Voltalia SA
Voltalia SA: Highest quarterly revenues ever - Contracted future revenues
climb over EUR 5 billion
22-Jan-2020 / 19:00 CET/CEST
Dissemination of a French Regulatory News, transmitted by EQS Group.
The issuer is solely responsible for the content of this announcement.
Q4 2019 consolidated revenues up by 22% at constant currency, at EUR 61.5
million
· Energy sales lifted by the growing portfolio of plants in operation
· Services have lower internal sales, but higher third-party clients'
sales
FY 2019 consolidated revenues limited decline of 2% at constant currency, at
EUR 174.5 million
· Energy sales: effect of not having 2018's non-recurring price hikes in
Brazil almost fully compensated at year-end
· Services: increased contribution with good sales trend over the year
Positive trends supporting short- and mid-term outlook
· Growth in high margin businesses will enable material profitability
improvement in H2 vs. H1 2019
· Continued growth in installed capacity strongly supports 2020 capacity
and EBITDA objectives
With the new long-term power sales contracts secured in 2019, Voltalia
exceeds EUR 5 billion of future contracted revenues
Voltalia (Euronext Paris, ISIN code: FR0011995588), an international player
in renewable energies, announces today its revenues for Q4 2019 and the 2019
fiscal year.
"We have recorded our strongest quarter ever in Q4 2019, thanks to the
delivery of seven new plants, which will fully contribute in 2020, and the
successful integration of Helexia. Both result in material growth and
diversification of our operating portfolio. We are also benefiting from
increased demand for Services from third-party clients, notably for projects
developed in-house by Voltalia. These trends support our positive 2019
profitability outlook and pave the way for a year of strong growth in 2020.
Looking beyond 2020, we build up confidence after having secured new
long-term power sales contracts in 2019. Our contracted revenues over the
long-term have passed the EUR 5 billion mark for the first time", comments
Sébastien Clerc, Chief Executive Officer of Voltalia.
Q4 and FY 2019 revenues
In EUR Q4 Q4 Change Change FY FY Change Change
million 2018[ at at
2] consta consta
nt FX nt FX
2019[1] rates[ 20191 2018 rates
3]
Energy sales 44.7 35.3 +27% +30% 127.7 131.7 -3% -1%
Services 33.4 53.1 -37% -36% 143.2 117.2 +22% +22%
Total revenues 78.1 88.4 -12% -10% 270.9 248.9 +9% +10%
(internal and
external)
Eliminations[4] -16.6 -36.8 -55% -54% -96.3 -68.2 +41% +41%
Consolidated 61.5 51.6 +19% +22% 174.5 180.7 -3% -2%
revenues
Other key figures
Q4 Q4 Variation 2019 2018 Variation
2019 2018
Production 715 619 +15% 2 117 2 081 +2%
(in GWh)
Installed 678 524 +29%
capacity
(in MW, end
of period)
Business review
Energy sales
FY 2019 revenues decreased by 1% at constant currency compared with FY 2018.
As expected, Energy sales revenues declined in the first three quarters of
2019 due to lower selling prices in Brazil compared with 2018, which had
been boosted by temporary price hikes[5] which added around EUR 25 million
of revenues. The absence of price hikes in 2019 was almost offset by
revenues from the growth in the portfolio of plants, with a particularly
strong catch-up in the last quarter.
Q4 2019 revenues totalled 44.7 million of euros, up 30% at constant currency
compared with Q4 2018. This performance is driven by material growth in
power production in all regions. In Brazil, Voltalia recorded the early
contribution of the first nine turbines (31 MW) at the VSM 1&2 wind farms.
In Europe and Africa, Energy sales increased faster than in Brazil thanks to
Voltalia's new plants (solar, wind, hydro and rooftops).
Services
FY 2019 revenues were up by 22% at constant currency, reflecting high levels
of construction activity for the Group's own assets, sales of construction
services to third-party clients in Europe, Latin America and Africa and a
strong clients' appetite for projects developed by Voltalia.
