Sokolovská Uhelná Posts Profit And Revenue Growth Despite Coronavirus

Sokolovská uhelná reported a profit of 104.6 million crowns in 2020. The company ended the previous year with a loss of 330.5 million crowns, mainly due to provisions. Revenues of the company rose to almost seven billion crowns last year, according to the financial statements published in the Commercial Register.

Revenues from the sale of products and services increased by Sokolovské uhelné by about 400 million crowns year on year. The largest share of revenues was accounted for by the sale of electricity, which exceeded 4.5 billion crowns in revenues, which was an increase of approximately 800 million. The company achieved sales of 1.6 billion crowns in the sale of solid fuels, about 200 million less year on year.

The pandemic and restrictive measures against its spread also affected the functioning of Sokolovská uhelná and disrupted many business and economic activities. The pandemic did not have a significant negative impact on the company, its transactions, economic results, and cash flows, “it is stated in the notes to the financial statements.

Last year, Sokolovská uhelná employed an average of 2,472 employees, which was 332 less than in 2019. The company’s total wage costs last year were 1.77 billion crowns.

The mining company has been facing strong pressure in recent years to reduce and reduce the use of coal. In particular, the growth in the price of emission allowances places a significant economic burden on the company. 

Sokolovská uhelná is one of the largest emitters of carbon dioxide in the region. In 2020, the audited CO2 emissions reached 3.26 billion tons (in 2019 it was 3.88 billion tons), in the acquisition value of allowances it amounted to 1.86 billion crowns, in the previous year it was 1.18 billion crowns.

This year, Sokolovská uhelná announced major changes. The mining company and its subsidiaries began to transform into a new SUAS GROUP

The new group should deal with renewable energy sources, waste treatment and disposal, engineering and transport, and development. It also wants to use European Union subsidies for the transformation of coal regions. Two projects of Sokolovská uhelná were also pre-selected among the strategic projects of the Fair Transformation Fund for the Karlovy Vary Region.