Hidroelectrica wants to distribute dividends of 6.3 billion lei – 28.03.2024

• 11% gross return

The management of Hidroelectrica (H2O) convened the shareholders, on April 29, with the proposal to distribute the amount of almost 6.3 billion lei as dividends, according to a report published yesterday on the website of the Bucharest Stock Exchange (BVB).

The Ministry of Energy owns 80% of the electricity producer and supplier, which means that it will collect about five billion lei, if the proposal gets the green light from the shareholders.

The unit dividend is 13.99 lei, which, compared to yesterday’s closing price of Hidro’s shares, of 128 lei, is equivalent to a gross yield of 11%. The registration date, which defines the shareholders who will benefit from dividends, is June 10, while the proposed payment date is June 28.

For last year, Hidroelectrica reported a preliminary net profit of almost 6.34 billion lei, 42% above that of 2022, while revenues increased by 30%, up to 12.24 billion lei.

The net energy produced and sold by Hidroelectrica increased by 30%, to 17,639 GWh, from 13,544 GWh, in the previous year. “The increase was mainly due to the improvement of hydrological conditions in 2023 compared to 2022, which led to the recording of a production in 2023 above the multi-year average”, according to the company.

The stock market valuation of Hidroelectrica amounts to 57.6 billion lei.