Romanian Hidroelectrica’s shares 2.55% down after company revises downwards 2024 profit forecast

The revised financial projection for 2024, including a 14.2% downward revision of the net profit notified by the management of Hidroelectrica (BVB: H2O) to shareholders, sent the company’s shares down by 2.55%.

The revision was prompted by a change in the electricity price outlook, only partly compensated by the higher production forecast.

Total operating revenues are rectified down by 6% as a result of the decrease in the average selling price of electricity by 12%, partly compensated by the 4% increase in the amount of electricity forecasted to be sold in 2024, the company’s management explained. Legislative amendments also contributed to the revision of the 2024 financial planning.

The management of the largest energy producer in Romania and the largest company listed on the Bucharest Stock Exchange now expects a net profit of RON 4.15 billion (EUR 830 million), down 34.4% y/y.

The company’s market capitalisation was RON 60 billion (EUR 12 billion) after the correction prompted by the revised financial projections.

(Photo source: Facebook/Hidroelectrica)