efficiency improvement reached
bull Nordic countriesndash Water reservoirs improved to long-term average
bull Overall strong financial position
28
Outlook
bull Key drivers and risksndash Wholesale price of electricity
bull Demandbull Fuelsbull CO2 emissions pricesbull Water reservoirsbull Nuclear availability
bull Nordic marketsndash Market continues to recover ndash 2008 level to be reached by 2012-2014ndash Electricity continues to gain share of total energy consumption
bull Russiandash Wholesale market liberalisedndash Profits from Russia build up in pace with the capacity increases
29
Outlook
bull Capex (excluding potential acquisitions)ndash 2011-2012 around EUR 16 to 18 billion annually (mainly due to Russian
investment programme)ndash 2013-2014 around EUR 11 to 14 billion annuallyndash Disclosed divestments totalled approximately EUR 05 billion
bull Hedgingndash 2011 approximately 70 hedge ratio at approximately EUR 45MWh(Q1 70 at EUR 44MWh)ndash 2012 approximately 50 hedge ratio at approximately EUR 46MWh(Q1 45 at EUR 45MWh)
30
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007 2008 2009 2010 2011 20120
10
20
30
40
50
60
70
80
90
100
110Spot prices Forward prices
3131
CO2 -free and energy-efficient solutions important
Create solid earnings growth in Russia
Leverage the strong Nordic core
Build platform for future growth
Competence in CO2 -free hydro nuclear and energy efficient CHP production and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -Fortumrsquos strategy remains intact
32
19 July 2011
Fortum Corporation
Interim Report
January-June 2011
Disclaimer
This presentation does not constitute an invitation to underwrite subscribe for or otherwise acquire or dispose of any Fortum shares
Past performance is no guide to future performance and persons needing advice should consult an independent financial adviser
Highlights in Q2
Increased uncertainty in macro environment
GLOBAL
- Incident in Fukushima in Japan
Finland
- No new decisions-in-principle on nuclear power in four years
- The new Governmentrsquos policy framework includes a possible implementation of a windfall tax and a uranium tax
Germany
- To be replaced by renewable energy
Q2 Market conditions
Nordic water reservoirs
Source Nord Pool Spot
Q1
Q2
Q3
Q4
2003
2008
2009
2011
2010
reference level
reservoir content (TWh)
0
20
40
60
80
100
120
Price development in the Nordic region and Russia
Includes capacity income
+17
+6
+24
+13
Q2 Good development continued
Q2 Comparable profit at last yearrsquos level
Comparable operating profit EUR million
-6
7
30
-14
348
339
0
-8
Power
Q22010
Heat
Russia
Distribution
Electricity
Sales
Other
Q22011
January-June Comparable profit at last yearrsquos level
Comparable operating profit EUR million
31
24
990
997
-113
48
29
-12
Power
H12010
Heat
Russia
Distribution
Electricity
Sales
Other
H12011
Fortum a forerunner in sustainability
Financials
Comparable and reported operating profit
Power
Q2 Power
Nuclear output in Q2
Planned outages in Oskarshamn 1amp3 and Forsmark 1 in Q22011
(In 2010 no outages in Q2)
If timing would have been similar in 2011 compared to 2010 nuclear output would have exceeded 2010 levels during Q2
Improved availability in Sweden
Q2 2011
Q2 2010
Nuclear
Outage effect
TWh
Q2 Power result declined due to several reasons
Comparable operating profit EUR million
257
-3
-4
0
271
3
-10
Volume
amp price
Q22010
Stronger
SEK
Russian
import
Property
taxes
Other
Q22011
Heat
Q2 Heat
Russia
Q2 Russia
Distribution
Q2 Distribution
Markets
Q2 Electricity Sales
Q2 Income statement
Q2 Cash flow statement
Key ratios
Q2 lsquo11
Debt maturity profile
per 30 June 2011 per 31 Dec 2010
Average interest rate (incl swaps and forwards)4435
Portion of floating fixed debt 47 53 49 51
Strong financial position
Return on capital employed
12
Return on shareholders equity
14
Net debtEBITDA
around 30
138
191
28
Fortumrsquos financial targets
LTM in Q22011
Good liquidity ndash committed credit lines total EUR 27 billion
Comparable net debtEBITDA
Outlook
Q2 Summary
Outlook
Outlook
(Q1 70 at EUR 44MWh)
(Q1 45 at EUR 45MWh)
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007
2008
2009
2010
2011
2012
0
10
20
30
40
50
60
70
80
90
100
110
Spot prices
Forward prices
CO2-free and energy-efficient solutions important
Create solid earnings
growth in Russia
Leverage the strong
Nordic core
Build platform for
future growth
Competence in CO2-free hydro nuclear and energy efficient CHP production
and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -
Fortumrsquos strategy remains intact
MEURII2011II2010I-II2011I-II2010LTM
Sales1833275569641 390
Comparable operating profit101021-335
Net Assets7759
Comparable RONA 341
Gross Investments10404
MEURII2011II2010I-II2011I-II2010LTM
Sales2152005264801 009
Comparable operating profit6053184155336
Net Assets3 4873 482
Comparable RONA 99
Gross Investments62479676233
0
250
500
750
1000
1250
1500
1750
20112012201320142015201620172018201920202021+
BondsFinancial institutionsOther long-term debtCPsOther short-term debt
MEURII2011II2010I-II2011I-II2010LTM
Sales195169490413881
Comparable operating profit21-955756
Net Assets3 0512 690
Comparable RONA 34
Gross Investments192167267258608
MEURII2011II2010I-II2011I-II2010LTM
Sales5745971 2671 3662 603
Comparable operating profit2572715826951 185
Net Assets5 9985 726
Comparable RONA 198
Gross Investments36226955136
MEURII2011II2010I-II2011I-II20102010LTM
Sales1 316
1 2953 3503 2426 296
6 404
Expenses-968-956-2 353-2 252-4 463-4 564
Comparable operating profit3483399979901 8331 840
Other items affecting comparability2611251285-125302
Operating profit6093511 5091 0751 7082 142
Share of profit of associates and jvs1515743162105
Financial expenses net-72-34-127-61-155-221
Profit before taxes5523321 4561 0451 6152 026
Income tax expense-74-61-232-191-261-302
Net profit for the period4782711 2248541 3541 724
Non-controlling interests6874325496
EPS basic (EUR)053030129093146183
EPS diluted (EUR)053030129093146183
Spot price for power in NordPool power exchange
448
459
662
523
621
0
12
24
36
48
60
72
Q22010Q32010Q42010Q12011Q22011
eurMWh
Powers Nordic power price
447
469
488
479
474
0
10
20
30
40
50
60
Q22010Q32010Q42010Q12011Q22011
eurMWh
MEURII2011II2010I-II2011I-II20102010LTM
Operating profit before depreciations7644901 8131 3512 2712 733
Non-cash flow items and divesting activities
-299-6-569-73124-372
Financial items and fx gainslosses
12-146-290-323-641-608
Taxes
-144-73-258-155-355-458
Funds from operations (FFO)
3332656968001 3991 295
Change in working capital
771571681433863
Total net cash from operating activities4104228649431 4371 358
Paid capital expenditures-297-263-503-486-1 134-1 151
Acquisition of shares-1-1-20-1-28-47
Other investing activities331-165417260529
Cash flow before financing activities443142882528335689
MEURII2011II2010I-II2011I-II2010LTM
Sales3223011 0479521 865
Comparable operating profit2533196165306
Net Assets3 9113 884
Comparable RONA 82
Gross Investments7259130121314
MEUR
II2011II2010II2011II2010I-II2011I-II2010I-II2011I-II2010
Power257271271280582695760747
Heat25332535196165290194
Russia21-921-95575523
Distribution605325253184155377166
Electricity Sales1010232321-33-6
Other-25-1917-31-41-2924-49
Total3483396093519979901 5091 075
Comparable operating profit
Reported operating profit
Comparable operating profit
Reported operating profit
Spot price for power (market price) Urals hub
770
935
817
950
954
0
200
400
600
800
1 000
1 200
Q22010Q32010Q42010Q12011Q22011
RUBMWh
Achieved power price for OAO Fortum
256
288
305
292
290
0
6
12
18
24
30
36
Q22010Q32010Q42010Q12011Q22011
eurMWh
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
MEURLTM20102009
EBITDA2 7332 2712 292
Comparable EBITDA2 4312 3962 398
Interest-bearing net debt6 7836 8265 969
Net debtEBITDA253026
Comparable Net debtEBITDA282825
Return on capital employed ()138116121
Return on shareholders equity ()191157160
) as of 30 June 2011
MEUR | |||
2011 | 231 | ||
2012 | 668 | ||
2013 | 639 | ||
2014 | 1223 | ||
2015 | 1051 | ||
2016 | 879 | ||
2017 | 270 | ||
2018 | 190 | ||
2019 | 840 | ||
2020 | 73 | ||
2021+ | 1530 |
MEUR | LTM | 2010 | 2009 | 2008 | 2006 | 2005 | |||||||
EBITDA | 2733 | 2271 | 2292 | 2478 | 1884 | ||||||||
Comparable EBITDA | 2431 | 2396 | 2398 | 1151 | 1271 | ||||||||
Interest-bearing net debt | 6 783 | 6826 | 5969 | 6179 | 4345 | 3158 | |||||||
Net debtEBITDA | 25 | 30 | 26 | 25 | 8161 | ||||||||
Comparable Net debtEBITDA | 28 | 28 | 25 | 16839 | 15130 | ||||||||
23 | 18 | ||||||||||||
Return on capital employed () | 138 | 116 | 121 | 150 | 134 | 135 | |||||||
Return on shareholders equity () | 191 | 157 | 160 | 187 | 144 | 135 | |||||||
) as of 30 June 2011 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | |||||||||||
Operating profit before depreciations | 764 | 490 | 1813 | 1351 | 2271 | 2733 | 2478 | 1663 | 2370 | 0 | |||||||||||
Non-cash flow items and divesting activities | -299 | -6 | -569 | -73 | 124 | -372 | -275 | -268 | -56 | 0 | |||||||||||
Financial items and fx gainslosses | 12 | -146 | -290 | -323 | -641 | -608 | 233 | ||||||||||||||
Taxes | -144 | -73 | -258 | -155 | -355 | -458 | -332 | -231 | -534 | 0 | |||||||||||
Funds from operations (FFO) | 333 | 265 | 696 | 800 | 1399 | 1295 | 2104 | 1164 | 1780 | 0 | |||||||||||
Change in working capital | 77 | 157 | 168 | 143 | 38 | 63 | -102 | 161 | 5 | 0 | |||||||||||
Total net cash from operating activities | 410 | 422 | 864 | 943 | 1437 | 1358 | 2002 | 1325 | 1785 | 0 | |||||||||||
Paid capital expenditures | -297 | -263 | -503 | -486 | -1134 | -1151 | -1018 | -341 | -931 | 0 | |||||||||||
Acquisition of shares | -1 | -1 | -20 | -1 | -28 | -47 | -1243 | -257 | -1243 | 0 | |||||||||||
Other investing activities | 331 | -16 | 541 | 72 | 60 | 529 | -21 | 258 | -34 | 0 | |||||||||||
Cash flow before financing activities | 443 | 142 | 882 | 528 | 335 | 689 | -280 | 985 | -423 | 0 |
MEUR | Q1-Q300 | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | 2004 | ||||||||||||||||||
Sales | 7732 | 1316 | 1295 | 3350 | 3242 | 6296 | 6404 | 5636 | 3159 | 5354 | 0 | 3835 | ||||||||||||||||||
Expenses | -7109 | -968 | -956 | -2353 | -2252 | -4463 | -4564 | -3673 | -1832 | -3482 | 0 | -2640 | ||||||||||||||||||
Comparable operating profit | 623 | 348 | 339 | 997 | 990 | 1833 | 1840 | 1963 | 1327 | 1872 | 0 | 1195 | ||||||||||||||||||
Other items affecting comparability | 261 | 12 | 512 | 85 | -125 | 302 | ||||||||||||||||||||||||
Operating profit | 609 | 351 | 1509 | 1075 | 1708 | 2142 | ||||||||||||||||||||||||
Share of profit of associates and jvs | 15 | 15 | 74 | 31 | 62 | 105 | 126 | 223 | 96 | 0 | 12 | |||||||||||||||||||
Financial expenses net | -209 | -72 | -34 | -127 | -61 | -155 | -221 | -239 | -117 | -222 | 0 | -245 | ||||||||||||||||||
Profit before taxes | 0 | 552 | 332 | 1456 | 1045 | 1615 | 2026 | 1850 | 1433 | 1746 | 0 | 0 | ||||||||||||||||||
Income tax expense | -83 | -74 | -61 | -232 | -191 | -261 | -302 | -254 | -218 | -364 | 0 | -259 | ||||||||||||||||||
Net profit for the period | -26 | 478 | 271 | 1224 | 854 | 1354 | 1724 | 1596 | 1215 | 1382 | 0 | 0 | ||||||||||||||||||
Non-controlling interests | 6 | 8 | 74 | 32 | 54 | 96 | 54 | 31 | 35 | 0 | 33 | |||||||||||||||||||
EPS basic (EUR) | 039 | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 148 | ||||||||||||||||||
EPS diluted (EUR) | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 079 | |||||||||||||||||||
069 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 183 | 327 | 556 | 964 | 1390 | |||||||
Comparable operating profit | 10 | 10 | 21 | -3 | 35 | |||||||
Net Assets | 77 | 59 | ||||||||||
Comparable RONA | 341 | |||||||||||
Gross Investments | 1 | 0 | 4 | 0 | 4 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 215 | 200 | 526 | 480 | 1009 | |||||||
Comparable operating profit | 60 | 53 | 184 | 155 | 336 | |||||||
Net Assets | 3487 | 3482 | ||||||||||
Comparable RONA | 99 | |||||||||||
Gross Investments | 62 | 47 | 96 | 76 | 233 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 195 | 169 | 490 | 413 | 881 | |||||||
Comparable operating profit | 21 | -9 | 55 | 7 | 56 | |||||||
Net Assets | 3051 | 2690 | ||||||||||
Comparable RONA | 34 | |||||||||||
Gross Investments | 192 | 167 | 267 | 258 | 608 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 322 | 301 | 1047 | 952 | 1865 | |||||||
Comparable operating profit | 25 | 33 | 196 | 165 | 306 | |||||||
Net Assets | 3911 | 3884 | ||||||||||
Comparable RONA | 82 | |||||||||||
Gross Investments | 72 | 59 | 130 | 121 | 314 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 574 | 597 | 1267 | 1366 | 2603 | |||||||
Comparable operating profit | 257 | 271 | 582 | 695 | 1185 | |||||||
Net Assets | 5998 | 5726 | ||||||||||
Comparable RONA | 198 | |||||||||||
Gross Investments | 36 | 22 | 69 | 55 | 136 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Roumlrelseresultat II2009 | Roumlrelseresultat II2008 | Liikevoitto 2008 | Liikevoitto 2007 | |||||||||||||||||||||||
Jaumlmfoumlrbart | Rapporterat | Jaumlmfoumlrbart | Rapporterat | Vertkelp | Raportoitu | Vertkelp | Raportoitu | |||||||||||||||||||
Kraftproduktion | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Vaumlrme | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Markets | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Ryssland | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Oumlvrigt | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Summa | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Liikevoitto II2010 | Liikevoitto II2009 | Liikevoitto I-II2010 | Liikevoitto I-II2009 | |||||||||||||||||||||||
Vertkelp | Raportoitu | Vertkelp | Raportoitu | Vertkelp | Raportoitu | Vertkelp | Raportoitu | |||||||||||||||||||
Power | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Heat | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Saumlhkoumlnmyynti | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Russia | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Muut | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Yhteensauml | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 | ||||||||||||||||||
I-III2009 | ||||||||||||||||||||||||||
SEK | Muut | Yhteensauml | ||||||||||||||||||||||||
Saumlhkoumlntuotanto | -67 | -3 | -70 | |||||||||||||||||||||||
Laumlmpouml | -10 | -2 | -12 | |||||||||||||||||||||||
Saumlhkoumlnsiirto | -13 | -1 | -14 | |||||||||||||||||||||||
Markets | -1 | -1 | -2 | |||||||||||||||||||||||
Venaumljauml | 0 | 6 | 6 | |||||||||||||||||||||||
Muu | 0 | 1 | 1 | |||||||||||||||||||||||
Yhteensauml | -91 | 0 | -91 |
Operating profit II2010 | Operating profit II2009 | Operating profit I-II2010 | Operating profit I-2009 | |||||||||||||||||||||||
Comparable | Reported | Comparable | Reported | Comparable | Reported | Comparable | Reported | |||||||||||||||||||
Power | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Heat | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Electricity Sales | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Russia | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Other | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Total | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 | ||||||||||||||||||
Currency translation effects on comparable operating profit | ||||||||||||||||||||||||||
I2009 | I-III2009 | |||||||||||||||||||||||||
SEK | Other | Total | SEK | Other | Total | |||||||||||||||||||||
Power Generation | -55 | -3 | -58 | Power Generation | -67 | -3 | -70 | |||||||||||||||||||
Heat | -12 | -3 | -15 | Heat | -10 | -2 | -12 | |||||||||||||||||||
Distribution | -11 | -1 | -12 | Distribution | -13 | -1 | -14 | |||||||||||||||||||
Markets | -1 | 0 | -1 | Markets | -1 | -1 | -2 | |||||||||||||||||||
Russia | 0 | 1 | 1 | Russia | 0 | 6 | 6 | |||||||||||||||||||
Other | 1 | 0 | 1 | Other | 0 | 1 | 1 | |||||||||||||||||||
Total | -78 | -6 | -84 | Total | -91 | 0 | -91 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Vertkelpliikevoitto | Raportoitu liikevoitto | Vertkelpliikevoitto | Raportoitu liikevoitto | |||||||||||||||||||||||
II2010 | II2009 | II2010 | II2009 | I-II2010 | I-II2009 | I-II2010 | I-II2009 | |||||||||||||||||||
Power | 257 | 271 | 271 | 280 | 582 | 695 | 760 | 747 | ||||||||||||||||||
Heat | 25 | 33 | 25 | 35 | 196 | 165 | 290 | 194 | ||||||||||||||||||
Distribution | 21 | -9 | 21 | -9 | 55 | 7 | 55 | 23 | ||||||||||||||||||
Saumlhkoumlnmyynti | 60 | 53 | 252 | 53 | 184 | 155 | 377 | 166 | ||||||||||||||||||
Russia | 10 | 10 | 23 | 23 | 21 | -3 | 3 | -6 | ||||||||||||||||||
Muut | -25 | -19 | 17 | -31 | -41 | -29 | 24 | -49 | ||||||||||||||||||
Yhteensauml | 348 | 339 | 609 | 351 | 997 | 990 | 1509 | 1075 | ||||||||||||||||||
I-III2009 | ||||||||||||||||||||||||||
SEK | Muut | Yhteensauml | ||||||||||||||||||||||||
Saumlhkoumlntuotanto | -67 | -3 | -70 | |||||||||||||||||||||||
Laumlmpouml | -10 | -2 | -12 | |||||||||||||||||||||||
Saumlhkoumlnsiirto | -13 | -1 | -14 | |||||||||||||||||||||||
Markets | -1 | -1 | -2 | |||||||||||||||||||||||
Venaumljauml | 0 | 6 | 6 | |||||||||||||||||||||||
Muu | 0 | 1 | 1 | |||||||||||||||||||||||
Yhteensauml | -91 | 0 | -91 |
MEUR | Comparable operating profit | Reported operating profit | Comparable operating profit | Reported operating profit | ||||||||||||||||||||||
II2011 | II2010 | II2011 | II2010 | I-II2011 | I-II2010 | I-II2011 | I-II2010 | |||||||||||||||||||
Power | 257 | 271 | 271 | 280 | 582 | 695 | 760 | 747 | ||||||||||||||||||
Heat | 25 | 33 | 25 | 35 | 196 | 165 | 290 | 194 | ||||||||||||||||||
Russia | 21 | -9 | 21 | -9 | 55 | 7 | 55 | 23 | ||||||||||||||||||
Distribution | 60 | 53 | 252 | 53 | 184 | 155 | 377 | 166 | ||||||||||||||||||
Electricity Sales | 10 | 10 | 23 | 23 | 21 | -3 | 3 | -6 | ||||||||||||||||||
Other | -25 | -19 | 17 | -31 | -41 | -29 | 24 | -49 | ||||||||||||||||||
Total | 348 | 339 | 609 | 351 | 997 | 990 | 1509 | 1075 | ||||||||||||||||||
Currency translation effects on comparable operating profit | ||||||||||||||||||||||||||
I2009 | I-III2009 | |||||||||||||||||||||||||
SEK | Other | Total | SEK | Other | Total | |||||||||||||||||||||
Power Generation | -55 | -3 | -58 | Power Generation | -67 | -3 | -70 | |||||||||||||||||||
Heat | -12 | -3 | -15 | Heat | -10 | -2 | -12 | |||||||||||||||||||
Distribution | -11 | -1 | -12 | Distribution | -13 | -1 | -14 | |||||||||||||||||||
Markets | -1 | 0 | -1 | Markets | -1 | -1 | -2 | |||||||||||||||||||
Russia | 0 | 1 | 1 | Russia | 0 | 6 | 6 | |||||||||||||||||||
Other | 1 | 0 | 1 | Other | 0 | 1 | 1 | |||||||||||||||||||
Total | -78 | -6 | -84 | Total | -91 | 0 | -91 |
26
Outlook
27
Q2 Summary
bull Solid performance continued - seasonalitybull Power
ndash Improved nuclear availability- timing of Swedish planned nuclear outages impacted volume
ndash Swedish nuclear back at 80-85 in availabilityndash Lower hydro volumes ndash water reservoirs improved at the end of the quarterndash SEK burdenedndash Results year-end weighted compared to 2010
bull Russiandash Commissioning of new units contributed to result improvementndash The return for the new capacity is guaranteed ndash EUR 100 million efficiency improvement reached
bull Nordic countriesndash Water reservoirs improved to long-term average
bull Overall strong financial position
28
Outlook
bull Key drivers and risksndash Wholesale price of electricity
bull Demandbull Fuelsbull CO2 emissions pricesbull Water reservoirsbull Nuclear availability
bull Nordic marketsndash Market continues to recover ndash 2008 level to be reached by 2012-2014ndash Electricity continues to gain share of total energy consumption
bull Russiandash Wholesale market liberalisedndash Profits from Russia build up in pace with the capacity increases
29
Outlook
bull Capex (excluding potential acquisitions)ndash 2011-2012 around EUR 16 to 18 billion annually (mainly due to Russian
investment programme)ndash 2013-2014 around EUR 11 to 14 billion annuallyndash Disclosed divestments totalled approximately EUR 05 billion
bull Hedgingndash 2011 approximately 70 hedge ratio at approximately EUR 45MWh(Q1 70 at EUR 44MWh)ndash 2012 approximately 50 hedge ratio at approximately EUR 46MWh(Q1 45 at EUR 45MWh)
30
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007 2008 2009 2010 2011 20120
10
20
30
40
50
60
70
80
90
100
110Spot prices Forward prices
3131
CO2 -free and energy-efficient solutions important
Create solid earnings growth in Russia
Leverage the strong Nordic core
Build platform for future growth
Competence in CO2 -free hydro nuclear and energy efficient CHP production and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -Fortumrsquos strategy remains intact
32
19 July 2011
Fortum Corporation
Interim Report
January-June 2011
Disclaimer
This presentation does not constitute an invitation to underwrite subscribe for or otherwise acquire or dispose of any Fortum shares
Past performance is no guide to future performance and persons needing advice should consult an independent financial adviser
Highlights in Q2
Increased uncertainty in macro environment
GLOBAL
- Incident in Fukushima in Japan
Finland
- No new decisions-in-principle on nuclear power in four years
- The new Governmentrsquos policy framework includes a possible implementation of a windfall tax and a uranium tax
Germany
- To be replaced by renewable energy
Q2 Market conditions
Nordic water reservoirs
Source Nord Pool Spot
Q1
Q2
Q3
Q4
2003
2008
2009
2011
2010
reference level
reservoir content (TWh)
0
20
40
60
80
100
120
Price development in the Nordic region and Russia
Includes capacity income
+17
+6
+24
+13
Q2 Good development continued
Q2 Comparable profit at last yearrsquos level
Comparable operating profit EUR million
-6
7
30
-14
348
339
0
-8
Power
Q22010
Heat
Russia
Distribution
Electricity
Sales
Other
Q22011
January-June Comparable profit at last yearrsquos level
Comparable operating profit EUR million
31
24
990
997
-113
48
29
-12
Power
H12010
Heat
Russia
Distribution
Electricity
Sales
Other
H12011
Fortum a forerunner in sustainability
Financials
Comparable and reported operating profit
Power
Q2 Power
Nuclear output in Q2
Planned outages in Oskarshamn 1amp3 and Forsmark 1 in Q22011
(In 2010 no outages in Q2)
If timing would have been similar in 2011 compared to 2010 nuclear output would have exceeded 2010 levels during Q2
Improved availability in Sweden
Q2 2011
Q2 2010
Nuclear
Outage effect
TWh
Q2 Power result declined due to several reasons
Comparable operating profit EUR million
257
-3
-4
0
271
3
-10
Volume
amp price
Q22010
Stronger
SEK
Russian
import
Property
taxes
Other
Q22011
Heat
Q2 Heat
Russia
Q2 Russia
Distribution
Q2 Distribution
Markets
Q2 Electricity Sales
Q2 Income statement
Q2 Cash flow statement
Key ratios
Q2 lsquo11
Debt maturity profile
per 30 June 2011 per 31 Dec 2010
Average interest rate (incl swaps and forwards)4435
Portion of floating fixed debt 47 53 49 51
Strong financial position
Return on capital employed
12
Return on shareholders equity
14
Net debtEBITDA
around 30
138
191
28
Fortumrsquos financial targets
LTM in Q22011
Good liquidity ndash committed credit lines total EUR 27 billion
Comparable net debtEBITDA
Outlook
Q2 Summary
Outlook
Outlook
(Q1 70 at EUR 44MWh)
(Q1 45 at EUR 45MWh)
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007
2008
2009
2010
2011
2012
0
10
20
30
40
50
60
70
80
90
100
110
Spot prices
Forward prices
CO2-free and energy-efficient solutions important
Create solid earnings
growth in Russia
Leverage the strong
Nordic core
Build platform for
future growth
Competence in CO2-free hydro nuclear and energy efficient CHP production
and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -
Fortumrsquos strategy remains intact
MEURII2011II2010I-II2011I-II2010LTM
Sales1833275569641 390
Comparable operating profit101021-335
Net Assets7759
Comparable RONA 341
Gross Investments10404
MEURII2011II2010I-II2011I-II2010LTM
Sales2152005264801 009
Comparable operating profit6053184155336
Net Assets3 4873 482
Comparable RONA 99
Gross Investments62479676233
0
250
500
750
1000
1250
1500
1750
20112012201320142015201620172018201920202021+
BondsFinancial institutionsOther long-term debtCPsOther short-term debt
MEURII2011II2010I-II2011I-II2010LTM
Sales195169490413881
Comparable operating profit21-955756
Net Assets3 0512 690
Comparable RONA 34
Gross Investments192167267258608
MEURII2011II2010I-II2011I-II2010LTM
Sales5745971 2671 3662 603
Comparable operating profit2572715826951 185
Net Assets5 9985 726
Comparable RONA 198
Gross Investments36226955136
MEURII2011II2010I-II2011I-II20102010LTM
Sales1 316
1 2953 3503 2426 296
6 404
Expenses-968-956-2 353-2 252-4 463-4 564
Comparable operating profit3483399979901 8331 840
Other items affecting comparability2611251285-125302
Operating profit6093511 5091 0751 7082 142
Share of profit of associates and jvs1515743162105
Financial expenses net-72-34-127-61-155-221
Profit before taxes5523321 4561 0451 6152 026
Income tax expense-74-61-232-191-261-302
Net profit for the period4782711 2248541 3541 724
Non-controlling interests6874325496
EPS basic (EUR)053030129093146183
EPS diluted (EUR)053030129093146183
Spot price for power in NordPool power exchange
448
459
662
523
621
0
12
24
36
48
60
72
Q22010Q32010Q42010Q12011Q22011
eurMWh
Powers Nordic power price
447
469
488
479
474
0
10
20
30
40
50
60
Q22010Q32010Q42010Q12011Q22011
eurMWh
MEURII2011II2010I-II2011I-II20102010LTM
Operating profit before depreciations7644901 8131 3512 2712 733
Non-cash flow items and divesting activities
-299-6-569-73124-372
Financial items and fx gainslosses
12-146-290-323-641-608
Taxes
-144-73-258-155-355-458
Funds from operations (FFO)
3332656968001 3991 295
Change in working capital
771571681433863
Total net cash from operating activities4104228649431 4371 358
Paid capital expenditures-297-263-503-486-1 134-1 151
Acquisition of shares-1-1-20-1-28-47
Other investing activities331-165417260529
Cash flow before financing activities443142882528335689
MEURII2011II2010I-II2011I-II2010LTM
Sales3223011 0479521 865
Comparable operating profit2533196165306
Net Assets3 9113 884
Comparable RONA 82
Gross Investments7259130121314
MEUR
II2011II2010II2011II2010I-II2011I-II2010I-II2011I-II2010
Power257271271280582695760747
Heat25332535196165290194
Russia21-921-95575523
Distribution605325253184155377166
Electricity Sales1010232321-33-6
Other-25-1917-31-41-2924-49
Total3483396093519979901 5091 075
Comparable operating profit
Reported operating profit
Comparable operating profit
Reported operating profit
Spot price for power (market price) Urals hub
770
935
817
950
954
0
200
400
600
800
1 000
1 200
Q22010Q32010Q42010Q12011Q22011
RUBMWh
Achieved power price for OAO Fortum
256
288
305
292
290
0
6
12
18
24
30
36
Q22010Q32010Q42010Q12011Q22011
eurMWh
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
MEURLTM20102009
EBITDA2 7332 2712 292
Comparable EBITDA2 4312 3962 398
Interest-bearing net debt6 7836 8265 969
Net debtEBITDA253026
Comparable Net debtEBITDA282825
Return on capital employed ()138116121
Return on shareholders equity ()191157160
) as of 30 June 2011
MEUR | |||
2011 | 231 | ||
2012 | 668 | ||
2013 | 639 | ||
2014 | 1223 | ||
2015 | 1051 | ||
2016 | 879 | ||
2017 | 270 | ||
2018 | 190 | ||
2019 | 840 | ||
2020 | 73 | ||
2021+ | 1530 |
MEUR | LTM | 2010 | 2009 | 2008 | 2006 | 2005 | |||||||
EBITDA | 2733 | 2271 | 2292 | 2478 | 1884 | ||||||||
Comparable EBITDA | 2431 | 2396 | 2398 | 1151 | 1271 | ||||||||
Interest-bearing net debt | 6 783 | 6826 | 5969 | 6179 | 4345 | 3158 | |||||||
Net debtEBITDA | 25 | 30 | 26 | 25 | 8161 | ||||||||
Comparable Net debtEBITDA | 28 | 28 | 25 | 16839 | 15130 | ||||||||
23 | 18 | ||||||||||||
Return on capital employed () | 138 | 116 | 121 | 150 | 134 | 135 | |||||||
Return on shareholders equity () | 191 | 157 | 160 | 187 | 144 | 135 | |||||||
) as of 30 June 2011 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | |||||||||||
Operating profit before depreciations | 764 | 490 | 1813 | 1351 | 2271 | 2733 | 2478 | 1663 | 2370 | 0 | |||||||||||
Non-cash flow items and divesting activities | -299 | -6 | -569 | -73 | 124 | -372 | -275 | -268 | -56 | 0 | |||||||||||
Financial items and fx gainslosses | 12 | -146 | -290 | -323 | -641 | -608 | 233 | ||||||||||||||
Taxes | -144 | -73 | -258 | -155 | -355 | -458 | -332 | -231 | -534 | 0 | |||||||||||
Funds from operations (FFO) | 333 | 265 | 696 | 800 | 1399 | 1295 | 2104 | 1164 | 1780 | 0 | |||||||||||
Change in working capital | 77 | 157 | 168 | 143 | 38 | 63 | -102 | 161 | 5 | 0 | |||||||||||
Total net cash from operating activities | 410 | 422 | 864 | 943 | 1437 | 1358 | 2002 | 1325 | 1785 | 0 | |||||||||||
Paid capital expenditures | -297 | -263 | -503 | -486 | -1134 | -1151 | -1018 | -341 | -931 | 0 | |||||||||||
Acquisition of shares | -1 | -1 | -20 | -1 | -28 | -47 | -1243 | -257 | -1243 | 0 | |||||||||||
Other investing activities | 331 | -16 | 541 | 72 | 60 | 529 | -21 | 258 | -34 | 0 | |||||||||||
Cash flow before financing activities | 443 | 142 | 882 | 528 | 335 | 689 | -280 | 985 | -423 | 0 |
MEUR | Q1-Q300 | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | 2004 | ||||||||||||||||||
Sales | 7732 | 1316 | 1295 | 3350 | 3242 | 6296 | 6404 | 5636 | 3159 | 5354 | 0 | 3835 | ||||||||||||||||||
Expenses | -7109 | -968 | -956 | -2353 | -2252 | -4463 | -4564 | -3673 | -1832 | -3482 | 0 | -2640 | ||||||||||||||||||
Comparable operating profit | 623 | 348 | 339 | 997 | 990 | 1833 | 1840 | 1963 | 1327 | 1872 | 0 | 1195 | ||||||||||||||||||
Other items affecting comparability | 261 | 12 | 512 | 85 | -125 | 302 | ||||||||||||||||||||||||
Operating profit | 609 | 351 | 1509 | 1075 | 1708 | 2142 | ||||||||||||||||||||||||
Share of profit of associates and jvs | 15 | 15 | 74 | 31 | 62 | 105 | 126 | 223 | 96 | 0 | 12 | |||||||||||||||||||
Financial expenses net | -209 | -72 | -34 | -127 | -61 | -155 | -221 | -239 | -117 | -222 | 0 | -245 | ||||||||||||||||||
Profit before taxes | 0 | 552 | 332 | 1456 | 1045 | 1615 | 2026 | 1850 | 1433 | 1746 | 0 | 0 | ||||||||||||||||||
Income tax expense | -83 | -74 | -61 | -232 | -191 | -261 | -302 | -254 | -218 | -364 | 0 | -259 | ||||||||||||||||||
Net profit for the period | -26 | 478 | 271 | 1224 | 854 | 1354 | 1724 | 1596 | 1215 | 1382 | 0 | 0 | ||||||||||||||||||
Non-controlling interests | 6 | 8 | 74 | 32 | 54 | 96 | 54 | 31 | 35 | 0 | 33 | |||||||||||||||||||
EPS basic (EUR) | 039 | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 148 | ||||||||||||||||||
EPS diluted (EUR) | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 079 | |||||||||||||||||||
069 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 183 | 327 | 556 | 964 | 1390 | |||||||
Comparable operating profit | 10 | 10 | 21 | -3 | 35 | |||||||
Net Assets | 77 | 59 | ||||||||||
Comparable RONA | 341 | |||||||||||
Gross Investments | 1 | 0 | 4 | 0 | 4 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 215 | 200 | 526 | 480 | 1009 | |||||||
Comparable operating profit | 60 | 53 | 184 | 155 | 336 | |||||||
Net Assets | 3487 | 3482 | ||||||||||
Comparable RONA | 99 | |||||||||||
Gross Investments | 62 | 47 | 96 | 76 | 233 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 195 | 169 | 490 | 413 | 881 | |||||||
Comparable operating profit | 21 | -9 | 55 | 7 | 56 | |||||||
Net Assets | 3051 | 2690 | ||||||||||
Comparable RONA | 34 | |||||||||||
Gross Investments | 192 | 167 | 267 | 258 | 608 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 322 | 301 | 1047 | 952 | 1865 | |||||||
Comparable operating profit | 25 | 33 | 196 | 165 | 306 | |||||||
Net Assets | 3911 | 3884 | ||||||||||
Comparable RONA | 82 | |||||||||||
Gross Investments | 72 | 59 | 130 | 121 | 314 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 574 | 597 | 1267 | 1366 | 2603 | |||||||
Comparable operating profit | 257 | 271 | 582 | 695 | 1185 | |||||||
Net Assets | 5998 | 5726 | ||||||||||
Comparable RONA | 198 | |||||||||||
Gross Investments | 36 | 22 | 69 | 55 | 136 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Roumlrelseresultat II2009 | Roumlrelseresultat II2008 | Liikevoitto 2008 | Liikevoitto 2007 | |||||||||||||||||||||||
Jaumlmfoumlrbart | Rapporterat | Jaumlmfoumlrbart | Rapporterat | Vertkelp | Raportoitu | Vertkelp | Raportoitu | |||||||||||||||||||
Kraftproduktion | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Vaumlrme | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Markets | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Ryssland | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Oumlvrigt | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Summa | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Liikevoitto II2010 | Liikevoitto II2009 | Liikevoitto I-II2010 | Liikevoitto I-II2009 | |||||||||||||||||||||||
Vertkelp | Raportoitu | Vertkelp | Raportoitu | Vertkelp | Raportoitu | Vertkelp | Raportoitu | |||||||||||||||||||
Power | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Heat | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Saumlhkoumlnmyynti | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Russia | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Muut | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Yhteensauml | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 | ||||||||||||||||||
I-III2009 | ||||||||||||||||||||||||||
SEK | Muut | Yhteensauml | ||||||||||||||||||||||||
Saumlhkoumlntuotanto | -67 | -3 | -70 | |||||||||||||||||||||||
Laumlmpouml | -10 | -2 | -12 | |||||||||||||||||||||||
Saumlhkoumlnsiirto | -13 | -1 | -14 | |||||||||||||||||||||||
Markets | -1 | -1 | -2 | |||||||||||||||||||||||
Venaumljauml | 0 | 6 | 6 | |||||||||||||||||||||||
Muu | 0 | 1 | 1 | |||||||||||||||||||||||
Yhteensauml | -91 | 0 | -91 |
Operating profit II2010 | Operating profit II2009 | Operating profit I-II2010 | Operating profit I-2009 | |||||||||||||||||||||||
Comparable | Reported | Comparable | Reported | Comparable | Reported | Comparable | Reported | |||||||||||||||||||
Power | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Heat | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Electricity Sales | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Russia | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Other | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Total | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 | ||||||||||||||||||
Currency translation effects on comparable operating profit | ||||||||||||||||||||||||||
I2009 | I-III2009 | |||||||||||||||||||||||||
SEK | Other | Total | SEK | Other | Total | |||||||||||||||||||||
Power Generation | -55 | -3 | -58 | Power Generation | -67 | -3 | -70 | |||||||||||||||||||
Heat | -12 | -3 | -15 | Heat | -10 | -2 | -12 | |||||||||||||||||||
Distribution | -11 | -1 | -12 | Distribution | -13 | -1 | -14 | |||||||||||||||||||
Markets | -1 | 0 | -1 | Markets | -1 | -1 | -2 | |||||||||||||||||||
Russia | 0 | 1 | 1 | Russia | 0 | 6 | 6 | |||||||||||||||||||
Other | 1 | 0 | 1 | Other | 0 | 1 | 1 | |||||||||||||||||||
Total | -78 | -6 | -84 | Total | -91 | 0 | -91 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Vertkelpliikevoitto | Raportoitu liikevoitto | Vertkelpliikevoitto | Raportoitu liikevoitto | |||||||||||||||||||||||
II2010 | II2009 | II2010 | II2009 | I-II2010 | I-II2009 | I-II2010 | I-II2009 | |||||||||||||||||||
Power | 257 | 271 | 271 | 280 | 582 | 695 | 760 | 747 | ||||||||||||||||||
Heat | 25 | 33 | 25 | 35 | 196 | 165 | 290 | 194 | ||||||||||||||||||
Distribution | 21 | -9 | 21 | -9 | 55 | 7 | 55 | 23 | ||||||||||||||||||
Saumlhkoumlnmyynti | 60 | 53 | 252 | 53 | 184 | 155 | 377 | 166 | ||||||||||||||||||
Russia | 10 | 10 | 23 | 23 | 21 | -3 | 3 | -6 | ||||||||||||||||||
Muut | -25 | -19 | 17 | -31 | -41 | -29 | 24 | -49 | ||||||||||||||||||
Yhteensauml | 348 | 339 | 609 | 351 | 997 | 990 | 1509 | 1075 | ||||||||||||||||||
I-III2009 | ||||||||||||||||||||||||||
SEK | Muut | Yhteensauml | ||||||||||||||||||||||||
Saumlhkoumlntuotanto | -67 | -3 | -70 | |||||||||||||||||||||||
Laumlmpouml | -10 | -2 | -12 | |||||||||||||||||||||||
Saumlhkoumlnsiirto | -13 | -1 | -14 | |||||||||||||||||||||||
Markets | -1 | -1 | -2 | |||||||||||||||||||||||
Venaumljauml | 0 | 6 | 6 | |||||||||||||||||||||||
Muu | 0 | 1 | 1 | |||||||||||||||||||||||
Yhteensauml | -91 | 0 | -91 |
MEUR | Comparable operating profit | Reported operating profit | Comparable operating profit | Reported operating profit | ||||||||||||||||||||||
II2011 | II2010 | II2011 | II2010 | I-II2011 | I-II2010 | I-II2011 | I-II2010 | |||||||||||||||||||
Power | 257 | 271 | 271 | 280 | 582 | 695 | 760 | 747 | ||||||||||||||||||
Heat | 25 | 33 | 25 | 35 | 196 | 165 | 290 | 194 | ||||||||||||||||||
Russia | 21 | -9 | 21 | -9 | 55 | 7 | 55 | 23 | ||||||||||||||||||
Distribution | 60 | 53 | 252 | 53 | 184 | 155 | 377 | 166 | ||||||||||||||||||
Electricity Sales | 10 | 10 | 23 | 23 | 21 | -3 | 3 | -6 | ||||||||||||||||||
Other | -25 | -19 | 17 | -31 | -41 | -29 | 24 | -49 | ||||||||||||||||||
Total | 348 | 339 | 609 | 351 | 997 | 990 | 1509 | 1075 | ||||||||||||||||||
Currency translation effects on comparable operating profit | ||||||||||||||||||||||||||
I2009 | I-III2009 | |||||||||||||||||||||||||
SEK | Other | Total | SEK | Other | Total | |||||||||||||||||||||
Power Generation | -55 | -3 | -58 | Power Generation | -67 | -3 | -70 | |||||||||||||||||||
Heat | -12 | -3 | -15 | Heat | -10 | -2 | -12 | |||||||||||||||||||
Distribution | -11 | -1 | -12 | Distribution | -13 | -1 | -14 | |||||||||||||||||||
Markets | -1 | 0 | -1 | Markets | -1 | -1 | -2 | |||||||||||||||||||
Russia | 0 | 1 | 1 | Russia | 0 | 6 | 6 | |||||||||||||||||||
Other | 1 | 0 | 1 | Other | 0 | 1 | 1 | |||||||||||||||||||
Total | -78 | -6 | -84 | Total | -91 | 0 | -91 |
27
Q2 Summary
bull Solid performance continued - seasonalitybull Power
ndash Improved nuclear availability- timing of Swedish planned nuclear outages impacted volume
ndash Swedish nuclear back at 80-85 in availabilityndash Lower hydro volumes ndash water reservoirs improved at the end of the quarterndash SEK burdenedndash Results year-end weighted compared to 2010
bull Russiandash Commissioning of new units contributed to result improvementndash The return for the new capacity is guaranteed ndash EUR 100 million efficiency improvement reached
bull Nordic countriesndash Water reservoirs improved to long-term average
bull Overall strong financial position
28
Outlook
bull Key drivers and risksndash Wholesale price of electricity
bull Demandbull Fuelsbull CO2 emissions pricesbull Water reservoirsbull Nuclear availability
bull Nordic marketsndash Market continues to recover ndash 2008 level to be reached by 2012-2014ndash Electricity continues to gain share of total energy consumption
bull Russiandash Wholesale market liberalisedndash Profits from Russia build up in pace with the capacity increases
29
Outlook
bull Capex (excluding potential acquisitions)ndash 2011-2012 around EUR 16 to 18 billion annually (mainly due to Russian
investment programme)ndash 2013-2014 around EUR 11 to 14 billion annuallyndash Disclosed divestments totalled approximately EUR 05 billion
bull Hedgingndash 2011 approximately 70 hedge ratio at approximately EUR 45MWh(Q1 70 at EUR 44MWh)ndash 2012 approximately 50 hedge ratio at approximately EUR 46MWh(Q1 45 at EUR 45MWh)
30
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007 2008 2009 2010 2011 20120
10
20
30
40
50
60
70
80
90
100
110Spot prices Forward prices
3131
CO2 -free and energy-efficient solutions important
Create solid earnings growth in Russia
Leverage the strong Nordic core
Build platform for future growth
Competence in CO2 -free hydro nuclear and energy efficient CHP production and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -Fortumrsquos strategy remains intact
32
19 July 2011
Fortum Corporation
Interim Report
January-June 2011
Disclaimer
This presentation does not constitute an invitation to underwrite subscribe for or otherwise acquire or dispose of any Fortum shares
Past performance is no guide to future performance and persons needing advice should consult an independent financial adviser
Highlights in Q2
Increased uncertainty in macro environment
GLOBAL
- Incident in Fukushima in Japan
Finland
- No new decisions-in-principle on nuclear power in four years
- The new Governmentrsquos policy framework includes a possible implementation of a windfall tax and a uranium tax
Germany
- To be replaced by renewable energy
Q2 Market conditions
Nordic water reservoirs
Source Nord Pool Spot
Q1
Q2
Q3
Q4
2003
2008
2009
2011
2010
reference level
reservoir content (TWh)
0
20
40
60
80
100
120
Price development in the Nordic region and Russia
Includes capacity income
+17
+6
+24
+13
Q2 Good development continued
Q2 Comparable profit at last yearrsquos level
Comparable operating profit EUR million
-6
7
30
-14
348
339
0
-8
Power
Q22010
Heat
Russia
Distribution
Electricity
Sales
Other
Q22011
January-June Comparable profit at last yearrsquos level
Comparable operating profit EUR million
31
24
990
997
-113
48
29
-12
Power
H12010
Heat
Russia
Distribution
Electricity
Sales
Other
H12011
Fortum a forerunner in sustainability
Financials
Comparable and reported operating profit
Power
Q2 Power
Nuclear output in Q2
Planned outages in Oskarshamn 1amp3 and Forsmark 1 in Q22011
(In 2010 no outages in Q2)
If timing would have been similar in 2011 compared to 2010 nuclear output would have exceeded 2010 levels during Q2
Improved availability in Sweden
Q2 2011
Q2 2010
Nuclear
Outage effect
TWh
Q2 Power result declined due to several reasons
Comparable operating profit EUR million
257
-3
-4
0
271
3
-10
Volume
amp price
Q22010
Stronger
SEK
Russian
import
Property
taxes
Other
Q22011
Heat
Q2 Heat
Russia
Q2 Russia
Distribution
Q2 Distribution
Markets
Q2 Electricity Sales
Q2 Income statement
Q2 Cash flow statement
Key ratios
Q2 lsquo11
Debt maturity profile
per 30 June 2011 per 31 Dec 2010
Average interest rate (incl swaps and forwards)4435
Portion of floating fixed debt 47 53 49 51
Strong financial position
Return on capital employed
12
Return on shareholders equity
14
Net debtEBITDA
around 30
138
191
28
Fortumrsquos financial targets
LTM in Q22011
Good liquidity ndash committed credit lines total EUR 27 billion
Comparable net debtEBITDA
Outlook
Q2 Summary
Outlook
Outlook
(Q1 70 at EUR 44MWh)
(Q1 45 at EUR 45MWh)
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007
2008
2009
2010
2011
2012
0
10
20
30
40
50
60
70
80
90
100
110
Spot prices
Forward prices
CO2-free and energy-efficient solutions important
Create solid earnings
growth in Russia
Leverage the strong
Nordic core
Build platform for
future growth
Competence in CO2-free hydro nuclear and energy efficient CHP production
and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -
Fortumrsquos strategy remains intact
MEURII2011II2010I-II2011I-II2010LTM
Sales1833275569641 390
Comparable operating profit101021-335
Net Assets7759
Comparable RONA 341
Gross Investments10404
MEURII2011II2010I-II2011I-II2010LTM
Sales2152005264801 009
Comparable operating profit6053184155336
Net Assets3 4873 482
Comparable RONA 99
Gross Investments62479676233
0
250
500
750
1000
1250
1500
1750
20112012201320142015201620172018201920202021+
BondsFinancial institutionsOther long-term debtCPsOther short-term debt
MEURII2011II2010I-II2011I-II2010LTM
Sales195169490413881
Comparable operating profit21-955756
Net Assets3 0512 690
Comparable RONA 34
Gross Investments192167267258608
MEURII2011II2010I-II2011I-II2010LTM
Sales5745971 2671 3662 603
Comparable operating profit2572715826951 185
Net Assets5 9985 726
Comparable RONA 198
Gross Investments36226955136
MEURII2011II2010I-II2011I-II20102010LTM
Sales1 316
1 2953 3503 2426 296
6 404
Expenses-968-956-2 353-2 252-4 463-4 564
Comparable operating profit3483399979901 8331 840
Other items affecting comparability2611251285-125302
Operating profit6093511 5091 0751 7082 142
Share of profit of associates and jvs1515743162105
Financial expenses net-72-34-127-61-155-221
Profit before taxes5523321 4561 0451 6152 026
Income tax expense-74-61-232-191-261-302
Net profit for the period4782711 2248541 3541 724
Non-controlling interests6874325496
EPS basic (EUR)053030129093146183
EPS diluted (EUR)053030129093146183
Spot price for power in NordPool power exchange
448
459
662
523
621
0
12
24
36
48
60
72
Q22010Q32010Q42010Q12011Q22011
eurMWh
Powers Nordic power price
447
469
488
479
474
0
10
20
30
40
50
60
Q22010Q32010Q42010Q12011Q22011
eurMWh
MEURII2011II2010I-II2011I-II20102010LTM
Operating profit before depreciations7644901 8131 3512 2712 733
Non-cash flow items and divesting activities
-299-6-569-73124-372
Financial items and fx gainslosses
12-146-290-323-641-608
Taxes
-144-73-258-155-355-458
Funds from operations (FFO)
3332656968001 3991 295
Change in working capital
771571681433863
Total net cash from operating activities4104228649431 4371 358
Paid capital expenditures-297-263-503-486-1 134-1 151
Acquisition of shares-1-1-20-1-28-47
Other investing activities331-165417260529
Cash flow before financing activities443142882528335689
MEURII2011II2010I-II2011I-II2010LTM
Sales3223011 0479521 865
Comparable operating profit2533196165306
Net Assets3 9113 884
Comparable RONA 82
Gross Investments7259130121314
MEUR
II2011II2010II2011II2010I-II2011I-II2010I-II2011I-II2010
Power257271271280582695760747
Heat25332535196165290194
Russia21-921-95575523
Distribution605325253184155377166
Electricity Sales1010232321-33-6
Other-25-1917-31-41-2924-49
Total3483396093519979901 5091 075
Comparable operating profit
Reported operating profit
Comparable operating profit
Reported operating profit
Spot price for power (market price) Urals hub
770
935
817
950
954
0
200
400
600
800
1 000
1 200
Q22010Q32010Q42010Q12011Q22011
RUBMWh
Achieved power price for OAO Fortum
256
288
305
292
290
0
6
12
18
24
30
36
Q22010Q32010Q42010Q12011Q22011
eurMWh
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
MEURLTM20102009
EBITDA2 7332 2712 292
Comparable EBITDA2 4312 3962 398
Interest-bearing net debt6 7836 8265 969
Net debtEBITDA253026
Comparable Net debtEBITDA282825
Return on capital employed ()138116121
Return on shareholders equity ()191157160
) as of 30 June 2011
MEUR | |||
2011 | 231 | ||
2012 | 668 | ||
2013 | 639 | ||
2014 | 1223 | ||
2015 | 1051 | ||
