continues good earnings performance in 2018
- Total output down 5.0% to EUR 192.5 million
- Sales revenues down 6.0% to EUR 186.8 million (previous year: EUR 198.8 million)
- Best EBITDA in the company’s history of EUR 27.3 million (previous year: EUR 24.6 million)
- Earnings before interest and taxes (EBIT) rise to EUR 10.1 million (previous year: EUR 6.5 million)
- Dividend of EUR 1.00 per share proposed for FY 2018
Lohne, 14 May 2019 – EnviTec Biogas AG (ISIN: DE000A0MVLS8) delivered a strong earnings performance in the fiscal year 2018. While total output and sales revenues declined slightly, profitability increased again on a significantly reduced cost base.
Sales revenues in the Group's largest segment, Own Plant Operation, increased by 3.0% to EUR 114.5 million, with total output rising by 3.2% to EUR 119.2 million. In the Services segment, sales revenues declined by 7.8% to EUR 38.7 million. Total output, which also comprises unfinished repowering and flexibilisation projects, rose by 4.1% to EUR 42.5 million. Sales revenues in the restructured and streamlined Plant Construction segment decreased by 26.5% to EUR 33.5 million, while total output fell by 33.4% to EUR 30.7 million. The segment performance resulted in a 6.0% decline in Group revenues to EUR 186.8 million (previous year: EUR 198.8 million). Total output, which also includes plants under construction, dropped by 5.0% to EUR 192.5 million.
At the bottom line, the EnviTec Group posted earnings before interest and taxes (EBIT) of EUR 10.1 million (previous year: EUR 6.5 million), which was the best operating result before interest since 2011. Earnings before depreciation and amortisation (EBITDA) rose from EUR 24.6 million to EUR 27.3 million, the highest figure in the company's history. Consolidated net income increased from EUR 5.0 million to EUR 6.8 million. Earnings per share for the year 2018 stood at EUR 0.46 (previous year: EUR 0.33).
In the separate financial statements of EnviTec Biogas AG, accumulated profits amounted to EUR 45.3 million. The Executive Board and the Supervisory Board of EnviTec Biogas AG propose to distribute a dividend of EUR 1.00 per share for FY 2018.
At EUR 31.9 million, the EnviTec Group’s net cash flow in the reporting period clearly exceeded the previous year’s EUR 19.6 million. At the end of 2018, cash and cash equivalents of EUR 12.7 million (previous year: EUR 14.9 million) and other current assets of EUR 8.0 million (previous year: EUR 10.0 million) were available. At 57.5%, the equity ratio remained at a very comfortable level (December 31, 2017: 54.7%).
The number of employees declined from 447 at the end of the previous year to 431 as of December 31, 2018. The decline is mainly attributable to the outsourcing of the Permits and Structural Engineering Departments as well as the streamlining of Project Management in the Plant Construction segment.
“The growing global demand for energy and the challenges of climate change offer our industry better growth prospects than ever before,” said Jörg Fischer, CFO of EnviTec Biogas AG. “And as a leading biogas all-rounder we consider ourselves well equipped for the future. In the Own Plant Operation segment, we will further optimise our portfolio through selective investments and thus continue to secure the basis for successful business growth. The Services segment is clearly poised for continued growth both in Germany and abroad. The Plant Construction segment, too, is currently seeing strong demand in the most important international markets, which is why we also expect this segment to perform positively in the current year.”
Another promising business segment for the EnviTec Group is the use of biomethane in areas in which no satisfactory contributions to carbon reduction have been achieved so far. Greater use of biomethane in the transport sector, for instance, could make a sustainable contribution to reaching Germany’s and Europe’s climate protection targets.
For the fiscal year 2019, consolidated total output (or revenue) at the prior year level is projected. The EnviTec Executive Board also expects a further improvement in earnings before interest and taxes (EBIT). The achievement of the company’s economic targets will hinge on the business trend in the most important international markets of the Plant Construction segment.
In these markets, EnviTec Biogas had an order backlog of EUR 84.4 million at the end of the fiscal year (previous year: EUR 102.9 million). Most of these are orders in France and Great Britain. China and Denmark are other important markets.
The full Annual Report for 2018 is available at www.envitec-biogas.com/company/investor-relations/ir-releases/financial-reports/
About EnviTec Biogas AG
EnviTec Biogas AG is a full-service biogas provider who covers the entire value chain for the production and processing 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. EnviTec operates 74 own plants, making it one of the largest biogas producers in Germany. Its business activities also include the direct marketing of upgraded biomethane and 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 2018, the EnviTec Group generated revenue of EUR 186.8 million and EBIT of EUR 10.1 million. The Group currently employs a good 430 people. EnviTec Biogas AG has been listed on the Frankfurt Stock Exchange since July 2007.