Eskom on Tuesday announced a whopping R20.7 billion net loss after tax for the financial year ended March 31, up from R2.3 billion the previous year, the biggest financial loss for corporate South Africa in years.
Shortly after his appointment as acting CEO of power utility Eskom, Jabu Mabuza delivered his speech on the struggling energy utility’s financial results for the year ending March 31 2019.
“Today Eskom releases results that, while expected, are unfavourable. The organisation disappointingly incurred a net loss after tax of R20.7 billion for the year,” Mabuza said.
This is “a significant increase from the R2.3 billion loss experienced in the previous year coupled with an audit qualification on PFMA compliance”, Mabuza added.
This comes after Finance Minister Tito Mboweni last week announced a R59 billion bailout for Eskom from the government to be paid in two instalments: R26bn in the 2019/20 financial year followed by R33bn in the 2020/21 financial year.
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