Skip to main content

European Energy A/S: Interim report H1 2024 – Financially moderate start to 2024 amid market pressure but satisfying underlying traction

Written by Customer Service on . Posted in Earnings Releases And Operating Results.

Company announcement 12/2024 (30.08.2024)

European Energy announces its financial report for H1 2024.

Highlights:

  • H1 2024 EBITDA: Earnings impacted by lower realized power prices and low project sales largely due to ordinary sales seasonality resulting in a H1 2024 EBITDA of EUR -2m down from EUR 49m the year before. However, the Q2 2024 last-twelve-month (LTM) EBITDA increased by EUR 15m or 16%.
  • Maintaining 2024 financial outlook: With 1.7 GW of projects in active sales processes, we reaffirm our 2024 financial outlook of an EBITDA of EUR 230m and with continued growth in a profit before tax but at a lower rate than EBITDA. With most project sales expected to close in Q4, uncertainty of the outlook has increased, leading to a revised and higher risk margin of +/- 20% up from +/- 10%.
  • Record electricity generation: The H1 2024 electricity output of 1,020 GWh represents an increase of approximately 24% compared to the year before. However, as power prices in many markets declined and balancing cost were higher, our power sales profit decreased by 42%. Q2 2024 LTM electricity output increased by 67% while gross profit decreased by 17% due to the same reasons as in H1 2024.
  • High activity: In H1 2024, European Energy signed 9 PPAs for the delivery of 1.4 GW of renewable energy across five countries providing a significant value uplift for our projects. Also, construction activities are high and increasing, and deployment of battery storage and the near-term completion of our Power-to-X activities have generated additional economic value to the company.
  • 2024 equity raise: The Mitsubishi HC Capital Inc. agreement concluded on 16 April with a resulting EUR 700m capital injection for a 20% stake in European Energy. This will enable European Energy to make more long-term and value-creating decisions on investments and divestments. Short term, part of the proceeds has been applied for liability management, including a partial redemption of our senior bonds and a full redemption of our hybrid capital.

For further information, please contact Investor Relations:

investor.relations@europeanenergy.com

This announcement has been made in accordance with the market abuse regulation (regulation (EU) no. 596/2014 on market abuse).

Attachment

Disclaimer & Cookie Notice

Welcome to GOLDEA services for Professionals

Before you continue, please confirm the following:

Professional advisers only

I am a professional adviser and would like to visit the GOLDEA CAPITAL for Professionals website.

Important Notice for Investors:

The services and products offered by Goldalea Capital Ltd. are intended exclusively for professional market participants as defined by applicable laws and regulations. This typically includes institutional investors, qualified investors, and high-net-worth individuals who have sufficient knowledge, experience, resources, and independence to assess the risks of trading on their own.

No Investment Advice:

The information, analyses, and market data provided are for general information purposes only and do not constitute individual investment advice. They should not be construed as a basis for investment decisions and do not take into account the specific investment objectives, financial situation, or individual needs of any recipient.

High Risks:

Trading in financial instruments is associated with significant risks and may result in the complete loss of the invested capital. Goldalea Capital Ltd. accepts no liability for losses incurred as a result of the use of the information provided or the execution of transactions.

Sole Responsibility:

The decision to invest or not to invest is solely the responsibility of the investor. Investors should obtain comprehensive information about the risks involved before making any investment decision and, if necessary, seek independent advice.

No Guarantees:

Goldalea Capital Ltd. makes no warranties or representations as to the accuracy, completeness, or timeliness of the information provided. Markets are subject to constant change, and past performance is not a reliable indicator of future results.

Regional Restrictions:

The services offered by Goldalea Capital Ltd. may not be available to all persons or in all countries. It is the responsibility of the investor to ensure that they are authorized to use the services offered.

Please note: This disclaimer is for general information purposes only and does not replace individual legal or tax advice.