PGE Swings to 4Q Loss, Proposes PLN0.86/Share Dividend

   By Marynia Kruk 
 

WARSAW--Poland's largest power utility Polska Grupa Energetyczna SA (PGE.WA) said Thursday it swung to a 420 million zloty ($132 million) net loss in the fourth quarter, in line with a month-earlier warning about a write-down on the value of its Dolna Odra power plant and a carbon capture and storage project.

Analysts polled by Dow Jones Newswires expected an average net profit of PLN406 million.

In a separate statement, the management of the state-controlled company recommended a dividend of PLN0.86 a share or 50% of 2012 net profit, which would yield 5% based on PGE's closing share price Wednesday, less than some analysts had expected.

PGE's fourth-quarter sales reached PLN8.66 billion, beating an average analyst forecast of PLN7.24 billion.

Lower power prices in Poland have depressed the company's shares, which are 11% lower than a year ago.

Write to Marynia Kruk at [e-mail]

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