The benefit of EDF affected by provisions

July 30th, 2010

EDF has unveiled a new series of bleak, including the formalization of the two-year delay in the construction of the EPR Flamanville. In addition, the group's net profit plunged tricolor 46.9% in the first half to 1.66 billion euros, while analysts were betting, on average, profit of 2.57 billion euros. The group has indeed passed a provision to cover the risk of loss in value of its nuclear activities U.S. $ 1.1 billion. "This provision covers the risk of impairment of assets CEng, investment in Unistar and certain future costs and risks of the project, EDF will now continue his studies for the development of a new reactor at the Calvert Cliffs site, "said in a statement.

Sales and EBITDA exceed expectations

The energy company's EBITDA rose him, from 4.4% to 10.4 billion euros against 9.93 billion euros targeted by analysts. And the turnover amounted to 37.5 billion euros, up 7.7% and also above the expectations of experts, which amounted to 35.9 billion euros. The increase in sales figures is primarily due to acquisitions and CEng SPE, the company said.

EDF maintains its annual outlook

In terms of outlook, EDF has confirmed its objectives for the current year. It is thus an organic EBITDA growth of between 3% and 5%, a ratio of net debt / EBITDA of between 2.5 and 3, and a stable dividend.However, the company said it was a nuclear power between 405 TWh and 415 TWh in France for the whole year, with an availability target of its nuclear plants between 78.5% and 79.5 %. It had previously targeted a rate of availability of its French nuclear plants up 1.5 point "at least" in 2010 compared to 2009. This rate is crucial for the profitability of the group has been set at 85% over the medium term.

In addition, EDF has confirmed two information widely mentioned by the press. The electrician has announced a delay of two years starting from the EPR Flamanville cost of construction and re-evaluated at 5 billion euros.

On the other hand, the group said it has received an offer from Li Ka-shing on its UK business.The Hong Kong billionaire head of Cheung Kong Infrastructure offers 6.9 billion euros for the acquisition of the distribution network owned by EDF in the UK.

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