Genesis Energy Ltd (NZX & ASX: GNE) said its March quarter demonstrated the benefit of its diverse portfolio over another volatile market period, and an improved performance from its customer segment.
On the customer front, Genesis said the quarter produced an improved performance with increases in B2B and LPG sales that were offset by residential electricity and gas volume declines.
The decline was in part due to one of the warmest summers on record.
A highlight of the quarter was the positive sentiment coming from Genesis customers, with the net promoter score up 3 percentage points, and churn dropped 1.2 percentage points below the comparable quarter.
Residential customer losses continued to decline over the period, these turned to gains in the month of March and B2B sales lifted by 21% over the quarter. B2B gas sales were up 31%.
Netback fell to $80/MWh due to increased investment in marketing and business sales teams, increased C&I volumes, and lines cost timing impacts. LPG sales volumes rose 55%.
Total energy generation volumes were up 16% with thermal generation up 40% and renewable down 9%. Renewable volumes and forced outage factors were affected by the outage at Tekapo B, and a generator failure at Tokaanu.
Tekapo Lake ended the period on 122% of average. National storage recovered through the quarter to end on 111% of average with average price received for generation up 70% to $89/MWh.
“Our thermal generation continued to support the volatile market conditions with 34 GWh of swaptions called. The coal stockpile reduced 27% to end on 257 kt.
Gas production at the Kupe offshore field was 3.0PJ - up 22%, as the field operated at 93.5% of maximum plant capacity to support generation requirements and swaption calls.
The LPG yield was 2.7% up, now stable above 4 tonnes per TJ of gas produced.
Oil sales volumes fell 15% due to export shipment timing. However Brent Crude spot prices rose 24% to $US67/bbl.