Elering’s Q2 Financial Results

In the second quarter of this year, Elering’s revenue was 30.9 million euros, operating profit 12.1 million euros and net profit of 10.0 million euros.

According to Elering’s CFO Peep Soone, there is an ongoing trend of cross-border transmission capacity auction profits exceeding expectations. However, domestic electricity transmission volumes were declining due to warmer weather, especially in April.

Compared to the second quarter of 2013, revenues grew by 7.9 million, whereas operating costs remained on the same level. The increase in revenue was mostly due to the cross-border transmission capacity auctions between Estonia and Latvia, and Estonia and Finland reaching 9.8 million euros in total. The received congestion revenue will lower the transmission fees during the next tariff period. However, the revenue from electricity transmission fell by 1.5 million euros mainly due to a warmer spring while tariffs remained unchanged compared to one year ago. Revenues from the sale of balancing service fell by 2.0 million euros. Accounted financial costs increased by 1.0 million euros due to the reduction of capitalised interest following the completion of large investment objects.

Cash flow from operations came to 18.2 million euros, out of which 14.0 million were used for paying for investments. In regard to loans no changes occurred during the quarter.

Elering is Estonia’s independent and standalone transmission system operator, whose main task is to ensure that Estonia’s consumers enjoy a consistent, high-quality electricity supply. To ensure the security of supply, Elering maintains and develops the domestic transmission network and external interconnections. Elering manages Estonia’s electricity system in real time, ensuring the functioning of the transmission network and the balance between output and consumption.

Elering’s Q2 financial results are available here.