Meridian Energy underlying profit down 13%

Meridian Energy’s underlying profit after tax for the year ended June 30 was down 13% to $219.0 million, a $32.9 million fall from last year.

Meridian is one of a handful of state-owned enterprises in line for a partial sell-down if National wins the next election.

The reduction was largely driven by the increase in depreciation charges ($35.0 million) following the revaluation of Meridian’s New Zealand generation assets at 30 June 2010. 

It was also due to the increase in net finance costs ($22.6 million) due to extra funding requirements to advance generation developments.

Group net profit after tax was $303.1 million, an increase of $119.1 million on last year, which included the one-off net gain of $157.4 million from the sale of the Tekapo A and B hydro 
stations to Genesis 
Energy on June 1..

Ebitdaf (earnings before interest, taxation, depreciation, amortisation and financial instruments) was $659.9 million, an increase of $18.2 million (3%) compared with the same period last year.

The result includes $28.1 million (net of legal expenses) received from Meridian’s largest customer RTA Power (New Zealand Aluminium Smelter) following a settlement concerning 
liability for electricity during the 2008 potline outage at the Tiwai smelter.

Other factors were flat electricity demand compounded by the 
Christchurch earthquakes and the warm autumn/early winter, high hydro storage levels and the loss of generation following the sale of the Tekapo A and B hydro stations.


Got a question about this story? Leave it in Comments & Questions below.

This article is tagged with the following keywords. Find out more about MyNBR Tags

Comments & Questions

Commenter icon key: Subscriber Verified

Post New comment or question

Plain text

  • No HTML tags allowed.
  • Web page addresses and e-mail addresses turn into links automatically.
  • Lines and paragraphs break automatically.

NZ Market Snapshot

Forex

Sym Price Change
USD 0.7188 0.0000 0.00%
AUD 0.9481 0.0000 0.00%
EUR 0.6451 0.0000 0.00%
GBP 0.5452 0.0000 0.00%
HKD 5.5895 0.0000 0.00%
JPY 73.1040 0.0000 0.00%

Commods

Commodity Price Change Time
Gold Index 1349.0 16.400 2016-07-29T00:
Oil Brent 43.5 -1.170 2016-07-29T00:
Oil Nymex 41.6 0.430 2016-07-29T00:
Silver Index 20.3 0.155 2016-07-29T00:

Indices

Symbol Open High Last %
NZX 50 7306.4 7357.7 7306.4 0.57%
NASDAQ 5162.1 5175.8 5155.0 0.14%
DAX 10320.8 10355.3 10274.9 0.61%
DJI 18442.5 18466.5 18456.3 -0.13%
FTSE 6721.1 6740.5 6721.1 0.05%
HKSE 22056.0 22152.8 22174.3 -1.28%
NI225 16359.7 16679.2 16476.8 0.56%
ASX 5556.6 5570.4 5556.6 0.10%