Slovenian energy giant reports historic profit

The Slovenian energy group Petrol posted a historically high net profit of €146 million for 2024, according to preliminary estimates. Due to the impact of global price trends, sales revenue dropped by 12% to €6.1 billion even as volume sales of oil derivatives, natural gas and electricity remained high.

The net profit figure is up by 7% on the year before. Earnings before income tax, depreciation and amortisation (EBITDA) rose by 15% to €314 million, which the company said was a result of efficient operations despite the regulatory restrictions, CE Report quotes The Slovenia Times.

Operations were marked by continued inflationary pressures and energy price volatility, which however eased compared to the year before, the company said as it released preliminary results on 14 March.

"With thought-out cost management and successful sales, especially in the merchandise and energy solutions segments, we surpassed both our last year's results and our plans," Petrol CEO Sašo Berger said.

They remain focused on the energy transition and digitisation, while continuing strategic investments despite a limited budget.

Petrol allocated €60 million for investments in 2024, less than planned, which was the result of "uncertainty related to margins that were too low and to rising geostrategic and environmental risks that had an impact on the investment dynamics".

The company argues the retailer margins in Slovenia are "too low to allow adequate financing of the additional legally binding steps in the energy transition, such as biofuel blending, CO2 taxes and costs related to ensuring savings for final customers".

The Petrol group, which operates 595 petrol stations, sold 3.9 million tonnes of fuels and derivatives last year, 2% more than in 2023.

"Good results were achieved primarily in the Croatian market, where lower fuel prices compared to neighbouring countries also boosted strong sales, leading transit buyers to prefer making purchases in that country over Slovenia," the company said.

Revenue from the sale of merchandise goods and services increased by 11% to €636 million. The group also sold 20.7 terawatt-hours (TWh) of natural gas, 11.3 TWh of electricity and 135,500 megawatt-hours of heat.

Marking its 80th anniversary this year, Petrol projects for revenue to remain at the 2024 level, EBITDA to the tune of €339 million, and a net profit of just shy of EUR 178 million, with €150 million earmarked for investment.

Petrol's largest single shareholder is the Czech-Slovak financial group J&T (12.78%), while the state holds around a third of the company.