In the first nine months of this year, excluding special items, adjusted net Income fell nearly 60 percent to 227 million euros, as the Dax-listed company announced on Monday in Essen. The low power made the company’s wholesale prices continue to create.
On the way to its forecasts for the full year, RWE is on track. Chief financial officer Markus Krebber in the upper end of the forecast-to achieve bandwidths. RWE has provided for the full year, adjusted net Income of 500 to 700 million euros, while in 2015, the group achieved good € 1.1 billion.
RWE continued to share on a Monday morning, however, their decline of the past few days. Dividend policy RWE was covering. In the past year, the group had removed its shareholders, the distribution is virtually complete.
WEAK financial results
the First signs of the Federal government’s planned reform of the nuclear waste disposal, leaving just traces in the nine-month balance sheet. RWE must be expected to Deposit approximately 6.8 billion euros in the new national nuclear Fund. To prepare it to be coated of the group in its financial assets and replaced longer-term securities over shorter times. The have pressed in view of the low interest rate environment on the financial result.
The energy trading sector could not make up its losses from the second quarter of betting. The new large subsidiary Innogy, in which RWE will be the so-called future, business networks, sales and green energy has brought together, had already reported on Friday a decline in profits for the first nine months. The Numbers will continue to be fully consolidated in RWE, as the group also holds after the IPO, 76.8 percent of Innogy shares, and permanently as the majority owner wants to stay.
power plants RUN a LITTLE BETTER
In the parent company, trading of the operating businesses in addition to the energy only the actual large-scale power plants. Here it ran last, but better than expected. So could low raw material costs offset the decline in selling prices. In addition, some of the special revenues made a positive impact, so that the division, instead of expecting so far, with a significant decline in profits with a stable earnings this year.
The coal, Gas, and nuclear plants are stuck due to the boom of renewable energies in the crisis. Electricity from renewable energy sources is mainly fed into the grid and displaces, therefore, the production from conventional power plants. The result is a fall in prices that eats at RWE, after some delay, is always stronger in the results. The group sold the bulk of its current production years in advance.
the GROUP WANTS a price increase to OVERSTATE
Recently, a slight recovery in the prices indicated but at least. This is due to increased coal prices, on the other, in France there are warnings of shortages due to the failure of some nuclear power plants in the Winter. However, it is still too early to give the all-clear, said chief financial officer Krebber.
, Including all special effects had to RWE in the first nine months of below-the-line a Mini-profit of eleven million euros. A year ago, a Surplus of 1.9 billion euros, which was mainly due to a billion – dollar one-time gain from the sale of Oil and gas subsidiary Dea stand at this point.
FAST TRANSFER TO the nuclear Fund
Krebber stressed that he wanted to pay the group’s share in the nuclear funds as quickly as possible. For about 35 percent of the required amount, RWE has formed but were not yet available. This is the so-called risk premium, the state would like to be prepared for possible increases in the cost of nuclear waste disposal. The game has won the group the Innogy-IPO, alone, RWE, around 2.6 billion euros in the funds.
The revenue of the group was urgently needed. At the end of September, so even without the revenue from the IPO, and he’s sitting on a mountain of debt of 27.4 billion Euro. Again, about two billion more than at the end of 2015. Higher provisions for pension obligations due to the low interest rates are. Mathematically, no, but they account for only around 8.7 billion euros of debt to RWE, the Rest has been assigned to the subsidiary Innogy.
RWE’s chief Rolf Martin Schmitz had recently announced in an Interview with the “Handelsblatt” in a new Offensive. Opportunities he saw around in other European countries. The group is working on a new strategy, which will be in the spring. Then also, clarity over the future dividend.