Solar – No. 8 2023 Quarterly Report Q1 2023
Q1 EBITDA AMOUNTED TO DKK 280M
Q1 revenue and EBITDA are in line with our expectations. We confirm our 2023 EBITDA guidance of DKK 900m.
CEO Jens Andersen says:
“Our Q1 results are in line with our expectations. The top line is driven by strong performance in Norway and the Netherlands, while EBITDA is supported by improvements in all our four strategic focus areas.
Within Climate & Energy we continue to make good progress and reached almost DKK 400m in revenue in Q1 albeit a slowdown in Denmark.
In Q1, we acquired 51% of the shares in ThermoNova A/S, a Danish manufacturer of high-capacity heat pumps, which will further strengthen our product offering.
Despite currency headwinds we confirm our 2023 EBITDA guidance of DKK 900m, but decrease our 2023 revenue guidance to DKK 13,500m.”
Q1 key financial messages
- Revenue increased by DKK 0.2bn to DKK 3.7bn
- EBITDA margin reached 7.7%
- 2023 guidance: Revenue of DKK 13,500m and EBITDA of DKK 900m
Due to currency headwinds, we decrease our revenue guidance to DKK 13.5bn compared to our previous guidance of DKK 13.7bn, corresponding to an unchanged adjusted organic growth of approx. 0%.
In the wake of substantial price increases in 2022, the majority of growth for 2023 is projected to take place in H1 whereas we expect negative growth in H2.
Adjusted for price increases, mainly roll-over effects from 2022, we expect negative growth in all main segments, which will only partly be offset by the expected strong growth within Climate & Energy.
Despite currency headwinds, we expect unchanged EBITDA of approx. DKK 900m, which corresponds to an EBITDA margin of approx. 6.7%.
In 2022, we saw substantial positive one-off price effects. We expect this to normalise in 2023, which means that no major one-off price effects are included in our guidance.
Due to the heightened geopolitical and macroeconomic uncertainty, our market outlook is characterised by greater unpredictability, particularly for H2.
Audio webcast and teleconference today
The presentation of Quarterly Report Q1 2023 will be made in English on 2 May 2023 at 11:00 CET. The presentation will be transmitted as an audio webcast and will be available at www.solar.eu. Participation will be possible via a teleconference.
Teleconference call-in numbers:
DK: tel. +45 787 684 90
UK: tel. +44 203 769 6819
US: tel. +1 646 787 0157 PIN 392423
More information on Solar: See the full profile on EMR Executive Services
More information on Michael Troensegaard Andersen (Chairman of the Board of Directors, Solar): See the full profile on EMR Executive Services
More information on Jens Andersen (CEO, Solar): See the full profile on EMR Executive Services
More information on Michael H. Jeppesen (CFO, Solar): See the full profile on EMR Executive Services
More information on ThermoNova: https://thermonova.dk/ + ThermoNova was founded in 2016 by Mads Hougaard and Steen Fristrup, who together have worked in the heat pump industry for 24 years for one of the Danish pioneer companies in the heat pump industry.
ThermoNova will be the preferred supplier and savings partner in all types of projects that include heat pumps for building heating, smaller district heating networks and process coolers with heat recovery from 20-500 kW.
ThermoNova works with heat pump technology within liquid-water heat pumps, air-water heat pumps and commercial and industrial air-air heat pumps.
Our core competencies are consultancy and system solutions for
- Geothermal systems for commercial and public building heating as well as smaller process tasks
- Air-water heat pumps for commercial and public building heating as well as smaller process tasks
- Slurry cooling with heat recovery in pig barns
- Milk cooling with heat recovery on cattle properties
- Industrial heat recovery and smaller district heating projects
- District heating system when rezoning building plots
EMR Additional Notes:
- All members of the Executive Committee and of the Board have their full profile on EMR Executive Services
- Major financial KPI’s since 2017 are available on EMR Executive Services under “Financial Results” and comparison with peers under “Market Positioning”
- The Solar Q1 2023 Results Presentation can be found here: https://www.solar.eu/globalassets/eu/investor/reports/financial-downloads/2023/solar-q1-2023.pdf
- The Solar Q4 2022 Results Presentation can be found here: https://www.solar.eu/globalassets/eu/investor/annual-general-meetings/annual-general-meeting-2022/presentation-agm-202203.pdf
- The Solar 2022 Annual Report can be found here: https://ml-eu.globenewswire.com/Resource/Download/22f31ec4-c19d-474a-88cd-e849f0325e28
- The Solar 2021 Annual Report can be found here: https://www.solar.eu/globalassets/eu/investor/reports/financial-downloads/2022/no.-2-2022-annual-report-2021.pdf