IEC's electricity sales fell 27% to NIS 5.23 billion for the third quarter.
Six weeks late, Israel Electric Corporation (IEC) (TASE: ELEC.B22) last night published its financial report for the third quarter of 2009. The financials were delayed because of a dispute over employee pensions.
IEC's revenue from electricity sales fell 27% to NIS 5.23 billion for the third quarter from NIS 7.21 billion for the corresponding quarter of 2008. The number of kilowatt/hours sold fell to 14.12 billion during the third quarter from 14.39 billion during the corresponding quarter. The company attributed the drop in revenue to a real drop in average revenue per kilowatt/hour, lower consumption, and consumers' switch to off peak rates.
Large electricity consumers' charges are based on a system in which the day is divided into three segments, with usage during peak hours charged higher rates than during off-peak hours. IEC says that customers have displayed flexibility and increased their usage during cheaper off-peak hours, leading to less revenue for the company.
Profit from operating the electricity system fell 6.3% to 1.47 billion for the third quarter from NIS 1.56 billion for the corresponding quarter.
Published by Globes [online], Israel business news - www.globes-online.com - on January 25, 2010
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