Rabbalshede Kraft's Q1 profit soars 147%

Rabbalshede Kraft's Hud wind farm in Sweden. Credit: Rabbalshede Kraft AB.

Swedish wind power company Rabbalshede Kraft AB on Tuesday reported a net profit of SEK 13.75 million (USD 1.42m/EUR 1.30m) for the first quarter of the year, 147% higher than in 2019, as operating costs declined.

Power production was 34% above budget in the quarter as a result of favourable weather conditions. The company has hedged the electricity price on over 70% of production, which together with the higher production helped compensate for the low electricity prices in the period, CEO Peter Wesslau explained.

Total production amounted to 299 GWh, of which 218 GWh was from the company's own wind farms. Availability was 97.7% in the period.

More details about the company’s financial performance in the quarter is available in the table below.

Figures in SEK thousand	Q1 2020	Q1 2019
Total operating revenue	85,622	88,291
Net sales	79,299	78,861
EBIT	19,076	17,386
Net profit/(loss)	13,751	5,565

The market for new management/service agreements has been affected by the ongoing COVID-19 pandemic, but the company believes activity will return after the summer.

Construction of the 16.5-MW Gardhyttan project was delayed and the wind park, currently in the commissioning phase, is expected to start operations in the second quarter.

(SEK 10.0 = USD 1.036/EUR 0.946)

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