Vattenfall, a company engaged in the distribution of electricity, has reported that its operating profit for the third quarter of 2007 increased 37.9% to SEK4.56 billion.
The firm said that the increase in operating profit is entirely attributable to its German operations, but is largely due to an impairment loss of SEK931 million at its German distribution unit in the corresponding period of 2006.
In the Nordic countries, earnings for the third quarter were charged with an impairment loss of SEK195 million, pertaining to a combined heat and power plant in Finland, and to a provision of approximately SEK100 million for restructuring costs in distribution.
The company’s operating profit for the first three quarters of the year was slightly lower than the corresponding period a year ago, falling 2.8% to SEK21.23 billion. The decrease is mainly attributable to the Nordic countries; however, Poland also posted a decline. Germany, on the other hand, improved its result.
The company also reported that net sales for the first nine months of the year rose 9.3% to SEK 105.31 billion. The company’s profit after tax for the first nine months of the year rose 28.4% to SEK17.1 billion.