Nuclear power firm British Energy Group yesterday reported a return to profit following January's financial restructuring and helped by higher energy prices.
Britain's largest electricity producer also said it had fixed around 75 per cent of its planned output for 2005/06 at an average price of £29.80 per MWh, a 43 per cent rise from £20.80 in 2004/05.
British Energy relisted its shares in January after a debt for equity swap which wiped £1 billion debt off its balance sheet and transferred nuclear liabilities, including certain decommissioning costs, to the Government. "We have had a challenging year.
However, following the restructuring of the company we see signs of improvement," said chief executive Bill Coley.
"We have completed the first stages of our improvement programme and we have made significant progress in our trading business," he said.
British Energy said earnings before interest, tax, depreciation and amortisation (EBITDA) on continuing activities before exceptional items was £94 million on an annualised basis, just below the consensus forecast of £96 million pounds.
In the two and a half months to March 31, following the restructuring, EBITDA was £129 million.
British Energy shares rose
2.8 per cent at 399.75 pence following the announcement. The company has outperformed other energy firms by 24 per cent since relisting in January.
British Energy said its results had benefitted from higher electricity prices.
