The CEC Group continued to focus on stabilising the operations in Nigeria and growing its Zambian operations. Turnover increased from K1 539 million (US$277.9 million)for the year ended 31 March 2014 to K4, 339.9 million (US$667.2 million) for the year ended 31 March 2015. The increase in revenue was mostly as a result of the full-year Abuja Electricity Distribution Company (AEDC) revenues, which were consolidated in the Group whereas figures for the previous year only included two months’ financial results for AEDC. The net loss for the period under review was K1, 283.1 million (US$197.3 million) (2014: K146 million (US$26.4 million)).
Total energy sales to the mines was 2% lower at 4,208GWh (2013: 4,274GWh) due to lower energy consumption by some of the mines that operated at lower than anticipated production capacities.
The business plan of AEDC provided for a five year turnaround period and as at year end management was on track to meet the various performance targets, including reduction of the Aggregate Technical Commercial and Collection (ATC&C) losses. Additionally, the business improved its billing efficiency over the period resulting in steady increase in energy billed over the review period.
Going forward, the Group will continue on the growth trajectory set for each unit and as a composite and also consolidate the gains recorded in 2014 and forging new opportunities both in Zambia and internationally in order to ensure a sustained pipeline of projects and viable operating assets.
The CEC share price on the LuSE moved from K 0.70 as at end of March 2014 to K 0.68 at end of March 2015, representing capital losses of 2.9% year-on-year.
During the period under review, the Directors of CEC Plc recommended a dividend of US Cents 0.86 per ordinary share on 27th January 2015 which was paid to shareholders registered in the share register of the Company at close of business on 27th February 2015. The amount payable to ZCCM-IH was K18.0 million (US$2.8 million) (2014: Nil).