New Zealand-based electricity and gas company Contact Energy has reported an annual profit of NZ$231.2 million for the 12 months ended June 30, 2007, thanks to its diverse electricity generation portfolio and strong retail performance.
David Baldwin, CEO of Contact, said that despite trading conditions that differed markedly from the previous financial year, the company delivered a pleasing annual result.
Contact’s earnings before net interest expense, income tax, depreciation, amortization and financial instruments for the 12 months ended June 30, 2007 were NZ$543.7 million, compared with NZ$557 million for the corresponding period in 2006.
Mr Baldwin said: Contact has delivered a good result for the company’s shareholders, despite average wholesale electricity prices being 42% lower than in the 2006 year. Contact’s retail business has played an important role in this result and demonstrated the value of a well-balanced and integrated company.
Mr Baldwin also noted a 20% increase in the unit cost of natural gas over the 12 months to the end of June 2007.