2016 | 879 | ||
2017 | 270 | ||
2018 | 190 | ||
2019 | 840 | ||
2020 | 73 | ||
2021+ | 1530 |
MEUR | LTM | 2010 | 2009 | 2008 | 2006 | 2005 | |||||||
EBITDA | 2733 | 2271 | 2292 | 2478 | 1884 | ||||||||
Comparable EBITDA | 2431 | 2396 | 2398 | 1151 | 1271 | ||||||||
Interest-bearing net debt | 6 783 | 6826 | 5969 | 6179 | 4345 | 3158 | |||||||
Net debtEBITDA | 25 | 30 | 26 | 25 | 8161 | ||||||||
Comparable Net debtEBITDA | 28 | 28 | 25 | 16839 | 15130 | ||||||||
23 | 18 | ||||||||||||
Return on capital employed () | 138 | 116 | 121 | 150 | 134 | 135 | |||||||
Return on shareholders equity () | 191 | 157 | 160 | 187 | 144 | 135 | |||||||
) as of 30 June 2011 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | |||||||||||
Operating profit before depreciations | 764 | 490 | 1813 | 1351 | 2271 | 2733 | 2478 | 1663 | 2370 | 0 | |||||||||||
Non-cash flow items and divesting activities | -299 | -6 | -569 | -73 | 124 | -372 | -275 | -268 | -56 | 0 | |||||||||||
Financial items and fx gainslosses | 12 | -146 | -290 | -323 | -641 | -608 | 233 | ||||||||||||||
Taxes | -144 | -73 | -258 | -155 | -355 | -458 | -332 | -231 | -534 | 0 | |||||||||||
Funds from operations (FFO) | 333 | 265 | 696 | 800 | 1399 | 1295 | 2104 | 1164 | 1780 | 0 | |||||||||||
Change in working capital | 77 | 157 | 168 | 143 | 38 | 63 | -102 | 161 | 5 | 0 | |||||||||||
Total net cash from operating activities | 410 | 422 | 864 | 943 | 1437 | 1358 | 2002 | 1325 | 1785 | 0 | |||||||||||
Paid capital expenditures | -297 | -263 | -503 | -486 | -1134 | -1151 | -1018 | -341 | -931 | 0 | |||||||||||
Acquisition of shares | -1 | -1 | -20 | -1 | -28 | -47 | -1243 | -257 | -1243 | 0 | |||||||||||
Other investing activities | 331 | -16 | 541 | 72 | 60 | 529 | -21 | 258 | -34 | 0 | |||||||||||
Cash flow before financing activities | 443 | 142 | 882 | 528 | 335 | 689 | -280 | 985 | -423 | 0 |
MEUR | Q1-Q300 | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | 2004 | ||||||||||||||||||
Sales | 7732 | 1316 | 1295 | 3350 | 3242 | 6296 | 6404 | 5636 | 3159 | 5354 | 0 | 3835 | ||||||||||||||||||
Expenses | -7109 | -968 | -956 | -2353 | -2252 | -4463 | -4564 | -3673 | -1832 | -3482 | 0 | -2640 | ||||||||||||||||||
Comparable operating profit | 623 | 348 | 339 | 997 | 990 | 1833 | 1840 | 1963 | 1327 | 1872 | 0 | 1195 | ||||||||||||||||||
Other items affecting comparability | 261 | 12 | 512 | 85 | -125 | 302 | ||||||||||||||||||||||||
Operating profit | 609 | 351 | 1509 | 1075 | 1708 | 2142 | ||||||||||||||||||||||||
Share of profit of associates and jvs | 15 | 15 | 74 | 31 | 62 | 105 | 126 | 223 | 96 | 0 | 12 | |||||||||||||||||||
Financial expenses net | -209 | -72 | -34 | -127 | -61 | -155 | -221 | -239 | -117 | -222 | 0 | -245 | ||||||||||||||||||
Profit before taxes | 0 | 552 | 332 | 1456 | 1045 | 1615 | 2026 | 1850 | 1433 | 1746 | 0 | 0 | ||||||||||||||||||
Income tax expense | -83 | -74 | -61 | -232 | -191 | -261 | -302 | -254 | -218 | -364 | 0 | -259 | ||||||||||||||||||
Net profit for the period | -26 | 478 | 271 | 1224 | 854 | 1354 | 1724 | 1596 | 1215 | 1382 | 0 | 0 | ||||||||||||||||||
Non-controlling interests | 6 | 8 | 74 | 32 | 54 | 96 | 54 | 31 | 35 | 0 | 33 | |||||||||||||||||||
EPS basic (EUR) | 039 | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 148 | ||||||||||||||||||
EPS diluted (EUR) | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 079 | |||||||||||||||||||
069 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 183 | 327 | 556 | 964 | 1390 | |||||||
Comparable operating profit | 10 | 10 | 21 | -3 | 35 | |||||||
Net Assets | 77 | 59 | ||||||||||
Comparable RONA | 341 | |||||||||||
Gross Investments | 1 | 0 | 4 | 0 | 4 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 215 | 200 | 526 | 480 | 1009 | |||||||
Comparable operating profit | 60 | 53 | 184 | 155 | 336 | |||||||
Net Assets | 3487 | 3482 | ||||||||||
Comparable RONA | 99 | |||||||||||
Gross Investments | 62 | 47 | 96 | 76 | 233 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 195 | 169 | 490 | 413 | 881 | |||||||
Comparable operating profit | 21 | -9 | 55 | 7 | 56 | |||||||
Net Assets | 3051 | 2690 | ||||||||||
Comparable RONA | 34 | |||||||||||
Gross Investments | 192 | 167 | 267 | 258 | 608 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 322 | 301 | 1047 | 952 | 1865 | |||||||
Comparable operating profit | 25 | 33 | 196 | 165 | 306 | |||||||
Net Assets | 3911 | 3884 | ||||||||||
Comparable RONA | 82 | |||||||||||
Gross Investments | 72 | 59 | 130 | 121 | 314 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 574 | 597 | 1267 | 1366 | 2603 | |||||||
Comparable operating profit | 257 | 271 | 582 | 695 | 1185 | |||||||
Net Assets | 5998 | 5726 | ||||||||||
Comparable RONA | 198 | |||||||||||
Gross Investments | 36 | 22 | 69 | 55 | 136 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Roumlrelseresultat II2009 | Roumlrelseresultat II2008 | Liikevoitto 2008 | Liikevoitto 2007 | |||||||||||||||||||||||
Jaumlmfoumlrbart | Rapporterat | Jaumlmfoumlrbart | Rapporterat | Vertkelp | Raportoitu | Vertkelp | Raportoitu | |||||||||||||||||||
Kraftproduktion | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Vaumlrme | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Markets | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Ryssland | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Oumlvrigt | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Summa | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Liikevoitto II2010 | Liikevoitto II2009 | Liikevoitto I-II2010 | Liikevoitto I-II2009 | |||||||||||||||||||||||
Vertkelp | Raportoitu | Vertkelp | Raportoitu | Vertkelp | Raportoitu | Vertkelp | Raportoitu | |||||||||||||||||||
Power | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Heat | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Saumlhkoumlnmyynti | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Russia | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Muut | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Yhteensauml | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 | ||||||||||||||||||
I-III2009 | ||||||||||||||||||||||||||
SEK | Muut | Yhteensauml | ||||||||||||||||||||||||
Saumlhkoumlntuotanto | -67 | -3 | -70 | |||||||||||||||||||||||
Laumlmpouml | -10 | -2 | -12 | |||||||||||||||||||||||
Saumlhkoumlnsiirto | -13 | -1 | -14 | |||||||||||||||||||||||
Markets | -1 | -1 | -2 | |||||||||||||||||||||||
Venaumljauml | 0 | 6 | 6 | |||||||||||||||||||||||
Muu | 0 | 1 | 1 | |||||||||||||||||||||||
Yhteensauml | -91 | 0 | -91 |
Operating profit II2010 | Operating profit II2009 | Operating profit I-II2010 | Operating profit I-2009 | |||||||||||||||||||||||
Comparable | Reported | Comparable | Reported | Comparable | Reported | Comparable | Reported | |||||||||||||||||||
Power | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Heat | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Electricity Sales | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Russia | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Other | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Total | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 | ||||||||||||||||||
Currency translation effects on comparable operating profit | ||||||||||||||||||||||||||
I2009 | I-III2009 | |||||||||||||||||||||||||
SEK | Other | Total | SEK | Other | Total | |||||||||||||||||||||
Power Generation | -55 | -3 | -58 | Power Generation | -67 | -3 | -70 | |||||||||||||||||||
Heat | -12 | -3 | -15 | Heat | -10 | -2 | -12 | |||||||||||||||||||
Distribution | -11 | -1 | -12 | Distribution | -13 | -1 | -14 | |||||||||||||||||||
Markets | -1 | 0 | -1 | Markets | -1 | -1 | -2 | |||||||||||||||||||
Russia | 0 | 1 | 1 | Russia | 0 | 6 | 6 | |||||||||||||||||||
Other | 1 | 0 | 1 | Other | 0 | 1 | 1 | |||||||||||||||||||
Total | -78 | -6 | -84 | Total | -91 | 0 | -91 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Vertkelpliikevoitto | Raportoitu liikevoitto | Vertkelpliikevoitto | Raportoitu liikevoitto | |||||||||||||||||||||||
II2010 | II2009 | II2010 | II2009 | I-II2010 | I-II2009 | I-II2010 | I-II2009 | |||||||||||||||||||
Power | 257 | 271 | 271 | 280 | 582 | 695 | 760 | 747 | ||||||||||||||||||
Heat | 25 | 33 | 25 | 35 | 196 | 165 | 290 | 194 | ||||||||||||||||||
Distribution | 21 | -9 | 21 | -9 | 55 | 7 | 55 | 23 | ||||||||||||||||||
Saumlhkoumlnmyynti | 60 | 53 | 252 | 53 | 184 | 155 | 377 | 166 | ||||||||||||||||||
Russia | 10 | 10 | 23 | 23 | 21 | -3 | 3 | -6 | ||||||||||||||||||
Muut | -25 | -19 | 17 | -31 | -41 | -29 | 24 | -49 | ||||||||||||||||||
Yhteensauml | 348 | 339 | 609 | 351 | 997 | 990 | 1509 | 1075 | ||||||||||||||||||
I-III2009 | ||||||||||||||||||||||||||
SEK | Muut | Yhteensauml | ||||||||||||||||||||||||
Saumlhkoumlntuotanto | -67 | -3 | -70 | |||||||||||||||||||||||
Laumlmpouml | -10 | -2 | -12 | |||||||||||||||||||||||
Saumlhkoumlnsiirto | -13 | -1 | -14 | |||||||||||||||||||||||
Markets | -1 | -1 | -2 | |||||||||||||||||||||||
Venaumljauml | 0 | 6 | 6 | |||||||||||||||||||||||
Muu | 0 | 1 | 1 | |||||||||||||||||||||||
Yhteensauml | -91 | 0 | -91 |
MEUR | Comparable operating profit | Reported operating profit | Comparable operating profit | Reported operating profit | ||||||||||||||||||||||
II2011 | II2010 | II2011 | II2010 | I-II2011 | I-II2010 | I-II2011 | I-II2010 | |||||||||||||||||||
Power | 257 | 271 | 271 | 280 | 582 | 695 | 760 | 747 | ||||||||||||||||||
Heat | 25 | 33 | 25 | 35 | 196 | 165 | 290 | 194 | ||||||||||||||||||
Russia | 21 | -9 | 21 | -9 | 55 | 7 | 55 | 23 | ||||||||||||||||||
Distribution | 60 | 53 | 252 | 53 | 184 | 155 | 377 | 166 | ||||||||||||||||||
Electricity Sales | 10 | 10 | 23 | 23 | 21 | -3 | 3 | -6 | ||||||||||||||||||
Other | -25 | -19 | 17 | -31 | -41 | -29 | 24 | -49 | ||||||||||||||||||
Total | 348 | 339 | 609 | 351 | 997 | 990 | 1509 | 1075 | ||||||||||||||||||
Currency translation effects on comparable operating profit | ||||||||||||||||||||||||||
I2009 | I-III2009 | |||||||||||||||||||||||||
SEK | Other | Total | SEK | Other | Total | |||||||||||||||||||||
Power Generation | -55 | -3 | -58 | Power Generation | -67 | -3 | -70 | |||||||||||||||||||
Heat | -12 | -3 | -15 | Heat | -10 | -2 | -12 | |||||||||||||||||||
Distribution | -11 | -1 | -12 | Distribution | -13 | -1 | -14 | |||||||||||||||||||
Markets | -1 | 0 | -1 | Markets | -1 | -1 | -2 | |||||||||||||||||||
Russia | 0 | 1 | 1 | Russia | 0 | 6 | 6 | |||||||||||||||||||
Other | 1 | 0 | 1 | Other | 0 | 1 | 1 | |||||||||||||||||||
Total | -78 | -6 | -84 | Total | -91 | 0 | -91 |
28
Outlook
bull Key drivers and risksndash Wholesale price of electricity
bull Demandbull Fuelsbull CO2 emissions pricesbull Water reservoirsbull Nuclear availability
bull Nordic marketsndash Market continues to recover ndash 2008 level to be reached by 2012-2014ndash Electricity continues to gain share of total energy consumption
bull Russiandash Wholesale market liberalisedndash Profits from Russia build up in pace with the capacity increases
29
Outlook
bull Capex (excluding potential acquisitions)ndash 2011-2012 around EUR 16 to 18 billion annually (mainly due to Russian
investment programme)ndash 2013-2014 around EUR 11 to 14 billion annuallyndash Disclosed divestments totalled approximately EUR 05 billion
bull Hedgingndash 2011 approximately 70 hedge ratio at approximately EUR 45MWh(Q1 70 at EUR 44MWh)ndash 2012 approximately 50 hedge ratio at approximately EUR 46MWh(Q1 45 at EUR 45MWh)
30
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007 2008 2009 2010 2011 20120
10
20
30
40
50
60
70
80
90
100
110Spot prices Forward prices
3131
CO2 -free and energy-efficient solutions important
Create solid earnings growth in Russia
Leverage the strong Nordic core
Build platform for future growth
Competence in CO2 -free hydro nuclear and energy efficient CHP production and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -Fortumrsquos strategy remains intact
32
19 July 2011
Fortum Corporation
Interim Report
January-June 2011
Disclaimer
This presentation does not constitute an invitation to underwrite subscribe for or otherwise acquire or dispose of any Fortum shares
Past performance is no guide to future performance and persons needing advice should consult an independent financial adviser
Highlights in Q2
Increased uncertainty in macro environment
GLOBAL
- Incident in Fukushima in Japan
Finland
- No new decisions-in-principle on nuclear power in four years
- The new Governmentrsquos policy framework includes a possible implementation of a windfall tax and a uranium tax
Germany
- To be replaced by renewable energy
Q2 Market conditions
Nordic water reservoirs
Source Nord Pool Spot
Q1
Q2
Q3
Q4
2003
2008
2009
2011
2010
reference level
reservoir content (TWh)
0
20
40
60
80
100
120
Price development in the Nordic region and Russia
Includes capacity income
+17
+6
+24
+13
Q2 Good development continued
Q2 Comparable profit at last yearrsquos level
Comparable operating profit EUR million
-6
7
30
-14
348
339
0
-8
Power
Q22010
Heat
Russia
Distribution
Electricity
Sales
Other
Q22011
January-June Comparable profit at last yearrsquos level
Comparable operating profit EUR million
31
24
990
997
-113
48
29
-12
Power
H12010
Heat
Russia
Distribution
Electricity
Sales
Other
H12011
Fortum a forerunner in sustainability
Financials
Comparable and reported operating profit
Power
Q2 Power
Nuclear output in Q2
Planned outages in Oskarshamn 1amp3 and Forsmark 1 in Q22011
(In 2010 no outages in Q2)
If timing would have been similar in 2011 compared to 2010 nuclear output would have exceeded 2010 levels during Q2
Improved availability in Sweden
Q2 2011
Q2 2010
Nuclear
Outage effect
TWh
Q2 Power result declined due to several reasons
Comparable operating profit EUR million
257
-3
-4
0
271
3
-10
Volume
amp price
Q22010
Stronger
SEK
Russian
import
Property
taxes
Other
Q22011
Heat
Q2 Heat
Russia
Q2 Russia
Distribution
Q2 Distribution
Markets
Q2 Electricity Sales
Q2 Income statement
Q2 Cash flow statement
Key ratios
Q2 lsquo11
Debt maturity profile
per 30 June 2011 per 31 Dec 2010
Average interest rate (incl swaps and forwards)4435
Portion of floating fixed debt 47 53 49 51
Strong financial position
Return on capital employed
12
Return on shareholders equity
14
Net debtEBITDA
around 30
138
191
28
Fortumrsquos financial targets
LTM in Q22011
Good liquidity ndash committed credit lines total EUR 27 billion
Comparable net debtEBITDA
Outlook
Q2 Summary
Outlook
Outlook
(Q1 70 at EUR 44MWh)
(Q1 45 at EUR 45MWh)
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007
2008
2009
2010
2011
2012
0
10
20
30
40
50
60
70
80
90
100
110
Spot prices
Forward prices
CO2-free and energy-efficient solutions important
Create solid earnings
growth in Russia
Leverage the strong
Nordic core
Build platform for
future growth
Competence in CO2-free hydro nuclear and energy efficient CHP production
and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -
Fortumrsquos strategy remains intact
MEURII2011II2010I-II2011I-II2010LTM
Sales1833275569641 390
Comparable operating profit101021-335
Net Assets7759
Comparable RONA 341
Gross Investments10404
MEURII2011II2010I-II2011I-II2010LTM
Sales2152005264801 009
Comparable operating profit6053184155336
Net Assets3 4873 482
Comparable RONA 99
Gross Investments62479676233
0
250
500
750
1000
1250
1500
1750
20112012201320142015201620172018201920202021+
BondsFinancial institutionsOther long-term debtCPsOther short-term debt
MEURII2011II2010I-II2011I-II2010LTM
Sales195169490413881
Comparable operating profit21-955756
Net Assets3 0512 690
Comparable RONA 34
Gross Investments192167267258608
MEURII2011II2010I-II2011I-II2010LTM
Sales5745971 2671 3662 603
Comparable operating profit2572715826951 185
Net Assets5 9985 726
Comparable RONA 198
Gross Investments36226955136
MEURII2011II2010I-II2011I-II20102010LTM
Sales1 316
1 2953 3503 2426 296
6 404
Expenses-968-956-2 353-2 252-4 463-4 564
Comparable operating profit3483399979901 8331 840
Other items affecting comparability2611251285-125302
Operating profit6093511 5091 0751 7082 142
Share of profit of associates and jvs1515743162105
Financial expenses net-72-34-127-61-155-221
Profit before taxes5523321 4561 0451 6152 026
Income tax expense-74-61-232-191-261-302
Net profit for the period4782711 2248541 3541 724
Non-controlling interests6874325496
EPS basic (EUR)053030129093146183
EPS diluted (EUR)053030129093146183
Spot price for power in NordPool power exchange
448
459
662
523
621
0
12
24
36
48
60
72
Q22010Q32010Q42010Q12011Q22011
eurMWh
Powers Nordic power price
447
469
488
479
474
0
10
20
30
40
50
60
Q22010Q32010Q42010Q12011Q22011
eurMWh
MEURII2011II2010I-II2011I-II20102010LTM
Operating profit before depreciations7644901 8131 3512 2712 733
Non-cash flow items and divesting activities
-299-6-569-73124-372
Financial items and fx gainslosses
12-146-290-323-641-608
Taxes
-144-73-258-155-355-458
Funds from operations (FFO)
3332656968001 3991 295
Change in working capital
771571681433863
Total net cash from operating activities4104228649431 4371 358
Paid capital expenditures-297-263-503-486-1 134-1 151
Acquisition of shares-1-1-20-1-28-47
Other investing activities331-165417260529
Cash flow before financing activities443142882528335689
MEURII2011II2010I-II2011I-II2010LTM
Sales3223011 0479521 865
Comparable operating profit2533196165306
Net Assets3 9113 884
Comparable RONA 82
Gross Investments7259130121314
MEUR
II2011II2010II2011II2010I-II2011I-II2010I-II2011I-II2010
Power257271271280582695760747
Heat25332535196165290194
Russia21-921-95575523
Distribution605325253184155377166
Electricity Sales1010232321-33-6
Other-25-1917-31-41-2924-49
Total3483396093519979901 5091 075
Comparable operating profit
Reported operating profit
Comparable operating profit
Reported operating profit
Spot price for power (market price) Urals hub
770
935
817
950
954
0
200
400
600
800
1 000
1 200
Q22010Q32010Q42010Q12011Q22011
RUBMWh
Achieved power price for OAO Fortum
256
288
305
292
290
0
6
12
18
24
30
36
Q22010Q32010Q42010Q12011Q22011
eurMWh
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
MEURLTM20102009
EBITDA2 7332 2712 292
Comparable EBITDA2 4312 3962 398
Interest-bearing net debt6 7836 8265 969
Net debtEBITDA253026
Comparable Net debtEBITDA282825
Return on capital employed ()138116121
Return on shareholders equity ()191157160
) as of 30 June 2011
MEUR | |||
2011 | 231 | ||
2012 | 668 | ||
2013 | 639 | ||
2014 | 1223 | ||
2015 | 1051 | ||
2016 | 879 | ||
2017 | 270 | ||
2018 | 190 | ||
2019 | 840 | ||
2020 | 73 | ||
2021+ | 1530 |
MEUR | LTM | 2010 | 2009 | 2008 | 2006 | 2005 | |||||||
EBITDA | 2733 | 2271 | 2292 | 2478 | 1884 | ||||||||
Comparable EBITDA | 2431 | 2396 | 2398 | 1151 | 1271 | ||||||||
Interest-bearing net debt | 6 783 | 6826 | 5969 | 6179 | 4345 | 3158 | |||||||
Net debtEBITDA | 25 | 30 | 26 | 25 | 8161 | ||||||||
Comparable Net debtEBITDA | 28 | 28 | 25 | 16839 | 15130 | ||||||||
23 | 18 | ||||||||||||
Return on capital employed () | 138 | 116 | 121 | 150 | 134 | 135 | |||||||
Return on shareholders equity () | 191 | 157 | 160 | 187 | 144 | 135 | |||||||
) as of 30 June 2011 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | |||||||||||
Operating profit before depreciations | 764 | 490 | 1813 | 1351 | 2271 | 2733 | 2478 | 1663 | 2370 | 0 | |||||||||||
Non-cash flow items and divesting activities | -299 | -6 | -569 | -73 | 124 | -372 | -275 | -268 | -56 | 0 | |||||||||||
Financial items and fx gainslosses | 12 | -146 | -290 | -323 | -641 | -608 | 233 | ||||||||||||||
Taxes | -144 | -73 | -258 | -155 | -355 | -458 | -332 | -231 | -534 | 0 | |||||||||||
Funds from operations (FFO) | 333 | 265 | 696 | 800 | 1399 | 1295 | 2104 | 1164 | 1780 | 0 | |||||||||||
Change in working capital | 77 | 157 | 168 | 143 | 38 | 63 | -102 | 161 | 5 | 0 | |||||||||||
Total net cash from operating activities | 410 | 422 | 864 | 943 | 1437 | 1358 | 2002 | 1325 | 1785 | 0 | |||||||||||
Paid capital expenditures | -297 | -263 | -503 | -486 | -1134 | -1151 | -1018 | -341 | -931 | 0 | |||||||||||
Acquisition of shares | -1 | -1 | -20 | -1 | -28 | -47 | -1243 | -257 | -1243 | 0 | |||||||||||
Other investing activities | 331 | -16 | 541 | 72 | 60 | 529 | -21 | 258 | -34 | 0 | |||||||||||
Cash flow before financing activities | 443 | 142 | 882 | 528 | 335 | 689 | -280 | 985 | -423 | 0 |
MEUR | Q1-Q300 | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | 2004 | ||||||||||||||||||
Sales | 7732 | 1316 | 1295 | 3350 | 3242 | 6296 | 6404 | 5636 | 3159 | 5354 | 0 | 3835 | ||||||||||||||||||
Expenses | -7109 | -968 | -956 | -2353 | -2252 | -4463 | -4564 | -3673 | -1832 | -3482 | 0 | -2640 | ||||||||||||||||||
Comparable operating profit | 623 | 348 | 339 | 997 | 990 | 1833 | 1840 | 1963 | 1327 | 1872 | 0 | 1195 | ||||||||||||||||||
Other items affecting comparability | 261 | 12 | 512 | 85 | -125 | 302 | ||||||||||||||||||||||||
Operating profit | 609 | 351 | 1509 | 1075 | 1708 | 2142 | ||||||||||||||||||||||||
Share of profit of associates and jvs | 15 | 15 | 74 | 31 | 62 | 105 | 126 | 223 | 96 | 0 | 12 | |||||||||||||||||||
Financial expenses net | -209 | -72 | -34 | -127 | -61 | -155 | -221 | -239 | -117 | -222 | 0 | -245 | ||||||||||||||||||
Profit before taxes | 0 | 552 | 332 | 1456 | 1045 | 1615 | 2026 | 1850 | 1433 | 1746 | 0 | 0 | ||||||||||||||||||
Income tax expense | -83 | -74 | -61 | -232 | -191 | -261 | -302 | -254 | -218 | -364 | 0 | -259 | ||||||||||||||||||
Net profit for the period | -26 | 478 | 271 | 1224 | 854 | 1354 | 1724 | 1596 | 1215 | 1382 | 0 | 0 | ||||||||||||||||||
Non-controlling interests | 6 | 8 | 74 | 32 | 54 | 96 | 54 | 31 | 35 | 0 | 33 | |||||||||||||||||||
EPS basic (EUR) | 039 | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 148 | ||||||||||||||||||
EPS diluted (EUR) | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 079 | |||||||||||||||||||
069 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 183 | 327 | 556 | 964 | 1390 | |||||||
Comparable operating profit | 10 | 10 | 21 | -3 | 35 | |||||||
Net Assets | 77 | 59 | ||||||||||
Comparable RONA | 341 | |||||||||||
Gross Investments | 1 | 0 | 4 | 0 | 4 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 215 | 200 | 526 | 480 | 1009 | |||||||
Comparable operating profit | 60 | 53 | 184 | 155 | 336 | |||||||
Net Assets | 3487 | 3482 | ||||||||||
Comparable RONA | 99 | |||||||||||
Gross Investments | 62 | 47 | 96 | 76 | 233 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 195 | 169 | 490 | 413 | 881 | |||||||
Comparable operating profit | 21 | -9 | 55 | 7 | 56 | |||||||
Net Assets | 3051 | 2690 | ||||||||||
Comparable RONA | 34 | |||||||||||
Gross Investments | 192 | 167 | 267 | 258 | 608 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 322 | 301 | 1047 | 952 | 1865 | |||||||
Comparable operating profit | 25 | 33 | 196 | 165 | 306 | |||||||
Net Assets | 3911 | 3884 | ||||||||||
Comparable RONA | 82 | |||||||||||
Gross Investments | 72 | 59 | 130 | 121 | 314 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 574 | 597 | 1267 | 1366 | 2603 | |||||||
Comparable operating profit | 257 | 271 | 582 | 695 | 1185 | |||||||
Net Assets | 5998 | 5726 | ||||||||||
Comparable RONA | 198 | |||||||||||
Gross Investments | 36 | 22 | 69 | 55 | 136 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Roumlrelseresultat II2009 | Roumlrelseresultat II2008 | Liikevoitto 2008 | Liikevoitto 2007 | |||||||||||||||||||||||
Jaumlmfoumlrbart | Rapporterat | Jaumlmfoumlrbart | Rapporterat | Vertkelp | Raportoitu | Vertkelp | Raportoitu | |||||||||||||||||||
Kraftproduktion | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Vaumlrme | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Markets | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Ryssland | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Oumlvrigt | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Summa | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Liikevoitto II2010 | Liikevoitto II2009 | Liikevoitto I-II2010 | Liikevoitto I-II2009 | |||||||||||||||||||||||
Vertkelp | Raportoitu | Vertkelp | Raportoitu | Vertkelp | Raportoitu | Vertkelp | Raportoitu | |||||||||||||||||||
Power | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Heat | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Saumlhkoumlnmyynti | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Russia | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Muut | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Yhteensauml | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 | ||||||||||||||||||
I-III2009 | ||||||||||||||||||||||||||
SEK | Muut | Yhteensauml | ||||||||||||||||||||||||
Saumlhkoumlntuotanto | -67 | -3 | -70 | |||||||||||||||||||||||
Laumlmpouml | -10 | -2 | -12 | |||||||||||||||||||||||
Saumlhkoumlnsiirto | -13 | -1 | -14 | |||||||||||||||||||||||
Markets | -1 | -1 | -2 | |||||||||||||||||||||||
Venaumljauml | 0 | 6 | 6 | |||||||||||||||||||||||
Muu | 0 | 1 | 1 | |||||||||||||||||||||||
Yhteensauml | -91 | 0 | -91 |
Operating profit II2010 | Operating profit II2009 | Operating profit I-II2010 | Operating profit I-2009 | |||||||||||||||||||||||
Comparable | Reported | Comparable | Reported | Comparable | Reported | Comparable | Reported | |||||||||||||||||||
Power | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Heat | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Electricity Sales | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Russia | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Other | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Total | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 | ||||||||||||||||||
Currency translation effects on comparable operating profit | ||||||||||||||||||||||||||
I2009 | I-III2009 | |||||||||||||||||||||||||
SEK | Other | Total | SEK | Other | Total | |||||||||||||||||||||
Power Generation | -55 | -3 | -58 | Power Generation | -67 | -3 | -70 | |||||||||||||||||||
Heat | -12 | -3 | -15 | Heat | -10 | -2 | -12 | |||||||||||||||||||
Distribution | -11 | -1 | -12 | Distribution | -13 | -1 | -14 | |||||||||||||||||||
Markets | -1 | 0 | -1 | Markets | -1 | -1 | -2 | |||||||||||||||||||
Russia | 0 | 1 | 1 | Russia | 0 | 6 | 6 | |||||||||||||||||||
Other | 1 | 0 | 1 | Other | 0 | 1 | 1 | |||||||||||||||||||
Total | -78 | -6 | -84 | Total | -91 | 0 | -91 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Vertkelpliikevoitto | Raportoitu liikevoitto | Vertkelpliikevoitto | Raportoitu liikevoitto | |||||||||||||||||||||||
II2010 | II2009 | II2010 | II2009 | I-II2010 | I-II2009 | I-II2010 | I-II2009 | |||||||||||||||||||
Power | 257 | 271 | 271 | 280 | 582 | 695 | 760 | 747 | ||||||||||||||||||
Heat | 25 | 33 | 25 | 35 | 196 | 165 | 290 | 194 | ||||||||||||||||||
Distribution | 21 | -9 | 21 | -9 | 55 | 7 | 55 | 23 | ||||||||||||||||||
Saumlhkoumlnmyynti | 60 | 53 | 252 | 53 | 184 | 155 | 377 | 166 | ||||||||||||||||||
Russia | 10 | 10 | 23 | 23 | 21 | -3 | 3 | -6 | ||||||||||||||||||
Muut | -25 | -19 | 17 | -31 | -41 | -29 | 24 | -49 | ||||||||||||||||||
Yhteensauml | 348 | 339 | 609 | 351 | 997 | 990 | 1509 | 1075 | ||||||||||||||||||
I-III2009 | ||||||||||||||||||||||||||
SEK | Muut | Yhteensauml | ||||||||||||||||||||||||
Saumlhkoumlntuotanto | -67 | -3 | -70 | |||||||||||||||||||||||
Laumlmpouml | -10 | -2 | -12 | |||||||||||||||||||||||
Saumlhkoumlnsiirto | -13 | -1 | -14 | |||||||||||||||||||||||
Markets | -1 | -1 | -2 | |||||||||||||||||||||||
Venaumljauml | 0 | 6 | 6 | |||||||||||||||||||||||
Muu | 0 | 1 | 1 | |||||||||||||||||||||||
Yhteensauml | -91 | 0 | -91 |
MEUR | Comparable operating profit | Reported operating profit | Comparable operating profit | Reported operating profit | ||||||||||||||||||||||
II2011 | II2010 | II2011 | II2010 | I-II2011 | I-II2010 | I-II2011 | I-II2010 | |||||||||||||||||||
Power | 257 | 271 | 271 | 280 | 582 | 695 | 760 | 747 | ||||||||||||||||||
Heat | 25 | 33 | 25 | 35 | 196 | 165 | 290 | 194 | ||||||||||||||||||
Russia | 21 | -9 | 21 | -9 | 55 | 7 | 55 | 23 | ||||||||||||||||||
Distribution | 60 | 53 | 252 | 53 | 184 | 155 | 377 | 166 | ||||||||||||||||||
Electricity Sales | 10 | 10 | 23 | 23 | 21 | -3 | 3 | -6 | ||||||||||||||||||
Other | -25 | -19 | 17 | -31 | -41 | -29 | 24 | -49 | ||||||||||||||||||
Total | 348 | 339 | 609 | 351 | 997 | 990 | 1509 | 1075 | ||||||||||||||||||
Currency translation effects on comparable operating profit | ||||||||||||||||||||||||||
I2009 | I-III2009 | |||||||||||||||||||||||||
SEK | Other | Total | SEK | Other | Total | |||||||||||||||||||||
Power Generation | -55 | -3 | -58 | Power Generation | -67 | -3 | -70 | |||||||||||||||||||
Heat | -12 | -3 | -15 | Heat | -10 | -2 | -12 | |||||||||||||||||||
Distribution | -11 | -1 | -12 | Distribution | -13 | -1 | -14 | |||||||||||||||||||
Markets | -1 | 0 | -1 | Markets | -1 | -1 | -2 | |||||||||||||||||||
Russia | 0 | 1 | 1 | Russia | 0 | 6 | 6 | |||||||||||||||||||
Other | 1 | 0 | 1 | Other | 0 | 1 | 1 | |||||||||||||||||||
Total | -78 | -6 | -84 | Total | -91 | 0 | -91 |
29
Outlook
bull Capex (excluding potential acquisitions)ndash 2011-2012 around EUR 16 to 18 billion annually (mainly due to Russian
investment programme)ndash 2013-2014 around EUR 11 to 14 billion annuallyndash Disclosed divestments totalled approximately EUR 05 billion
bull Hedgingndash 2011 approximately 70 hedge ratio at approximately EUR 45MWh(Q1 70 at EUR 44MWh)ndash 2012 approximately 50 hedge ratio at approximately EUR 46MWh(Q1 45 at EUR 45MWh)
30
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007 2008 2009 2010 2011 20120
10
20
30
40
50
60
70
80
90
100
110Spot prices Forward prices
3131
CO2 -free and energy-efficient solutions important
Create solid earnings growth in Russia
Leverage the strong Nordic core
Build platform for future growth
Competence in CO2 -free hydro nuclear and energy efficient CHP production and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -Fortumrsquos strategy remains intact
32
19 July 2011
Fortum Corporation
Interim Report
January-June 2011
Disclaimer
This presentation does not constitute an invitation to underwrite subscribe for or otherwise acquire or dispose of any Fortum shares
Past performance is no guide to future performance and persons needing advice should consult an independent financial adviser
Highlights in Q2
Increased uncertainty in macro environment
GLOBAL
- Incident in Fukushima in Japan
Finland
- No new decisions-in-principle on nuclear power in four years
- The new Governmentrsquos policy framework includes a possible implementation of a windfall tax and a uranium tax
Germany
- To be replaced by renewable energy
Q2 Market conditions
Nordic water reservoirs
Source Nord Pool Spot
Q1
Q2
Q3
Q4
2003
2008
2009
2011
2010
reference level
reservoir content (TWh)
0
20
40
60
80
100
120
Price development in the Nordic region and Russia
Includes capacity income
+17
+6
+24
+13
Q2 Good development continued
Q2 Comparable profit at last yearrsquos level
Comparable operating profit EUR million
-6
7
30
-14
348
339
0
-8
Power
Q22010
Heat
Russia
Distribution
Electricity
Sales
Other
Q22011
January-June Comparable profit at last yearrsquos level
Comparable operating profit EUR million
31
24
990
997
-113
48
29
-12
Power
H12010
Heat
Russia
Distribution
Electricity
Sales
Other
H12011
Fortum a forerunner in sustainability
Financials
Comparable and reported operating profit
Power
Q2 Power
Nuclear output in Q2
Planned outages in Oskarshamn 1amp3 and Forsmark 1 in Q22011
(In 2010 no outages in Q2)
If timing would have been similar in 2011 compared to 2010 nuclear output would have exceeded 2010 levels during Q2
Improved availability in Sweden
Q2 2011
Q2 2010
Nuclear
Outage effect
TWh
Q2 Power result declined due to several reasons
Comparable operating profit EUR million
257
-3
-4
0
271
3
-10
Volume
amp price
Q22010
Stronger
SEK
Russian
import
Property
taxes
Other
Q22011
Heat
Q2 Heat
Russia
Q2 Russia
Distribution
Q2 Distribution
Markets
Q2 Electricity Sales
Q2 Income statement
Q2 Cash flow statement
Key ratios
Q2 lsquo11
Debt maturity profile
per 30 June 2011 per 31 Dec 2010
Average interest rate (incl swaps and forwards)4435
Portion of floating fixed debt 47 53 49 51
Strong financial position
Return on capital employed
12
Return on shareholders equity
14
Net debtEBITDA
around 30
138
191
28
Fortumrsquos financial targets
LTM in Q22011
Good liquidity ndash committed credit lines total EUR 27 billion
Comparable net debtEBITDA
Outlook
Q2 Summary
Outlook
Outlook
(Q1 70 at EUR 44MWh)
(Q1 45 at EUR 45MWh)
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007
2008
2009
2010
2011
2012
0
10
20
30
40
50
60
70
80
90
100
110
Spot prices
Forward prices
CO2-free and energy-efficient solutions important
Create solid earnings
growth in Russia
Leverage the strong
Nordic core
Build platform for
future growth
Competence in CO2-free hydro nuclear and energy efficient CHP production
and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -
Fortumrsquos strategy remains intact
MEURII2011II2010I-II2011I-II2010LTM
Sales1833275569641 390
Comparable operating profit101021-335
Net Assets7759
Comparable RONA 341
Gross Investments10404
MEURII2011II2010I-II2011I-II2010LTM
Sales2152005264801 009
Comparable operating profit6053184155336
Net Assets3 4873 482
Comparable RONA 99
Gross Investments62479676233
0
250
500
750
1000
1250
1500
1750
20112012201320142015201620172018201920202021+
BondsFinancial institutionsOther long-term debtCPsOther short-term debt
MEURII2011II2010I-II2011I-II2010LTM
Sales195169490413881
Comparable operating profit21-955756
Net Assets3 0512 690
Comparable RONA 34
Gross Investments192167267258608
MEURII2011II2010I-II2011I-II2010LTM
Sales5745971 2671 3662 603
Comparable operating profit2572715826951 185
Net Assets5 9985 726
Comparable RONA 198
Gross Investments36226955136
MEURII2011II2010I-II2011I-II20102010LTM
Sales1 316
1 2953 3503 2426 296
6 404
Expenses-968-956-2 353-2 252-4 463-4 564
Comparable operating profit3483399979901 8331 840
Other items affecting comparability2611251285-125302
Operating profit6093511 5091 0751 7082 142
Share of profit of associates and jvs1515743162105
Financial expenses net-72-34-127-61-155-221
Profit before taxes5523321 4561 0451 6152 026
Income tax expense-74-61-232-191-261-302
Net profit for the period4782711 2248541 3541 724
Non-controlling interests6874325496
EPS basic (EUR)053030129093146183
EPS diluted (EUR)053030129093146183
Spot price for power in NordPool power exchange
448
459
662
523
621
0
12
24
36
48
60
72
Q22010Q32010Q42010Q12011Q22011
eurMWh
Powers Nordic power price
447
469
488
479
474
0
10
20
30
40
50
60
Q22010Q32010Q42010Q12011Q22011
eurMWh
MEURII2011II2010I-II2011I-II20102010LTM
Operating profit before depreciations7644901 8131 3512 2712 733
Non-cash flow items and divesting activities
-299-6-569-73124-372
Financial items and fx gainslosses
12-146-290-323-641-608
Taxes
-144-73-258-155-355-458
Funds from operations (FFO)
3332656968001 3991 295
Change in working capital
771571681433863
Total net cash from operating activities4104228649431 4371 358
Paid capital expenditures-297-263-503-486-1 134-1 151
Acquisition of shares-1-1-20-1-28-47
Other investing activities331-165417260529
Cash flow before financing activities443142882528335689
MEURII2011II2010I-II2011I-II2010LTM
Sales3223011 0479521 865
Comparable operating profit2533196165306
Net Assets3 9113 884
Comparable RONA 82
Gross Investments7259130121314
MEUR
II2011II2010II2011II2010I-II2011I-II2010I-II2011I-II2010
Power257271271280582695760747
Heat25332535196165290194
Russia21-921-95575523
Distribution605325253184155377166
Electricity Sales1010232321-33-6
Other-25-1917-31-41-2924-49
Total3483396093519979901 5091 075
Comparable operating profit
Reported operating profit
Comparable operating profit
Reported operating profit
Spot price for power (market price) Urals hub
770
935
817
950
954
0
200
400
600
800
1 000
1 200
Q22010Q32010Q42010Q12011Q22011
RUBMWh
Achieved power price for OAO Fortum
256
288
305
292
290
0
6
12
18
24
30
36
Q22010Q32010Q42010Q12011Q22011
eurMWh
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
MEURLTM20102009
EBITDA2 7332 2712 292
Comparable EBITDA2 4312 3962 398
Interest-bearing net debt6 7836 8265 969
Net debtEBITDA253026
Comparable Net debtEBITDA282825
Return on capital employed ()138116121
Return on shareholders equity ()191157160
) as of 30 June 2011
MEUR | |||
2011 | 231 | ||
2012 | 668 | ||
2013 | 639 | ||
2014 | 1223 | ||
2015 | 1051 | ||
2016 | 879 | ||
2017 | 270 | ||
2018 | 190 | ||
2019 | 840 | ||
2020 | 73 | ||
2021+ | 1530 |
MEUR | LTM | 2010 | 2009 | 2008 | 2006 | 2005 | |||||||
EBITDA | 2733 | 2271 | 2292 | 2478 | 1884 | ||||||||
Comparable EBITDA | 2431 | 2396 | 2398 | 1151 | 1271 | ||||||||
Interest-bearing net debt | 6 783 | 6826 | 5969 | 6179 | 4345 | 3158 | |||||||
Net debtEBITDA | 25 | 30 | 26 | 25 | 8161 | ||||||||
Comparable Net debtEBITDA | 28 | 28 | 25 | 16839 | 15130 | ||||||||
23 | 18 | ||||||||||||
Return on capital employed () | 138 | 116 | 121 | 150 | 134 | 135 | |||||||
Return on shareholders equity () | 191 | 157 | 160 | 187 | 144 | 135 | |||||||
) as of 30 June 2011 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | |||||||||||
Operating profit before depreciations | 764 | 490 | 1813 | 1351 | 2271 | 2733 | 2478 | 1663 | 2370 | 0 | |||||||||||
Non-cash flow items and divesting activities | -299 | -6 | -569 | -73 | 124 | -372 | -275 | -268 | -56 | 0 | |||||||||||
Financial items and fx gainslosses | 12 | -146 | -290 | -323 | -641 | -608 | 233 | ||||||||||||||
Taxes | -144 | -73 | -258 | -155 | -355 | -458 | -332 | -231 | -534 | 0 | |||||||||||
Funds from operations (FFO) | 333 | 265 | 696 | 800 | 1399 | 1295 | 2104 | 1164 | 1780 | 0 | |||||||||||
Change in working capital | 77 | 157 | 168 | 143 | 38 | 63 | -102 | 161 | 5 | 0 | |||||||||||
Total net cash from operating activities | 410 | 422 | 864 | 943 | 1437 | 1358 | 2002 | 1325 | 1785 | 0 | |||||||||||
Paid capital expenditures | -297 | -263 | -503 | -486 | -1134 | -1151 | -1018 | -341 | -931 | 0 | |||||||||||
Acquisition of shares | -1 | -1 | -20 | -1 | -28 | -47 | -1243 | -257 | -1243 | 0 | |||||||||||
Other investing activities | 331 | -16 | 541 | 72 | 60 | 529 | -21 | 258 | -34 | 0 | |||||||||||
Cash flow before financing activities | 443 | 142 | 882 | 528 | 335 | 689 | -280 | 985 | -423 | 0 |
MEUR | Q1-Q300 | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | 2004 | ||||||||||||||||||
Sales | 7732 | 1316 | 1295 | 3350 | 3242 | 6296 | 6404 | 5636 | 3159 | 5354 | 0 | 3835 | ||||||||||||||||||
Expenses | -7109 | -968 | -956 | -2353 | -2252 | -4463 | -4564 | -3673 | -1832 | -3482 | 0 | -2640 | ||||||||||||||||||
Comparable operating profit | 623 | 348 | 339 | 997 | 990 | 1833 | 1840 | 1963 | 1327 | 1872 | 0 | 1195 | ||||||||||||||||||
Other items affecting comparability | 261 | 12 | 512 | 85 | -125 | 302 | ||||||||||||||||||||||||
Operating profit | 609 | 351 | 1509 | 1075 | 1708 | 2142 | ||||||||||||||||||||||||
Share of profit of associates and jvs | 15 | 15 | 74 | 31 | 62 | 105 | 126 | 223 | 96 | 0 | 12 | |||||||||||||||||||
Financial expenses net | -209 | -72 | -34 | -127 | -61 | -155 | -221 | -239 | -117 | -222 | 0 | -245 | ||||||||||||||||||
Profit before taxes | 0 | 552 | 332 | 1456 | 1045 | 1615 | 2026 | 1850 | 1433 | 1746 | 0 | 0 | ||||||||||||||||||
Income tax expense | -83 | -74 | -61 | -232 | -191 | -261 | -302 | -254 | -218 | -364 | 0 | -259 | ||||||||||||||||||
Net profit for the period | -26 | 478 | 271 | 1224 | 854 | 1354 | 1724 | 1596 | 1215 | 1382 | 0 | 0 | ||||||||||||||||||
Non-controlling interests | 6 | 8 | 74 | 32 | 54 | 96 | 54 | 31 | 35 | 0 | 33 | |||||||||||||||||||
EPS basic (EUR) | 039 | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 148 | ||||||||||||||||||
EPS diluted (EUR) | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 079 | |||||||||||||||||||
069 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 183 | 327 | 556 | 964 | 1390 | |||||||
Comparable operating profit | 10 | 10 | 21 | -3 | 35 | |||||||
Net Assets | 77 | 59 | ||||||||||
Comparable RONA | 341 | |||||||||||
Gross Investments | 1 | 0 | 4 | 0 | 4 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 215 | 200 | 526 | 480 | 1009 | |||||||
Comparable operating profit | 60 | 53 | 184 | 155 | 336 | |||||||
Net Assets | 3487 | 3482 | ||||||||||
Comparable RONA | 99 | |||||||||||
Gross Investments | 62 | 47 | 96 | 76 | 233 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 195 | 169 | 490 | 413 | 881 | |||||||
Comparable operating profit | 21 | -9 | 55 | 7 | 56 | |||||||
Net Assets | 3051 | 2690 | ||||||||||
Comparable RONA | 34 | |||||||||||
Gross Investments | 192 | 167 | 267 | 258 | 608 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 322 | 301 | 1047 | 952 | 1865 | |||||||
Comparable operating profit | 25 | 33 | 196 | 165 | 306 | |||||||
Net Assets | 3911 | 3884 | ||||||||||
Comparable RONA | 82 | |||||||||||
Gross Investments | 72 | 59 | 130 | 121 | 314 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 574 | 597 | 1267 | 1366 | 2603 | |||||||
Comparable operating profit | 257 | 271 | 582 | 695 | 1185 | |||||||
Net Assets | 5998 | 5726 | ||||||||||
Comparable RONA | 198 | |||||||||||
Gross Investments | 36 | 22 | 69 | 55 | 136 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Roumlrelseresultat II2009 | Roumlrelseresultat II2008 | Liikevoitto 2008 | Liikevoitto 2007 | |||||||||||||||||||||||
Jaumlmfoumlrbart | Rapporterat | Jaumlmfoumlrbart | Rapporterat | Vertkelp | Raportoitu | Vertkelp | Raportoitu | |||||||||||||||||||
Kraftproduktion | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Vaumlrme | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Markets | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Ryssland | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Oumlvrigt | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Summa | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Liikevoitto II2010 | Liikevoitto II2009 | Liikevoitto I-II2010 | Liikevoitto I-II2009 | |||||||||||||||||||||||
Vertkelp | Raportoitu | Vertkelp | Raportoitu | Vertkelp | Raportoitu | Vertkelp | Raportoitu | |||||||||||||||||||
Power | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Heat | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Saumlhkoumlnmyynti | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Russia | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Muut | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Yhteensauml | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 | ||||||||||||||||||
I-III2009 | ||||||||||||||||||||||||||
SEK | Muut | Yhteensauml | ||||||||||||||||||||||||
Saumlhkoumlntuotanto | -67 | -3 | -70 | |||||||||||||||||||||||
Laumlmpouml | -10 | -2 | -12 | |||||||||||||||||||||||
Saumlhkoumlnsiirto | -13 | -1 | -14 | |||||||||||||||||||||||
Markets | -1 | -1 | -2 | |||||||||||||||||||||||
Venaumljauml | 0 | 6 | 6 | |||||||||||||||||||||||
Muu | 0 | 1 | 1 | |||||||||||||||||||||||
Yhteensauml | -91 | 0 | -91 |
Operating profit II2010 | Operating profit II2009 | Operating profit I-II2010 | Operating profit I-2009 | |||||||||||||||||||||||
Comparable | Reported | Comparable | Reported | Comparable | Reported | Comparable | Reported | |||||||||||||||||||
Power | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Heat | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Electricity Sales | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Russia | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Other | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Total | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 | ||||||||||||||||||
Currency translation effects on comparable operating profit | ||||||||||||||||||||||||||
I2009 | I-III2009 | |||||||||||||||||||||||||
SEK | Other | Total | SEK | Other | Total | |||||||||||||||||||||
Power Generation | -55 | -3 | -58 | Power Generation | -67 | -3 | -70 | |||||||||||||||||||
Heat | -12 | -3 | -15 | Heat | -10 | -2 | -12 | |||||||||||||||||||
Distribution | -11 | -1 | -12 | Distribution | -13 | -1 | -14 | |||||||||||||||||||
Markets | -1 | 0 | -1 | Markets | -1 | -1 | -2 | |||||||||||||||||||
Russia | 0 | 1 | 1 | Russia | 0 | 6 | 6 | |||||||||||||||||||
Other | 1 | 0 | 1 | Other | 0 | 1 | 1 | |||||||||||||||||||
Total | -78 | -6 | -84 | Total | -91 | 0 | -91 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Vertkelpliikevoitto | Raportoitu liikevoitto | Vertkelpliikevoitto | Raportoitu liikevoitto | |||||||||||||||||||||||
II2010 | II2009 | II2010 | II2009 | I-II2010 | I-II2009 | I-II2010 | I-II2009 | |||||||||||||||||||
Power | 257 | 271 | 271 | 280 | 582 | 695 | 760 | 747 | ||||||||||||||||||
Heat | 25 | 33 | 25 | 35 | 196 | 165 | 290 | 194 | ||||||||||||||||||
Distribution | 21 | -9 | 21 | -9 | 55 | 7 | 55 | 23 | ||||||||||||||||||
Saumlhkoumlnmyynti | 60 | 53 | 252 | 53 | 184 | 155 | 377 | 166 | ||||||||||||||||||
Russia | 10 | 10 | 23 | 23 | 21 | -3 | 3 | -6 | ||||||||||||||||||
Muut | -25 | -19 | 17 | -31 | -41 | -29 | 24 | -49 | ||||||||||||||||||
Yhteensauml | 348 | 339 | 609 | 351 | 997 | 990 | 1509 | 1075 | ||||||||||||||||||
I-III2009 | ||||||||||||||||||||||||||
SEK | Muut | Yhteensauml | ||||||||||||||||||||||||
Saumlhkoumlntuotanto | -67 | -3 | -70 | |||||||||||||||||||||||
Laumlmpouml | -10 | -2 | -12 | |||||||||||||||||||||||
Saumlhkoumlnsiirto | -13 | -1 | -14 | |||||||||||||||||||||||
Markets | -1 | -1 | -2 | |||||||||||||||||||||||
Venaumljauml | 0 | 6 | 6 | |||||||||||||||||||||||
Muu | 0 | 1 | 1 | |||||||||||||||||||||||
Yhteensauml | -91 | 0 | -91 |
MEUR | Comparable operating profit | Reported operating profit | Comparable operating profit | Reported operating profit | ||||||||||||||||||||||
II2011 | II2010 | II2011 | II2010 | I-II2011 | I-II2010 | I-II2011 | I-II2010 | |||||||||||||||||||
Power | 257 | 271 | 271 | 280 | 582 | 695 | 760 | 747 | ||||||||||||||||||
Heat | 25 | 33 | 25 | 35 | 196 | 165 | 290 | 194 | ||||||||||||||||||
Russia | 21 | -9 | 21 | -9 | 55 | 7 | 55 | 23 | ||||||||||||||||||
Distribution | 60 | 53 | 252 | 53 | 184 | 155 | 377 | 166 | ||||||||||||||||||
Electricity Sales | 10 | 10 | 23 | 23 | 21 | -3 | 3 | -6 | ||||||||||||||||||
Other | -25 | -19 | 17 | -31 | -41 | -29 | 24 | -49 | ||||||||||||||||||
