Highlights
o Record group revenues of EUR 25.3m, up 49% from the same quarter last year
o Delivering on European growth strategy with record revenues of EUR 16.9m (+133%) driven by growth in existing markets and initial revenues from Hungary and Romania
o Greece building momentum with 72 recycling centers delivered in Q3 and 140+ delivered YTD 23
o Gross profits up 67% y/y, on slightly wider gross margin of 34.9%
o Leveraging on operational investments, reducing operating costs share of sales to 26%, delivering record EBITDA of EUR 3.8m for a margin of 15.2%
Amersfoort, The Netherlands - 16 November 2023 - Envipco, a global provider of recycling systems and reverse vending machines, reports a step change in the growth and development of the company with strong third quarter financial and operational results.
Group revenues grew 49% y/y to EUR 25.3 million, driven by a sharp increase in Greece revenues and the introduction of revenues from Hungary and Romania. Gross profit increased 67% to EUR 8.8 million corresponding to a gross margin of 34.9%, mainly due to improvement from manufacturing efficiencies and supply chain normalizations.
Envipco has over the last years built a significant position and backlog in new European markets. The company has communicated its strategy of capturing markets in anticipation of DRS implementation and is now seeing successful strategy execution and realization of the orderbook built in previous quarters.
CEO Simon Bolton comments:
"Our significant investments in market development, partnerships, supply chain and our organization are starting to bear fruit, and I am convinced that this is the beginning of a long and prosperous development for the company. The transformation of our business is quite evident. Three years ago, 90% of our revenues were generated in the US, while in Q3 23 two-thirds of our revenues were generated from nine revenue-generating markets in Europe".
Outlook
Envipco has over the last years built a significant position and backlog in new European markets. The company continues to deliver sizeable wins and is anticipating continued revenue uplift in the final quarter of 2023 and beyond. Near term Greece and Hungary are expected to be key growth drivers, which together with the supplier agreement in Ireland builds increased comfort for further growth in 2024.
With continued growth, the company expects to increase production utilization and leverage shipping efficiencies from its ramped-up production facilities in Germany and Romania over time. The company remains committed to achieving our stated gross margin targets of 40% gross margin by the end of 2025.
For further information please contact:
Simon Bolton, Group CEO
+31 33 285 1773
EnvipcoInvestorRelations@envipco.com
About Envipco Holding N.V.
Envipco Holding N.V. (Envipco), www.envipco.com, is a Netherlands-based holding company listed on Euronext Amsterdam and Euronext Oslo Growth (Symbols: ENVI/ENVIP). Envipco, with operations in several countries around the globe, is a recognized leader in the development and operation of reverse vending machines (RVMs), automated technological systems for the recovery of used beverage containers. Known for its innovative technology and market leadership, Envipco holds several intellectual property rights for RVM systems, including but not limited to beverage refund deposit markings, material type identification, compaction, and accounting.
o Record group revenues of EUR 25.3m, up 49% from the same quarter last year
o Delivering on European growth strategy with record revenues of EUR 16.9m (+133%) driven by growth in existing markets and initial revenues from Hungary and Romania
o Greece building momentum with 72 recycling centers delivered in Q3 and 140+ delivered YTD 23
o Gross profits up 67% y/y, on slightly wider gross margin of 34.9%
o Leveraging on operational investments, reducing operating costs share of sales to 26%, delivering record EBITDA of EUR 3.8m for a margin of 15.2%
Amersfoort, The Netherlands - 16 November 2023 - Envipco, a global provider of recycling systems and reverse vending machines, reports a step change in the growth and development of the company with strong third quarter financial and operational results.
Group revenues grew 49% y/y to EUR 25.3 million, driven by a sharp increase in Greece revenues and the introduction of revenues from Hungary and Romania. Gross profit increased 67% to EUR 8.8 million corresponding to a gross margin of 34.9%, mainly due to improvement from manufacturing efficiencies and supply chain normalizations.
Envipco has over the last years built a significant position and backlog in new European markets. The company has communicated its strategy of capturing markets in anticipation of DRS implementation and is now seeing successful strategy execution and realization of the orderbook built in previous quarters.
CEO Simon Bolton comments:
"Our significant investments in market development, partnerships, supply chain and our organization are starting to bear fruit, and I am convinced that this is the beginning of a long and prosperous development for the company. The transformation of our business is quite evident. Three years ago, 90% of our revenues were generated in the US, while in Q3 23 two-thirds of our revenues were generated from nine revenue-generating markets in Europe".
Outlook
Envipco has over the last years built a significant position and backlog in new European markets. The company continues to deliver sizeable wins and is anticipating continued revenue uplift in the final quarter of 2023 and beyond. Near term Greece and Hungary are expected to be key growth drivers, which together with the supplier agreement in Ireland builds increased comfort for further growth in 2024.
With continued growth, the company expects to increase production utilization and leverage shipping efficiencies from its ramped-up production facilities in Germany and Romania over time. The company remains committed to achieving our stated gross margin targets of 40% gross margin by the end of 2025.
For further information please contact:
Simon Bolton, Group CEO
+31 33 285 1773
EnvipcoInvestorRelations@envipco.com
About Envipco Holding N.V.
Envipco Holding N.V. (Envipco), www.envipco.com, is a Netherlands-based holding company listed on Euronext Amsterdam and Euronext Oslo Growth (Symbols: ENVI/ENVIP). Envipco, with operations in several countries around the globe, is a recognized leader in the development and operation of reverse vending machines (RVMs), automated technological systems for the recovery of used beverage containers. Known for its innovative technology and market leadership, Envipco holds several intellectual property rights for RVM systems, including but not limited to beverage refund deposit markings, material type identification, compaction, and accounting.
