Eskom reports net profit of R83m
Eskom has recorded a 10% drop in sales as it continues to battle debt of R43 billion.
Releasing the power utility's interim financial results to the end of September, CEO Andre de Ruyter said they have made a net profit of R83 million.
"Operating profit has come in at R14.3 billion higher than last year in the same period and this is under very challenging circumstances. Finance costs remain a very substantial negative impact on our income statement at R15.3 billion for the 6 months. Government support has been instrumental in ensuring we can continue servicing our debt, unfortunately, it does not structurally address underlying debt.
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"Our operations recovery is doing well but there is still a lot of work we need to deliver on especially on maintenance. Our income statement will only really start to look better once we have cost-reflective tariffs. The results of the year remain a challenge even though today we report a modest net profit of R83 million, which is pleasing.”
Eskom’s chief financial officer Caleb Cassim said they are likely to request an 8% increase in electricity tariffs in April.