Total | 348 | 339 | 609 | 351 | 997 | 990 | 1509 | 1075 | ||||||||||||||||||
Currency translation effects on comparable operating profit | ||||||||||||||||||||||||||
I2009 | I-III2009 | |||||||||||||||||||||||||
SEK | Other | Total | SEK | Other | Total | |||||||||||||||||||||
Power Generation | -55 | -3 | -58 | Power Generation | -67 | -3 | -70 | |||||||||||||||||||
Heat | -12 | -3 | -15 | Heat | -10 | -2 | -12 | |||||||||||||||||||
Distribution | -11 | -1 | -12 | Distribution | -13 | -1 | -14 | |||||||||||||||||||
Markets | -1 | 0 | -1 | Markets | -1 | -1 | -2 | |||||||||||||||||||
Russia | 0 | 1 | 1 | Russia | 0 | 6 | 6 | |||||||||||||||||||
Other | 1 | 0 | 1 | Other | 0 | 1 | 1 | |||||||||||||||||||
Total | -78 | -6 | -84 | Total | -91 | 0 | -91 |
30
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007 2008 2009 2010 2011 20120
10
20
30
40
50
60
70
80
90
100
110Spot prices Forward prices
3131
CO2 -free and energy-efficient solutions important
Create solid earnings growth in Russia
Leverage the strong Nordic core
Build platform for future growth
Competence in CO2 -free hydro nuclear and energy efficient CHP production and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -Fortumrsquos strategy remains intact
32
19 July 2011
Fortum Corporation
Interim Report
January-June 2011
Disclaimer
This presentation does not constitute an invitation to underwrite subscribe for or otherwise acquire or dispose of any Fortum shares
Past performance is no guide to future performance and persons needing advice should consult an independent financial adviser
Highlights in Q2
Increased uncertainty in macro environment
GLOBAL
- Incident in Fukushima in Japan
Finland
- No new decisions-in-principle on nuclear power in four years
- The new Governmentrsquos policy framework includes a possible implementation of a windfall tax and a uranium tax
Germany
- To be replaced by renewable energy
Q2 Market conditions
Nordic water reservoirs
Source Nord Pool Spot
Q1
Q2
Q3
Q4
2003
2008
2009
2011
2010
reference level
reservoir content (TWh)
0
20
40
60
80
100
120
Price development in the Nordic region and Russia
Includes capacity income
+17
+6
+24
+13
Q2 Good development continued
Q2 Comparable profit at last yearrsquos level
Comparable operating profit EUR million
-6
7
30
-14
348
339
0
-8
Power
Q22010
Heat
Russia
Distribution
Electricity
Sales
Other
Q22011
January-June Comparable profit at last yearrsquos level
Comparable operating profit EUR million
31
24
990
997
-113
48
29
-12
Power
H12010
Heat
Russia
Distribution
Electricity
Sales
Other
H12011
Fortum a forerunner in sustainability
Financials
Comparable and reported operating profit
Power
Q2 Power
Nuclear output in Q2
Planned outages in Oskarshamn 1amp3 and Forsmark 1 in Q22011
(In 2010 no outages in Q2)
If timing would have been similar in 2011 compared to 2010 nuclear output would have exceeded 2010 levels during Q2
Improved availability in Sweden
Q2 2011
Q2 2010
Nuclear
Outage effect
TWh
Q2 Power result declined due to several reasons
Comparable operating profit EUR million
257
-3
-4
0
271
3
-10
Volume
amp price
Q22010
Stronger
SEK
Russian
import
Property
taxes
Other
Q22011
Heat
Q2 Heat
Russia
Q2 Russia
Distribution
Q2 Distribution
Markets
Q2 Electricity Sales
Q2 Income statement
Q2 Cash flow statement
Key ratios
Q2 lsquo11
Debt maturity profile
per 30 June 2011 per 31 Dec 2010
Average interest rate (incl swaps and forwards)4435
Portion of floating fixed debt 47 53 49 51
Strong financial position
Return on capital employed
12
Return on shareholders equity
14
Net debtEBITDA
around 30
138
191
28
Fortumrsquos financial targets
LTM in Q22011
Good liquidity ndash committed credit lines total EUR 27 billion
Comparable net debtEBITDA
Outlook
Q2 Summary
Outlook
Outlook
(Q1 70 at EUR 44MWh)
(Q1 45 at EUR 45MWh)
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007
2008
2009
2010
2011
2012
0
10
20
30
40
50
60
70
80
90
100
110
Spot prices
Forward prices
CO2-free and energy-efficient solutions important
Create solid earnings
growth in Russia
Leverage the strong
Nordic core
Build platform for
future growth
Competence in CO2-free hydro nuclear and energy efficient CHP production
and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -
Fortumrsquos strategy remains intact
MEURII2011II2010I-II2011I-II2010LTM
Sales1833275569641 390
Comparable operating profit101021-335
Net Assets7759
Comparable RONA 341
Gross Investments10404
MEURII2011II2010I-II2011I-II2010LTM
Sales2152005264801 009
Comparable operating profit6053184155336
Net Assets3 4873 482
Comparable RONA 99
Gross Investments62479676233
0
250
500
750
1000
1250
1500
1750
20112012201320142015201620172018201920202021+
BondsFinancial institutionsOther long-term debtCPsOther short-term debt
MEURII2011II2010I-II2011I-II2010LTM
Sales195169490413881
Comparable operating profit21-955756
Net Assets3 0512 690
Comparable RONA 34
Gross Investments192167267258608
MEURII2011II2010I-II2011I-II2010LTM
Sales5745971 2671 3662 603
Comparable operating profit2572715826951 185
Net Assets5 9985 726
Comparable RONA 198
Gross Investments36226955136
MEURII2011II2010I-II2011I-II20102010LTM
Sales1 316
1 2953 3503 2426 296
6 404
Expenses-968-956-2 353-2 252-4 463-4 564
Comparable operating profit3483399979901 8331 840
Other items affecting comparability2611251285-125302
Operating profit6093511 5091 0751 7082 142
Share of profit of associates and jvs1515743162105
Financial expenses net-72-34-127-61-155-221
Profit before taxes5523321 4561 0451 6152 026
Income tax expense-74-61-232-191-261-302
Net profit for the period4782711 2248541 3541 724
Non-controlling interests6874325496
EPS basic (EUR)053030129093146183
EPS diluted (EUR)053030129093146183
Spot price for power in NordPool power exchange
448
459
662
523
621
0
12
24
36
48
60
72
Q22010Q32010Q42010Q12011Q22011
eurMWh
Powers Nordic power price
447
469
488
479
474
0
10
20
30
40
50
60
Q22010Q32010Q42010Q12011Q22011
eurMWh
MEURII2011II2010I-II2011I-II20102010LTM
Operating profit before depreciations7644901 8131 3512 2712 733
Non-cash flow items and divesting activities
-299-6-569-73124-372
Financial items and fx gainslosses
12-146-290-323-641-608
Taxes
-144-73-258-155-355-458
Funds from operations (FFO)
3332656968001 3991 295
Change in working capital
771571681433863
Total net cash from operating activities4104228649431 4371 358
Paid capital expenditures-297-263-503-486-1 134-1 151
Acquisition of shares-1-1-20-1-28-47
Other investing activities331-165417260529
Cash flow before financing activities443142882528335689
MEURII2011II2010I-II2011I-II2010LTM
Sales3223011 0479521 865
Comparable operating profit2533196165306
Net Assets3 9113 884
Comparable RONA 82
Gross Investments7259130121314
MEUR
II2011II2010II2011II2010I-II2011I-II2010I-II2011I-II2010
Power257271271280582695760747
Heat25332535196165290194
Russia21-921-95575523
Distribution605325253184155377166
Electricity Sales1010232321-33-6
Other-25-1917-31-41-2924-49
Total3483396093519979901 5091 075
Comparable operating profit
Reported operating profit
Comparable operating profit
Reported operating profit
Spot price for power (market price) Urals hub
770
935
817
950
954
0
200
400
600
800
1 000
1 200
Q22010Q32010Q42010Q12011Q22011
RUBMWh
Achieved power price for OAO Fortum
256
288
305
292
290
0
6
12
18
24
30
36
Q22010Q32010Q42010Q12011Q22011
eurMWh
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
MEURLTM20102009
EBITDA2 7332 2712 292
Comparable EBITDA2 4312 3962 398
Interest-bearing net debt6 7836 8265 969
Net debtEBITDA253026
Comparable Net debtEBITDA282825
Return on capital employed ()138116121
Return on shareholders equity ()191157160
) as of 30 June 2011
MEUR | |||
2011 | 231 | ||
2012 | 668 | ||
2013 | 639 | ||
2014 | 1223 | ||
2015 | 1051 | ||
2016 | 879 | ||
2017 | 270 | ||
2018 | 190 | ||
2019 | 840 | ||
2020 | 73 | ||
2021+ | 1530 |
MEUR | LTM | 2010 | 2009 | 2008 | 2006 | 2005 | |||||||
EBITDA | 2733 | 2271 | 2292 | 2478 | 1884 | ||||||||
Comparable EBITDA | 2431 | 2396 | 2398 | 1151 | 1271 | ||||||||
Interest-bearing net debt | 6 783 | 6826 | 5969 | 6179 | 4345 | 3158 | |||||||
Net debtEBITDA | 25 | 30 | 26 | 25 | 8161 | ||||||||
Comparable Net debtEBITDA | 28 | 28 | 25 | 16839 | 15130 | ||||||||
23 | 18 | ||||||||||||
Return on capital employed () | 138 | 116 | 121 | 150 | 134 | 135 | |||||||
Return on shareholders equity () | 191 | 157 | 160 | 187 | 144 | 135 | |||||||
) as of 30 June 2011 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | |||||||||||
Operating profit before depreciations | 764 | 490 | 1813 | 1351 | 2271 | 2733 | 2478 | 1663 | 2370 | 0 | |||||||||||
Non-cash flow items and divesting activities | -299 | -6 | -569 | -73 | 124 | -372 | -275 | -268 | -56 | 0 | |||||||||||
Financial items and fx gainslosses | 12 | -146 | -290 | -323 | -641 | -608 | 233 | ||||||||||||||
Taxes | -144 | -73 | -258 | -155 | -355 | -458 | -332 | -231 | -534 | 0 | |||||||||||
Funds from operations (FFO) | 333 | 265 | 696 | 800 | 1399 | 1295 | 2104 | 1164 | 1780 | 0 | |||||||||||
Change in working capital | 77 | 157 | 168 | 143 | 38 | 63 | -102 | 161 | 5 | 0 | |||||||||||
Total net cash from operating activities | 410 | 422 | 864 | 943 | 1437 | 1358 | 2002 | 1325 | 1785 | 0 | |||||||||||
Paid capital expenditures | -297 | -263 | -503 | -486 | -1134 | -1151 | -1018 | -341 | -931 | 0 | |||||||||||
Acquisition of shares | -1 | -1 | -20 | -1 | -28 | -47 | -1243 | -257 | -1243 | 0 | |||||||||||
Other investing activities | 331 | -16 | 541 | 72 | 60 | 529 | -21 | 258 | -34 | 0 | |||||||||||
Cash flow before financing activities | 443 | 142 | 882 | 528 | 335 | 689 | -280 | 985 | -423 | 0 |
MEUR | Q1-Q300 | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | 2004 | ||||||||||||||||||
Sales | 7732 | 1316 | 1295 | 3350 | 3242 | 6296 | 6404 | 5636 | 3159 | 5354 | 0 | 3835 | ||||||||||||||||||
Expenses | -7109 | -968 | -956 | -2353 | -2252 | -4463 | -4564 | -3673 | -1832 | -3482 | 0 | -2640 | ||||||||||||||||||
Comparable operating profit | 623 | 348 | 339 | 997 | 990 | 1833 | 1840 | 1963 | 1327 | 1872 | 0 | 1195 | ||||||||||||||||||
Other items affecting comparability | 261 | 12 | 512 | 85 | -125 | 302 | ||||||||||||||||||||||||
Operating profit | 609 | 351 | 1509 | 1075 | 1708 | 2142 | ||||||||||||||||||||||||
Share of profit of associates and jvs | 15 | 15 | 74 | 31 | 62 | 105 | 126 | 223 | 96 | 0 | 12 | |||||||||||||||||||
Financial expenses net | -209 | -72 | -34 | -127 | -61 | -155 | -221 | -239 | -117 | -222 | 0 | -245 | ||||||||||||||||||
Profit before taxes | 0 | 552 | 332 | 1456 | 1045 | 1615 | 2026 | 1850 | 1433 | 1746 | 0 | 0 | ||||||||||||||||||
Income tax expense | -83 | -74 | -61 | -232 | -191 | -261 | -302 | -254 | -218 | -364 | 0 | -259 | ||||||||||||||||||
Net profit for the period | -26 | 478 | 271 | 1224 | 854 | 1354 | 1724 | 1596 | 1215 | 1382 | 0 | 0 | ||||||||||||||||||
Non-controlling interests | 6 | 8 | 74 | 32 | 54 | 96 | 54 | 31 | 35 | 0 | 33 | |||||||||||||||||||
EPS basic (EUR) | 039 | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 148 | ||||||||||||||||||
EPS diluted (EUR) | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 079 | |||||||||||||||||||
069 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 183 | 327 | 556 | 964 | 1390 | |||||||
Comparable operating profit | 10 | 10 | 21 | -3 | 35 | |||||||
Net Assets | 77 | 59 | ||||||||||
Comparable RONA | 341 | |||||||||||
Gross Investments | 1 | 0 | 4 | 0 | 4 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 215 | 200 | 526 | 480 | 1009 | |||||||
Comparable operating profit | 60 | 53 | 184 | 155 | 336 | |||||||
Net Assets | 3487 | 3482 | ||||||||||
Comparable RONA | 99 | |||||||||||
Gross Investments | 62 | 47 | 96 | 76 | 233 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 195 | 169 | 490 | 413 | 881 | |||||||
Comparable operating profit | 21 | -9 | 55 | 7 | 56 | |||||||
Net Assets | 3051 | 2690 | ||||||||||
Comparable RONA | 34 | |||||||||||
Gross Investments | 192 | 167 | 267 | 258 | 608 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 322 | 301 | 1047 | 952 | 1865 | |||||||
Comparable operating profit | 25 | 33 | 196 | 165 | 306 | |||||||
Net Assets | 3911 | 3884 | ||||||||||
Comparable RONA | 82 | |||||||||||
Gross Investments | 72 | 59 | 130 | 121 | 314 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 574 | 597 | 1267 | 1366 | 2603 | |||||||
Comparable operating profit | 257 | 271 | 582 | 695 | 1185 | |||||||
Net Assets | 5998 | 5726 | ||||||||||
Comparable RONA | 198 | |||||||||||
Gross Investments | 36 | 22 | 69 | 55 | 136 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Roumlrelseresultat II2009 | Roumlrelseresultat II2008 | Liikevoitto 2008 | Liikevoitto 2007 | |||||||||||||||||||||||
Jaumlmfoumlrbart | Rapporterat | Jaumlmfoumlrbart | Rapporterat | Vertkelp | Raportoitu | Vertkelp | Raportoitu | |||||||||||||||||||
Kraftproduktion | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Vaumlrme | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Markets | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Ryssland | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Oumlvrigt | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Summa | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Liikevoitto II2010 | Liikevoitto II2009 | Liikevoitto I-II2010 | Liikevoitto I-II2009 | |||||||||||||||||||||||
Vertkelp | Raportoitu | Vertkelp | Raportoitu | Vertkelp | Raportoitu | Vertkelp | Raportoitu | |||||||||||||||||||
Power | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Heat | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Saumlhkoumlnmyynti | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Russia | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Muut | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Yhteensauml | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 | ||||||||||||||||||
I-III2009 | ||||||||||||||||||||||||||
SEK | Muut | Yhteensauml | ||||||||||||||||||||||||
Saumlhkoumlntuotanto | -67 | -3 | -70 | |||||||||||||||||||||||
Laumlmpouml | -10 | -2 | -12 | |||||||||||||||||||||||
Saumlhkoumlnsiirto | -13 | -1 | -14 | |||||||||||||||||||||||
Markets | -1 | -1 | -2 | |||||||||||||||||||||||
Venaumljauml | 0 | 6 | 6 | |||||||||||||||||||||||
Muu | 0 | 1 | 1 | |||||||||||||||||||||||
Yhteensauml | -91 | 0 | -91 |
Operating profit II2010 | Operating profit II2009 | Operating profit I-II2010 | Operating profit I-2009 | |||||||||||||||||||||||
Comparable | Reported | Comparable | Reported | Comparable | Reported | Comparable | Reported | |||||||||||||||||||
Power | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Heat | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Electricity Sales | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Russia | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Other | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Total | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 | ||||||||||||||||||
Currency translation effects on comparable operating profit | ||||||||||||||||||||||||||
I2009 | I-III2009 | |||||||||||||||||||||||||
SEK | Other | Total | SEK | Other | Total | |||||||||||||||||||||
Power Generation | -55 | -3 | -58 | Power Generation | -67 | -3 | -70 | |||||||||||||||||||
Heat | -12 | -3 | -15 | Heat | -10 | -2 | -12 | |||||||||||||||||||
Distribution | -11 | -1 | -12 | Distribution | -13 | -1 | -14 | |||||||||||||||||||
Markets | -1 | 0 | -1 | Markets | -1 | -1 | -2 | |||||||||||||||||||
Russia | 0 | 1 | 1 | Russia | 0 | 6 | 6 | |||||||||||||||||||
Other | 1 | 0 | 1 | Other | 0 | 1 | 1 | |||||||||||||||||||
Total | -78 | -6 | -84 | Total | -91 | 0 | -91 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Vertkelpliikevoitto | Raportoitu liikevoitto | Vertkelpliikevoitto | Raportoitu liikevoitto | |||||||||||||||||||||||
II2010 | II2009 | II2010 | II2009 | I-II2010 | I-II2009 | I-II2010 | I-II2009 | |||||||||||||||||||
Power | 257 | 271 | 271 | 280 | 582 | 695 | 760 | 747 | ||||||||||||||||||
Heat | 25 | 33 | 25 | 35 | 196 | 165 | 290 | 194 | ||||||||||||||||||
Distribution | 21 | -9 | 21 | -9 | 55 | 7 | 55 | 23 | ||||||||||||||||||
Saumlhkoumlnmyynti | 60 | 53 | 252 | 53 | 184 | 155 | 377 | 166 | ||||||||||||||||||
Russia | 10 | 10 | 23 | 23 | 21 | -3 | 3 | -6 | ||||||||||||||||||
Muut | -25 | -19 | 17 | -31 | -41 | -29 | 24 | -49 | ||||||||||||||||||
Yhteensauml | 348 | 339 | 609 | 351 | 997 | 990 | 1509 | 1075 | ||||||||||||||||||
I-III2009 | ||||||||||||||||||||||||||
SEK | Muut | Yhteensauml | ||||||||||||||||||||||||
Saumlhkoumlntuotanto | -67 | -3 | -70 | |||||||||||||||||||||||
Laumlmpouml | -10 | -2 | -12 | |||||||||||||||||||||||
Saumlhkoumlnsiirto | -13 | -1 | -14 | |||||||||||||||||||||||
Markets | -1 | -1 | -2 | |||||||||||||||||||||||
Venaumljauml | 0 | 6 | 6 | |||||||||||||||||||||||
Muu | 0 | 1 | 1 | |||||||||||||||||||||||
Yhteensauml | -91 | 0 | -91 |
MEUR | Comparable operating profit | Reported operating profit | Comparable operating profit | Reported operating profit | ||||||||||||||||||||||
II2011 | II2010 | II2011 | II2010 | I-II2011 | I-II2010 | I-II2011 | I-II2010 | |||||||||||||||||||
Power | 257 | 271 | 271 | 280 | 582 | 695 | 760 | 747 | ||||||||||||||||||
Heat | 25 | 33 | 25 | 35 | 196 | 165 | 290 | 194 | ||||||||||||||||||
Russia | 21 | -9 | 21 | -9 | 55 | 7 | 55 | 23 | ||||||||||||||||||
Distribution | 60 | 53 | 252 | 53 | 184 | 155 | 377 | 166 | ||||||||||||||||||
Electricity Sales | 10 | 10 | 23 | 23 | 21 | -3 | 3 | -6 | ||||||||||||||||||
Other | -25 | -19 | 17 | -31 | -41 | -29 | 24 | -49 | ||||||||||||||||||
Total | 348 | 339 | 609 | 351 | 997 | 990 | 1509 | 1075 | ||||||||||||||||||
Currency translation effects on comparable operating profit | ||||||||||||||||||||||||||
I2009 | I-III2009 | |||||||||||||||||||||||||
SEK | Other | Total | SEK | Other | Total | |||||||||||||||||||||
Power Generation | -55 | -3 | -58 | Power Generation | -67 | -3 | -70 | |||||||||||||||||||
Heat | -12 | -3 | -15 | Heat | -10 | -2 | -12 | |||||||||||||||||||
Distribution | -11 | -1 | -12 | Distribution | -13 | -1 | -14 | |||||||||||||||||||
Markets | -1 | 0 | -1 | Markets | -1 | -1 | -2 | |||||||||||||||||||
Russia | 0 | 1 | 1 | Russia | 0 | 6 | 6 | |||||||||||||||||||
Other | 1 | 0 | 1 | Other | 0 | 1 | 1 | |||||||||||||||||||
Total | -78 | -6 | -84 | Total | -91 | 0 | -91 |
3131
CO2 -free and energy-efficient solutions important
Create solid earnings growth in Russia
Leverage the strong Nordic core
Build platform for future growth
Competence in CO2 -free hydro nuclear and energy efficient CHP production and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -Fortumrsquos strategy remains intact
32
19 July 2011
Fortum Corporation
Interim Report
January-June 2011
Disclaimer
This presentation does not constitute an invitation to underwrite subscribe for or otherwise acquire or dispose of any Fortum shares
Past performance is no guide to future performance and persons needing advice should consult an independent financial adviser
Highlights in Q2
Increased uncertainty in macro environment
GLOBAL
- Incident in Fukushima in Japan
Finland
- No new decisions-in-principle on nuclear power in four years
- The new Governmentrsquos policy framework includes a possible implementation of a windfall tax and a uranium tax
Germany
- To be replaced by renewable energy
Q2 Market conditions
Nordic water reservoirs
Source Nord Pool Spot
Q1
Q2
Q3
Q4
2003
2008
2009
2011
2010
reference level
reservoir content (TWh)
0
20
40
60
80
100
120
Price development in the Nordic region and Russia
Includes capacity income
+17
+6
+24
+13
Q2 Good development continued
Q2 Comparable profit at last yearrsquos level
Comparable operating profit EUR million
-6
7
30
-14
348
339
0
-8
Power
Q22010
Heat
Russia
Distribution
Electricity
Sales
Other
Q22011
January-June Comparable profit at last yearrsquos level
Comparable operating profit EUR million
31
24
990
997
-113
48
29
-12
Power
H12010
Heat
Russia
Distribution
Electricity
Sales
Other
H12011
Fortum a forerunner in sustainability
Financials
Comparable and reported operating profit
Power
Q2 Power
Nuclear output in Q2
Planned outages in Oskarshamn 1amp3 and Forsmark 1 in Q22011
(In 2010 no outages in Q2)
If timing would have been similar in 2011 compared to 2010 nuclear output would have exceeded 2010 levels during Q2
Improved availability in Sweden
Q2 2011
Q2 2010
Nuclear
Outage effect
TWh
Q2 Power result declined due to several reasons
Comparable operating profit EUR million
257
-3
-4
0
271
3
-10
Volume
amp price
Q22010
Stronger
SEK
Russian
import
Property
taxes
Other
Q22011
Heat
Q2 Heat
Russia
Q2 Russia
Distribution
Q2 Distribution
Markets
Q2 Electricity Sales
Q2 Income statement
Q2 Cash flow statement
Key ratios
Q2 lsquo11
Debt maturity profile
per 30 June 2011 per 31 Dec 2010
Average interest rate (incl swaps and forwards)4435
Portion of floating fixed debt 47 53 49 51
Strong financial position
Return on capital employed
12
Return on shareholders equity
14
Net debtEBITDA
around 30
138
191
28
Fortumrsquos financial targets
LTM in Q22011
Good liquidity ndash committed credit lines total EUR 27 billion
Comparable net debtEBITDA
Outlook
Q2 Summary
Outlook
Outlook
(Q1 70 at EUR 44MWh)
(Q1 45 at EUR 45MWh)
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007
2008
2009
2010
2011
2012
0
10
20
30
40
50
60
70
80
90
100
110
Spot prices
Forward prices
CO2-free and energy-efficient solutions important
Create solid earnings
growth in Russia
Leverage the strong
Nordic core
Build platform for
future growth
Competence in CO2-free hydro nuclear and energy efficient CHP production
and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -
Fortumrsquos strategy remains intact
MEURII2011II2010I-II2011I-II2010LTM
Sales1833275569641 390
Comparable operating profit101021-335
Net Assets7759
Comparable RONA 341
Gross Investments10404
MEURII2011II2010I-II2011I-II2010LTM
Sales2152005264801 009
Comparable operating profit6053184155336
Net Assets3 4873 482
Comparable RONA 99
Gross Investments62479676233
0
250
500
750
1000
1250
1500
1750
20112012201320142015201620172018201920202021+
BondsFinancial institutionsOther long-term debtCPsOther short-term debt
MEURII2011II2010I-II2011I-II2010LTM
Sales195169490413881
Comparable operating profit21-955756
Net Assets3 0512 690
Comparable RONA 34
Gross Investments192167267258608
MEURII2011II2010I-II2011I-II2010LTM
Sales5745971 2671 3662 603
Comparable operating profit2572715826951 185
Net Assets5 9985 726
Comparable RONA 198
Gross Investments36226955136
MEURII2011II2010I-II2011I-II20102010LTM
Sales1 316
1 2953 3503 2426 296
6 404
Expenses-968-956-2 353-2 252-4 463-4 564
Comparable operating profit3483399979901 8331 840
Other items affecting comparability2611251285-125302
Operating profit6093511 5091 0751 7082 142
Share of profit of associates and jvs1515743162105
Financial expenses net-72-34-127-61-155-221
Profit before taxes5523321 4561 0451 6152 026
Income tax expense-74-61-232-191-261-302
Net profit for the period4782711 2248541 3541 724
Non-controlling interests6874325496
EPS basic (EUR)053030129093146183
EPS diluted (EUR)053030129093146183
Spot price for power in NordPool power exchange
448
459
662
523
621
0
12
24
36
48
60
72
Q22010Q32010Q42010Q12011Q22011
eurMWh
Powers Nordic power price
447
469
488
479
474
0
10
20
30
40
50
60
Q22010Q32010Q42010Q12011Q22011
eurMWh
MEURII2011II2010I-II2011I-II20102010LTM
Operating profit before depreciations7644901 8131 3512 2712 733
Non-cash flow items and divesting activities
-299-6-569-73124-372
Financial items and fx gainslosses
12-146-290-323-641-608
Taxes
-144-73-258-155-355-458
Funds from operations (FFO)
3332656968001 3991 295
Change in working capital
771571681433863
Total net cash from operating activities4104228649431 4371 358
Paid capital expenditures-297-263-503-486-1 134-1 151
Acquisition of shares-1-1-20-1-28-47
Other investing activities331-165417260529
Cash flow before financing activities443142882528335689
MEURII2011II2010I-II2011I-II2010LTM
Sales3223011 0479521 865
Comparable operating profit2533196165306
Net Assets3 9113 884
Comparable RONA 82
Gross Investments7259130121314
MEUR
II2011II2010II2011II2010I-II2011I-II2010I-II2011I-II2010
Power257271271280582695760747
Heat25332535196165290194
Russia21-921-95575523
Distribution605325253184155377166
Electricity Sales1010232321-33-6
Other-25-1917-31-41-2924-49
Total3483396093519979901 5091 075
Comparable operating profit
Reported operating profit
Comparable operating profit
Reported operating profit
Spot price for power (market price) Urals hub
770
935
817
950
954
0
200
400
600
800
1 000
1 200
Q22010Q32010Q42010Q12011Q22011
RUBMWh
Achieved power price for OAO Fortum
256
288
305
292
290
0
6
12
18
24
30
36
Q22010Q32010Q42010Q12011Q22011
eurMWh
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
MEURLTM20102009
EBITDA2 7332 2712 292
Comparable EBITDA2 4312 3962 398
Interest-bearing net debt6 7836 8265 969
Net debtEBITDA253026
Comparable Net debtEBITDA282825
Return on capital employed ()138116121
Return on shareholders equity ()191157160
) as of 30 June 2011
MEUR | |||
2011 | 231 | ||
2012 | 668 | ||
2013 | 639 | ||
2014 | 1223 | ||
2015 | 1051 | ||
2016 | 879 | ||
2017 | 270 | ||
2018 | 190 | ||
2019 | 840 | ||
2020 | 73 | ||
2021+ | 1530 |
MEUR | LTM | 2010 | 2009 | 2008 | 2006 | 2005 | |||||||
EBITDA | 2733 | 2271 | 2292 | 2478 | 1884 | ||||||||
Comparable EBITDA | 2431 | 2396 | 2398 | 1151 | 1271 | ||||||||
Interest-bearing net debt | 6 783 | 6826 | 5969 | 6179 | 4345 | 3158 | |||||||
Net debtEBITDA | 25 | 30 | 26 | 25 | 8161 | ||||||||
Comparable Net debtEBITDA | 28 | 28 | 25 | 16839 | 15130 | ||||||||
23 | 18 | ||||||||||||
Return on capital employed () | 138 | 116 | 121 | 150 | 134 | 135 | |||||||
Return on shareholders equity () | 191 | 157 | 160 | 187 | 144 | 135 | |||||||
) as of 30 June 2011 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | |||||||||||
Operating profit before depreciations | 764 | 490 | 1813 | 1351 | 2271 | 2733 | 2478 | 1663 | 2370 | 0 | |||||||||||
Non-cash flow items and divesting activities | -299 | -6 | -569 | -73 | 124 | -372 | -275 | -268 | -56 | 0 | |||||||||||
Financial items and fx gainslosses | 12 | -146 | -290 | -323 | -641 | -608 | 233 | ||||||||||||||
Taxes | -144 | -73 | -258 | -155 | -355 | -458 | -332 | -231 | -534 | 0 | |||||||||||
Funds from operations (FFO) | 333 | 265 | 696 | 800 | 1399 | 1295 | 2104 | 1164 | 1780 | 0 | |||||||||||
Change in working capital | 77 | 157 | 168 | 143 | 38 | 63 | -102 | 161 | 5 | 0 | |||||||||||
Total net cash from operating activities | 410 | 422 | 864 | 943 | 1437 | 1358 | 2002 | 1325 | 1785 | 0 | |||||||||||
Paid capital expenditures | -297 | -263 | -503 | -486 | -1134 | -1151 | -1018 | -341 | -931 | 0 | |||||||||||
Acquisition of shares | -1 | -1 | -20 | -1 | -28 | -47 | -1243 | -257 | -1243 | 0 | |||||||||||
Other investing activities | 331 | -16 | 541 | 72 | 60 | 529 | -21 | 258 | -34 | 0 | |||||||||||
Cash flow before financing activities | 443 | 142 | 882 | 528 | 335 | 689 | -280 | 985 | -423 | 0 |
MEUR | Q1-Q300 | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | 2004 | ||||||||||||||||||
Sales | 7732 | 1316 | 1295 | 3350 | 3242 | 6296 | 6404 | 5636 | 3159 | 5354 | 0 | 3835 | ||||||||||||||||||
Expenses | -7109 | -968 | -956 | -2353 | -2252 | -4463 | -4564 | -3673 | -1832 | -3482 | 0 | -2640 | ||||||||||||||||||
Comparable operating profit | 623 | 348 | 339 | 997 | 990 | 1833 | 1840 | 1963 | 1327 | 1872 | 0 | 1195 | ||||||||||||||||||
Other items affecting comparability | 261 | 12 | 512 | 85 | -125 | 302 | ||||||||||||||||||||||||
Operating profit | 609 | 351 | 1509 | 1075 | 1708 | 2142 | ||||||||||||||||||||||||
Share of profit of associates and jvs | 15 | 15 | 74 | 31 | 62 | 105 | 126 | 223 | 96 | 0 | 12 | |||||||||||||||||||
Financial expenses net | -209 | -72 | -34 | -127 | -61 | -155 | -221 | -239 | -117 | -222 | 0 | -245 | ||||||||||||||||||
Profit before taxes | 0 | 552 | 332 | 1456 | 1045 | 1615 | 2026 | 1850 | 1433 | 1746 | 0 | 0 | ||||||||||||||||||
Income tax expense | -83 | -74 | -61 | -232 | -191 | -261 | -302 | -254 | -218 | -364 | 0 | -259 | ||||||||||||||||||
Net profit for the period | -26 | 478 | 271 | 1224 | 854 | 1354 | 1724 | 1596 | 1215 | 1382 | 0 | 0 | ||||||||||||||||||
Non-controlling interests | 6 | 8 | 74 | 32 | 54 | 96 | 54 | 31 | 35 | 0 | 33 | |||||||||||||||||||
EPS basic (EUR) | 039 | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 148 | ||||||||||||||||||
EPS diluted (EUR) | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 079 | |||||||||||||||||||
069 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 183 | 327 | 556 | 964 | 1390 | |||||||
Comparable operating profit | 10 | 10 | 21 | -3 | 35 | |||||||
Net Assets | 77 | 59 | ||||||||||
Comparable RONA | 341 | |||||||||||
Gross Investments | 1 | 0 | 4 | 0 | 4 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 215 | 200 | 526 | 480 | 1009 | |||||||
Comparable operating profit | 60 | 53 | 184 | 155 | 336 | |||||||
Net Assets | 3487 | 3482 | ||||||||||
Comparable RONA | 99 | |||||||||||
Gross Investments | 62 | 47 | 96 | 76 | 233 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 195 | 169 | 490 | 413 | 881 | |||||||
Comparable operating profit | 21 | -9 | 55 | 7 | 56 | |||||||
Net Assets | 3051 | 2690 | ||||||||||
Comparable RONA | 34 | |||||||||||
Gross Investments | 192 | 167 | 267 | 258 | 608 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 322 | 301 | 1047 | 952 | 1865 | |||||||
Comparable operating profit | 25 | 33 | 196 | 165 | 306 | |||||||
Net Assets | 3911 | 3884 | ||||||||||
Comparable RONA | 82 | |||||||||||
Gross Investments | 72 | 59 | 130 | 121 | 314 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 574 | 597 | 1267 | 1366 | 2603 | |||||||
Comparable operating profit | 257 | 271 | 582 | 695 | 1185 | |||||||
Net Assets | 5998 | 5726 | ||||||||||
Comparable RONA | 198 | |||||||||||
Gross Investments | 36 | 22 | 69 | 55 | 136 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Roumlrelseresultat II2009 | Roumlrelseresultat II2008 | Liikevoitto 2008 | Liikevoitto 2007 | |||||||||||||||||||||||
Jaumlmfoumlrbart | Rapporterat | Jaumlmfoumlrbart | Rapporterat | Vertkelp | Raportoitu | Vertkelp | Raportoitu | |||||||||||||||||||
Kraftproduktion | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Vaumlrme | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Markets | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Ryssland | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Oumlvrigt | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Summa | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Liikevoitto II2010 | Liikevoitto II2009 | Liikevoitto I-II2010 | Liikevoitto I-II2009 | |||||||||||||||||||||||
Vertkelp | Raportoitu | Vertkelp | Raportoitu | Vertkelp | Raportoitu | Vertkelp | Raportoitu | |||||||||||||||||||
Power | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Heat | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Saumlhkoumlnmyynti | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Russia | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Muut | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Yhteensauml | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 | ||||||||||||||||||
I-III2009 | ||||||||||||||||||||||||||
SEK | Muut | Yhteensauml | ||||||||||||||||||||||||
Saumlhkoumlntuotanto | -67 | -3 | -70 | |||||||||||||||||||||||
Laumlmpouml | -10 | -2 | -12 | |||||||||||||||||||||||
Saumlhkoumlnsiirto | -13 | -1 | -14 | |||||||||||||||||||||||
Markets | -1 | -1 | -2 | |||||||||||||||||||||||
Venaumljauml | 0 | 6 | 6 | |||||||||||||||||||||||
Muu | 0 | 1 | 1 | |||||||||||||||||||||||
Yhteensauml | -91 | 0 | -91 |
Operating profit II2010 | Operating profit II2009 | Operating profit I-II2010 | Operating profit I-2009 | |||||||||||||||||||||||
Comparable | Reported | Comparable | Reported | Comparable | Reported | Comparable | Reported | |||||||||||||||||||
Power | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Heat | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Electricity Sales | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Russia | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Other | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Total | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 | ||||||||||||||||||
Currency translation effects on comparable operating profit | ||||||||||||||||||||||||||
I2009 | I-III2009 | |||||||||||||||||||||||||
SEK | Other | Total | SEK | Other | Total | |||||||||||||||||||||
Power Generation | -55 | -3 | -58 | Power Generation | -67 | -3 | -70 | |||||||||||||||||||
Heat | -12 | -3 | -15 | Heat | -10 | -2 | -12 | |||||||||||||||||||
Distribution | -11 | -1 | -12 | Distribution | -13 | -1 | -14 | |||||||||||||||||||
Markets | -1 | 0 | -1 | Markets | -1 | -1 | -2 | |||||||||||||||||||
Russia | 0 | 1 | 1 | Russia | 0 | 6 | 6 | |||||||||||||||||||
Other | 1 | 0 | 1 | Other | 0 | 1 | 1 | |||||||||||||||||||
Total | -78 | -6 | -84 | Total | -91 | 0 | -91 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Vertkelpliikevoitto | Raportoitu liikevoitto | Vertkelpliikevoitto | Raportoitu liikevoitto | |||||||||||||||||||||||
II2010 | II2009 | II2010 | II2009 | I-II2010 | I-II2009 | I-II2010 | I-II2009 | |||||||||||||||||||
Power | 257 | 271 | 271 | 280 | 582 | 695 | 760 | 747 | ||||||||||||||||||
Heat | 25 | 33 | 25 | 35 | 196 | 165 | 290 | 194 | ||||||||||||||||||
Distribution | 21 | -9 | 21 | -9 | 55 | 7 | 55 | 23 | ||||||||||||||||||
Saumlhkoumlnmyynti | 60 | 53 | 252 | 53 | 184 | 155 | 377 | 166 | ||||||||||||||||||
Russia | 10 | 10 | 23 | 23 | 21 | -3 | 3 | -6 | ||||||||||||||||||
Muut | -25 | -19 | 17 | -31 | -41 | -29 | 24 | -49 | ||||||||||||||||||
Yhteensauml | 348 | 339 | 609 | 351 | 997 | 990 | 1509 | 1075 | ||||||||||||||||||
I-III2009 | ||||||||||||||||||||||||||
SEK | Muut | Yhteensauml | ||||||||||||||||||||||||
Saumlhkoumlntuotanto | -67 | -3 | -70 | |||||||||||||||||||||||
Laumlmpouml | -10 | -2 | -12 | |||||||||||||||||||||||
Saumlhkoumlnsiirto | -13 | -1 | -14 | |||||||||||||||||||||||
Markets | -1 | -1 | -2 | |||||||||||||||||||||||
Venaumljauml | 0 | 6 | 6 | |||||||||||||||||||||||
Muu | 0 | 1 | 1 | |||||||||||||||||||||||
Yhteensauml | -91 | 0 | -91 |
MEUR | Comparable operating profit | Reported operating profit | Comparable operating profit | Reported operating profit | ||||||||||||||||||||||
II2011 | II2010 | II2011 | II2010 | I-II2011 | I-II2010 | I-II2011 | I-II2010 | |||||||||||||||||||
Power | 257 | 271 | 271 | 280 | 582 | 695 | 760 | 747 | ||||||||||||||||||
Heat | 25 | 33 | 25 | 35 | 196 | 165 | 290 | 194 | ||||||||||||||||||
Russia | 21 | -9 | 21 | -9 | 55 | 7 | 55 | 23 | ||||||||||||||||||
Distribution | 60 | 53 | 252 | 53 | 184 | 155 | 377 | 166 | ||||||||||||||||||
Electricity Sales | 10 | 10 | 23 | 23 | 21 | -3 | 3 | -6 | ||||||||||||||||||
Other | -25 | -19 | 17 | -31 | -41 | -29 | 24 | -49 | ||||||||||||||||||
Total | 348 | 339 | 609 | 351 | 997 | 990 | 1509 | 1075 | ||||||||||||||||||
Currency translation effects on comparable operating profit | ||||||||||||||||||||||||||
I2009 | I-III2009 | |||||||||||||||||||||||||
SEK | Other | Total | SEK | Other | Total | |||||||||||||||||||||
Power Generation | -55 | -3 | -58 | Power Generation | -67 | -3 | -70 | |||||||||||||||||||
Heat | -12 | -3 | -15 | Heat | -10 | -2 | -12 | |||||||||||||||||||
Distribution | -11 | -1 | -12 | Distribution | -13 | -1 | -14 | |||||||||||||||||||
Markets | -1 | 0 | -1 | Markets | -1 | -1 | -2 | |||||||||||||||||||
Russia | 0 | 1 | 1 | Russia | 0 | 6 | 6 | |||||||||||||||||||
Other | 1 | 0 | 1 | Other | 0 | 1 | 1 | |||||||||||||||||||
Total | -78 | -6 | -84 | Total | -91 | 0 | -91 |
32
19 July 2011
Fortum Corporation
Interim Report
January-June 2011
Disclaimer
This presentation does not constitute an invitation to underwrite subscribe for or otherwise acquire or dispose of any Fortum shares
Past performance is no guide to future performance and persons needing advice should consult an independent financial adviser
Highlights in Q2
Increased uncertainty in macro environment
GLOBAL
- Incident in Fukushima in Japan
Finland
- No new decisions-in-principle on nuclear power in four years
- The new Governmentrsquos policy framework includes a possible implementation of a windfall tax and a uranium tax
Germany
- To be replaced by renewable energy
Q2 Market conditions
Nordic water reservoirs
Source Nord Pool Spot
Q1
Q2
Q3
Q4
2003
2008
2009
2011
2010
reference level
reservoir content (TWh)
0
20
40
60
80
100
120
Price development in the Nordic region and Russia
Includes capacity income
+17
+6
+24
+13
Q2 Good development continued
Q2 Comparable profit at last yearrsquos level
Comparable operating profit EUR million
-6
7
30
-14
348
339
0
-8
Power
Q22010
Heat
Russia
Distribution
Electricity
Sales
Other
Q22011
January-June Comparable profit at last yearrsquos level
Comparable operating profit EUR million
31
24
990
997
-113
48
29
-12
Power
H12010
Heat
Russia
Distribution
Electricity
Sales
Other
H12011
Fortum a forerunner in sustainability
Financials
Comparable and reported operating profit
Power
Q2 Power
Nuclear output in Q2
Planned outages in Oskarshamn 1amp3 and Forsmark 1 in Q22011
(In 2010 no outages in Q2)
If timing would have been similar in 2011 compared to 2010 nuclear output would have exceeded 2010 levels during Q2
Improved availability in Sweden
Q2 2011
Q2 2010
Nuclear
Outage effect
TWh
Q2 Power result declined due to several reasons
Comparable operating profit EUR million
257
-3
-4
0
271
3
-10
Volume
amp price
Q22010
Stronger
SEK
Russian
import
Property
taxes
Other
Q22011
Heat
Q2 Heat
Russia
Q2 Russia
Distribution
Q2 Distribution
Markets
Q2 Electricity Sales
Q2 Income statement
Q2 Cash flow statement
Key ratios
Q2 lsquo11
Debt maturity profile
per 30 June 2011 per 31 Dec 2010
Average interest rate (incl swaps and forwards)4435
Portion of floating fixed debt 47 53 49 51
Strong financial position
Return on capital employed
12
Return on shareholders equity
14
Net debtEBITDA
around 30
138
191
28
Fortumrsquos financial targets
LTM in Q22011
Good liquidity ndash committed credit lines total EUR 27 billion
Comparable net debtEBITDA
Outlook
Q2 Summary
Outlook
Outlook
(Q1 70 at EUR 44MWh)
(Q1 45 at EUR 45MWh)
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007
2008
2009
2010
2011
2012
0
10
20
30
40
50
60
70
80
90
100
110
Spot prices
Forward prices
CO2-free and energy-efficient solutions important
Create solid earnings
growth in Russia
Leverage the strong
Nordic core
Build platform for
future growth
Competence in CO2-free hydro nuclear and energy efficient CHP production
and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -
Fortumrsquos strategy remains intact
MEURII2011II2010I-II2011I-II2010LTM
Sales1833275569641 390
Comparable operating profit101021-335
Net Assets7759
Comparable RONA 341
Gross Investments10404
MEURII2011II2010I-II2011I-II2010LTM
Sales2152005264801 009
Comparable operating profit6053184155336
Net Assets3 4873 482
Comparable RONA 99
Gross Investments62479676233
0
250
500
750
1000
1250
1500
1750
20112012201320142015201620172018201920202021+
BondsFinancial institutionsOther long-term debtCPsOther short-term debt
MEURII2011II2010I-II2011I-II2010LTM
Sales195169490413881
Comparable operating profit21-955756
Net Assets3 0512 690
Comparable RONA 34
Gross Investments192167267258608
MEURII2011II2010I-II2011I-II2010LTM
Sales5745971 2671 3662 603
Comparable operating profit2572715826951 185
Net Assets5 9985 726
Comparable RONA 198
Gross Investments36226955136
MEURII2011II2010I-II2011I-II20102010LTM
Sales1 316
1 2953 3503 2426 296
6 404
Expenses-968-956-2 353-2 252-4 463-4 564
Comparable operating profit3483399979901 8331 840
Other items affecting comparability2611251285-125302
Operating profit6093511 5091 0751 7082 142
Share of profit of associates and jvs1515743162105
Financial expenses net-72-34-127-61-155-221
Profit before taxes5523321 4561 0451 6152 026
Income tax expense-74-61-232-191-261-302
Net profit for the period4782711 2248541 3541 724
Non-controlling interests6874325496
EPS basic (EUR)053030129093146183
EPS diluted (EUR)053030129093146183
Spot price for power in NordPool power exchange
448
459
662
523
621
0
12
24
36
48
60
72
Q22010Q32010Q42010Q12011Q22011
eurMWh
Powers Nordic power price
447
469
488
479
474
0
10
20
30
40
50
60
Q22010Q32010Q42010Q12011Q22011
eurMWh
MEURII2011II2010I-II2011I-II20102010LTM
Operating profit before depreciations7644901 8131 3512 2712 733
Non-cash flow items and divesting activities
-299-6-569-73124-372
Financial items and fx gainslosses
12-146-290-323-641-608
Taxes
-144-73-258-155-355-458
Funds from operations (FFO)
3332656968001 3991 295
Change in working capital
771571681433863
Total net cash from operating activities4104228649431 4371 358
Paid capital expenditures-297-263-503-486-1 134-1 151
Acquisition of shares-1-1-20-1-28-47
Other investing activities331-165417260529
Cash flow before financing activities443142882528335689
MEURII2011II2010I-II2011I-II2010LTM
Sales3223011 0479521 865
Comparable operating profit2533196165306
Net Assets3 9113 884
Comparable RONA 82
Gross Investments7259130121314
MEUR
II2011II2010II2011II2010I-II2011I-II2010I-II2011I-II2010
Power257271271280582695760747
Heat25332535196165290194
Russia21-921-95575523
Distribution605325253184155377166
Electricity Sales1010232321-33-6
Other-25-1917-31-41-2924-49
Total3483396093519979901 5091 075
Comparable operating profit
Reported operating profit
Comparable operating profit
Reported operating profit
Spot price for power (market price) Urals hub
770
935
817
950
954
0
200
400
600
800
1 000
1 200
Q22010Q32010Q42010Q12011Q22011
RUBMWh
Achieved power price for OAO Fortum
256
288
305
292
290
0
6
12
18
24
30
36
Q22010Q32010Q42010Q12011Q22011
eurMWh
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
MEURLTM20102009
EBITDA2 7332 2712 292
Comparable EBITDA2 4312 3962 398
Interest-bearing net debt6 7836 8265 969
Net debtEBITDA253026
Comparable Net debtEBITDA282825
Return on capital employed ()138116121
Return on shareholders equity ()191157160
) as of 30 June 2011
MEUR | |||
2011 | 231 | ||
2012 | 668 | ||
2013 | 639 | ||
2014 | 1223 | ||
2015 | 1051 | ||
2016 | 879 | ||
2017 | 270 | ||
2018 | 190 | ||
2019 | 840 | ||
2020 | 73 | ||
2021+ | 1530 |
MEUR | LTM | 2010 | 2009 | 2008 | 2006 | 2005 | |||||||
EBITDA | 2733 | 2271 | 2292 | 2478 | 1884 | ||||||||
Comparable EBITDA | 2431 | 2396 | 2398 | 1151 | 1271 | ||||||||
Interest-bearing net debt | 6 783 | 6826 | 5969 | 6179 | 4345 | 3158 | |||||||
Net debtEBITDA | 25 | 30 | 26 | 25 | 8161 | ||||||||
Comparable Net debtEBITDA | 28 | 28 | 25 | 16839 | 15130 | ||||||||
23 | 18 | ||||||||||||
Return on capital employed () | 138 | 116 | 121 | 150 | 134 | 135 | |||||||
Return on shareholders equity () | 191 | 157 | 160 | 187 | 144 | 135 | |||||||
) as of 30 June 2011 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | |||||||||||
Operating profit before depreciations | 764 | 490 | 1813 | 1351 | 2271 | 2733 | 2478 | 1663 | 2370 | 0 | |||||||||||
Non-cash flow items and divesting activities | -299 | -6 | -569 | -73 | 124 | -372 | -275 | -268 | -56 | 0 | |||||||||||
Financial items and fx gainslosses | 12 | -146 | -290 | -323 | -641 | -608 | 233 | ||||||||||||||
Taxes | -144 | -73 | -258 | -155 | -355 | -458 | -332 | -231 | -534 | 0 | |||||||||||
Funds from operations (FFO) | 333 | 265 | 696 | 800 | 1399 | 1295 | 2104 | 1164 | 1780 | 0 | |||||||||||
Change in working capital | 77 | 157 | 168 | 143 | 38 | 63 | -102 | 161 | 5 | 0 | |||||||||||
Total net cash from operating activities | 410 | 422 | 864 | 943 | 1437 | 1358 | 2002 | 1325 | 1785 | 0 | |||||||||||
Paid capital expenditures | -297 | -263 | -503 | -486 | -1134 | -1151 | -1018 | -341 | -931 | 0 | |||||||||||
Acquisition of shares | -1 | -1 | -20 | -1 | -28 | -47 | -1243 | -257 | -1243 | 0 | |||||||||||
Other investing activities | 331 | -16 | 541 | 72 | 60 | 529 | -21 | 258 | -34 | 0 | |||||||||||
Cash flow before financing activities | 443 | 142 | 882 | 528 | 335 | 689 | -280 | 985 | -423 | 0 |
MEUR | Q1-Q300 | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | 2004 | ||||||||||||||||||
Sales | 7732 | 1316 | 1295 | 3350 | 3242 | 6296 | 6404 | 5636 | 3159 | 5354 | 0 | 3835 | ||||||||||||||||||
Expenses | -7109 | -968 | -956 | -2353 | -2252 | -4463 | -4564 | -3673 | -1832 | -3482 | 0 | -2640 | ||||||||||||||||||
Comparable operating profit | 623 | 348 | 339 | 997 | 990 | 1833 | 1840 | 1963 | 1327 | 1872 | 0 | 1195 | ||||||||||||||||||
Other items affecting comparability | 261 | 12 | 512 | 85 | -125 | 302 | ||||||||||||||||||||||||
Operating profit | 609 | 351 | 1509 | 1075 | 1708 | 2142 | ||||||||||||||||||||||||
Share of profit of associates and jvs | 15 | 15 | 74 | 31 | 62 | 105 | 126 | 223 | 96 | 0 | 12 | |||||||||||||||||||
Financial expenses net | -209 | -72 | -34 | -127 | -61 | -155 | -221 | -239 | -117 | -222 | 0 | -245 | ||||||||||||||||||
Profit before taxes | 0 | 552 | 332 | 1456 | 1045 | 1615 | 2026 | 1850 | 1433 | 1746 | 0 | 0 | ||||||||||||||||||
Income tax expense | -83 | -74 | -61 | -232 | -191 | -261 | -302 | -254 | -218 | -364 | 0 | -259 | ||||||||||||||||||
Net profit for the period | -26 | 478 | 271 | 1224 | 854 | 1354 | 1724 | 1596 | 1215 | 1382 | 0 | 0 | ||||||||||||||||||
Non-controlling interests | 6 | 8 | 74 | 32 | 54 | 96 | 54 | 31 | 35 | 0 | 33 | |||||||||||||||||||
EPS basic (EUR) | 039 | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 148 | ||||||||||||||||||
EPS diluted (EUR) | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 079 | |||||||||||||||||||
069 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 183 | 327 | 556 | 964 | 1390 | |||||||
Comparable operating profit | 10 | 10 | 21 | -3 | 35 | |||||||
Net Assets | 77 | 59 | ||||||||||
Comparable RONA | 341 | |||||||||||
Gross Investments | 1 | 0 | 4 | 0 | 4 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 215 | 200 | 526 | 480 | 1009 | |||||||
Comparable operating profit | 60 | 53 | 184 | 155 | 336 | |||||||
Net Assets | 3487 | 3482 | ||||||||||
Comparable RONA | 99 | |||||||||||
Gross Investments | 62 | 47 | 96 | 76 | 233 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 195 | 169 | 490 | 413 | 881 | |||||||
Comparable operating profit | 21 | -9 | 55 | 7 | 56 | |||||||
