Gelsenwasser's 63% Loss: A Three-Year Investment Journey

Gelsenwasser AG (FRA:WWG) investors have witnessed a significant decline in their stock value over the past three years, with a 63% loss. This article explores the factors contributing to this decline and provides insights into the company's financial performance during this period.

Gelsenwasser AG operates in the water, wastewater, and energy sectors, providing essential services to its customers. However, the company's revenue has experienced a significant drop, with a 69.60% decrease in 2023 compared to the previous year. This decline can be attributed to various factors, including market conditions and strategic decisions made by the company.

One of the primary reasons for the revenue decline is Gelsenwasser's divestment of its energy trading business in 2021. This strategic decision aimed to focus on the company's core water and wastewater segments. While this move improved Gelsenwasser's risk profile, it also led to a reduction in revenue. Additionally, the European energy crisis has contributed to the decline in the energy business, which includes gas supply and electricity distribution.

Despite the revenue decline, Gelsenwasser's earnings increased by 61.95% in 2023, indicating improved operational efficiency and cost-cutting measures. This improvement suggests that the company is focusing on maintaining profitability despite the challenging market conditions.


Gelsenwasser's stock price has been volatile over the past three years, trading at 500.00 as of last trade, which is 1.63% above its 52-week low. This volatility can be attributed to market perceptions and investor sentiment, as well as the company's strategic decisions and operational changes.

In conclusion, Gelsenwasser AG investors have faced a significant loss of 63% over the past three years. The company's financial performance has been impacted by a combination of market conditions and strategic decisions, including the divestment of its energy trading business and the European energy crisis. Despite these challenges, Gelsenwasser's core business in water, wastewater, and energy supply remains essential, and its long-term prospects may still be attractive for income-focused investors.