Image: E.On Image: E.On

Germany energy giant E.On has reported a loss of €7 billion (£5.4bn) after writing down the value of loss-making power plants.

The value of the write-down was €8.8bn as it blamed low wholesale electricity prices for the poor performance. E.On is also shifting the focus of its business towards renewable energies, which also had an impact.

The €7bn loss follows a €3.16bn loss reported in 2014.

One of the 'big six' energy firms, E.On also warned that profits, cash flow and dividends would continue to fall in the coming years, reflecting the unfavourable conditions in the energy market.

E.On chief executive, Johannes Teyssen, said: "Our numbers reflect the far-reaching structural transformation that our industry is experiencing and that continues unabated in the current year."