Sustainability Indicator:
Profit before tax
Commitment:
To achieve the company’s budgeted profit before tax while ensuring that we meet our regulatory obligations.
How we’ve performed:
Profit before tax for the year was $42.2m against a budget of $27.3m. Lower than budgeted operating expenditure, depreciation and net interest expense, and higher than anticipated miscellaneous fees and charges, gifted assets and developer contributions, contributed to the favourable result. The favourable result was partly offset by lower than budgeted water sales.
Looking ahead:
It is expected that the effect of the regulated increase in the wholesale water price and the continued focus by the Company’s customers on water conservation will result in the Company’s profitability being slightly below the current year’s performance. Profit before tax should recover in the years following.