Eskom commits to publishing interim results by January 31

15-01-2018
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Fin24
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Cape Town - Eskom says it is committed to releasing its interim financial results by the JSE's deadline of January 31.

The power utility issued the stock exchange notice in response to a notice by the JSE earlier on Monday, where it warned it would delist Eskom's bonds if it does not release its interim financial report within the three months stipulated by its debt listing requirements.

The release of Eskom's interim results has been postponed since November 2017. But the power utility said it would meet the JSE's deadline. "Eskom can confirm that it remains committed to release these results on or before 31 January 2018," the notice read.

Previously Eskom said it was delaying the release of the results to review the impact of the 5.23% price increase granted by the National Energy Regulator of South Africa (Nersa), and to allow its new board to review the financials.

However, energy analyst and managing director of EE Publishers Chris Yelland told Fin24 by phone that the tariff decision comes into effect from April 1 2018 and does not apply retrospectively to the financial period concerned.

"That does not make sense to me, The financials relate to the period ended September 30 2017... I can't see a connection between Nersa's determination and the interim financials for the end of September 30."

"We know Eskom has a serious liquidity crisis on its hands," said Yelland. He added that the going concern of Eskom may be the problem behind the delay.

In response to a question about the status of its liquidity, Eskom said: "We are committed to ensuring an improvement of our liquidity levels and restoring the positive lender and investor sentiment to unlock access to the markets." The power utility's debt was downgraded by major ratings agencies S&P Global and Moody’s in late November.

Spokesperson Khulu Phasiwe previously said that Eskom’s liquidity levels remained sufficient. “The levels were subject to the execution of the funding plan until March 2018,” he told Fin24.