ČEZ earned CZK 7.7 billion in 1H and confirms its annual outlook for net income of CZK 12–14 billion. ČEZ’s worth has increased by almost CZK 47 billion since the beginning of the year.
CEZ Group’s revenues amounted to CZK 86.3 billion, EBITDA was CZK 26.9 billion, and net income was CZK 7.7 billion in the first half of 2018. A year-on-year comparison of profits is significantly affected by non-recurrent revenue of almost CZK 7 billion in 2017, primarily the sale of MOL stock. Moreover, a significant increase in commodity prices adversely affected the income in the first half of 2018 due to temporary revaluation of hedges for the supplies of electricity from planned generation for the second half of 2018. CEZ Group’s real performance in the first half-year is thus in line with expectations and the Group confirms its estimate of adjusted net income of CZK 12 to 14 billion for the full 2018 year as well as its estimated EBITDA of CZK 51 to 53 billion.
On Friday evening, ČEZ shuts down Temelín's Unit 2 as scheduled. The reasons are the equipment inspections and refuelling
Refuelling, checks of the turbine and of the safety systems and the reconstruction of the circulation cooling water piping. These are only examples of the most important works to be done during the Unit 2 outage. Overall, the technicians plan to do over ten thousand actions and, above all, they want to do it within two months.
CEZ Group’s Net Income for Q1 2018 reached CZK 7.3bn, with EBITDA at CZK 17.5bn. The year-on-year decline by CZK 1.5bn is due to one-off revenue from the settlement agreement made with Sokolovská uhelná in 2017, and also due to lower selling prices of power generated by traditional sources and to the lower production of the Počerady steam-gas power plant due to more favorable spot prices of power and gas in 2017. CEZ Group confirmed its expected EBITDA for 2018 to range between CZK 51bn and 53bn, with the yearly Adjusted Net Income to reach CZK 12-14bn.
The German Elevion Group, a member of CEZ Group, will deliver complete central energy systems for combined electricity, heat, and cold generation for BMW Group’s headquarters and production facilities in Munich. The delivery should be completed in the second half of this year.
Board of Directors of power company ČEZ today decided about proposal of dividend from profit of 2017 to be presented to General Meeting of Shareholders – 22.6.2018.
Preparations for connecting the Production Unit 4 back to distribution grid are under way at NPP Dukovany. The unit has been temporarily shut down seven days ago due to pipe inspections in the secondary circuit of the steam generator. The same controls will be also carried out on Units 3 and 1. The fourth unit will begin producing electricity during the weekend.
In 2017, CEZ Group’s net income increased by 30% to CZK 19.0 billion, primarily due to a successful sale of MOL stock and an increase in electricity generation by nuclear power plants by 4 TWh. Earnings before interest, taxes, depreciation and amortization (EBITDA) were CZK 53.9 billion. The year-on-year decrease by 7% basically conforms to the decrease of realization prices of generated electricity. The positive effects of higher electricity generation in nuclear power plants and the benefits of new RES and ESCO acquisitions were eliminated by higher costs of emission allowances for generation from traditional sources and settlement of uninvoiced electricity in 2016.
Negotiations between CEZ and Inercom about fulfilling the contract condition took place from Tuesday March 6th and finished this Friday. The main purpose of the meetings was preparation of documents for the application to the Bulgarian anti-monopoly office (KZK). During the negotiations, representatives of Inercom also presented an official enquiry, if in the current situation there exists a possibility for the Bulgarian state to enter into the transaction.
Tonight, the Temelín Unit 1 began to produce electricity again. It was scheduled shut down for refueling from early December. The outage lasted 83 days and the energy technicians mastered it six days earlier against the schedule. Prior to achieving full power, the energy technicians are about to test the Unit at 80 percent of the rated power.
The CEZ Supervisory Board has granted consent to the sale of the Bulgarian assets to Inercom. The package contains seven companies: CEZ Bulgaria, CEZ Elektro Bulgaria, CEZ Razpredelenie, CEZ Trade Bulgaria, CEZ ICT Bulgaria, Free Energy Project Oreshetz and Bara Group. Following interest of investors in the second half of 2016, CEZ Group started the sales process, the signing of the contract is expected in a few days. Taking into account the sales price, the Group’s fourteen-year-investments in its Bulgarian operations yielded an overall positive return. The international arbitration, which CEZ initiated against the Republic of Bulgaria in July 2016, is not affected by the transaction and ČEZ continues to proceed with it.