Adjusted profits of 7.3 million euros were achieved by ELTA in 2021

Adjusted profits (adjusted Ebitda) of 7.3 million euros against losses of 8.76 million euros in 2020 were presented last year by the ELTA group, while the parent company presented adjusted profits of 7.2 million euros, against losses of 6.49 million euros in 2020.

According to a relevant update from the ELTA group, in the context of the evaluation of its performance and with the aim of better analyzing the operating results, the adjusted EBITDA index is used.

This subtracts from EBITDA the net costs of the voluntary exit of the staff (amount of 112 million euros), other non-recurring costs directly related to the voluntary exit of the staff, reorganization costs related to the corporate transformation, as well as the results of the electricity trading subsidiary energy that no longer constitutes a core activity of the company.

The course of turnover

Excluding the effect of electricity and universal service, the decline in turnover, both on a consolidated and corporate basis, is -2.4% (from 243.630 million to 237.733 million) for the Group and -4 .7% (from 191.657 million to 182.577) for the company, despite the intensifying e-substitution and e-government, but also the general decline of e-commerce in 2021 at the international level.

Payroll expenses (of all staff, i.e. regular, external partners and contractors), deducting the related costs of voluntary exit decreased by 24.8% (from 173.846 million to 130.755 million) for ELTA SA and by 3.7 % (from 19.985 million to 19.251 million) for ELTA Courier.

At this level, according to ELTA officials, the drop in the salary costs of the parent ELTA SA becomes evident, as a result – to a large extent – of the departure of a significant number of staff due to voluntary reasons.

Also, building expenditures decreased by -5.1%, machinery and PCs decreased by -5.7% and merchandise and supplies decreased by -5.1%, while interest and expenses decreased by -9, 5% and IFRS 16 finance lease costs decreased by -27.6%.

According to ELTA executives, in 2020 the company closed with positive equity, amounting to 54.9 million after the Share Capital Increase, amounting to 100 million, which took place at the end of the year.

In 2021 and due to the implementation of the voluntary exit program, amounting to 112.2 million, equity presented a negative display, at 52 million at the levels foreseen by the approved five-year transformation plan.

As it records, the reductions in payroll costs as a result of the voluntary exit, the cash reserves, amounting to 116.8 million (31/12/2021), as well as the expected profitability of the following years, give momentum for the return of equity capital in positive territory before the end of the five years, as ELTA group executives report.