Transelectrica’s net profit reached 113 million RON in 2020, up by 18 percent

Transelectrica registered an increase in the profitability of the activity in 2020 compared to 2019, according to a preliminary report sent to the Bucharest Stock Exchange. The company registered a profit for 2020 of 113.69 million RON, up 18.3 percent compared to 2019.

Gross profit increased by 60 million RON in 2020, from 107 million RON in January-December 2019, to 167 million RON in January-December 2020, an increase mainly due to the reduction of all operating costs including depreciation, such as and efficient management of the resources available in the Company’s accounts, according to the press release.

Total operating revenues achieved in 2020 registered a slight decrease of 1 percent compared to the previous year (2,368 million RON in 2020, compared to 2,398 million RON in 2019), mainly due to the decrease in operating revenues related to zero profit activity (balancing market ), but also by decreasing the amount of electricity transported.

The Company’s management has had a prudent approach since the beginning of the year, reducing the Company’s costs, analyzing the risk of non-payment, taking into account the most important factors to ensure that there will be no economic losses, the statement reads: 2020 was a difficult one due to the Covid 19 pandemic, which influenced the decrease in consumption both locally and in Europe. However, in its capacity as Transmission and System Operator (TSO), Transelectrica has implemented measures aimed at mitigating the manifestation of risks, ensuring the continuity of the activity in safe conditions.

Catalin Nitu, Executive General Manager of CNTEE Transelectrica SA: “The results obtained in 2020, a complicated year for the entire economic sector, show that Transelectrica has adapted to business conditions and has managed to focus its efforts on those actions that are sustainable and essential for operational safety of the National Electric Power System: investments and maintenance. At the same time, in 2020, Transelectrica contributed to the functioning of the economy in a period marked by the effects of the pandemic, also having an important contribution to the Romanian state budget.”