Annual report 2008/09 - Axpo Group

Axpo Group generated revenues of
CHF 7 550 million in the 2008/09 fi nancial
year which, at –0.6 %, is slightly
less than in the previous year. Sales
were negatively affected by the recession-driven
slump in electricity demand
and the related drop in prices.
However, in spite of the economic
downturn, Axpo delivered almost 1 %
more electricity to its supply area,
mainly as a result of a colder winter.
The energy trading business repeated
the previous year’s excellent performance.
In the fi rst half of the year,
EGL’s trading strategies enabled it to
successfully exploit all opportunities
in a market environment characterized
by sagging prices and high volatility.
Net profi t drops substantially
year-on-year
At CHF 568 million, Axpo Group’s profi
t for the 2008/09 fi nancial year was
down 43 % from the previous year. This
profi t setback was mainly triggered by
the high fi nancial burden caused by regulatory
changes – in particular contributions
to system services – and the impact
of the fi nancial crisis on the real
economy and the energy markets. The
fi nancial result was also much weaker
in the wake of the fi nancial crisis, while
the costs for energy procurement and
grid utilization were on a par with the
previous year.
Personnel and operating costs
increased once again. Our intensifi ed
efforts in international energy trading,
the realization of large projects, growing
challenges associated with the opening
of the market and the expansion of our
production capacities for new renewable
energies generated higher costs.
The commissioning of gas-fi red combined
cycle power plants in Italy in accordance
with established plans also
contributed to this increase. The total
number of employees rose by 11 % to
4 092 full-time equivalents.
Energy procurement
in million kWh
0 35 000
62 772
70 000
Nuclear power plants: 22 276
Hydroelectric power plants: 8913
Conventional thermal power plants: 6880
New energies: 237
From third-party corporations and
trading: 24 466
Energy procurement by country
in million kWh
13.7 %
0.2 %
12.4 %
14.8 %
2.7 %
Total: 62 772
Switzerland: 35 248
Germany: 1678
France: 7787
Italy: 8614
Austria: 102
Other countries: 9343
56.2 %
Once again big investments
in electricity supply
Axpo made investments of CHF 510
million in the reporting year. Most of
these funds went towards the expansion
of production facilities, investments
in electricity production and replacement
investments in the Swiss power
plant fl eet and grid installations.
Energy sales
in million kWh
0 35 000
Core market: 20 000
Losses/own use: 315
To third-party corporations and
trading: 42 457
Energy sales by country
in million kWh
0.4 %
28.5 %
18.2 %
Total: 62 772
1.7 %
5.5 %
Switzerland: 28 697
Germany: 3463
France: 1081
Italy: 17 891
Austria: 263
Other countries: 11 377
45.7 %
62 772
70 000
In spite of the economic
downturn, Axpo sold
almost 1 % more electricity
in its supply area, mainly
as a result of a colder winter.