German Energy Giant Uniper Lost $4.7 Billion on Bad Power Bets
- Utility hedged Nordic output by selling European contracts
- ‘This position has developed negatively,’ CFO Tuomela said
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German energy giant Uniper SE posted a net loss of almost $5 billion last year, hurt in part by wrong-way bets on the price of European power.
The Dusseldorf-based utility hedged its Nordic power production by placing bearish bets on electricity prices for mainland Europe, Chief Financial Officer Tiina Tuomela said in a call with analysts. Prices swung in the opposite direction, contributing to a 4.1 billion-euro ($4.7 billion) net loss for 2021.