Vattenfall posts Q2 loss of EUR 3bn due to impairments

Source: News Oresund. License: Creative Commons, Attribution 2.0 Generic.

Swedish energy group Vattenfall AB saw its net loss widen to SEK 28.8 billion (USD 3.3bn/EUR 3.1bn) in the second quarter of 2015 from just SEK 2.3 billion a year back.

Impairment losses of SEK 36.3 billion related to nuclear and lignite power operations and provisions of SEK 3.9 billion weighed on the company’s bottom line. Meanwhile, wind power generation is going up in line with Vattenfall’s decision to shift to a more sustainable energy portfolio.

Details on the company’s performance are available in the table.

Results in SEK	Q2 2015	Q2 2014	H1 2015
After-tax profit	28.8 billion	2.32 billion	23.83 billion
Underlying operating profit	2.97 billion	4.09 billion	10.7 billion
Net sales	36.12 billion	36.58 billion	81.49 billion
Electricity generation	39.7 TWh	39.7 TWh	86.1 TWh

In the April-June quarter, Vattenfall sold its last fossil-based power generation assets in Denmark. The company also officially opened the 288-MW DanTysk offshore wind farm in the German portion of the North Sea, and the 36.9-MW Clashindarroch onshore wind farm in Scotland.

Net sales at the wind power division amounted to SEK 1.38 billion in the reporting period, up from SEK 977 million a year earlier. The underlying operating profit at the segment stood at SEK 152 million.

(SEK 10 = USD 1.158/EUR 1.067)

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