Romania: Decreased profit for Hidroelectrica in Q1 2020, SEE Energy News
In the January-March 2020 period, the amount of electricity sold reached 3.6 TWh, which is 1.1 % higher compared to Q1 2019. The company’s electricity production rose from 3.2 TWh to 3.3 TWh. According to investment fund Foundul Proprietatea (FP), a minority shareholder in largest Romanian electricity producer Hidroelectrica, the producer recorded lower revenues and net profit in the first quarter of 2020, both being down by around 14 % compared to the same period in 2019. The main reason for weaker financial result are lower prices on the regulated segment of the electricity market.
The company’s revenues dropped by 14.3 % to 179 million euros, while its net profit decreased by 13.6 % to 91 million euros. Its operating profit (EBITDA) decreased by 19.5 % to 125 million euros.
However, the average realized price of electricity decreased by 16.2 % compared to Q1 2019, and amounted to 41.8 euros/MWh. The price was negatively influenced by the company’s obligation to sell a quantity of electricity of 1.1 TWh at the regulated price of 21.2 euros/MWh compared to only 0.2 TWh at the price of 23 euros/MWh in Q1 2019.