TERNA ENERGY S.A. 1Q 2024 Results
May 2024
2
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1Q 2024 Results | May 2024
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1Q 2024 Highlights
- Installed capacity at 1,227MW (+3.5MW ytd, +35% y-o-y) - Load factor at 33.7% (vs. 32.5% last year)
- Total production increases by 42.2% y-o-y (+6.2% in exc. Kafireas)
- Revenues and adj.EBITDA increase on higher production (+37.6% and +44.8% y-o-y respectively)
- adj. Net Profit at € 27.0m vs. € 17.5m in 1Q 2023
- Operating CF at € 67.9m
- Net Debt at € 817.9m with leverage (net debt/adj.EBITDA) declining to 4.1x (vs. 4.7x in FY 2023)
- BoD to propose to the AGM dividend distribution of € 0.38 per share in respect of FY 2023
Portfolio Update
- Extension of 3.5MW (one wind turbine) in an existing wind park in Greece in 1Q 2024
- 63MW of PV are under construction in Greece
- 360MW of PV projects in Greece and 130MW of PV abroad to gradually start construction and be commissioned by the end 2025
- 29MW of wind and 40MW of BESS in Greece to be commissioned by the end of 2025
- Total investment for above capacity c.€ 370m
- Amfilochia construction ongoing according to plan - New projects continue to mature with target o 6.0GW by end of decade
1Q 2024 Results | May 2024
4
Operations Overview (1/2)
Installed capacity increases vs. 1Q 2023 following full commissioning of Kafireas in 4Q 2024 - Extension of 3.5MW in an existing wind park in Greece during 1Q 2024
Group Installed Capacity (MW)
905
1,224 | 1,227 | 4 | |
4 | |||
30 | 18 | 30 | 18 |
9 | 9 | ||
102 | 102 |
3
18
30
9
102
1.061 | 1.065 |
745
1Q 2023 | FY 2023 | 1Q 2024 | |||||||||||
WIND-Greece | WIND-Poland | WIND-Bulgaria | HYDRO ENERGY | SOLAR ENERGY | WASTE/BIOMASS | ||||||||
1Q 2024 Results | May 2024 |
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Operations Overview (2/2)
Increased capacity and normalized wind conditions drive generation higher
Group Load Factor | Electricity Generation (GWh) | |||||
879 | ||||||
22 | ||||||
43,7% | 84 | |||||
41,0% | ||||||
35,7%36,5% | 36,3% | 37,7% | 36,9% | 35,7%36,5% | ||
35,7% | 618 | |||||
34,0% | ||||||
31,9% | 33,3% | 32,5%33,7% | 23 | |||
28,7% | 80 |
773
515
Greece | Poland | Bulgaria | Total | 1Q 2023 | 1Q 2024 | ||||||||||||
1Q 2021 | 1Q 2022 | 1Q 2023 | 1Q 2024 | Greece | Poland | Bulgaria | |||||||||||
1Q 2024 Results | May 2024
6
Capacity Outlook
>600MW to be commissioned in 2024-25, while Amfilochia construction progresses further On track with target to reach>6.0GW by 2030
Group Installed Capacity (MW)
>2,500
680
40
553
1,227
29
Operating Capacity Dec'23 | 2024-25 Additions | Under construction | Total 2025 |
Wind Solar Hydro BESS
1Q 2024 Results | May 2024
7
Financial Performance by Business Segment
€ m | 1Q 2023 | 1Q 2024 | y-o-y |
Group revenues | 73.9 | 101.7 | 37.6% |
RES | 59.7 | 82.9 | 38.9% |
Waste Management | 2.5 | 4.5 | 80.0% |
E-Ticket | 3.6 | 7.8 | 116.7% |
Construction | 8.0 | 6.5 | -19.2% |
Group adj. EBITDA | 43.3 | 62.7 | 44.8% |
RES | 42.4 | 62.0 | 46.2% |
Waste Management | 0.6 | 1.1 | 83.3% |
E-Ticket | 0.5 | 0.5 | 0.0% |
Construction | -0.2 | -0.9 | NM |
Group adj. EBITDA margin | 58.6% | 61.7% | |
RES segment adj. EBITDA margin | 71.0% | 74.8% | |
Group adj. Net Profit | 17.5 | 27.0 | 54.3% |
