The day after Israel Electric Corporation raised NIS 500 million from the public, the company announced a loss of NIS 467.2 million, up 170% from its Q1 2001 loss, which was NIS 172 million. It should be noted that the company¿s losses for the entire year in 2001 were just NIS 51.5 million.
The company noted the loss occurred despite a 1% increase in revenues to NIS 2.5 billion and more efficient fuel use. However, the shekel devaluation and the freeze on electricity rates, as well as a drop in profitability on the company¿s pension fund investments in bonds, added up to losses.
Average revenue on electricity sales dropped in the quarter 0.77% per kilowatt hour.