Romanian state-controlled power company Nuclearelectrica (SNN) targets a 40% higher net profit this year, compared to the previous budget, mainly due to the increase in electricity prices.

The outlook of the energy sector as a whole is also supportive of the investors’ expectations, which pushed up the company’s shares markedly since the beginning of the year.

The target is included in the draft budget for this year, which will be on the agenda of the shareholders’ meeting.

Nuclearelectrica would end this year with a net profit of RON 791 mln (EUR 160 mln), 40.7% higher than the RON 562 mln initially budgeted for this year, according to Economica.net. If it is achieved, the profit will be over 15% above the level posted in 2020, of RON 684 mln, which also exceeded by over a quarter (+28%) company’s earnings in 2019.

Nuclearelectrica has a market capitalisation of RON 11.1 bln (EUR 2.2 bln), and the price of its shares rose by 107% YTD.

andrei@romania-insider.com

(Photo source: Nuclearelectrica.ro)