KEPCO Posts Operating Profit of 8.3 Trillion Won Last Year... Returns to Profit After 4 Years

Sales of 94 Trillion Won, Operating Expenses of 85.65 Trillion Won

Korea Electric Power Corporation (KEPCO) recorded an operating profit exceeding 8 trillion won last year, marking a return to profitability after four years.

KEPCO announced on the 28th that its 2024 financial results showed sales of 94.0013 trillion won, operating expenses of 85.6524 trillion won, and an operating profit of 8.3489 trillion won.

A KEPCO official explained, "Electricity sales revenue increased due to four consecutive tariff adjustments starting in 2023," adding, "On the other hand, operating expenses decreased thanks to fuel price stabilization and implementation of self-help measures, resulting in a return to operating profit after four years."

Last year's electricity sales revenue was 88.8898 trillion won, up 7.2% from the previous year. This was due to a 0.7% increase in sales volume and a 6.6% rise in the sales unit price compared to the previous year. Meanwhile, subsidiary fuel costs decreased by 4.4405 trillion won, and power purchase costs from private power producers fell by 3.6444 trillion won. The generation and purchase of nuclear power, liquefied natural gas (LNG), and renewable energy increased, while coal-fired power generation decreased both in subsidiary generation and private purchases.

A KEPCO official stated, "KEPCO has been promoting overall operational efficiency, including improvements to equipment inspection standards, and through labor-management consultations, implemented government management evaluation performance pay and wage returns, voluntary retirement, and reductions in employee welfare." He added, "Despite the operating profit last year, the cumulative operating deficit since 2021 stands at 34.7 trillion won. To improve performance, KEPCO plans to discuss various measures with the government, such as the gradual normalization of electricity rates and reduction of power purchase costs."