German power company E.On 2009 net income rises sharply to $11.4 billion

E.On 2009 net income up sharply to $11.4 billion

FRANKFURT — Germany energy company E.On AG said Wednesday that 2009 net income rose sharply to euro8.4 billion ($11.4 billion) partly as a result of the disposal of assets.

E.On, based in Duesseldorf, earned euro1.3 billion in 2008. Revenue fell 6 percent to euro82 billion in 2009 from euro87 billion in 2008. It did not break out fourth quarter figures.

One of the world’s largest energy companies, E.On said it sold some generating capacity and a German high-voltage network during the year, which resulted in a gain of euro2.4 billion.

The 2010 earnings before interest and taxes after special items could be up to 3 percent higher than the euro9.6 billion it earned in 2009, the company said.

The central Europe business improved on efficiency measures, higher network charges, and the inclusion of results from a new French unit, E.On said. It posted an EBIT increase to euro4.8 billion from euro3.8 billion in 2008.

The company said its U.S. Midwest business’ 2009 EBIT of euro348 million was slightly lower than 2008 levels because volumes and prices declined.

The Pan-European Gas business saw a 33 percent decline in EBIT due to the recession which affected demand and lowered transport charges, the company said.

In the U.K. and the Nordic regions, E.On’s EBIT fell about 30 percent. In the U.K., the results were weaker partly because of lower gas transfer prices, while in the Nordic region, E.On saw lower nuclear and hydroelectric power sales.

E.On shares were nearly unchanged at euro26.84 in Frankfurt morning trading.

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