Elering’s Financial Results for the Third Quarter

Elering’s revenues in the third quarter of this year were 17.2 million euros, operating profit was 242 thousand euros and net profit was -2.4 million euros.

Elering’s CFO Peep Soone said the results were as expected given the nature of the electricity consumption cycle and Elering’s tariff structures, and also the intensive repair work carried out in the period. „Less electricity is consumed in the summer and the tariff for transmission is lower, but it is at this time that the majority of repair and maintenance work is done. When the weather is colder it is harder to take equipment out of service for maintenance without endangering the security of supply for nearby consumers, “ Soone added.

The results are better than those of the same quarter last year, with revenues rising by 0.4 million euros and operating expenses falling by 0.1 million euros, which meant that operating profit increased by 0.3 million euros. Financial expenses increased by 0.9 million, as a result of which, net profit fell by 0.65 million euros. Cash flows for financing investments increased significantly at the same time from 4.9 to 12.9 million euros compared to the same quarter last year.

During the quarter there were also significant changes in financing. In July Elering issued Eurobonds of 225 million euros with a seven-year maturity and repaid an earlier syndicated loan of 187 million euros. The company’s owner increased Elering’s share capital in September by 9.89 million euros by issuing new shares with the aim of strengthening the company’s financial position in connection with the forthcoming growth in loans needed to fund investments.

Elering is the independent and autonomous Transmission System Operator for Estonia, whose main duty is to ensure high-quality supplies of electricity to consumers at all times. To achieve security of supply, Elering maintains and develops the national transmission grid and international interconnections. Elering controls the Estonian electricity system in real time, ensuring the operation of the transmission network, and the balance between production and consumption.

For more about Elering’s financial results for the third quarter, see here.