March 30 (SeeNews) - Romanian majority state-owned hydro power producer Hidroelectrica said it expects to book a net profit of 3.663 billion lei ($803.4 million/740.3 million euro) on total revenues of 11.631 billion lei in 2023.
Hidroelectrica’s net profit target for 2023 is 8.56% lower than its net result in 2022, while its total revenues are projected to rise 27.52% year-on-year.
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Hidroelectrica forecasts expenses of 7.171 billion lei for 2023, the company said in its budget published on the government's website on Wednesday.
Of the total expenses planned for 2023, 7.13 billion lei are operating expenses, while the rest constitute financial expenditures. Goods and services are allocated costs of 3.495 billion lei and 1.73 billion lei are attributed to taxes, duties and similar expenses, while personnel costs amount to 677.3 million lei. Hidroelectrica budgeted 1.228 billion lei for other operating expenses, its 2023 budget shows.
Expenditures allocated to investments are seen to amount to 994.6 million lei in 2023, while financing sources for investments total 1.366 billion lei.
Romania’s government approved Hidroelectrica’s revenue and expense budget for 2023 during a meeting held on Wednesday, it said in a press release on the same day.
Hidroelectrica is 80.06% owned by the Romanian state through the energy ministry, while investment fund Fondul Proprietatea [BSE:FP] holds the remaining stake of 19.94%, data from the hydro power producer's website shows.
Fondul Proprietatea is preparing for an initial public offering (IPO) for Hidroelectrica in 2023. In its National Recovery and Resilience Plan (NRRP), the Romanian state committed to the listing of Hidroelectrica by the end of the first half of 2023.
On March 21, Hidroelectrica announced that together with Masdar, a developer and operator of renewable energy projects based in the United Arab Emirates, it will invest in off-shore wind farms and floating solar parks in Romania. Earlier in March, 80.06% of Hidroelectrica's shareholders had approved a joint venture agreement with Masdar to develop, invest in, build and operate renewable energy projects in Romania.
Fondul Proprietatea shares traded 0.95% higher at 2.115 lei as at 1116 CET on the Bucharest bourse on Thursday.
(1 euro=4.9479 lei)
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