A period of exceptional operating results is behind the GEN-I Group. Estimated results for 2021 indicate a net profit of €70 million and a record return on equity of 50.7%. Through the expansion of trading, we increased the scope of operations by more than 30% and concluded trading contracts for 200 TWh of electricity, resulting in an increase in operating revenues to €3.4 billion.
The 2021 business year represented a breakthrough for GEN-I. The green transformation, digitalization, the health crisis and above all the energy crisis that drove energy prices to record highs tested the capacities of the GEN-I Group and the expertise of its employees. Despite the aforementioned crises, the results achieved in 2021 exceeded all expectations, and serve as proof that the GEN-I Group has been built on solid foundations, is prepared for crisis situations and is the most successful energy company in Slovenia.
The achievements that have driven our continuous growth for the last fifteen years are the result of the awareness of the company’s long-standing Management Board, headed by Dr. Robert Golob, that success is measured by the achievement of the proper balance between the interests of all stakeholders. The interests of owners must be aligned with the interests and confidence of customers, the wages and satisfaction of employees and the confidence of financial institutions. The GEN-I Group generated a return on equity of 50.7% for owners in 2021, while the Group’s debt was reduced to zero, employee earnings were nearly three times the Slovenian average, and our customers paid the lowest energy prices relative to the competition. And despite the crisis, GEN-I does not intend to raise electricity prices for households until the summer.
“The 2021 business year was our most successful ever. In the context of extreme conditions on the energy markets, which led many suppliers to increase prices or even abandon their activity, GEN-I further enhanced its value by generating a net profit for owners that was four times higher than planned, by freezing prices for customers, through development and rewards for employees, and by generating the best financial results in the company’s history for financial institutions,” was how 2021 was summarized by Dr. Robert Golob, President of GEN-I’s Management Board until last December.
As the leading promoter of the green transformation, the GEN-I Group is developing green services and taking major steps on the path of transformation. With awareness of the urgent need for measures to combat climate change, we abandoned fossil fuels as a source of electricity at the beginning of the year, and began supplying our customers electricity exclusively from sources that do not generate CO2 emissions, effective January 1.
We also pursued the vision of decarbonizing Slovenia by accelerating the set-up of solar power plants. By the end of the year, we had sold solar power plants with a capacity of more than 80 MW, and began the construction of the first major stand-alone solar power plant in North Macedonia, which will generate 24 GWh of electricity per year. We increased investments in digitalization and green energy by more than 50% last year.
The GEN-I Group achieved the highest rates of return, the lowest prices, excellent wages and the lowest level of debt through investments in its long-term development and people, with whom we generated value added per employee of €250,000 last year, which is five times the Slovenian average. As the leading promoter of innovation and green technologies, with dedicated employees and customers who have trusted it for many years, the GEN-I Group is the most successful energy company in Slovenia.