Trading Update

RNS Number : 7550N

eEnergy Group PLC

25 January 2023

 

25 January 2023

eEnergy Group plc

("eEnergy" or "the Group")

Trading Update

eEnergy (AIM: EAAS), the net zero energy services provider, is pleased to provide an update on trading for the six months ended 31 December 2022 ("Period").

Group Trading and Highlights

The Board is pleased with progress made on trading during H1.

·	Strong H1 revenue growth, up 58% to £15.1 million (H1 2022: £9.6 million)
·	Improving operating margin with Adjusted EBITDA(1) up 87% to £1.5 million (H1 2022: £0.8 million)
·	Cash as at 31 December 2022 was £1.1m (30 June 2022: £1.4m) excluding £0.4m of restricted cash balances (30 June 2022: £0.2m)

Business Segments

Energy Services revenues were £8.5 million in the Period, a 79% increase compared to the six months ended 31 December 2021 ("H1 2022") reflecting momentum in the sales pipeline and despite higher margin solar revenues being delayed into H2. Energy Management revenues were £6.5 million, a 35% increase compared to H1 2022, with revenues reflecting consumption in line with expectations and strong renewal levels.

Cash Position

Cash as at 31 December 2022 was £1.1 million (30 June 2022: £1.4million), excluding £0.4m of restricted cash balances (30 June 2022: £0.2m), reflecting scheduled payments of trade creditors and legacy balance sheet items following drawdown of the new subordinated debt facility.

Full Year Outlook

The Group has a growing pipeline of opportunities for the remainder of the financial year and has contracted forward revenues ("Forward Order Book"), as at 31 December 2022, of £26.4 million over 4 years (up 45% from 31 December 2021). Of the Forward Order Book, £8.8 million is expected to be recognised as revenue in H2 FY23 and £6.8 million recognised in FY24.

Amortisation charges will reflect full year effect of certain items, with increased finance costs relating to a generally higher interest rate environment and the new subordinated debt facility.

Given the strength of the pipeline and historic H2 weighting, whilst recognising the importance of the next two key trading months ahead, the Board is cautiously optimistic for the trading outlook for FY2023

eEnergy expects to report its interim results during the week commencing 27 March 2023.

Note: (1) Adjusted EBITDA excluding Exceptional Items. Exceptional Items are those items which, in the opinion of the Directors, should be excluded in order to provide a consistent and comparable view of the underlying performance of the Group's ongoing business, including the costs incurred in delivering the 'Buy & Build' strategy associated with acquisitions and strategic investments, costs of restructuring and transforming acquired businesses and share-based payments.

For further information, please visit www.eenergy.com or contact:

eEnergy Group plc	Tel: [phone]
Harvey Sinclair, Chief Executive Officer Crispin Goldsmith, Chief Financial Officer	[e-mail] www. eenergy .com
Singer Capital Markets (Nominated Adviser and Joint Broker)	Tel: [phone]
Justin McKeegan, Asha Chotai, James Maxwell (Corporate Finance) Tom Salvesen (Corporate Broking)
Canaccord Genuity Limited (Joint Broker)	Tel: [phone]
Max Hartley, Tom Diehl (Corporate Broking) Kit Stephenson (Sales)
Tavistock	Tel: [phone]
Jos Simson, Heather Armstrong, Katie Hopkins	[e-mail]

About eEnergy Group plc

eEnergy (AIM: EAAS) is a Net Zero energy services provider, empowering organisations to achieve Net Zero by tackling energy waste and transitioning to clean energy, without the need for upfront investment. It is making Net Zero possible and profitable for all organisations in four ways: 

·	Transition to the lowest cost clean energy through our digital procurement platform and Energy Management services.
·	Tackle energy waste with granular data and insight on energy use and dynamic Energy Management.
·	Reduce energy use with the right energy efficiency solutions without upfront cost.
·	Reach Net Zero with onsite renewable generation and electric vehicle (EV) charging.

eEnergy is a Top 5 B2B energy company and has been awarded The Green Economy Mark by London Stock Exchange. 

 

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