Slovenia: GEN-I generates all-time high net profit

Slovenia: GEN-I generates all-time high net profit

Slovenian energy group GEN-I sold a record 127.4 terawatt-hours of electricity last year to generate the highest net profit to date. At EUR 15.4 million, the profit exceeded by 1% the 2019 amount, despite revenue falling by 4% to EUR 2.1 billion.

The group which operates in trade, retail and purchasing of energy products, was successful across all its divisions and has been improving its financial position further with capital growth, the enterprise announced.

Earnings before interest, taxes, depreciation and amortisation (EBITDA) rose by 40% to EUR 32.07 million. Pre-tax profit increased by 6.4% to EUR 20.2 million.

The release also notes that the group was keeping its net financial indebtedness low.

Speaking to the press, the company’s chairman Robert Golob said GEN-I had managed to adapt well to the situation after it drastically changed due to the coronavirus, having invested heavily into digitalisation in recent years.

During what was a highly volatile year in financial and energy markets, the group stepped up electricity trading to sell 70% more electricity, accounting for almost ten times the total Slovenian consumption, said Golob.

They purchased and sold the bulk of electricity in international markets across Central Europe. Despite the drop in revenue, the group remains the second most profitable company in Slovenia.

Golob said one of the key goals last year had been boosting customer relations, hence the decision to reduce power bills of more than 180,000 existing customers by 15% at the cost of EUR 2 million in the first wave of the epidemic.

GEN-I also installed 845 solar plants last year, a total of more than 21,000 so far. Golob expects growth in the field to continue. Out of 24 planned mid-sized and large solar plants, 10 have been put up already.

The company fully removed fossil fuels from the electricity it supplies in Slovenia on 1 January, and the customers were offered to decide themselves which non-carbon source they wanted to get their electricity from.

Unless a major difference in price is recorded, early signs point to a preference for solar energy over nuclear for about 60% of consumers. /ibna