1Q 2024 Results | May 2024
Group Income Statement
€ m | 1Q 2023 | 1Q 2024 |
Revenue | 73.9 | 101.7 |
Cost of sales | (35.3) | (43.3) |
Gross profit | 38.6 | 58.4 |
Administrative & distribution expenses | (6.9) | (7.9) |
Research and development | (1.6) | (2.3) |
Other income, net | 1.9 | 1.2 |
Operating profit | 32.0 | 49.4 |
Financial expenses, net | (9.6) | (13.9) |
EBT | 22.4 | 35.5 |
Income tax expense | (4.9) | (9.1) |
Net Profit | 17.5 | 26.4 |
EBITDA | 43.3 | 62.2 |
adj. EBITDA(1) | 43.3 | 62.7 |
adj. Net Profit(1) | 17.5 | 27.0 |
(1) 1Q 2024 EBITDA adjustments related to provisions for share bonus scheme (non-cash) € 0.6m (1Q 2023 € 0.0m)
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- Revenues increase on the back of higher energy generation and sales as well as increased contribution from other segments (Waste Management & E-ticket)
- Increase in the useful lifetime of wind assets (depreciation schedule) to 30 years (vs. 25 previously) inline with track record and with industry standards
- Net financial expenses increase following the increase in gross debt on behalf of new projects (i.e. Kafireas-related loans)
1Q 2024 Results | May 2024
9
Group Leverage and Cash Flow
Leverage gradually declines as new capacity enters operation boosting cash flow
Group Net Debt
€ m
Net Debt/ | 4.7x | 4.7x | 4.1x |
adj.EBITDA | |||
844,6
817,9
706,1
1Q 2023 | FY 2023 | 1Q 2024 |
Operating CF
€ m
67,9
19,2
1Q 2023 | 1Q 2024 |
(1) Cash include restricted deposits of € 70m in 1Q 2024, € 74m in FY 2023, € 64m in 1Q 2023
Group Cash(1)
€ m
474,8
319,2331,0
1Q 2023 | FY 2023 | 1Q 2024 |
Capex
€ m
35,2
18,1
1Q 2023 | 1Q 2024 |
1Q 2024 Results | May 2024 |
ESG Progress FY 2023
Environment | Social |
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Governance
- Energy production from RES: 2,596 GWh
- Avoided emissions: 1,079,844 tnCO2eq
- Contribution to the target of reduction of intensity of greenhouse gas emissions by 25% by 2025 of the parent company.
- Zero Scope 2 (market-based) emissions, due to the usage of 100% green electricity.
- More than 60 internal and external environmental compliance audits.
- Participation in CDP (climate change, water security), receiving a B ranking.
- Participation in European Union's EMAS
Register.
- ISS rank for Environmental pillar: 2
- Employees: 594
- Zero fatalities as a result of work-relatedinjury.
- CSR program: €4.3 million to support local communities
- Offset benefits to the municipalities where the Group's projects are located: €6.5 million. (3% of gross revenue from RES projects)
- New hires amounting to 183, while 111 of them are between 30-50 years.
- Significant increase in employee training hours.
- ISS rank for Social pillar: 2
- Percentage of Women employees: 21.5%.
- Risk Management System: risk & opportunities assessment in line with TCFD recommendations.
- Policy against Violence and Harassment at the Workplace.
- Implementation of Procurement Policy.
- Implementation of a Supplier Assessment system that includes ESG criteria.
- ISS rank for Governance pillar: 5
1Q 2024 Results | May 2024
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Terna Energy SA published this content on 29 May 2024 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 29 May 2024 14:53:02 UTC.
