AES Corporation (NYSE:AES) reports $71m profit on lower impairment charges


Dallas, Texas 11/13/2013 (Financialstrend) – Electric energy operator The AES Corporation (NYSE:AES) has reported its third quarter results with a net profit of $71 million or $0.09 earnings per share compared to a loss of $1.6 billion or $2.1 loss per share during the same period last year.

Moving on, with a challenging environment of dry hydrological conditions at Latin America coupled with depreciating Brazilian Real, AES has still managed to report its adjusted EPS for Q3FY13 higher by 11% YoY, on the back of lower Goodwill impairment expense, better operational efficiency, lower rate of effective tax with effect of debt repayment alongside share repurchases

Year to date net profit stood at $320 million or $0.43 per share as against a loss of $1.1 billion or $1.43 loss per share in corresponding period last year.

CEO of the power company, Andrés Gluski commented, “We are pleased with our results for the quarter which, despite the severe drought in much of Latin America, put us on track to meet our full year guidance. We continue to execute on our strategy of simplifying our portfolio and this quarter we signed three additional asset sales for proceeds of $236 million. “

With an impressive bottom-line growth, the company failed to prosper in the top-line as it declined 8.1% YoY to S4.0 billion.

Besides, AES has also announced the sale of 3 assets drawing proceeds of $236 million which brings the total number of disposed assets to 21 since September 2012 with exiting from 8 countries. Hence, indicating that the company’s effort of narrowing down its focus in lesser countries.

For the period ended 30 September, 2013, it declared a 25% rise in the quarterly dividend, which amounts to $0.05 per share from the initial quarter of 2014

AES has also stated the Q4FY13 guidance it expects to report adjusted EPS within $1.24 – $1.32 and consolidated net cash from operating activities $2.5 – $3.1 billion.