Simtel Team posts a turnover of 122.5 million lei and a net profit of 6.5 million lei at the consolidated level in the first half of 2023
Simtel Team (BVB: SMTL), a Romanian engineering and technology company listed on the AeRO market of the Bucharest Stock Exchange and a national leader in renewable energy, posts at the consolidated level, a turnover of 122,5 million lei in the first half of 2023, a 226% increase compared to the same period last year and a net profit of 6.5 million lei, a 119% appreciation compared to the first half of 2022. Financial results at the consolidated level include the performances recorded by Simtel Team, Simtel Solar, the entity from the Republic of Moldova in which Simtel holds the entire stake, as well as ANT Power Energy and Agora Robotics, companies in which Simtel Team has a 51% stake.
“In the first six months of 2023, we have continued to grow at an accelerated pace, thanks to the substantial increase in the number of PV projects we are involved in, as well as the investments we have made over the last three years in growing the business, which are already starting to bring results. At the same time, the financial performance recorded for this period of the year is in line with our expectations. Therefore, we are confident that we will reach the budgeted targets for this year at the consolidated level – revenues of 297.1 million lei and a net profit of 25.6 million lei. It is important to note that in our business, the last part of the year is when most projects are closed. I thank my colleagues for these performances, whose dedication, expertise, and passion for renewable energy translates into the construction of green projects at the highest quality standards level, probably unprecedented in Europe”, stated Mihai Tudor, CEO and executive member of the Board of Directors of Simtel Team.
At the individual level, Simtel’s turnover amounted to 119.1 million lei in the first six months of 2023, a 236% increase compared to the same period last year, and the net profit was 5.9 million lei, a 241% increase compared to the first half of 2022.
In the first half of 2023, the company’s renewable energy division contributed 89% to the turnover at the individual level, generating revenues of approximately 106 million lei, compared to 29.7 million lei generated in the first half of 2022. Telecommunications contributed 8% to the turnover and generated revenues of approximately 9.5 million lei in the first half of 2023, compared to 5 million lei in the same period last year. Other business lines represented 3% of the turnover at an individual level.
At the end of August this year, Simtel announced the completion of the first phase of the photovoltaic park in Plesoiu, Olt County, and implicitly the official launch of a new business line of Simtel Team, namely the production of renewable electricity. At this new business segment level, the company’s objective is to produce and sell the electricity produced through direct contracts with its beneficiaries, such as PPA contracts (Power Purchase Contracts) or OPCOM (Romanian Electricity and Gas Market Operator).
“Simtel’s operation of its own solar parks is of significant importance regarding the company’s risk profile, long-term financial stability, and the significant impact that the operating profit generated by the photovoltaic parks will have on its consolidated statements. The main reasons why we consider the operation of our own photovoltaic parks an essential step in the company’s medium and long-term development are related to the diversification of revenue streams, a stable cash flow, the capitalization of the company’s expertise in the financing of these parks and an attractive return on investment. All these elements can contribute in the future to a more robust business model and a more solid financial situation of our company “, stated Iulian Nedea, co-founder and Chairman of the Board of Directors of Simtel Team.
Simtel Team is listed on the AeRO market of the Bucharest Stock Exchange as of July 1, 2021. Currently, the company has a market capitalization of approximately 306 million lei.
About Simtel Team
Simtel Team is a Romanian company, founded in 2010 by three Romanian entrepreneurs – Iulian Nedea, Sergiu Bazarciuc, and Radu Vilau. The company is listed on the AeRO market of the Bucharest Stock Exchange under the ticker symbol SMTL and operates in 3 fields of activity – as a solution integrator in telecommunications, renewable energy, and industrial automation. The company has successfully delivered projects in each of these areas to clients both in Romania and abroad. As of October 2021, the company is included in the BVB’s BET-AeRO index.