31. 8. 2005
Consolidated economic results of CEZ Group in the 1st half of 2005
The net profit of CEZ Group reached an amount of 11 billion CZK and is 39 % up on last year
CEZ Group reached, according to the IFRS (International Financial Reporting Standards), net profit of 10.97 bn CZK, when the profit reached at the same period last year was 7.91 bn CZK. The increase in profit was caused by very good operational results, based on the rise in incomes from electricity sales, when costs were growing at slower pace. Operational revenues rose by 20.3 % to 60.74 bn CZK, operational costs grew at a slower pace, namely by 13.6 % to 44.64 bn CZK. Operational profit reached a 16.1 bn CZK level and was 43.6 per cent up on last year. CEZ Group consisted of 38 consolidated companies, including three newly acquired Bulgarian energy distributors, as of. The results and potential of CEZ Power Group were rated by Morgan Stanley´s analytics, who set a target price of 705 CZK for shares of CEZ, which comes to another growth potential to the present price. In case of bull scenario, they set the target price at 862 CZK. Morgan Stanley, apart from others, evaluated CEZ´s acquisition policy and management´s concentration on increasing the value of the company for share-holders. Follow-up information on www.cez.cz (for investors, English version) Ladislav KrizPress Officer, CEZ, a.s.