Shares in EdF, the state-owned energy giant which is buying British Energy, climbed today after the company said that its sales rose 8.3 per cent in the third quarter as its German and Italian subsidiaries profited from higher electricity prices and volumes, offsetting slower growth at home.

The company reported third quarter sales of €13.4 billion for the July to September period, up from €12.3 billion a year earlier.

EdF, which makes roughly half its sales outside of France, said growth was strongest in Germany, where it owns a 45 per cent stake in Karlsruhe-based utility Energie Baden-Wurttemberg AG, and in Italy, where EdF controls Milan-based electric and gas company Edison.

Sales in the UK, where EdF owns the former London Electricity, SEEBoard and SWEB businesses and has almost 8 billion customers, fell by 7.1 per cent to €5.7 billion (£4.7 billion), down from €6.2 billion, due to the strength of the euro against the pound. EDF said the sales figure included organic growth of 6.7 per cent, mainly driven by putting up prices for residential customers.

Sales in France, EdF’s largest market, increased just 1.4 per cent in the quarter to €6.6 billion as outages at nuclear plants held back sales on wholesale markets, the company said.

The third quarter performance left EdF’s sales in the first nine months of the year up 6.9 per cent at €5.6 billion. EdF reiterated its earnings forecast for 2008, which targets 3 per cent growth in earnings.

The power giant said it had secured financing for its planned acquisition of British Energy, the UK's main nuclear generator.

Rival power generator, Scottish and Southern Electricity, said today that it was concerned by the monopoly EDF would have over building a new generation of nuclear power stations in the UK. Ian Marchant, chief executive of SSE, said: "We are unhappy that EdF are trying to control the pace of nuclear new build in the UK and in effect have a monopoly on the first generation of new build."

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