EnviTec Biogas stays on growth path in FY 2020
- Total output climbs 12.1% to EUR 227.0 million; revenues decline 10.0% to EUR
192.3 million due to a lower number of finally invoiced projects;
- Further increase in EBITDA to EUR 32.1 million (2019: EUR 30.2 million); EBT of
EUR 17.2 million
- Dividend of EUR 1.00 per share proposed for FY 2020
- Forecast: Slightly increasing total output (or revenues); EBT in a range of EUR 17-19
Lohne, May 17, 2021 – 2020 was an extremely successful financial year for EnviTec Biogas AG (ISIN: DE000A0MVLS8). While the Own Plant Operation and Service segments performed well, this success is mainly attributable to the dynamic business situation in the Plant Construction segment.
At EUR 110.2 million, sales revenues in the Group’s largest segment, Own Plant Operation, were on a par with the previous year. Total output picked up by 1.2% to EUR 116.0 million. In the Service segment, sales revenues declined by 17.1% to EUR 40.0 million (previous year: EUR 48.2 million). Total output, which also takes into account the decline in assets under construction, declined by 7.9% to EUR 41.7 million. The Plant Construction segment (including the holding company) reported a 23.5% decline in revenues to EUR 42.1 million. Total output increased by 62.5% to EUR 69.2 million due to high-capacity utilisation.
The above-described segment performance led to a 10.0% decline in consolidated revenues to EUR 192.3 million (previous year: EUR 213.6 million). The decline in revenues is attributable to the large number of projects that were finally invoiced in the Service (repowering/flexibilisation) and Plant Construction segments in the previous year. The EUR 43.8 million increase in changes in inventories to EUR 25.4 million shows that the EnviTec Group’s capacity utilisation continued to increase at the same time. The Group’s total output, which additionally includes the value of projects under construction, again rose sharply by 12.1% to EUR 227.0 million.
Earnings before interest, taxes, depreciation and amortisation (EBITDA) amounted to EUR 32.1 million in the reporting period (2019: EUR 30.2 million). The good earnings trend is based on the continued high profitability in the Own Plant Operation segment as well as the continuously positive result in the Service segment (before consolidation of internal sales). In addition, the Plant Construction segment generated a positive result for the first time in several years (excluding the holding company). Earnings before interest and taxes (EBIT) improved from EUR 13.1 million to EUR 16.7 million. The EBIT margin rose to a very good 8.7%, up from 6.2% in the previous year. At EUR 17.2 million, the result from ordinary activities (EBT), which also includes the results of atequity investments, was in line with the Group’s forecast, which had been upgraded twice in the course of the year (previous year: EUR 10.3 million). Consolidated net income increased noticeably from EUR 7.3 million to EUR 12.3 million. Earnings per share for the year 2020 stood at EUR 0.83 (previous year: EUR 0.49).
In the single financial statements of EnviTec Biogas AG, accumulated profits amounted to EUR 23.7 million. The Executive Board and the Supervisory Board of EnviTec Biogas AG propose to again distribute a dividend of EUR 1.00 per share for the fiscal year 2020.
At 55.8%, the equity ratio remained at a very high level (December 31, 2019: 56.8%). The number of employees rose to 477 as of December 31, 2020 (December 31, 2019: 433).
Compared to the end of 2019, the order backlog increased by 14.3% to EUR 142.1 million (December 31, 2019: EUR 124.3 million). Of this amount, EUR 107.0 million is already under construction and partially included in changes in inventories.
“Our company and our business model with its three business segments have proven to be extremely resilient in a difficult macroeconomic environment,” said Jörg Fischer, CFO of EnviTec Biogas AG. “In this context, the Plant Construction segment is paradigmatic of our successful course. On the one hand, we have been able to press ahead swiftly with our projects and construction sites despite the recurring restrictions on travel and freedom of movement. On the other hand, we consider the high momentum in Plant Construction to reflect a sustainable stabilisation of the segment as the urgently needed global efforts for more effective climate protection are being stepped up. In Germany, too, the EEG 2021 has finally improved the conditions for the biogas industry quite noticeably, even though there is still some catching up to do.”
In particular, the agreed follow-up tariff for existing plants opens up a longer-term economic going concern perspective for parts of the Own Plant Operation segment. Also, new incentives for the flexibilisation of plants have been created. The implementation of the EU Renewable Energy Directive (RED II) in the “German Act on the Further Development of the Greenhouse Gas Reduction Quota” (Gesetz zur Weiterentwicklung der Treibhausgasminderungsquote – THG), which is currently still being discussed in the Bundestag, could also provide new impulses. The law provides incentives for greenhouse gas savings in the fuel mix through the use of biofuels. EnviTec is therefore actively investing in this market of the future in Germany. Earlier this year, the company acquired what is currently the largest biogas upgrading plant in Germany, near Güstrow (Mecklenburg Western Pomerania). The plant will be extensively converted so that significant quantities of bio-LNG (liquefied natural gas) can be produced there for the transport sector starting late 2022. Once the conversion is completed, the plant may potentially generate revenues in a low double-digit million amount.
For the current year, EnviTec’s management projects a further slight increase in consolidated total output (or revenues). The result from ordinary activities (EBT) is expected to reach between EUR 17 million and EUR 19 million. This is based on the
assumption that the ongoing measures aimed at containing the pandemic will have only moderately adverse effects.
The full Annual Report for 2020 is available at https://www.envitecbiogas. com/company/investor-relations/ir-reports.
About EnviTec Biogas AG
EnviTec Biogas AG covers the entire value chain for the production of biogas, including the planning and
turnkey construction of biogas plants and biogas upgrading plants as well as their commissioning. The
company takes charge of biological and technical services on demand and also offers the operational
management. EnviTec operates 75 of its own plants, making it the largest biogas producer in Germany.
EnviTec’s business interests also include the direct marketing of upgraded biomethane as well as the
marketing of electricity and balancing energy. With a presence in 16 countries worldwide, EnviTec Biogas
AG is represented by its own companies, sales offices, strategic partners and joint ventures. In 2020, the
EnviTec Group generated revenue of EUR 192.3 million and EBIT of EUR 17.2 million. The Group currently
employs 477 people. EnviTec Biogas AG has been listed on the Frankfurt Stock Exchange since July 2007.
EnviTec Biogas AG
Phone: +49 25 74 88 88 - 810