Eskom swings into profit for the first time in eight years 

Eskom has reported its first profit since 2017, recording a profit of R16.05 billion for its 2025 financial year. This is a significant jump from the R55.02 billion loss it reported in 2024, representing a 129% increase.

Eskom released its results for the year ended 31 March 2025 on Tuesday, 30 September, which revealed a significant improvement in the utility’s financial performance.

Eskom’s revenue grew by 15% to R340.9 billion, while other income rose by 152% to R3.27 billion.

This saw the utility’s profit for the year grow by 129% to R16.05 billion and its operating profit rise by 561% to R67.27 billion. 

This is the first profit Eskom has reported since its 2017 financial year, reflecting a significant turnaround in the utility’s performance.

Eskom said its return to profitability signals a strategic step forward in rebuilding the utility’s financial sustainability.

The utility’s finances were boosted by a combination of higher income and cost-cutting efforts, with its primary energy costs down 14% to R150.2 billion compared to 2024.

Eskom’s sales volumes were up 3.5% to 189.7 TWh, and the utility benefited from a standard tariff increase of 12.74%.

The company also saw a significant boost from a R9.2 billion fuel levy rebate from the South African Revenue Service.

Eskom also partially attributed its improved performance to the government support it received through debt relief, which significantly strengthened the utility’s liquidity.

Since the implementation of the Eskom Debt Relief Act in 2023, Eskom has received R140 billion in support.

The utility said the R64 billion of debt relief support it received in its 2025 financial year allowed it to redirect cash from operations to capital expenditure.

“Eskom’s compliance with the debt relief conditions and the conversion of shareholder loans to equity has meaningfully strengthened our balance sheet,” it said.

The utility added that its improved finances and operations will also make it less reliant on government support going forward.

“Enhanced energy security creates the conditions necessary for inclusive growth, job creation and a more resilient energy sector which underpins national development,” it said.