Eskom expected to release interim financial results

Eskom has to publish the results before the end of business on Wednesday in order to avoid its bonds being suspended by the JSE.

FILE: Eskom's headquarters at Megawatt Park in Johannesburg. Picture: Reinart Toerien/EWN

JOHANNESBURG – Eskom is expected to release its interim financial results on Tuesday, which will shed some light on its financial status and possibly the extent of corruption within the state-owned entity.

Eskom has to publish the results before the end of business on Wednesday in order to avoid its bonds being suspended by the JSE.

The utility's liquidity status has come into sharp focus in the past week, with government stepping in to address leadership challenges and boost investor confidence.

Moody's has already downgraded Eskom’s credit rating, which it says reflects the deterioration in the utility's financial and liquidity position.

Today, more insight into Eskom’s finances will be revealed when it's interim results are finally published.

Energy expert Chris Yelland says there are two major issues to look out for.

“Whether or not Eskom gets an unqualified audit. Second issue, is the whole question of Eskom’s liquidity and its status as a going concern.”

Another energy specialist, Ted Blom, says: “I’m expecting a hole of between R10 billion to R20 billion.”

In last year's financial results, around R3 billion was red flagged as irregular expenditure.