Contact Energy is expected to announce a modest profit when it issues its annual result on Tuesday.
Analysts say setbacks faced by the listed energy company include the impact of drought on its hydro generation and a major outage at its Otahuhu B power station.
Forsyth Barr analyst Andrew Harvey-Green expects Contact's profit to rise 3% in the year to the end of June compared with the previous year.
Mr Harvey-Green says the company plans to increase its gas generation over the next few years and will be well positioned to weather future droughts.
