Grant Thornton has prepared an expert study analysing the market of water companies in the Czech Republic. The study also includes a comparison of individual players operating in the relevant market.

There are a large number of public entities, such as cities and municipalities, which represent the largest groups among both owners and operators of the various infrastructure facilities needed to provide water services. A significant part of the market is also made up of a considerable number of commercial companies (mainly limited liability companies and joint stock companies), which operate on the market within both categories, i.e. they are both owners and operators of infrastructure. The number of limited liability companies and joint stock companies reaches hundreds among both owners and operators.

In the study, in addition to the price calculations for water and sewerage fees, which water companies must submit in the format prescribed by the regulator, accounting statements are also used for the calculations. The spreadsheets are statements that individual water companies report to the Ministry of Finance and the Ministry of Agriculture on a regular basis.

As a standard, the analysis then proceeds on the basis of comparisons of financial indicators between the individual market entities described above. The financial analysis focuses primarily on profitability. The result is a comparison of the amount of calculation profit achieved and its use for investment in infrastructure or for generating profit for payment to shareholders in the form of dividends.  

You can download the study HERE.