|Sep 28, 2018
First half results as of 30 June 2018. Continuing double digit growth, while becoming ENGIE Eps
Revenues up 40% like-for-like confirm the growth trend while pipeline accelerating to EUR 244 million is a confirmation of the strong support of ENGIE as industrial partner.
That is why EPS becomes ENGIE Eps, further strengthening integration synergies and the commitment towards a global scale up within the ENGIE group.
2018 first half key figures
Revenues amounting to EUR 1.4 million under IFRS 15 increased by 40% to EUR 5.4 million on a like-for-like basis according to IAS 11-18, the standard used for comparison with the 2017 first half.
Growth is mainly driven by the deployment of grid-support solutions in Europe: in particular the 20MW storage system in Spain and battery storage systems in Italy and Belgium. In parallel, microgrids and smart islands projects in Italy, Singapore and in the Comoros Islands are under construction and should mainly contribute to the 2018 second half revenues.
Pipeline to date increased by 53% to EUR 244 million compared with the 2017 first half – mainly composed of microgrids – of which 66% in Asia Pacific and with ENGIE involved in over two-thirds of the projects, demonstration of its strong support as industrial partner. Approx. EUR 70 million of that pipeline – already secured via signed power agreements with the off-taker – is in the final stage of the project development and due diligence phase.
Project Backlog as of today is EUR 20.5 million (EUR 24.5 million under IFRS 15), up 49% on a like-for-like basis compared with the 2017 first half, of which EUR 9.5 million of final and irrevocable orders on an EPC basis, and EUR 11 million of projects secured on a Power Purchase Agreements basis, for which financing is currently being structured.
Gross margin reduced to 24% and EBITDA according to IAS 11-18 amounts to EUR -2,6 million mainly due to conversion over the period of almost entirely grid-support solutions. During the second half 2018, revenues will derive mainly from the current Project Backlog, 84% of which is constituted by Microgrids, that contribute more positively to gross margin and eventually EBITDA.
Net Financial Position stood at EUR -13.2 million, down EUR 0.9 million compared to end December 2017. It does not include the EUR 30.3 million capital increase successfully completed in August 2018.
R&D investment amounted to EUR 1.1 million and, including the R&D not capitalized, represents 20% of revenues under IAS 11-18, confirming the strong commitment to continuous innovation, research and development.
A new identity: EPS is now ENGIE Eps
EPS launches the new corporate brand identity and commercial name, becoming ENGIE Eps. All information will be available at the new corporate website www.engie-eps.com.
The new identity embodies shared values and heritage: the technological edge of EPS and the ambition of ENGIE of providing energy for everyone and in all cultures.
With this new name, ENGIE Eps reaffirms that everybody shall have access to affordable and reliable renewable energy. In parallel, it merges the global reach of ENGIE with the industrial footprint of EPS, devoted to bring 24/7 renewable and cheaper energy to any city, village, community or island powered by fossil fuels, and provide for a real solution to the 1 billion people that today have no access to electricity.
The acceleration of the integration process represents a bold ambition and the unrelenting drive towards a global scale up, confirmed by the pivotal role played by ENGIE in the huge increase in the pipeline of projects.