Kenon Holdings(US:KEN)2025-08-13 10:01Financial Performance - Revenues for the six-month period ended June 30, 2025, were NIS 1,361 million, representing a 3.8% increase compared to NIS 1,311 million for the same period in 2024[13]. - Gross income for the six-month period was NIS 200 million, down 18.4% from NIS 245 million in the previous year[13]. - Operating profit increased to NIS 242 million for the six-month period, compared to NIS 164 million in the same period of 2024, marking a 47.6% increase[13]. - Profit for the period attributable to the Company's shareholders was NIS 71 million, a significant increase from NIS 2 million in the prior year[13]. - The Company reported a comprehensive loss of NIS 406 million for the six-month period, compared to a comprehensive income of NIS 101 million in the same period of 2024[14]. - For the six-month period ended June 30, 2025, the profit for the period was NIS 97 million, compared to a loss of NIS 12 million in the same period of 2024[16]. - The company reported a profit before taxes on income of NIS 123 million for the six-month period ended June 30, 2025, compared to a profit of NIS 15 million in the same period of 2024[40]. - Profit for the three-month period ended June 30, 2025, was $4,389 thousand under US GAAP, compared to $24,200 thousand for the same period in 2024, reflecting a significant decrease[112]. Assets and Equity - As of June 30, 2025, total assets of OPC Energy Ltd. amounted to NIS 12,718 million, a slight decrease from NIS 12,935 million in June 30, 2024[10]. - Total equity attributable to the Company's shareholders rose to NIS 5,275 million, up from NIS 3,947 million in June 30, 2024, reflecting a 33.7% increase[11]. - The total equity as of June 30, 2025, increased to NIS 6,869 million from NIS 5,381 million as of June 30, 2024, reflecting a growth of approximately 27.6%[18]. - The Company's shareholders' equity stood at approximately NIS 5,275 million, exceeding the minimum requirement of NIS 250 million for distribution purposes[54]. - OPC Israel's equity capital was approximately NIS 2,194 million, significantly above the minimum threshold of NIS 1,100 million[58]. - The Company's equity to asset ratio was reported at 74%, well above the required minimum of 30%[58]. Cash Flow and Financing - Cash and cash equivalents increased to NIS 1,586 million as of June 30, 2025, compared to NIS 722 million in June 30, 2024, indicating a 120% increase[10]. - Cash flows from operating activities for the six-month period ended June 30, 2025, amounted to NIS 318 million, slightly down from NIS 327 million in the same period of 2024[22]. - The net cash provided by financing activities for the six-month period ended June 30, 2025, was NIS 935 million, a significant increase from NIS 78 million in the same period of 2024[24]. - The company experienced a net cash used for financing activities of $43,154 thousand for the six-month period ended June 30, 2025[111]. - The net cash used for financing activities for the year was $179,901 thousand, indicating significant capital outflows[113]. Investments and Acquisitions - The company completed the acquisition of an additional 20% stake in the Shore Power Plant, increasing its holding to approximately 89%[85]. - The company invested approximately USD 50 million in the US Renewable Energy Segment in April 2025[89]. - The company purchased property, plant, and equipment for approximately NIS 104 million in the six months ended June 30, 2025, compared to NIS 512 million in the same period of 2024[86]. Liabilities and Debt - Current liabilities decreased to NIS 908 million from NIS 1,141 million in the previous year, a reduction of 20.4%[11]. - The total liabilities as of June 30, 2025, were $332,537 thousand, a decrease from $381,210 thousand as of June 30, 2024, indicating improved leverage[114]. - The total liabilities under the New Refinancing Agreement for Shore are approximately NIS 1.57 billion (approximately USD 436 million)[94]. Operational Metrics - EBITDA after proportionate consolidation for the six-month period ended June 30, 2025, was NIS 257 million, compared to NIS 332 million in the same period of 2024, indicating a decrease of about 22.6%[39]. - The operating expenses for the six-month period ended June 30, 2025, were $139,445 thousand, compared to $126,626 thousand for the same period in 2024, representing an increase of approximately 10.1%[107]. - The company reported depreciation and amortization expenses of NIS 129 million for the three-month period ended June 30, 2025, compared to NIS 162 million in the same period of 2024[22]. Dividends and Distributions - The company received dividends and capital distributions from associates totaling approximately NIS 98 million during the reporting period[88]. Credit and Ratings - The company’s credit rating was upgraded to ilA with a stable outlook by Ma'alot S&P in May 2025, following improvements in business profile and financial ratios[50]. Miscellaneous - The company is exploring the possibility of reversing an impairment provision of approximately NIS 35 million related to the Hadera 2 Project following government approval[84]. - The adjustments between US GAAP and IFRS include differences in the treatment of maintenance costs, hedge effectiveness, and the classification of intangible assets[123].