Daily Management Review

German RWE's net profit grows by 22% in the first half of 2020


In the first half of 2020, German energy company RWE AG increased its net profit attributable to shareholders by 21.7% in annual terms - to €1.01 billion, according to the company's financial statements.

smial via flickr
smial via flickr
In terms of one share, the company's earnings in the reporting period amounted to €1.64 against €1.35 a year earlier. Revenue increased by 1% in the first half of the year to €6.579 billion. Power generation decreased in the first half of the year by 12.5%, to 64.5 billion kWh. The company attributes this dynamic to deteriorating market conditions for lignite and coal-fired power plants, as well as competition in the gas market and the crisis caused by the coronavirus pandemic.

At the end of the second quarter, the company received a net profit of €282 million against a loss a year ago of €131 million. Diluted earnings per share were € 0.46 against a loss of € 0.21 last year. Revenue decreased by 1.5% in annual terms - to €2.721 billion.

RWE also said that it still expects adjusted EBITDA in 2020 at €2.7-3 billion.

RWE AG is one of the five largest energy concerns in Europe. The company is engaged in the supply and sale of electricity and gas to European countries. The company employs about 19.7 thousand people.

source: bloomberg.com