French energy company Electricite de France SA (EDF (EPA:EDF)) reported a net loss of 17.94 billion euros at the end of 2022 due to the suspension of operations of the nuclear power plants it operates as well as a drop in the value of financial instruments, according to reports. Electricite de France stock is falling against this backdrop.

The company reported a net profit of 5.113 billion euros in 2021. The loss per share amounted to 5.03 euros against a profit of 1.36 euros.

At the same time, revenue last year increased by 70% — to 143.48 billion euros, Thanks to higher electricity prices. However, fuel and energy costs soared 2.7 times and exceeded 121 billion euros. Electricite de France bonds also have problems because of this.

French nuclear power plants output 81.7 TWh less — down to 279 TWh. The company itself predicted in the fall that output would be at the lower end of the previously announced 280-300 TWh range.

Meanwhile, generation at British nuclear power plants in 2022 increased by 1.9 TWh to 43.6 TWh. As noted in the report, 43 of EDF’s 56 reactors are now operating, up from 30 at the end of November.

Pipe corrosion found at several reactors led to the suspension of operations last summer. As a result, EDF was forced to buy power on Europe’s wholesale market, where prices rose sharply after the war in Ukraine began.

The company said that disruptions in the operation of its nuclear power plants cost it 29.1 billion euros. The French government’s decision to cap electricity prices cost it another 8.5 billion euros. The unusually low output of hydroelectric power, caused by the summer drought, reduced the profits of EDF by another 2.5 billion euros. As a result, net loss in 2022 was one of the largest in the history of the French corporation, notes The Wall Street Journal.

The company expects that in 2023, generation at French nuclear power plants will be around 300-330 TWh.

EDF stock quotes traded on Friday almost at the level of the previous session close. The market value of the company over the last year jumped 1.5 times (up to 46 billion euros), while the CAC 40 stock index added less than 6%.

Earlier we reported that demand for LNG in Europe could grow by 15-25 mln tons.