Monastiri (Greece) - 10.8 MW wind farm. Photo by Enel Green Power, All Rights Reserved.
Enel Green Power SpA (BIT:EGPW) said on Friday it has turned to a third-quarter (Q3) net loss of EUR 97 million (USD 104.5m) versus a profit of EUR 102 million a year back, mainly due to a EUR-155-million impairment on assets held in Romania.
The Italian renewable power plants developer and operator experienced a 88.7% plunge in earnings before interest and tax (EBIT) to EUR 27 million due to higher depreciation, amortisation and impairment losses. The company explained the EUR-155-million impairment on its Romanian assets with the ongoing uncertainties in the regulatory framework and the country’s market conditions.
Total Q3 revenues fell by 25% to EUR 649 million mainly due to a decline in other revenues, which regarded the effects of the acquisition of control of certain projects in the portfolio held by the ENEOP consortium.
For the first nine months of the year, the group reported a 38% year-on-year drop in net profit to EUR 245 million on revenues of EUR 2.24 billion, up by 7.6% on the year.
Enel Green, part of Italian utility Enel (BIT:ENEL), operates hydro, wind, solar, biomass, geothermal and cogeneration power plants globally. As at the end of September 2015, the company’s net installed capacity amounted to 10,603 MW.