• 2 minutes Rational analysis of CV19 from Harvard Medical School
  • 4 minutes While U.S. Pipelines Are Under Siege, China Streamlines Its Oil and Gas Network
  • 7 minutes Renewables Overtake Coal, But Lag Far Behind Oil And Natural Gas
  • 3 hours Joe Biden the "Archie Bunker" of the left selects Kamala Harris for VP . . . . . . Does she help the campaign ?
  • 10 hours Trump Hands Putin Major Geopolitical Victory
  • 5 hours Tesla Begins Construction Of World’s Largest Energy Storage Facility
  • 2 hours America Could Go Fully Electric Right Now
  • 4 hours Those Nasty White People and Camping Racism
  • 1 day China wields coronavirus to nationalize American-owned carmaker
  • 3 hours Will any journalist have the balls to ask Kamala if she supports Wall Street "Carried Interest" Tax Loophole
  • 1 day COVID&life and Vicious Circle: "Working From Home Is Not Panacea For Virus"
  • 2 days Open letter from Politico about US-russian relations
  • 5 hours The Truth about Chinese and Indian Engineering
  • 15 hours Brent above $45. Holding breath for $50??
  • 1 day Oil Tanker Runs Aground in Mauritius - Oil Spill
  • 2 days Trump is turning USA into a 3rd world dictatorship
  • 3 days US will pay for companies to bring supply chains home from China: Kudlow - COVID-19 has highlighted the problem of relying too heavily on one country for production
How COVID-19 Completely Disrupted Car Markets

How COVID-19 Completely Disrupted Car Markets

The Covid-19 pandemic has upended…

Robinhood Investors Have A New Favorite Oil Stock

Robinhood Investors Have A New Favorite Oil Stock

Robinhood investors are an increasingly…

Jen Alic

Jen Alic

 

More Info

Premium Content

E.ON Sees First-Half Profit Slump in Europe

E.ON SE, Germany’s gas, electricity and water utility company, has seen first-half profits drop 15% despite a 15% surge in profits from its UK customers thanks to an 8.7% price rise this year.

Weak demand across Europe has seen the company’s second quarter net income drop to 919 million euros ($1.22 billion) from 1.18 billion euros in the second quarter of 2012.

The 15% drop in the company’s first-half earnings is before interest, tax, depreciation and amortization and represents a 22% fall in net profit, according to Germany’s Deutsche Welle.

"In particular, E.ON's power generation business in Europe is suffering from low-capacity utilization and low wholesale prices as a result of the continent's economic crisis and interventionist energy policies and regulations," the utility firm said in a statement.

At the same time, E.ON has reported a 15% surge in profits from its UK customers, after a March deep-freeze and late arrival of summer sent demand soaring.

Related article: British Gas to Offer Customers Free Electricity on Saturdays

According to Bloomberg, sales dropped 1.2% to 64.6 billion euros in the first half of this year.

The market is changing, and E.ON is scrambling to adapt to lower demand and new market regulations intended to prop up renewable energy sectors such as wind and solar power.

While E.ON is expanding abroad and may shut down some of its plants in Germany, its other adaptive strategies include reducing capital spending and selling off assets.

By. Jen Alic of Oilprice.com


Download The Free Oilprice App Today

Back to homepage





Leave a comment

Leave a comment




Oilprice - The No. 1 Source for Oil & Energy News