Czech Power Company CEZ Reports $912 Million Profit, Down 5%

PRAGUE (AP) — Czech energy giant CEZ announced a net profit of 21.1 billion Czech crowns ($912 million) for the first half of the year, reflecting a 5% decrease compared to the same period last year. The company attributed this decline to reduced profits from commodity trading and maintenance activities at its two nuclear power plants. Looking ahead, CEZ projects a full-year net profit ranging from 25 billion to 30 billion Czech crowns. The company’s performance in 2023 marks a significant downturn from the previous year, where it reported a net profit of 29.6 billion crowns, a staggering 63% drop. This decline is largely linked to a windfall tax imposed on profits as energy prices surged. In 2022, CEZ experienced record profits driven by soaring energy prices following the Russian invasion of Ukraine, alongside increased commodity trading revenues and high operational reliability. In light of these financial challenges, CEZ had previously announced record dividends of 145 crowns per share in 2022. However, the company has since revised its expectations, forecasting dividends between 39 and 52 crowns per share for the current year. The Czech state, which holds a nearly 70% stake in CEZ, remains a significant stakeholder in the company’s financial performance and strategic direction.