22 Feb 2017

Meridian announces 20% growth in half-year profit

1:41 pm on 22 February 2017

Meridian Energy has lifted its half-year profit after wet weather helped to lower costs and its Australian business performed better.

Meridan Energy Wellington.

n ocaption Photo: RNZ / Alexander Robertson

Net profit rose 20 percent to $124 million in the six months to the end of December, despite a 7 percent fall in revenue.

"While mild winter and wet spring conditions contributed to lower contracted sales, record generation, lower purchase costs and less dry period insurance saw 2 percent growth in New Zealand energy margin,"

said chief executive Mark Binns.

"The contribution of our Australian business was significant, with energy margin 43 percent higher than last year with Powershop Australia sales, generation volumes and prices all higher."

Meridian increased its dividend and also declared a special dividend.