In the first half of 2025, SOE sales revenue grew by 12.4%, reaching a total turnover of €2.4 billion

In the first half of 2025, state-owned enterprises (SOEs) remained a reliable pillar of the Lithuanian economy. The total sales revenue of the SOE portfolio grew by 12.4%, with enterprises collectively earning €2.4 billion in sales. This growth was mainly driven by a 16.3% increase in the turnover of the energy sector. The total asset value of the SOE portfolio increased by €130.5 million, reaching €14.1 billion.

The net profit of SOEs in the first half of 2025 amounted to €181.6 million, which is 37.7% less than in the same period last year. The main factor behind this decline was expenses rising faster than sales revenue. The negative change in profit highlights the need to seek more efficient cost-optimization measures.

However, the Centre of Registers (VĮ Registrų centras) recorded a fivefold increase in net profit compared to the same period last year. Its net profit grew by €10.5 million to reach €13.0 million. The company also achieved the highest increase in sales revenue among all SOEs – up by 39.5% to €46.6 million. This growth was driven by an increase in service volumes and state compensation received for services previously provided free of charge.

Of all companies included in the SOE portfolio, 25 operated profitably in the first half of 2025, while the remaining 8 SOEs reported losses ranging from €15.3 thousand to €41.3 million.

During the first half of 2025, the energy sector accounted for 68% of total portfolio revenues, amounting to €1.6 billion. The largest contribution came from AB “Ignitis Group”, whose sales revenue reached €1.3 billion, up 18.8% (€205.7 million) compared to the first half of 2024. AB “KN Energies” also recorded significant growth in sales revenue – up 19.9% to €51.1 million.

The State Forest Enterprise (VĮ Valstybinių miškų urėdija) earned €140.5 million in sales revenue in the first half of 2025 – a 6.6% (€8.7 million) increase compared to the same period in 2024.

All other SOEs collectively earned €13.6 million more revenue in the first half of 2025 compared to the same period in 2024.

According to Jurgita Bagdonienė, Acting Head of the Governance Coordination Centre (GCC), the results for the first half of 2025 show that SOEs operate in a diverse environment and face different challenges. On the other hand, overall portfolio trends remain unchanged – meeting public expectations and ensuring transparent, modern corporate governance.

“The energy sector, which accounts for more than half of all state-owned assets and two-thirds of total sales revenue, remains the most important part of the SOE portfolio. Although in the first half of this year the sector’s expenses grew faster than revenues, both the increasing electricity production and supply, and the development of renewable energy projects, contribute to strengthening energy independence and ensuring long-term competitiveness.

The transport sector, which provides over 12,000 jobs – more than a third of all SOE employees – is the most sensitive to wage changes but continues to support the smooth operation of strategically important enterprises.

Meanwhile, the forestry sector and other enterprises significantly improved their net results in the first six months of 2025 compared to the same period last year. Especially noteworthy is the Centre of Registers, which achieved a fivefold increase in net profit. This reflects the growing demand for its services and the societal benefits of modernization,” said Bagdonienė.

She also emphasized that such a diversified SOE portfolio provides resilience to economic cycles and geopolitical uncertainty – slower growth in some sectors is offset by better results in others.

As of the end of June 2025, 33 SOEs operated in Lithuania, employing 26,698 people – 209 more than at the beginning of the year.

The transport sector employed the largest share – 12,195 employees or 45.7% of all SOE staff. The energy sector accounted for 30.1% (8,037 employees), and the forestry sector employed 2,555 people (9.6%).

The three largest employers – AB “Lithuanian Railways” Group (5,720 employees), AB “Ignitis Group” (4,778 employees), and the State Forest Enterprise (2,555 employees) – together employed 48.9% of all SOE staff.

For more detailed information, see the SOE Portfolio Performance Report for the first half of 2025, prepared by the Governance Coordination Centre, available at the following link: 2025 H1 SOE Performance Report.