EARNINGS POLL-Power firm CEZ Q3 net profit seen up 49 pct

...By Jan Korselt 
    Net profit at Czech power firm 
CEZ  is seen rising 49.4 percent year-on-year in the 
third quarter on growing electricity prices and a low 
comparative base, a Reuters poll showed on Monday. 
    The average forecast in a Reuters survey of 10 analysts saw 
net profit of 7.8 billion crowns ($427.2 million), compared with 
5.2 billion in the same period last year. 
    Sales were seen at 40.7 billion crowns, up 11.5 percent. 
    CEZ booked a 1.7 billion crown charge related to a real 
estate transfer in the third quarter last year, lowering the 
comparative base. 
    "The main factor of the year-on-year improvement in CEZ's 
performance is a rise in domestic electricity prices," said Petr 
Novak, an analyst at Czech brokerage Atlantik FT. 
    Some analysts said CEZ had also increased its profitability 
by cost cutting, mainly in the electricity production segment. 
    The market will also focus on an updated full year forecast. 
    CEZ said last week it would raise its 2007 net profit 
estimate of 35.1 billion crowns, before minority interests, when 
releasing third-quarter figures. 
    The revised outlook will include, among other factors, a 3 
billion crown benefit from tax cuts effective over the next few 
years, which affect deferred tax. 
    CEZ shares closed at 1,337 crowns on Monday, giving the 68 
percent state-owned company market capitalisation of $44.9 
billion. It lost 2.55 percent on the day, retreating further 
from last week's all-time high at 1,421 crowns. 
    CEZ has risen by 39 percent so far this year, underpinned by 
a share buy-back which has so far drained more than 7 percent of 
outstanding stock from the market. 
     
    Consolidated figures in billions of crowns: 
 Q3/07                 Average    Median       Range     Q3 2006 
 Sales                  40.73     40.31    39.12-44.84    36.53 
 Core profit (EBITDA)   16.56     16.68    15.43-17.03    13.98 
 Oper profit (EBIT)     10.67     11.11     8.30-11.61     6.57 
 Net profit              7.80      7.99     6.90- 8.48     5.22 
  
 9M/07                 Average   Median      Range       9M 2006 
 Sales                 124.02    123.58   122.28-128.00   113.71 
 Core profit (EBITDA)   54.71     54.83    53.59- 55.18    48.30 
 Oper profit (EBIT)     38.03     38.47    35.60- 38.94    29.94 
 Net profit             28.36     28.52    27.40- 28.98    21.13 
    NOTE - The following equity houses took part in the poll: 
Atlantik FT, Citigroup, Cyrrus, Erste Bank/Ceska Sporitelna, 
KBC/Patria Finance, Komercni Banka, Raiffeisenbank, 
Sal.Oppenheim, UniCredit Global Research, Wood&Company. 
     The estimates for nine month were provided by nine analysts. 
    (Reporting by Jan Korselt, Editing by David Cowell) 
   
  
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