Elektroprivreda Srbije reported a net profit of €129 million in the first quarter of 2026, surpassing both internal forecasts and the result achieved in the same period of the previous year. The company credited the strong performance to stable electricity generation, reduced operating costs, and ongoing restructuring measures across its operations.
Serbian Minister of Mining and Energy Dubravka Đedović Handanović noted that several important infrastructure milestones were completed during the reporting period. One of the most significant was the modernization of the pumped-storage hydropower plant HPP Bajina Bašta, marking its first comprehensive overhaul in more than 40 years and substantially improving system reliability and operational flexibility.
She also highlighted the completion of the flue gas desulfurization system at TENT B, describing it as the largest environmental investment currently being implemented in the regional energy sector. The project is expected to significantly reduce emissions and bring the plant into compliance with stricter environmental standards.
Despite ongoing challenges in the broader European energy market, Serbia maintained uninterrupted electricity supply throughout the period. Favorable hydrological conditions additionally supported higher hydropower output, while coal production increased by approximately 2 million tons in 2025, representing annual growth of around 7%.
Elektroprivreda Srbije continued to operate without relying on liquidity loans or revising its financial plan. At the same time, the company reduced its total debt by nearly €370 million, a decline of almost 25%, reflecting improved financial discipline and cash flow generation.
Investment activity remained strong throughout the year, with total capital expenditures reaching approximately €450 million, of which around €384 million was financed from internal resources. The company also reported that project execution reached 97% of the planned investment program.
During the first quarter of 2026, the main investment focus remained on mining operations, as EPS aims to ensure long-term coal supply stability. Spending on new mining equipment reached approximately €36 million, exceeding the original plan by 37%, signaling continued prioritization of upstream production capacity.