Net Assets | 3051 | 2690 | ||||||||||
Comparable RONA | 34 | |||||||||||
Gross Investments | 192 | 167 | 267 | 258 | 608 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 322 | 301 | 1047 | 952 | 1865 | |||||||
Comparable operating profit | 25 | 33 | 196 | 165 | 306 | |||||||
Net Assets | 3911 | 3884 | ||||||||||
Comparable RONA | 82 | |||||||||||
Gross Investments | 72 | 59 | 130 | 121 | 314 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 574 | 597 | 1267 | 1366 | 2603 | |||||||
Comparable operating profit | 257 | 271 | 582 | 695 | 1185 | |||||||
Net Assets | 5998 | 5726 | ||||||||||
Comparable RONA | 198 | |||||||||||
Gross Investments | 36 | 22 | 69 | 55 | 136 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Roumlrelseresultat II2009 | Roumlrelseresultat II2008 | Liikevoitto 2008 | Liikevoitto 2007 | |||||||||||||||||||||||
Jaumlmfoumlrbart | Rapporterat | Jaumlmfoumlrbart | Rapporterat | Vertkelp | Raportoitu | Vertkelp | Raportoitu | |||||||||||||||||||
Kraftproduktion | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Vaumlrme | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Markets | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Ryssland | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Oumlvrigt | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Summa | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Liikevoitto II2010 | Liikevoitto II2009 | Liikevoitto I-II2010 | Liikevoitto I-II2009 | |||||||||||||||||||||||
Vertkelp | Raportoitu | Vertkelp | Raportoitu | Vertkelp | Raportoitu | Vertkelp | Raportoitu | |||||||||||||||||||
Power | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Heat | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Saumlhkoumlnmyynti | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Russia | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Muut | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Yhteensauml | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 | ||||||||||||||||||
I-III2009 | ||||||||||||||||||||||||||
SEK | Muut | Yhteensauml | ||||||||||||||||||||||||
Saumlhkoumlntuotanto | -67 | -3 | -70 | |||||||||||||||||||||||
Laumlmpouml | -10 | -2 | -12 | |||||||||||||||||||||||
Saumlhkoumlnsiirto | -13 | -1 | -14 | |||||||||||||||||||||||
Markets | -1 | -1 | -2 | |||||||||||||||||||||||
Venaumljauml | 0 | 6 | 6 | |||||||||||||||||||||||
Muu | 0 | 1 | 1 | |||||||||||||||||||||||
Yhteensauml | -91 | 0 | -91 |
Operating profit II2010 | Operating profit II2009 | Operating profit I-II2010 | Operating profit I-2009 | |||||||||||||||||||||||
Comparable | Reported | Comparable | Reported | Comparable | Reported | Comparable | Reported | |||||||||||||||||||
Power | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Heat | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Electricity Sales | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Russia | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Other | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Total | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 | ||||||||||||||||||
Currency translation effects on comparable operating profit | ||||||||||||||||||||||||||
I2009 | I-III2009 | |||||||||||||||||||||||||
SEK | Other | Total | SEK | Other | Total | |||||||||||||||||||||
Power Generation | -55 | -3 | -58 | Power Generation | -67 | -3 | -70 | |||||||||||||||||||
Heat | -12 | -3 | -15 | Heat | -10 | -2 | -12 | |||||||||||||||||||
Distribution | -11 | -1 | -12 | Distribution | -13 | -1 | -14 | |||||||||||||||||||
Markets | -1 | 0 | -1 | Markets | -1 | -1 | -2 | |||||||||||||||||||
Russia | 0 | 1 | 1 | Russia | 0 | 6 | 6 | |||||||||||||||||||
Other | 1 | 0 | 1 | Other | 0 | 1 | 1 | |||||||||||||||||||
Total | -78 | -6 | -84 | Total | -91 | 0 | -91 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Vertkelpliikevoitto | Raportoitu liikevoitto | Vertkelpliikevoitto | Raportoitu liikevoitto | |||||||||||||||||||||||
II2010 | II2009 | II2010 | II2009 | I-II2010 | I-II2009 | I-II2010 | I-II2009 | |||||||||||||||||||
Power | 257 | 271 | 271 | 280 | 582 | 695 | 760 | 747 | ||||||||||||||||||
Heat | 25 | 33 | 25 | 35 | 196 | 165 | 290 | 194 | ||||||||||||||||||
Distribution | 21 | -9 | 21 | -9 | 55 | 7 | 55 | 23 | ||||||||||||||||||
Saumlhkoumlnmyynti | 60 | 53 | 252 | 53 | 184 | 155 | 377 | 166 | ||||||||||||||||||
Russia | 10 | 10 | 23 | 23 | 21 | -3 | 3 | -6 | ||||||||||||||||||
Muut | -25 | -19 | 17 | -31 | -41 | -29 | 24 | -49 | ||||||||||||||||||
Yhteensauml | 348 | 339 | 609 | 351 | 997 | 990 | 1509 | 1075 | ||||||||||||||||||
I-III2009 | ||||||||||||||||||||||||||
SEK | Muut | Yhteensauml | ||||||||||||||||||||||||
Saumlhkoumlntuotanto | -67 | -3 | -70 | |||||||||||||||||||||||
Laumlmpouml | -10 | -2 | -12 | |||||||||||||||||||||||
Saumlhkoumlnsiirto | -13 | -1 | -14 | |||||||||||||||||||||||
Markets | -1 | -1 | -2 | |||||||||||||||||||||||
Venaumljauml | 0 | 6 | 6 | |||||||||||||||||||||||
Muu | 0 | 1 | 1 | |||||||||||||||||||||||
Yhteensauml | -91 | 0 | -91 |
MEUR | Comparable operating profit | Reported operating profit | Comparable operating profit | Reported operating profit | ||||||||||||||||||||||
II2011 | II2010 | II2011 | II2010 | I-II2011 | I-II2010 | I-II2011 | I-II2010 | |||||||||||||||||||
Power | 257 | 271 | 271 | 280 | 582 | 695 | 760 | 747 | ||||||||||||||||||
Heat | 25 | 33 | 25 | 35 | 196 | 165 | 290 | 194 | ||||||||||||||||||
Russia | 21 | -9 | 21 | -9 | 55 | 7 | 55 | 23 | ||||||||||||||||||
Distribution | 60 | 53 | 252 | 53 | 184 | 155 | 377 | 166 | ||||||||||||||||||
Electricity Sales | 10 | 10 | 23 | 23 | 21 | -3 | 3 | -6 | ||||||||||||||||||
Other | -25 | -19 | 17 | -31 | -41 | -29 | 24 | -49 | ||||||||||||||||||
Total | 348 | 339 | 609 | 351 | 997 | 990 | 1509 | 1075 | ||||||||||||||||||
Currency translation effects on comparable operating profit | ||||||||||||||||||||||||||
I2009 | I-III2009 | |||||||||||||||||||||||||
SEK | Other | Total | SEK | Other | Total | |||||||||||||||||||||
Power Generation | -55 | -3 | -58 | Power Generation | -67 | -3 | -70 | |||||||||||||||||||
Heat | -12 | -3 | -15 | Heat | -10 | -2 | -12 | |||||||||||||||||||
Distribution | -11 | -1 | -12 | Distribution | -13 | -1 | -14 | |||||||||||||||||||
Markets | -1 | 0 | -1 | Markets | -1 | -1 | -2 | |||||||||||||||||||
Russia | 0 | 1 | 1 | Russia | 0 | 6 | 6 | |||||||||||||||||||
Other | 1 | 0 | 1 | Other | 0 | 1 | 1 | |||||||||||||||||||
Total | -78 | -6 | -84 | Total | -91 | 0 | -91 |
Power
Q2 Power
Nuclear output in Q2
Planned outages in Oskarshamn 1amp3 and Forsmark 1 in Q22011
(In 2010 no outages in Q2)
If timing would have been similar in 2011 compared to 2010 nuclear output would have exceeded 2010 levels during Q2
Improved availability in Sweden
Q2 2011
Q2 2010
Nuclear
Outage effect
TWh
Q2 Power result declined due to several reasons
Comparable operating profit EUR million
257
-3
-4
0
271
3
-10
Volume
amp price
Q22010
Stronger
SEK
Russian
import
Property
taxes
Other
Q22011
Heat
Q2 Heat
Russia
Q2 Russia
Distribution
Q2 Distribution
Markets
Q2 Electricity Sales
Q2 Income statement
Q2 Cash flow statement
Key ratios
Q2 lsquo11
Debt maturity profile
per 30 June 2011 per 31 Dec 2010
Average interest rate (incl swaps and forwards)4435
Portion of floating fixed debt 47 53 49 51
Strong financial position
Return on capital employed
12
Return on shareholders equity
14
Net debtEBITDA
around 30
138
191
28
Fortumrsquos financial targets
LTM in Q22011
Good liquidity ndash committed credit lines total EUR 27 billion
Comparable net debtEBITDA
Outlook
Q2 Summary
Outlook
Outlook
(Q1 70 at EUR 44MWh)
(Q1 45 at EUR 45MWh)
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007
2008
2009
2010
2011
2012
0
10
20
30
40
50
60
70
80
90
100
110
Spot prices
Forward prices
CO2-free and energy-efficient solutions important
Create solid earnings
growth in Russia
Leverage the strong
Nordic core
Build platform for
future growth
Competence in CO2-free hydro nuclear and energy efficient CHP production
and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -
Fortumrsquos strategy remains intact
MEURII2011II2010I-II2011I-II2010LTM
Sales1833275569641 390
Comparable operating profit101021-335
Net Assets7759
Comparable RONA 341
Gross Investments10404
MEURII2011II2010I-II2011I-II2010LTM
Sales2152005264801 009
Comparable operating profit6053184155336
Net Assets3 4873 482
Comparable RONA 99
Gross Investments62479676233
0
250
500
750
1000
1250
1500
1750
20112012201320142015201620172018201920202021+
BondsFinancial institutionsOther long-term debtCPsOther short-term debt
MEURII2011II2010I-II2011I-II2010LTM
Sales195169490413881
Comparable operating profit21-955756
Net Assets3 0512 690
Comparable RONA 34
Gross Investments192167267258608
MEURII2011II2010I-II2011I-II2010LTM
Sales5745971 2671 3662 603
Comparable operating profit2572715826951 185
Net Assets5 9985 726
Comparable RONA 198
Gross Investments36226955136
MEURII2011II2010I-II2011I-II20102010LTM
Sales1 316
1 2953 3503 2426 296
6 404
Expenses-968-956-2 353-2 252-4 463-4 564
Comparable operating profit3483399979901 8331 840
Other items affecting comparability2611251285-125302
Operating profit6093511 5091 0751 7082 142
Share of profit of associates and jvs1515743162105
Financial expenses net-72-34-127-61-155-221
Profit before taxes5523321 4561 0451 6152 026
Income tax expense-74-61-232-191-261-302
Net profit for the period4782711 2248541 3541 724
Non-controlling interests6874325496
EPS basic (EUR)053030129093146183
EPS diluted (EUR)053030129093146183
Spot price for power in NordPool power exchange
448
459
662
523
621
0
12
24
36
48
60
72
Q22010Q32010Q42010Q12011Q22011
eurMWh
Powers Nordic power price
447
469
488
479
474
0
10
20
30
40
50
60
Q22010Q32010Q42010Q12011Q22011
eurMWh
MEURII2011II2010I-II2011I-II20102010LTM
Operating profit before depreciations7644901 8131 3512 2712 733
Non-cash flow items and divesting activities
-299-6-569-73124-372
Financial items and fx gainslosses
12-146-290-323-641-608
Taxes
-144-73-258-155-355-458
Funds from operations (FFO)
3332656968001 3991 295
Change in working capital
771571681433863
Total net cash from operating activities4104228649431 4371 358
Paid capital expenditures-297-263-503-486-1 134-1 151
Acquisition of shares-1-1-20-1-28-47
Other investing activities331-165417260529
Cash flow before financing activities443142882528335689
MEURII2011II2010I-II2011I-II2010LTM
Sales3223011 0479521 865
Comparable operating profit2533196165306
Net Assets3 9113 884
Comparable RONA 82
Gross Investments7259130121314
MEUR
II2011II2010II2011II2010I-II2011I-II2010I-II2011I-II2010
Power257271271280582695760747
Heat25332535196165290194
Russia21-921-95575523
Distribution605325253184155377166
Electricity Sales1010232321-33-6
Other-25-1917-31-41-2924-49
Total3483396093519979901 5091 075
Comparable operating profit
Reported operating profit
Comparable operating profit
Reported operating profit
Spot price for power (market price) Urals hub
770
935
817
950
954
0
200
400
600
800
1 000
1 200
Q22010Q32010Q42010Q12011Q22011
RUBMWh
Achieved power price for OAO Fortum
256
288
305
292
290
0
6
12
18
24
30
36
Q22010Q32010Q42010Q12011Q22011
eurMWh
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
MEURLTM20102009
EBITDA2 7332 2712 292
Comparable EBITDA2 4312 3962 398
Interest-bearing net debt6 7836 8265 969
Net debtEBITDA253026
Comparable Net debtEBITDA282825
Return on capital employed ()138116121
Return on shareholders equity ()191157160
) as of 30 June 2011
MEUR | |||
2011 | 231 | ||
2012 | 668 | ||
2013 | 639 | ||
2014 | 1223 | ||
2015 | 1051 | ||
2016 | 879 | ||
2017 | 270 | ||
2018 | 190 | ||
2019 | 840 | ||
2020 | 73 | ||
2021+ | 1530 |
MEUR | LTM | 2010 | 2009 | 2008 | 2006 | 2005 | |||||||
EBITDA | 2733 | 2271 | 2292 | 2478 | 1884 | ||||||||
Comparable EBITDA | 2431 | 2396 | 2398 | 1151 | 1271 | ||||||||
Interest-bearing net debt | 6 783 | 6826 | 5969 | 6179 | 4345 | 3158 | |||||||
Net debtEBITDA | 25 | 30 | 26 | 25 | 8161 | ||||||||
Comparable Net debtEBITDA | 28 | 28 | 25 | 16839 | 15130 | ||||||||
23 | 18 | ||||||||||||
Return on capital employed () | 138 | 116 | 121 | 150 | 134 | 135 | |||||||
Return on shareholders equity () | 191 | 157 | 160 | 187 | 144 | 135 | |||||||
) as of 30 June 2011 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | |||||||||||
Operating profit before depreciations | 764 | 490 | 1813 | 1351 | 2271 | 2733 | 2478 | 1663 | 2370 | 0 | |||||||||||
Non-cash flow items and divesting activities | -299 | -6 | -569 | -73 | 124 | -372 | -275 | -268 | -56 | 0 | |||||||||||
Financial items and fx gainslosses | 12 | -146 | -290 | -323 | -641 | -608 | 233 | ||||||||||||||
Taxes | -144 | -73 | -258 | -155 | -355 | -458 | -332 | -231 | -534 | 0 | |||||||||||
Funds from operations (FFO) | 333 | 265 | 696 | 800 | 1399 | 1295 | 2104 | 1164 | 1780 | 0 | |||||||||||
Change in working capital | 77 | 157 | 168 | 143 | 38 | 63 | -102 | 161 | 5 | 0 | |||||||||||
Total net cash from operating activities | 410 | 422 | 864 | 943 | 1437 | 1358 | 2002 | 1325 | 1785 | 0 | |||||||||||
Paid capital expenditures | -297 | -263 | -503 | -486 | -1134 | -1151 | -1018 | -341 | -931 | 0 | |||||||||||
Acquisition of shares | -1 | -1 | -20 | -1 | -28 | -47 | -1243 | -257 | -1243 | 0 | |||||||||||
Other investing activities | 331 | -16 | 541 | 72 | 60 | 529 | -21 | 258 | -34 | 0 | |||||||||||
Cash flow before financing activities | 443 | 142 | 882 | 528 | 335 | 689 | -280 | 985 | -423 | 0 |
MEUR | Q1-Q300 | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | 2004 | ||||||||||||||||||
Sales | 7732 | 1316 | 1295 | 3350 | 3242 | 6296 | 6404 | 5636 | 3159 | 5354 | 0 | 3835 | ||||||||||||||||||
Expenses | -7109 | -968 | -956 | -2353 | -2252 | -4463 | -4564 | -3673 | -1832 | -3482 | 0 | -2640 | ||||||||||||||||||
Comparable operating profit | 623 | 348 | 339 | 997 | 990 | 1833 | 1840 | 1963 | 1327 | 1872 | 0 | 1195 | ||||||||||||||||||
Other items affecting comparability | 261 | 12 | 512 | 85 | -125 | 302 | ||||||||||||||||||||||||
Operating profit | 609 | 351 | 1509 | 1075 | 1708 | 2142 | ||||||||||||||||||||||||
Share of profit of associates and jvs | 15 | 15 | 74 | 31 | 62 | 105 | 126 | 223 | 96 | 0 | 12 | |||||||||||||||||||
Financial expenses net | -209 | -72 | -34 | -127 | -61 | -155 | -221 | -239 | -117 | -222 | 0 | -245 | ||||||||||||||||||
Profit before taxes | 0 | 552 | 332 | 1456 | 1045 | 1615 | 2026 | 1850 | 1433 | 1746 | 0 | 0 | ||||||||||||||||||
Income tax expense | -83 | -74 | -61 | -232 | -191 | -261 | -302 | -254 | -218 | -364 | 0 | -259 | ||||||||||||||||||
Net profit for the period | -26 | 478 | 271 | 1224 | 854 | 1354 | 1724 | 1596 | 1215 | 1382 | 0 | 0 | ||||||||||||||||||
Non-controlling interests | 6 | 8 | 74 | 32 | 54 | 96 | 54 | 31 | 35 | 0 | 33 | |||||||||||||||||||
EPS basic (EUR) | 039 | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 148 | ||||||||||||||||||
EPS diluted (EUR) | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 079 | |||||||||||||||||||
069 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 183 | 327 | 556 | 964 | 1390 | |||||||
Comparable operating profit | 10 | 10 | 21 | -3 | 35 | |||||||
Net Assets | 77 | 59 | ||||||||||
Comparable RONA | 341 | |||||||||||
Gross Investments | 1 | 0 | 4 | 0 | 4 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 215 | 200 | 526 | 480 | 1009 | |||||||
Comparable operating profit | 60 | 53 | 184 | 155 | 336 | |||||||
Net Assets | 3487 | 3482 | ||||||||||
Comparable RONA | 99 | |||||||||||
Gross Investments | 62 | 47 | 96 | 76 | 233 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 195 | 169 | 490 | 413 | 881 | |||||||
Comparable operating profit | 21 | -9 | 55 | 7 | 56 | |||||||
Net Assets | 3051 | 2690 | ||||||||||
Comparable RONA | 34 | |||||||||||
Gross Investments | 192 | 167 | 267 | 258 | 608 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 322 | 301 | 1047 | 952 | 1865 | |||||||
Comparable operating profit | 25 | 33 | 196 | 165 | 306 | |||||||
Net Assets | 3911 | 3884 | ||||||||||
Comparable RONA | 82 | |||||||||||
Gross Investments | 72 | 59 | 130 | 121 | 314 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 574 | 597 | 1267 | 1366 | 2603 | |||||||
Comparable operating profit | 257 | 271 | 582 | 695 | 1185 | |||||||
Net Assets | 5998 | 5726 | ||||||||||
Comparable RONA | 198 | |||||||||||
Gross Investments | 36 | 22 | 69 | 55 | 136 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Roumlrelseresultat II2009 | Roumlrelseresultat II2008 | Liikevoitto 2008 | Liikevoitto 2007 | |||||||||||||||||||||||
Jaumlmfoumlrbart | Rapporterat | Jaumlmfoumlrbart | Rapporterat | Vertkelp | Raportoitu | Vertkelp | Raportoitu | |||||||||||||||||||
Kraftproduktion | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Vaumlrme | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Markets | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Ryssland | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Oumlvrigt | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Summa | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Liikevoitto II2010 | Liikevoitto II2009 | Liikevoitto I-II2010 | Liikevoitto I-II2009 | |||||||||||||||||||||||
Vertkelp | Raportoitu | Vertkelp | Raportoitu | Vertkelp | Raportoitu | Vertkelp | Raportoitu | |||||||||||||||||||
Power | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Heat | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Saumlhkoumlnmyynti | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Russia | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Muut | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Yhteensauml | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 | ||||||||||||||||||
I-III2009 | ||||||||||||||||||||||||||
SEK | Muut | Yhteensauml | ||||||||||||||||||||||||
Saumlhkoumlntuotanto | -67 | -3 | -70 | |||||||||||||||||||||||
Laumlmpouml | -10 | -2 | -12 | |||||||||||||||||||||||
Saumlhkoumlnsiirto | -13 | -1 | -14 | |||||||||||||||||||||||
Markets | -1 | -1 | -2 | |||||||||||||||||||||||
Venaumljauml | 0 | 6 | 6 | |||||||||||||||||||||||
Muu | 0 | 1 | 1 | |||||||||||||||||||||||
Yhteensauml | -91 | 0 | -91 |
Operating profit II2010 | Operating profit II2009 | Operating profit I-II2010 | Operating profit I-2009 | |||||||||||||||||||||||
Comparable | Reported | Comparable | Reported | Comparable | Reported | Comparable | Reported | |||||||||||||||||||
Power | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Heat | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Electricity Sales | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Russia | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Other | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Total | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 | ||||||||||||||||||
Currency translation effects on comparable operating profit | ||||||||||||||||||||||||||
I2009 | I-III2009 | |||||||||||||||||||||||||
SEK | Other | Total | SEK | Other | Total | |||||||||||||||||||||
Power Generation | -55 | -3 | -58 | Power Generation | -67 | -3 | -70 | |||||||||||||||||||
Heat | -12 | -3 | -15 | Heat | -10 | -2 | -12 | |||||||||||||||||||
Distribution | -11 | -1 | -12 | Distribution | -13 | -1 | -14 | |||||||||||||||||||
Markets | -1 | 0 | -1 | Markets | -1 | -1 | -2 | |||||||||||||||||||
Russia | 0 | 1 | 1 | Russia | 0 | 6 | 6 | |||||||||||||||||||
Other | 1 | 0 | 1 | Other | 0 | 1 | 1 | |||||||||||||||||||
Total | -78 | -6 | -84 | Total | -91 | 0 | -91 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Vertkelpliikevoitto | Raportoitu liikevoitto | Vertkelpliikevoitto | Raportoitu liikevoitto | |||||||||||||||||||||||
II2010 | II2009 | II2010 | II2009 | I-II2010 | I-II2009 | I-II2010 | I-II2009 | |||||||||||||||||||
Power | 257 | 271 | 271 | 280 | 582 | 695 | 760 | 747 | ||||||||||||||||||
Heat | 25 | 33 | 25 | 35 | 196 | 165 | 290 | 194 | ||||||||||||||||||
Distribution | 21 | -9 | 21 | -9 | 55 | 7 | 55 | 23 | ||||||||||||||||||
Saumlhkoumlnmyynti | 60 | 53 | 252 | 53 | 184 | 155 | 377 | 166 | ||||||||||||||||||
Russia | 10 | 10 | 23 | 23 | 21 | -3 | 3 | -6 | ||||||||||||||||||
Muut | -25 | -19 | 17 | -31 | -41 | -29 | 24 | -49 | ||||||||||||||||||
Yhteensauml | 348 | 339 | 609 | 351 | 997 | 990 | 1509 | 1075 | ||||||||||||||||||
I-III2009 | ||||||||||||||||||||||||||
SEK | Muut | Yhteensauml | ||||||||||||||||||||||||
Saumlhkoumlntuotanto | -67 | -3 | -70 | |||||||||||||||||||||||
Laumlmpouml | -10 | -2 | -12 | |||||||||||||||||||||||
Saumlhkoumlnsiirto | -13 | -1 | -14 | |||||||||||||||||||||||
Markets | -1 | -1 | -2 | |||||||||||||||||||||||
Venaumljauml | 0 | 6 | 6 | |||||||||||||||||||||||
Muu | 0 | 1 | 1 | |||||||||||||||||||||||
Yhteensauml | -91 | 0 | -91 |
MEUR | Comparable operating profit | Reported operating profit | Comparable operating profit | Reported operating profit | ||||||||||||||||||||||
II2011 | II2010 | II2011 | II2010 | I-II2011 | I-II2010 | I-II2011 | I-II2010 | |||||||||||||||||||
Power | 257 | 271 | 271 | 280 | 582 | 695 | 760 | 747 | ||||||||||||||||||
Heat | 25 | 33 | 25 | 35 | 196 | 165 | 290 | 194 | ||||||||||||||||||
Russia | 21 | -9 | 21 | -9 | 55 | 7 | 55 | 23 | ||||||||||||||||||
Distribution | 60 | 53 | 252 | 53 | 184 | 155 | 377 | 166 | ||||||||||||||||||
Electricity Sales | 10 | 10 | 23 | 23 | 21 | -3 | 3 | -6 | ||||||||||||||||||
Other | -25 | -19 | 17 | -31 | -41 | -29 | 24 | -49 | ||||||||||||||||||
Total | 348 | 339 | 609 | 351 | 997 | 990 | 1509 | 1075 | ||||||||||||||||||
Currency translation effects on comparable operating profit | ||||||||||||||||||||||||||
I2009 | I-III2009 | |||||||||||||||||||||||||
SEK | Other | Total | SEK | Other | Total | |||||||||||||||||||||
Power Generation | -55 | -3 | -58 | Power Generation | -67 | -3 | -70 | |||||||||||||||||||
Heat | -12 | -3 | -15 | Heat | -10 | -2 | -12 | |||||||||||||||||||
Distribution | -11 | -1 | -12 | Distribution | -13 | -1 | -14 | |||||||||||||||||||
Markets | -1 | 0 | -1 | Markets | -1 | -1 | -2 | |||||||||||||||||||
Russia | 0 | 1 | 1 | Russia | 0 | 6 | 6 | |||||||||||||||||||
Other | 1 | 0 | 1 | Other | 0 | 1 | 1 | |||||||||||||||||||
Total | -78 | -6 | -84 | Total | -91 | 0 | -91 |
Power
Q2 Power
Nuclear output in Q2
Planned outages in Oskarshamn 1amp3 and Forsmark 1 in Q22011
(In 2010 no outages in Q2)
If timing would have been similar in 2011 compared to 2010 nuclear output would have exceeded 2010 levels during Q2
Improved availability in Sweden
Q2 2011
Q2 2010
Nuclear
Outage effect
TWh
Q2 Power result declined due to several reasons
Comparable operating profit EUR million
257
-3
-4
0
271
3
-10
Volume
amp price
Q22010
Stronger
SEK
Russian
import
Property
taxes
Other
Q22011
Heat
Q2 Heat
Russia
Q2 Russia
Distribution
Q2 Distribution
Markets
Q2 Electricity Sales
Q2 Income statement
Q2 Cash flow statement
Key ratios
Q2 lsquo11
Debt maturity profile
per 30 June 2011 per 31 Dec 2010
Average interest rate (incl swaps and forwards)4435
Portion of floating fixed debt 47 53 49 51
Strong financial position
Return on capital employed
12
Return on shareholders equity
14
Net debtEBITDA
around 30
138
191
28
Fortumrsquos financial targets
LTM in Q22011
Good liquidity ndash committed credit lines total EUR 27 billion
Comparable net debtEBITDA
Outlook
Q2 Summary
Outlook
Outlook
(Q1 70 at EUR 44MWh)
(Q1 45 at EUR 45MWh)
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007
2008
2009
2010
2011
2012
0
10
20
30
40
50
60
70
80
90
100
110
Spot prices
Forward prices
CO2-free and energy-efficient solutions important
Create solid earnings
growth in Russia
Leverage the strong
Nordic core
Build platform for
future growth
Competence in CO2-free hydro nuclear and energy efficient CHP production
and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -
Fortumrsquos strategy remains intact
MEURII2011II2010I-II2011I-II2010LTM
Sales1833275569641 390
Comparable operating profit101021-335
Net Assets7759
Comparable RONA 341
Gross Investments10404
MEURII2011II2010I-II2011I-II2010LTM
Sales2152005264801 009
Comparable operating profit6053184155336
Net Assets3 4873 482
Comparable RONA 99
Gross Investments62479676233
0
250
500
750
1000
1250
1500
1750
20112012201320142015201620172018201920202021+
BondsFinancial institutionsOther long-term debtCPsOther short-term debt
MEURII2011II2010I-II2011I-II2010LTM
Sales195169490413881
Comparable operating profit21-955756
Net Assets3 0512 690
Comparable RONA 34
Gross Investments192167267258608
MEURII2011II2010I-II2011I-II2010LTM
Sales5745971 2671 3662 603
Comparable operating profit2572715826951 185
Net Assets5 9985 726
Comparable RONA 198
Gross Investments36226955136
MEURII2011II2010I-II2011I-II20102010LTM
Sales1 316
1 2953 3503 2426 296
6 404
Expenses-968-956-2 353-2 252-4 463-4 564
Comparable operating profit3483399979901 8331 840
Other items affecting comparability2611251285-125302
Operating profit6093511 5091 0751 7082 142
Share of profit of associates and jvs1515743162105
Financial expenses net-72-34-127-61-155-221
Profit before taxes5523321 4561 0451 6152 026
Income tax expense-74-61-232-191-261-302
Net profit for the period4782711 2248541 3541 724
Non-controlling interests6874325496
EPS basic (EUR)053030129093146183
EPS diluted (EUR)053030129093146183
Spot price for power in NordPool power exchange
448
459
662
523
621
0
12
24
36
48
60
72
Q22010Q32010Q42010Q12011Q22011
eurMWh
Powers Nordic power price
447
469
488
479
474
0
10
20
30
40
50
60
Q22010Q32010Q42010Q12011Q22011
eurMWh
MEURII2011II2010I-II2011I-II20102010LTM
Operating profit before depreciations7644901 8131 3512 2712 733
Non-cash flow items and divesting activities
-299-6-569-73124-372
Financial items and fx gainslosses
12-146-290-323-641-608
Taxes
-144-73-258-155-355-458
Funds from operations (FFO)
3332656968001 3991 295
Change in working capital
771571681433863
Total net cash from operating activities4104228649431 4371 358
Paid capital expenditures-297-263-503-486-1 134-1 151
Acquisition of shares-1-1-20-1-28-47
Other investing activities331-165417260529
Cash flow before financing activities443142882528335689
MEURII2011II2010I-II2011I-II2010LTM
Sales3223011 0479521 865
Comparable operating profit2533196165306
Net Assets3 9113 884
Comparable RONA 82
Gross Investments7259130121314
MEUR
II2011II2010II2011II2010I-II2011I-II2010I-II2011I-II2010
Power257271271280582695760747
Heat25332535196165290194
Russia21-921-95575523
Distribution605325253184155377166
Electricity Sales1010232321-33-6
Other-25-1917-31-41-2924-49
Total3483396093519979901 5091 075
Comparable operating profit
Reported operating profit
Comparable operating profit
Reported operating profit
Spot price for power (market price) Urals hub
770
935
817
950
954
0
200
400
600
800
1 000
1 200
Q22010Q32010Q42010Q12011Q22011
RUBMWh
Achieved power price for OAO Fortum
256
288
305
292
290
0
6
12
18
24
30
36
Q22010Q32010Q42010Q12011Q22011
eurMWh
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
MEURLTM20102009
EBITDA2 7332 2712 292
Comparable EBITDA2 4312 3962 398
Interest-bearing net debt6 7836 8265 969
Net debtEBITDA253026
Comparable Net debtEBITDA282825
Return on capital employed ()138116121
Return on shareholders equity ()191157160
) as of 30 June 2011
MEUR | |||
2011 | 231 | ||
2012 | 668 | ||
2013 | 639 | ||
2014 | 1223 | ||
2015 | 1051 | ||
2016 | 879 | ||
2017 | 270 | ||
2018 | 190 | ||
2019 | 840 | ||
2020 | 73 | ||
2021+ | 1530 |
MEUR | LTM | 2010 | 2009 | 2008 | 2006 | 2005 | |||||||
EBITDA | 2733 | 2271 | 2292 | 2478 | 1884 | ||||||||
Comparable EBITDA | 2431 | 2396 | 2398 | 1151 | 1271 | ||||||||
Interest-bearing net debt | 6 783 | 6826 | 5969 | 6179 | 4345 | 3158 | |||||||
Net debtEBITDA | 25 | 30 | 26 | 25 | 8161 | ||||||||
Comparable Net debtEBITDA | 28 | 28 | 25 | 16839 | 15130 | ||||||||
23 | 18 | ||||||||||||
Return on capital employed () | 138 | 116 | 121 | 150 | 134 | 135 | |||||||
Return on shareholders equity () | 191 | 157 | 160 | 187 | 144 | 135 | |||||||
) as of 30 June 2011 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | |||||||||||
Operating profit before depreciations | 764 | 490 | 1813 | 1351 | 2271 | 2733 | 2478 | 1663 | 2370 | 0 | |||||||||||
Non-cash flow items and divesting activities | -299 | -6 | -569 | -73 | 124 | -372 | -275 | -268 | -56 | 0 | |||||||||||
Financial items and fx gainslosses | 12 | -146 | -290 | -323 | -641 | -608 | 233 | ||||||||||||||
Taxes | -144 | -73 | -258 | -155 | -355 | -458 | -332 | -231 | -534 | 0 | |||||||||||
Funds from operations (FFO) | 333 | 265 | 696 | 800 | 1399 | 1295 | 2104 | 1164 | 1780 | 0 | |||||||||||
Change in working capital | 77 | 157 | 168 | 143 | 38 | 63 | -102 | 161 | 5 | 0 | |||||||||||
Total net cash from operating activities | 410 | 422 | 864 | 943 | 1437 | 1358 | 2002 | 1325 | 1785 | 0 | |||||||||||
Paid capital expenditures | -297 | -263 | -503 | -486 | -1134 | -1151 | -1018 | -341 | -931 | 0 | |||||||||||
Acquisition of shares | -1 | -1 | -20 | -1 | -28 | -47 | -1243 | -257 | -1243 | 0 | |||||||||||
Other investing activities | 331 | -16 | 541 | 72 | 60 | 529 | -21 | 258 | -34 | 0 | |||||||||||
Cash flow before financing activities | 443 | 142 | 882 | 528 | 335 | 689 | -280 | 985 | -423 | 0 |
MEUR | Q1-Q300 | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | 2004 | ||||||||||||||||||
Sales | 7732 | 1316 | 1295 | 3350 | 3242 | 6296 | 6404 | 5636 | 3159 | 5354 | 0 | 3835 | ||||||||||||||||||
Expenses | -7109 | -968 | -956 | -2353 | -2252 | -4463 | -4564 | -3673 | -1832 | -3482 | 0 | -2640 | ||||||||||||||||||
Comparable operating profit | 623 | 348 | 339 | 997 | 990 | 1833 | 1840 | 1963 | 1327 | 1872 | 0 | 1195 | ||||||||||||||||||
Other items affecting comparability | 261 | 12 | 512 | 85 | -125 | 302 | ||||||||||||||||||||||||
Operating profit | 609 | 351 | 1509 | 1075 | 1708 | 2142 | ||||||||||||||||||||||||
Share of profit of associates and jvs | 15 | 15 | 74 | 31 | 62 | 105 | 126 | 223 | 96 | 0 | 12 | |||||||||||||||||||
Financial expenses net | -209 | -72 | -34 | -127 | -61 | -155 | -221 | -239 | -117 | -222 | 0 | -245 | ||||||||||||||||||
Profit before taxes | 0 | 552 | 332 | 1456 | 1045 | 1615 | 2026 | 1850 | 1433 | 1746 | 0 | 0 | ||||||||||||||||||
Income tax expense | -83 | -74 | -61 | -232 | -191 | -261 | -302 | -254 | -218 | -364 | 0 | -259 | ||||||||||||||||||
Net profit for the period | -26 | 478 | 271 | 1224 | 854 | 1354 | 1724 | 1596 | 1215 | 1382 | 0 | 0 | ||||||||||||||||||
Non-controlling interests | 6 | 8 | 74 | 32 | 54 | 96 | 54 | 31 | 35 | 0 | 33 | |||||||||||||||||||
EPS basic (EUR) | 039 | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 148 | ||||||||||||||||||
EPS diluted (EUR) | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 079 | |||||||||||||||||||
069 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 183 | 327 | 556 | 964 | 1390 | |||||||
Comparable operating profit | 10 | 10 | 21 | -3 | 35 | |||||||
Net Assets | 77 | 59 | ||||||||||
Comparable RONA | 341 | |||||||||||
Gross Investments | 1 | 0 | 4 | 0 | 4 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 215 | 200 | 526 | 480 | 1009 | |||||||
Comparable operating profit | 60 | 53 | 184 | 155 | 336 | |||||||
Net Assets | 3487 | 3482 | ||||||||||
Comparable RONA | 99 | |||||||||||
Gross Investments | 62 | 47 | 96 | 76 | 233 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 195 | 169 | 490 | 413 | 881 | |||||||
Comparable operating profit | 21 | -9 | 55 | 7 | 56 | |||||||
Net Assets | 3051 | 2690 | ||||||||||
Comparable RONA | 34 | |||||||||||
Gross Investments | 192 | 167 | 267 | 258 | 608 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 322 | 301 | 1047 | 952 | 1865 | |||||||
Comparable operating profit | 25 | 33 | 196 | 165 | 306 | |||||||
Net Assets | 3911 | 3884 | ||||||||||
Comparable RONA | 82 | |||||||||||
Gross Investments | 72 | 59 | 130 | 121 | 314 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 574 | 597 | 1267 | 1366 | 2603 | |||||||
Comparable operating profit | 257 | 271 | 582 | 695 | 1185 | |||||||
Net Assets | 5998 | 5726 | ||||||||||
Comparable RONA | 198 | |||||||||||
Gross Investments | 36 | 22 | 69 | 55 | 136 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Roumlrelseresultat II2009 | Roumlrelseresultat II2008 | Liikevoitto 2008 | Liikevoitto 2007 | |||||||||||||||||||||||
Jaumlmfoumlrbart | Rapporterat | Jaumlmfoumlrbart | Rapporterat | Vertkelp | Raportoitu | Vertkelp | Raportoitu | |||||||||||||||||||
Kraftproduktion | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Vaumlrme | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Markets | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Ryssland | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Oumlvrigt | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Summa | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Liikevoitto II2010 | Liikevoitto II2009 | Liikevoitto I-II2010 | Liikevoitto I-II2009 | |||||||||||||||||||||||
Vertkelp | Raportoitu | Vertkelp | Raportoitu | Vertkelp | Raportoitu | Vertkelp | Raportoitu | |||||||||||||||||||
Power | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Heat | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Saumlhkoumlnmyynti | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Russia | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Muut | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Yhteensauml | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 | ||||||||||||||||||
I-III2009 | ||||||||||||||||||||||||||
SEK | Muut | Yhteensauml | ||||||||||||||||||||||||
Saumlhkoumlntuotanto | -67 | -3 | -70 | |||||||||||||||||||||||
Laumlmpouml | -10 | -2 | -12 | |||||||||||||||||||||||
Saumlhkoumlnsiirto | -13 | -1 | -14 | |||||||||||||||||||||||
Markets | -1 | -1 | -2 | |||||||||||||||||||||||
Venaumljauml | 0 | 6 | 6 | |||||||||||||||||||||||
Muu | 0 | 1 | 1 | |||||||||||||||||||||||
Yhteensauml | -91 | 0 | -91 |
Operating profit II2010 | Operating profit II2009 | Operating profit I-II2010 | Operating profit I-2009 | |||||||||||||||||||||||
Comparable | Reported | Comparable | Reported | Comparable | Reported | Comparable | Reported | |||||||||||||||||||
Power | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Heat | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Electricity Sales | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Russia | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Other | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Total | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 | ||||||||||||||||||
Currency translation effects on comparable operating profit | ||||||||||||||||||||||||||
I2009 | I-III2009 | |||||||||||||||||||||||||
SEK | Other | Total | SEK | Other | Total | |||||||||||||||||||||
Power Generation | -55 | -3 | -58 | Power Generation | -67 | -3 | -70 | |||||||||||||||||||
Heat | -12 | -3 | -15 | Heat | -10 | -2 | -12 | |||||||||||||||||||
Distribution | -11 | -1 | -12 | Distribution | -13 | -1 | -14 | |||||||||||||||||||
Markets | -1 | 0 | -1 | Markets | -1 | -1 | -2 | |||||||||||||||||||
Russia | 0 | 1 | 1 | Russia | 0 | 6 | 6 | |||||||||||||||||||
Other | 1 | 0 | 1 | Other | 0 | 1 | 1 | |||||||||||||||||||
Total | -78 | -6 | -84 | Total | -91 | 0 | -91 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Vertkelpliikevoitto | Raportoitu liikevoitto | Vertkelpliikevoitto | Raportoitu liikevoitto | |||||||||||||||||||||||
II2010 | II2009 | II2010 | II2009 | I-II2010 | I-II2009 | I-II2010 | I-II2009 | |||||||||||||||||||
Power | 257 | 271 | 271 | 280 | 582 | 695 | 760 | 747 | ||||||||||||||||||
Heat | 25 | 33 | 25 | 35 | 196 | 165 | 290 | 194 | ||||||||||||||||||
Distribution | 21 | -9 | 21 | -9 | 55 | 7 | 55 | 23 | ||||||||||||||||||
Saumlhkoumlnmyynti | 60 | 53 | 252 | 53 | 184 | 155 | 377 | 166 | ||||||||||||||||||
Russia | 10 | 10 | 23 | 23 | 21 | -3 | 3 | -6 | ||||||||||||||||||
Muut | -25 | -19 | 17 | -31 | -41 | -29 | 24 | -49 | ||||||||||||||||||
Yhteensauml | 348 | 339 | 609 | 351 | 997 | 990 | 1509 | 1075 | ||||||||||||||||||
I-III2009 | ||||||||||||||||||||||||||
SEK | Muut | Yhteensauml | ||||||||||||||||||||||||
Saumlhkoumlntuotanto | -67 | -3 | -70 | |||||||||||||||||||||||
Laumlmpouml | -10 | -2 | -12 | |||||||||||||||||||||||
Saumlhkoumlnsiirto | -13 | -1 | -14 | |||||||||||||||||||||||
Markets | -1 | -1 | -2 | |||||||||||||||||||||||
Venaumljauml | 0 | 6 | 6 | |||||||||||||||||||||||
Muu | 0 | 1 | 1 | |||||||||||||||||||||||
Yhteensauml | -91 | 0 | -91 |
Power
Q2 Power
Nuclear output in Q2
Planned outages in Oskarshamn 1amp3 and Forsmark 1 in Q22011
(In 2010 no outages in Q2)
If timing would have been similar in 2011 compared to 2010 nuclear output would have exceeded 2010 levels during Q2
Improved availability in Sweden
Q2 2011
Q2 2010
Nuclear
Outage effect
TWh
Q2 Power result declined due to several reasons
Comparable operating profit EUR million
257
-3
-4
0
271
3
-10
Volume
amp price
Q22010
Stronger
SEK
Russian
import
Property
taxes
Other
Q22011
Heat
Q2 Heat
Russia
Q2 Russia
Distribution
Q2 Distribution
Markets
Q2 Electricity Sales
Q2 Income statement
Q2 Cash flow statement
Key ratios
Q2 lsquo11
Debt maturity profile
per 30 June 2011 per 31 Dec 2010
Average interest rate (incl swaps and forwards)4435
Portion of floating fixed debt 47 53 49 51
Strong financial position
Return on capital employed
12
Return on shareholders equity
14
Net debtEBITDA
around 30
138
191
28
Fortumrsquos financial targets
LTM in Q22011
Good liquidity ndash committed credit lines total EUR 27 billion
Comparable net debtEBITDA
Outlook
Q2 Summary
Outlook
Outlook
(Q1 70 at EUR 44MWh)
(Q1 45 at EUR 45MWh)
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007
2008
2009
2010
2011
2012
0
10
20
30
40
50
60
70
80
90
100
110
Spot prices
Forward prices
CO2-free and energy-efficient solutions important
Create solid earnings
growth in Russia
Leverage the strong
Nordic core
Build platform for
future growth
Competence in CO2-free hydro nuclear and energy efficient CHP production
and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -
Fortumrsquos strategy remains intact
MEURII2011II2010I-II2011I-II2010LTM
Sales1833275569641 390
Comparable operating profit101021-335
Net Assets7759
Comparable RONA 341
Gross Investments10404
MEURII2011II2010I-II2011I-II2010LTM
Sales2152005264801 009
Comparable operating profit6053184155336
Net Assets3 4873 482
Comparable RONA 99
Gross Investments62479676233
0
250
500
750
1000
1250
1500
1750
20112012201320142015201620172018201920202021+
BondsFinancial institutionsOther long-term debtCPsOther short-term debt
MEURII2011II2010I-II2011I-II2010LTM
Sales195169490413881
Comparable operating profit21-955756
Net Assets3 0512 690
Comparable RONA 34
Gross Investments192167267258608
MEURII2011II2010I-II2011I-II2010LTM
Sales5745971 2671 3662 603
Comparable operating profit2572715826951 185
Net Assets5 9985 726
Comparable RONA 198
Gross Investments36226955136
MEURII2011II2010I-II2011I-II20102010LTM
Sales1 316
1 2953 3503 2426 296
6 404
Expenses-968-956-2 353-2 252-4 463-4 564
Comparable operating profit3483399979901 8331 840
Other items affecting comparability2611251285-125302
Operating profit6093511 5091 0751 7082 142
Share of profit of associates and jvs1515743162105
Financial expenses net-72-34-127-61-155-221
Profit before taxes5523321 4561 0451 6152 026
Income tax expense-74-61-232-191-261-302
Net profit for the period4782711 2248541 3541 724
Non-controlling interests6874325496
EPS basic (EUR)053030129093146183
EPS diluted (EUR)053030129093146183
Spot price for power in NordPool power exchange
448
459
662
523
621
0
12
24
36
48
60
72
Q22010Q32010Q42010Q12011Q22011
eurMWh
Powers Nordic power price
447
469
488
479
474
0
10
20
30
40
50
60
Q22010Q32010Q42010Q12011Q22011
eurMWh
MEURII2011II2010I-II2011I-II20102010LTM
Operating profit before depreciations7644901 8131 3512 2712 733
Non-cash flow items and divesting activities
-299-6-569-73124-372
Financial items and fx gainslosses
12-146-290-323-641-608
Taxes
-144-73-258-155-355-458
Funds from operations (FFO)
3332656968001 3991 295
Change in working capital
771571681433863
Total net cash from operating activities4104228649431 4371 358
Paid capital expenditures-297-263-503-486-1 134-1 151
Acquisition of shares-1-1-20-1-28-47
Other investing activities331-165417260529
Cash flow before financing activities443142882528335689
MEURII2011II2010I-II2011I-II2010LTM
Sales3223011 0479521 865
Comparable operating profit2533196165306
Net Assets3 9113 884
Comparable RONA 82
Gross Investments7259130121314
MEUR
II2011II2010II2011II2010I-II2011I-II2010I-II2011I-II2010
Power257271271280582695760747
Heat25332535196165290194
Russia21-921-95575523
Distribution605325253184155377166
Electricity Sales1010232321-33-6
Other-25-1917-31-41-2924-49
Total3483396093519979901 5091 075
Comparable operating profit
Reported operating profit
Comparable operating profit
Reported operating profit
Spot price for power (market price) Urals hub
770
935
817
950
954
0
200
400
600
800
1 000
1 200
Q22010Q32010Q42010Q12011Q22011
RUBMWh
Achieved power price for OAO Fortum
256
288
305
292
290
0
6
12
18
24
30
36
Q22010Q32010Q42010Q12011Q22011
eurMWh
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
MEURLTM20102009
EBITDA2 7332 2712 292
Comparable EBITDA2 4312 3962 398
Interest-bearing net debt6 7836 8265 969
Net debtEBITDA253026
Comparable Net debtEBITDA282825
Return on capital employed ()138116121
Return on shareholders equity ()191157160
) as of 30 June 2011
MEUR | |||
2011 | 231 | ||
2012 | 668 | ||
2013 | 639 | ||
2014 | 1223 | ||
2015 | 1051 | ||
2016 | 879 | ||
2017 | 270 | ||
2018 | 190 | ||
2019 | 840 | ||
2020 | 73 | ||
2021+ | 1530 |
MEUR | LTM | 2010 | 2009 | 2008 | 2006 | 2005 | |||||||
EBITDA | 2733 | 2271 | 2292 | 2478 | 1884 | ||||||||
Comparable EBITDA | 2431 | 2396 | 2398 | 1151 | 1271 | ||||||||
Interest-bearing net debt | 6 783 | 6826 | 5969 | 6179 | 4345 | 3158 | |||||||
Net debtEBITDA | 25 | 30 | 26 | 25 | 8161 | ||||||||
Comparable Net debtEBITDA | 28 | 28 | 25 | 16839 | 15130 | ||||||||
23 | 18 | ||||||||||||
Return on capital employed () | 138 | 116 | 121 | 150 | 134 | 135 | |||||||
Return on shareholders equity () | 191 | 157 | 160 | 187 | 144 | 135 | |||||||
) as of 30 June 2011 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | |||||||||||
Operating profit before depreciations | 764 | 490 | 1813 | 1351 | 2271 | 2733 | 2478 | 1663 | 2370 | 0 | |||||||||||
Non-cash flow items and divesting activities | -299 | -6 | -569 | -73 | 124 | -372 | -275 | -268 | -56 | 0 | |||||||||||
Financial items and fx gainslosses | 12 | -146 | -290 | -323 | -641 | -608 | 233 | ||||||||||||||
Taxes | -144 | -73 | -258 | -155 | -355 | -458 | -332 | -231 | -534 | 0 | |||||||||||
Funds from operations (FFO) | 333 | 265 | 696 | 800 | 1399 | 1295 | 2104 | 1164 | 1780 | 0 | |||||||||||
Change in working capital | 77 | 157 | 168 | 143 | 38 | 63 | -102 | 161 | 5 | 0 | |||||||||||
Total net cash from operating activities | 410 | 422 | 864 | 943 | 1437 | 1358 | 2002 | 1325 | 1785 | 0 | |||||||||||
Paid capital expenditures | -297 | -263 | -503 | -486 | -1134 | -1151 | -1018 | -341 | -931 | 0 | |||||||||||
Acquisition of shares | -1 | -1 | -20 | -1 | -28 | -47 | -1243 | -257 | -1243 | 0 | |||||||||||
Other investing activities | 331 | -16 | 541 | 72 | 60 | 529 | -21 | 258 | -34 | 0 | |||||||||||
Cash flow before financing activities | 443 | 142 | 882 | 528 | 335 | 689 | -280 | 985 | -423 | 0 |
MEUR | Q1-Q300 | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | 2004 | ||||||||||||||||||
Sales | 7732 | 1316 | 1295 | 3350 | 3242 | 6296 | 6404 | 5636 | 3159 | 5354 | 0 | 3835 | ||||||||||||||||||
Expenses | -7109 | -968 | -956 | -2353 | -2252 | -4463 | -4564 | -3673 | -1832 | -3482 | 0 | -2640 | ||||||||||||||||||
Comparable operating profit | 623 | 348 | 339 | 997 | 990 | 1833 | 1840 | 1963 | 1327 | 1872 | 0 | 1195 | ||||||||||||||||||
Other items affecting comparability | 261 | 12 | 512 | 85 | -125 | 302 | ||||||||||||||||||||||||
Operating profit | 609 | 351 | 1509 | 1075 | 1708 | 2142 | ||||||||||||||||||||||||
Share of profit of associates and jvs | 15 | 15 | 74 | 31 | 62 | 105 | 126 | 223 | 96 | 0 | 12 | |||||||||||||||||||
Financial expenses net | -209 | -72 | -34 | -127 | -61 | -155 | -221 | -239 | -117 | -222 | 0 | -245 | ||||||||||||||||||
Profit before taxes | 0 | 552 | 332 | 1456 | 1045 | 1615 | 2026 | 1850 | 1433 | 1746 | 0 | 0 | ||||||||||||||||||
Income tax expense | -83 | -74 | -61 | -232 | -191 | -261 | -302 | -254 | -218 | -364 | 0 | -259 | ||||||||||||||||||
Net profit for the period | -26 | 478 | 271 | 1224 | 854 | 1354 | 1724 | 1596 | 1215 | 1382 | 0 | 0 | ||||||||||||||||||
Non-controlling interests | 6 | 8 | 74 | 32 | 54 | 96 | 54 | 31 | 35 | 0 | 33 | |||||||||||||||||||
EPS basic (EUR) | 039 | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 148 | ||||||||||||||||||
EPS diluted (EUR) | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 079 | |||||||||||||||||||
069 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 183 | 327 | 556 | 964 | 1390 | |||||||
Comparable operating profit | 10 | 10 | 21 | -3 | 35 | |||||||
Net Assets | 77 | 59 | ||||||||||
Comparable RONA | 341 | |||||||||||
Gross Investments | 1 | 0 | 4 | 0 | 4 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 215 | 200 | 526 | 480 | 1009 | |||||||
Comparable operating profit | 60 | 53 | 184 | 155 | 336 | |||||||
Net Assets | 3487 | 3482 | ||||||||||
Comparable RONA | 99 | |||||||||||
Gross Investments | 62 | 47 | 96 | 76 | 233 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 195 | 169 | 490 | 413 | 881 | |||||||
Comparable operating profit | 21 | -9 | 55 | 7 | 56 | |||||||
Net Assets | 3051 | 2690 | ||||||||||
Comparable RONA | 34 | |||||||||||
Gross Investments | 192 | 167 | 267 | 258 | 608 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 322 | 301 | 1047 | 952 | 1865 | |||||||
Comparable operating profit | 25 | 33 | 196 | 165 | 306 | |||||||
Net Assets | 3911 | 3884 | ||||||||||
Comparable RONA | 82 | |||||||||||
Gross Investments | 72 | 59 | 130 | 121 | 314 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 574 | 597 | 1267 | 1366 | 2603 | |||||||
Comparable operating profit | 257 | 271 | 582 | 695 | 1185 | |||||||
Net Assets | 5998 | 5726 | ||||||||||
Comparable RONA | 198 | |||||||||||
Gross Investments | 36 | 22 | 69 | 55 | 136 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Roumlrelseresultat II2009 | Roumlrelseresultat II2008 | Liikevoitto 2008 | Liikevoitto 2007 | |||||||||||||||||||||||
