Korea Electric Power Corp. (Kepco) on Friday reported a net income of 2.09 trillion won ($1.9 billion) in 2020, turning from a loss of 2.26 trillion won a year earlier on the back of the low fuel costs.

Operating profit for the year was 4.08 trillion won, compared with a loss of 1.27 trillion won from the previous year, the company said in a regulatory filing. Annual sales fell 1 percent to 58.56 trillion won.

During the fourth quarter, net profit reached 586 billion won, also shifting to the black from a loss of 1.3 trillion won a year earlier.

Kepco attributed the improved performance to the falling global price of resources, which helped the company save some 6 trillion won.

The resurgence of the COVID-19 pandemic, coupled with the long rainy season, however, led to a decrease in the local power consumption, resulting in a 200 billion-won decrease in energy sales.

Kepco said it will continue to improve its profitability through a new billing system that was adopted this year. The new policy centers on adjusting the billing table every three months by reflecting prices of liquefied natural gas, coal and oil.

The company says the new system will induce users to cut their power consumption when the price of resources remains high, while providing them with more affordable rates when the costs fall.

Shares in Kepco remained unchanged at 23,750 won on the main bourse, underperforming the broader KOSPI's 0.68 percent increase. The earnings report was released before the stock market closed. (Yonhap)