Eskom expects to report a full-year profit of more than 10 billion rand ($546 million), its first profit in eight years, thanks to operational stability and government's debt relief package, its CEO said as the power utility reported a wider loss on Thursday.

Eskom forecasts a 10 billion-rand profit for 2025, tackling record losses, municipal debt, and ambitious capital spending plans.

Eskom yesterday announced that it was aiming at an after-tax profit of R10 billion for the financial year ending March 2025 after suffering a loss of R55bn in the financial year ended March 2024.

Operational improvements and increased energy availability contributed to the forecasted profit for the year, supported by government debt relief and Eskom’s renewed focus on efficiency. Eskom says it aims to achieve a 70% energy availability factor by March 2025.

The Democratic Alliance (DA) is deeply concerned by the release of Eskom’s long-overdue financial statements for the 2023/24 financial year—a full nine months late. Despite receiving a staggering R76 billion bailout from the government, Eskom posted a pre-tax loss of R25 billion, which ballooned to R55 billion after tax.

South African state power utility Eskom on Thursday reported a higher loss after tax of 55 billion rand ($3 billion) in the financial year to the end of March because of an accounting adjustment linked to the separation of its transmission unit.

South African power utility Eskom Holdings SOC Ltd. forecast a return to profit for the first time since 2017, even as it recorded a sharp increase in losses for the last financial year.

Eskom has warned that municipalities failing to pay up could lead to it needing more taxpayer bailouts in the coming years/