The energy crisis may significantly affect the financial and stock market course of EYDAP, but CEO Haris Sachinis, who has been at the helm of the water company since 2019, is trying to prepare the ground for the next day.
Sachinis is called upon to balance the challenge of water scarcity, finding more capital as well as the resilience of households, which are suffering from high prices.
The experienced CEO, a few days ago, confirmed for the first time EYDAP’s intention to proceed with an increase in water tariffs, in order to finance the new investment program, which aims to shield the region of Attica against climate change.
These are the first price increases during the Sachinis’ management, who throughout the previous years had chosen, with the guidance of the competent ministry, to pursue a social policy of zero burden on water bills.
Half … recovery
However, this choice also had negative consequences, with the dramatic reduction in profit margins and the consequent free fall in profitability.
Since last year, however, with the gradual de-escalation of energy costs, he saw figures gradually improving. In 2023, for example, profitability amounted to 20.2 million euros compared to 5 million euros in 2022, while in the first half of 2024 net profits reached 10 million euros.
In any case, the above performance still falls short of the levels of both 2021 and 2019, which partly explains the constant underperformance of the share on the Athens Stock Exchange.
The listed company is not only far away from the multi-year highs of 2021 (9 euros) but has been trapped for seven months below 6 euros, resulting in a valuation that does not exceed 620 million euros.
