Photon Energy N.V. (WSE: PEN, the 'Group' or'Company' or 'Photon Energy') today announced financial results for the third fiscal quarter, ending 30 September 2020, posting consolidated revenues of EUR 8.965 million, down 12.7% YoY. However, revenues from the Group’s growing proprietary portfolio increased to EUR 5.896 million, up 19.0% YoY, leading to a EUR 3.766 million EBITDA growth, up by 22.0% YoY. This was thanks to strong electricity production, which compensated for higher operating costs and a decline in technology sales.
‘Coming off a strong first half of the year, we delivered an even more robust financial performance in the third quarter, having made significant progress across most of our business linesand underscoring the solidity of our business as we adapt and perform in an environment challenged by the COVID-19 pandemic,’ commented Georg Hotar, CEO of Photon Energy N.V.
The third quarter of 2020 at Photon Energy was truly eventful,as was clearly reflected in the Group’s financials for thereporting period. The Company began construction on two large photovoltaic power plants, with a combined capacity of 14.6 MWp, in Leeton, New South Wales. It officially entered the solar PV marketin Poland, the fastest growing and largest market in the CEEregion. And finally, the Group’s water treatment division Photon Water entered into a pilot project for PFAS remediation technology with the Australian Department of Defence.
In the reporting period the Company also filed a securities prospectus with the Dutch financial market regulator (nl. Autoriteit Financiële Markten/AFM) to move the listing of its shares from the alternative markets NewConnect and Free Market tothe regulated markets of the Warsaw Stock Exchange and Prague Stock Exchange, respectively, in order to expand its investor base. At the same time, the Company’s shares were admitted for trading in the open market (de. Freiverkehr) segment of the Munich StockExchange (de. Börse München).
In the reporting period, Photon Energy as an independent powerproducer (IPP) also saw outstanding figures in electricitygeneration from its ever growing portfolio of power plants,increasing to 25.3 GWh, up by 63.0% YoY.
After the reporting period, the Company passed the 100 MWp milestone for its EPC portfolio with the commissioning of the first eight of ten power plants with a combined capacity of 11.3 MWp in Püspökladány, Hungary. The commissioning of the remaining two powerplants, which will have a combined capacity of 2.8 MWp, is to follow soon.
Consolidated revenues decreased by 12.7% YoY to EUR 8.965 million; this was partly attributable to a strong electricity generation output (+63.0% YoY) as a result of the expansion of our proprietary portfolio in Hungary (+34.8 MWp over the past 12months) and to a decline in technology sales.
As a result, the solid performance of our IPP portfolio led to a remarkable EBITDA of EUR 3.766 million in Q3 2020 (+22.0% YoY), which made up for the decline in low-margin technology wholesale and increased operating costs.
While EBIT increased to a record of EUR 1.087 million (+48.1% YoY), the costs related to our business expansion in the Hungarian market and an additional EUR bond placement brought about a loss of EUR 0.619 million, before tax.
Bottom line, contrasted effects, consisting in an unrealized negative foreign currency translation difference connected to high market volatility for the Hungarian Forint (HUF) and the Czech crown (CZK) and a positive revaluation difference stemming from an adjustment to our portfolio revaluation model according IAS 16model, incurred a total comprehensive income of EUR 4.304 millioncomparing to EUR 3.189 million a year earlier.
Find out more in our Q3 2020 report here.
The company will present the results, followed by a Q&A session via a live webcast, on 13 November at 11:00 am CEST. Participants are invited to ask questions through the webcast chatbox, or can email them in advance to ir@photonenergy.com.
Webcast: https://tailorsgroup.clickmeeting.com/photon-energy-q3-2020-results-presentation
All our reports can be found onthe Reports page in our InvestorRelations section.
Martin Kysly
Photon Energy Group
T +420 774 810 670
E martin.kysly@photonenergy.com