Hidroelectrica sees profits soar 30% on higher energy prices

The Hidroelectrica power company, an important part of the Romanian energy infrastructure and majority-owned by the Romanian state through the Ministry of Energy, ended 2022 with a net profit of over RON 4 bln.

The profit comes after a 32.7% increase compared to 2021, when the net result was RON 3.019 bln, according to a report published by Fondul Proprietatea, a minority shareholder with a 20% stake in Hidroelectrica.

The company's total revenues were RON 9.12 bln, up 40.3% from RON 6.4 bln in 2021.

However, the amount of electricity sold decreased by 16.2% in 2022 compared to the previous year, from 17.11 TWh to 14.33 TWh. Electricity sold from the company's own production also decreased by 19.7%, from 16.51 TWh in 2021 to 13.25 TWh in 2022.

Meanwhile, the average selling price of electricity increased by 65.1%, from RON 339.2 / MWh in 2021 to RON 560 / MWh, according to Economedia.ro.

According to the company's management, in 2022 Hidroelectrica SA registered an additional income tax of RON 557.1 mln, compared to RON 113.2 mln in 2021. It also registered a cost of water use of RON 451 mln, a decrease of 16.5% compared to 2021, due to the lower volume of electricity produced.

At the end of December 2022, the company's liquidity was RON 4.13 bln. At the same time, the value of total interest-bearing debts was RON 498.4 mln, compared to RON 579.3 mln at the end of December 2021. During this period, cash flows from operating activities totaled RON 4.511 bln compared to RON 3.95 bln in 2021.

The company's investments in 2022 were RON 194.1 mln, compared to RON 829.3 mln in 2021 (of which RON 635.2 mln were related to the acquisition of the Crucea wind park).

(Photo source: Hidroelectrica on Facebook)