Profit of Romania’s Romgaz stays robust amid lower windfall tax
Romania’s natural gas company (BVB: SNG) reported that its net profit decreased by 2.3% y/y to RON 1.69bn (EUR 340mn) in H1.
It is an impressive performance after the unusual situation on the market boosted the company’s revenues and earnings in 2022, explained by the lower windfall tax paid by the company.
In fact, SNG’s revenues dropped by 35% y/y to RON 4.90bn (EUR 980mn).
Natural gas production dropped by 5.2% y/y to 2.38bn cubic meters, and electricity production declined by 8.6% y/y to 497.58 GWh.
The profit’s resilience is explained by lower royalty expenses (RON 290mn in H1 2023 versus RON 917mn in H1 2022) and lower expenses with the windfall tax from gas sales activities - RON 645mn in H1 2023, compared to RON 3.61bn in H1 2022.
(Photo: Romgaz Facebook Page)