Tuesday 21st August 2018
|Text too small?|
Mercury NZ reported a record $561 million in operating earnings on the back of record generation and high wholesale power prices.
The company, the country’s third-largest power and gas retailer by accounts, reported a 27 percent increase in net profit to $234 million for the year ended June 30, from $184 million a year earlier. Earnings before interest, tax, depreciation, amortisation and changes in financial instruments rose to a record $561 million, up 7 percent from $523 million a year earlier.
The Auckland-based company, which also operates five geothermal plants, has benefited from two years of above average inflows into its Waikato hydro catchment.
The nine power stations below Lake Taupo delivered 4,947 gigawatt-hours of electricity during the 12 months, almost 5 percent more than the year before and the highest for the catchment since 1996. Mercury’s total generation rose 2.3 percent to a record 7,704 GWh.
The company raised its earnings forecasts four times since October on the back of those strong inflows and in May started a $50 million on-market share buyback given the firm’s low debt levels and the record full-year earnings expected.
It raised its ebitdaf forecast to between $540 million and $555 million on June 16.
The company plans to pay a second-half dividend of 9.1 cents per share, up from 8.8 cents a year earlier, on Sept. 28.
That takes total dividends for the year to 15.1 cents, from 19.6 cents last year, which included a special dividend of 5 cents per share.
No comments yet
NZ dollar stalls after Bascand's rate cut comments
Bascand says RBNZ will consider changing bank capital proposals
Affordable electricity key to decarbonisation - Genesis
Graeme Hart trims global packaging empire with US$615m asset sale
Stronger-than-expected inflation won't deter November rate cut - economists
Contact in talks on 13MW dairy boiler project
Restaurant Brands forecasts 10% growth in FY2020
Domestic inflation rises at fastest annual pace in eight years
16th October 2019 Morning Report
NZ dollar falls against British pound on Brexit hopes, CPI in focus