Q4 2019 revenues totalled 33.4 million of euros, in line with previous
quarters but down 36% at constant currency compared with Q4 2018. The
decline is attributable to internal sales for plants owned by Voltalia. Four
plants were completed early in Q4 2019, for which most of the construction
revenues were booked in earlier quarters. Conversely, sales to third-party
clients accelerated in Q4 2019. Voltalia notably recorded the additional
sale in Brazil of 206 MW of developed wind projects to Echoenergia, a
company controlled by British investor Actis. New contracts also contributed
to the performance, including for the construction of solar plants in
Portugal, Greece, Albania, Kenya and Burundi.
Recent developments (selected)
Update on Voltalia's offer to corporate and cross-selling opportunities with
Helexia
In Q4 2019, Voltalia sealed a new partnership with the third largest French
banking group, Crédit Mutuel, leading to the third corporate PPA ever signed
in France[6]. It follows the Boulanger (5 MW) and SNCF (143 MW)
partnerships, already signed by Voltalia earlier in 2019.
Under this exclusive partnership, Voltalia will provide a first 25-year
corporate PPA of at least 10 MW and services in the client's sites related
to self-production and energy efficiency solutions. These services in the
client's sites will involve Helexia, a rooftop solar and energy efficiency
pioneer in Europe, illustrating well the cross-selling strategy between
Voltalia and its new subsidiary.
In Q4 2019, Helexia continued to grow, with total installed capacity
reaching 62 MW (vs. 51 MW when the takeover was launched end of May 2019) in
five European countries including its first rooftop solar plant in Spain.
Update on Voltalia's book of long-term power sales
Thanks to new power sales contracts signed in 2019, Voltalia enjoys as of
December 31, 2019 a strong and growing portfolio of long-term power sales
contract totalling, for the first time, more than EUR 5 billion of
contracted future revenues. Voltalia's strategy to seek very long-term power
sales contracts provides exceptional visibility on cash flows over the very
long future.
Strong appetite of third-party clients for projects developed by Voltalia,
and opening a new cluster
Development of new power projects plays a central role in Voltalia's
strategy: material investments in prospection and development are fuelling a
healthy pipeline, enabling selectivity by keeping projects that best fit its
strategy and selling others to third-party clients together with bundled
construction and maintenance services.
In 2019, in addition to the 227 MW sold to Echoenergia and accounted for
during the year, Voltalia sold a 67 MW wind project and O&M services
regarding the electrical balance of plant to Total-Eren. The sale of
development will be recognized in 2020 when construction starts, and the
long-term O&M contract will start from 2021. Echoenergia and Total-Eren
projects are located in Voltalia's Serra Branca cluster -which has a 2.4 GW
potential- and will use Voltalia's connection facilities and other
site-related services.
Voltalia also announced it is opening a new cluster of wind projects in
Brazil, called Canudos. It replicates many of the features (excellent wind
regimes, economies of scale and grid connection ownership) that made Serra
Branca the biggest wind and solar renewable cluster. Located in the state of
Bahia, the cluster has more than 1 GW potential capacity. A first 19-year
power sale power sale contract was secured for a 90 MW wind farm, Canudos 1,
expected to be commissioned before end of 2022.
Summary of new plants in operation in 2019
In 2019, Voltalia built and commissioned seven new plants, using four
technologies (wind, solar including rooftops, storage, hydro) on three
continents. Turbines at Voltalia's biggest plant currently under
construction, VMS 1&2, are progressively commissioned: 9 turbines
(representing 31 MW) at end 2019, 22 turbines (77 MW) installed as of today
and 61 turbines (213 MW) to be added by the end of June 2020.
