EUROHOLD BULGARIA TRIMS H1 2011 LOSS

Insurance, leasing, car dealership and financial brokerage group Eurohold Bulgaria reduced its first-half 2011 consolidated loss to 371 000 leva from 5.12 million leva in the same period of 2010, citing lower costs in its financial report released on August 22.

The holding company lowered total expenses, most notably costs for materials, by 15 per cent year-on-year to 180.5 million leva. Social security pay-outs have also dropped, while payments to contractors and payroll expenses have increased.

Operating revenues shed seven per cent in the six months to June, totalling 180 million leva, with sales down 20 million leva on the year to 162 million leva.

The decline in premiums from third-party liability policies in Romania, where Eurohold is present through subsidiary Euroins Romania, was the main reason for the lower operating revenue.

However, income from leasing operations, investment intermediation and the parent company's activity surged by more than 50 per cent to nearly 18 million leva.

The company's long-term debt shrank by 11 per cent to 194 million leva, including 127 million leva worth of bank loans. Short-term obligations totalled 178 million leva.

Consolidated figures show a drop in revenues at insurance division Euroins Insurance Group and leasing unit Eurolease Group, but higher receipts at car seller Auto Union and investment brokerage Euro-Finance.

The investment intermediary, along with Eurolease, are the only subsidiaries to close the first half with a profit, according to the report.