Hidroelectrica’s power output down 27% y/y

Hidroelectrica (BVB: H2O), the largest energy producer controlled by the Romanian state, announced on the Bucharest Exchange that its net electricity production decreased by 27% in the first half of the year, to 6,068 GWh, while purchased energy increased by 62%, to 674 GWh. The company’s financial results for the first 6 months of the year are expected on August 13.

According to the report published by the company on the Bucharest Stock Exchange, hydro production, which accounts for 98% of Hidroelectrica's energy production, also decreased by 27% year-on-year. At the same time, energy from wind sources decreased by 14%, to 133 GWh.

In contrast, the volume of electricity purchases increased strongly, by 62%, to 674 GWh.

At the same time, the amount of energy sold decreased by 23%, to 6,742 GWh, as sales under wholesale contracts decreased by 43%, and those supplied to customers increased by 31%.

With an undiversified production portfolio, the company is 100% dependent on hydrological conditions for energy production.

But beyond the decrease in energy production, there are other notable elements in the company's operational report.

Thus, the company needed energy from the market to cover its customer portfolio, especially in the context of the decrease in energy production. Furthermore, this supply portfolio has changed a lot compared to the first six months of last year. Romania's largest energy producer. The company sells more to households and other consumers than on the wholesale market.

(Photo: Octav Ganea/ Inquam Photos)