Country Region / Project MW Energy Contract Commissioned
Cluster duration
France South Talagard 5 Solar 20 years December
half of 2019
France
France South Tresques 3 Solar 20 years October 2019
half of
France
France South Parroc 5 Solar 20 years October 2019
half of
France
France French Savane des 6 Solar+storage 25 years October 2019
Guiana Pères
France Normandy Echauffour 10 Wind 15 years April 2019
France French Taconnaz 4.5 Hydro 20 years November
Alps 2019
Egypt Aswan, Ra Solar 32 Solar 25 years October 2019
BenBan
cluster
Brazil Serra 9 VSM 1&2 31 Wind 20 years December
Branca turbines 2019
cluster
Europe France, Various 62 Rooftops 15 July 2019
Belgium, projects years[7] consolidatio
Italy, n
Spain,
Portugal
Total 159
Summary of plants under construction at end 2019
At end 2019 eight new Voltalia plants are under construction representing a
total of 397 MW.
Country Region / Project MW Energy Contract Expected
Cluster duration commission
ing
France South of Carrière des 8 Solar 20 years 2020
France Plaines
France French Mana 10 Storage 10 years H1 2020
Guiana Stockage
France French Cacao 5 Biomass 25 years H2 2020
Guiana
France Burgundy Sarry 22 Wind 15 years 2020
France Western Vergné 16 Wind 15 years H2 2020
France
France Western Coivert 11 Wind 15 years H2 2020
France
France South of Jonquières 4 Solar 20 years H2 2020
France
Brazil Serra VSM 1&2 260 Wind 15 years Mid-2020
Branca
cluster
Kenya Nandi Kopere 50 Solar 20 years 2021
County /
Songhor
Europe France, Various 11 Rooftops Up to 2020
Belgium, projects
Italy,
Spain,
Portugal 25 years
Total 397
Positive trends supporting 2019 outlook as well as 2020 and 2023 objectives
Voltalia expects material profitability improvement in H2 2019 vs. H1 2019
driven by the positive revenues' trends in high margin businesses. The
ongoing growth in installed capacity strongly supports Voltalia's objective
to reach 1 GW in operation by the end of 2020 and generate EBITDA of
EUR 160-EUR 180 million in 2020.
In the mid-term, Voltalia targets 2.6 GW in operation or construction and an
EBITDA of EUR 275-EUR 300 million at the end of 2023.
Next on the agenda: FY 2019 results on March 23, 2020 (before market open)
About Voltalia ( www.voltalia.com [1])
Voltalia is an international player in the renewable energy sector. The
Group produces and sells electricity generated from wind, solar, hydraulic,
biomass and storage facilities that it owns and operates. Voltalia has
generating capacity in operation and under construction of more than 1 GW
and a portfolio of projects under development representing total capacity of
7.1 GW.
Voltalia is also a service provider and supports its clients in renewable
energy projects during all phases, from design to operation and maintenance.
As a pioneer in the corporate market, Voltalia provides a global offer to
corporates, ranging from the supply of green electricity and energy
efficiency services to the local production of their own electricity.
The Group has 697 employees and is present in 19 countries on 4 continents
and is able to act worldwide on behalf of its clients.
Voltalia is listed on the regulated market of Euronext Paris, compartment B
(FR0011995588 - VLTSA) and is part of the Enternext Tech 40 and CAC Mid &
Small indices. The Group is also included in the Gaïa-Index, an index for
socially responsible midcaps.
Voltalia Actifin
Investor Relations: Press Contact: Jennifer Jullia
invest@voltalia.com
jjullia@actifin.fr
+33 (0)1 81 70 37 00
+33 (0)1 56 88 11 11
Forward-Looking Statements
This press release contains certain forward-looking statements relating to
the business of Voltalia, which shall not be considered per se as historical
facts, including the ability to manufacture, market, commercialize and
achieve market acceptance for specific projects developed by Voltalia,
estimates for future performance and estimates regarding anticipated
operating losses, future revenues, capital requirements, needs for
additional financing. In addition, even if the actual results or development
of Voltalia are consistent with the forward-looking statements contained in
this press release, those results or developments of Voltalia may not be
indicative of their in the future.
