Benchmarking Utilities across Europe Allows For Key Assumptions about Utility Performance to Be Tested Read More inside Company Graphics: Benchmarking European Utilities.
This brief benchmarks utilities across Europe, challenges key assumptions about utility performance and draws comparisons between power and gas utilities. It illustrates graphically the relative performance of 96 European utilities on several different measures.
Scope of this title:
-An examination and illustration of the relationship between utility size and profitability.
-A review of net trade requirements and their relationship to operating profit margins.
-A comparison of relative performance between power, gas, and integrated power and gas utilities.
Highlights of this title:
There is virtually no correlation between revenue and profitability (return on sales). This correlation is -0.12, where 1 is a perfect correlation.
In spite of wholesale market volatility there is no direct relationship between the presence or absence of a structural energy hedge (that is, a positive or negative net trade requirement) and utility profitability.
Reasons to order your copy:
-Benchmark European utilities on a range of performance measurements.
-Compare the average performance of power, gas, and integrated power and gas utilities across Europe.
-Challenge common assumptions about the drivers behind utility profitability.
Benchmarking Utilities across Europe Allows For Key Assumptions about Utility Performance to Be Tested
There is no correlation between size and profitability
There is no correlation between amount of fixed assets and return on fixed assets
Power companies are outperforming gas companies, but low returns on fixed assets highlight future difficulties
How a net trade requirement is managed is more important than whether a utility is long or short
Profits per unit of energy volume relate strongly to operating efficiency, but significant differences persist among top utilities
Ask the Analyst
List of Figures
Figure 1: Size versus profitability for 95 energy companies
Figure 2: Size versus profitability for gas-only companies
Figure 3: Size versus profitability for power-only companies
Figure 4: Size versus profitability for integrated power and gas companies
Figure 6: Fixed assets versus return on fixed assets for 95 energy companies
Figure 6: Fixed assets versus return on fixed assets for gas-only companies
Figure 7: Fixed assets versus return on fixed assets for power-only companies
Figure 8: Fixed assets versus return on fixed assets for integrated power and gas companies
Figure 9: Average operating margins are 11% higher for power than for gas companies
Figure 10: Average return on fixed assets is 13% higher for gas than for power companies
Figure 11: Average return on sales is 9% higher for power than for gas companies
Figure 12: 10 shortest power NTRs among integrated power and gas companies
Figure 13: 10 shortest gas NTRs among integrated power and gas companies
Figure 14: Gas NTR and profitability for 21 gas-only companies
Figure 15: Power NTR and profitability for 38 power-only companies
Figure 16: 15 highest returns on energy volume compared with operating margins
For more information visit http://www.researchandmarkets.com/reports/c43543
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|Date:||Oct 13, 2006|
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