Resilience, emphasis on strategic planning priorities, implementation of investment plans, maturation of critical projects characterize PPC’s financial results for the first quarter of 2025.
The figures show a certain decline compared to the first quarter of 2024, however, these are “seasonal elements” that will largely pass in the coming period, as pointed out, among others, by PPC’s President and CEO, George Stassis, speaking to analysts during yesterday’s conference call.
The factors that “narrowed” the company’s margins for even better results concern the availability of hydroelectric power plants, where the reservoir level is maintained at significantly low levels, the low efficiency of wind farms in Romania and the lower revenues from distribution, with the last two issues already showing a different behavior that will be reflected in the financial results of the next quarters and will contribute to the target for EBITDA of 2 billion euros and revenues of over 400 million euros at the end of the year.
More specifically, for the distribution segment, the negative “footprint” is due, as previously noted, to lower revenues from the distribution activity in Greece due to the delay in the implementation of the new distribution network usage charges and the seasonality of the profitability of this activity.
The increase in operating profitability, as clarified by the Group’s management, in response to a relevant analyst question, will come from the penetration of new RES projects in Greece and Romania, the progress in the delignitization plan with the withdrawal of units operating at a loss for the company, as well as from the performance of the networks as mentioned above.
Stassis underlined the company’s attention to the development of the fiber optic network, as presented in the Group’s strategic plan, ruling out the possibility of expansion into the telecoms sector according to the standards of other companies in the energy sector.
Asked about political developments in Romania, Stassis stressed that the election of a new government on a “pro-Western trajectory” is positive news as it implies the promotion of similar priorities and strategies with Brussels and the other member states on major issues such as the issue of energy transition. In this direction, a good cooperation between PPC, which now has a strong and dynamic presence in the Romanian market, and the new government of the country is feasible.