In some cases, you can identify forward-looking statements by words such as
"could," "should," "may," "expects," "anticipates," "believes," "intends,"
"estimates," "aims," "targets," or similar words. Although the management of
Voltalia believes that these forward-looking statements are reasonably made,
they are based largely on the current expectations of Voltalia as of the
date of this press release and are subject to a number of known and unknown
risks and uncertainties and other factors that may cause actual results,
performance or achievements to be materially different from any future
results, performance or achievement expressed or implied by these
forward-looking statements. In particular, the expectations of Voltalia
could be affected by, among other things, uncertainties involved in
Voltalia's produced electricity selling price, the evolution of the
regulatory context in which Voltalia operates and the competitiveness of
renewable energies or any other risk and uncertainties that may affect
Voltalia's production sites' capacity or profitability of as well as those
developed or identified in any public documents filed by Voltalia with the
AMF, included those listed in section 2.2 "Risk factors" of the 2018
document de référence filed with the French financial market authority (the
Autorité des marchés financiers - the "AMF") on March 29, 2019 under number
D.19-0222. In light of these risks and uncertainties, there can be no
assurance that the forward-looking statements made in this press release
will in fact be realized. Notwithstanding the compliance with article 223-1
of the General Regulation of the AMF (the information disclosed must be
"accurate, precise and fairly presented"), Voltalia is providing the
information in these materials as of this press release, and disclaims any
intention or obligation to publicly update or revise any forward-looking
statements, whether as a result of new information, future events, or
otherwise.
Installed capacity at end December 2019[8]
In MW Wind Solar Biomass Hydro Hybrid[9] End December
2019
Brazil 448.3 16.0 464.3
Egypt 32.0 32.0
France 52.2 72.7 4.5 129.4
French Guiana 6.2 1.7 5.4 13.3
Greece 4.7 4.7
United 7.3 7.3
Kingdom
Portugal 4.7 4.7
Italy 8.1 8.1
Belgium 11.3 11.3
Spain 2.7 2.7
Total 500.5 149.7 1.7 9.9 16.0 677.8
Electricity production report8
(in GWh) Wind Solar Biomass Hydro Hybrid9 Total 2019
Brazil 1 789.0 44.1 1 833.1
Egypt 12.7 12.7
France 120.1 78.9 0.2 199.2
French Guiana 3.0 10.0 19.5 32.5
Greece 7.1 7.1
United Kingdom 7.8 7.8
Portugal 6.2 6.2
Italy 8.8 8.8
Belgium 10.1 10.1
Total 1 909.1 134.6 10.0 19.7 44.1 2 117.4
=---------------------------------------------------------------------------
[1] Including the contribution of Helexia from July 1st, 2019
[2] Quarterly figures calculated by difference between FY and 9M
[3] 2019 revenues calculated at 2018 exchange rates
[4] Eliminations: services provided by the Services business for Group-owned
power plants are eliminated upon financial consolidation
[5] In 2018, Voltalia took advantage of non-recurring opportunities. By
suspending the execution of contracts for some of its wind farms (60 MW at
Areia Branca and 99 MW at Vila Para), Voltalia had managed to increase
selling prices and generate around 25 million of euros of additional
revenues of over the year. In 2019, selling prices returned to their
contractual level indexed to inflation in Brazil
[6] See press release published December 4, 2019
[7] As of end 2019
[8] Including the contribution of Helexia from July 1st, 2019
[9] 4 MW of solar and 12 MW thermal
Regulatory filing PDF file
Document title: pdf-VEN
Document: http://n.eqs.com/c/fncls.ssp?u=VHHQVYDOVT [2]
Language: English
Company: Voltalia SA
84 boulevard de Sébastopol
75003 Paris
France
E-mail: invest@voltalia.com
Internet: www.voltalia.com
ISIN: FR0011995588
Euronext Ticker: VLTSA
AMF Category: Inside information / Information on annual revenues
EQS News ID: 959145
End of Announcement EQS News Service
959145 22-Jan-2020 CET/CEST
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January 22, 2020 13:00 ET (18:00 GMT)