Jaumlmfoumlrbart | Rapporterat | Jaumlmfoumlrbart | Rapporterat | Vertkelp | Raportoitu | Vertkelp | Raportoitu | |||||||||||||||||||
Kraftproduktion | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Vaumlrme | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Markets | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Ryssland | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Oumlvrigt | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Summa | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Liikevoitto II2010 | Liikevoitto II2009 | Liikevoitto I-II2010 | Liikevoitto I-II2009 | |||||||||||||||||||||||
Vertkelp | Raportoitu | Vertkelp | Raportoitu | Vertkelp | Raportoitu | Vertkelp | Raportoitu | |||||||||||||||||||
Power | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Heat | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Saumlhkoumlnmyynti | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Russia | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Muut | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Yhteensauml | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 | ||||||||||||||||||
I-III2009 | ||||||||||||||||||||||||||
SEK | Muut | Yhteensauml | ||||||||||||||||||||||||
Saumlhkoumlntuotanto | -67 | -3 | -70 | |||||||||||||||||||||||
Laumlmpouml | -10 | -2 | -12 | |||||||||||||||||||||||
Saumlhkoumlnsiirto | -13 | -1 | -14 | |||||||||||||||||||||||
Markets | -1 | -1 | -2 | |||||||||||||||||||||||
Venaumljauml | 0 | 6 | 6 | |||||||||||||||||||||||
Muu | 0 | 1 | 1 | |||||||||||||||||||||||
Yhteensauml | -91 | 0 | -91 |
Operating profit II2010 | Operating profit II2009 | Operating profit I-II2010 | Operating profit I-2009 | |||||||||||||||||||||||
Comparable | Reported | Comparable | Reported | Comparable | Reported | Comparable | Reported | |||||||||||||||||||
Power | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Heat | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Electricity Sales | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Russia | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Other | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Total | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 | ||||||||||||||||||
Currency translation effects on comparable operating profit | ||||||||||||||||||||||||||
I2009 | I-III2009 | |||||||||||||||||||||||||
SEK | Other | Total | SEK | Other | Total | |||||||||||||||||||||
Power Generation | -55 | -3 | -58 | Power Generation | -67 | -3 | -70 | |||||||||||||||||||
Heat | -12 | -3 | -15 | Heat | -10 | -2 | -12 | |||||||||||||||||||
Distribution | -11 | -1 | -12 | Distribution | -13 | -1 | -14 | |||||||||||||||||||
Markets | -1 | 0 | -1 | Markets | -1 | -1 | -2 | |||||||||||||||||||
Russia | 0 | 1 | 1 | Russia | 0 | 6 | 6 | |||||||||||||||||||
Other | 1 | 0 | 1 | Other | 0 | 1 | 1 | |||||||||||||||||||
Total | -78 | -6 | -84 | Total | -91 | 0 | -91 |
Power
Q2 Power
Nuclear output in Q2
Planned outages in Oskarshamn 1amp3 and Forsmark 1 in Q22011
(In 2010 no outages in Q2)
If timing would have been similar in 2011 compared to 2010 nuclear output would have exceeded 2010 levels during Q2
Improved availability in Sweden
Q2 2011
Q2 2010
Nuclear
Outage effect
TWh
Q2 Power result declined due to several reasons
Comparable operating profit EUR million
257
-3
-4
0
271
3
-10
Volume
amp price
Q22010
Stronger
SEK
Russian
import
Property
taxes
Other
Q22011
Heat
Q2 Heat
Russia
Q2 Russia
Distribution
Q2 Distribution
Markets
Q2 Electricity Sales
Q2 Income statement
Q2 Cash flow statement
Key ratios
Q2 lsquo11
Debt maturity profile
per 30 June 2011 per 31 Dec 2010
Average interest rate (incl swaps and forwards)4435
Portion of floating fixed debt 47 53 49 51
Strong financial position
Return on capital employed
12
Return on shareholders equity
14
Net debtEBITDA
around 30
138
191
28
Fortumrsquos financial targets
LTM in Q22011
Good liquidity ndash committed credit lines total EUR 27 billion
Comparable net debtEBITDA
Outlook
Q2 Summary
Outlook
Outlook
(Q1 70 at EUR 44MWh)
(Q1 45 at EUR 45MWh)
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007
2008
2009
2010
2011
2012
0
10
20
30
40
50
60
70
80
90
100
110
Spot prices
Forward prices
CO2-free and energy-efficient solutions important
Create solid earnings
growth in Russia
Leverage the strong
Nordic core
Build platform for
future growth
Competence in CO2-free hydro nuclear and energy efficient CHP production
and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -
Fortumrsquos strategy remains intact
MEURII2011II2010I-II2011I-II2010LTM
Sales1833275569641 390
Comparable operating profit101021-335
Net Assets7759
Comparable RONA 341
Gross Investments10404
MEURII2011II2010I-II2011I-II2010LTM
Sales2152005264801 009
Comparable operating profit6053184155336
Net Assets3 4873 482
Comparable RONA 99
Gross Investments62479676233
0
250
500
750
1000
1250
1500
1750
20112012201320142015201620172018201920202021+
BondsFinancial institutionsOther long-term debtCPsOther short-term debt
MEURII2011II2010I-II2011I-II2010LTM
Sales195169490413881
Comparable operating profit21-955756
Net Assets3 0512 690
Comparable RONA 34
Gross Investments192167267258608
MEURII2011II2010I-II2011I-II2010LTM
Sales5745971 2671 3662 603
Comparable operating profit2572715826951 185
Net Assets5 9985 726
Comparable RONA 198
Gross Investments36226955136
MEURII2011II2010I-II2011I-II20102010LTM
Sales1 316
1 2953 3503 2426 296
6 404
Expenses-968-956-2 353-2 252-4 463-4 564
Comparable operating profit3483399979901 8331 840
Other items affecting comparability2611251285-125302
Operating profit6093511 5091 0751 7082 142
Share of profit of associates and jvs1515743162105
Financial expenses net-72-34-127-61-155-221
Profit before taxes5523321 4561 0451 6152 026
Income tax expense-74-61-232-191-261-302
Net profit for the period4782711 2248541 3541 724
Non-controlling interests6874325496
EPS basic (EUR)053030129093146183
EPS diluted (EUR)053030129093146183
Spot price for power in NordPool power exchange
448
459
662
523
621
0
12
24
36
48
60
72
Q22010Q32010Q42010Q12011Q22011
eurMWh
Powers Nordic power price
447
469
488
479
474
0
10
20
30
40
50
60
Q22010Q32010Q42010Q12011Q22011
eurMWh
MEURII2011II2010I-II2011I-II20102010LTM
Operating profit before depreciations7644901 8131 3512 2712 733
Non-cash flow items and divesting activities
-299-6-569-73124-372
Financial items and fx gainslosses
12-146-290-323-641-608
Taxes
-144-73-258-155-355-458
Funds from operations (FFO)
3332656968001 3991 295
Change in working capital
771571681433863
Total net cash from operating activities4104228649431 4371 358
Paid capital expenditures-297-263-503-486-1 134-1 151
Acquisition of shares-1-1-20-1-28-47
Other investing activities331-165417260529
Cash flow before financing activities443142882528335689
MEURII2011II2010I-II2011I-II2010LTM
Sales3223011 0479521 865
Comparable operating profit2533196165306
Net Assets3 9113 884
Comparable RONA 82
Gross Investments7259130121314
MEUR
II2011II2010II2011II2010I-II2011I-II2010I-II2011I-II2010
Power257271271280582695760747
Heat25332535196165290194
Russia21-921-95575523
Distribution605325253184155377166
Electricity Sales1010232321-33-6
Other-25-1917-31-41-2924-49
Total3483396093519979901 5091 075
Comparable operating profit
Reported operating profit
Comparable operating profit
Reported operating profit
Spot price for power (market price) Urals hub
770
935
817
950
954
0
200
400
600
800
1 000
1 200
Q22010Q32010Q42010Q12011Q22011
RUBMWh
Achieved power price for OAO Fortum
256
288
305
292
290
0
6
12
18
24
30
36
Q22010Q32010Q42010Q12011Q22011
eurMWh
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
MEURLTM20102009
EBITDA2 7332 2712 292
Comparable EBITDA2 4312 3962 398
Interest-bearing net debt6 7836 8265 969
Net debtEBITDA253026
Comparable Net debtEBITDA282825
Return on capital employed ()138116121
Return on shareholders equity ()191157160
) as of 30 June 2011
MEUR | |||
2011 | 231 | ||
2012 | 668 | ||
2013 | 639 | ||
2014 | 1223 | ||
2015 | 1051 | ||
2016 | 879 | ||
2017 | 270 | ||
2018 | 190 | ||
2019 | 840 | ||
2020 | 73 | ||
2021+ | 1530 |
MEUR | LTM | 2010 | 2009 | 2008 | 2006 | 2005 | |||||||
EBITDA | 2733 | 2271 | 2292 | 2478 | 1884 | ||||||||
Comparable EBITDA | 2431 | 2396 | 2398 | 1151 | 1271 | ||||||||
Interest-bearing net debt | 6 783 | 6826 | 5969 | 6179 | 4345 | 3158 | |||||||
Net debtEBITDA | 25 | 30 | 26 | 25 | 8161 | ||||||||
Comparable Net debtEBITDA | 28 | 28 | 25 | 16839 | 15130 | ||||||||
23 | 18 | ||||||||||||
Return on capital employed () | 138 | 116 | 121 | 150 | 134 | 135 | |||||||
Return on shareholders equity () | 191 | 157 | 160 | 187 | 144 | 135 | |||||||
) as of 30 June 2011 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | |||||||||||
Operating profit before depreciations | 764 | 490 | 1813 | 1351 | 2271 | 2733 | 2478 | 1663 | 2370 | 0 | |||||||||||
Non-cash flow items and divesting activities | -299 | -6 | -569 | -73 | 124 | -372 | -275 | -268 | -56 | 0 | |||||||||||
Financial items and fx gainslosses | 12 | -146 | -290 | -323 | -641 | -608 | 233 | ||||||||||||||
Taxes | -144 | -73 | -258 | -155 | -355 | -458 | -332 | -231 | -534 | 0 | |||||||||||
Funds from operations (FFO) | 333 | 265 | 696 | 800 | 1399 | 1295 | 2104 | 1164 | 1780 | 0 | |||||||||||
Change in working capital | 77 | 157 | 168 | 143 | 38 | 63 | -102 | 161 | 5 | 0 | |||||||||||
Total net cash from operating activities | 410 | 422 | 864 | 943 | 1437 | 1358 | 2002 | 1325 | 1785 | 0 | |||||||||||
Paid capital expenditures | -297 | -263 | -503 | -486 | -1134 | -1151 | -1018 | -341 | -931 | 0 | |||||||||||
Acquisition of shares | -1 | -1 | -20 | -1 | -28 | -47 | -1243 | -257 | -1243 | 0 | |||||||||||
Other investing activities | 331 | -16 | 541 | 72 | 60 | 529 | -21 | 258 | -34 | 0 | |||||||||||
Cash flow before financing activities | 443 | 142 | 882 | 528 | 335 | 689 | -280 | 985 | -423 | 0 |
MEUR | Q1-Q300 | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | 2004 | ||||||||||||||||||
Sales | 7732 | 1316 | 1295 | 3350 | 3242 | 6296 | 6404 | 5636 | 3159 | 5354 | 0 | 3835 | ||||||||||||||||||
Expenses | -7109 | -968 | -956 | -2353 | -2252 | -4463 | -4564 | -3673 | -1832 | -3482 | 0 | -2640 | ||||||||||||||||||
Comparable operating profit | 623 | 348 | 339 | 997 | 990 | 1833 | 1840 | 1963 | 1327 | 1872 | 0 | 1195 | ||||||||||||||||||
Other items affecting comparability | 261 | 12 | 512 | 85 | -125 | 302 | ||||||||||||||||||||||||
Operating profit | 609 | 351 | 1509 | 1075 | 1708 | 2142 | ||||||||||||||||||||||||
Share of profit of associates and jvs | 15 | 15 | 74 | 31 | 62 | 105 | 126 | 223 | 96 | 0 | 12 | |||||||||||||||||||
Financial expenses net | -209 | -72 | -34 | -127 | -61 | -155 | -221 | -239 | -117 | -222 | 0 | -245 | ||||||||||||||||||
Profit before taxes | 0 | 552 | 332 | 1456 | 1045 | 1615 | 2026 | 1850 | 1433 | 1746 | 0 | 0 | ||||||||||||||||||
Income tax expense | -83 | -74 | -61 | -232 | -191 | -261 | -302 | -254 | -218 | -364 | 0 | -259 | ||||||||||||||||||
Net profit for the period | -26 | 478 | 271 | 1224 | 854 | 1354 | 1724 | 1596 | 1215 | 1382 | 0 | 0 | ||||||||||||||||||
Non-controlling interests | 6 | 8 | 74 | 32 | 54 | 96 | 54 | 31 | 35 | 0 | 33 | |||||||||||||||||||
EPS basic (EUR) | 039 | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 148 | ||||||||||||||||||
EPS diluted (EUR) | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 079 | |||||||||||||||||||
069 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 183 | 327 | 556 | 964 | 1390 | |||||||
Comparable operating profit | 10 | 10 | 21 | -3 | 35 | |||||||
Net Assets | 77 | 59 | ||||||||||
Comparable RONA | 341 | |||||||||||
Gross Investments | 1 | 0 | 4 | 0 | 4 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 215 | 200 | 526 | 480 | 1009 | |||||||
Comparable operating profit | 60 | 53 | 184 | 155 | 336 | |||||||
Net Assets | 3487 | 3482 | ||||||||||
Comparable RONA | 99 | |||||||||||
Gross Investments | 62 | 47 | 96 | 76 | 233 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 195 | 169 | 490 | 413 | 881 | |||||||
Comparable operating profit | 21 | -9 | 55 | 7 | 56 | |||||||
Net Assets | 3051 | 2690 | ||||||||||
Comparable RONA | 34 | |||||||||||
Gross Investments | 192 | 167 | 267 | 258 | 608 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 322 | 301 | 1047 | 952 | 1865 | |||||||
Comparable operating profit | 25 | 33 | 196 | 165 | 306 | |||||||
Net Assets | 3911 | 3884 | ||||||||||
Comparable RONA | 82 | |||||||||||
Gross Investments | 72 | 59 | 130 | 121 | 314 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 574 | 597 | 1267 | 1366 | 2603 | |||||||
Comparable operating profit | 257 | 271 | 582 | 695 | 1185 | |||||||
Net Assets | 5998 | 5726 | ||||||||||
Comparable RONA | 198 | |||||||||||
Gross Investments | 36 | 22 | 69 | 55 | 136 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Roumlrelseresultat II2009 | Roumlrelseresultat II2008 | Liikevoitto 2008 | Liikevoitto 2007 | |||||||||||||||||||||||
Jaumlmfoumlrbart | Rapporterat | Jaumlmfoumlrbart | Rapporterat | Vertkelp | Raportoitu | Vertkelp | Raportoitu | |||||||||||||||||||
Kraftproduktion | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Vaumlrme | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Markets | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Ryssland | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Oumlvrigt | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Summa | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Liikevoitto II2010 | Liikevoitto II2009 | Liikevoitto I-II2010 | Liikevoitto I-II2009 | |||||||||||||||||||||||
Vertkelp | Raportoitu | Vertkelp | Raportoitu | Vertkelp | Raportoitu | Vertkelp | Raportoitu | |||||||||||||||||||
Power | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Heat | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Saumlhkoumlnmyynti | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Russia | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Muut | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Yhteensauml | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 | ||||||||||||||||||
I-III2009 | ||||||||||||||||||||||||||
SEK | Muut | Yhteensauml | ||||||||||||||||||||||||
Saumlhkoumlntuotanto | -67 | -3 | -70 | |||||||||||||||||||||||
Laumlmpouml | -10 | -2 | -12 | |||||||||||||||||||||||
Saumlhkoumlnsiirto | -13 | -1 | -14 | |||||||||||||||||||||||
Markets | -1 | -1 | -2 | |||||||||||||||||||||||
Venaumljauml | 0 | 6 | 6 | |||||||||||||||||||||||
Muu | 0 | 1 | 1 | |||||||||||||||||||||||
Yhteensauml | -91 | 0 | -91 |
Power
Q2 Power
Nuclear output in Q2
Planned outages in Oskarshamn 1amp3 and Forsmark 1 in Q22011
(In 2010 no outages in Q2)
If timing would have been similar in 2011 compared to 2010 nuclear output would have exceeded 2010 levels during Q2
Improved availability in Sweden
Q2 2011
Q2 2010
Nuclear
Outage effect
TWh
Q2 Power result declined due to several reasons
Comparable operating profit EUR million
257
-3
-4
0
271
3
-10
Volume
amp price
Q22010
Stronger
SEK
Russian
import
Property
taxes
Other
Q22011
Heat
Q2 Heat
Russia
Q2 Russia
Distribution
Q2 Distribution
Markets
Q2 Electricity Sales
Q2 Income statement
Q2 Cash flow statement
Key ratios
Q2 lsquo11
Debt maturity profile
per 30 June 2011 per 31 Dec 2010
Average interest rate (incl swaps and forwards)4435
Portion of floating fixed debt 47 53 49 51
Strong financial position
Return on capital employed
12
Return on shareholders equity
14
Net debtEBITDA
around 30
138
191
28
Fortumrsquos financial targets
LTM in Q22011
Good liquidity ndash committed credit lines total EUR 27 billion
Comparable net debtEBITDA
Outlook
Q2 Summary
Outlook
Outlook
(Q1 70 at EUR 44MWh)
(Q1 45 at EUR 45MWh)
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007
2008
2009
2010
2011
2012
0
10
20
30
40
50
60
70
80
90
100
110
Spot prices
Forward prices
CO2-free and energy-efficient solutions important
Create solid earnings
growth in Russia
Leverage the strong
Nordic core
Build platform for
future growth
Competence in CO2-free hydro nuclear and energy efficient CHP production
and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -
Fortumrsquos strategy remains intact
MEURII2011II2010I-II2011I-II2010LTM
Sales1833275569641 390
Comparable operating profit101021-335
Net Assets7759
Comparable RONA 341
Gross Investments10404
MEURII2011II2010I-II2011I-II2010LTM
Sales2152005264801 009
Comparable operating profit6053184155336
Net Assets3 4873 482
Comparable RONA 99
Gross Investments62479676233
0
250
500
750
1000
1250
1500
1750
20112012201320142015201620172018201920202021+
BondsFinancial institutionsOther long-term debtCPsOther short-term debt
MEURII2011II2010I-II2011I-II2010LTM
Sales195169490413881
Comparable operating profit21-955756
Net Assets3 0512 690
Comparable RONA 34
Gross Investments192167267258608
MEURII2011II2010I-II2011I-II2010LTM
Sales5745971 2671 3662 603
Comparable operating profit2572715826951 185
Net Assets5 9985 726
Comparable RONA 198
Gross Investments36226955136
MEURII2011II2010I-II2011I-II20102010LTM
Sales1 316
1 2953 3503 2426 296
6 404
Expenses-968-956-2 353-2 252-4 463-4 564
Comparable operating profit3483399979901 8331 840
Other items affecting comparability2611251285-125302
Operating profit6093511 5091 0751 7082 142
Share of profit of associates and jvs1515743162105
Financial expenses net-72-34-127-61-155-221
Profit before taxes5523321 4561 0451 6152 026
Income tax expense-74-61-232-191-261-302
Net profit for the period4782711 2248541 3541 724
Non-controlling interests6874325496
EPS basic (EUR)053030129093146183
EPS diluted (EUR)053030129093146183
Spot price for power in NordPool power exchange
448
459
662
523
621
0
12
24
36
48
60
72
Q22010Q32010Q42010Q12011Q22011
eurMWh
Powers Nordic power price
447
469
488
479
474
0
10
20
30
40
50
60
Q22010Q32010Q42010Q12011Q22011
eurMWh
MEURII2011II2010I-II2011I-II20102010LTM
Operating profit before depreciations7644901 8131 3512 2712 733
Non-cash flow items and divesting activities
-299-6-569-73124-372
Financial items and fx gainslosses
12-146-290-323-641-608
Taxes
-144-73-258-155-355-458
Funds from operations (FFO)
3332656968001 3991 295
Change in working capital
771571681433863
Total net cash from operating activities4104228649431 4371 358
Paid capital expenditures-297-263-503-486-1 134-1 151
Acquisition of shares-1-1-20-1-28-47
Other investing activities331-165417260529
Cash flow before financing activities443142882528335689
MEURII2011II2010I-II2011I-II2010LTM
Sales3223011 0479521 865
Comparable operating profit2533196165306
Net Assets3 9113 884
Comparable RONA 82
Gross Investments7259130121314
MEUR
II2011II2010II2011II2010I-II2011I-II2010I-II2011I-II2010
Power257271271280582695760747
Heat25332535196165290194
Russia21-921-95575523
Distribution605325253184155377166
Electricity Sales1010232321-33-6
Other-25-1917-31-41-2924-49
Total3483396093519979901 5091 075
Comparable operating profit
Reported operating profit
Comparable operating profit
Reported operating profit
Spot price for power (market price) Urals hub
770
935
817
950
954
0
200
400
600
800
1 000
1 200
Q22010Q32010Q42010Q12011Q22011
RUBMWh
Achieved power price for OAO Fortum
256
288
305
292
290
0
6
12
18
24
30
36
Q22010Q32010Q42010Q12011Q22011
eurMWh
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
MEURLTM20102009
EBITDA2 7332 2712 292
Comparable EBITDA2 4312 3962 398
Interest-bearing net debt6 7836 8265 969
Net debtEBITDA253026
Comparable Net debtEBITDA282825
Return on capital employed ()138116121
Return on shareholders equity ()191157160
) as of 30 June 2011
MEUR | |||
2011 | 231 | ||
2012 | 668 | ||
2013 | 639 | ||
2014 | 1223 | ||
2015 | 1051 | ||
2016 | 879 | ||
2017 | 270 | ||
2018 | 190 | ||
2019 | 840 | ||
2020 | 73 | ||
2021+ | 1530 |
MEUR | LTM | 2010 | 2009 | 2008 | 2006 | 2005 | |||||||
EBITDA | 2733 | 2271 | 2292 | 2478 | 1884 | ||||||||
Comparable EBITDA | 2431 | 2396 | 2398 | 1151 | 1271 | ||||||||
Interest-bearing net debt | 6 783 | 6826 | 5969 | 6179 | 4345 | 3158 | |||||||
Net debtEBITDA | 25 | 30 | 26 | 25 | 8161 | ||||||||
Comparable Net debtEBITDA | 28 | 28 | 25 | 16839 | 15130 | ||||||||
23 | 18 | ||||||||||||
Return on capital employed () | 138 | 116 | 121 | 150 | 134 | 135 | |||||||
Return on shareholders equity () | 191 | 157 | 160 | 187 | 144 | 135 | |||||||
) as of 30 June 2011 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | |||||||||||
Operating profit before depreciations | 764 | 490 | 1813 | 1351 | 2271 | 2733 | 2478 | 1663 | 2370 | 0 | |||||||||||
Non-cash flow items and divesting activities | -299 | -6 | -569 | -73 | 124 | -372 | -275 | -268 | -56 | 0 | |||||||||||
Financial items and fx gainslosses | 12 | -146 | -290 | -323 | -641 | -608 | 233 | ||||||||||||||
Taxes | -144 | -73 | -258 | -155 | -355 | -458 | -332 | -231 | -534 | 0 | |||||||||||
Funds from operations (FFO) | 333 | 265 | 696 | 800 | 1399 | 1295 | 2104 | 1164 | 1780 | 0 | |||||||||||
Change in working capital | 77 | 157 | 168 | 143 | 38 | 63 | -102 | 161 | 5 | 0 | |||||||||||
Total net cash from operating activities | 410 | 422 | 864 | 943 | 1437 | 1358 | 2002 | 1325 | 1785 | 0 | |||||||||||
Paid capital expenditures | -297 | -263 | -503 | -486 | -1134 | -1151 | -1018 | -341 | -931 | 0 | |||||||||||
Acquisition of shares | -1 | -1 | -20 | -1 | -28 | -47 | -1243 | -257 | -1243 | 0 | |||||||||||
Other investing activities | 331 | -16 | 541 | 72 | 60 | 529 | -21 | 258 | -34 | 0 | |||||||||||
Cash flow before financing activities | 443 | 142 | 882 | 528 | 335 | 689 | -280 | 985 | -423 | 0 |
MEUR | Q1-Q300 | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | 2004 | ||||||||||||||||||
Sales | 7732 | 1316 | 1295 | 3350 | 3242 | 6296 | 6404 | 5636 | 3159 | 5354 | 0 | 3835 | ||||||||||||||||||
Expenses | -7109 | -968 | -956 | -2353 | -2252 | -4463 | -4564 | -3673 | -1832 | -3482 | 0 | -2640 | ||||||||||||||||||
Comparable operating profit | 623 | 348 | 339 | 997 | 990 | 1833 | 1840 | 1963 | 1327 | 1872 | 0 | 1195 | ||||||||||||||||||
Other items affecting comparability | 261 | 12 | 512 | 85 | -125 | 302 | ||||||||||||||||||||||||
Operating profit | 609 | 351 | 1509 | 1075 | 1708 | 2142 | ||||||||||||||||||||||||
Share of profit of associates and jvs | 15 | 15 | 74 | 31 | 62 | 105 | 126 | 223 | 96 | 0 | 12 | |||||||||||||||||||
Financial expenses net | -209 | -72 | -34 | -127 | -61 | -155 | -221 | -239 | -117 | -222 | 0 | -245 | ||||||||||||||||||
Profit before taxes | 0 | 552 | 332 | 1456 | 1045 | 1615 | 2026 | 1850 | 1433 | 1746 | 0 | 0 | ||||||||||||||||||
Income tax expense | -83 | -74 | -61 | -232 | -191 | -261 | -302 | -254 | -218 | -364 | 0 | -259 | ||||||||||||||||||
Net profit for the period | -26 | 478 | 271 | 1224 | 854 | 1354 | 1724 | 1596 | 1215 | 1382 | 0 | 0 | ||||||||||||||||||
Non-controlling interests | 6 | 8 | 74 | 32 | 54 | 96 | 54 | 31 | 35 | 0 | 33 | |||||||||||||||||||
EPS basic (EUR) | 039 | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 148 | ||||||||||||||||||
EPS diluted (EUR) | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 079 | |||||||||||||||||||
069 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 183 | 327 | 556 | 964 | 1390 | |||||||
Comparable operating profit | 10 | 10 | 21 | -3 | 35 | |||||||
Net Assets | 77 | 59 | ||||||||||
Comparable RONA | 341 | |||||||||||
Gross Investments | 1 | 0 | 4 | 0 | 4 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 215 | 200 | 526 | 480 | 1009 | |||||||
Comparable operating profit | 60 | 53 | 184 | 155 | 336 | |||||||
Net Assets | 3487 | 3482 | ||||||||||
Comparable RONA | 99 | |||||||||||
Gross Investments | 62 | 47 | 96 | 76 | 233 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 195 | 169 | 490 | 413 | 881 | |||||||
Comparable operating profit | 21 | -9 | 55 | 7 | 56 | |||||||
Net Assets | 3051 | 2690 | ||||||||||
Comparable RONA | 34 | |||||||||||
Gross Investments | 192 | 167 | 267 | 258 | 608 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 322 | 301 | 1047 | 952 | 1865 | |||||||
Comparable operating profit | 25 | 33 | 196 | 165 | 306 | |||||||
Net Assets | 3911 | 3884 | ||||||||||
Comparable RONA | 82 | |||||||||||
Gross Investments | 72 | 59 | 130 | 121 | 314 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 574 | 597 | 1267 | 1366 | 2603 | |||||||
Comparable operating profit | 257 | 271 | 582 | 695 | 1185 | |||||||
Net Assets | 5998 | 5726 | ||||||||||
Comparable RONA | 198 | |||||||||||
Gross Investments | 36 | 22 | 69 | 55 | 136 |
Liikevoitto 2007 | Liikevoitto 2006 | |||||||||||||||||||||||||
Vertkelp | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | comp | op | |||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Liikevoitto I2008 | Liikevoitto I2007 | |||||||||||||||||||||||||
Vertkelpoinen | Raportoitu | Ero | Vertkelpoinen | Raportoitu | Ero | |||||||||||||||||||||
Saumlhkoumlntuotanto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Laumlmpouml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Saumlhkoumlnsiirto | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Markets | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Venaumljauml | 0 | 0 | 0 | 0 | ||||||||||||||||||||||
Muu | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Yhteensauml | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Roumlrelseresultat II2009 | Roumlrelseresultat II2008 | Liikevoitto 2008 | Liikevoitto 2007 | |||||||||||||||||||||||
Jaumlmfoumlrbart | Rapporterat | Jaumlmfoumlrbart | Rapporterat | Vertkelp | Raportoitu | Vertkelp | Raportoitu | |||||||||||||||||||
Kraftproduktion | 271 | 280 | 340 | 307 | 695 | 747 | 755 | 739 | ||||||||||||||||||
Vaumlrme | 33 | 35 | 26 | 39 | 165 | 194 | 140 | 154 | ||||||||||||||||||
Distribution | 53 | 53 | 54 | 54 | 155 | 166 | 135 | 135 | ||||||||||||||||||
Markets | 10 | 23 | 6 | 20 | -3 | -6 | 4 | -1 | ||||||||||||||||||
Ryssland | -9 | -9 | -14 | -15 | 7 | 23 | -8 | -9 | ||||||||||||||||||
Oumlvrigt | -19 | -31 | -12 | -30 | -29 | -49 | -24 | -44 | ||||||||||||||||||
Summa | 339 | 351 | 400 | 375 | 990 | 1075 | 1002 | 974 |
Nuclear output in Q2
Planned outages in Oskarshamn 1amp3 and Forsmark 1 in Q22011
(In 2010 no outages in Q2)
If timing would have been similar in 2011 compared to 2010 nuclear output would have exceeded 2010 levels during Q2
Improved availability in Sweden
Q2 2011
Q2 2010
Nuclear
Outage effect
TWh
Q2 Power result declined due to several reasons
Comparable operating profit EUR million
257
-3
-4
0
271
3
-10
Volume
amp price
Q22010
Stronger
SEK
Russian
import
Property
taxes
Other
Q22011
Heat
Q2 Heat
Russia
Q2 Russia
Distribution
Q2 Distribution
Markets
Q2 Electricity Sales
Q2 Income statement
Q2 Cash flow statement
Key ratios
Q2 lsquo11
Debt maturity profile
per 30 June 2011 per 31 Dec 2010
Average interest rate (incl swaps and forwards)4435
Portion of floating fixed debt 47 53 49 51
Strong financial position
Return on capital employed
12
Return on shareholders equity
14
Net debtEBITDA
around 30
138
191
28
Fortumrsquos financial targets
LTM in Q22011
Good liquidity ndash committed credit lines total EUR 27 billion
Comparable net debtEBITDA
Outlook
Q2 Summary
Outlook
Outlook
(Q1 70 at EUR 44MWh)
(Q1 45 at EUR 45MWh)
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007
2008
2009
2010
2011
2012
0
10
20
30
40
50
60
70
80
90
100
110
Spot prices
Forward prices
CO2-free and energy-efficient solutions important
Create solid earnings
growth in Russia
Leverage the strong
Nordic core
Build platform for
future growth
Competence in CO2-free hydro nuclear and energy efficient CHP production
and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -
Fortumrsquos strategy remains intact
MEURII2011II2010I-II2011I-II2010LTM
Sales1833275569641 390
Comparable operating profit101021-335
Net Assets7759
Comparable RONA 341
Gross Investments10404
MEURII2011II2010I-II2011I-II2010LTM
Sales2152005264801 009
Comparable operating profit6053184155336
Net Assets3 4873 482
Comparable RONA 99
Gross Investments62479676233
0
250
500
750
1000
1250
1500
1750
20112012201320142015201620172018201920202021+
BondsFinancial institutionsOther long-term debtCPsOther short-term debt
MEURII2011II2010I-II2011I-II2010LTM
Sales195169490413881
Comparable operating profit21-955756
Net Assets3 0512 690
Comparable RONA 34
Gross Investments192167267258608
MEURII2011II2010I-II2011I-II2010LTM
Sales5745971 2671 3662 603
Comparable operating profit2572715826951 185
Net Assets5 9985 726
Comparable RONA 198
Gross Investments36226955136
MEURII2011II2010I-II2011I-II20102010LTM
Sales1 316
1 2953 3503 2426 296
6 404
Expenses-968-956-2 353-2 252-4 463-4 564
Comparable operating profit3483399979901 8331 840
Other items affecting comparability2611251285-125302
Operating profit6093511 5091 0751 7082 142
Share of profit of associates and jvs1515743162105
Financial expenses net-72-34-127-61-155-221
Profit before taxes5523321 4561 0451 6152 026
Income tax expense-74-61-232-191-261-302
Net profit for the period4782711 2248541 3541 724
Non-controlling interests6874325496
EPS basic (EUR)053030129093146183
EPS diluted (EUR)053030129093146183
Spot price for power in NordPool power exchange
448
459
662
523
621
0
12
24
36
48
60
72
Q22010Q32010Q42010Q12011Q22011
eurMWh
Powers Nordic power price
447
469
488
479
474
0
10
20
30
40
50
60
Q22010Q32010Q42010Q12011Q22011
eurMWh
MEURII2011II2010I-II2011I-II20102010LTM
Operating profit before depreciations7644901 8131 3512 2712 733
Non-cash flow items and divesting activities
-299-6-569-73124-372
Financial items and fx gainslosses
12-146-290-323-641-608
Taxes
-144-73-258-155-355-458
Funds from operations (FFO)
3332656968001 3991 295
Change in working capital
771571681433863
Total net cash from operating activities4104228649431 4371 358
Paid capital expenditures-297-263-503-486-1 134-1 151
Acquisition of shares-1-1-20-1-28-47
Other investing activities331-165417260529
Cash flow before financing activities443142882528335689
MEURII2011II2010I-II2011I-II2010LTM
Sales3223011 0479521 865
Comparable operating profit2533196165306
Net Assets3 9113 884
Comparable RONA 82
Gross Investments7259130121314
MEUR
II2011II2010II2011II2010I-II2011I-II2010I-II2011I-II2010
Power257271271280582695760747
Heat25332535196165290194
Russia21-921-95575523
Distribution605325253184155377166
Electricity Sales1010232321-33-6
Other-25-1917-31-41-2924-49
Total3483396093519979901 5091 075
Comparable operating profit
Reported operating profit
Comparable operating profit
Reported operating profit
Spot price for power (market price) Urals hub
770
935
817
950
954
0
200
400
600
800
1 000
1 200
Q22010Q32010Q42010Q12011Q22011
RUBMWh
Achieved power price for OAO Fortum
256
288
305
292
290
0
6
12
18
24
30
36
Q22010Q32010Q42010Q12011Q22011
eurMWh
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
MEURLTM20102009
EBITDA2 7332 2712 292
Comparable EBITDA2 4312 3962 398
Interest-bearing net debt6 7836 8265 969
Net debtEBITDA253026
Comparable Net debtEBITDA282825
Return on capital employed ()138116121
Return on shareholders equity ()191157160
) as of 30 June 2011
MEUR | |||
2011 | 231 | ||
2012 | 668 | ||
2013 | 639 | ||
2014 | 1223 | ||
2015 | 1051 | ||
2016 | 879 | ||
2017 | 270 | ||
2018 | 190 | ||
2019 | 840 | ||
2020 | 73 | ||
2021+ | 1530 |
MEUR | LTM | 2010 | 2009 | 2008 | 2006 | 2005 | |||||||
EBITDA | 2733 | 2271 | 2292 | 2478 | 1884 | ||||||||
Comparable EBITDA | 2431 | 2396 | 2398 | 1151 | 1271 | ||||||||
Interest-bearing net debt | 6 783 | 6826 | 5969 | 6179 | 4345 | 3158 | |||||||
Net debtEBITDA | 25 | 30 | 26 | 25 | 8161 | ||||||||
Comparable Net debtEBITDA | 28 | 28 | 25 | 16839 | 15130 | ||||||||
23 | 18 | ||||||||||||
Return on capital employed () | 138 | 116 | 121 | 150 | 134 | 135 | |||||||
Return on shareholders equity () | 191 | 157 | 160 | 187 | 144 | 135 | |||||||
) as of 30 June 2011 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | |||||||||||
Operating profit before depreciations | 764 | 490 | 1813 | 1351 | 2271 | 2733 | 2478 | 1663 | 2370 | 0 | |||||||||||
Non-cash flow items and divesting activities | -299 | -6 | -569 | -73 | 124 | -372 | -275 | -268 | -56 | 0 | |||||||||||
Financial items and fx gainslosses | 12 | -146 | -290 | -323 | -641 | -608 | 233 | ||||||||||||||
Taxes | -144 | -73 | -258 | -155 | -355 | -458 | -332 | -231 | -534 | 0 | |||||||||||
Funds from operations (FFO) | 333 | 265 | 696 | 800 | 1399 | 1295 | 2104 | 1164 | 1780 | 0 | |||||||||||
Change in working capital | 77 | 157 | 168 | 143 | 38 | 63 | -102 | 161 | 5 | 0 | |||||||||||
Total net cash from operating activities | 410 | 422 | 864 | 943 | 1437 | 1358 | 2002 | 1325 | 1785 | 0 | |||||||||||
Paid capital expenditures | -297 | -263 | -503 | -486 | -1134 | -1151 | -1018 | -341 | -931 | 0 | |||||||||||
Acquisition of shares | -1 | -1 | -20 | -1 | -28 | -47 | -1243 | -257 | -1243 | 0 | |||||||||||
Other investing activities | 331 | -16 | 541 | 72 | 60 | 529 | -21 | 258 | -34 | 0 | |||||||||||
Cash flow before financing activities | 443 | 142 | 882 | 528 | 335 | 689 | -280 | 985 | -423 | 0 |
MEUR | Q1-Q300 | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | 2004 | ||||||||||||||||||
Sales | 7732 | 1316 | 1295 | 3350 | 3242 | 6296 | 6404 | 5636 | 3159 | 5354 | 0 | 3835 | ||||||||||||||||||
Expenses | -7109 | -968 | -956 | -2353 | -2252 | -4463 | -4564 | -3673 | -1832 | -3482 | 0 | -2640 | ||||||||||||||||||
Comparable operating profit | 623 | 348 | 339 | 997 | 990 | 1833 | 1840 | 1963 | 1327 | 1872 | 0 | 1195 | ||||||||||||||||||
Other items affecting comparability | 261 | 12 | 512 | 85 | -125 | 302 | ||||||||||||||||||||||||
Operating profit | 609 | 351 | 1509 | 1075 | 1708 | 2142 | ||||||||||||||||||||||||
Share of profit of associates and jvs | 15 | 15 | 74 | 31 | 62 | 105 | 126 | 223 | 96 | 0 | 12 | |||||||||||||||||||
Financial expenses net | -209 | -72 | -34 | -127 | -61 | -155 | -221 | -239 | -117 | -222 | 0 | -245 | ||||||||||||||||||
Profit before taxes | 0 | 552 | 332 | 1456 | 1045 | 1615 | 2026 | 1850 | 1433 | 1746 | 0 | 0 | ||||||||||||||||||
Income tax expense | -83 | -74 | -61 | -232 | -191 | -261 | -302 | -254 | -218 | -364 | 0 | -259 | ||||||||||||||||||
Net profit for the period | -26 | 478 | 271 | 1224 | 854 | 1354 | 1724 | 1596 | 1215 | 1382 | 0 | 0 | ||||||||||||||||||
Non-controlling interests | 6 | 8 | 74 | 32 | 54 | 96 | 54 | 31 | 35 | 0 | 33 | |||||||||||||||||||
EPS basic (EUR) | 039 | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 148 | ||||||||||||||||||
EPS diluted (EUR) | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 079 | |||||||||||||||||||
069 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 183 | 327 | 556 | 964 | 1390 | |||||||
Comparable operating profit | 10 | 10 | 21 | -3 | 35 | |||||||
Net Assets | 77 | 59 | ||||||||||
Comparable RONA | 341 | |||||||||||
Gross Investments | 1 | 0 | 4 | 0 | 4 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 215 | 200 | 526 | 480 | 1009 | |||||||
Comparable operating profit | 60 | 53 | 184 | 155 | 336 | |||||||
Net Assets | 3487 | 3482 | ||||||||||
Comparable RONA | 99 | |||||||||||
Gross Investments | 62 | 47 | 96 | 76 | 233 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 195 | 169 | 490 | 413 | 881 | |||||||
Comparable operating profit | 21 | -9 | 55 | 7 | 56 | |||||||
Net Assets | 3051 | 2690 | ||||||||||
Comparable RONA | 34 | |||||||||||
Gross Investments | 192 | 167 | 267 | 258 | 608 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 322 | 301 | 1047 | 952 | 1865 | |||||||
Comparable operating profit | 25 | 33 | 196 | 165 | 306 | |||||||
Net Assets | 3911 | 3884 | ||||||||||
Comparable RONA | 82 | |||||||||||
Gross Investments | 72 | 59 | 130 | 121 | 314 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 574 | 597 | 1267 | 1366 | 2603 | |||||||
Comparable operating profit | 257 | 271 | 582 | 695 | 1185 | |||||||
Net Assets | 5998 | 5726 | ||||||||||
Comparable RONA | 198 | |||||||||||
Gross Investments | 36 | 22 | 69 | 55 | 136 |
Nuclear output in Q2
Planned outages in Oskarshamn 1amp3 and Forsmark 1 in Q22011
(In 2010 no outages in Q2)
If timing would have been similar in 2011 compared to 2010 nuclear output would have exceeded 2010 levels during Q2
Improved availability in Sweden
Q2 2011
Q2 2010
Nuclear
Outage effect
TWh
Q2 Power result declined due to several reasons
Comparable operating profit EUR million
257
-3
-4
0
271
3
-10
Volume
amp price
Q22010
Stronger
SEK
Russian
import
Property
taxes
Other
Q22011
Heat
Q2 Heat
Russia
Q2 Russia
Distribution
Q2 Distribution
Markets
Q2 Electricity Sales
Q2 Income statement
Q2 Cash flow statement
Key ratios
Q2 lsquo11
Debt maturity profile
per 30 June 2011 per 31 Dec 2010
Average interest rate (incl swaps and forwards)4435
Portion of floating fixed debt 47 53 49 51
Strong financial position
Return on capital employed
12
Return on shareholders equity
14
Net debtEBITDA
around 30
138
191
28
Fortumrsquos financial targets
LTM in Q22011
Good liquidity ndash committed credit lines total EUR 27 billion
Comparable net debtEBITDA
Outlook
Q2 Summary
Outlook
Outlook
(Q1 70 at EUR 44MWh)
(Q1 45 at EUR 45MWh)
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007
2008
2009
2010
2011
2012
0
10
20
30
40
50
60
70
80
90
100
110
Spot prices
Forward prices
CO2-free and energy-efficient solutions important
Create solid earnings
growth in Russia
Leverage the strong
Nordic core
Build platform for
future growth
Competence in CO2-free hydro nuclear and energy efficient CHP production
and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -
Fortumrsquos strategy remains intact
MEURII2011II2010I-II2011I-II2010LTM
Sales1833275569641 390
Comparable operating profit101021-335
Net Assets7759
Comparable RONA 341
Gross Investments10404
MEURII2011II2010I-II2011I-II2010LTM
Sales2152005264801 009
Comparable operating profit6053184155336
Net Assets3 4873 482
Comparable RONA 99
Gross Investments62479676233
0
250
500
750
1000
1250
1500
1750
20112012201320142015201620172018201920202021+
BondsFinancial institutionsOther long-term debtCPsOther short-term debt
MEURII2011II2010I-II2011I-II2010LTM
Sales195169490413881
Comparable operating profit21-955756
Net Assets3 0512 690
Comparable RONA 34
Gross Investments192167267258608
MEURII2011II2010I-II2011I-II2010LTM
Sales5745971 2671 3662 603
Comparable operating profit2572715826951 185
Net Assets5 9985 726
Comparable RONA 198
Gross Investments36226955136
MEURII2011II2010I-II2011I-II20102010LTM
Sales1 316
1 2953 3503 2426 296
6 404
Expenses-968-956-2 353-2 252-4 463-4 564
Comparable operating profit3483399979901 8331 840
Other items affecting comparability2611251285-125302
Operating profit6093511 5091 0751 7082 142
Share of profit of associates and jvs1515743162105
Financial expenses net-72-34-127-61-155-221
Profit before taxes5523321 4561 0451 6152 026
Income tax expense-74-61-232-191-261-302
Net profit for the period4782711 2248541 3541 724
Non-controlling interests6874325496
EPS basic (EUR)053030129093146183
EPS diluted (EUR)053030129093146183
Spot price for power in NordPool power exchange
448
459
662
523
621
0
12
24
36
48
60
72
Q22010Q32010Q42010Q12011Q22011
eurMWh
Powers Nordic power price
447
469
488
479
474
0
10
20
30
40
50
60
Q22010Q32010Q42010Q12011Q22011
eurMWh
MEURII2011II2010I-II2011I-II20102010LTM
Operating profit before depreciations7644901 8131 3512 2712 733
Non-cash flow items and divesting activities
-299-6-569-73124-372
Financial items and fx gainslosses
12-146-290-323-641-608
Taxes
-144-73-258-155-355-458
Funds from operations (FFO)
3332656968001 3991 295
Change in working capital
771571681433863
Total net cash from operating activities4104228649431 4371 358
Paid capital expenditures-297-263-503-486-1 134-1 151
Acquisition of shares-1-1-20-1-28-47
Other investing activities331-165417260529
Cash flow before financing activities443142882528335689
MEURII2011II2010I-II2011I-II2010LTM
Sales3223011 0479521 865
Comparable operating profit2533196165306
Net Assets3 9113 884
Comparable RONA 82
Gross Investments7259130121314
MEUR
II2011II2010II2011II2010I-II2011I-II2010I-II2011I-II2010
Power257271271280582695760747
Heat25332535196165290194
Russia21-921-95575523
Distribution605325253184155377166
Electricity Sales1010232321-33-6
Other-25-1917-31-41-2924-49
Total3483396093519979901 5091 075
Comparable operating profit
Reported operating profit
Comparable operating profit
Reported operating profit
Spot price for power (market price) Urals hub
770
935
817
950
954
0
200
400
600
800
1 000
1 200
Q22010Q32010Q42010Q12011Q22011
RUBMWh
Achieved power price for OAO Fortum
256
288
305
292
290
0
6
12
18
24
30
36
Q22010Q32010Q42010Q12011Q22011
eurMWh
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
MEURLTM20102009
EBITDA2 7332 2712 292
Comparable EBITDA2 4312 3962 398
Interest-bearing net debt6 7836 8265 969
Net debtEBITDA253026
Comparable Net debtEBITDA282825
Return on capital employed ()138116121
Return on shareholders equity ()191157160
) as of 30 June 2011
MEUR | |||
2011 | 231 | ||
2012 | 668 | ||
2013 | 639 | ||
2014 | 1223 | ||
2015 | 1051 | ||
2016 | 879 | ||
2017 | 270 | ||
2018 | 190 | ||
2019 | 840 | ||
2020 | 73 | ||
2021+ | 1530 |
MEUR | LTM | 2010 | 2009 | 2008 | 2006 | 2005 | |||||||
EBITDA | 2733 | 2271 | 2292 | 2478 | 1884 | ||||||||
Comparable EBITDA | 2431 | 2396 | 2398 | 1151 | 1271 | ||||||||
Interest-bearing net debt | 6 783 | 6826 | 5969 | 6179 | 4345 | 3158 | |||||||
Net debtEBITDA | 25 | 30 | 26 | 25 | 8161 | ||||||||
Comparable Net debtEBITDA | 28 | 28 | 25 | 16839 | 15130 | ||||||||
23 | 18 | ||||||||||||
Return on capital employed () | 138 | 116 | 121 | 150 | 134 | 135 | |||||||
Return on shareholders equity () | 191 | 157 | 160 | 187 | 144 | 135 | |||||||
) as of 30 June 2011 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | |||||||||||
Operating profit before depreciations | 764 | 490 | 1813 | 1351 | 2271 | 2733 | 2478 | 1663 | 2370 | 0 | |||||||||||
Non-cash flow items and divesting activities | -299 | -6 | -569 | -73 | 124 | -372 | -275 | -268 | -56 | 0 | |||||||||||
Financial items and fx gainslosses | 12 | -146 | -290 | -323 | -641 | -608 | 233 | ||||||||||||||
Taxes | -144 | -73 | -258 | -155 | -355 | -458 | -332 | -231 | -534 | 0 | |||||||||||
Funds from operations (FFO) | 333 | 265 | 696 | 800 | 1399 | 1295 | 2104 | 1164 | 1780 | 0 | |||||||||||
Change in working capital | 77 | 157 | 168 | 143 | 38 | 63 | -102 | 161 | 5 | 0 | |||||||||||
Total net cash from operating activities | 410 | 422 | 864 | 943 | 1437 | 1358 | 2002 | 1325 | 1785 | 0 | |||||||||||
Paid capital expenditures | -297 | -263 | -503 | -486 | -1134 | -1151 | -1018 | -341 | -931 | 0 | |||||||||||
Acquisition of shares | -1 | -1 | -20 | -1 | -28 | -47 | -1243 | -257 | -1243 | 0 | |||||||||||
Other investing activities | 331 | -16 | 541 | 72 | 60 | 529 | -21 | 258 | -34 | 0 | |||||||||||
Cash flow before financing activities | 443 | 142 | 882 | 528 | 335 | 689 | -280 | 985 | -423 | 0 |
MEUR | Q1-Q300 | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | 2004 | ||||||||||||||||||
Sales | 7732 | 1316 | 1295 | 3350 | 3242 | 6296 | 6404 | 5636 | 3159 | 5354 | 0 | 3835 | ||||||||||||||||||
Expenses | -7109 | -968 | -956 | -2353 | -2252 | -4463 | -4564 | -3673 | -1832 | -3482 | 0 | -2640 | ||||||||||||||||||
Comparable operating profit | 623 | 348 | 339 | 997 | 990 | 1833 | 1840 | 1963 | 1327 | 1872 | 0 | 1195 | ||||||||||||||||||
Other items affecting comparability | 261 | 12 | 512 | 85 | -125 | 302 | ||||||||||||||||||||||||
Operating profit | 609 | 351 | 1509 | 1075 | 1708 | 2142 | ||||||||||||||||||||||||
Share of profit of associates and jvs | 15 | 15 | 74 | 31 | 62 | 105 | 126 | 223 | 96 | 0 | 12 | |||||||||||||||||||
Financial expenses net | -209 | -72 | -34 | -127 | -61 | -155 | -221 | -239 | -117 | -222 | 0 | -245 | ||||||||||||||||||
Profit before taxes | 0 | 552 | 332 | 1456 | 1045 | 1615 | 2026 | 1850 | 1433 | 1746 | 0 | 0 | ||||||||||||||||||
Income tax expense | -83 | -74 | -61 | -232 | -191 | -261 | -302 | -254 | -218 | -364 | 0 | -259 | ||||||||||||||||||
Net profit for the period | -26 | 478 | 271 | 1224 | 854 | 1354 | 1724 | 1596 | 1215 | 1382 | 0 | 0 | ||||||||||||||||||
Non-controlling interests | 6 | 8 | 74 | 32 | 54 | 96 | 54 | 31 | 35 | 0 | 33 | |||||||||||||||||||
EPS basic (EUR) | 039 | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 148 | ||||||||||||||||||
EPS diluted (EUR) | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 079 | |||||||||||||||||||
069 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 183 | 327 | 556 | 964 | 1390 | |||||||
Comparable operating profit | 10 | 10 | 21 | -3 | 35 | |||||||
Net Assets | 77 | 59 | ||||||||||
Comparable RONA | 341 | |||||||||||
Gross Investments | 1 | 0 | 4 | 0 | 4 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 215 | 200 | 526 | 480 | 1009 | |||||||
Comparable operating profit | 60 | 53 | 184 | 155 | 336 | |||||||
Net Assets | 3487 | 3482 | ||||||||||
Comparable RONA | 99 | |||||||||||
Gross Investments | 62 | 47 | 96 | 76 | 233 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 195 | 169 | 490 | 413 | 881 | |||||||
Comparable operating profit | 21 | -9 | 55 | 7 | 56 | |||||||
Net Assets | 3051 | 2690 | ||||||||||
Comparable RONA | 34 | |||||||||||
Gross Investments | 192 | 167 | 267 | 258 | 608 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 322 | 301 | 1047 | 952 | 1865 | |||||||
Comparable operating profit | 25 | 33 | 196 | 165 | 306 | |||||||
Net Assets | 3911 | 3884 | ||||||||||
Comparable RONA | 82 | |||||||||||
Gross Investments | 72 | 59 | 130 | 121 | 314 |
Nuclear output in Q2
Planned outages in Oskarshamn 1amp3 and Forsmark 1 in Q22011
(In 2010 no outages in Q2)
If timing would have been similar in 2011 compared to 2010 nuclear output would have exceeded 2010 levels during Q2
Improved availability in Sweden
Q2 2011
Q2 2010
Nuclear
Outage effect
TWh
Q2 Power result declined due to several reasons
Comparable operating profit EUR million
257
-3
-4
0
271
3
-10
Volume
amp price
Q22010
Stronger
SEK
Russian
import
Property
taxes
Other
Q22011
Heat
Q2 Heat
Russia
Q2 Russia
Distribution
Q2 Distribution
Markets
Q2 Electricity Sales
Q2 Income statement
Q2 Cash flow statement
Key ratios
Q2 lsquo11
Debt maturity profile
per 30 June 2011 per 31 Dec 2010
Average interest rate (incl swaps and forwards)4435
