It may have seemed like eons to the company’s impatient investors, but German energy giant E.ON appears finally to have turned the corner.
After a weak first quarter, the country’s second-largest electric utility reported a strong profit for the first half as a whole, indicating that after last year’s debilitating loss it is emerging from the shambles of corporate restructuring and Germany’s sudden abandonment of nuclear energy.
E.ON last year hived off its conventional power business as a separate listed company, and now this year has cleared up much of its nuclear power legacy, trimmed its debt, and is ready to resume growth with its new focus on renewable energies, networks and customer solutions.
A German high court ruling earlier this summer buoyed the E.ON results by mandating the government refund a nuclear fuel tax deemed illegal. The surprise bonus prompted the utility to pledge a higher dividend starting next year.