Romanian electricity group sees 62% decline in net profit

Electrica, an electricity distribution and supply group controlled by the Romanian state, recorded consolidated revenues of RON 5.6 billion (EUR 1.23 billion) in 2017, up by 1.6% over the previous year. However, the consolidated net profit dropped by 62%, to RON 172 million (EUR 37.6 million). The profit drop was caused by major imbalances on the electricity market in the first half of 2017, which increased the operating costs of the group’s subsidiaries. Electrica group controls three electricity distribution companies that serve clients in Transylvania and northern Muntenia regions and an electricity supply company. The state owns close to 50% of the group’s shares. editor@romania-insider.com