EBITDA and accelerated growth confirming the breakeven target in the course of 2025

Waga Energy EBITDA and accelerated growth confirming the breakeven target in the course of 2025 29-Apr-2024 / 18:00 CET/CEST Dissemination of a French Regulatory News, transmitted by EQS Group. The issuer is solely responsible for the content of this announcement. 2023 FULL-YEAR RESULTS   EBITDA and accelerated growth confirming the breakeven target in the course of 2025 2023 financial achievements and sales dynamics confirm the Capital Markets Day targets for 2026: FY 2023 EBITDA of -€4.8m (vs -€3.1m in H1 2023), confirming the breakeven objective in the course of 2025, Momentum underpinned by the accelerated revenue growth, totaling €33.3m (+74%), Doubling of the signed annual recurring revenues at around €100m. Solid financial position, with cash of €39m before the March 2024 capital increase for €52m, and a gearing of 37%. Commercial momentum still driven by the United States with a total pipeline having exceeded 12 TWh since the Capital Markets Day. 336 GWh of renewable natural gas injected (+49% yoy), representing 55,000 tons of CO2 equivalent avoided[1]. 2023 consolidated financial statements €m December 31, 2023 December 31, 2022 % change Revenue 33.3 19.2 +74% Operating expenses (excl. depr./amort./prov. & IFRS 2 expenses) (38.1) (22.4) +70% EBITDA* (4.8) (3.2) IFRS 2 expenses (share-based payment) (3.8) (2.2) +69% Depreciation and provisions (5.9) (2.7) +116% Recurring operating income (14.5) (8.2) Non-recurring operating income and expenses 0.4 0.0 -937% Operating income (loss) (14.1) (8.1) Cost of financial debt (1.8) (1.2) Consolidated net loss (15.4) (9.7) Net income (Group share) (16.0) (10.1) Capex (49.2) (40.9) +20% Cash and cash equivalents at December 31 38.7 91.7 -58% Headcount at December 31 200 153 +31% *EBITDA (Earnings Before Interest, Taxes, Depreciation & Amortization) is an indicator of operating performance, defined as operating income before non-recurring items restated for net depreciation and amortization on property, plant and equipment, intangible assets, and provisions, as well as expenses related to share-based payments (IFRS 2). Mathieu Lefebvre, Chief Executive Officer of Waga Energy, commented: “These past few months, we made decisive steps forward in achieving our targets for 2026, with the launch of our first-ever international units in Canada, Spain and the United States, the signing of a new debt with Eiffel in order to finance our growth in the US market, and a successful capital increase last March. Regarding operations, we continue to deliver on our commitments, and we are now established in Europe and North America as a reference player for the renewable natural gas (RNG) production from landfills. Now that the foundations of the Company have been set, the resulting increased revenue and a carefully controlled cost base will enable us to achieve EBITDA breakeven in the course of 2025. In doing so, we will illustrate our ability to be a driver of the energy transition, while creating value for our partners and shareholders.” Waga Energy (EPA: WAGA), a specialist in the production of Renewable Natural Gas (RNG) from landfill gas, today reports its results for the fiscal year ended December 31, 2023, as approved by the Company’s Board of Directors on April 26, 2024. The Group's 2023 results together with a strong commercial momentum confirm the targets set for 2026 at the Capital Markets Day on February 8, fueled by revenue growth (€33.3m, +74% yoy) driven by a production of 336 GWh (+49% yoy) thanks to the commissioning of 5 new WAGABOX® units, and by the sustained high uptime (average of 96% on units in operation for at least 12 months). Bolstered by revenue growth, full year 2023 EBITDA totaled -€4.8m, versus -€3.1m in H1 2023 and -€3.2m for full year 2022, despite higher electricity costs in France and one-off operating expenses owing to the increased number of units commissioned. This performance demonstrates Waga Energy’s robust business model in an inflationary environment and the strength of its offering from a technical standpoint. A pipeline of over 12 TWh of installed capacity Sales momentum remained strong, with 6 new projects signed in 2023, doubling the capacity under construction compared to 2022 given the size of these projects. To date, the Group has 14 units under construction[2], representing an additional production capacity of 1.3 TWh per year. The pipeline includes 167 projects, representing a total installed capacity of more than 12 TWh per year, above the level of the Capital Markets Day. At end-2023, the Group benefitted from a solid cash position, totaling €39m, strengthened by the $60m Eiffel financing raised in February and the successful €52m capital increase completed in March. The gearing of 37%, combined with a business model generating highly predictable cash flows over 10 to 25 years, underscores the strong potential for accessing various additional debt sources, extending to all WAGABOX® the 80% target gearing achieved on already operational units. At present, the Group actively runs 23 RNG production units[3] in France, Spain, Canada and the United States, representing an installed capacity of 915 GWh per year. 14 units are under construction in France, Canada and the United States[4]. Once fully operational, all 37 units will produce 2.2 TWh per year[5]. Annual signed recurring revenues based on operational units and projects under construction is around €100m, compared to €46m a year ago. On the back of these strong results, the Group confirms its targets for 2026: Revenue of ~€200m EBITDA breakeven in the course of 2025 Installed capacity of ~4 TWh per year Annual signed recurring revenue in excess of €400m Installed capacity to avoid emissions of 660,000 tons of CO2 eq. per year Next release: September 30, 2024, after close of trading About Waga Energy Waga Energy (Euronext Paris: FR0012532810, EPA: WAGA) produces competitively priced Renewable Natural Gas (also known as “biomethane”) by upgrading landfill gas using a patented purification technology called WAGABOX®. The RNG produced is injected directly into the gas distribution networks that supply individuals and businesses, providing a substitute for natural gas. Waga Energy finances, builds and operates its WAGABOX® units under long-term contracts with landfill operators for the supply of raw gas, and generates income by selling the RNG it produces or by offering a purification service. As of the date of this press release, Waga Energy operates 23 (directly owned or sold) units in France, Spain, Canada and the United States, representing an installed capacity of 915 GWh per year. Each project initiated by Waga Energy contributes to the fight against global warming and helps the energy transition. Waga Energy is listed on Euronext Paris. Forward-Looking Statements Certain information contained in this press release is forward-looking statements and not historical data. These forward-looking statements are based on opinions, projections and current assumptions including, but not limited to, assumptions concerning the Group’s current and future strategy and the environment in which the Group is developing. They imply known or unknown risks, uncertainties and other factors, which could result in actual results, performances or achievements, or the results of the sector or other events, differing significantly from those described or suggested by these forward-looking statements. These risks and uncertainties include those that are indicated and detailed in Chapter 3 “Risk factors” in the Waga Energy's registration document, which was approved by the AMF on 14 june 2022 under number R.22-025. These forward-looking statements are given only on the date of this press release and the Group expressly declines any obligation or commitment to publish updates or corrections of the forward- looking statements included in this press release in order to reflect any change affecting the forecasts or events, conditions or circumstances on which these forward-looking statements are based. The forward-looking statements and information do not constitute guarantees of future performances, and are subject to various risks and uncertainties, a large number of which are difficult to predict and generally outside the control of the Group. Actual results may differ significantly from those described, suggested or projected by the forward-looking information and statements. Contact: Laurent Barbotin [phone] [e-mail] [1]Estimate based on non-renewable natural gas and renewable natural gas emission factors in France according to French energy agency ADEME’s 2022 carbon database and factoring in direct and indirect emissions. [2] Including units not directly owned [3] includes two units not directly owned [4] includes twelve units not directly owned [5] includes 0.6 TWh per year produced per unit not directly owned Regulatory filing PDF file File: Download the press release

Language:	English
Company:	Waga Energy
	5 Rue Raymond Chanas
	38320 Eybens
	France
Phone:	(33) 772 771 185
E-mail:	[e-mail]
Internet:	www.waga-energy.com
ISIN:	FR0012532810
Euronext Ticker:	WAGA
AMF Category:	Inside information / News release on accounts, results
EQS News ID:	1892121

End of Announcement	EQS News Service

1892121  29-Apr-2024 CET/CEST