Jastrzebska Spólka Weglowa (JSW) Q4 2023 earnings summary

Executive summary

• Consolidated 2024 revenue fell 26.2% YoY to PLN 11,325.8m; EBITDA was PLN (6,500.7)m and net loss PLN (7,284.7)m, including PLN 6,449.3m net impairment expense.

• Lower coal and coke prices, reduced output and higher unit mining costs weakened results; the standalone net loss was PLN 6,331.4m.

Financial highlights

• Consolidated operating loss was PLN (8,198.6)m vs. profit of PLN 2,826.7m in 2023; net loss was PLN (7,284.7)m vs. profit of PLN 997.1m.

• Standalone revenue declined 27.2% YoY to PLN 14,391.2m; net loss was PLN 6,331.4m vs. profit of PLN 1,387.2m in 2023.

• Standalone impairment charges included PLN 4,978.7m on non-financial non-current assets and PLN 1,204.2m on subsidiary shares; impairment reversals were PLN 520.5m.

• Consolidated EBITDA excluding non-recurring items was PLN 396.0m, versus PLN 5,517.4m in 2023; reported EBITDA was PLN (6,500.7)m.

Outlook and guidance

• Strategic Transformation Plan targets estimated positive financial effects of PLN 8.5bn by end-2027; 2025 CAPEX was reduced by PLN 1.2bn and procurement savings exceeding PLN 230m were secured.

• January 2025 methane ignition at Knurów-Szczygłowice is expected to reduce 2025 coal output by 800,000 tons; coking coal production was 81% of 2024 coal output, with a target above 90% from 2026.

• 2030 environmental targets include a 30% reduction in Scope 1 and 2 carbon footprint vs. 2018; climate-neutrality ambition remains for 2050.