CUC starts 2023 with profit of $5.2M

(CNS): CUC’s unaudited results for the first three months of 2023 saw the monopoly power provider start the year with a profit of $5.2 million. This was a slight drop in net earnings in the first quarter of last year due to increased financing, depreciation and other general costs. However, both sales and customers grew once again. Sales increased by 6%, and at the end of March, there were 33,214 customers, a growth of 3%.

During this first quarter, 86% of customers were residential but they consumed only 52% of the total sales as big commercial customers boosted the profits for the power company.

“The continued growth and recovery of tourism in the Cayman Islands contributed positively to the Company’s Q1 results,” said CUC President Richard Hew. “Consumption of electricity by large commercial entities and the overall economic growth on Grand Cayman were big contributors to the success of the Company in the first quarter.”

CUC also said in the financial report that it had begun its five-year Capital Investment Plan for 2023-2027, which was approved by the Utility Regulation and Competition Office in January. With an investment amount of $403.4 million, CUC will be working on upgrades to five MAN generating units to convert them to use liquid natural gas as well as diesel. But it includes just $60 million for alternative energy and resiliency projects.

The amount of power currently generated from renewable is just 23MW. However, CUC has said this is expected to increase this year and grow even more when the commercial 20MW Battery Energy Storage System is finished.

“Our Company is moving ahead with the plans for increased alternative energy and resiliency projects,” Hew stated.

See the full report here.