Portion of floating fixed debt 47 53 49 51
Strong financial position
Return on capital employed
12
Return on shareholders equity
14
Net debtEBITDA
around 30
138
191
28
Fortumrsquos financial targets
LTM in Q22011
Good liquidity ndash committed credit lines total EUR 27 billion
Comparable net debtEBITDA
Outlook
Q2 Summary
Outlook
Outlook
(Q1 70 at EUR 44MWh)
(Q1 45 at EUR 45MWh)
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007
2008
2009
2010
2011
2012
0
10
20
30
40
50
60
70
80
90
100
110
Spot prices
Forward prices
CO2-free and energy-efficient solutions important
Create solid earnings
growth in Russia
Leverage the strong
Nordic core
Build platform for
future growth
Competence in CO2-free hydro nuclear and energy efficient CHP production
and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -
Fortumrsquos strategy remains intact
MEURII2011II2010I-II2011I-II2010LTM
Sales1833275569641 390
Comparable operating profit101021-335
Net Assets7759
Comparable RONA 341
Gross Investments10404
MEURII2011II2010I-II2011I-II2010LTM
Sales2152005264801 009
Comparable operating profit6053184155336
Net Assets3 4873 482
Comparable RONA 99
Gross Investments62479676233
0
250
500
750
1000
1250
1500
1750
20112012201320142015201620172018201920202021+
BondsFinancial institutionsOther long-term debtCPsOther short-term debt
MEURII2011II2010I-II2011I-II2010LTM
Sales195169490413881
Comparable operating profit21-955756
Net Assets3 0512 690
Comparable RONA 34
Gross Investments192167267258608
MEURII2011II2010I-II2011I-II2010LTM
Sales5745971 2671 3662 603
Comparable operating profit2572715826951 185
Net Assets5 9985 726
Comparable RONA 198
Gross Investments36226955136
MEURII2011II2010I-II2011I-II20102010LTM
Sales1 316
1 2953 3503 2426 296
6 404
Expenses-968-956-2 353-2 252-4 463-4 564
Comparable operating profit3483399979901 8331 840
Other items affecting comparability2611251285-125302
Operating profit6093511 5091 0751 7082 142
Share of profit of associates and jvs1515743162105
Financial expenses net-72-34-127-61-155-221
Profit before taxes5523321 4561 0451 6152 026
Income tax expense-74-61-232-191-261-302
Net profit for the period4782711 2248541 3541 724
Non-controlling interests6874325496
EPS basic (EUR)053030129093146183
EPS diluted (EUR)053030129093146183
Spot price for power in NordPool power exchange
448
459
662
523
621
0
12
24
36
48
60
72
Q22010Q32010Q42010Q12011Q22011
eurMWh
Powers Nordic power price
447
469
488
479
474
0
10
20
30
40
50
60
Q22010Q32010Q42010Q12011Q22011
eurMWh
MEURII2011II2010I-II2011I-II20102010LTM
Operating profit before depreciations7644901 8131 3512 2712 733
Non-cash flow items and divesting activities
-299-6-569-73124-372
Financial items and fx gainslosses
12-146-290-323-641-608
Taxes
-144-73-258-155-355-458
Funds from operations (FFO)
3332656968001 3991 295
Change in working capital
771571681433863
Total net cash from operating activities4104228649431 4371 358
Paid capital expenditures-297-263-503-486-1 134-1 151
Acquisition of shares-1-1-20-1-28-47
Other investing activities331-165417260529
Cash flow before financing activities443142882528335689
MEURII2011II2010I-II2011I-II2010LTM
Sales3223011 0479521 865
Comparable operating profit2533196165306
Net Assets3 9113 884
Comparable RONA 82
Gross Investments7259130121314
MEUR
II2011II2010II2011II2010I-II2011I-II2010I-II2011I-II2010
Power257271271280582695760747
Heat25332535196165290194
Russia21-921-95575523
Distribution605325253184155377166
Electricity Sales1010232321-33-6
Other-25-1917-31-41-2924-49
Total3483396093519979901 5091 075
Comparable operating profit
Reported operating profit
Comparable operating profit
Reported operating profit
Spot price for power (market price) Urals hub
770
935
817
950
954
0
200
400
600
800
1 000
1 200
Q22010Q32010Q42010Q12011Q22011
RUBMWh
Achieved power price for OAO Fortum
256
288
305
292
290
0
6
12
18
24
30
36
Q22010Q32010Q42010Q12011Q22011
eurMWh
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
MEURLTM20102009
EBITDA2 7332 2712 292
Comparable EBITDA2 4312 3962 398
Interest-bearing net debt6 7836 8265 969
Net debtEBITDA253026
Comparable Net debtEBITDA282825
Return on capital employed ()138116121
Return on shareholders equity ()191157160
) as of 30 June 2011
MEUR | |||
2011 | 231 | ||
2012 | 668 | ||
2013 | 639 | ||
2014 | 1223 | ||
2015 | 1051 | ||
2016 | 879 | ||
2017 | 270 | ||
2018 | 190 | ||
2019 | 840 | ||
2020 | 73 | ||
2021+ | 1530 |
MEUR | LTM | 2010 | 2009 | 2008 | 2006 | 2005 | |||||||
EBITDA | 2733 | 2271 | 2292 | 2478 | 1884 | ||||||||
Comparable EBITDA | 2431 | 2396 | 2398 | 1151 | 1271 | ||||||||
Interest-bearing net debt | 6 783 | 6826 | 5969 | 6179 | 4345 | 3158 | |||||||
Net debtEBITDA | 25 | 30 | 26 | 25 | 8161 | ||||||||
Comparable Net debtEBITDA | 28 | 28 | 25 | 16839 | 15130 | ||||||||
23 | 18 | ||||||||||||
Return on capital employed () | 138 | 116 | 121 | 150 | 134 | 135 | |||||||
Return on shareholders equity () | 191 | 157 | 160 | 187 | 144 | 135 | |||||||
) as of 30 June 2011 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | |||||||||||
Operating profit before depreciations | 764 | 490 | 1813 | 1351 | 2271 | 2733 | 2478 | 1663 | 2370 | 0 | |||||||||||
Non-cash flow items and divesting activities | -299 | -6 | -569 | -73 | 124 | -372 | -275 | -268 | -56 | 0 | |||||||||||
Financial items and fx gainslosses | 12 | -146 | -290 | -323 | -641 | -608 | 233 | ||||||||||||||
Taxes | -144 | -73 | -258 | -155 | -355 | -458 | -332 | -231 | -534 | 0 | |||||||||||
Funds from operations (FFO) | 333 | 265 | 696 | 800 | 1399 | 1295 | 2104 | 1164 | 1780 | 0 | |||||||||||
Change in working capital | 77 | 157 | 168 | 143 | 38 | 63 | -102 | 161 | 5 | 0 | |||||||||||
Total net cash from operating activities | 410 | 422 | 864 | 943 | 1437 | 1358 | 2002 | 1325 | 1785 | 0 | |||||||||||
Paid capital expenditures | -297 | -263 | -503 | -486 | -1134 | -1151 | -1018 | -341 | -931 | 0 | |||||||||||
Acquisition of shares | -1 | -1 | -20 | -1 | -28 | -47 | -1243 | -257 | -1243 | 0 | |||||||||||
Other investing activities | 331 | -16 | 541 | 72 | 60 | 529 | -21 | 258 | -34 | 0 | |||||||||||
Cash flow before financing activities | 443 | 142 | 882 | 528 | 335 | 689 | -280 | 985 | -423 | 0 |
MEUR | Q1-Q300 | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | 2004 | ||||||||||||||||||
Sales | 7732 | 1316 | 1295 | 3350 | 3242 | 6296 | 6404 | 5636 | 3159 | 5354 | 0 | 3835 | ||||||||||||||||||
Expenses | -7109 | -968 | -956 | -2353 | -2252 | -4463 | -4564 | -3673 | -1832 | -3482 | 0 | -2640 | ||||||||||||||||||
Comparable operating profit | 623 | 348 | 339 | 997 | 990 | 1833 | 1840 | 1963 | 1327 | 1872 | 0 | 1195 | ||||||||||||||||||
Other items affecting comparability | 261 | 12 | 512 | 85 | -125 | 302 | ||||||||||||||||||||||||
Operating profit | 609 | 351 | 1509 | 1075 | 1708 | 2142 | ||||||||||||||||||||||||
Share of profit of associates and jvs | 15 | 15 | 74 | 31 | 62 | 105 | 126 | 223 | 96 | 0 | 12 | |||||||||||||||||||
Financial expenses net | -209 | -72 | -34 | -127 | -61 | -155 | -221 | -239 | -117 | -222 | 0 | -245 | ||||||||||||||||||
Profit before taxes | 0 | 552 | 332 | 1456 | 1045 | 1615 | 2026 | 1850 | 1433 | 1746 | 0 | 0 | ||||||||||||||||||
Income tax expense | -83 | -74 | -61 | -232 | -191 | -261 | -302 | -254 | -218 | -364 | 0 | -259 | ||||||||||||||||||
Net profit for the period | -26 | 478 | 271 | 1224 | 854 | 1354 | 1724 | 1596 | 1215 | 1382 | 0 | 0 | ||||||||||||||||||
Non-controlling interests | 6 | 8 | 74 | 32 | 54 | 96 | 54 | 31 | 35 | 0 | 33 | |||||||||||||||||||
EPS basic (EUR) | 039 | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 148 | ||||||||||||||||||
EPS diluted (EUR) | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 079 | |||||||||||||||||||
069 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 183 | 327 | 556 | 964 | 1390 | |||||||
Comparable operating profit | 10 | 10 | 21 | -3 | 35 | |||||||
Net Assets | 77 | 59 | ||||||||||
Comparable RONA | 341 | |||||||||||
Gross Investments | 1 | 0 | 4 | 0 | 4 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 215 | 200 | 526 | 480 | 1009 | |||||||
Comparable operating profit | 60 | 53 | 184 | 155 | 336 | |||||||
Net Assets | 3487 | 3482 | ||||||||||
Comparable RONA | 99 | |||||||||||
Gross Investments | 62 | 47 | 96 | 76 | 233 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 195 | 169 | 490 | 413 | 881 | |||||||
Comparable operating profit | 21 | -9 | 55 | 7 | 56 | |||||||
Net Assets | 3051 | 2690 | ||||||||||
Comparable RONA | 34 | |||||||||||
Gross Investments | 192 | 167 | 267 | 258 | 608 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 322 | 301 | 1047 | 952 | 1865 | |||||||
Comparable operating profit | 25 | 33 | 196 | 165 | 306 | |||||||
Net Assets | 3911 | 3884 | ||||||||||
Comparable RONA | 82 | |||||||||||
Gross Investments | 72 | 59 | 130 | 121 | 314 |
Russia
Q2 Russia
Distribution
Q2 Distribution
Markets
Q2 Electricity Sales
Q2 Income statement
Q2 Cash flow statement
Key ratios
Q2 lsquo11
Debt maturity profile
per 30 June 2011 per 31 Dec 2010
Average interest rate (incl swaps and forwards)4435
Portion of floating fixed debt 47 53 49 51
Strong financial position
Return on capital employed
12
Return on shareholders equity
14
Net debtEBITDA
around 30
138
191
28
Fortumrsquos financial targets
LTM in Q22011
Good liquidity ndash committed credit lines total EUR 27 billion
Comparable net debtEBITDA
Outlook
Q2 Summary
Outlook
Outlook
(Q1 70 at EUR 44MWh)
(Q1 45 at EUR 45MWh)
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007
2008
2009
2010
2011
2012
0
10
20
30
40
50
60
70
80
90
100
110
Spot prices
Forward prices
CO2-free and energy-efficient solutions important
Create solid earnings
growth in Russia
Leverage the strong
Nordic core
Build platform for
future growth
Competence in CO2-free hydro nuclear and energy efficient CHP production
and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -
Fortumrsquos strategy remains intact
MEURII2011II2010I-II2011I-II2010LTM
Sales1833275569641 390
Comparable operating profit101021-335
Net Assets7759
Comparable RONA 341
Gross Investments10404
MEURII2011II2010I-II2011I-II2010LTM
Sales2152005264801 009
Comparable operating profit6053184155336
Net Assets3 4873 482
Comparable RONA 99
Gross Investments62479676233
0
250
500
750
1000
1250
1500
1750
20112012201320142015201620172018201920202021+
BondsFinancial institutionsOther long-term debtCPsOther short-term debt
MEURII2011II2010I-II2011I-II2010LTM
Sales195169490413881
Comparable operating profit21-955756
Net Assets3 0512 690
Comparable RONA 34
Gross Investments192167267258608
MEURII2011II2010I-II2011I-II2010LTM
Sales5745971 2671 3662 603
Comparable operating profit2572715826951 185
Net Assets5 9985 726
Comparable RONA 198
Gross Investments36226955136
MEURII2011II2010I-II2011I-II20102010LTM
Sales1 316
1 2953 3503 2426 296
6 404
Expenses-968-956-2 353-2 252-4 463-4 564
Comparable operating profit3483399979901 8331 840
Other items affecting comparability2611251285-125302
Operating profit6093511 5091 0751 7082 142
Share of profit of associates and jvs1515743162105
Financial expenses net-72-34-127-61-155-221
Profit before taxes5523321 4561 0451 6152 026
Income tax expense-74-61-232-191-261-302
Net profit for the period4782711 2248541 3541 724
Non-controlling interests6874325496
EPS basic (EUR)053030129093146183
EPS diluted (EUR)053030129093146183
Spot price for power in NordPool power exchange
448
459
662
523
621
0
12
24
36
48
60
72
Q22010Q32010Q42010Q12011Q22011
eurMWh
Powers Nordic power price
447
469
488
479
474
0
10
20
30
40
50
60
Q22010Q32010Q42010Q12011Q22011
eurMWh
MEURII2011II2010I-II2011I-II20102010LTM
Operating profit before depreciations7644901 8131 3512 2712 733
Non-cash flow items and divesting activities
-299-6-569-73124-372
Financial items and fx gainslosses
12-146-290-323-641-608
Taxes
-144-73-258-155-355-458
Funds from operations (FFO)
3332656968001 3991 295
Change in working capital
771571681433863
Total net cash from operating activities4104228649431 4371 358
Paid capital expenditures-297-263-503-486-1 134-1 151
Acquisition of shares-1-1-20-1-28-47
Other investing activities331-165417260529
Cash flow before financing activities443142882528335689
MEURII2011II2010I-II2011I-II2010LTM
Sales3223011 0479521 865
Comparable operating profit2533196165306
Net Assets3 9113 884
Comparable RONA 82
Gross Investments7259130121314
MEUR
II2011II2010II2011II2010I-II2011I-II2010I-II2011I-II2010
Power257271271280582695760747
Heat25332535196165290194
Russia21-921-95575523
Distribution605325253184155377166
Electricity Sales1010232321-33-6
Other-25-1917-31-41-2924-49
Total3483396093519979901 5091 075
Comparable operating profit
Reported operating profit
Comparable operating profit
Reported operating profit
Spot price for power (market price) Urals hub
770
935
817
950
954
0
200
400
600
800
1 000
1 200
Q22010Q32010Q42010Q12011Q22011
RUBMWh
Achieved power price for OAO Fortum
256
288
305
292
290
0
6
12
18
24
30
36
Q22010Q32010Q42010Q12011Q22011
eurMWh
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
MEURLTM20102009
EBITDA2 7332 2712 292
Comparable EBITDA2 4312 3962 398
Interest-bearing net debt6 7836 8265 969
Net debtEBITDA253026
Comparable Net debtEBITDA282825
Return on capital employed ()138116121
Return on shareholders equity ()191157160
) as of 30 June 2011
MEUR | |||
2011 | 231 | ||
2012 | 668 | ||
2013 | 639 | ||
2014 | 1223 | ||
2015 | 1051 | ||
2016 | 879 | ||
2017 | 270 | ||
2018 | 190 | ||
2019 | 840 | ||
2020 | 73 | ||
2021+ | 1530 |
MEUR | LTM | 2010 | 2009 | 2008 | 2006 | 2005 | |||||||
EBITDA | 2733 | 2271 | 2292 | 2478 | 1884 | ||||||||
Comparable EBITDA | 2431 | 2396 | 2398 | 1151 | 1271 | ||||||||
Interest-bearing net debt | 6 783 | 6826 | 5969 | 6179 | 4345 | 3158 | |||||||
Net debtEBITDA | 25 | 30 | 26 | 25 | 8161 | ||||||||
Comparable Net debtEBITDA | 28 | 28 | 25 | 16839 | 15130 | ||||||||
23 | 18 | ||||||||||||
Return on capital employed () | 138 | 116 | 121 | 150 | 134 | 135 | |||||||
Return on shareholders equity () | 191 | 157 | 160 | 187 | 144 | 135 | |||||||
) as of 30 June 2011 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | |||||||||||
Operating profit before depreciations | 764 | 490 | 1813 | 1351 | 2271 | 2733 | 2478 | 1663 | 2370 | 0 | |||||||||||
Non-cash flow items and divesting activities | -299 | -6 | -569 | -73 | 124 | -372 | -275 | -268 | -56 | 0 | |||||||||||
Financial items and fx gainslosses | 12 | -146 | -290 | -323 | -641 | -608 | 233 | ||||||||||||||
Taxes | -144 | -73 | -258 | -155 | -355 | -458 | -332 | -231 | -534 | 0 | |||||||||||
Funds from operations (FFO) | 333 | 265 | 696 | 800 | 1399 | 1295 | 2104 | 1164 | 1780 | 0 | |||||||||||
Change in working capital | 77 | 157 | 168 | 143 | 38 | 63 | -102 | 161 | 5 | 0 | |||||||||||
Total net cash from operating activities | 410 | 422 | 864 | 943 | 1437 | 1358 | 2002 | 1325 | 1785 | 0 | |||||||||||
Paid capital expenditures | -297 | -263 | -503 | -486 | -1134 | -1151 | -1018 | -341 | -931 | 0 | |||||||||||
Acquisition of shares | -1 | -1 | -20 | -1 | -28 | -47 | -1243 | -257 | -1243 | 0 | |||||||||||
Other investing activities | 331 | -16 | 541 | 72 | 60 | 529 | -21 | 258 | -34 | 0 | |||||||||||
Cash flow before financing activities | 443 | 142 | 882 | 528 | 335 | 689 | -280 | 985 | -423 | 0 |
MEUR | Q1-Q300 | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | 2004 | ||||||||||||||||||
Sales | 7732 | 1316 | 1295 | 3350 | 3242 | 6296 | 6404 | 5636 | 3159 | 5354 | 0 | 3835 | ||||||||||||||||||
Expenses | -7109 | -968 | -956 | -2353 | -2252 | -4463 | -4564 | -3673 | -1832 | -3482 | 0 | -2640 | ||||||||||||||||||
Comparable operating profit | 623 | 348 | 339 | 997 | 990 | 1833 | 1840 | 1963 | 1327 | 1872 | 0 | 1195 | ||||||||||||||||||
Other items affecting comparability | 261 | 12 | 512 | 85 | -125 | 302 | ||||||||||||||||||||||||
Operating profit | 609 | 351 | 1509 | 1075 | 1708 | 2142 | ||||||||||||||||||||||||
Share of profit of associates and jvs | 15 | 15 | 74 | 31 | 62 | 105 | 126 | 223 | 96 | 0 | 12 | |||||||||||||||||||
Financial expenses net | -209 | -72 | -34 | -127 | -61 | -155 | -221 | -239 | -117 | -222 | 0 | -245 | ||||||||||||||||||
Profit before taxes | 0 | 552 | 332 | 1456 | 1045 | 1615 | 2026 | 1850 | 1433 | 1746 | 0 | 0 | ||||||||||||||||||
Income tax expense | -83 | -74 | -61 | -232 | -191 | -261 | -302 | -254 | -218 | -364 | 0 | -259 | ||||||||||||||||||
Net profit for the period | -26 | 478 | 271 | 1224 | 854 | 1354 | 1724 | 1596 | 1215 | 1382 | 0 | 0 | ||||||||||||||||||
Non-controlling interests | 6 | 8 | 74 | 32 | 54 | 96 | 54 | 31 | 35 | 0 | 33 | |||||||||||||||||||
EPS basic (EUR) | 039 | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 148 | ||||||||||||||||||
EPS diluted (EUR) | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 079 | |||||||||||||||||||
069 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 183 | 327 | 556 | 964 | 1390 | |||||||
Comparable operating profit | 10 | 10 | 21 | -3 | 35 | |||||||
Net Assets | 77 | 59 | ||||||||||
Comparable RONA | 341 | |||||||||||
Gross Investments | 1 | 0 | 4 | 0 | 4 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 215 | 200 | 526 | 480 | 1009 | |||||||
Comparable operating profit | 60 | 53 | 184 | 155 | 336 | |||||||
Net Assets | 3487 | 3482 | ||||||||||
Comparable RONA | 99 | |||||||||||
Gross Investments | 62 | 47 | 96 | 76 | 233 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 195 | 169 | 490 | 413 | 881 | |||||||
Comparable operating profit | 21 | -9 | 55 | 7 | 56 | |||||||
Net Assets | 3051 | 2690 | ||||||||||
Comparable RONA | 34 | |||||||||||
Gross Investments | 192 | 167 | 267 | 258 | 608 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 322 | 301 | 1047 | 952 | 1865 | |||||||
Comparable operating profit | 25 | 33 | 196 | 165 | 306 | |||||||
Net Assets | 3911 | 3884 | ||||||||||
Comparable RONA | 82 | |||||||||||
Gross Investments | 72 | 59 | 130 | 121 | 314 |
Russia
Q2 Russia
Distribution
Q2 Distribution
Markets
Q2 Electricity Sales
Q2 Income statement
Q2 Cash flow statement
Key ratios
Q2 lsquo11
Debt maturity profile
per 30 June 2011 per 31 Dec 2010
Average interest rate (incl swaps and forwards)4435
Portion of floating fixed debt 47 53 49 51
Strong financial position
Return on capital employed
12
Return on shareholders equity
14
Net debtEBITDA
around 30
138
191
28
Fortumrsquos financial targets
LTM in Q22011
Good liquidity ndash committed credit lines total EUR 27 billion
Comparable net debtEBITDA
Outlook
Q2 Summary
Outlook
Outlook
(Q1 70 at EUR 44MWh)
(Q1 45 at EUR 45MWh)
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007
2008
2009
2010
2011
2012
0
10
20
30
40
50
60
70
80
90
100
110
Spot prices
Forward prices
CO2-free and energy-efficient solutions important
Create solid earnings
growth in Russia
Leverage the strong
Nordic core
Build platform for
future growth
Competence in CO2-free hydro nuclear and energy efficient CHP production
and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -
Fortumrsquos strategy remains intact
MEURII2011II2010I-II2011I-II2010LTM
Sales1833275569641 390
Comparable operating profit101021-335
Net Assets7759
Comparable RONA 341
Gross Investments10404
MEURII2011II2010I-II2011I-II2010LTM
Sales2152005264801 009
Comparable operating profit6053184155336
Net Assets3 4873 482
Comparable RONA 99
Gross Investments62479676233
0
250
500
750
1000
1250
1500
1750
20112012201320142015201620172018201920202021+
BondsFinancial institutionsOther long-term debtCPsOther short-term debt
MEURII2011II2010I-II2011I-II2010LTM
Sales195169490413881
Comparable operating profit21-955756
Net Assets3 0512 690
Comparable RONA 34
Gross Investments192167267258608
MEURII2011II2010I-II2011I-II2010LTM
Sales5745971 2671 3662 603
Comparable operating profit2572715826951 185
Net Assets5 9985 726
Comparable RONA 198
Gross Investments36226955136
MEURII2011II2010I-II2011I-II20102010LTM
Sales1 316
1 2953 3503 2426 296
6 404
Expenses-968-956-2 353-2 252-4 463-4 564
Comparable operating profit3483399979901 8331 840
Other items affecting comparability2611251285-125302
Operating profit6093511 5091 0751 7082 142
Share of profit of associates and jvs1515743162105
Financial expenses net-72-34-127-61-155-221
Profit before taxes5523321 4561 0451 6152 026
Income tax expense-74-61-232-191-261-302
Net profit for the period4782711 2248541 3541 724
Non-controlling interests6874325496
EPS basic (EUR)053030129093146183
EPS diluted (EUR)053030129093146183
Spot price for power in NordPool power exchange
448
459
662
523
621
0
12
24
36
48
60
72
Q22010Q32010Q42010Q12011Q22011
eurMWh
Powers Nordic power price
447
469
488
479
474
0
10
20
30
40
50
60
Q22010Q32010Q42010Q12011Q22011
eurMWh
MEURII2011II2010I-II2011I-II20102010LTM
Operating profit before depreciations7644901 8131 3512 2712 733
Non-cash flow items and divesting activities
-299-6-569-73124-372
Financial items and fx gainslosses
12-146-290-323-641-608
Taxes
-144-73-258-155-355-458
Funds from operations (FFO)
3332656968001 3991 295
Change in working capital
771571681433863
Total net cash from operating activities4104228649431 4371 358
Paid capital expenditures-297-263-503-486-1 134-1 151
Acquisition of shares-1-1-20-1-28-47
Other investing activities331-165417260529
Cash flow before financing activities443142882528335689
MEURII2011II2010I-II2011I-II2010LTM
Sales3223011 0479521 865
Comparable operating profit2533196165306
Net Assets3 9113 884
Comparable RONA 82
Gross Investments7259130121314
MEUR
II2011II2010II2011II2010I-II2011I-II2010I-II2011I-II2010
Power257271271280582695760747
Heat25332535196165290194
Russia21-921-95575523
Distribution605325253184155377166
Electricity Sales1010232321-33-6
Other-25-1917-31-41-2924-49
Total3483396093519979901 5091 075
Comparable operating profit
Reported operating profit
Comparable operating profit
Reported operating profit
Spot price for power (market price) Urals hub
770
935
817
950
954
0
200
400
600
800
1 000
1 200
Q22010Q32010Q42010Q12011Q22011
RUBMWh
Achieved power price for OAO Fortum
256
288
305
292
290
0
6
12
18
24
30
36
Q22010Q32010Q42010Q12011Q22011
eurMWh
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
MEURLTM20102009
EBITDA2 7332 2712 292
Comparable EBITDA2 4312 3962 398
Interest-bearing net debt6 7836 8265 969
Net debtEBITDA253026
Comparable Net debtEBITDA282825
Return on capital employed ()138116121
Return on shareholders equity ()191157160
) as of 30 June 2011
MEUR | |||
2011 | 231 | ||
2012 | 668 | ||
2013 | 639 | ||
2014 | 1223 | ||
2015 | 1051 | ||
2016 | 879 | ||
2017 | 270 | ||
2018 | 190 | ||
2019 | 840 | ||
2020 | 73 | ||
2021+ | 1530 |
MEUR | LTM | 2010 | 2009 | 2008 | 2006 | 2005 | |||||||
EBITDA | 2733 | 2271 | 2292 | 2478 | 1884 | ||||||||
Comparable EBITDA | 2431 | 2396 | 2398 | 1151 | 1271 | ||||||||
Interest-bearing net debt | 6 783 | 6826 | 5969 | 6179 | 4345 | 3158 | |||||||
Net debtEBITDA | 25 | 30 | 26 | 25 | 8161 | ||||||||
Comparable Net debtEBITDA | 28 | 28 | 25 | 16839 | 15130 | ||||||||
23 | 18 | ||||||||||||
Return on capital employed () | 138 | 116 | 121 | 150 | 134 | 135 | |||||||
Return on shareholders equity () | 191 | 157 | 160 | 187 | 144 | 135 | |||||||
) as of 30 June 2011 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | |||||||||||
Operating profit before depreciations | 764 | 490 | 1813 | 1351 | 2271 | 2733 | 2478 | 1663 | 2370 | 0 | |||||||||||
Non-cash flow items and divesting activities | -299 | -6 | -569 | -73 | 124 | -372 | -275 | -268 | -56 | 0 | |||||||||||
Financial items and fx gainslosses | 12 | -146 | -290 | -323 | -641 | -608 | 233 | ||||||||||||||
Taxes | -144 | -73 | -258 | -155 | -355 | -458 | -332 | -231 | -534 | 0 | |||||||||||
Funds from operations (FFO) | 333 | 265 | 696 | 800 | 1399 | 1295 | 2104 | 1164 | 1780 | 0 | |||||||||||
Change in working capital | 77 | 157 | 168 | 143 | 38 | 63 | -102 | 161 | 5 | 0 | |||||||||||
Total net cash from operating activities | 410 | 422 | 864 | 943 | 1437 | 1358 | 2002 | 1325 | 1785 | 0 | |||||||||||
Paid capital expenditures | -297 | -263 | -503 | -486 | -1134 | -1151 | -1018 | -341 | -931 | 0 | |||||||||||
Acquisition of shares | -1 | -1 | -20 | -1 | -28 | -47 | -1243 | -257 | -1243 | 0 | |||||||||||
Other investing activities | 331 | -16 | 541 | 72 | 60 | 529 | -21 | 258 | -34 | 0 | |||||||||||
Cash flow before financing activities | 443 | 142 | 882 | 528 | 335 | 689 | -280 | 985 | -423 | 0 |
MEUR | Q1-Q300 | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | 2004 | ||||||||||||||||||
Sales | 7732 | 1316 | 1295 | 3350 | 3242 | 6296 | 6404 | 5636 | 3159 | 5354 | 0 | 3835 | ||||||||||||||||||
Expenses | -7109 | -968 | -956 | -2353 | -2252 | -4463 | -4564 | -3673 | -1832 | -3482 | 0 | -2640 | ||||||||||||||||||
Comparable operating profit | 623 | 348 | 339 | 997 | 990 | 1833 | 1840 | 1963 | 1327 | 1872 | 0 | 1195 | ||||||||||||||||||
Other items affecting comparability | 261 | 12 | 512 | 85 | -125 | 302 | ||||||||||||||||||||||||
Operating profit | 609 | 351 | 1509 | 1075 | 1708 | 2142 | ||||||||||||||||||||||||
Share of profit of associates and jvs | 15 | 15 | 74 | 31 | 62 | 105 | 126 | 223 | 96 | 0 | 12 | |||||||||||||||||||
Financial expenses net | -209 | -72 | -34 | -127 | -61 | -155 | -221 | -239 | -117 | -222 | 0 | -245 | ||||||||||||||||||
Profit before taxes | 0 | 552 | 332 | 1456 | 1045 | 1615 | 2026 | 1850 | 1433 | 1746 | 0 | 0 | ||||||||||||||||||
Income tax expense | -83 | -74 | -61 | -232 | -191 | -261 | -302 | -254 | -218 | -364 | 0 | -259 | ||||||||||||||||||
Net profit for the period | -26 | 478 | 271 | 1224 | 854 | 1354 | 1724 | 1596 | 1215 | 1382 | 0 | 0 | ||||||||||||||||||
Non-controlling interests | 6 | 8 | 74 | 32 | 54 | 96 | 54 | 31 | 35 | 0 | 33 | |||||||||||||||||||
EPS basic (EUR) | 039 | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 148 | ||||||||||||||||||
EPS diluted (EUR) | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 079 | |||||||||||||||||||
069 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 183 | 327 | 556 | 964 | 1390 | |||||||
Comparable operating profit | 10 | 10 | 21 | -3 | 35 | |||||||
Net Assets | 77 | 59 | ||||||||||
Comparable RONA | 341 | |||||||||||
Gross Investments | 1 | 0 | 4 | 0 | 4 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 215 | 200 | 526 | 480 | 1009 | |||||||
Comparable operating profit | 60 | 53 | 184 | 155 | 336 | |||||||
Net Assets | 3487 | 3482 | ||||||||||
Comparable RONA | 99 | |||||||||||
Gross Investments | 62 | 47 | 96 | 76 | 233 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 195 | 169 | 490 | 413 | 881 | |||||||
Comparable operating profit | 21 | -9 | 55 | 7 | 56 | |||||||
Net Assets | 3051 | 2690 | ||||||||||
Comparable RONA | 34 | |||||||||||
Gross Investments | 192 | 167 | 267 | 258 | 608 |
Russia
Q2 Russia
Distribution
Q2 Distribution
Markets
Q2 Electricity Sales
Q2 Income statement
Q2 Cash flow statement
Key ratios
Q2 lsquo11
Debt maturity profile
per 30 June 2011 per 31 Dec 2010
Average interest rate (incl swaps and forwards)4435
Portion of floating fixed debt 47 53 49 51
Strong financial position
Return on capital employed
12
Return on shareholders equity
14
Net debtEBITDA
around 30
138
191
28
Fortumrsquos financial targets
LTM in Q22011
Good liquidity ndash committed credit lines total EUR 27 billion
Comparable net debtEBITDA
Outlook
Q2 Summary
Outlook
Outlook
(Q1 70 at EUR 44MWh)
(Q1 45 at EUR 45MWh)
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007
2008
2009
2010
2011
2012
0
10
20
30
40
50
60
70
80
90
100
110
Spot prices
Forward prices
CO2-free and energy-efficient solutions important
Create solid earnings
growth in Russia
Leverage the strong
Nordic core
Build platform for
future growth
Competence in CO2-free hydro nuclear and energy efficient CHP production
and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -
Fortumrsquos strategy remains intact
MEURII2011II2010I-II2011I-II2010LTM
Sales1833275569641 390
Comparable operating profit101021-335
Net Assets7759
Comparable RONA 341
Gross Investments10404
MEURII2011II2010I-II2011I-II2010LTM
Sales2152005264801 009
Comparable operating profit6053184155336
Net Assets3 4873 482
Comparable RONA 99
Gross Investments62479676233
0
250
500
750
1000
1250
1500
1750
20112012201320142015201620172018201920202021+
BondsFinancial institutionsOther long-term debtCPsOther short-term debt
MEURII2011II2010I-II2011I-II2010LTM
Sales195169490413881
Comparable operating profit21-955756
Net Assets3 0512 690
Comparable RONA 34
Gross Investments192167267258608
MEURII2011II2010I-II2011I-II2010LTM
Sales5745971 2671 3662 603
Comparable operating profit2572715826951 185
Net Assets5 9985 726
Comparable RONA 198
Gross Investments36226955136
MEURII2011II2010I-II2011I-II20102010LTM
Sales1 316
1 2953 3503 2426 296
6 404
Expenses-968-956-2 353-2 252-4 463-4 564
Comparable operating profit3483399979901 8331 840
Other items affecting comparability2611251285-125302
Operating profit6093511 5091 0751 7082 142
Share of profit of associates and jvs1515743162105
Financial expenses net-72-34-127-61-155-221
Profit before taxes5523321 4561 0451 6152 026
Income tax expense-74-61-232-191-261-302
Net profit for the period4782711 2248541 3541 724
Non-controlling interests6874325496
EPS basic (EUR)053030129093146183
EPS diluted (EUR)053030129093146183
Spot price for power in NordPool power exchange
448
459
662
523
621
0
12
24
36
48
60
72
Q22010Q32010Q42010Q12011Q22011
eurMWh
Powers Nordic power price
447
469
488
479
474
0
10
20
30
40
50
60
Q22010Q32010Q42010Q12011Q22011
eurMWh
MEURII2011II2010I-II2011I-II20102010LTM
Operating profit before depreciations7644901 8131 3512 2712 733
Non-cash flow items and divesting activities
-299-6-569-73124-372
Financial items and fx gainslosses
12-146-290-323-641-608
Taxes
-144-73-258-155-355-458
Funds from operations (FFO)
3332656968001 3991 295
Change in working capital
771571681433863
Total net cash from operating activities4104228649431 4371 358
Paid capital expenditures-297-263-503-486-1 134-1 151
Acquisition of shares-1-1-20-1-28-47
Other investing activities331-165417260529
Cash flow before financing activities443142882528335689
MEURII2011II2010I-II2011I-II2010LTM
Sales3223011 0479521 865
Comparable operating profit2533196165306
Net Assets3 9113 884
Comparable RONA 82
Gross Investments7259130121314
MEUR
II2011II2010II2011II2010I-II2011I-II2010I-II2011I-II2010
Power257271271280582695760747
Heat25332535196165290194
Russia21-921-95575523
Distribution605325253184155377166
Electricity Sales1010232321-33-6
Other-25-1917-31-41-2924-49
Total3483396093519979901 5091 075
Comparable operating profit
Reported operating profit
Comparable operating profit
Reported operating profit
Spot price for power (market price) Urals hub
770
935
817
950
954
0
200
400
600
800
1 000
1 200
Q22010Q32010Q42010Q12011Q22011
RUBMWh
Achieved power price for OAO Fortum
256
288
305
292
290
0
6
12
18
24
30
36
Q22010Q32010Q42010Q12011Q22011
eurMWh
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
MEURLTM20102009
EBITDA2 7332 2712 292
Comparable EBITDA2 4312 3962 398
Interest-bearing net debt6 7836 8265 969
Net debtEBITDA253026
Comparable Net debtEBITDA282825
Return on capital employed ()138116121
Return on shareholders equity ()191157160
) as of 30 June 2011
MEUR | |||
2011 | 231 | ||
2012 | 668 | ||
2013 | 639 | ||
2014 | 1223 | ||
2015 | 1051 | ||
2016 | 879 | ||
2017 | 270 | ||
2018 | 190 | ||
2019 | 840 | ||
2020 | 73 | ||
2021+ | 1530 |
MEUR | LTM | 2010 | 2009 | 2008 | 2006 | 2005 | |||||||
EBITDA | 2733 | 2271 | 2292 | 2478 | 1884 | ||||||||
Comparable EBITDA | 2431 | 2396 | 2398 | 1151 | 1271 | ||||||||
Interest-bearing net debt | 6 783 | 6826 | 5969 | 6179 | 4345 | 3158 | |||||||
Net debtEBITDA | 25 | 30 | 26 | 25 | 8161 | ||||||||
Comparable Net debtEBITDA | 28 | 28 | 25 | 16839 | 15130 | ||||||||
23 | 18 | ||||||||||||
Return on capital employed () | 138 | 116 | 121 | 150 | 134 | 135 | |||||||
Return on shareholders equity () | 191 | 157 | 160 | 187 | 144 | 135 | |||||||
) as of 30 June 2011 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | |||||||||||
Operating profit before depreciations | 764 | 490 | 1813 | 1351 | 2271 | 2733 | 2478 | 1663 | 2370 | 0 | |||||||||||
Non-cash flow items and divesting activities | -299 | -6 | -569 | -73 | 124 | -372 | -275 | -268 | -56 | 0 | |||||||||||
Financial items and fx gainslosses | 12 | -146 | -290 | -323 | -641 | -608 | 233 | ||||||||||||||
Taxes | -144 | -73 | -258 | -155 | -355 | -458 | -332 | -231 | -534 | 0 | |||||||||||
Funds from operations (FFO) | 333 | 265 | 696 | 800 | 1399 | 1295 | 2104 | 1164 | 1780 | 0 | |||||||||||
Change in working capital | 77 | 157 | 168 | 143 | 38 | 63 | -102 | 161 | 5 | 0 | |||||||||||
Total net cash from operating activities | 410 | 422 | 864 | 943 | 1437 | 1358 | 2002 | 1325 | 1785 | 0 | |||||||||||
Paid capital expenditures | -297 | -263 | -503 | -486 | -1134 | -1151 | -1018 | -341 | -931 | 0 | |||||||||||
Acquisition of shares | -1 | -1 | -20 | -1 | -28 | -47 | -1243 | -257 | -1243 | 0 | |||||||||||
Other investing activities | 331 | -16 | 541 | 72 | 60 | 529 | -21 | 258 | -34 | 0 | |||||||||||
Cash flow before financing activities | 443 | 142 | 882 | 528 | 335 | 689 | -280 | 985 | -423 | 0 |
MEUR | Q1-Q300 | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | 2004 | ||||||||||||||||||
Sales | 7732 | 1316 | 1295 | 3350 | 3242 | 6296 | 6404 | 5636 | 3159 | 5354 | 0 | 3835 | ||||||||||||||||||
Expenses | -7109 | -968 | -956 | -2353 | -2252 | -4463 | -4564 | -3673 | -1832 | -3482 | 0 | -2640 | ||||||||||||||||||
Comparable operating profit | 623 | 348 | 339 | 997 | 990 | 1833 | 1840 | 1963 | 1327 | 1872 | 0 | 1195 | ||||||||||||||||||
Other items affecting comparability | 261 | 12 | 512 | 85 | -125 | 302 | ||||||||||||||||||||||||
Operating profit | 609 | 351 | 1509 | 1075 | 1708 | 2142 | ||||||||||||||||||||||||
Share of profit of associates and jvs | 15 | 15 | 74 | 31 | 62 | 105 | 126 | 223 | 96 | 0 | 12 | |||||||||||||||||||
Financial expenses net | -209 | -72 | -34 | -127 | -61 | -155 | -221 | -239 | -117 | -222 | 0 | -245 | ||||||||||||||||||
Profit before taxes | 0 | 552 | 332 | 1456 | 1045 | 1615 | 2026 | 1850 | 1433 | 1746 | 0 | 0 | ||||||||||||||||||
Income tax expense | -83 | -74 | -61 | -232 | -191 | -261 | -302 | -254 | -218 | -364 | 0 | -259 | ||||||||||||||||||
Net profit for the period | -26 | 478 | 271 | 1224 | 854 | 1354 | 1724 | 1596 | 1215 | 1382 | 0 | 0 | ||||||||||||||||||
Non-controlling interests | 6 | 8 | 74 | 32 | 54 | 96 | 54 | 31 | 35 | 0 | 33 | |||||||||||||||||||
EPS basic (EUR) | 039 | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 148 | ||||||||||||||||||
EPS diluted (EUR) | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 079 | |||||||||||||||||||
069 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 183 | 327 | 556 | 964 | 1390 | |||||||
Comparable operating profit | 10 | 10 | 21 | -3 | 35 | |||||||
Net Assets | 77 | 59 | ||||||||||
Comparable RONA | 341 | |||||||||||
Gross Investments | 1 | 0 | 4 | 0 | 4 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 215 | 200 | 526 | 480 | 1009 | |||||||
Comparable operating profit | 60 | 53 | 184 | 155 | 336 | |||||||
Net Assets | 3487 | 3482 | ||||||||||
Comparable RONA | 99 | |||||||||||
Gross Investments | 62 | 47 | 96 | 76 | 233 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 195 | 169 | 490 | 413 | 881 | |||||||
Comparable operating profit | 21 | -9 | 55 | 7 | 56 | |||||||
Net Assets | 3051 | 2690 | ||||||||||
Comparable RONA | 34 | |||||||||||
Gross Investments | 192 | 167 | 267 | 258 | 608 |
Distribution
Q2 Distribution
Markets
Q2 Electricity Sales
Q2 Income statement
Q2 Cash flow statement
Key ratios
Q2 lsquo11
Debt maturity profile
per 30 June 2011 per 31 Dec 2010
Average interest rate (incl swaps and forwards)4435
Portion of floating fixed debt 47 53 49 51
Strong financial position
Return on capital employed
12
Return on shareholders equity
14
Net debtEBITDA
around 30
138
191
28
Fortumrsquos financial targets
LTM in Q22011
Good liquidity ndash committed credit lines total EUR 27 billion
Comparable net debtEBITDA
Outlook
Q2 Summary
Outlook
Outlook
(Q1 70 at EUR 44MWh)
(Q1 45 at EUR 45MWh)
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007
2008
2009
2010
2011
2012
0
10
20
30
40
50
60
70
80
90
100
110
Spot prices
Forward prices
CO2-free and energy-efficient solutions important
Create solid earnings
growth in Russia
Leverage the strong
Nordic core
Build platform for
future growth
Competence in CO2-free hydro nuclear and energy efficient CHP production
and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -
Fortumrsquos strategy remains intact
MEURII2011II2010I-II2011I-II2010LTM
Sales1833275569641 390
Comparable operating profit101021-335
Net Assets7759
Comparable RONA 341
Gross Investments10404
MEURII2011II2010I-II2011I-II2010LTM
Sales2152005264801 009
Comparable operating profit6053184155336
Net Assets3 4873 482
Comparable RONA 99
Gross Investments62479676233
0
250
500
750
1000
1250
1500
1750
20112012201320142015201620172018201920202021+
BondsFinancial institutionsOther long-term debtCPsOther short-term debt
MEURII2011II2010I-II2011I-II2010LTM
Sales195169490413881
Comparable operating profit21-955756
Net Assets3 0512 690
Comparable RONA 34
Gross Investments192167267258608
MEURII2011II2010I-II2011I-II2010LTM
Sales5745971 2671 3662 603
Comparable operating profit2572715826951 185
Net Assets5 9985 726
Comparable RONA 198
Gross Investments36226955136
MEURII2011II2010I-II2011I-II20102010LTM
Sales1 316
1 2953 3503 2426 296
6 404
Expenses-968-956-2 353-2 252-4 463-4 564
Comparable operating profit3483399979901 8331 840
Other items affecting comparability2611251285-125302
Operating profit6093511 5091 0751 7082 142
Share of profit of associates and jvs1515743162105
Financial expenses net-72-34-127-61-155-221
Profit before taxes5523321 4561 0451 6152 026
Income tax expense-74-61-232-191-261-302
Net profit for the period4782711 2248541 3541 724
Non-controlling interests6874325496
EPS basic (EUR)053030129093146183
EPS diluted (EUR)053030129093146183
Spot price for power in NordPool power exchange
448
459
662
523
621
0
12
24
36
48
60
72
Q22010Q32010Q42010Q12011Q22011
eurMWh
Powers Nordic power price
447
469
488
479
474
0
10
20
30
40
50
60
Q22010Q32010Q42010Q12011Q22011
eurMWh
MEURII2011II2010I-II2011I-II20102010LTM
Operating profit before depreciations7644901 8131 3512 2712 733
Non-cash flow items and divesting activities
-299-6-569-73124-372
Financial items and fx gainslosses
12-146-290-323-641-608
Taxes
-144-73-258-155-355-458
Funds from operations (FFO)
3332656968001 3991 295
Change in working capital
771571681433863
Total net cash from operating activities4104228649431 4371 358
Paid capital expenditures-297-263-503-486-1 134-1 151
Acquisition of shares-1-1-20-1-28-47
Other investing activities331-165417260529
Cash flow before financing activities443142882528335689
MEURII2011II2010I-II2011I-II2010LTM
Sales3223011 0479521 865
Comparable operating profit2533196165306
Net Assets3 9113 884
Comparable RONA 82
Gross Investments7259130121314
MEUR
II2011II2010II2011II2010I-II2011I-II2010I-II2011I-II2010
Power257271271280582695760747
Heat25332535196165290194
Russia21-921-95575523
Distribution605325253184155377166
Electricity Sales1010232321-33-6
Other-25-1917-31-41-2924-49
Total3483396093519979901 5091 075
Comparable operating profit
Reported operating profit
Comparable operating profit
Reported operating profit
Spot price for power (market price) Urals hub
770
935
817
950
954
0
200
400
600
800
1 000
1 200
Q22010Q32010Q42010Q12011Q22011
RUBMWh
Achieved power price for OAO Fortum
256
288
305
292
290
0
6
12
18
24
30
36
Q22010Q32010Q42010Q12011Q22011
eurMWh
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
MEURLTM20102009
EBITDA2 7332 2712 292
Comparable EBITDA2 4312 3962 398
Interest-bearing net debt6 7836 8265 969
Net debtEBITDA253026
Comparable Net debtEBITDA282825
Return on capital employed ()138116121
Return on shareholders equity ()191157160
) as of 30 June 2011
MEUR | |||
2011 | 231 | ||
2012 | 668 | ||
2013 | 639 | ||
2014 | 1223 | ||
2015 | 1051 | ||
2016 | 879 | ||
2017 | 270 | ||
2018 | 190 | ||
2019 | 840 | ||
2020 | 73 | ||
2021+ | 1530 |
MEUR | LTM | 2010 | 2009 | 2008 | 2006 | 2005 | |||||||
EBITDA | 2733 | 2271 | 2292 | 2478 | 1884 | ||||||||
Comparable EBITDA | 2431 | 2396 | 2398 | 1151 | 1271 | ||||||||
Interest-bearing net debt | 6 783 | 6826 | 5969 | 6179 | 4345 | 3158 | |||||||
Net debtEBITDA | 25 | 30 | 26 | 25 | 8161 | ||||||||
Comparable Net debtEBITDA | 28 | 28 | 25 | 16839 | 15130 | ||||||||
23 | 18 | ||||||||||||
Return on capital employed () | 138 | 116 | 121 | 150 | 134 | 135 | |||||||
Return on shareholders equity () | 191 | 157 | 160 | 187 | 144 | 135 | |||||||
) as of 30 June 2011 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | |||||||||||
Operating profit before depreciations | 764 | 490 | 1813 | 1351 | 2271 | 2733 | 2478 | 1663 | 2370 | 0 | |||||||||||
Non-cash flow items and divesting activities | -299 | -6 | -569 | -73 | 124 | -372 | -275 | -268 | -56 | 0 | |||||||||||
Financial items and fx gainslosses | 12 | -146 | -290 | -323 | -641 | -608 | 233 | ||||||||||||||
Taxes | -144 | -73 | -258 | -155 | -355 | -458 | -332 | -231 | -534 | 0 | |||||||||||
Funds from operations (FFO) | 333 | 265 | 696 | 800 | 1399 | 1295 | 2104 | 1164 | 1780 | 0 | |||||||||||
Change in working capital | 77 | 157 | 168 | 143 | 38 | 63 | -102 | 161 | 5 | 0 | |||||||||||
Total net cash from operating activities | 410 | 422 | 864 | 943 | 1437 | 1358 | 2002 | 1325 | 1785 | 0 | |||||||||||
Paid capital expenditures | -297 | -263 | -503 | -486 | -1134 | -1151 | -1018 | -341 | -931 | 0 | |||||||||||
Acquisition of shares | -1 | -1 | -20 | -1 | -28 | -47 | -1243 | -257 | -1243 | 0 | |||||||||||
Other investing activities | 331 | -16 | 541 | 72 | 60 | 529 | -21 | 258 | -34 | 0 | |||||||||||
Cash flow before financing activities | 443 | 142 | 882 | 528 | 335 | 689 | -280 | 985 | -423 | 0 |
MEUR | Q1-Q300 | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | 2004 | ||||||||||||||||||
Sales | 7732 | 1316 | 1295 | 3350 | 3242 | 6296 | 6404 | 5636 | 3159 | 5354 | 0 | 3835 | ||||||||||||||||||
Expenses | -7109 | -968 | -956 | -2353 | -2252 | -4463 | -4564 | -3673 | -1832 | -3482 | 0 | -2640 | ||||||||||||||||||
Comparable operating profit | 623 | 348 | 339 | 997 | 990 | 1833 | 1840 | 1963 | 1327 | 1872 | 0 | 1195 | ||||||||||||||||||
Other items affecting comparability | 261 | 12 | 512 | 85 | -125 | 302 | ||||||||||||||||||||||||
Operating profit | 609 | 351 | 1509 | 1075 | 1708 | 2142 | ||||||||||||||||||||||||
Share of profit of associates and jvs | 15 | 15 | 74 | 31 | 62 | 105 | 126 | 223 | 96 | 0 | 12 | |||||||||||||||||||
Financial expenses net | -209 | -72 | -34 | -127 | -61 | -155 | -221 | -239 | -117 | -222 | 0 | -245 | ||||||||||||||||||
Profit before taxes | 0 | 552 | 332 | 1456 | 1045 | 1615 | 2026 | 1850 | 1433 | 1746 | 0 | 0 | ||||||||||||||||||
Income tax expense | -83 | -74 | -61 | -232 | -191 | -261 | -302 | -254 | -218 | -364 | 0 | -259 | ||||||||||||||||||
Net profit for the period | -26 | 478 | 271 | 1224 | 854 | 1354 | 1724 | 1596 | 1215 | 1382 | 0 | 0 | ||||||||||||||||||
Non-controlling interests | 6 | 8 | 74 | 32 | 54 | 96 | 54 | 31 | 35 | 0 | 33 | |||||||||||||||||||
EPS basic (EUR) | 039 | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 148 | ||||||||||||||||||
EPS diluted (EUR) | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 079 | |||||||||||||||||||
069 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 183 | 327 | 556 | 964 | 1390 | |||||||
Comparable operating profit | 10 | 10 | 21 | -3 | 35 | |||||||
Net Assets | 77 | 59 | ||||||||||
Comparable RONA | 341 | |||||||||||
Gross Investments | 1 | 0 | 4 | 0 | 4 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 215 | 200 | 526 | 480 | 1009 | |||||||
Comparable operating profit | 60 | 53 | 184 | 155 | 336 | |||||||
Net Assets | 3487 | 3482 | ||||||||||
Comparable RONA | 99 | |||||||||||
Gross Investments | 62 | 47 | 96 | 76 | 233 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 195 | 169 | 490 | 413 | 881 | |||||||
Comparable operating profit | 21 | -9 | 55 | 7 | 56 | |||||||
Net Assets | 3051 | 2690 | ||||||||||
Comparable RONA | 34 | |||||||||||
Gross Investments | 192 | 167 | 267 | 258 | 608 |
Distribution
Q2 Distribution
Markets
Q2 Electricity Sales
Q2 Income statement
Q2 Cash flow statement
Key ratios
Q2 lsquo11
Debt maturity profile
per 30 June 2011 per 31 Dec 2010
Average interest rate (incl swaps and forwards)4435
Portion of floating fixed debt 47 53 49 51
Strong financial position
Return on capital employed
12
Return on shareholders equity
14
Net debtEBITDA
around 30
138
191
28
Fortumrsquos financial targets
LTM in Q22011
Good liquidity ndash committed credit lines total EUR 27 billion
Comparable net debtEBITDA
Outlook
Q2 Summary
Outlook
Outlook
(Q1 70 at EUR 44MWh)
(Q1 45 at EUR 45MWh)
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007
2008
2009
2010
2011
2012
0
10
20
30
40
50
60
70
80
90
100
110
Spot prices
Forward prices
CO2-free and energy-efficient solutions important
Create solid earnings
growth in Russia
Leverage the strong
Nordic core
Build platform for
future growth
Competence in CO2-free hydro nuclear and energy efficient CHP production
and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -
Fortumrsquos strategy remains intact
MEURII2011II2010I-II2011I-II2010LTM
Sales1833275569641 390
Comparable operating profit101021-335
Net Assets7759
Comparable RONA 341
Gross Investments10404
MEURII2011II2010I-II2011I-II2010LTM
Sales2152005264801 009
Comparable operating profit6053184155336
Net Assets3 4873 482
Comparable RONA 99
Gross Investments62479676233
0
250
500
750
1000
1250
1500
1750
20112012201320142015201620172018201920202021+
BondsFinancial institutionsOther long-term debtCPsOther short-term debt
MEURII2011II2010I-II2011I-II2010LTM
Sales195169490413881
Comparable operating profit21-955756
Net Assets3 0512 690
Comparable RONA 34
Gross Investments192167267258608
MEURII2011II2010I-II2011I-II2010LTM
Sales5745971 2671 3662 603
Comparable operating profit2572715826951 185
Net Assets5 9985 726
Comparable RONA 198
Gross Investments36226955136
MEURII2011II2010I-II2011I-II20102010LTM
Sales1 316
1 2953 3503 2426 296
6 404
Expenses-968-956-2 353-2 252-4 463-4 564
