1H 2021 Consolidated Financial Report of the company has submitted to the Financial Supervision Commission.
The net consolidated profit of the Group for the first half of 2021 reached BGN 16 559 thousand which is a growth by over 125 % compared to the reported consolidated net profit of the Group in the amount of BGN 7 350 thousand for the same period of the previous year and an increase by over 47 % compared to the consolidated net profit of the Group for the first half of 2019.
The consolidated sales for the first half of 2021 are in the amount of BGN 131.7 million and report a 28.5 % growth compared to the sales for the same period of 2020 and an increase by 7.4% compared to the reported sales for the first half of the pre-crisis 2019. We expect the net sales revenues for the second half of the year to reach BGN 134.2 million.
We expect the consolidated revenues for the third quarter of 2021 to reach BGN 69.8 million thus we will report an increase by over 57 % compared to the same period of the previous year and an increase by over 32 % compared to the same period of the pre-crisis 2019. We confirm our expectations that with the forecast revenues for the second half of 2021 we will report an increase by nearly 38 % compared to the same period of the previous year and an increase by over 31 % compared to the second half of 2019.
As from the beginning of 2021, the companies in the Group of Stara Planina Group Hold AD report a significantly higher growth of prices (as opposed to the forecasted and reported inflation) of raw materials, energy, labor remuneration which respectively affects production prices. As of 30.06.2021 the average growth of the prices of raw materials compared to January 2021 is 10-15%, as the growth of steels exceeds 37%, of energy is 50%, and of labor remuneration 9 %. As of the date of this report the average growth of raw material prices is 30-40% compared to January 2021, as in solid steels the growth is about 80%, the growth of energy is 100%, and the average annual growth of labor remuneration is expected to reach 15 %. With these serious increases in the prices of all major components affecting the cost of manufactured products, the realistic expectations are to achieve an annual growth in the price of products sold of 12-13 % for December, 2021 compared to December, 2020.
CONSOLIDATED HALF-YEAR SALES incl. updated forecast for 2021 ( BGN million)