Revenues, profit of Romania's Hidroelectrica drop in January-September but not below target

Hidroelectrica (BVB: H2O), the largest state-owned company in Romania, recorded lower operational and financial results in the first nine months of 2025 compared to the same period last year, but in line with the amended budget approved on October 31.

The company's net profit fell by 34% y/y, to RON 2.3 billion, and earnings per share were RON 5.14, from RON 7.85 in the first nine months of 2024. Revenues totaled RON 6.7 billion, 7% less than in the same period of the previous year.

The operating margin was 39%, and the net margin was 35%, which reflects the "shrinking of the traditional competitive advantage resulting from the low cost of own hydro production," according to Hidroelectrica data quoted by Ziarul Financiar.

Hidroelectrica has a market capitalization of RON 54 billion (nearly EUR 11 billion), after the price of its shares dropped by 1% y/y. The yield for the dividends paid out of the 2024 profit was 9.0%.

Net electricity production decreased by 23% y/y, to 8,473 GWh, and total energy sales were 10,130 GWh, down 14% compared to the first nine months of 2024.

For Q3/2025, Hidroelectrica reported a net electricity production of 2,405 GWh, 13% below the level in Q3 2024, while energy sold rose by 13%, to 3,388 GWh, as a result of increased energy purchases from the market, which increased by 293%, to 983 GWh.

(Photo source: Inquam Photos/Octav Ganea)