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 0.7288 0.0008 0.11%
AUD 0.9530 0.0000 0.00%
EUR 0.6505 0.0036 0.56%
GBP 0.5620 0.0009 0.16%
HKD 5.6503 0.0056 0.10%
JPY 73.0420 -0.0310 -0.04%

Commods

Commodity Price Change Time
Gold Index 1337.3 -0.160 2016-09-26T00:
Oil Brent 47.9 1.450 2016-09-26T00:
Oil Nymex 45.9 1.400 2016-09-26T00:
Silver Index 19.6 -0.210 2016-09-26T00:

Indices

Symbol Open High Last %
NZX 50 7264.9 7265.2 7264.9 -0.16%
NASDAQ 5254.2 5271.2 5257.5 0.18%
DAX 10451.4 10455.9 10393.7 -1.17%
DJI 18099.2 18130.3 18094.8 0.09%
FTSE 6818.0 6865.4 6818.0 -0.53%
HKSE 23356.0 23646.0 23317.9 1.09%
NI225 16390.9 16683.9 16544.6 0.84%
ASX 5431.4 5431.4 5431.4 -0.47%