Czech power company CEZ reports 1st half of year net profit of $1 billion, 34% down year-on-year

PRAGUE (AP) — The Czech power utility CEZ said on Thursday its net profit in the first half of 2023 reached 22.3 billion Czech crowns ($1 billion), down from 33.6 billion in the same period a year ago.

The country’s main electricity producer said it attributed the 34% decline to a windfall tax on profits introduced as prices for energy soared.

The Czech state, which has an almost 70% stake in the company, will receive up to 120 billion Czech crowns from CEZ this year in dividends, income taxes and levies on production sales, including a windfall tax, the company said.

CEZ chief executive said the results reflect “the gradual stabilization on energy markets.”

Last year, the company’s profit soared on an enormous rise in prices caused by the Russian invasion of Ukraine, higher profit from commodity trading on foreign markets and high operational reliability in its power plants.

That resulted in record dividends of 145 Czech crowns per share.

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