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PRYSMIAN GROUP | DIRECTORS’ REPORT
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Group Adjusted EBITDA (before Euro 1 million in non-recurring expenses) came to Euro 623 million, posting
an increase of Euro 114 million on the corresponding figure in 2014 of Euro 509 million (+22.6%). Excluding
the negative impact of the Western HVDC Link project, Adjusted EBITDA would have been Euro 649 million
in 2015, versus a corresponding 2014 figure of Euro 603 million.
Adjusted EBITDA for 2015 reflects the positive impact of Euro 23 million in higher exchange rate effects than
in 2014, resulting from a stronger US Dollar, British Pound and Chinese Renminbi.
EBITDA includes Euro 1 million in net non-recurring expenses (Euro 13 million in net expenses in 2014). The
net non-recurring expenses in 2015 mainly comprise Euro 53 million in costs for reorganising and improving
industrial efficiency, Euro 29 million in net releases from the provision for ongoing antitrust investigations and
income of Euro 44 million arising on the first-time consolidation of Oman Cables Industry (SAOG).
Group operating income came to Euro 399 million in 2015, compared with Euro 312 million in 2014, posting
an increase of Euro 87 million, which mainly reflects the improvement in EBITDA, partly thanks to the
progressive reduction in the negative impact of the Western HVDC Link project as described earlier; however,
such positive effects were partially offset by non-monetary charges arising from fair value changes in metal
derivatives and in stock options serving long-term incentive plans.
Net finance costs came to Euro 89 million in 2015, down from Euro 140 million (-40.0%) in the previous year,
partly thanks to a much more efficient financial structure and to the capital market transactions carried out,
which provided resources at extremely moderate costs and made it possible to refinance the more expensive
liabilities.
Taxes came to Euro 96 million, representing an effective tax rate of around 31%.
Net profit for 2015 was Euro 214 million, compared with Euro 115 million in 2014.