Weak results for the group, as revenues increased 9% yoy to £3,065m but margins contracted pushing EBITDA to a 26% yoy decrease, reaching £169m, falling 2% below expectations driven by the the removal of the LEC _(Levy Exemption Certificate)_ subsidy and decreasing power prices. The adjusted EPS decreased by 52% yoy to 11.3p and missed forecasts by 8% given also that there was top-line pressure as the group had higher depreciation expenses linked to the biomass investment. On a re

23 Feb 2016
Results heavily impacted by falling power prices and LEC removal

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Results heavily impacted by falling power prices and LEC removal
Drax Group plc (DRX:LON) | 601 0 0.0% | Mkt Cap: 2,139m
- Published:
23 Feb 2016 -
Author:
Juan Camilo Rodriguez -
Pages:
3 -
Weak results for the group, as revenues increased 9% yoy to £3,065m but margins contracted pushing EBITDA to a 26% yoy decrease, reaching £169m, falling 2% below expectations driven by the the removal of the LEC _(Levy Exemption Certificate)_ subsidy and decreasing power prices. The adjusted EPS decreased by 52% yoy to 11.3p and missed forecasts by 8% given also that there was top-line pressure as the group had higher depreciation expenses linked to the biomass investment. On a re