The Federal Electricity Commission (CFE) had a net loss of 106,260 million pesos at the end of 2021, the worst in its history, which was 24% higher than the previous year, and which was also 10,889 million pesos higher than the annual unreported loss that was published in February, as reported by the company in its 2021 reported results.
Despite the recovery that was shown in all productive sectors in 2021, in contrast to 2020, which due to the reduction in demand and mobility was the worst in decades for the global economy, the negative result of the CFE was the worst that the company has had for at least a decade and was also the one with the largest increase in deterioration from one year to the next since 2017.
And it is that at the end of the 2021 fiscal year, the CFE’s operating costs were 602,148 million pesos, which meant an increase of 24.4% compared to the same period of the previous year, as a consequence, mainly of the increase in the price of natural gas caused by the climate emergency in Texas in February and the volatility in fuel prices recorded in the second half of 2021.
Meanwhile, the accumulated income of the CFE at the end of the 2021 fiscal year amounted to 566,687 million pesos (mp), a figure 12.7% higher than that registered in 2020, mainly due to higher income from the sale of fuels (natural gas) to third parties. , and by electricity supply, due to the recovery in sales in the industrial, domestic and commercial sectors, as well as qualified users (sales to customers with consumption greater than one megawatt). The transfers granted by the Federal Government to support the tariffs for low consumption and agricultural domestic users in 2021 were similar to those registered in 2020.
It is important to note that, despite the financial impacts of the extreme events recorded in 2021, the increase in average electricity prices during 2021 was 3.57%, a figure lower than the inflation observed in 2021 (7.36%), according to the company, which is explained by the subsidy that the Ministry of Finance grants to users and that thus impacts the finances of the state company.
Already in the Statement of Financial Position, the total assets of the CFE at the end of fiscal year 2021 increased 4.9% compared to the end of 2020, standing at 2,266,349 million pesos, which is explained by an increase in its plants, facilities and equipment for the update of its fair value. On the other hand, total liabilities showed a decrease of 1.1% compared to fiscal year 2020, mainly due to the reduction in the Company’s labor liabilities, due to the change in the discount rate used to calculate said obligations.
In this way, the Company’s equity registered an increase of 21.4% in relation to the previous year, caused by the recognition of other comprehensive income.
best first quarter
Over the weekend, the state-owned electricity company also presented the financial statements for the first quarter of 2022, in which accumulated revenues of 138,896 million pesos are recorded, which represented a decrease of 11.3% compared to the same period of the previous year. This is mainly the result of the reduction in the sale price of fuels to third parties.
It is important to note that income from the sale of electricity increased 10.0% compared to the same period of the previous year. As for income from transfers from the Federal Government to support rates for the low-consumption residential and agricultural sectors, these remained practically unchanged.
When considering the operating costs of the CFE, as of the first quarter of 2022 these totaled 131,071 million, which means a decrease of 33,243 million pesos, equivalent to 20.2%, compared to the same period of the previous year. This is mainly due to the 36.1% decrease in energy and fuel costs compared to the same quarter of 2021, when the price of these supplies rose significantly due to the climate emergency observed in Texas in that period, explained the CFE.
Thus, the operating margin allowed reaching an operating result of 7,825 million pesos, a figure that contrasts with the loss registered in the same period of 2021 of negative 7,765 million pesos.
In this way, when considering the financial costs, in the first quarter of 2022 a net result of 8,660 million was reached, which contrasts with what was registered in the same period of the previous year of negative 37,537 million pesos.
Regarding the Statement of Financial Situation, the value of the assets of the CFE at the end of the first quarter of 2022 registered a growth of 2.1%, standing at 2,311 billion pesos.
In relation to equity, this registered an increase of 2.3% compared to the first quarter of 2021.