ENCAVIS remains confident on its growth course and confirms outlook for the full-year 2022

Hamburg, November 15^th, 2022 – Hamburg-based wind and solar park operator Encavis AG listed on the MDAX of Deutsche Börse AG (Prime Standard; ISIN: DE0006095003, stock exchange symbol: ECV) achieved significantly higher revenue and earnings figures in the first nine months of the 2022 financial year compared to previous year’s first nine months. 23% of the revenue increase were primarily based on the higher production volume of the existing portfolio, 20% were based on the expansion of generation capacities and finally 57% of the revenue increase were linked to the elevated electricity prices, that are significantly higher than last year’s prices. A very large share of Encavis’ revenue of around 95% is generated through fixed, long-term contracts and hedges. Encavis AG is only benefiting to a limited extent from high prices on the electricity market. The Company has already taken the precaution of factoring in the current debate surrounding a retroactive windfall tax on revenues respectively revenue skimming in various European countries as of September 1st, 2022, to give a true and fair view on its key figures and set aside provisions of EUR 30.3 million. Without these provisions, revenue in the reporting period would have been correspondingly higher.

The Group increased electricity production from Renewable Energy by +19% to around 2,583 gigawatt hours (GWh/previous year: 2,170 GWh) during the first nine months of fiscal year 2022. Revenue grew by 37% to EUR 354.8 million (previous year: EUR 259.1 million). This strong growth of more than EUR 95 million has to be split to around 60% to the Group’s portfolio to solar parks (a good EUR +57 million) and to 35% (around EUR +34 million) of wind farms and Encavis Asset Management (EAM) contributed additional 5% revenue increase (EUR +5 million) to the Group’s performance. Revenue increase of 29% of the solar parks was mainly driven by the 21% higher electricity production due to capacity increases and the improved weather conditions. Revenue growth of the wind farm portfolio by around 70% is based on the 14% increased production volume of electricity and to the larger extend on the significantly higher electricity prices in the first nine months 2022 compared to the same period 2021.

Operating earnings before interest, taxes, depreciation and amortisation (operating EBITDA) increased by 39% to EUR 271.3 million (previous year: EUR 195.4 million) in the first nine months of the 2022 financial year. Resulting in an increase of operating earnings before interest and taxes (operating EBIT) of 45% to EUR 166.9 million (previous year: EUR 115.1 million) after nine months. Considering the high level of prices for electricity the Group invests into a comprehensive technical optimisation to increase the productivity of its PV asset portfolio.

This ultimately resulted in significantly improved operating earnings per share (EPS) of EUR 0.51 in the first nine months of 2022, an increase by 38% compared to the EUR 0.37 operating earnings per share in the same period in 2021.

The cash flow from operating activities rose by around 45% to EUR 271.5 million (previous year: EUR 187.1 million).

„Based on the decision of the Council of the European Union on September 29th, 2022, to introcude a price cap for energy market prices, Encavis reflects these plans of a retroactive price limit effective as of September 1st, 2022, with the in our opinion most likely outcome in our key figures. With this we do present to the market a true and fair view on our Company in these turbulent times. Even with these limits we confirm our Guidance for FY 2022“, explained Dr Christoph Husmann, CFO of Encavis AG.

At the start of November, the forecast for the fourth quarter of 2022 takes into account the elevated market prices for electricity, current debate on an energy price cap, prices from the fixed feed-in tariffs (FiT) and the private purchase agreements (PPA) for electricity. The additional investment in boosting the productivity of the systems has also been factored in to the updated planning, as has the higher tax liability due to the improved results. Therefore Encavis AG confirms the outlook for the full-year 2022 provided in August 2022 and still expects to reach the target of 500 MW in acquisitions for the fiscal year 2022.

About ENCAVIS:
Encavis AG (Prime Standard; ISIN: DE0006095003; ticker symbol: ECV) is a producer of electricity from Renewable Energies listed on the MDAX of Deutsche Börse AG. As one of the leading independent power producers (IPP), ENCAVIS acquires and operates solar parks and (onshore) wind farms in eleven European countries. The plants for sustainable energy production generate stable yields through guaranteed feed-in tariffs (FIT) or long-term power purchase agreements (PPA). The Encavis Group's total generation capacity currently adds up to around 3.4 gigawatts (GW), which corresponds to a total saving of more than 1.4 million tonnes of CO₂ per year. Within the Encavis Group, Encavis Asset Management AG offers fund services to institutional investors.

Encavis is a signatory of the UN Global Compact as well as of the UN PRI network. Encavis AG's environmental, social and governance performance has been awarded by two of the world's leading ESG rating agencies. MSCI ESG Ratings awarded the corporate ESG performance with "A" and ISS ESG with their "Prime" label.

Additional information can be found on www.encavis.com   

Contact:
ENCAVIS AG    
Jörg Peters       
Head of Corporate Communications & IR
Tel.: + 49 40 37 85 62 242     
E-Mail: [email protected]