Lohne, September 30, 2014 – “We are pleased about a strong first half-year 2014”, says Jörg Fischer, Chief Financial Officer of EnviTec Biogas AG. “Despite a difficult market environment, we managed to turn around profits at all levels and are optimistic about the future.”
The first six months of 2014 saw EnviTec Biogas boost its sales revenues by 9.5% from EUR 68.7 million to EUR 75.3 million. Earnings before interest and taxes (EBIT) climbed to EUR 5.3 million, up from EUR -1.7 million in the previous year. At EUR 3.8 million (EUR 0.25 per share), half-year profit is also clearly positive. In the first half of the previous year, the company had posted a loss of EUR 1.4 million. EnviTec generated positive operating cash flow of 28,6 million in the reporting period. As of 30 June 2014, the company’s equity position amounted to EUR 173.6 million, which represented a very solid equity ratio of 55.4%. In view of the positive performance, EnviTec took advantage of the extraordinary repayment option of the EUR 30 million note loan issued in 2012 and prematurely repaid a first tranche of EUR 6.5 million.
On the one hand, the positive performance is attributable to the company’s Own Plant Operation segment. EnviTec operates biogas plants with an output of 57 megawatts, many of them with partners. These plants make the segment a very reliable earnings and cash flow contributor. This was once again confirmed in the first half of 2014. EBIT climbed by 5.6% to EUR 4.9 million on sales revenues of EUR 31.5 million (previous year: EUR 30.6 million).
On the other hand, EnviTec quickly responded to the anticipated developments in Germany last year and adjusted its corporate structures, especially in the Plant Construction segment. The success of this adjustment is reflected in the fact that the segment’s result improved from EUR -5.2 million in the previous year to EUR 0.6 million. The segment’s revenues increased by a moderate 1.7% to EUR 21.5 million in the reporting period.
Jörg Fischer: “With our solid financial structure, a strong Own Plant Operation segment as well as a lean and flexible corporate structures we are very well positioned to operate profitably also in difficult times while still being able to seize our growth opportunities abroad.” EnviTec Biogas aims to push ahead its international expansion, develop new markets and generate solid revenues and, above all, earnings.
The company decided to expand its business internationally at an early stage and today benefits from this decision. At the end of June, EnviTec’s order backlog included orders worth EUR 34.1 million from international customers. Compared to the beginning of the year, this represents an increase of 55.7%. The total order backlog at the end of the first six months amounted to a solid EUR 55.7 million. Besides the currently attractive markets such as the UK, France and China, new markets are emerging; EnviTec will ship the first container-type biogas plants to Japan and the Philippines. The orders received from these two countries reflect the growing worldwide awareness of the potential of biogas – albeit no longer in Germany. The new Renewable Energy Sources Act (EEG) will mean the virtual end of the market for new biogas plants in Germany. EnviTec is prepared for this.
On the basis of the very pleasant operating performance in the first half of 2014, EnviTec Biogas confirms the guidance for the full fiscal year. Consolidated sales revenues should amount to between EUR 145 million and EUR 165 million in 2014, with EBIT expected to remain positive. Further revenue and earnings growth is projected for 2015.
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 full plant and operational management. In addition, EnviTec also operates its own biogas plants. In 2011, EnviTec Biogas along with EnviTec Energy GmbH & Co. KG and its 100% subsidiary EnviTec Stromkontor GmbH & Co. KG expanded its business operations into the direct marketing of upgraded biomethane as well as the marketing of green electricity and balancing energy. EnviTec Biogas AG currently operates in 20 countries. In 2013, EnviTec generated revenues of €148.8 million and an EBIT of €2.4 million. The EnviTec Group currently has 345 employees. EnviTec Biogas has been listed on the Frankfurt stock exchange since July 2007.
EnviTec Biogas AG
Tel: +49 25 74 88 88 - 810