Comparable operating profit3483399979901 8331 840
Other items affecting comparability2611251285-125302
Operating profit6093511 5091 0751 7082 142
Share of profit of associates and jvs1515743162105
Financial expenses net-72-34-127-61-155-221
Profit before taxes5523321 4561 0451 6152 026
Income tax expense-74-61-232-191-261-302
Net profit for the period4782711 2248541 3541 724
Non-controlling interests6874325496
EPS basic (EUR)053030129093146183
EPS diluted (EUR)053030129093146183
Spot price for power in NordPool power exchange
448
459
662
523
621
0
12
24
36
48
60
72
Q22010Q32010Q42010Q12011Q22011
eurMWh
Powers Nordic power price
447
469
488
479
474
0
10
20
30
40
50
60
Q22010Q32010Q42010Q12011Q22011
eurMWh
MEURII2011II2010I-II2011I-II20102010LTM
Operating profit before depreciations7644901 8131 3512 2712 733
Non-cash flow items and divesting activities
-299-6-569-73124-372
Financial items and fx gainslosses
12-146-290-323-641-608
Taxes
-144-73-258-155-355-458
Funds from operations (FFO)
3332656968001 3991 295
Change in working capital
771571681433863
Total net cash from operating activities4104228649431 4371 358
Paid capital expenditures-297-263-503-486-1 134-1 151
Acquisition of shares-1-1-20-1-28-47
Other investing activities331-165417260529
Cash flow before financing activities443142882528335689
MEURII2011II2010I-II2011I-II2010LTM
Sales3223011 0479521 865
Comparable operating profit2533196165306
Net Assets3 9113 884
Comparable RONA 82
Gross Investments7259130121314
MEUR
II2011II2010II2011II2010I-II2011I-II2010I-II2011I-II2010
Power257271271280582695760747
Heat25332535196165290194
Russia21-921-95575523
Distribution605325253184155377166
Electricity Sales1010232321-33-6
Other-25-1917-31-41-2924-49
Total3483396093519979901 5091 075
Comparable operating profit
Reported operating profit
Comparable operating profit
Reported operating profit
Spot price for power (market price) Urals hub
770
935
817
950
954
0
200
400
600
800
1 000
1 200
Q22010Q32010Q42010Q12011Q22011
RUBMWh
Achieved power price for OAO Fortum
256
288
305
292
290
0
6
12
18
24
30
36
Q22010Q32010Q42010Q12011Q22011
eurMWh
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
MEURLTM20102009
EBITDA2 7332 2712 292
Comparable EBITDA2 4312 3962 398
Interest-bearing net debt6 7836 8265 969
Net debtEBITDA253026
Comparable Net debtEBITDA282825
Return on capital employed ()138116121
Return on shareholders equity ()191157160
) as of 30 June 2011
MEUR | |||
2011 | 231 | ||
2012 | 668 | ||
2013 | 639 | ||
2014 | 1223 | ||
2015 | 1051 | ||
2016 | 879 | ||
2017 | 270 | ||
2018 | 190 | ||
2019 | 840 | ||
2020 | 73 | ||
2021+ | 1530 |
MEUR | LTM | 2010 | 2009 | 2008 | 2006 | 2005 | |||||||
EBITDA | 2733 | 2271 | 2292 | 2478 | 1884 | ||||||||
Comparable EBITDA | 2431 | 2396 | 2398 | 1151 | 1271 | ||||||||
Interest-bearing net debt | 6 783 | 6826 | 5969 | 6179 | 4345 | 3158 | |||||||
Net debtEBITDA | 25 | 30 | 26 | 25 | 8161 | ||||||||
Comparable Net debtEBITDA | 28 | 28 | 25 | 16839 | 15130 | ||||||||
23 | 18 | ||||||||||||
Return on capital employed () | 138 | 116 | 121 | 150 | 134 | 135 | |||||||
Return on shareholders equity () | 191 | 157 | 160 | 187 | 144 | 135 | |||||||
) as of 30 June 2011 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | |||||||||||
Operating profit before depreciations | 764 | 490 | 1813 | 1351 | 2271 | 2733 | 2478 | 1663 | 2370 | 0 | |||||||||||
Non-cash flow items and divesting activities | -299 | -6 | -569 | -73 | 124 | -372 | -275 | -268 | -56 | 0 | |||||||||||
Financial items and fx gainslosses | 12 | -146 | -290 | -323 | -641 | -608 | 233 | ||||||||||||||
Taxes | -144 | -73 | -258 | -155 | -355 | -458 | -332 | -231 | -534 | 0 | |||||||||||
Funds from operations (FFO) | 333 | 265 | 696 | 800 | 1399 | 1295 | 2104 | 1164 | 1780 | 0 | |||||||||||
Change in working capital | 77 | 157 | 168 | 143 | 38 | 63 | -102 | 161 | 5 | 0 | |||||||||||
Total net cash from operating activities | 410 | 422 | 864 | 943 | 1437 | 1358 | 2002 | 1325 | 1785 | 0 | |||||||||||
Paid capital expenditures | -297 | -263 | -503 | -486 | -1134 | -1151 | -1018 | -341 | -931 | 0 | |||||||||||
Acquisition of shares | -1 | -1 | -20 | -1 | -28 | -47 | -1243 | -257 | -1243 | 0 | |||||||||||
Other investing activities | 331 | -16 | 541 | 72 | 60 | 529 | -21 | 258 | -34 | 0 | |||||||||||
Cash flow before financing activities | 443 | 142 | 882 | 528 | 335 | 689 | -280 | 985 | -423 | 0 |
MEUR | Q1-Q300 | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | 2004 | ||||||||||||||||||
Sales | 7732 | 1316 | 1295 | 3350 | 3242 | 6296 | 6404 | 5636 | 3159 | 5354 | 0 | 3835 | ||||||||||||||||||
Expenses | -7109 | -968 | -956 | -2353 | -2252 | -4463 | -4564 | -3673 | -1832 | -3482 | 0 | -2640 | ||||||||||||||||||
Comparable operating profit | 623 | 348 | 339 | 997 | 990 | 1833 | 1840 | 1963 | 1327 | 1872 | 0 | 1195 | ||||||||||||||||||
Other items affecting comparability | 261 | 12 | 512 | 85 | -125 | 302 | ||||||||||||||||||||||||
Operating profit | 609 | 351 | 1509 | 1075 | 1708 | 2142 | ||||||||||||||||||||||||
Share of profit of associates and jvs | 15 | 15 | 74 | 31 | 62 | 105 | 126 | 223 | 96 | 0 | 12 | |||||||||||||||||||
Financial expenses net | -209 | -72 | -34 | -127 | -61 | -155 | -221 | -239 | -117 | -222 | 0 | -245 | ||||||||||||||||||
Profit before taxes | 0 | 552 | 332 | 1456 | 1045 | 1615 | 2026 | 1850 | 1433 | 1746 | 0 | 0 | ||||||||||||||||||
Income tax expense | -83 | -74 | -61 | -232 | -191 | -261 | -302 | -254 | -218 | -364 | 0 | -259 | ||||||||||||||||||
Net profit for the period | -26 | 478 | 271 | 1224 | 854 | 1354 | 1724 | 1596 | 1215 | 1382 | 0 | 0 | ||||||||||||||||||
Non-controlling interests | 6 | 8 | 74 | 32 | 54 | 96 | 54 | 31 | 35 | 0 | 33 | |||||||||||||||||||
EPS basic (EUR) | 039 | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 148 | ||||||||||||||||||
EPS diluted (EUR) | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 079 | |||||||||||||||||||
069 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 183 | 327 | 556 | 964 | 1390 | |||||||
Comparable operating profit | 10 | 10 | 21 | -3 | 35 | |||||||
Net Assets | 77 | 59 | ||||||||||
Comparable RONA | 341 | |||||||||||
Gross Investments | 1 | 0 | 4 | 0 | 4 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 215 | 200 | 526 | 480 | 1009 | |||||||
Comparable operating profit | 60 | 53 | 184 | 155 | 336 | |||||||
Net Assets | 3487 | 3482 | ||||||||||
Comparable RONA | 99 | |||||||||||
Gross Investments | 62 | 47 | 96 | 76 | 233 |
Distribution
Q2 Distribution
Markets
Q2 Electricity Sales
Q2 Income statement
Q2 Cash flow statement
Key ratios
Q2 lsquo11
Debt maturity profile
per 30 June 2011 per 31 Dec 2010
Average interest rate (incl swaps and forwards)4435
Portion of floating fixed debt 47 53 49 51
Strong financial position
Return on capital employed
12
Return on shareholders equity
14
Net debtEBITDA
around 30
138
191
28
Fortumrsquos financial targets
LTM in Q22011
Good liquidity ndash committed credit lines total EUR 27 billion
Comparable net debtEBITDA
Outlook
Q2 Summary
Outlook
Outlook
(Q1 70 at EUR 44MWh)
(Q1 45 at EUR 45MWh)
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007
2008
2009
2010
2011
2012
0
10
20
30
40
50
60
70
80
90
100
110
Spot prices
Forward prices
CO2-free and energy-efficient solutions important
Create solid earnings
growth in Russia
Leverage the strong
Nordic core
Build platform for
future growth
Competence in CO2-free hydro nuclear and energy efficient CHP production
and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -
Fortumrsquos strategy remains intact
MEURII2011II2010I-II2011I-II2010LTM
Sales1833275569641 390
Comparable operating profit101021-335
Net Assets7759
Comparable RONA 341
Gross Investments10404
MEURII2011II2010I-II2011I-II2010LTM
Sales2152005264801 009
Comparable operating profit6053184155336
Net Assets3 4873 482
Comparable RONA 99
Gross Investments62479676233
0
250
500
750
1000
1250
1500
1750
20112012201320142015201620172018201920202021+
BondsFinancial institutionsOther long-term debtCPsOther short-term debt
MEURII2011II2010I-II2011I-II2010LTM
Sales195169490413881
Comparable operating profit21-955756
Net Assets3 0512 690
Comparable RONA 34
Gross Investments192167267258608
MEURII2011II2010I-II2011I-II2010LTM
Sales5745971 2671 3662 603
Comparable operating profit2572715826951 185
Net Assets5 9985 726
Comparable RONA 198
Gross Investments36226955136
MEURII2011II2010I-II2011I-II20102010LTM
Sales1 316
1 2953 3503 2426 296
6 404
Expenses-968-956-2 353-2 252-4 463-4 564
Comparable operating profit3483399979901 8331 840
Other items affecting comparability2611251285-125302
Operating profit6093511 5091 0751 7082 142
Share of profit of associates and jvs1515743162105
Financial expenses net-72-34-127-61-155-221
Profit before taxes5523321 4561 0451 6152 026
Income tax expense-74-61-232-191-261-302
Net profit for the period4782711 2248541 3541 724
Non-controlling interests6874325496
EPS basic (EUR)053030129093146183
EPS diluted (EUR)053030129093146183
Spot price for power in NordPool power exchange
448
459
662
523
621
0
12
24
36
48
60
72
Q22010Q32010Q42010Q12011Q22011
eurMWh
Powers Nordic power price
447
469
488
479
474
0
10
20
30
40
50
60
Q22010Q32010Q42010Q12011Q22011
eurMWh
MEURII2011II2010I-II2011I-II20102010LTM
Operating profit before depreciations7644901 8131 3512 2712 733
Non-cash flow items and divesting activities
-299-6-569-73124-372
Financial items and fx gainslosses
12-146-290-323-641-608
Taxes
-144-73-258-155-355-458
Funds from operations (FFO)
3332656968001 3991 295
Change in working capital
771571681433863
Total net cash from operating activities4104228649431 4371 358
Paid capital expenditures-297-263-503-486-1 134-1 151
Acquisition of shares-1-1-20-1-28-47
Other investing activities331-165417260529
Cash flow before financing activities443142882528335689
MEURII2011II2010I-II2011I-II2010LTM
Sales3223011 0479521 865
Comparable operating profit2533196165306
Net Assets3 9113 884
Comparable RONA 82
Gross Investments7259130121314
MEUR
II2011II2010II2011II2010I-II2011I-II2010I-II2011I-II2010
Power257271271280582695760747
Heat25332535196165290194
Russia21-921-95575523
Distribution605325253184155377166
Electricity Sales1010232321-33-6
Other-25-1917-31-41-2924-49
Total3483396093519979901 5091 075
Comparable operating profit
Reported operating profit
Comparable operating profit
Reported operating profit
Spot price for power (market price) Urals hub
770
935
817
950
954
0
200
400
600
800
1 000
1 200
Q22010Q32010Q42010Q12011Q22011
RUBMWh
Achieved power price for OAO Fortum
256
288
305
292
290
0
6
12
18
24
30
36
Q22010Q32010Q42010Q12011Q22011
eurMWh
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
MEURLTM20102009
EBITDA2 7332 2712 292
Comparable EBITDA2 4312 3962 398
Interest-bearing net debt6 7836 8265 969
Net debtEBITDA253026
Comparable Net debtEBITDA282825
Return on capital employed ()138116121
Return on shareholders equity ()191157160
) as of 30 June 2011
MEUR | |||
2011 | 231 | ||
2012 | 668 | ||
2013 | 639 | ||
2014 | 1223 | ||
2015 | 1051 | ||
2016 | 879 | ||
2017 | 270 | ||
2018 | 190 | ||
2019 | 840 | ||
2020 | 73 | ||
2021+ | 1530 |
MEUR | LTM | 2010 | 2009 | 2008 | 2006 | 2005 | |||||||
EBITDA | 2733 | 2271 | 2292 | 2478 | 1884 | ||||||||
Comparable EBITDA | 2431 | 2396 | 2398 | 1151 | 1271 | ||||||||
Interest-bearing net debt | 6 783 | 6826 | 5969 | 6179 | 4345 | 3158 | |||||||
Net debtEBITDA | 25 | 30 | 26 | 25 | 8161 | ||||||||
Comparable Net debtEBITDA | 28 | 28 | 25 | 16839 | 15130 | ||||||||
23 | 18 | ||||||||||||
Return on capital employed () | 138 | 116 | 121 | 150 | 134 | 135 | |||||||
Return on shareholders equity () | 191 | 157 | 160 | 187 | 144 | 135 | |||||||
) as of 30 June 2011 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | |||||||||||
Operating profit before depreciations | 764 | 490 | 1813 | 1351 | 2271 | 2733 | 2478 | 1663 | 2370 | 0 | |||||||||||
Non-cash flow items and divesting activities | -299 | -6 | -569 | -73 | 124 | -372 | -275 | -268 | -56 | 0 | |||||||||||
Financial items and fx gainslosses | 12 | -146 | -290 | -323 | -641 | -608 | 233 | ||||||||||||||
Taxes | -144 | -73 | -258 | -155 | -355 | -458 | -332 | -231 | -534 | 0 | |||||||||||
Funds from operations (FFO) | 333 | 265 | 696 | 800 | 1399 | 1295 | 2104 | 1164 | 1780 | 0 | |||||||||||
Change in working capital | 77 | 157 | 168 | 143 | 38 | 63 | -102 | 161 | 5 | 0 | |||||||||||
Total net cash from operating activities | 410 | 422 | 864 | 943 | 1437 | 1358 | 2002 | 1325 | 1785 | 0 | |||||||||||
Paid capital expenditures | -297 | -263 | -503 | -486 | -1134 | -1151 | -1018 | -341 | -931 | 0 | |||||||||||
Acquisition of shares | -1 | -1 | -20 | -1 | -28 | -47 | -1243 | -257 | -1243 | 0 | |||||||||||
Other investing activities | 331 | -16 | 541 | 72 | 60 | 529 | -21 | 258 | -34 | 0 | |||||||||||
Cash flow before financing activities | 443 | 142 | 882 | 528 | 335 | 689 | -280 | 985 | -423 | 0 |
MEUR | Q1-Q300 | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | 2004 | ||||||||||||||||||
Sales | 7732 | 1316 | 1295 | 3350 | 3242 | 6296 | 6404 | 5636 | 3159 | 5354 | 0 | 3835 | ||||||||||||||||||
Expenses | -7109 | -968 | -956 | -2353 | -2252 | -4463 | -4564 | -3673 | -1832 | -3482 | 0 | -2640 | ||||||||||||||||||
Comparable operating profit | 623 | 348 | 339 | 997 | 990 | 1833 | 1840 | 1963 | 1327 | 1872 | 0 | 1195 | ||||||||||||||||||
Other items affecting comparability | 261 | 12 | 512 | 85 | -125 | 302 | ||||||||||||||||||||||||
Operating profit | 609 | 351 | 1509 | 1075 | 1708 | 2142 | ||||||||||||||||||||||||
Share of profit of associates and jvs | 15 | 15 | 74 | 31 | 62 | 105 | 126 | 223 | 96 | 0 | 12 | |||||||||||||||||||
Financial expenses net | -209 | -72 | -34 | -127 | -61 | -155 | -221 | -239 | -117 | -222 | 0 | -245 | ||||||||||||||||||
Profit before taxes | 0 | 552 | 332 | 1456 | 1045 | 1615 | 2026 | 1850 | 1433 | 1746 | 0 | 0 | ||||||||||||||||||
Income tax expense | -83 | -74 | -61 | -232 | -191 | -261 | -302 | -254 | -218 | -364 | 0 | -259 | ||||||||||||||||||
Net profit for the period | -26 | 478 | 271 | 1224 | 854 | 1354 | 1724 | 1596 | 1215 | 1382 | 0 | 0 | ||||||||||||||||||
Non-controlling interests | 6 | 8 | 74 | 32 | 54 | 96 | 54 | 31 | 35 | 0 | 33 | |||||||||||||||||||
EPS basic (EUR) | 039 | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 148 | ||||||||||||||||||
EPS diluted (EUR) | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 079 | |||||||||||||||||||
069 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 183 | 327 | 556 | 964 | 1390 | |||||||
Comparable operating profit | 10 | 10 | 21 | -3 | 35 | |||||||
Net Assets | 77 | 59 | ||||||||||
Comparable RONA | 341 | |||||||||||
Gross Investments | 1 | 0 | 4 | 0 | 4 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 215 | 200 | 526 | 480 | 1009 | |||||||
Comparable operating profit | 60 | 53 | 184 | 155 | 336 | |||||||
Net Assets | 3487 | 3482 | ||||||||||
Comparable RONA | 99 | |||||||||||
Gross Investments | 62 | 47 | 96 | 76 | 233 |
Markets
Q2 Electricity Sales
Q2 Income statement
Q2 Cash flow statement
Key ratios
Q2 lsquo11
Debt maturity profile
per 30 June 2011 per 31 Dec 2010
Average interest rate (incl swaps and forwards)4435
Portion of floating fixed debt 47 53 49 51
Strong financial position
Return on capital employed
12
Return on shareholders equity
14
Net debtEBITDA
around 30
138
191
28
Fortumrsquos financial targets
LTM in Q22011
Good liquidity ndash committed credit lines total EUR 27 billion
Comparable net debtEBITDA
Outlook
Q2 Summary
Outlook
Outlook
(Q1 70 at EUR 44MWh)
(Q1 45 at EUR 45MWh)
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007
2008
2009
2010
2011
2012
0
10
20
30
40
50
60
70
80
90
100
110
Spot prices
Forward prices
CO2-free and energy-efficient solutions important
Create solid earnings
growth in Russia
Leverage the strong
Nordic core
Build platform for
future growth
Competence in CO2-free hydro nuclear and energy efficient CHP production
and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -
Fortumrsquos strategy remains intact
MEURII2011II2010I-II2011I-II2010LTM
Sales1833275569641 390
Comparable operating profit101021-335
Net Assets7759
Comparable RONA 341
Gross Investments10404
MEURII2011II2010I-II2011I-II2010LTM
Sales2152005264801 009
Comparable operating profit6053184155336
Net Assets3 4873 482
Comparable RONA 99
Gross Investments62479676233
0
250
500
750
1000
1250
1500
1750
20112012201320142015201620172018201920202021+
BondsFinancial institutionsOther long-term debtCPsOther short-term debt
MEURII2011II2010I-II2011I-II2010LTM
Sales195169490413881
Comparable operating profit21-955756
Net Assets3 0512 690
Comparable RONA 34
Gross Investments192167267258608
MEURII2011II2010I-II2011I-II2010LTM
Sales5745971 2671 3662 603
Comparable operating profit2572715826951 185
Net Assets5 9985 726
Comparable RONA 198
Gross Investments36226955136
MEURII2011II2010I-II2011I-II20102010LTM
Sales1 316
1 2953 3503 2426 296
6 404
Expenses-968-956-2 353-2 252-4 463-4 564
Comparable operating profit3483399979901 8331 840
Other items affecting comparability2611251285-125302
Operating profit6093511 5091 0751 7082 142
Share of profit of associates and jvs1515743162105
Financial expenses net-72-34-127-61-155-221
Profit before taxes5523321 4561 0451 6152 026
Income tax expense-74-61-232-191-261-302
Net profit for the period4782711 2248541 3541 724
Non-controlling interests6874325496
EPS basic (EUR)053030129093146183
EPS diluted (EUR)053030129093146183
Spot price for power in NordPool power exchange
448
459
662
523
621
0
12
24
36
48
60
72
Q22010Q32010Q42010Q12011Q22011
eurMWh
Powers Nordic power price
447
469
488
479
474
0
10
20
30
40
50
60
Q22010Q32010Q42010Q12011Q22011
eurMWh
MEURII2011II2010I-II2011I-II20102010LTM
Operating profit before depreciations7644901 8131 3512 2712 733
Non-cash flow items and divesting activities
-299-6-569-73124-372
Financial items and fx gainslosses
12-146-290-323-641-608
Taxes
-144-73-258-155-355-458
Funds from operations (FFO)
3332656968001 3991 295
Change in working capital
771571681433863
Total net cash from operating activities4104228649431 4371 358
Paid capital expenditures-297-263-503-486-1 134-1 151
Acquisition of shares-1-1-20-1-28-47
Other investing activities331-165417260529
Cash flow before financing activities443142882528335689
MEURII2011II2010I-II2011I-II2010LTM
Sales3223011 0479521 865
Comparable operating profit2533196165306
Net Assets3 9113 884
Comparable RONA 82
Gross Investments7259130121314
MEUR
II2011II2010II2011II2010I-II2011I-II2010I-II2011I-II2010
Power257271271280582695760747
Heat25332535196165290194
Russia21-921-95575523
Distribution605325253184155377166
Electricity Sales1010232321-33-6
Other-25-1917-31-41-2924-49
Total3483396093519979901 5091 075
Comparable operating profit
Reported operating profit
Comparable operating profit
Reported operating profit
Spot price for power (market price) Urals hub
770
935
817
950
954
0
200
400
600
800
1 000
1 200
Q22010Q32010Q42010Q12011Q22011
RUBMWh
Achieved power price for OAO Fortum
256
288
305
292
290
0
6
12
18
24
30
36
Q22010Q32010Q42010Q12011Q22011
eurMWh
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
MEURLTM20102009
EBITDA2 7332 2712 292
Comparable EBITDA2 4312 3962 398
Interest-bearing net debt6 7836 8265 969
Net debtEBITDA253026
Comparable Net debtEBITDA282825
Return on capital employed ()138116121
Return on shareholders equity ()191157160
) as of 30 June 2011
MEUR | |||
2011 | 231 | ||
2012 | 668 | ||
2013 | 639 | ||
2014 | 1223 | ||
2015 | 1051 | ||
2016 | 879 | ||
2017 | 270 | ||
2018 | 190 | ||
2019 | 840 | ||
2020 | 73 | ||
2021+ | 1530 |
MEUR | LTM | 2010 | 2009 | 2008 | 2006 | 2005 | |||||||
EBITDA | 2733 | 2271 | 2292 | 2478 | 1884 | ||||||||
Comparable EBITDA | 2431 | 2396 | 2398 | 1151 | 1271 | ||||||||
Interest-bearing net debt | 6 783 | 6826 | 5969 | 6179 | 4345 | 3158 | |||||||
Net debtEBITDA | 25 | 30 | 26 | 25 | 8161 | ||||||||
Comparable Net debtEBITDA | 28 | 28 | 25 | 16839 | 15130 | ||||||||
23 | 18 | ||||||||||||
Return on capital employed () | 138 | 116 | 121 | 150 | 134 | 135 | |||||||
Return on shareholders equity () | 191 | 157 | 160 | 187 | 144 | 135 | |||||||
) as of 30 June 2011 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | |||||||||||
Operating profit before depreciations | 764 | 490 | 1813 | 1351 | 2271 | 2733 | 2478 | 1663 | 2370 | 0 | |||||||||||
Non-cash flow items and divesting activities | -299 | -6 | -569 | -73 | 124 | -372 | -275 | -268 | -56 | 0 | |||||||||||
Financial items and fx gainslosses | 12 | -146 | -290 | -323 | -641 | -608 | 233 | ||||||||||||||
Taxes | -144 | -73 | -258 | -155 | -355 | -458 | -332 | -231 | -534 | 0 | |||||||||||
Funds from operations (FFO) | 333 | 265 | 696 | 800 | 1399 | 1295 | 2104 | 1164 | 1780 | 0 | |||||||||||
Change in working capital | 77 | 157 | 168 | 143 | 38 | 63 | -102 | 161 | 5 | 0 | |||||||||||
Total net cash from operating activities | 410 | 422 | 864 | 943 | 1437 | 1358 | 2002 | 1325 | 1785 | 0 | |||||||||||
Paid capital expenditures | -297 | -263 | -503 | -486 | -1134 | -1151 | -1018 | -341 | -931 | 0 | |||||||||||
Acquisition of shares | -1 | -1 | -20 | -1 | -28 | -47 | -1243 | -257 | -1243 | 0 | |||||||||||
Other investing activities | 331 | -16 | 541 | 72 | 60 | 529 | -21 | 258 | -34 | 0 | |||||||||||
Cash flow before financing activities | 443 | 142 | 882 | 528 | 335 | 689 | -280 | 985 | -423 | 0 |
MEUR | Q1-Q300 | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | 2004 | ||||||||||||||||||
Sales | 7732 | 1316 | 1295 | 3350 | 3242 | 6296 | 6404 | 5636 | 3159 | 5354 | 0 | 3835 | ||||||||||||||||||
Expenses | -7109 | -968 | -956 | -2353 | -2252 | -4463 | -4564 | -3673 | -1832 | -3482 | 0 | -2640 | ||||||||||||||||||
Comparable operating profit | 623 | 348 | 339 | 997 | 990 | 1833 | 1840 | 1963 | 1327 | 1872 | 0 | 1195 | ||||||||||||||||||
Other items affecting comparability | 261 | 12 | 512 | 85 | -125 | 302 | ||||||||||||||||||||||||
Operating profit | 609 | 351 | 1509 | 1075 | 1708 | 2142 | ||||||||||||||||||||||||
Share of profit of associates and jvs | 15 | 15 | 74 | 31 | 62 | 105 | 126 | 223 | 96 | 0 | 12 | |||||||||||||||||||
Financial expenses net | -209 | -72 | -34 | -127 | -61 | -155 | -221 | -239 | -117 | -222 | 0 | -245 | ||||||||||||||||||
Profit before taxes | 0 | 552 | 332 | 1456 | 1045 | 1615 | 2026 | 1850 | 1433 | 1746 | 0 | 0 | ||||||||||||||||||
Income tax expense | -83 | -74 | -61 | -232 | -191 | -261 | -302 | -254 | -218 | -364 | 0 | -259 | ||||||||||||||||||
Net profit for the period | -26 | 478 | 271 | 1224 | 854 | 1354 | 1724 | 1596 | 1215 | 1382 | 0 | 0 | ||||||||||||||||||
Non-controlling interests | 6 | 8 | 74 | 32 | 54 | 96 | 54 | 31 | 35 | 0 | 33 | |||||||||||||||||||
EPS basic (EUR) | 039 | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 148 | ||||||||||||||||||
EPS diluted (EUR) | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 079 | |||||||||||||||||||
069 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 183 | 327 | 556 | 964 | 1390 | |||||||
Comparable operating profit | 10 | 10 | 21 | -3 | 35 | |||||||
Net Assets | 77 | 59 | ||||||||||
Comparable RONA | 341 | |||||||||||
Gross Investments | 1 | 0 | 4 | 0 | 4 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 215 | 200 | 526 | 480 | 1009 | |||||||
Comparable operating profit | 60 | 53 | 184 | 155 | 336 | |||||||
Net Assets | 3487 | 3482 | ||||||||||
Comparable RONA | 99 | |||||||||||
Gross Investments | 62 | 47 | 96 | 76 | 233 |
Markets
Q2 Electricity Sales
Q2 Income statement
Q2 Cash flow statement
Key ratios
Q2 lsquo11
Debt maturity profile
per 30 June 2011 per 31 Dec 2010
Average interest rate (incl swaps and forwards)4435
Portion of floating fixed debt 47 53 49 51
Strong financial position
Return on capital employed
12
Return on shareholders equity
14
Net debtEBITDA
around 30
138
191
28
Fortumrsquos financial targets
LTM in Q22011
Good liquidity ndash committed credit lines total EUR 27 billion
Comparable net debtEBITDA
Outlook
Q2 Summary
Outlook
Outlook
(Q1 70 at EUR 44MWh)
(Q1 45 at EUR 45MWh)
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007
2008
2009
2010
2011
2012
0
10
20
30
40
50
60
70
80
90
100
110
Spot prices
Forward prices
CO2-free and energy-efficient solutions important
Create solid earnings
growth in Russia
Leverage the strong
Nordic core
Build platform for
future growth
Competence in CO2-free hydro nuclear and energy efficient CHP production
and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -
Fortumrsquos strategy remains intact
MEURII2011II2010I-II2011I-II2010LTM
Sales1833275569641 390
Comparable operating profit101021-335
Net Assets7759
Comparable RONA 341
Gross Investments10404
MEURII2011II2010I-II2011I-II2010LTM
Sales2152005264801 009
Comparable operating profit6053184155336
Net Assets3 4873 482
Comparable RONA 99
Gross Investments62479676233
0
250
500
750
1000
1250
1500
1750
20112012201320142015201620172018201920202021+
BondsFinancial institutionsOther long-term debtCPsOther short-term debt
MEURII2011II2010I-II2011I-II2010LTM
Sales195169490413881
Comparable operating profit21-955756
Net Assets3 0512 690
Comparable RONA 34
Gross Investments192167267258608
MEURII2011II2010I-II2011I-II2010LTM
Sales5745971 2671 3662 603
Comparable operating profit2572715826951 185
Net Assets5 9985 726
Comparable RONA 198
Gross Investments36226955136
MEURII2011II2010I-II2011I-II20102010LTM
Sales1 316
1 2953 3503 2426 296
6 404
Expenses-968-956-2 353-2 252-4 463-4 564
Comparable operating profit3483399979901 8331 840
Other items affecting comparability2611251285-125302
Operating profit6093511 5091 0751 7082 142
Share of profit of associates and jvs1515743162105
Financial expenses net-72-34-127-61-155-221
Profit before taxes5523321 4561 0451 6152 026
Income tax expense-74-61-232-191-261-302
Net profit for the period4782711 2248541 3541 724
Non-controlling interests6874325496
EPS basic (EUR)053030129093146183
EPS diluted (EUR)053030129093146183
Spot price for power in NordPool power exchange
448
459
662
523
621
0
12
24
36
48
60
72
Q22010Q32010Q42010Q12011Q22011
eurMWh
Powers Nordic power price
447
469
488
479
474
0
10
20
30
40
50
60
Q22010Q32010Q42010Q12011Q22011
eurMWh
MEURII2011II2010I-II2011I-II20102010LTM
Operating profit before depreciations7644901 8131 3512 2712 733
Non-cash flow items and divesting activities
-299-6-569-73124-372
Financial items and fx gainslosses
12-146-290-323-641-608
Taxes
-144-73-258-155-355-458
Funds from operations (FFO)
3332656968001 3991 295
Change in working capital
771571681433863
Total net cash from operating activities4104228649431 4371 358
Paid capital expenditures-297-263-503-486-1 134-1 151
Acquisition of shares-1-1-20-1-28-47
Other investing activities331-165417260529
Cash flow before financing activities443142882528335689
MEURII2011II2010I-II2011I-II2010LTM
Sales3223011 0479521 865
Comparable operating profit2533196165306
Net Assets3 9113 884
Comparable RONA 82
Gross Investments7259130121314
MEUR
II2011II2010II2011II2010I-II2011I-II2010I-II2011I-II2010
Power257271271280582695760747
Heat25332535196165290194
Russia21-921-95575523
Distribution605325253184155377166
Electricity Sales1010232321-33-6
Other-25-1917-31-41-2924-49
Total3483396093519979901 5091 075
Comparable operating profit
Reported operating profit
Comparable operating profit
Reported operating profit
Spot price for power (market price) Urals hub
770
935
817
950
954
0
200
400
600
800
1 000
1 200
Q22010Q32010Q42010Q12011Q22011
RUBMWh
Achieved power price for OAO Fortum
256
288
305
292
290
0
6
12
18
24
30
36
Q22010Q32010Q42010Q12011Q22011
eurMWh
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
MEURLTM20102009
EBITDA2 7332 2712 292
Comparable EBITDA2 4312 3962 398
Interest-bearing net debt6 7836 8265 969
Net debtEBITDA253026
Comparable Net debtEBITDA282825
Return on capital employed ()138116121
Return on shareholders equity ()191157160
) as of 30 June 2011
MEUR | |||
2011 | 231 | ||
2012 | 668 | ||
2013 | 639 | ||
2014 | 1223 | ||
2015 | 1051 | ||
2016 | 879 | ||
2017 | 270 | ||
2018 | 190 | ||
2019 | 840 | ||
2020 | 73 | ||
2021+ | 1530 |
MEUR | LTM | 2010 | 2009 | 2008 | 2006 | 2005 | |||||||
EBITDA | 2733 | 2271 | 2292 | 2478 | 1884 | ||||||||
Comparable EBITDA | 2431 | 2396 | 2398 | 1151 | 1271 | ||||||||
Interest-bearing net debt | 6 783 | 6826 | 5969 | 6179 | 4345 | 3158 | |||||||
Net debtEBITDA | 25 | 30 | 26 | 25 | 8161 | ||||||||
Comparable Net debtEBITDA | 28 | 28 | 25 | 16839 | 15130 | ||||||||
23 | 18 | ||||||||||||
Return on capital employed () | 138 | 116 | 121 | 150 | 134 | 135 | |||||||
Return on shareholders equity () | 191 | 157 | 160 | 187 | 144 | 135 | |||||||
) as of 30 June 2011 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | |||||||||||
Operating profit before depreciations | 764 | 490 | 1813 | 1351 | 2271 | 2733 | 2478 | 1663 | 2370 | 0 | |||||||||||
Non-cash flow items and divesting activities | -299 | -6 | -569 | -73 | 124 | -372 | -275 | -268 | -56 | 0 | |||||||||||
Financial items and fx gainslosses | 12 | -146 | -290 | -323 | -641 | -608 | 233 | ||||||||||||||
Taxes | -144 | -73 | -258 | -155 | -355 | -458 | -332 | -231 | -534 | 0 | |||||||||||
Funds from operations (FFO) | 333 | 265 | 696 | 800 | 1399 | 1295 | 2104 | 1164 | 1780 | 0 | |||||||||||
Change in working capital | 77 | 157 | 168 | 143 | 38 | 63 | -102 | 161 | 5 | 0 | |||||||||||
Total net cash from operating activities | 410 | 422 | 864 | 943 | 1437 | 1358 | 2002 | 1325 | 1785 | 0 | |||||||||||
Paid capital expenditures | -297 | -263 | -503 | -486 | -1134 | -1151 | -1018 | -341 | -931 | 0 | |||||||||||
Acquisition of shares | -1 | -1 | -20 | -1 | -28 | -47 | -1243 | -257 | -1243 | 0 | |||||||||||
Other investing activities | 331 | -16 | 541 | 72 | 60 | 529 | -21 | 258 | -34 | 0 | |||||||||||
Cash flow before financing activities | 443 | 142 | 882 | 528 | 335 | 689 | -280 | 985 | -423 | 0 |
MEUR | Q1-Q300 | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | 2004 | ||||||||||||||||||
Sales | 7732 | 1316 | 1295 | 3350 | 3242 | 6296 | 6404 | 5636 | 3159 | 5354 | 0 | 3835 | ||||||||||||||||||
Expenses | -7109 | -968 | -956 | -2353 | -2252 | -4463 | -4564 | -3673 | -1832 | -3482 | 0 | -2640 | ||||||||||||||||||
Comparable operating profit | 623 | 348 | 339 | 997 | 990 | 1833 | 1840 | 1963 | 1327 | 1872 | 0 | 1195 | ||||||||||||||||||
Other items affecting comparability | 261 | 12 | 512 | 85 | -125 | 302 | ||||||||||||||||||||||||
Operating profit | 609 | 351 | 1509 | 1075 | 1708 | 2142 | ||||||||||||||||||||||||
Share of profit of associates and jvs | 15 | 15 | 74 | 31 | 62 | 105 | 126 | 223 | 96 | 0 | 12 | |||||||||||||||||||
Financial expenses net | -209 | -72 | -34 | -127 | -61 | -155 | -221 | -239 | -117 | -222 | 0 | -245 | ||||||||||||||||||
Profit before taxes | 0 | 552 | 332 | 1456 | 1045 | 1615 | 2026 | 1850 | 1433 | 1746 | 0 | 0 | ||||||||||||||||||
Income tax expense | -83 | -74 | -61 | -232 | -191 | -261 | -302 | -254 | -218 | -364 | 0 | -259 | ||||||||||||||||||
Net profit for the period | -26 | 478 | 271 | 1224 | 854 | 1354 | 1724 | 1596 | 1215 | 1382 | 0 | 0 | ||||||||||||||||||
Non-controlling interests | 6 | 8 | 74 | 32 | 54 | 96 | 54 | 31 | 35 | 0 | 33 | |||||||||||||||||||
EPS basic (EUR) | 039 | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 148 | ||||||||||||||||||
EPS diluted (EUR) | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 079 | |||||||||||||||||||
069 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 183 | 327 | 556 | 964 | 1390 | |||||||
Comparable operating profit | 10 | 10 | 21 | -3 | 35 | |||||||
Net Assets | 77 | 59 | ||||||||||
Comparable RONA | 341 | |||||||||||
Gross Investments | 1 | 0 | 4 | 0 | 4 |
Markets
Q2 Electricity Sales
Q2 Income statement
Q2 Cash flow statement
Key ratios
Q2 lsquo11
Debt maturity profile
per 30 June 2011 per 31 Dec 2010
Average interest rate (incl swaps and forwards)4435
Portion of floating fixed debt 47 53 49 51
Strong financial position
Return on capital employed
12
Return on shareholders equity
14
Net debtEBITDA
around 30
138
191
28
Fortumrsquos financial targets
LTM in Q22011
Good liquidity ndash committed credit lines total EUR 27 billion
Comparable net debtEBITDA
Outlook
Q2 Summary
Outlook
Outlook
(Q1 70 at EUR 44MWh)
(Q1 45 at EUR 45MWh)
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007
2008
2009
2010
2011
2012
0
10
20
30
40
50
60
70
80
90
100
110
Spot prices
Forward prices
CO2-free and energy-efficient solutions important
Create solid earnings
growth in Russia
Leverage the strong
Nordic core
Build platform for
future growth
Competence in CO2-free hydro nuclear and energy efficient CHP production
and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -
Fortumrsquos strategy remains intact
MEURII2011II2010I-II2011I-II2010LTM
Sales1833275569641 390
Comparable operating profit101021-335
Net Assets7759
Comparable RONA 341
Gross Investments10404
MEURII2011II2010I-II2011I-II2010LTM
Sales2152005264801 009
Comparable operating profit6053184155336
Net Assets3 4873 482
Comparable RONA 99
Gross Investments62479676233
0
250
500
750
1000
1250
1500
1750
20112012201320142015201620172018201920202021+
BondsFinancial institutionsOther long-term debtCPsOther short-term debt
MEURII2011II2010I-II2011I-II2010LTM
Sales195169490413881
Comparable operating profit21-955756
Net Assets3 0512 690
Comparable RONA 34
Gross Investments192167267258608
MEURII2011II2010I-II2011I-II2010LTM
Sales5745971 2671 3662 603
Comparable operating profit2572715826951 185
Net Assets5 9985 726
Comparable RONA 198
Gross Investments36226955136
MEURII2011II2010I-II2011I-II20102010LTM
Sales1 316
1 2953 3503 2426 296
6 404
Expenses-968-956-2 353-2 252-4 463-4 564
Comparable operating profit3483399979901 8331 840
Other items affecting comparability2611251285-125302
Operating profit6093511 5091 0751 7082 142
Share of profit of associates and jvs1515743162105
Financial expenses net-72-34-127-61-155-221
Profit before taxes5523321 4561 0451 6152 026
Income tax expense-74-61-232-191-261-302
Net profit for the period4782711 2248541 3541 724
Non-controlling interests6874325496
EPS basic (EUR)053030129093146183
EPS diluted (EUR)053030129093146183
Spot price for power in NordPool power exchange
448
459
662
523
621
0
12
24
36
48
60
72
Q22010Q32010Q42010Q12011Q22011
eurMWh
Powers Nordic power price
447
469
488
479
474
0
10
20
30
40
50
60
Q22010Q32010Q42010Q12011Q22011
eurMWh
MEURII2011II2010I-II2011I-II20102010LTM
Operating profit before depreciations7644901 8131 3512 2712 733
Non-cash flow items and divesting activities
-299-6-569-73124-372
Financial items and fx gainslosses
12-146-290-323-641-608
Taxes
-144-73-258-155-355-458
Funds from operations (FFO)
3332656968001 3991 295
Change in working capital
771571681433863
Total net cash from operating activities4104228649431 4371 358
Paid capital expenditures-297-263-503-486-1 134-1 151
Acquisition of shares-1-1-20-1-28-47
Other investing activities331-165417260529
Cash flow before financing activities443142882528335689
MEURII2011II2010I-II2011I-II2010LTM
Sales3223011 0479521 865
Comparable operating profit2533196165306
Net Assets3 9113 884
Comparable RONA 82
Gross Investments7259130121314
MEUR
II2011II2010II2011II2010I-II2011I-II2010I-II2011I-II2010
Power257271271280582695760747
Heat25332535196165290194
Russia21-921-95575523
Distribution605325253184155377166
Electricity Sales1010232321-33-6
Other-25-1917-31-41-2924-49
Total3483396093519979901 5091 075
Comparable operating profit
Reported operating profit
Comparable operating profit
Reported operating profit
Spot price for power (market price) Urals hub
770
935
817
950
954
0
200
400
600
800
1 000
1 200
Q22010Q32010Q42010Q12011Q22011
RUBMWh
Achieved power price for OAO Fortum
256
288
305
292
290
0
6
12
18
24
30
36
Q22010Q32010Q42010Q12011Q22011
eurMWh
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
MEURLTM20102009
EBITDA2 7332 2712 292
Comparable EBITDA2 4312 3962 398
Interest-bearing net debt6 7836 8265 969
Net debtEBITDA253026
Comparable Net debtEBITDA282825
Return on capital employed ()138116121
Return on shareholders equity ()191157160
) as of 30 June 2011
MEUR | |||
2011 | 231 | ||
2012 | 668 | ||
2013 | 639 | ||
2014 | 1223 | ||
2015 | 1051 | ||
2016 | 879 | ||
2017 | 270 | ||
2018 | 190 | ||
2019 | 840 | ||
2020 | 73 | ||
2021+ | 1530 |
MEUR | LTM | 2010 | 2009 | 2008 | 2006 | 2005 | |||||||
EBITDA | 2733 | 2271 | 2292 | 2478 | 1884 | ||||||||
Comparable EBITDA | 2431 | 2396 | 2398 | 1151 | 1271 | ||||||||
Interest-bearing net debt | 6 783 | 6826 | 5969 | 6179 | 4345 | 3158 | |||||||
Net debtEBITDA | 25 | 30 | 26 | 25 | 8161 | ||||||||
Comparable Net debtEBITDA | 28 | 28 | 25 | 16839 | 15130 | ||||||||
23 | 18 | ||||||||||||
Return on capital employed () | 138 | 116 | 121 | 150 | 134 | 135 | |||||||
Return on shareholders equity () | 191 | 157 | 160 | 187 | 144 | 135 | |||||||
) as of 30 June 2011 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | |||||||||||
Operating profit before depreciations | 764 | 490 | 1813 | 1351 | 2271 | 2733 | 2478 | 1663 | 2370 | 0 | |||||||||||
Non-cash flow items and divesting activities | -299 | -6 | -569 | -73 | 124 | -372 | -275 | -268 | -56 | 0 | |||||||||||
Financial items and fx gainslosses | 12 | -146 | -290 | -323 | -641 | -608 | 233 | ||||||||||||||
Taxes | -144 | -73 | -258 | -155 | -355 | -458 | -332 | -231 | -534 | 0 | |||||||||||
Funds from operations (FFO) | 333 | 265 | 696 | 800 | 1399 | 1295 | 2104 | 1164 | 1780 | 0 | |||||||||||
Change in working capital | 77 | 157 | 168 | 143 | 38 | 63 | -102 | 161 | 5 | 0 | |||||||||||
Total net cash from operating activities | 410 | 422 | 864 | 943 | 1437 | 1358 | 2002 | 1325 | 1785 | 0 | |||||||||||
Paid capital expenditures | -297 | -263 | -503 | -486 | -1134 | -1151 | -1018 | -341 | -931 | 0 | |||||||||||
Acquisition of shares | -1 | -1 | -20 | -1 | -28 | -47 | -1243 | -257 | -1243 | 0 | |||||||||||
Other investing activities | 331 | -16 | 541 | 72 | 60 | 529 | -21 | 258 | -34 | 0 | |||||||||||
Cash flow before financing activities | 443 | 142 | 882 | 528 | 335 | 689 | -280 | 985 | -423 | 0 |
MEUR | Q1-Q300 | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | 2004 | ||||||||||||||||||
Sales | 7732 | 1316 | 1295 | 3350 | 3242 | 6296 | 6404 | 5636 | 3159 | 5354 | 0 | 3835 | ||||||||||||||||||
Expenses | -7109 | -968 | -956 | -2353 | -2252 | -4463 | -4564 | -3673 | -1832 | -3482 | 0 | -2640 | ||||||||||||||||||
Comparable operating profit | 623 | 348 | 339 | 997 | 990 | 1833 | 1840 | 1963 | 1327 | 1872 | 0 | 1195 | ||||||||||||||||||
Other items affecting comparability | 261 | 12 | 512 | 85 | -125 | 302 | ||||||||||||||||||||||||
Operating profit | 609 | 351 | 1509 | 1075 | 1708 | 2142 | ||||||||||||||||||||||||
Share of profit of associates and jvs | 15 | 15 | 74 | 31 | 62 | 105 | 126 | 223 | 96 | 0 | 12 | |||||||||||||||||||
Financial expenses net | -209 | -72 | -34 | -127 | -61 | -155 | -221 | -239 | -117 | -222 | 0 | -245 | ||||||||||||||||||
Profit before taxes | 0 | 552 | 332 | 1456 | 1045 | 1615 | 2026 | 1850 | 1433 | 1746 | 0 | 0 | ||||||||||||||||||
Income tax expense | -83 | -74 | -61 | -232 | -191 | -261 | -302 | -254 | -218 | -364 | 0 | -259 | ||||||||||||||||||
Net profit for the period | -26 | 478 | 271 | 1224 | 854 | 1354 | 1724 | 1596 | 1215 | 1382 | 0 | 0 | ||||||||||||||||||
Non-controlling interests | 6 | 8 | 74 | 32 | 54 | 96 | 54 | 31 | 35 | 0 | 33 | |||||||||||||||||||
EPS basic (EUR) | 039 | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 148 | ||||||||||||||||||
EPS diluted (EUR) | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 079 | |||||||||||||||||||
069 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 183 | 327 | 556 | 964 | 1390 | |||||||
Comparable operating profit | 10 | 10 | 21 | -3 | 35 | |||||||
Net Assets | 77 | 59 | ||||||||||
Comparable RONA | 341 | |||||||||||
Gross Investments | 1 | 0 | 4 | 0 | 4 |
Q2 Income statement
Q2 Cash flow statement
Key ratios
Q2 lsquo11
Debt maturity profile
per 30 June 2011 per 31 Dec 2010
Average interest rate (incl swaps and forwards)4435
Portion of floating fixed debt 47 53 49 51
Strong financial position
Return on capital employed
12
Return on shareholders equity
14
Net debtEBITDA
around 30
138
191
28
Fortumrsquos financial targets
LTM in Q22011
Good liquidity ndash committed credit lines total EUR 27 billion
Comparable net debtEBITDA
Outlook
Q2 Summary
Outlook
Outlook
(Q1 70 at EUR 44MWh)
(Q1 45 at EUR 45MWh)
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007
2008
2009
2010
2011
2012
0
10
20
30
40
50
60
70
80
90
100
110
Spot prices
Forward prices
CO2-free and energy-efficient solutions important
Create solid earnings
growth in Russia
Leverage the strong
Nordic core
Build platform for
future growth
Competence in CO2-free hydro nuclear and energy efficient CHP production
and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -
Fortumrsquos strategy remains intact
MEURII2011II2010I-II2011I-II2010LTM
Sales1833275569641 390
Comparable operating profit101021-335
Net Assets7759
Comparable RONA 341
Gross Investments10404
MEURII2011II2010I-II2011I-II2010LTM
Sales2152005264801 009
Comparable operating profit6053184155336
Net Assets3 4873 482
Comparable RONA 99
Gross Investments62479676233
0
250
500
750
1000
1250
1500
1750
20112012201320142015201620172018201920202021+
BondsFinancial institutionsOther long-term debtCPsOther short-term debt
MEURII2011II2010I-II2011I-II2010LTM
Sales195169490413881
Comparable operating profit21-955756
Net Assets3 0512 690
Comparable RONA 34
Gross Investments192167267258608
MEURII2011II2010I-II2011I-II2010LTM
Sales5745971 2671 3662 603
Comparable operating profit2572715826951 185
Net Assets5 9985 726
Comparable RONA 198
Gross Investments36226955136
MEURII2011II2010I-II2011I-II20102010LTM
Sales1 316
1 2953 3503 2426 296
6 404
Expenses-968-956-2 353-2 252-4 463-4 564
Comparable operating profit3483399979901 8331 840
Other items affecting comparability2611251285-125302
Operating profit6093511 5091 0751 7082 142
Share of profit of associates and jvs1515743162105
Financial expenses net-72-34-127-61-155-221
Profit before taxes5523321 4561 0451 6152 026
Income tax expense-74-61-232-191-261-302
Net profit for the period4782711 2248541 3541 724
Non-controlling interests6874325496
EPS basic (EUR)053030129093146183
EPS diluted (EUR)053030129093146183
Spot price for power in NordPool power exchange
448
459
662
523
621
0
12
24
36
48
60
72
Q22010Q32010Q42010Q12011Q22011
eurMWh
Powers Nordic power price
447
469
488
479
474
0
10
20
30
40
50
60
Q22010Q32010Q42010Q12011Q22011
eurMWh
MEURII2011II2010I-II2011I-II20102010LTM
Operating profit before depreciations7644901 8131 3512 2712 733
Non-cash flow items and divesting activities
-299-6-569-73124-372
Financial items and fx gainslosses
12-146-290-323-641-608
Taxes
-144-73-258-155-355-458
Funds from operations (FFO)
3332656968001 3991 295
Change in working capital
771571681433863
Total net cash from operating activities4104228649431 4371 358
Paid capital expenditures-297-263-503-486-1 134-1 151
Acquisition of shares-1-1-20-1-28-47
Other investing activities331-165417260529
Cash flow before financing activities443142882528335689
MEURII2011II2010I-II2011I-II2010LTM
Sales3223011 0479521 865
Comparable operating profit2533196165306
Net Assets3 9113 884
Comparable RONA 82
Gross Investments7259130121314
MEUR
II2011II2010II2011II2010I-II2011I-II2010I-II2011I-II2010
Power257271271280582695760747
Heat25332535196165290194
Russia21-921-95575523
Distribution605325253184155377166
Electricity Sales1010232321-33-6
Other-25-1917-31-41-2924-49
Total3483396093519979901 5091 075
Comparable operating profit
Reported operating profit
Comparable operating profit
Reported operating profit
Spot price for power (market price) Urals hub
770
935
817
950
954
0
200
400
600
800
1 000
1 200
Q22010Q32010Q42010Q12011Q22011
RUBMWh
Achieved power price for OAO Fortum
256
288
305
292
290
0
6
12
18
24
30
36
Q22010Q32010Q42010Q12011Q22011
eurMWh
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
MEURLTM20102009
EBITDA2 7332 2712 292
Comparable EBITDA2 4312 3962 398
Interest-bearing net debt6 7836 8265 969
Net debtEBITDA253026
Comparable Net debtEBITDA282825
Return on capital employed ()138116121
Return on shareholders equity ()191157160
) as of 30 June 2011
MEUR | |||
2011 | 231 | ||
2012 | 668 | ||
2013 | 639 | ||
2014 | 1223 | ||
2015 | 1051 | ||
2016 | 879 | ||
2017 | 270 | ||
2018 | 190 | ||
2019 | 840 | ||
2020 | 73 | ||
2021+ | 1530 |
MEUR | LTM | 2010 | 2009 | 2008 | 2006 | 2005 | |||||||
EBITDA | 2733 | 2271 | 2292 | 2478 | 1884 | ||||||||
Comparable EBITDA | 2431 | 2396 | 2398 | 1151 | 1271 | ||||||||
Interest-bearing net debt | 6 783 | 6826 | 5969 | 6179 | 4345 | 3158 | |||||||
Net debtEBITDA | 25 | 30 | 26 | 25 | 8161 | ||||||||
Comparable Net debtEBITDA | 28 | 28 | 25 | 16839 | 15130 | ||||||||
23 | 18 | ||||||||||||
Return on capital employed () | 138 | 116 | 121 | 150 | 134 | 135 | |||||||
Return on shareholders equity () | 191 | 157 | 160 | 187 | 144 | 135 | |||||||
) as of 30 June 2011 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | |||||||||||
Operating profit before depreciations | 764 | 490 | 1813 | 1351 | 2271 | 2733 | 2478 | 1663 | 2370 | 0 | |||||||||||
Non-cash flow items and divesting activities | -299 | -6 | -569 | -73 | 124 | -372 | -275 | -268 | -56 | 0 | |||||||||||
Financial items and fx gainslosses | 12 | -146 | -290 | -323 | -641 | -608 | 233 | ||||||||||||||
Taxes | -144 | -73 | -258 | -155 | -355 | -458 | -332 | -231 | -534 | 0 | |||||||||||
Funds from operations (FFO) | 333 | 265 | 696 | 800 | 1399 | 1295 | 2104 | 1164 | 1780 | 0 | |||||||||||
Change in working capital | 77 | 157 | 168 | 143 | 38 | 63 | -102 | 161 | 5 | 0 | |||||||||||
Total net cash from operating activities | 410 | 422 | 864 | 943 | 1437 | 1358 | 2002 | 1325 | 1785 | 0 | |||||||||||
Paid capital expenditures | -297 | -263 | -503 | -486 | -1134 | -1151 | -1018 | -341 | -931 | 0 | |||||||||||
Acquisition of shares | -1 | -1 | -20 | -1 | -28 | -47 | -1243 | -257 | -1243 | 0 | |||||||||||
Other investing activities | 331 | -16 | 541 | 72 | 60 | 529 | -21 | 258 | -34 | 0 | |||||||||||
Cash flow before financing activities | 443 | 142 | 882 | 528 | 335 | 689 | -280 | 985 | -423 | 0 |
MEUR | Q1-Q300 | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | 2004 | ||||||||||||||||||
