British Gas/Centrica profits tripled

[Grumps.]

https://www.bbc.co.uk/news/business-64652142


Yep, they made £3bn profit in ‘22, triple on the previous year.

That’s £ 3billion profit.

[Mammasaid]

Article said:

The majority of Centrica's bumper profits came from its nuclear and oil and gas business, rather than from the British Gas energy supply business, which contributed £72m out of the £3.3bn profit.

That's 2% on retail.

[ZedLeg]

They supply the gas that is sold at retail. Still looks like profiteering to me.

[Mammasaid]

They get paid the market rate for gas, I presume you've seen the rate of the last 12 months since that little skirmish started in Ukraine?

That doesn't make it any easier to stomach though.

Edited by Mammasaid on Thursday 16th February 11:13

[Gecko1978]

Pretty much the price of the product they supply went up thier costs of delivery mostly flat hence large profit. Its hardly surprising is it. More worrying would be if they had not made a huge profit. Question is will they use that to fund innovation an green initiatives or just pay to shareholders

[Strocky]

Gecko1978 said:

Pretty much the price of the product they supply went up thier costs of delivery mostly flat hence large profit. Its hardly surprising is it. More worrying would be if they had not made a huge profit. Question is will they use that to fund innovation an green initiatives or just pay to shareholders

From the BBC Link

"In addition, Centrica said it would increase the money it returned to its shareholders, as it launched a £300m share buyback scheme and a full-year dividend of 3p a share."

[Brave Fart]

Gecko1978 said:

Pretty much the price of the product they supply went up thier costs of delivery mostly flat hence large profit. Its hardly surprising is it. More worrying would be if they had not made a huge profit. Question is will they use that to fund innovation an green initiatives or just pay to shareholders

The 2022 dividend will be 3 pence per share, and they've said that the programme of share buybacks will continue. But there was no dividend in 2021 and 2020 and a greatly reduced one in 2019. And they say they're "positioning themselves for net zero".

It's a commodity business, which is likely to record good years and bad ones - they made operating losses in 2020 and 2019.