MVV halves profit in 2023/24, proposes 9% dividend hike (updated)

MVV Energie AG

12/12/2024 08:46

(Adds details, quotes from paragraph 4)
       FRANKFURT, Dec 12 (Reuters) - German regional utility
MVV Energie  MVVGn.DE  on Thursday reported a halving of annual
profit but proposed a dividend increase of 9% for its 2024
fiscal year ended in September.
    MVV, based in Mannheim where the city owns a 50.1% stake in
the company, said it planned to raise its dividend to 1.25 euros
per share for 2024 from 1.15 euros the previous year.
    MVV has long held certified targets to transition to
low-carbon heat as well as electricity-, waste- and
biomass-based energy products for industry and household
customers ahead of some bigger sector peers.
        Adjusted earnings before interest and tax (EBIT)
amounted to 426 million euros ($447.98 million), down from 880
million euros a year earlier, said MVV, in which Mitsubishi UFJ
Financial Group's  8306.T  First Sentier Investors owns a 45.1%
stake.
  
        "The exceptional financial year 2023 was characterised
by non-repeatable one-off effects, in particular by disposal
proceeds from asset sales and by an exceptional wholesale
price-related development," CEO Georg Mueller said.
  
        Operating earnings in 2025 will likely be in a range of
350 to 400 million euros, he said.
  
        "Overall, we assume that our broad-based business model
will also give us stability in the 2025 financial year," he
said.
  
        
  
    ($1 = 0.9509 euros)
  


 (Reporting by Vera Eckert, editing by Rachel More)
 ((vera.eckert@thomsonreuters.com; +49 30 2201 33654))