Statkraft has reported a decrease in profits for the first quarter of 2024 as power prices continued to drop following two “extraordinary years” in the energy markets.
Underlying earnings before interest and tax (EBIT) decreased to Nkr13.5bn (€1.2bn), compared with Nkr17.5bn in the same period in 2023, while profit after tax was Nkr6.8bn for the first quarter of 2024 compared with Nkr10.2bn in the first quarter of last year.
Energy markets continued to normalise and power prices dropped sharply, driven by lower gas prices, a mild winter and reduced demand.
European power prices in the first quarter fell by 31% in the Nordic region and 42% in Europe/Germany compared with the extraordinary high prices in the same quarter last year.
Slightly higher wind power generation, higher nuclear availability and lower total export contributed to continued decline in Nordic power prices.
Statkraft’s generation was higher than the same quarter last year and above normal for the period, mainly driven by Norwegian and Brazilian hydropower.
“I am satisfied with the strong results despite much lower power prices in the first quarter,” said Statkraft chief executive Birgitte Ringstad Vartdal, who commenced the role on 1 April.
“We continue to deliver strong performance in power generation and energy management, and high value-creation in trading and origination.
“We are well positioned with a solid and scalable business model that provides us with the flexibility needed to quickly adapt to changing market conditions.”