E.ON AG / Interim Report/Quarter Results 11.05.2010 08:02 Dissemination of a Corporate News, transmitted by DGAP - a company of EquityStory AG. The issuer / publisher is solely responsible for the content of this announcement. --------------------------------------------------------------------------- * Adjusted EBIT up 20 percent year on year * U.S. power and gas business divested * 2010 forecast unchanged with adjusted EBIT expected up between 0 and 3 percent and adjusted net income at prior-year level Düsseldorf-based energy company E.ON has started the 2010 financial year extremely well. New CEO Johannes Teyssen, presenting his company's interim results for the first time, announced that E.ON's first-quarter adjusted EBIT was up 20 percent year on year to more than EUR3.7 billion. Sales of about EUR26 billion were at the prior-year level. E.ON achieved particularly significant earnings increases in the U.K., energy trading, and its still fairly new renewables business. Nevertheless, in view of the continuing financial and economic crisis and the anticipation of greater volatility in earnings development in 2010 than in 2009, E.ON is remaining conservative regarding the full year and stands by its cautiously optimistic forecast. It expects 2010 adjusted EBIT to increase by between 0 and 3 percent and adjusted net income to be at the prior-year level. The Central Europe market unit recorded adjusted EBIT of EUR1.638 billion, just EUR13 million below the prior-year figure. A regulation-driven increase in power and gas network charges, efficiency improvements, and the commissioning of new generating units were the main positive factors, the disposal of power capacity and the ultrahigh-voltage transmission system as well as narrower margins in the gas business the main negative factors. Pan-European Gas's adjusted EBIT was down by EUR111 million to EUR713 million. Lower earnings in the transport business and the absence of earnings streams due to the disposal of Thüga were not offset by higher earnings in E.ON's gas production business. First-quarter earnings in the gas wholesale business were stable. Although sale volume was higher due to the long winter, sales prices remained under pressure in a more intensely competitive environment. The U.K. market unit's adjusted EBIT increased significantly, rising by EUR358 million to EUR433 million. This is primarily attributably to improvements in the retail business and to a weather-driven increase in gas sales volume. Nordic's adjusted EBIT increased slightly, by EUR11 million, to EUR234 million. U.S. Midwest's adjusted EBIT of EUR129 million was just EUR4 million below the prior-year figure. In a volatile market, Energy Trading recorded an adjusted EBIT of EUR348 million compared with EUR107 million in the prior-year period. The optimization reporting unit, whose main purpose is to limit risks and to optimize the deployment of the E.ON Group's generation and production assets, contributed EUR350 million. By contrast, the proprietary trading reporting unit recorded a loss of EUR2 million. Adjusted EBIT at the New Markets segment (which encompasses E.ON's operations in Russia, Italy, Spain, and renewables) rose by 55 percent to EUR246 million. Climate & Renewables in particular posted a considerably higher adjusted EBIT, mainly due to the significant increase in its wind power capacity. The Russia market unit benefited from ongoing market liberalization. Net income attributable to shareholders of E.ON AG of EUR2.3 billion and corresponding earnings per share of EUR1.20 were both down by 7 percent from the respective prior-year figures of EUR2.5 billion and EUR1.29. E.ON's adjusted net income (which does not include effects like the marking to market of derivatives, net book gains and losses on disposals, and restructuring expenses) rose by 16 percent to just under EUR2.1 billion. Cash provided by operating activities of more than EUR3.1 billion was about 8 percent above the prior-year figure. Carsten Thomsen-Bendixen T: +49-211-4579-544 Dr. Mirko Kahre T: +49-211-4579-4170 11.05.2010 08:02 Ad hoc announcement, Financial News and Media Release distributed by DGAP. Medienarchiv at |[![CDATA[|[a href="http://www.dgap-medientreff.de"|]www.dgap-medientreff.de|[/a|]]]|] and |[![CDATA[|[a href="http://www.dgap.de"|]www.dgap.de|[/a|]]]|] --------------------------------------------------------------------------- Language: English Company: E.ON AG E.ON-Platz 1 40479 Düsseldorf Deutschland Phone: +49 (0)211 4579-0 Fax: +49 (0)211 45 79-5 01 E-mail: investorrelations@eon.com Internet: www.eon.com ISIN: DE000ENAG999 WKN: ENAG99 Indices: DAX, EURO STOXX 50 Listed: Regulierter Markt in Berlin, Frankfurt (Prime Standard), Düsseldorf, München, Hannover, Stuttgart, Hamburg; Terminbörse EUREX; Foreign Exchange(s) Mailand End of News DGAP News-Service ---------------------------------------------------------------------------
DGAP-News: E.ON AG: E.ON has strong first quarter
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