Turnover of Latvijas Gaze Group grows 4.3 times to EUR 320.7 million in Q1

• Published date: 25 May 2022
• Publication title: LETA

RIGA, May 25 (LETA) - Joint-stock gas supply company Latvijas Gaze Group achieved EUR 320.748 million in turnover in the first quarter of the year, which is 4.3 times more than a year ago, the company said in unaudited financial results submitted to the Nasdaq Riga Stock Exchange.

The group's net profit for the first quarter in 2022 was EUR 77.5 million, up 214 percent against the same period in 2021 when it was EUR 24.7 million.

ccording to the groups' unaudited statement for the first quarter of 2022, Latvijas Gaze achieved its best financial results yet thanks to "disciplined trading and risk management strategy in 2021". The turnover growth was attributable also to high selling prices.

Latvijas Gaze benefited from the fact that index-price linked sales had a dominant weight in

trading portfolio and index-price linked sales portfolio was hedged at significant spread to summer injected gas. Additionally, Latvijas Gaze managed to capture portfolio optimization

opportunities benefiting from high gas price volatility environment, the energy group's management said in the statement.

During first quarter of 2022, Latvijas Gaze sold 4,014 GWh of natural gas to customers in Latvia and abroad. Compared to the same period in 2021, sales volumes have decreased by 4 percent, however the decrease is insignificant, as sales volumes in Q1 2021 were one of the historically highest. Sales volume decrease is attributable to higher air temperature and high natural gas prices, which led customers to reconsider their consumption of natural gas.

Sales to the household customer segment reached 567 GWh in the first quarter of 2022. The

segment is regulated and the tariff is approved by the Public Utilities Commission. Household

segment was the only segment that caused losses in the first quarter of 2022 since the tariff is lower than the costs of natural gas...