Releasing its annual report, German renewable energy company Encavis AG announced that it has achieved a strong operating growth in 2020, surpassing the revenue and operating earnings forecasts in 2020, despite COVID-19 and other corresponding obstacles and delays.
The revenue showed an increase of 7% at €292.3 million ($345.10 million), where in 2019, it was at €273.8 million ($323.26 million). The operating cash flow increased by 12.5% to €212.9 million, where in 2019, it was at €189.3 million ($223.5 million) and the operating earnings per share (EPS) was at €0.43 ($0.51).
Wind parks contributed around €14.4 million ($17 million) and the Group's asset management around €4.9 million ($5.79 million) to the revenue growth of €18.5 million ($21.84 million). Revenue of the Group's solar parks only slightly declined due to the additional revenue from the Spanish solar park La Cabrera compensating partially the less favourable meteorological conditions compared to last year's record level. The company also registered an increase in operating cash flow by around€23.6 million ($27.86 million), where asset management contributed a significant€10.3 million ($12.16 million).
"The continuing expansion of the portfolio and the high degree of availability of our installations contributed to us being able to achieve our forecast targets in spite of more or less average meteorological conditions in many parts of Europe," said CFO of Envcavis AG Dr Christoph Husmann.
The financial year 2021 will benefit from the continuing expansion of the portfolio, especially when two major projects in Spain will begin contributing full-year revenue and earnings for the first time. The company's Management Board expects an even stronger increase in revenue to over €320 million ($377.81 million) in 2021. The company also plans to achieve operating earnings (EBITDA) of more than €240 million ($283.36 million) and operating EBIT of over €138 million ($162.93 million). This would result in operating EPS of €0.46 ($0.54). The operating cash flow is expected to exceed €210 million ($247.94 million).
Last year, Encavis had expanded its geographical area of operations for solar power to Denmark with a development partnership with GreenGo Energy Group a/s. For Encavis, this partnership is aligned with its new growth plan to expand its power generation capacity to 3.4 GW by 2025 (see Encavis Plans Big For Denmark Solar Market)
Releases First Sustainability Report
With the release of its first Sustainability Report, Encavis AG re-emphasized its commitment of thinking, acting and working sustainably in all dimensions. In the report, key issues, objectives and measures have been integrated in an overall strategy that holistically considers the areas of strategy and governance, economy, ecology and social issues.
The company has also established a new department called Sustainability & Communications, which will be responsible for further internal development and implementation of sustainability measures and goals. Additionally, to monitor all these activities at top management level, a Sustainability Council has been set up.
Speaking at the occasion, CEO of Encavis AG Dr Dierk Paskert said, "This detailed report shows our aspiration to also becoming a sector leader within the field of sustainability. With the establishment of a dedicated sustainability department, we will further strengthen this claim."
The Sustainability at Encavis 2020 Report can be found on this link.
Registers Strong 2020
Strong 2020 Results
.png?w=50&fm=png){kind=logo}