Zagreb Holding Group posted a loss of €21.02 million in the first half of 2024, in contrast to the same period in 2023, when it made a profit of €724,000, according to its consolidated financial statements.

The loss is mainly due to the fact that it was not possible to apply for compensation for the difference in the price of gas in the period after 1 April this year, amounting to €27.4 million, the board said in a commentary.

Operating income totalled €418.52 million, an increase of 11% compared to the first half of 2023, sales revenue rose by 1.0% to €304.37 million and other operating income increased by 55% to €114.14 million.

Expenses up by 17%

The largest increases in revenue were recorded in the areas of waste disposal, landscaping and green space maintenance as well as in the sale of pharmaceuticals. The largest decrease was recorded in gas sales and distribution at € 18.23 million.

The Group’s expenses totalled €427.33 million, an increase of 17% compared to the first half of 2023, due to the €51.59 million increase in the cost of goods sold at the gas supply company GPZO as a result of an increase in the purchase price for gas from 1 April 2023 and at the pharmacy company Gradska Ljekarna Zagreb.

“Despite the challenges, Zagreb Holding is maintaining a stable course in 2024, with further plans to improve its operational and financial performance while continuing to contribute to sustainable development and increasing the quality of life in the city of Zagreb,” said the Management Board.