Sales | 7732 | 1316 | 1295 | 3350 | 3242 | 6296 | 6404 | 5636 | 3159 | 5354 | 0 | 3835 | ||||||||||||||||||
Expenses | -7109 | -968 | -956 | -2353 | -2252 | -4463 | -4564 | -3673 | -1832 | -3482 | 0 | -2640 | ||||||||||||||||||
Comparable operating profit | 623 | 348 | 339 | 997 | 990 | 1833 | 1840 | 1963 | 1327 | 1872 | 0 | 1195 | ||||||||||||||||||
Other items affecting comparability | 261 | 12 | 512 | 85 | -125 | 302 | ||||||||||||||||||||||||
Operating profit | 609 | 351 | 1509 | 1075 | 1708 | 2142 | ||||||||||||||||||||||||
Share of profit of associates and jvs | 15 | 15 | 74 | 31 | 62 | 105 | 126 | 223 | 96 | 0 | 12 | |||||||||||||||||||
Financial expenses net | -209 | -72 | -34 | -127 | -61 | -155 | -221 | -239 | -117 | -222 | 0 | -245 | ||||||||||||||||||
Profit before taxes | 0 | 552 | 332 | 1456 | 1045 | 1615 | 2026 | 1850 | 1433 | 1746 | 0 | 0 | ||||||||||||||||||
Income tax expense | -83 | -74 | -61 | -232 | -191 | -261 | -302 | -254 | -218 | -364 | 0 | -259 | ||||||||||||||||||
Net profit for the period | -26 | 478 | 271 | 1224 | 854 | 1354 | 1724 | 1596 | 1215 | 1382 | 0 | 0 | ||||||||||||||||||
Non-controlling interests | 6 | 8 | 74 | 32 | 54 | 96 | 54 | 31 | 35 | 0 | 33 | |||||||||||||||||||
EPS basic (EUR) | 039 | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 148 | ||||||||||||||||||
EPS diluted (EUR) | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 079 | |||||||||||||||||||
069 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | LTM | |||||||
Sales | 183 | 327 | 556 | 964 | 1390 | |||||||
Comparable operating profit | 10 | 10 | 21 | -3 | 35 | |||||||
Net Assets | 77 | 59 | ||||||||||
Comparable RONA | 341 | |||||||||||
Gross Investments | 1 | 0 | 4 | 0 | 4 |
Q2 Income statement
Q2 Cash flow statement
Key ratios
Q2 lsquo11
Debt maturity profile
per 30 June 2011 per 31 Dec 2010
Average interest rate (incl swaps and forwards)4435
Portion of floating fixed debt 47 53 49 51
Strong financial position
Return on capital employed
12
Return on shareholders equity
14
Net debtEBITDA
around 30
138
191
28
Fortumrsquos financial targets
LTM in Q22011
Good liquidity ndash committed credit lines total EUR 27 billion
Comparable net debtEBITDA
Outlook
Q2 Summary
Outlook
Outlook
(Q1 70 at EUR 44MWh)
(Q1 45 at EUR 45MWh)
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007
2008
2009
2010
2011
2012
0
10
20
30
40
50
60
70
80
90
100
110
Spot prices
Forward prices
CO2-free and energy-efficient solutions important
Create solid earnings
growth in Russia
Leverage the strong
Nordic core
Build platform for
future growth
Competence in CO2-free hydro nuclear and energy efficient CHP production
and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -
Fortumrsquos strategy remains intact
MEURII2011II2010I-II2011I-II2010LTM
Sales1833275569641 390
Comparable operating profit101021-335
Net Assets7759
Comparable RONA 341
Gross Investments10404
MEURII2011II2010I-II2011I-II2010LTM
Sales2152005264801 009
Comparable operating profit6053184155336
Net Assets3 4873 482
Comparable RONA 99
Gross Investments62479676233
0
250
500
750
1000
1250
1500
1750
20112012201320142015201620172018201920202021+
BondsFinancial institutionsOther long-term debtCPsOther short-term debt
MEURII2011II2010I-II2011I-II2010LTM
Sales195169490413881
Comparable operating profit21-955756
Net Assets3 0512 690
Comparable RONA 34
Gross Investments192167267258608
MEURII2011II2010I-II2011I-II2010LTM
Sales5745971 2671 3662 603
Comparable operating profit2572715826951 185
Net Assets5 9985 726
Comparable RONA 198
Gross Investments36226955136
MEURII2011II2010I-II2011I-II20102010LTM
Sales1 316
1 2953 3503 2426 296
6 404
Expenses-968-956-2 353-2 252-4 463-4 564
Comparable operating profit3483399979901 8331 840
Other items affecting comparability2611251285-125302
Operating profit6093511 5091 0751 7082 142
Share of profit of associates and jvs1515743162105
Financial expenses net-72-34-127-61-155-221
Profit before taxes5523321 4561 0451 6152 026
Income tax expense-74-61-232-191-261-302
Net profit for the period4782711 2248541 3541 724
Non-controlling interests6874325496
EPS basic (EUR)053030129093146183
EPS diluted (EUR)053030129093146183
Spot price for power in NordPool power exchange
448
459
662
523
621
0
12
24
36
48
60
72
Q22010Q32010Q42010Q12011Q22011
eurMWh
Powers Nordic power price
447
469
488
479
474
0
10
20
30
40
50
60
Q22010Q32010Q42010Q12011Q22011
eurMWh
MEURII2011II2010I-II2011I-II20102010LTM
Operating profit before depreciations7644901 8131 3512 2712 733
Non-cash flow items and divesting activities
-299-6-569-73124-372
Financial items and fx gainslosses
12-146-290-323-641-608
Taxes
-144-73-258-155-355-458
Funds from operations (FFO)
3332656968001 3991 295
Change in working capital
771571681433863
Total net cash from operating activities4104228649431 4371 358
Paid capital expenditures-297-263-503-486-1 134-1 151
Acquisition of shares-1-1-20-1-28-47
Other investing activities331-165417260529
Cash flow before financing activities443142882528335689
MEURII2011II2010I-II2011I-II2010LTM
Sales3223011 0479521 865
Comparable operating profit2533196165306
Net Assets3 9113 884
Comparable RONA 82
Gross Investments7259130121314
MEUR
II2011II2010II2011II2010I-II2011I-II2010I-II2011I-II2010
Power257271271280582695760747
Heat25332535196165290194
Russia21-921-95575523
Distribution605325253184155377166
Electricity Sales1010232321-33-6
Other-25-1917-31-41-2924-49
Total3483396093519979901 5091 075
Comparable operating profit
Reported operating profit
Comparable operating profit
Reported operating profit
Spot price for power (market price) Urals hub
770
935
817
950
954
0
200
400
600
800
1 000
1 200
Q22010Q32010Q42010Q12011Q22011
RUBMWh
Achieved power price for OAO Fortum
256
288
305
292
290
0
6
12
18
24
30
36
Q22010Q32010Q42010Q12011Q22011
eurMWh
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
MEURLTM20102009
EBITDA2 7332 2712 292
Comparable EBITDA2 4312 3962 398
Interest-bearing net debt6 7836 8265 969
Net debtEBITDA253026
Comparable Net debtEBITDA282825
Return on capital employed ()138116121
Return on shareholders equity ()191157160
) as of 30 June 2011
MEUR | |||
2011 | 231 | ||
2012 | 668 | ||
2013 | 639 | ||
2014 | 1223 | ||
2015 | 1051 | ||
2016 | 879 | ||
2017 | 270 | ||
2018 | 190 | ||
2019 | 840 | ||
2020 | 73 | ||
2021+ | 1530 |
MEUR | LTM | 2010 | 2009 | 2008 | 2006 | 2005 | |||||||
EBITDA | 2733 | 2271 | 2292 | 2478 | 1884 | ||||||||
Comparable EBITDA | 2431 | 2396 | 2398 | 1151 | 1271 | ||||||||
Interest-bearing net debt | 6 783 | 6826 | 5969 | 6179 | 4345 | 3158 | |||||||
Net debtEBITDA | 25 | 30 | 26 | 25 | 8161 | ||||||||
Comparable Net debtEBITDA | 28 | 28 | 25 | 16839 | 15130 | ||||||||
23 | 18 | ||||||||||||
Return on capital employed () | 138 | 116 | 121 | 150 | 134 | 135 | |||||||
Return on shareholders equity () | 191 | 157 | 160 | 187 | 144 | 135 | |||||||
) as of 30 June 2011 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | |||||||||||
Operating profit before depreciations | 764 | 490 | 1813 | 1351 | 2271 | 2733 | 2478 | 1663 | 2370 | 0 | |||||||||||
Non-cash flow items and divesting activities | -299 | -6 | -569 | -73 | 124 | -372 | -275 | -268 | -56 | 0 | |||||||||||
Financial items and fx gainslosses | 12 | -146 | -290 | -323 | -641 | -608 | 233 | ||||||||||||||
Taxes | -144 | -73 | -258 | -155 | -355 | -458 | -332 | -231 | -534 | 0 | |||||||||||
Funds from operations (FFO) | 333 | 265 | 696 | 800 | 1399 | 1295 | 2104 | 1164 | 1780 | 0 | |||||||||||
Change in working capital | 77 | 157 | 168 | 143 | 38 | 63 | -102 | 161 | 5 | 0 | |||||||||||
Total net cash from operating activities | 410 | 422 | 864 | 943 | 1437 | 1358 | 2002 | 1325 | 1785 | 0 | |||||||||||
Paid capital expenditures | -297 | -263 | -503 | -486 | -1134 | -1151 | -1018 | -341 | -931 | 0 | |||||||||||
Acquisition of shares | -1 | -1 | -20 | -1 | -28 | -47 | -1243 | -257 | -1243 | 0 | |||||||||||
Other investing activities | 331 | -16 | 541 | 72 | 60 | 529 | -21 | 258 | -34 | 0 | |||||||||||
Cash flow before financing activities | 443 | 142 | 882 | 528 | 335 | 689 | -280 | 985 | -423 | 0 |
MEUR | Q1-Q300 | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | 2004 | ||||||||||||||||||
Sales | 7732 | 1316 | 1295 | 3350 | 3242 | 6296 | 6404 | 5636 | 3159 | 5354 | 0 | 3835 | ||||||||||||||||||
Expenses | -7109 | -968 | -956 | -2353 | -2252 | -4463 | -4564 | -3673 | -1832 | -3482 | 0 | -2640 | ||||||||||||||||||
Comparable operating profit | 623 | 348 | 339 | 997 | 990 | 1833 | 1840 | 1963 | 1327 | 1872 | 0 | 1195 | ||||||||||||||||||
Other items affecting comparability | 261 | 12 | 512 | 85 | -125 | 302 | ||||||||||||||||||||||||
Operating profit | 609 | 351 | 1509 | 1075 | 1708 | 2142 | ||||||||||||||||||||||||
Share of profit of associates and jvs | 15 | 15 | 74 | 31 | 62 | 105 | 126 | 223 | 96 | 0 | 12 | |||||||||||||||||||
Financial expenses net | -209 | -72 | -34 | -127 | -61 | -155 | -221 | -239 | -117 | -222 | 0 | -245 | ||||||||||||||||||
Profit before taxes | 0 | 552 | 332 | 1456 | 1045 | 1615 | 2026 | 1850 | 1433 | 1746 | 0 | 0 | ||||||||||||||||||
Income tax expense | -83 | -74 | -61 | -232 | -191 | -261 | -302 | -254 | -218 | -364 | 0 | -259 | ||||||||||||||||||
Net profit for the period | -26 | 478 | 271 | 1224 | 854 | 1354 | 1724 | 1596 | 1215 | 1382 | 0 | 0 | ||||||||||||||||||
Non-controlling interests | 6 | 8 | 74 | 32 | 54 | 96 | 54 | 31 | 35 | 0 | 33 | |||||||||||||||||||
EPS basic (EUR) | 039 | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 148 | ||||||||||||||||||
EPS diluted (EUR) | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 079 | |||||||||||||||||||
069 |
Q2 Income statement
Q2 Cash flow statement
Key ratios
Q2 lsquo11
Debt maturity profile
per 30 June 2011 per 31 Dec 2010
Average interest rate (incl swaps and forwards)4435
Portion of floating fixed debt 47 53 49 51
Strong financial position
Return on capital employed
12
Return on shareholders equity
14
Net debtEBITDA
around 30
138
191
28
Fortumrsquos financial targets
LTM in Q22011
Good liquidity ndash committed credit lines total EUR 27 billion
Comparable net debtEBITDA
Outlook
Q2 Summary
Outlook
Outlook
(Q1 70 at EUR 44MWh)
(Q1 45 at EUR 45MWh)
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007
2008
2009
2010
2011
2012
0
10
20
30
40
50
60
70
80
90
100
110
Spot prices
Forward prices
CO2-free and energy-efficient solutions important
Create solid earnings
growth in Russia
Leverage the strong
Nordic core
Build platform for
future growth
Competence in CO2-free hydro nuclear and energy efficient CHP production
and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -
Fortumrsquos strategy remains intact
MEURII2011II2010I-II2011I-II2010LTM
Sales1833275569641 390
Comparable operating profit101021-335
Net Assets7759
Comparable RONA 341
Gross Investments10404
MEURII2011II2010I-II2011I-II2010LTM
Sales2152005264801 009
Comparable operating profit6053184155336
Net Assets3 4873 482
Comparable RONA 99
Gross Investments62479676233
0
250
500
750
1000
1250
1500
1750
20112012201320142015201620172018201920202021+
BondsFinancial institutionsOther long-term debtCPsOther short-term debt
MEURII2011II2010I-II2011I-II2010LTM
Sales195169490413881
Comparable operating profit21-955756
Net Assets3 0512 690
Comparable RONA 34
Gross Investments192167267258608
MEURII2011II2010I-II2011I-II2010LTM
Sales5745971 2671 3662 603
Comparable operating profit2572715826951 185
Net Assets5 9985 726
Comparable RONA 198
Gross Investments36226955136
MEURII2011II2010I-II2011I-II20102010LTM
Sales1 316
1 2953 3503 2426 296
6 404
Expenses-968-956-2 353-2 252-4 463-4 564
Comparable operating profit3483399979901 8331 840
Other items affecting comparability2611251285-125302
Operating profit6093511 5091 0751 7082 142
Share of profit of associates and jvs1515743162105
Financial expenses net-72-34-127-61-155-221
Profit before taxes5523321 4561 0451 6152 026
Income tax expense-74-61-232-191-261-302
Net profit for the period4782711 2248541 3541 724
Non-controlling interests6874325496
EPS basic (EUR)053030129093146183
EPS diluted (EUR)053030129093146183
Spot price for power in NordPool power exchange
448
459
662
523
621
0
12
24
36
48
60
72
Q22010Q32010Q42010Q12011Q22011
eurMWh
Powers Nordic power price
447
469
488
479
474
0
10
20
30
40
50
60
Q22010Q32010Q42010Q12011Q22011
eurMWh
MEURII2011II2010I-II2011I-II20102010LTM
Operating profit before depreciations7644901 8131 3512 2712 733
Non-cash flow items and divesting activities
-299-6-569-73124-372
Financial items and fx gainslosses
12-146-290-323-641-608
Taxes
-144-73-258-155-355-458
Funds from operations (FFO)
3332656968001 3991 295
Change in working capital
771571681433863
Total net cash from operating activities4104228649431 4371 358
Paid capital expenditures-297-263-503-486-1 134-1 151
Acquisition of shares-1-1-20-1-28-47
Other investing activities331-165417260529
Cash flow before financing activities443142882528335689
MEURII2011II2010I-II2011I-II2010LTM
Sales3223011 0479521 865
Comparable operating profit2533196165306
Net Assets3 9113 884
Comparable RONA 82
Gross Investments7259130121314
MEUR
II2011II2010II2011II2010I-II2011I-II2010I-II2011I-II2010
Power257271271280582695760747
Heat25332535196165290194
Russia21-921-95575523
Distribution605325253184155377166
Electricity Sales1010232321-33-6
Other-25-1917-31-41-2924-49
Total3483396093519979901 5091 075
Comparable operating profit
Reported operating profit
Comparable operating profit
Reported operating profit
Spot price for power (market price) Urals hub
770
935
817
950
954
0
200
400
600
800
1 000
1 200
Q22010Q32010Q42010Q12011Q22011
RUBMWh
Achieved power price for OAO Fortum
256
288
305
292
290
0
6
12
18
24
30
36
Q22010Q32010Q42010Q12011Q22011
eurMWh
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
MEURLTM20102009
EBITDA2 7332 2712 292
Comparable EBITDA2 4312 3962 398
Interest-bearing net debt6 7836 8265 969
Net debtEBITDA253026
Comparable Net debtEBITDA282825
Return on capital employed ()138116121
Return on shareholders equity ()191157160
) as of 30 June 2011
MEUR | |||
2011 | 231 | ||
2012 | 668 | ||
2013 | 639 | ||
2014 | 1223 | ||
2015 | 1051 | ||
2016 | 879 | ||
2017 | 270 | ||
2018 | 190 | ||
2019 | 840 | ||
2020 | 73 | ||
2021+ | 1530 |
MEUR | LTM | 2010 | 2009 | 2008 | 2006 | 2005 | |||||||
EBITDA | 2733 | 2271 | 2292 | 2478 | 1884 | ||||||||
Comparable EBITDA | 2431 | 2396 | 2398 | 1151 | 1271 | ||||||||
Interest-bearing net debt | 6 783 | 6826 | 5969 | 6179 | 4345 | 3158 | |||||||
Net debtEBITDA | 25 | 30 | 26 | 25 | 8161 | ||||||||
Comparable Net debtEBITDA | 28 | 28 | 25 | 16839 | 15130 | ||||||||
23 | 18 | ||||||||||||
Return on capital employed () | 138 | 116 | 121 | 150 | 134 | 135 | |||||||
Return on shareholders equity () | 191 | 157 | 160 | 187 | 144 | 135 | |||||||
) as of 30 June 2011 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | |||||||||||
Operating profit before depreciations | 764 | 490 | 1813 | 1351 | 2271 | 2733 | 2478 | 1663 | 2370 | 0 | |||||||||||
Non-cash flow items and divesting activities | -299 | -6 | -569 | -73 | 124 | -372 | -275 | -268 | -56 | 0 | |||||||||||
Financial items and fx gainslosses | 12 | -146 | -290 | -323 | -641 | -608 | 233 | ||||||||||||||
Taxes | -144 | -73 | -258 | -155 | -355 | -458 | -332 | -231 | -534 | 0 | |||||||||||
Funds from operations (FFO) | 333 | 265 | 696 | 800 | 1399 | 1295 | 2104 | 1164 | 1780 | 0 | |||||||||||
Change in working capital | 77 | 157 | 168 | 143 | 38 | 63 | -102 | 161 | 5 | 0 | |||||||||||
Total net cash from operating activities | 410 | 422 | 864 | 943 | 1437 | 1358 | 2002 | 1325 | 1785 | 0 | |||||||||||
Paid capital expenditures | -297 | -263 | -503 | -486 | -1134 | -1151 | -1018 | -341 | -931 | 0 | |||||||||||
Acquisition of shares | -1 | -1 | -20 | -1 | -28 | -47 | -1243 | -257 | -1243 | 0 | |||||||||||
Other investing activities | 331 | -16 | 541 | 72 | 60 | 529 | -21 | 258 | -34 | 0 | |||||||||||
Cash flow before financing activities | 443 | 142 | 882 | 528 | 335 | 689 | -280 | 985 | -423 | 0 |
MEUR | Q1-Q300 | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | 2004 | ||||||||||||||||||
Sales | 7732 | 1316 | 1295 | 3350 | 3242 | 6296 | 6404 | 5636 | 3159 | 5354 | 0 | 3835 | ||||||||||||||||||
Expenses | -7109 | -968 | -956 | -2353 | -2252 | -4463 | -4564 | -3673 | -1832 | -3482 | 0 | -2640 | ||||||||||||||||||
Comparable operating profit | 623 | 348 | 339 | 997 | 990 | 1833 | 1840 | 1963 | 1327 | 1872 | 0 | 1195 | ||||||||||||||||||
Other items affecting comparability | 261 | 12 | 512 | 85 | -125 | 302 | ||||||||||||||||||||||||
Operating profit | 609 | 351 | 1509 | 1075 | 1708 | 2142 | ||||||||||||||||||||||||
Share of profit of associates and jvs | 15 | 15 | 74 | 31 | 62 | 105 | 126 | 223 | 96 | 0 | 12 | |||||||||||||||||||
Financial expenses net | -209 | -72 | -34 | -127 | -61 | -155 | -221 | -239 | -117 | -222 | 0 | -245 | ||||||||||||||||||
Profit before taxes | 0 | 552 | 332 | 1456 | 1045 | 1615 | 2026 | 1850 | 1433 | 1746 | 0 | 0 | ||||||||||||||||||
Income tax expense | -83 | -74 | -61 | -232 | -191 | -261 | -302 | -254 | -218 | -364 | 0 | -259 | ||||||||||||||||||
Net profit for the period | -26 | 478 | 271 | 1224 | 854 | 1354 | 1724 | 1596 | 1215 | 1382 | 0 | 0 | ||||||||||||||||||
Non-controlling interests | 6 | 8 | 74 | 32 | 54 | 96 | 54 | 31 | 35 | 0 | 33 | |||||||||||||||||||
EPS basic (EUR) | 039 | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 148 | ||||||||||||||||||
EPS diluted (EUR) | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 079 | |||||||||||||||||||
069 |
Q2 Cash flow statement
Key ratios
Q2 lsquo11
Debt maturity profile
per 30 June 2011 per 31 Dec 2010
Average interest rate (incl swaps and forwards)4435
Portion of floating fixed debt 47 53 49 51
Strong financial position
Return on capital employed
12
Return on shareholders equity
14
Net debtEBITDA
around 30
138
191
28
Fortumrsquos financial targets
LTM in Q22011
Good liquidity ndash committed credit lines total EUR 27 billion
Comparable net debtEBITDA
Outlook
Q2 Summary
Outlook
Outlook
(Q1 70 at EUR 44MWh)
(Q1 45 at EUR 45MWh)
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007
2008
2009
2010
2011
2012
0
10
20
30
40
50
60
70
80
90
100
110
Spot prices
Forward prices
CO2-free and energy-efficient solutions important
Create solid earnings
growth in Russia
Leverage the strong
Nordic core
Build platform for
future growth
Competence in CO2-free hydro nuclear and energy efficient CHP production
and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -
Fortumrsquos strategy remains intact
MEURII2011II2010I-II2011I-II2010LTM
Sales1833275569641 390
Comparable operating profit101021-335
Net Assets7759
Comparable RONA 341
Gross Investments10404
MEURII2011II2010I-II2011I-II2010LTM
Sales2152005264801 009
Comparable operating profit6053184155336
Net Assets3 4873 482
Comparable RONA 99
Gross Investments62479676233
0
250
500
750
1000
1250
1500
1750
20112012201320142015201620172018201920202021+
BondsFinancial institutionsOther long-term debtCPsOther short-term debt
MEURII2011II2010I-II2011I-II2010LTM
Sales195169490413881
Comparable operating profit21-955756
Net Assets3 0512 690
Comparable RONA 34
Gross Investments192167267258608
MEURII2011II2010I-II2011I-II2010LTM
Sales5745971 2671 3662 603
Comparable operating profit2572715826951 185
Net Assets5 9985 726
Comparable RONA 198
Gross Investments36226955136
MEURII2011II2010I-II2011I-II20102010LTM
Sales1 316
1 2953 3503 2426 296
6 404
Expenses-968-956-2 353-2 252-4 463-4 564
Comparable operating profit3483399979901 8331 840
Other items affecting comparability2611251285-125302
Operating profit6093511 5091 0751 7082 142
Share of profit of associates and jvs1515743162105
Financial expenses net-72-34-127-61-155-221
Profit before taxes5523321 4561 0451 6152 026
Income tax expense-74-61-232-191-261-302
Net profit for the period4782711 2248541 3541 724
Non-controlling interests6874325496
EPS basic (EUR)053030129093146183
EPS diluted (EUR)053030129093146183
Spot price for power in NordPool power exchange
448
459
662
523
621
0
12
24
36
48
60
72
Q22010Q32010Q42010Q12011Q22011
eurMWh
Powers Nordic power price
447
469
488
479
474
0
10
20
30
40
50
60
Q22010Q32010Q42010Q12011Q22011
eurMWh
MEURII2011II2010I-II2011I-II20102010LTM
Operating profit before depreciations7644901 8131 3512 2712 733
Non-cash flow items and divesting activities
-299-6-569-73124-372
Financial items and fx gainslosses
12-146-290-323-641-608
Taxes
-144-73-258-155-355-458
Funds from operations (FFO)
3332656968001 3991 295
Change in working capital
771571681433863
Total net cash from operating activities4104228649431 4371 358
Paid capital expenditures-297-263-503-486-1 134-1 151
Acquisition of shares-1-1-20-1-28-47
Other investing activities331-165417260529
Cash flow before financing activities443142882528335689
MEURII2011II2010I-II2011I-II2010LTM
Sales3223011 0479521 865
Comparable operating profit2533196165306
Net Assets3 9113 884
Comparable RONA 82
Gross Investments7259130121314
MEUR
II2011II2010II2011II2010I-II2011I-II2010I-II2011I-II2010
Power257271271280582695760747
Heat25332535196165290194
Russia21-921-95575523
Distribution605325253184155377166
Electricity Sales1010232321-33-6
Other-25-1917-31-41-2924-49
Total3483396093519979901 5091 075
Comparable operating profit
Reported operating profit
Comparable operating profit
Reported operating profit
Spot price for power (market price) Urals hub
770
935
817
950
954
0
200
400
600
800
1 000
1 200
Q22010Q32010Q42010Q12011Q22011
RUBMWh
Achieved power price for OAO Fortum
256
288
305
292
290
0
6
12
18
24
30
36
Q22010Q32010Q42010Q12011Q22011
eurMWh
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
MEURLTM20102009
EBITDA2 7332 2712 292
Comparable EBITDA2 4312 3962 398
Interest-bearing net debt6 7836 8265 969
Net debtEBITDA253026
Comparable Net debtEBITDA282825
Return on capital employed ()138116121
Return on shareholders equity ()191157160
) as of 30 June 2011
MEUR | |||
2011 | 231 | ||
2012 | 668 | ||
2013 | 639 | ||
2014 | 1223 | ||
2015 | 1051 | ||
2016 | 879 | ||
2017 | 270 | ||
2018 | 190 | ||
2019 | 840 | ||
2020 | 73 | ||
2021+ | 1530 |
MEUR | LTM | 2010 | 2009 | 2008 | 2006 | 2005 | |||||||
EBITDA | 2733 | 2271 | 2292 | 2478 | 1884 | ||||||||
Comparable EBITDA | 2431 | 2396 | 2398 | 1151 | 1271 | ||||||||
Interest-bearing net debt | 6 783 | 6826 | 5969 | 6179 | 4345 | 3158 | |||||||
Net debtEBITDA | 25 | 30 | 26 | 25 | 8161 | ||||||||
Comparable Net debtEBITDA | 28 | 28 | 25 | 16839 | 15130 | ||||||||
23 | 18 | ||||||||||||
Return on capital employed () | 138 | 116 | 121 | 150 | 134 | 135 | |||||||
Return on shareholders equity () | 191 | 157 | 160 | 187 | 144 | 135 | |||||||
) as of 30 June 2011 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | |||||||||||
Operating profit before depreciations | 764 | 490 | 1813 | 1351 | 2271 | 2733 | 2478 | 1663 | 2370 | 0 | |||||||||||
Non-cash flow items and divesting activities | -299 | -6 | -569 | -73 | 124 | -372 | -275 | -268 | -56 | 0 | |||||||||||
Financial items and fx gainslosses | 12 | -146 | -290 | -323 | -641 | -608 | 233 | ||||||||||||||
Taxes | -144 | -73 | -258 | -155 | -355 | -458 | -332 | -231 | -534 | 0 | |||||||||||
Funds from operations (FFO) | 333 | 265 | 696 | 800 | 1399 | 1295 | 2104 | 1164 | 1780 | 0 | |||||||||||
Change in working capital | 77 | 157 | 168 | 143 | 38 | 63 | -102 | 161 | 5 | 0 | |||||||||||
Total net cash from operating activities | 410 | 422 | 864 | 943 | 1437 | 1358 | 2002 | 1325 | 1785 | 0 | |||||||||||
Paid capital expenditures | -297 | -263 | -503 | -486 | -1134 | -1151 | -1018 | -341 | -931 | 0 | |||||||||||
Acquisition of shares | -1 | -1 | -20 | -1 | -28 | -47 | -1243 | -257 | -1243 | 0 | |||||||||||
Other investing activities | 331 | -16 | 541 | 72 | 60 | 529 | -21 | 258 | -34 | 0 | |||||||||||
Cash flow before financing activities | 443 | 142 | 882 | 528 | 335 | 689 | -280 | 985 | -423 | 0 |
MEUR | Q1-Q300 | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | 2004 | ||||||||||||||||||
Sales | 7732 | 1316 | 1295 | 3350 | 3242 | 6296 | 6404 | 5636 | 3159 | 5354 | 0 | 3835 | ||||||||||||||||||
Expenses | -7109 | -968 | -956 | -2353 | -2252 | -4463 | -4564 | -3673 | -1832 | -3482 | 0 | -2640 | ||||||||||||||||||
Comparable operating profit | 623 | 348 | 339 | 997 | 990 | 1833 | 1840 | 1963 | 1327 | 1872 | 0 | 1195 | ||||||||||||||||||
Other items affecting comparability | 261 | 12 | 512 | 85 | -125 | 302 | ||||||||||||||||||||||||
Operating profit | 609 | 351 | 1509 | 1075 | 1708 | 2142 | ||||||||||||||||||||||||
Share of profit of associates and jvs | 15 | 15 | 74 | 31 | 62 | 105 | 126 | 223 | 96 | 0 | 12 | |||||||||||||||||||
Financial expenses net | -209 | -72 | -34 | -127 | -61 | -155 | -221 | -239 | -117 | -222 | 0 | -245 | ||||||||||||||||||
Profit before taxes | 0 | 552 | 332 | 1456 | 1045 | 1615 | 2026 | 1850 | 1433 | 1746 | 0 | 0 | ||||||||||||||||||
Income tax expense | -83 | -74 | -61 | -232 | -191 | -261 | -302 | -254 | -218 | -364 | 0 | -259 | ||||||||||||||||||
Net profit for the period | -26 | 478 | 271 | 1224 | 854 | 1354 | 1724 | 1596 | 1215 | 1382 | 0 | 0 | ||||||||||||||||||
Non-controlling interests | 6 | 8 | 74 | 32 | 54 | 96 | 54 | 31 | 35 | 0 | 33 | |||||||||||||||||||
EPS basic (EUR) | 039 | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 148 | ||||||||||||||||||
EPS diluted (EUR) | 053 | 030 | 129 | 093 | 146 | 183 | 174 | 133 | 152 | 171 | 079 | |||||||||||||||||||
069 |
Key ratios
Q2 lsquo11
Debt maturity profile
per 30 June 2011 per 31 Dec 2010
Average interest rate (incl swaps and forwards)4435
Portion of floating fixed debt 47 53 49 51
Strong financial position
Return on capital employed
12
Return on shareholders equity
14
Net debtEBITDA
around 30
138
191
28
Fortumrsquos financial targets
LTM in Q22011
Good liquidity ndash committed credit lines total EUR 27 billion
Comparable net debtEBITDA
Outlook
Q2 Summary
Outlook
Outlook
(Q1 70 at EUR 44MWh)
(Q1 45 at EUR 45MWh)
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007
2008
2009
2010
2011
2012
0
10
20
30
40
50
60
70
80
90
100
110
Spot prices
Forward prices
CO2-free and energy-efficient solutions important
Create solid earnings
growth in Russia
Leverage the strong
Nordic core
Build platform for
future growth
Competence in CO2-free hydro nuclear and energy efficient CHP production
and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -
Fortumrsquos strategy remains intact
MEURII2011II2010I-II2011I-II2010LTM
Sales1833275569641 390
Comparable operating profit101021-335
Net Assets7759
Comparable RONA 341
Gross Investments10404
MEURII2011II2010I-II2011I-II2010LTM
Sales2152005264801 009
Comparable operating profit6053184155336
Net Assets3 4873 482
Comparable RONA 99
Gross Investments62479676233
0
250
500
750
1000
1250
1500
1750
20112012201320142015201620172018201920202021+
BondsFinancial institutionsOther long-term debtCPsOther short-term debt
MEURII2011II2010I-II2011I-II2010LTM
Sales195169490413881
Comparable operating profit21-955756
Net Assets3 0512 690
Comparable RONA 34
Gross Investments192167267258608
MEURII2011II2010I-II2011I-II2010LTM
Sales5745971 2671 3662 603
Comparable operating profit2572715826951 185
Net Assets5 9985 726
Comparable RONA 198
Gross Investments36226955136
MEURII2011II2010I-II2011I-II20102010LTM
Sales1 316
1 2953 3503 2426 296
6 404
Expenses-968-956-2 353-2 252-4 463-4 564
Comparable operating profit3483399979901 8331 840
Other items affecting comparability2611251285-125302
Operating profit6093511 5091 0751 7082 142
Share of profit of associates and jvs1515743162105
Financial expenses net-72-34-127-61-155-221
Profit before taxes5523321 4561 0451 6152 026
Income tax expense-74-61-232-191-261-302
Net profit for the period4782711 2248541 3541 724
Non-controlling interests6874325496
EPS basic (EUR)053030129093146183
EPS diluted (EUR)053030129093146183
Spot price for power in NordPool power exchange
448
459
662
523
621
0
12
24
36
48
60
72
Q22010Q32010Q42010Q12011Q22011
eurMWh
Powers Nordic power price
447
469
488
479
474
0
10
20
30
40
50
60
Q22010Q32010Q42010Q12011Q22011
eurMWh
MEURII2011II2010I-II2011I-II20102010LTM
Operating profit before depreciations7644901 8131 3512 2712 733
Non-cash flow items and divesting activities
-299-6-569-73124-372
Financial items and fx gainslosses
12-146-290-323-641-608
Taxes
-144-73-258-155-355-458
Funds from operations (FFO)
3332656968001 3991 295
Change in working capital
771571681433863
Total net cash from operating activities4104228649431 4371 358
Paid capital expenditures-297-263-503-486-1 134-1 151
Acquisition of shares-1-1-20-1-28-47
Other investing activities331-165417260529
Cash flow before financing activities443142882528335689
MEURII2011II2010I-II2011I-II2010LTM
Sales3223011 0479521 865
Comparable operating profit2533196165306
Net Assets3 9113 884
Comparable RONA 82
Gross Investments7259130121314
MEUR
II2011II2010II2011II2010I-II2011I-II2010I-II2011I-II2010
Power257271271280582695760747
Heat25332535196165290194
Russia21-921-95575523
Distribution605325253184155377166
Electricity Sales1010232321-33-6
Other-25-1917-31-41-2924-49
Total3483396093519979901 5091 075
Comparable operating profit
Reported operating profit
Comparable operating profit
Reported operating profit
Spot price for power (market price) Urals hub
770
935
817
950
954
0
200
400
600
800
1 000
1 200
Q22010Q32010Q42010Q12011Q22011
RUBMWh
Achieved power price for OAO Fortum
256
288
305
292
290
0
6
12
18
24
30
36
Q22010Q32010Q42010Q12011Q22011
eurMWh
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
MEURLTM20102009
EBITDA2 7332 2712 292
Comparable EBITDA2 4312 3962 398
Interest-bearing net debt6 7836 8265 969
Net debtEBITDA253026
Comparable Net debtEBITDA282825
Return on capital employed ()138116121
Return on shareholders equity ()191157160
) as of 30 June 2011
MEUR | |||
2011 | 231 | ||
2012 | 668 | ||
2013 | 639 | ||
2014 | 1223 | ||
2015 | 1051 | ||
2016 | 879 | ||
2017 | 270 | ||
2018 | 190 | ||
2019 | 840 | ||
2020 | 73 | ||
2021+ | 1530 |
MEUR | LTM | 2010 | 2009 | 2008 | 2006 | 2005 | |||||||
EBITDA | 2733 | 2271 | 2292 | 2478 | 1884 | ||||||||
Comparable EBITDA | 2431 | 2396 | 2398 | 1151 | 1271 | ||||||||
Interest-bearing net debt | 6 783 | 6826 | 5969 | 6179 | 4345 | 3158 | |||||||
Net debtEBITDA | 25 | 30 | 26 | 25 | 8161 | ||||||||
Comparable Net debtEBITDA | 28 | 28 | 25 | 16839 | 15130 | ||||||||
23 | 18 | ||||||||||||
Return on capital employed () | 138 | 116 | 121 | 150 | 134 | 135 | |||||||
Return on shareholders equity () | 191 | 157 | 160 | 187 | 144 | 135 | |||||||
) as of 30 June 2011 |
MEUR | II2011 | II2010 | I-II2011 | I-II2010 | 2010 | LTM | 2007 | I-III2007 | LTM | LTM | |||||||||||
Operating profit before depreciations | 764 | 490 | 1813 | 1351 | 2271 | 2733 | 2478 | 1663 | 2370 | 0 | |||||||||||
Non-cash flow items and divesting activities | -299 | -6 | -569 | -73 | 124 | -372 | -275 | -268 | -56 | 0 | |||||||||||
Financial items and fx gainslosses | 12 | -146 | -290 | -323 | -641 | -608 | 233 | ||||||||||||||
Taxes | -144 | -73 | -258 | -155 | -355 | -458 | -332 | -231 | -534 | 0 | |||||||||||
Funds from operations (FFO) | 333 | 265 | 696 | 800 | 1399 | 1295 | 2104 | 1164 | 1780 | 0 | |||||||||||
Change in working capital | 77 | 157 | 168 | 143 | 38 | 63 | -102 | 161 | 5 | 0 | |||||||||||
Total net cash from operating activities | 410 | 422 | 864 | 943 | 1437 | 1358 | 2002 | 1325 | 1785 | 0 | |||||||||||
Paid capital expenditures | -297 | -263 | -503 | -486 | -1134 | -1151 | -1018 | -341 | -931 | 0 | |||||||||||
Acquisition of shares | -1 | -1 | -20 | -1 | -28 | -47 | -1243 | -257 | -1243 | 0 | |||||||||||
Other investing activities | 331 | -16 | 541 | 72 | 60 | 529 | -21 | 258 | -34 | 0 | |||||||||||
Cash flow before financing activities | 443 | 142 | 882 | 528 | 335 | 689 | -280 | 985 | -423 | 0 |
Debt maturity profile
per 30 June 2011 per 31 Dec 2010
Average interest rate (incl swaps and forwards)4435
Portion of floating fixed debt 47 53 49 51
Strong financial position
Return on capital employed
12
Return on shareholders equity
14
Net debtEBITDA
around 30
138
191
28
Fortumrsquos financial targets
LTM in Q22011
Good liquidity ndash committed credit lines total EUR 27 billion
Comparable net debtEBITDA
Outlook
Q2 Summary
Outlook
Outlook
(Q1 70 at EUR 44MWh)
(Q1 45 at EUR 45MWh)
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007
2008
2009
2010
2011
2012
0
10
20
30
40
50
60
70
80
90
100
110
Spot prices
Forward prices
CO2-free and energy-efficient solutions important
Create solid earnings
growth in Russia
Leverage the strong
Nordic core
Build platform for
future growth
Competence in CO2-free hydro nuclear and energy efficient CHP production
and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -
Fortumrsquos strategy remains intact
MEURII2011II2010I-II2011I-II2010LTM
Sales1833275569641 390
Comparable operating profit101021-335
Net Assets7759
Comparable RONA 341
Gross Investments10404
MEURII2011II2010I-II2011I-II2010LTM
Sales2152005264801 009
Comparable operating profit6053184155336
Net Assets3 4873 482
Comparable RONA 99
Gross Investments62479676233
0
250
500
750
1000
1250
1500
1750
20112012201320142015201620172018201920202021+
BondsFinancial institutionsOther long-term debtCPsOther short-term debt
MEURII2011II2010I-II2011I-II2010LTM
Sales195169490413881
Comparable operating profit21-955756
Net Assets3 0512 690
Comparable RONA 34
Gross Investments192167267258608
MEURII2011II2010I-II2011I-II2010LTM
Sales5745971 2671 3662 603
Comparable operating profit2572715826951 185
Net Assets5 9985 726
Comparable RONA 198
Gross Investments36226955136
MEURII2011II2010I-II2011I-II20102010LTM
Sales1 316
1 2953 3503 2426 296
6 404
Expenses-968-956-2 353-2 252-4 463-4 564
Comparable operating profit3483399979901 8331 840
Other items affecting comparability2611251285-125302
Operating profit6093511 5091 0751 7082 142
Share of profit of associates and jvs1515743162105
Financial expenses net-72-34-127-61-155-221
Profit before taxes5523321 4561 0451 6152 026
Income tax expense-74-61-232-191-261-302
Net profit for the period4782711 2248541 3541 724
Non-controlling interests6874325496
EPS basic (EUR)053030129093146183
EPS diluted (EUR)053030129093146183
Spot price for power in NordPool power exchange
448
459
662
523
621
0
12
24
36
48
60
72
Q22010Q32010Q42010Q12011Q22011
eurMWh
Powers Nordic power price
447
469
488
479
474
0
10
20
30
40
50
60
Q22010Q32010Q42010Q12011Q22011
eurMWh
MEURII2011II2010I-II2011I-II20102010LTM
Operating profit before depreciations7644901 8131 3512 2712 733
Non-cash flow items and divesting activities
-299-6-569-73124-372
Financial items and fx gainslosses
12-146-290-323-641-608
Taxes
-144-73-258-155-355-458
Funds from operations (FFO)
3332656968001 3991 295
Change in working capital
771571681433863
Total net cash from operating activities4104228649431 4371 358
Paid capital expenditures-297-263-503-486-1 134-1 151
Acquisition of shares-1-1-20-1-28-47
Other investing activities331-165417260529
Cash flow before financing activities443142882528335689
MEURII2011II2010I-II2011I-II2010LTM
Sales3223011 0479521 865
Comparable operating profit2533196165306
Net Assets3 9113 884
Comparable RONA 82
Gross Investments7259130121314
MEUR
II2011II2010II2011II2010I-II2011I-II2010I-II2011I-II2010
Power257271271280582695760747
Heat25332535196165290194
Russia21-921-95575523
Distribution605325253184155377166
Electricity Sales1010232321-33-6
Other-25-1917-31-41-2924-49
Total3483396093519979901 5091 075
Comparable operating profit
Reported operating profit
Comparable operating profit
Reported operating profit
Spot price for power (market price) Urals hub
770
935
817
950
954
0
200
400
600
800
1 000
1 200
Q22010Q32010Q42010Q12011Q22011
RUBMWh
Achieved power price for OAO Fortum
256
288
305
292
290
0
6
12
18
24
30
36
Q22010Q32010Q42010Q12011Q22011
eurMWh
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
MEURLTM20102009
EBITDA2 7332 2712 292
Comparable EBITDA2 4312 3962 398
Interest-bearing net debt6 7836 8265 969
Net debtEBITDA253026
Comparable Net debtEBITDA282825
Return on capital employed ()138116121
Return on shareholders equity ()191157160
) as of 30 June 2011
MEUR | |||
2011 | 231 | ||
2012 | 668 | ||
2013 | 639 | ||
2014 | 1223 | ||
2015 | 1051 | ||
2016 | 879 | ||
2017 | 270 | ||
2018 | 190 | ||
2019 | 840 | ||
2020 | 73 | ||
2021+ | 1530 |
MEUR | LTM | 2010 | 2009 | 2008 | 2006 | 2005 | |||||||
EBITDA | 2733 | 2271 | 2292 | 2478 | 1884 | ||||||||
Comparable EBITDA | 2431 | 2396 | 2398 | 1151 | 1271 | ||||||||
Interest-bearing net debt | 6 783 | 6826 | 5969 | 6179 | 4345 | 3158 | |||||||
Net debtEBITDA | 25 | 30 | 26 | 25 | 8161 | ||||||||
Comparable Net debtEBITDA | 28 | 28 | 25 | 16839 | 15130 | ||||||||
23 | 18 | ||||||||||||
Return on capital employed () | 138 | 116 | 121 | 150 | 134 | 135 | |||||||
Return on shareholders equity () | 191 | 157 | 160 | 187 | 144 | 135 | |||||||
) as of 30 June 2011 |
Debt maturity profile
per 30 June 2011 per 31 Dec 2010
Average interest rate (incl swaps and forwards)4435
Portion of floating fixed debt 47 53 49 51
Strong financial position
Return on capital employed
12
Return on shareholders equity
14
Net debtEBITDA
around 30
138
191
28
Fortumrsquos financial targets
LTM in Q22011
Good liquidity ndash committed credit lines total EUR 27 billion
Comparable net debtEBITDA
Outlook
Q2 Summary
Outlook
Outlook
(Q1 70 at EUR 44MWh)
(Q1 45 at EUR 45MWh)
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007
2008
2009
2010
2011
2012
0
10
20
30
40
50
60
70
80
90
100
110
Spot prices
Forward prices
CO2-free and energy-efficient solutions important
Create solid earnings
growth in Russia
Leverage the strong
Nordic core
Build platform for
future growth
Competence in CO2-free hydro nuclear and energy efficient CHP production
and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -
Fortumrsquos strategy remains intact
MEURII2011II2010I-II2011I-II2010LTM
Sales1833275569641 390
Comparable operating profit101021-335
Net Assets7759
Comparable RONA 341
Gross Investments10404
MEURII2011II2010I-II2011I-II2010LTM
Sales2152005264801 009
Comparable operating profit6053184155336
Net Assets3 4873 482
Comparable RONA 99
Gross Investments62479676233
0
250
500
750
1000
1250
1500
1750
20112012201320142015201620172018201920202021+
BondsFinancial institutionsOther long-term debtCPsOther short-term debt
MEURII2011II2010I-II2011I-II2010LTM
Sales195169490413881
Comparable operating profit21-955756
Net Assets3 0512 690
Comparable RONA 34
Gross Investments192167267258608
MEURII2011II2010I-II2011I-II2010LTM
Sales5745971 2671 3662 603
Comparable operating profit2572715826951 185
Net Assets5 9985 726
Comparable RONA 198
Gross Investments36226955136
MEURII2011II2010I-II2011I-II20102010LTM
Sales1 316
1 2953 3503 2426 296
6 404
Expenses-968-956-2 353-2 252-4 463-4 564
Comparable operating profit3483399979901 8331 840
Other items affecting comparability2611251285-125302
Operating profit6093511 5091 0751 7082 142
Share of profit of associates and jvs1515743162105
Financial expenses net-72-34-127-61-155-221
Profit before taxes5523321 4561 0451 6152 026
Income tax expense-74-61-232-191-261-302
Net profit for the period4782711 2248541 3541 724
Non-controlling interests6874325496
EPS basic (EUR)053030129093146183
EPS diluted (EUR)053030129093146183
Spot price for power in NordPool power exchange
448
459
662
523
621
0
12
24
36
48
60
72
Q22010Q32010Q42010Q12011Q22011
eurMWh
Powers Nordic power price
447
469
488
479
474
0
10
20
30
40
50
60
Q22010Q32010Q42010Q12011Q22011
eurMWh
MEURII2011II2010I-II2011I-II20102010LTM
Operating profit before depreciations7644901 8131 3512 2712 733
Non-cash flow items and divesting activities
-299-6-569-73124-372
Financial items and fx gainslosses
12-146-290-323-641-608
Taxes
-144-73-258-155-355-458
Funds from operations (FFO)
3332656968001 3991 295
Change in working capital
771571681433863
Total net cash from operating activities4104228649431 4371 358
Paid capital expenditures-297-263-503-486-1 134-1 151
Acquisition of shares-1-1-20-1-28-47
Other investing activities331-165417260529
Cash flow before financing activities443142882528335689
MEURII2011II2010I-II2011I-II2010LTM
Sales3223011 0479521 865
Comparable operating profit2533196165306
Net Assets3 9113 884
Comparable RONA 82
Gross Investments7259130121314
MEUR
II2011II2010II2011II2010I-II2011I-II2010I-II2011I-II2010
Power257271271280582695760747
Heat25332535196165290194
Russia21-921-95575523
Distribution605325253184155377166
Electricity Sales1010232321-33-6
Other-25-1917-31-41-2924-49
Total3483396093519979901 5091 075
Comparable operating profit
Reported operating profit
Comparable operating profit
Reported operating profit
Spot price for power (market price) Urals hub
770
935
817
950
954
0
200
400
600
800
1 000
1 200
Q22010Q32010Q42010Q12011Q22011
RUBMWh
Achieved power price for OAO Fortum
256
288
305
292
290
0
6
12
18
24
30
36
Q22010Q32010Q42010Q12011Q22011
eurMWh
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
MEURLTM20102009
EBITDA2 7332 2712 292
Comparable EBITDA2 4312 3962 398
Interest-bearing net debt6 7836 8265 969
Net debtEBITDA253026
Comparable Net debtEBITDA282825
Return on capital employed ()138116121
Return on shareholders equity ()191157160
) as of 30 June 2011
MEUR | |||
2011 | 231 | ||
2012 | 668 | ||
2013 | 639 | ||
2014 | 1223 | ||
2015 | 1051 | ||
2016 | 879 | ||
2017 | 270 | ||
2018 | 190 | ||
2019 | 840 | ||
2020 | 73 | ||
2021+ | 1530 |
Debt maturity profile
per 30 June 2011 per 31 Dec 2010
Average interest rate (incl swaps and forwards)4435
Portion of floating fixed debt 47 53 49 51
Strong financial position
Return on capital employed
12
Return on shareholders equity
14
Net debtEBITDA
around 30
138
191
28
Fortumrsquos financial targets
LTM in Q22011
Good liquidity ndash committed credit lines total EUR 27 billion
Comparable net debtEBITDA
Outlook
Q2 Summary
Outlook
Outlook
(Q1 70 at EUR 44MWh)
(Q1 45 at EUR 45MWh)
Wholesale prices for electricity
Source
EURMWh
German
Nordic
15 July 2011
2007
2008
2009
2010
2011
2012
0
10
20
30
40
50
60
70
80
90
100
110
Spot prices
Forward prices
CO2-free and energy-efficient solutions important
Create solid earnings
growth in Russia
Leverage the strong
Nordic core
Build platform for
future growth
Competence in CO2-free hydro nuclear and energy efficient CHP production
and operating in competitive energy markets
Fortumrsquos Strategy
Work continues -
Fortumrsquos strategy remains intact
MEURII2011II2010I-II2011I-II2010LTM
Sales1833275569641 390
Comparable operating profit101021-335
Net Assets7759
Comparable RONA 341
Gross Investments10404
MEURII2011II2010I-II2011I-II2010LTM
Sales2152005264801 009
Comparable operating profit6053184155336
Net Assets3 4873 482
Comparable RONA 99
Gross Investments62479676233
0
250
500
750
1000
1250
1500
1750
20112012201320142015201620172018201920202021+
BondsFinancial institutionsOther long-term debtCPsOther short-term debt
MEURII2011II2010I-II2011I-II2010LTM
Sales195169490413881
Comparable operating profit21-955756
Net Assets3 0512 690
Comparable RONA 34
Gross Investments192167267258608
MEURII2011II2010I-II2011I-II2010LTM
Sales5745971 2671 3662 603
Comparable operating profit2572715826951 185
Net Assets5 9985 726
Comparable RONA 198
Gross Investments36226955136
MEURII2011II2010I-II2011I-II20102010LTM
Sales1 316
1 2953 3503 2426 296
6 404
Expenses-968-956-2 353-2 252-4 463-4 564
Comparable operating profit3483399979901 8331 840
Other items affecting comparability2611251285-125302
Operating profit6093511 5091 0751 7082 142
Share of profit of associates and jvs1515743162105
Financial expenses net-72-34-127-61-155-221
Profit before taxes5523321 4561 0451 6152 026
Income tax expense-74-61-232-191-261-302
Net profit for the period4782711 2248541 3541 724
Non-controlling interests6874325496
EPS basic (EUR)053030129093146183
EPS diluted (EUR)053030129093146183
Spot price for power in NordPool power exchange
448
459
662
523
621
0
12
24
36
48
60
72
Q22010Q32010Q42010Q12011Q22011
eurMWh
Powers Nordic power price
447
469
488
479
474
0
10
20
30
40
50
60
Q22010Q32010Q42010Q12011Q22011
eurMWh
MEURII2011II2010I-II2011I-II20102010LTM
Operating profit before depreciations7644901 8131 3512 2712 733
Non-cash flow items and divesting activities
-299-6-569-73124-372
Financial items and fx gainslosses
12-146-290-323-641-608
Taxes
-144-73-258-155-355-458
Funds from operations (FFO)
3332656968001 3991 295
Change in working capital
771571681433863
Total net cash from operating activities4104228649431 4371 358
Paid capital expenditures-297-263-503-486-1 134-1 151
Acquisition of shares-1-1-20-1-28-47
Other investing activities331-165417260529
Cash flow before financing activities443142882528335689
MEURII2011II2010I-II2011I-II2010LTM
Sales3223011 0479521 865
Comparable operating profit2533196165306
Net Assets3 9113 884
Comparable RONA 82
Gross Investments7259130121314
MEUR
II2011II2010II2011II2010I-II2011I-II2010I-II2011I-II2010
Power257271271280582695760747
Heat25332535196165290194
Russia21-921-95575523
Distribution605325253184155377166
Electricity Sales1010232321-33-6
Other-25-1917-31-41-2924-49
Total3483396093519979901 5091 075
Comparable operating profit
Reported operating profit
Comparable operating profit
Reported operating profit
Spot price for power (market price) Urals hub
770
935
817
950
954
0
200
400
600
800
1 000
1 200
Q22010Q32010Q42010Q12011Q22011
RUBMWh
Achieved power price for OAO Fortum
256
288
305
292
290
0
6
12
18
24
30
36
Q22010Q32010Q42010Q12011Q22011
eurMWh
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
g CO
2
kWh electricity 2009
Average346 gkWh
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
0
200
400
600
800
1000
1200
DEI
Drax
RWE
CEZ
SSE
EDP
Enel
Vattenfall
EON
Dong
Union
Fenosa
GDF SUEZ Europe
Iberdrola
Fortum total
EDF
PVO
Verbund
Fortum EU
Statkraft
41155
MEURLTM20102009
EBITDA2 7332 2712 292
Comparable EBITDA2 4312 3962 398
Interest-bearing net debt6 7836 8265 969
Net debtEBITDA253026
Comparable Net debtEBITDA282825
Return on capital employed ()138116121
Return on shareholders equity ()191157160
) as of 30 June 2011
MEUR | |||
2011 | 231 | ||
2012 | 668 | ||
2013 | 639 | ||
2014 | 1223 | ||
2015 | 1051 | ||
2016 | 879 | ||
2017 | 270 | ||
2018 | 190 | ||
2019 | 840 | ||
2020 | 73 | ||
2021+ | 1530 |