CEM’s profit growth continues slowing in 2014

Companhia de Electricidade de Macau – CEM, S.A. (CEM) announced that in 2014 total gross consumption reached 4,677 GWh, representing an increase of 6 per cent compared to 2013. The peak demand was 845 MW. The net profit in 2014 was MOP608 million (US$76.1 million), which is 4.6 per cent increase compared to 2013.
The electricity supplier made a net profit of MOP581 million in 2013, some 6 per cent more than in 2012. In 2012, its net profit was 14.4 per cent bigger than the year before.
The company explained that despite the plunge in oil price at the end of last year, it was still relatively high for the whole year of 2014, with its average price seeing an increase of 3.6 per cent compared to 2013. In addition, the price of imported electricity increased by about 1.6 per cent due to the appreciation of the renminbi.
The CEM annual general meeting was held yesterday at CEM Building where the 2014 Annual Report was approved. The company says the capital investment of CEM was MOP743 million in 2014, of which MOP539 million was spent on the upgrade and expansion of the transmission and distribution network.
It added that with the approval of the Macau SAR Government, CEM continued to maintain stable tariffs and offer TCA discounts of up to 18 per cent to 22 per cent for all Tariff Group A customers, accounting for 99 per cent of total customers. They were mainly residential customers as well as small and medium enterprises. The total subsidy reached MOP142 million in 2014.