German energy giant, RWE reduced its debt in December 2014 by €31 billion euros to €25.8 billion in 30 September 2015 due to the sale of Dea, oil and gas company.
According to the company's first three quarters of 2015 published on Thursday, the RWE Group’s earnings before interest, taxes, depreciation, and amortization (EBITDA) was down 6 percent year on year to €4.4 billion and its operating result decreased by 9 percent to €2.6 billion.
According to Company, the renewables division recorded a marked improvement in earnings, the operating result earned by RWE Innogy rose by €251 million to €280 million year on year.
'With effect from 30 September 2015, the RWE Group’s net debt amounted to €25.8 billion, which was much less than as of 31 December 2014 €31.0 billion,' the statement said.
The main reason for this was the disposal of RWE Dea, which had an impact of €5.3 billion, including the interest on the sale price, according to the report.
Additionally, full consolidation of the Slovak energy utility VSE from the end of August had a positive one-off effect on the Group’s earnings. Prior to the change in accounting treatment, a revaluation of the investment revealed a hidden reserve of €185 million. Adjusted net income was down 29 percent to €545 million.
External revenue posted a marginal increase, rising to €35.4 billion +0.3 percent.
In the first three quarters of 2015, the RWE Group produced 154.9 billion kilowatt hours (kWh) of electricity, 2 percent more than in the same period in 2014, the company read.
RWE is one of Europe’s five leading electricity and gas companies. The company supplies over 16 million electricity customers and 7 million gas customers with energy.
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