Czechia's ČEZ significantly improved its results last year, analysts expect net profit above CZK 70 billion

According to analyst estimates, energy company ČEZ significantly improved its performance year on year last year. Analysts estimate that the company’s net profit for the full year rose above CZK 70 billion, up to seven times more than the year before. This will also be reflected in its dividend payout. The sharp rise in energy prices had an impact on the company’s results last year. Analysts contacted by the Czech News Agency (ČTK) agreed on this. The company will publish its results for last year next Tuesday.

In the first three quarters of last year, ČEZ reported an increase in net profit from CZK 6.7 billion to CZK 52.3 billion. Operating revenues for the first three quarters of last year rose by 35 percent to CZK 211.1 billion.

„We expect significant growth at all levels, driven by the sharp rise in electricity prices,“ said J&T Bank analyst Milan Lávička.

He noted that while the average realized electricity price was approximately EUR 55 (about CZK 1320) per MWh the year before last, it was twice that last year. Lávička therefore expects adjusted net profit to be at the upper end of ČEZ management’s outlook, which at the end of last year forecast net profit of between CZK 65 billion and CZK 75 billion. Komerční banka analyst Bohumil Trampota expects net profit to exceed CZK 71 billion. He said this would mean the company meets its targets for last year.