Romanian state-owned gas producer Romgaz recorded a net profit of RON 1.8 billion (EUR 394 million), up by 82% compared to 2016. The turnover increased by 35%, to RON 4,5 billion (EUR 985 million), according to the company’s preliminary financial report.

“The increase comes from a 32.6% rise of income from gas sales both from Romgaz production and gas purchased to be resold and from partnerships, as well as further to the increase of income from electricity sales (38%) and underground storage activities (46.44%),” the company said in its report.

The rise in the company’s profit also came from the recovery of RON 113 million (EUR 24.7 million) worth of excises paid for the technological gas used between 2010 and 2016. The tax agency concluded that Romgaz shouldn’t have paid those excises.

The state holds a 70% stake in Romgaz. The company’s shares are trading on the Bucharest Stock Exchange, where its market capitalization is currently EUR 2.9 billion.

editor@romania-insider.com