Eurohold, the parent company of Euroins, reports significant growth in Q1 2022
- Revenues increased more than four times, reaching 1.67 billion Leva (853 million Euro)
- Operating profit (EBITDA) increased almost ten times, reaching 92 million Leva (45 million Euro)
- Assets increased by 7.4%, reaching approximately 4.8 billion Leva (2.4 billion Euro)
- Euroins Insurance Group’s premium income increased by 88% to 469 million Leva (239 million Euro)
The largest public holding company in Bulgaria and one of the most important energy and financial groups in Southeast Europe – Eurohold Bulgaria, the parent company of Euroins Romania, reported record revenues and almost tripled its profit in the first quarter of 2022 according to the consolidated interim financial statement of the company.
Total revenues increased more than four times, exceeding 1.67 billion Leva (853 million Euro) in the January-March period. The increase was mainly due to the consolidation of the results of the Bulgarian subsidiaries of the former CEZ group, which were acquired by Eurohold in July 2021. These units currently operate under the Electrohold Bulgaria brand. The energy business accounted for just over half of the group’s total revenues in the first quarter of 2022. This growth was also supported by increased insurance premium income generated by Euroins Insurance Group (EIG) in the group’s newer markets.
Energy activities played an important role in increasing the profitability of the holding company. The operating profit (EBITDA) from this activity exceeded 71 million Leva (36 million Euro) for this period. The profitability of insurance operations has also improved significantly – the operating profit generated by this line has more than doubled, reaching 20.35 million Leva (10.3 million Euro). The holding’s total EBITDA exceeded 92 million Leva (45 million Euro), which represents a tenfold increase over the previous period. Net profit reached almost 37 million Leva (18.9 million Euro) in the first three months of the year, which represents a significant increase compared to the same period in 2021.
The assets of the holding increased by 7.4% annually, reaching almost 4.8 billion Leva (2.4 billion Euro).
“We started the year very positively in the two key lines of our business and in this way continued the good performance achieved in 2021. We have not yet felt the challenges we have been facing since the end of February due to the conflict in Ukraine.
We believe our business is well structured to meet these challenges. We will strive to maintain the positive growth rate for the rest of the year, while respecting the uncertainty in Eastern Europe and fragile economic growth, factors that would have an impact on almost all businesses in the coming periods… Most importantly, we have managed to we protect colleagues from Ukraine, as well as their families whom we have accommodated in Bulgaria. Our business in Ukraine continues to operate at a slower pace and in areas less affected by the war,” commented Kiril Boshov, Chairman of the Board of Directors of Eurohold.
The subsidiary Eurohold – EIG, owns two insurance companies in Ukraine – Euroins Ukraine and European Travel Insurance Ukraine, which have not ceased their activity and are still operating, despite the current situation in the country. The share of the two companies in the total assets of the group is relatively small – less than 5%. Most of the employees of the two Ukrainian companies and their families were evacuated to Bulgaria immediately after the outbreak of the conflict. Now he works remotely.
The holding company’s other smaller business lines generally contribute positively to the group’s results.
Consolidated results – Eurohold: January – March 2022
| Income | EBITDA | Net profit | |||||||
| section | Q1.2022 | Q1.2021 | Change | Q1.2022 | Q1.2021 | Change | Q1.2022 | Q1.2021 | Change |
| 000′ Leva | 000′ Leva | % | 000′ Leva | 000′ Leva | % | 000′ Leva | 000′ Leva | % | |
| insurance | 771,815 | 375,402 | 105.60% | 20,350 | 8,747 | 132.65% | 17,303 | 5,798 | 198.43% |
| Premiums subscribed | 469,033 | 249,469 | 88.01% | – | – | – | – | ||
| Energy | 883,274 | – | 71,155 | – | – | ||||
| Other | 19,135 | 15,019 | 328.83% | 1,741 | 971 | 79.30% | 90 | 389 | -76.86% |
| Totally subsidiary | 1,674,224 | 390,421 | 328.83% | 93,246 | 9,718 | 859.52% | 43,247 | 6,187 | 599.00% |
| The parent company | 527 | 621 | -15.14% | (1,208) | (191) | – | (6,431) | (4,997) | – |
| Totally no eliminations | 1,674,751 | 391,042 | 328.28% | 92,038 | 9,527 | 866.08% | 36,816 | 1,190 | 2993.78% |
| Intragroup eliminations | (2,027) | (2,131) | – | 34 | 357 | – | 57 | 14 | 307.14% |
| Total with eliminations | 1,672,724 | 388,911 | 330.10% | 92,072 | 9,884 | 831.53% | 36,873 | 1,204 | 2962.54% |
Source: Eurohold
(1 Euro = 1.95583 Leva)
Eurohold Bulgaria AD
Eurohold Bulgaria AD is a leading energy and financial group operating in Central, Eastern and South-Eastern Europe in the fields of electricity distribution, supply and trading, insurance, leasing, car sales, investment services and asset management. It is listed on the Bulgarian and Warsaw Stock Exchanges. Eurohold owns Euroins Insurance Group AD (EIG), one of the largest insurance groups in the region. EIG offers a full range of insurance products, serves more than 4 million customers in 13 countries, including Romania, and has more than 3,000 employees. In 2021, Eurohold acquired through its wholly owned sub-holding, Eastern European Electric Company, the subsidiaries of the Czech energy company CEZ Group in Bulgaria, which now operate under the Electrohold brand.
