EDF's earnings fall but profits rise

17 February 2012

EDF_280_549370a It’s that time of the year when the bile rises as we learn about the profits of the energy companies who flog us so much highly-priced gas and electricity, forcing us to stay in because we’re skint and therefore use more of their wretched ‘energy’. Caught in a trap we are.

Today is the turn of EDF to reveal to a flabbergasted world that they’ve made a profit of £1.6 billion in 2011, up from £1.4 billion the previous year. Weirdly though, their revenues dropped from £7.7 billion to £7.1 billion in the same period, meaning that although they raked in less money, more of it was turned into profit.

Meanwhile, we imagine that the bills of EDF customers rose during that period. Weird isn’t it? The French energy giants say that earnings were boosted by increased nuclear output and a drop in wholesale gas prices. Bizarre.

But EDF have said: “In 2010, one of the coldest winters in living memory, we froze our prices. Last year, we were the last of the major suppliers to raise our prices and did so by the lowest amount.” Aww, you can’t not love them can you?

TOPICS:   Utilities   High Street News

16 comments

  • Richard
    Its not really weird is it? Costs fell and prices rose meaning, although some customers left/used less due to increased prices causing a fall in revenue, the margin was higher and it made up for the fall resulting in increased profit.
  • Richard
    I.e. A) I sell 10 apples for £1 each, which cost me 50p each to buy. Revenue = £10 profit = £5 B) I raise the price to £1.20 meaning I only sell 7 apples. The marginal cost of an apple is now 30p Revenue = £8.40 profit = £6.30
  • Avon B.
    @ Richard I'd never buy an apple for £1, never mind £1.20. Unfortunately we all need to buy energy and they know it, which is why it's better state-owned.
  • Richard
    You don't need to, I only sold 10, they were bought by premiership footballers and Russian oil barrons.
  • Mike H.
    How much are your oranges, Rich? If you're buying less apples, you won't get end-column prices. Your cost is greater so you make less profit.
  • Grumpy
    Can't believe there are people out there buying apples at that price. Bet they have Audi/BMW/iPads and watch that Downturn "Fucking" Abbey on the BBC. Bastards.
  • Dick
    Seeing as this is about power, do you know how much it costs to run an apple battery? Four apples in series just about produces 1.5V for me, and it only lasts about five minutes. Using eight in two parallel rows of four keeps the battery going a bit longer. But at £1 an apple, this is too fucking expensive. Go for potatoes instead, not apples. They are cheaper and bigger and provide more power in the long run. Better still, use batteries from poundland.
  • Richard
    Dear consumer, I understand there has been some disappointment with our recent decision to increase apple prices from £1 to £1.20. Moreover the decision to charge £1 in the first place has been met with shock and disgust. We are therefore deciding to reduce apple costs to 5p per apple. We are also proud to introduce new charges to reflect the recent quality enhancements and service upgrades. These include a 50p transaction fee, a 20% credit card fee and voluntary £10 donation to the foundation for ps vita early adopters, refunding those who have been screwed over by obscene proprietary technology prices (donation is compulsory). We hope this goes someway to reassuring customers, and for those who wish to avoid the charges you can sign up to our 25 month apple subscription plan offering unlimited apples a month for just £25 (subject to FUP, prices may change in line with zimbabwean inflation) Yours Apple corp
  • jt
    I feel even better now for keeping them tied up in red tape for so long that I haven't paid for any electricity since last June...
  • Marky M.
    @ Richard WITHOUT PREJUDICE. With regard to your apple support plan, my son recently took an apple to school to give to his teacher. Regardless that it cost me £1 in the first place moments before the price dropped to 5p, my son was hoping he would receive a good maths grade in return. Not only did this not happen, his teacher expressed horror that he had given her a Golden Delicious, which was anything but. She only likes Cox. Large ones. As the primary purpose of apples is to bribe teachers I shall be issuing a claim for compensation for the embarrassment, mental trauma and loss of grades caused by your substandard fruit.
  • Richard
    OUT OF OFFICE REPLY Thank you for your feedback. Unfortunately Richard is out of the country, on a 25 year sabbatical, as he is attempting to learn about the deeper meanings of the Apple fruit with his Mongolian guru. If this feedback involves any kind of negative feedback or threat of legal action then we would like to apologise and offer a voucher for 1 months half price Apple Subscription. (This is a redemption offer, voucher must be hand delivered to North Korea after 6 months 3 days and 13 minutes to qualify) yours Apple Corp.
  • Apple I.
    Dear all, We now own all references to the term "Apple" when used online in any form including any references to Apple Corp. Please stop making any jokes about apples. Oh, please feel free to try out our new OSX Mountain Lion. You will find it to be a magical experience, almost like being in Heaven thanks to the new concepts passed to us by St Jobs. Love and peace, Apple Inc. Legal Department.
  • Richard
    Dear Apple Inc. Legal Dept. As you are probably aware, Apple Corp. are a striving multinational conglomerate and have enjoyed rapid growth in the past 12 months. However we understand legal fees are a high and unnecessary expense and with that in mind: We, Apple Corp., are willing to accept an out of court settlement in order to cease trading. This will be equal to £7.5m worth of Apple Inc. stock options, or 10% off the iPhone 5 (which ever option is more valuable). We would like our voucher in the post within the next 7 days along with a note stating a 16 month time window in which the iPhone 5 will be released. thank you Apple Corp Legal Defense Warrior Team Five Superheroes
  • Richard
    Also just seen your post @Mike Hock. It doesn't matter if I don't get End Column prices as long as wholesale prices fall far enough. Maybe the End Column price was 20p but because I only bought 7 I got 30p..
  • Apple I.
    Dear Richard, Thank you four your kind offer to cease trading and we take this as a valuable staring point in negotiations. As you should be aware, since the sad demise of our Lord Jobs (which in no way is connected with us), we now are running Apple Inc. through our magical robot Tim Cook. In light of this we would like to offer you the following if you cease trading immediately: you will not be killed in a torture camp with a glass encrusted hosepipe. This is a limited time offer, so please consider it carefully. Please note that this offer takes place under US law, specifically the Texan Eastern Division (soon to be renamed iLaw after our recent takeover). Thank you four you valuable time. Apple Inc Legal Department.
  • Apple I.
    Due to failings in Wordpress (not an Apple product - and soon to be litigated into oblivion) we are forced to repeat our offer. Dear Richard, Thank you four your kind offer to cease trading and we take this as a valuable staring point in negotiations. As you should be aware, since the sad demise of our Lord Jobs (which in no way is connected with us), we now are running Apple Inc. through our magical robot Tim Cook. In light of this we would like to offer you the following if you cease trading immediately: you will not be killed in a torture camp with a glass encrusted hosepipe. This is a limited time offer, so please consider it carefully. Please note that this offer takes place under US law, specifically the Texan Eastern Division (soon to be renamed iLaw after our recent takeover). Thank you four you valuable time. Apple Inc Legal Department.

What do you think?

Connect with Facebook, Twitter, or just enter your email to sign in and comment.

Your comment