Končar Achieves Net Profit of 65.1 Million Euros in the First Quarter

The Končar Group achieved a net profit of 65.1 million euros in the first quarter of this year, representing a growth of 129.1 percent compared to the same period last year, the company announced on Tuesday.

In the first quarter, new contracts worth 416.3 million euros were signed, with export markets accounting for 78 percent. In addition to newly contracted jobs, a key support for the upcoming period is the backlog, which has increased to 2.15 billion euros, 110.2 million euros higher than the state at the end of 2024.

Consolidated revenues from the sale of products and services at the end of the first quarter amount to 306.1 million euros, which is an increase of 96.1 million euros or nearly 46 percent compared to the same period last year.

The achieved EBITDA amounts to 69.5 million euros, which is 34.7 million euros higher than in the same period last year, while the EBITDA margin, at 22.7 percent in the first quarter of this year, has increased by 6.1 percentage points. Končar emphasizes that revenues have grown in all four business areas – electricity generation, transmission and distribution of electricity, urban mobility and infrastructure, as well as digital solutions and platforms.

As in the previous period, the area of transmission and distribution of electricity stands out with the best results, led by Končar – Distribution and Special Transformers (D&ST), whose profit has increased by 76 percent.

Končar reminds that in February, the first of 40 new low-floor trams was delivered to the Zagreb Electric Tram (ZET), and the first of ten ordered new trams began operating in Osijek.

Additionally, the City of Osijek announced the procurement of another ten trams. From the Končar – Electric Vehicles factory, another train was put into operation, the first of seven ordered diesel-electric trains for HŽ Passenger Transport.

The Management of Končar Proposes a Dividend of Three Euros per Share

It should be added that the Management of Končar Elektroindustrija has convened a general assembly for June 12, where shareholders will decide, among other things, on the proposal to pay a dividend of three euros per share from last year’s profit, which is half a euro more than last year.

As stated in the invitation for the assembly, the Management and Supervisory Board determined that the net profit of Končar d.d. in 2024 amounted to 31.45 million euros, and they propose to the assembly that 1.37 million be allocated to other reserves, and 198 thousand to other reserves for unamortized development costs. A maximum of 7.64 million euros would be paid out as a dividend, which constitutes 24.29 percent of the net profit achieved last year, and how much will actually be paid out will depend on the number of shares belonging to registered shareholders in SKDD.

The dividend of three euros per share will be paid to shareholders who are registered as owners in the SKDD depository on June 27, and the dividend payment will be made no later than July 12. The remaining amount of available profit is proposed to be allocated to retained earnings, as seen from the invitation for the assembly.

The price of Končar shares was up more than five percent around 14:30, at 500 euros, which is the highest level since the end of February this year, with a trading volume of 542 thousand euros.