The business of the electricity company Verbund is going much better than expected in the second Corona year 2021. The group result adjusted for one-off effects should come to between 720 and 790 million euros this year, as the company announced on Tuesday via broadcast. So far, the management had assumed a range between 580 and 650 million euros.
The increase in profit expectations is essentially due to the above-average flow of water in the rivers in the third quarter, higher sales prices and higher earnings contributions from flexibility products. Further details on business development in the first three quarters of 2021 will be presented on November 4, 2021.
According to the information, the reported net profit for the year as a whole will probably amount to EUR 740 to 810 million and not, as previously expected, EUR 590 to 660 million. Adjusted earnings before interest, taxes, depreciation and amortization (EBITDA) should reach between 1.49 and 1.59 billion euros. To date, the company’s management has assumed an EBITDA of 1.31 to 1.41 billion euros.
In the past fiscal year 2020, earnings before interest, taxes, depreciation and amortization increased by 9 percent to 1.293 billion euros and net profit improved by almost 14 percent to 631 million euros, as announced when the balance sheet was published in March.