Dniproenergo posts UAH 5.5 mln profit in 4Q09

Dniproenergo (UX: DNEN UK) recorded a net profit of UAH 5.5 mln and gross profit of UAH 36.7 mln in 4Q09, local media reported yesterday. For 2009, the company posted a net loss of UAH 236.0 mln and gross sales of UAH 4.1 bln. Yegor Samusenko: This is the first quarter Dniproenergo posted a positive bottom line in four quarters: the company improved its net margin to 0.5% in 4Q09 after posting minus 8% in the previous quarter. We attribute improved profitability to higher output prices that Dniproenergo and all GenCos were able to receive in 4Q09 after NERC started increasing retail tariffs in November 2009. We expect all other GenCos to post positive bottom lines in 4Q09.