Last week, on March 25, a regular meeting of the Board of Directors of Sheremetyevo International Airport JSC (SIA JSC) was held in correspondence form. At the meeting, among other issues, the financial statements of SIA JSC for 2019 were approved, prepared in accordance with Russian Accounting Standards (RAS).
According to the results of last year, the revenue of SIA JSC amounted to 39,239 million rubles, an increase of 24.76% compared to the same period in 2018, including for aviation activities – 14%, for non-aviation activities – 11%. The growth in cost of sales amounted to 21.79% – 12,962 million rubles in 2019.
Gross profit of SIA JSC in 2019 amounted to 26,277 million rubles, which exceeded the level of 2018 by 26.27%. According to the results of 2019, the company’s net profit amounted to 20,480 million rubles, an increase of 122.22% compared to the same period in 2018, which was mainly due to the change in the exchange rate and revenue growth.
The Board of Directors considered the opinion of the independent auditor of Ernst & Young LLC based on the results of the audit of the financial and economic activities of SIA JSC for 2019 in accordance with RAS.
It was decided to recommend to the General Meeting of Shareholders of SIA JSC to approve Ernst & Young LLC as an auditor to audit the accounting (financial) statements of SIA JSC for 2020 in accordance with Russian Accounting Standards (RAS), separate financial statements of SIA JSC for 2020 and the consolidated financial statements of SIA JSC for 2020 in accordance with international financial reporting standards (IFRS).
The Board of Directors approved a list of activities aimed at finalizing corporate import substitution plans of SIA JSC and its subsidiaries in terms of prioritizing the procurement of modern domestic remedies against radiation, chemical and biological factors, in accordance with the directives of the Government of the Russian Federation.
Given the difficult epidemiological situation in the world, the Board of Directors approved a plan to counter the negative consequences of the coronavirus epidemic, which includes measures to protect SIA employees from the spread of coronavirus and ensure the stability of their work, in accordance with directives of the Government of the Russian Federation.
By decision of the governments of a number of countries, restrictions were introduced on international flights, state borders were closed, domestic passenger traffic was reduced in Russia, citizens were advised to avoid travel, and other restrictive measures were introduced at the global level. These events negatively affected the air transport industry, which led to a sharp reduction in the number of passenger flights. The workload of production units and administrative services of Sheremetyevo in this regard naturally decreased, and there was a need for urgent adequate measures.
To maintain the balanced operation of the airport, the Sheremetyevo leadership took a number of management decisions:
• significantly reduced all non-production costs;
• redistributed production resources and optimized technological processes;
• Terminals C and E are temporarily decommissioned;
• optimized staff work schedules.
Measures regarding employee work schedules are also preventive in connection with protecting health, the desire to minimize the number of contacts due to coronavirus infection, the ability and necessity to spend time with children and control their movements during quarantine in schools and other educational institutions.
