Dewa profits surges 12.6% in H1

The Dubai Electricity and Water Authority (Dewa) today said its total comprehensive income during the first half of 2012 grew by 12.6 per cent compared with the same period last year.

In a statement posted on the Nasdaq Dubai website, the Dubai utility responsible for the distribution of water and power in the emirate, said its income for the six-month period rose by more than 12 per cent to Dh1.84 billion in H1 2012 from Dh1.63 billion in H1 2011 as revenues edged up by 4 per cent, from Dh6.6bn to Dh6.8bn, during the same period.

Dewa’s financial statement for the period shows that the utility’s operating profits dipped 7.4 per cent, from Dh2.8bn in h1 2011 to Dh2.6bn in H1 2012, on increased administrative expenses coupled with a decline in other income.

However, a massive 35 per cent reduction in its net finance cost – from Dh1.16bn to Dh752mn – led to the surge in profits.

According to Dewa’s financial statements posted on the Nasdaq Dubai website, its total assets edged up 1.8 per cent in the past six months, from Dh92.8bn as of December 31, 2011, to Dh94.5bn as of June 30, 2012.

The Dubai-based utility had announced in May this year that its 2011 profits were up 24 per cent on higher tariffs and increased sale of power. Dewa’s total comprehensive income in 2011 rose to Dh4.34bn, up from Dh3.49bn in 2010