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 0.6715 0.0012 0.18%
AUD 0.9327 -0.0005 -0.05%
EUR 0.6008 -0.0005 -0.08%
GBP 0.4560 -0.0002 -0.04%
HKD 5.2139 0.0090 0.17%
JPY 73.9080 0.0820 0.11%

Commods

Commodity Price Change Time
Gold Index 1223.8 -3.140 2016-05-25T00:
Oil Brent 50.2 1.960 2016-05-25T00:
Oil Nymex 49.6 0.910 2016-05-25T00:
Silver Index 16.3 0.010 2016-05-25T00:

Indices

Symbol Open High Last %
NZX 50 6915.7 6947.9 6908.0 0.58%
NASDAQ 4877.2 4905.4 4861.1 0.70%
DAX 10213.9 10266.7 10205.2 0.38%
DJI 17735.1 17891.7 17706.0 0.82%
FTSE 6262.9 6279.4 6262.9 -0.03%
HKSE 20373.5 20404.7 20368.0 0.14%
NI225 16927.7 16957.6 16757.3 0.09%
ASX 5372.5 5402.7 5372.5 0.29%