Alfa Communications, August 30, 2023

  • Total revenues increased to nearly BGN 2.13 billion (EUR 1.09 billion)
  • Earning before interest, taxes, depreciation and amortization increased to BGN 378 million (EUR 193 million).  
  • Net profit growth to almost BGN 243 million (EUR 124 million). 

One of the leading energy and financial group in South Eastern Europe – Eurohold Bulgaria, continues on the path of growth, no matter of economic and geopolitical challenges in the region, where operates, and manage to increase its financial results for the first half of the year, the company’s consolidated report for the period shows. 

About January-June Eurohold reports total revenues of about BGN 2.13 billion (EUR 1.09 billion)and Earning before interest, taxes, depreciation and amortization (EBITDA) in the amount of BGN 378.04 million (EUR 193.3 million). Net financial result was nearly BGN 243 million (EUR 124.2 million). The good results are due to the significantly higher profitability of the Holding’s energy business and a stable performance of the Group’s insurance companies. 

Eurohold’s energy business, which operates under the Electrohold brand, increased its profitability amid lower free market prices, compared to the first half of 2022. In March this year Electrohold signed a 10-year contract with Yettel and CETIN Bulgaria for the supply of electricity from renewable sources. A major part of the consumption under this contract will be provided by the Verila Photovoltaic Plant (124 MW), which is among the largest so far in Bulgaria in terms of power and whose capacity is about to be increased.

Eurohold’s insurance business, concentrated in Euroins Insurance Group (EIG), developed steadily even after leaving the Romanian market. Earlier this month, one of the leading rating agencies in the world – Fitch Ratings, confirmed a long-term rating of ‘B+’ with a stable outlook for insurance company Euroins AD (Euroins Bulgaria) – the largest subsidiary of EIG. The same rating was awarded to the reinsurer of the group – EIG Re AD. Fitch also removed the two companies from the Rating Watch Negative (RWN) list. This was dictated both by their good results and by the conclusion that the business of the group companies remains stable even after leaving the Romanian market. In June Fitch confirmed rating ‘B’ with a stable outlook for Eurohold as well and also removed the holding from the agency’s watch list for a possible negative outlook (RWN). 

“Economic and geopolitical situation in the region are challenging for us, which we largely deal with through the operational and strategic measures we implement. Our chosen development strategy and diversification in terms of the business sectors, products and markets in which we develop activity brings us accurate and measurable benefits in complex times. Against the backdrop of the war in Ukraine, economies in Central and Eastern Europe are performing steadily and showing resilience. Despite signs of slowing, we expect stronger growth in CEE markets in 2023 compared to the European and euro area average. We are optimistic that the holding will achieve good results in the remaining month of the year as well”, commented Assen Minchev, CEO of Eurohold.