Corporate results: K-Electric’s profit jumps 83%

Cost of electricity purchased from the national grid and independent power producers also came down 24%

KARACHI:

Whereas the decline in oil price has eroded the profitability of oil and gas firms, its impact on K-Electric was positive in the January-March 2015 quarter.

Karachi’s power utility reported an 83% increase in profit to Rs3 billion compared to the same period of last year, mainly due to reduction in the cost of furnace oil, which is used to run power plants.

Cost of electricity that K-Electric purchased from the national grid and independent power producers came down 24% to Rs16.96 billion.

The company’s other operating expenses jumped substantially to Rs1.19 billion from just Rs112 million in the comparable period of previous fiscal year.

Published in The Express Tribune, April 24^th,  2015.

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