Stronger Generation Income and Good Expense Control Buoy First-Half Results; No Change to Outlook

Meridian Energy reported 21% growth in underlying earnings before interest, tax, depreciation and amortisation or EBITDA. The performance of its core New Zealand electricity business was nearly consistent with the half-year operating statics provided last month. Growth mainly reflects higher generation revenue because of increased volumes and uplift in wholesale electricity prices in New Zealand. It also reflects increased earnings from Meridian’s Australian division post commissioning of the Mt. Mercer wind farm and a significant reduction in operating expenses.