Although consolidated profits increased in 2018 by 34% in 2018, for 2019 Electrica estimates a 47% decline in consolidated profit.
Thus, in 2018, Electrica earned an individual net profit of RON 298 million, up 15.4% over the level of 2017, based on the individual audited financial statements and a consolidated net profit of RON 230 million, up by 34.3% compared to 2017.
But the individually budgeted net profit for the year 2019 is RON 195 million and the consolidated net consolidated profit is RON 121 million.
“The budgeted result for the year 2019, decreasing compared to the previous year, is mainly explained by legislative changes in the regulatory area, both in the distribution and delivery segment,” Electrica officials say.
In 2018, the EBITDA of the Electrica Group amounted to RON 681 million, up 13.2% compared to RON 601 million recorded in 2017. EBITDA generated by the supply segment in 2018 was 137 million RON, a significant increase from the previous year, when EBITDA was RON 10 million.
“The year 2018 had a fluctuating trend if we look at the results obtained quarterly, the result of the last three months being severely affected by the significant increase in the cost of purchasing electricity, especially in the regulated supply segment,” says Corina Popescu, General Manager, Electrica.
“Under the applicable provisions, the differences in acquisition costs unrecovered by 2018 prices will be recovered by 2022. Even in these circumstances, we ended the year with an individual net profit of 24% over the budgeted level and a consolidated net profit higher by 34.3% compared to 2017. Year 2019 marks the beginning of a new regulatory period, which brings important changes. We continue to strongly believe that it is absolutely necessary to have a predictable regulatory framework and to further stimulate investment, the engine of the evolution of the Romanian energy system,” Popescu said.
