KEPCO Posts Operating Profit for Second Consecutive Quarter... Last Year's Operating Loss of 4.6 Trillion Won

원본보기 아이콘

Korea Electric Power Corporation (KEPCO) announced on the 23rd that its 2023 financial results showed sales of 88.2051 trillion KRW and operating expenses of 92.7742 trillion KRW, resulting in an operating loss of 4.5691 trillion KRW.

The operating loss decreased by 2.886 trillion KRW compared to the previous year. A KEPCO official explained, "Sales increased by 16.9472 trillion KRW due to rate hikes and other factors, while operating expenses decreased by 11.1388 trillion KRW due to reductions in fuel costs and power purchase costs."

Looking in detail at the main factors compared to the previous year, sales volume decreased by 0.4%, but the unit sales price rose by 26.8% due to rate hikes, resulting in an increase of 16.7558 trillion KRW in electricity sales revenue. Fuel costs for subsidiaries decreased by 7.6907 trillion KRW, and power purchase costs from private power producers also fell by 3.6806 trillion KRW. Although subsidiary power generation decreased due to increased preventive maintenance, power purchases increased due to the entry of new private coal power plants. Additionally, other operating expenses increased by 23.25 billion KRW due to higher depreciation expenses from new assets in power generation and transmission and distribution facilities.

A KEPCO official stated, "With three rate hikes in 2023 and a drop in fuel prices, operating profits were recorded for two consecutive quarters on a consolidated financial statement basis, and the business environment is improving due to the stabilization trend in fuel prices such as international oil prices. We will thoroughly and promptly implement the self-help efforts promised to the public and continue to discuss various measures with the government to resolve the accumulated deficit."

© The Asia Business Daily(www.asiae.co.kr). All rights reserved.