If a utility is regulated to a set profit outcome, it will make a profit on stolen electricity just via math.

it depends on how the regulations are written. not every single cost gets to go into the guaranteed return on equity. Probably plenty of examples where it is, but also there are definitely a lot of examples where that's not true. Given how militant most utilities are at preventing theft, either parent comment OP is just being cynical or there is something very off about the situation there vs. most places