Encavis half-year balance driven by high electricity prices

Hamburg, Germany-based wind and solar power plant operator Encavis AG increased its electricity production by around 17 percent to 1.69 terawatt hours (TWh) in the first half of 2022, compared with 1.44 TWh in the same period last year. In parallel, sales rose much faster due to higher yields, but above all higher electricity prices, namely by almost 40 percent from €162.2 million to €226.4 million ($231.0 million). Solar power production increased by 22.4 percent from 0.93 to 1.14 TWh, while wind power production increased by 15.7 percent from 0.48 to 0.56 TWh.
Encavis had a PV capacity of about 1.6 gigawatts (GW) in 175 plants and wind power capacity of 0.42 GW in 40 wind farms as of June 30. In the solar sector, two plants with 24 megawatts (MW) were added in the Netherlands, one in Germany with 25 MW and the 71 MW Rødby Fjord power plant in Denmark.
Like sales, operating earnings before interest, taxes, depreciation and amortization (EBITDA) increased by almost 40 percent in the first half of the year, from €122.3 million to €170.6 million ($174.1 million). Operating earnings before interest and taxes (EBIT) increased by almost 60 percent from €68.7 million to €109.8 million ($112.0 million). According to the company, investments in »comprehensive technical optimization« in order to increase the productivity of its PV portfolio caused expenses which »result in earnings figures which doesn’t reflect the additional revenue completely«.

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