Energy supplier Eon penned a near-40% increase in pre-tax earnings during the first half of the year as wholesale prices fell.
Pre-tax earnings jumped from €4.1 billion to €5.7 billion during the first six months of the year, the UK’s second-largest energy supplier said on Tuesday.
This prompted an €800 million raise in full-year pre-tax earnings guidance, which Eon now anticipates will sit as high as €8.8 billion.
“It’s very important to emphasize that the positive development in power and gas sales won’t continue in this way in the second half,” chief financial officer Marc Spieker said.
Lower wholesale prices, which have remained below pre-Ukraine war levels since December, will be “systematically passed on” to its five million UK customers in the latter part of the year, the company claimed.
“This will have an adverse financial impact on our earnings in the second half of 2023,” Spieker added.
The company did reassure that financial headwinds from the energy crisis appeared to be winding down, however.