Kepco shifts to a profit in 2nd quarterKorea Electric Power Corp (Kepco), Korea’s state-run utility, said Thursday it shifted to a net profit in the second quarter from a year earlier on decreased fuel costs.
For the three months that ended on June 30, Kepco swung to a net profit of 202.85 billion won ($171.3 million) from a net loss of 412.18 billion won in the same period of last year, the company said in a statement.
“Lower oil prices drove down liquefied natural gas and coal prices in the second quarter. As a result, the company’s purchasing costs of LNG and coal decreased, giving a boost to the bottom line,” a company spokesman said over the phone.
Kepco also shifted to an operating profit of 389.81 billion won in the second quarter from an operating loss of 298.66 billion won a year ago. Sales remained unchanged at 13.07 trillion won during the same period.
From January to June, Kepco swung to a net profit of 256.46 billion won from a net loss of 1.17 trillion won in the year-ago period.
The turnaround was helped by decreased fuel costs. Fuel prices fell to 15.8 trillion won in the first half of 2020 from 18.7 trillion won.
The state utility shifted to an operating profit of 820.36 billion won in the first half from an operating loss of 928.54 billion won a year ago.