CFE cuts losses by 88% in 2017

Mexico City (apro) – The Federal Electricity Commission (CFE) announced that it has reduced its losses by 88%, from -848.24 billion pesos in 2016 to -99.23 billion pesos in 2017. According to the national production company, these results are part of its business plan, which aims to achieve financial balance by 2021. In a statement, the CFE also reported that its revenues increased by 32% in 2017, at the time of reporting this concept, to 46.6141 million pesos, compared to 11.436 million pesos registered in 2016. The Federal Commission itself explains that the increase in revenues is mainly due to the sale of fuels to third parties and the transportation of energy, in addition to the sale of energy. Despite an increase in operating costs of 36% in 2017 compared to 2016, the CFE’s gross profit increased due to the increase in the price of fuel used for electricity generation. In this gain, calculated as the result of sales minus operating costs, the CFE recorded 1265.12 billion pesos in 2017. “This means that the revenue from the sale of electrical energy is greater than the costs directly related to the production and sale of electricity.” The Federal Electricity Commission added that it also profited from the appreciation of the peso against the dollar and a 63% drop in financial costs, from 65.84 billion pesos in 2016 to 24,651 in 2017.