Trustpower sees small gain for 2017 earnings from King Country Energy

Friday 10th February 2017

Trustpower says 2017 earnings will be a slight improvement on the previous year when it reported a 38 percent fall in annual profit to $90 million.

The Tauranga-based energy and telecoms utility said its annual earnings to March 31, 2017 will be boosted by consolidating a full year of operations from King Country Energy and offset by the cost of the demerger it implemented on Oct. 31, 2016, where it separated into Trustpower and Tilt Renewables.

"Taking these factors into account as well as the operating results to date the directors consider that Trustpower’s year end results will be better than last year but not by a significant margin," the company said in a statement to the NZX. The company's 2016 profit was lower due to higher depreciation as a result of the increase in asset values and the gain on acquisition of Green State Power reported in the previous financial year, it said at the time.

The company said it couldn't accurately quantify the impact of new regulations by the Electricity Authority on transmission pricing and distributed generation which were announced in December.

The shares last traded at $4.61, down 1.5 percent today, and have fallen 6.3 percent in the past 12 months.

BusinessDesk.co.nz

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