Romania's Transelectrica net profit shrinks 58% in 2023

The group's consolidated operating revenues decreased by 25% on the year to 4.725 billion lei, while its operating expenses declined by 24% to 4.143 billion lei, the company said in a consolidated annual financial report for 2023 on Wednesday.

In a financial summary filed with the Bucharest Stock Exchange, the company explained that its interconnection revenues, over-the-counter (OTC) transaction revenues, and breakdown assistance revenues went down in the context of the energy crisis that continued in 2023.

Transelectrica's individual interconnection revenues fell to 343 million lei last year from 399 million lei in 2022, while other revenues plummeted to 14 million lei from 339 million lei. However, transmission revenues ticked up to 1.545 billion lei in 2023 from 1.401 billion lei in the previous year.

Net domestic consumption of electricity fell 5% in 2023, while energy production recorded a 3% increase.

Last year, the group's consolidated earnings before interest, taxes, depreciation and amortisation (EBITDA) fell by an annual 34% to 585.5 million lei.

Total consolidated assets increased to 8.602 billion lei at end-2023, from 8.2 billion lei a year earlier. Total liabilities amounted to 3.306 billion lei at the end of last year, down from 4.295 billion lei at the end of 2022.

In 2022, Transelectrica's net profit soared to 514.6 million lei from just 450,000 lei in the previous year.

The Romanian state owns a 58.69% majority stake in Transelectrica, while the remainder is in free float on the Bucharest Stock Exchange.

Blue-chip Transelectrica's shares traded 1.05% lower at 28.2 lei as at 1044 CET on Friday.

(1 euro=4.9730 lei)