Dalekovod Secures €30 Million Contract in Germany

Dalekovod has secured a new contract in Germany worth over €30 million, as announced on the Zagreb Stock Exchange. The contract will be signed with Tennet, the local transmission system operator, and the Croatian company will be the main contractor for the Landesbergen – Borken project, which involves comprehensive rehabilitation of the 380/220/110 kilovolt transmission line.

The project is divided into several phases, and Dalekovod has been assigned part D of the project, which covers the section from the Berghausen substation to the Borken substation, spanning 30 kilometers. The start of construction is planned for March 2025, with completion expected by the end of 2026. As stated by Dalekovod via the Zagreb Stock Exchange, this contract represents a significant step for the domestic company in the German market and further strengthens its position as one of the key players in the modernization and construction of Europe’s electrical infrastructure.

Additionally, in the unaudited consolidated report for the first six months of this year, it was noted that the Dalekovod Group aims to continue to enter new markets more robustly, such as Germany, where the first projects were successfully completed earlier.

As of June 30 of this year, the Group had a contract portfolio amounting to €327 million (an increase of €46 million compared to the end of 2023), which positively impacts the expected growth and predictability of revenue in the upcoming period, as well as the anticipated growth in business profitability.

Specifically, at the Group level, in the first six months of 2024, a 23 percent increase in operating revenue was recorded compared to the same period last year, amounting to €87.4 million, with a net profit of €4.8 million. The Group’s EBITDA for the reporting period is €7.2 million, which is an increase of €4.9 million compared to the previous period.

Meanwhile, the revenues of the Dalekovod company itself in the first six months of this year amounted to €58.3 million, representing an eight percent increase compared to the same period last year. The net profit of the parent company of the Dalekovod Group in the first half of the year was €2.3 million.