Electricidade de Moçambique (EDM) recorded a 16.1% decline in net profit in 2025, falling to approximately $112 million from around $133.5 million the previous year, according to the utility's 2025 Annual Report and Accounts reviewed on Monday by Diário Económico.
The accounts also show a modest contraction in revenue from sales and services, which declined from approximately $923.6 million in 2024 to $909.9 million in 2025, a drop of around 1.5%. The revenue decline was associated with, among other factors, a contraction in industrial activity, disruptions during the post-election period, and a reduction in energy exports.
According to EDM, 'energy sales to high- and medium-voltage customers fell from approximately $125.8 million to $119.5 million, a situation attributed to reduced industrial activity.' The company explained that post-election events caused disruptions and destruction of productive infrastructure, resulting in customer cancellations and reductions in contracted and actual consumed capacity.
Exports represented another source of pressure, declining from approximately $237 million in 2024 to $208.9 million in 2025. EDM attributed this fall primarily to a deficit in energy available for export, caused by hydrological factors that constrained the generation capacity of the utility's hydroelectric plants.
Moving in the opposite direction, low-voltage energy sales increased from approximately $370.1 million to $395.7 million, benefiting from the addition of new domestic and commercial customers through new connections made during the year. Revenue from special customers also grew slightly, from $92 million to approximately $94.3 million.
Revenue from special customers rose from $92 million to $94.3 million.
Despite the revenue decline, gross margin retreated from approximately $351.3 million to $342.7 million, while operating profit fell from $38.3 million to approximately $32.1 million.
On the cost side, energy purchases from Hidroeléctrica de Cahora Bassa (HCB) increased from approximately $111.2 million to $115.2 million. EDM attributed this increase primarily to greater availability of energy from that source. In aggregate, the cost of inventories sold or consumed stood at approximately $567.2 million, compared with $572.3 million in 2024.
Staff costs rose from approximately $128.8 million to $131.7 million. The workforce expanded from 4,073 employees in 2024 to 4,350 in 2025, with the company linking the increase in remuneration mainly to new hires and staff career progression.
Third-party supplies and services also increased, rising from approximately $80.1 million to $89.9 million. Contributing factors cited included expenditure related to the expansion of energy distribution, customer service operations, security and surveillance, materials transport, and network maintenance and repair works.
The financial component also weighed on results. Financial income fell from approximately $148.9 million in 2024 to $118.2 million in 2025, even as dividends received reached approximately $110.3 million. Conversely, financial expenses declined from $40.1 million to approximately $29.7 million.
At the close of 2025, EDM reported total assets of approximately $4.4 billion, down from $4.56 billion the previous year. Equity decreased from approximately $2.1 billion to $1.9 billion, while total liabilities rose from $2.4 billion to approximately $2.5 billion.
Source: Diário Económico
Original article: https://www.diarioeconomico.co.mz/2026/08/10/energia-3/edm-lucros-caem-mais-de-16-em-2025/
