May 19, 2024
Business Companies

Isagen 2Q 2023 Net Income Jumps 22% Year-on-Year

Medellin-based electric power generation giant Isagen announced August 11 that its second quarter (2Q) 2023 net income rose 22% year-on-year, to COP$302.7 billion (US$76 million).

Operating income also rose 20% year-on-year, to COP$1.28 trillion (US$322 million), while earnings before interest, taxes, depreciation and amortization (EBITDA) rose 17%, hitting COP$858 billion (US$216 million).

The boost in profits and operating income came from higher electric power prices — offsetting a 16% drop in Isagen’s own electric power generation, on declining hydropower output.

On the other hand, accumulated energy demand through Colombia’s National Interconnected System (SIN) during 2Q 2023 actually rose 5% year-on-year, to 20,004 gigawatt-hours (GWh), the company noted.

Nationwide hydropower contributions to the SIN network during 2Q 2023 fell 17% below the historical average, while aggregate level of the system’s reservoirs closed 2% above the average, according to Isagen.

Isagen profits suffered from a 61% jump in finance costs this year –a phenomenon hitting virtually all companies in Colombia — “mainly due to an increase in the level of indebtedness and the increase in interest rates in the market,” the company added.

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