MOSCOW, December 21 (RIA Novosti) - Russian electricity monopoly Unified Energy System (UES) said Wednesday its net profit calculated in accordance with international financial reporting standards (IFRS) was down 26.1% year-on-year in the first half of 2005, reaching $573 million.

The company's net profit fell due to larger interest payments on additional loans and credits, and a higher effective profit tax rate for deferred tax assets in newly detached companies.

The company's profit from core operations in the reporting period fell by $16 million to $1.4 billion.

Revenue from core operations rose by 14% in the first half of 2005 to $13.6 billion. Revenue growth was due to the larger sales volume from higher electricity and thermal power rates.

The company's total assets had expanded by $1.9 billion to $41 billion as of June 30, 2005.

In the first half of 2005, the company channeled $1.4 billion into investment, $534 million more than in the same period of 2004.