Albioma : First-half 2021 results
PRESS Release
Paris La Défense, 28 July 2021
Results for the first half of 2021
Revenue up by 7%
Growth dynamic continues: work started on
conversion of the Bois-Rouge power plant to 100% biomass,
successful first steps in geothermal, solar contracts for 19 MW
awarded
Confirmation of objectives for 2021
The Board of Directors of Albioma, meeting on 28
July 2021 under the chairmanship of Frédéric Moyne, approved the
Group’s interim consolidated financial statements for the six
months ended 30 June 2021.
Key figures for the six months ended 30 June
2021
In millions of euros |
H1 2021 |
H1 2020 |
Change |
Revenue |
267.7 |
250.7 |
+7% |
EBITDA |
99.4 |
100.4 |
-1% |
Net income attributable to owners of the parent |
23.5 |
24.4 |
-4% |
The first half-year confirms the continued
growth in revenue (+7%) thanks to the contributions of the
Guadeloupe power plant converted to biomass (ALM3), the geothermal
plant in Turkey and the solidity of Albioma’s business model, with
stable results thanks to scheduled maintenance shutdowns: EBITDA
(-1%) and net profit attributable to owners of the parent
(-4%).
Frédéric Moyne, Albioma's Chairman and CEO,
explains: “Albioma has posted solid results for the first half of
2021. As well as the continued good performance of our existing
facilities, the period was marked by the start of work on
converting our thirty-year-old Bois-Rouge power plant in Réunion to
100% biomass with a view to moving away completely from coal, the
award of new solar power contracts in mainland France and in all
the overseas territories, and the successful integration of our
first geothermal plant in Turkey, acquired at the beginning of the
year. Our actions are bearing fruit and will enable us to attain
the objective in our strategic plan of more than 90% renewables in
our energy mix by 2025. Lastly, the resounding success of the
capital increase reserved to employees reflects their engagement
and long-term commitment to Albioma's business project.”
Highlights of the first half of 2021
-
Start of work on converting the Bois-Rouge power plant to 100%
biomass, with a view to moving away completely from coal in
Réunion
-
Acquisition of the Gümüşköy geothermal power plant in Turkey (13
MW)
-
Albioma won 19 MW worth of solar power projects in competitive
bidding processes during the half-year, all regions combined
-
Albioma Codora Energia won a contract to secure the sale of energy
from its 100% bagasse power plant in Brazil
-
Great success of the capital increase reserved to employees
-
Cyberattack, with no impact on operating industrial activity
France
Thermal biomass
Scheduled shutdowns carried out in
plants in Réunion and Guadeloupe and excellent availability of the
unit converted to biomass
Overall availability of the facilities for the
period was 87.5%, compared with 86.7% in the first half of 2020.
This figure includes the annual maintenance shutdowns, which were
carried out smoothly (191 days of shutdown, all facilities
combined, compared with 105 in the first half of 2020, not counting
stoppages for the conversion of ALM 3). In 2020 several operations
had to be cut short or postponed due to the lockdown measures
imposed by the authorities as a result of the COVID-19 epidemic.
Availability was also affected by technical incidents in the
Bois-Rouge and Le Moule plants. However these plants were quickly
able to resume normal operation thanks to the intervention of the
maintenance teams and the availability of spare parts. Unit 3 of
the Le Moule plant in Guadeloupe, which was converted to biomass in
2020, achieved excellent performances, with very high availability
of 96.4% in the first half of the year.
The total electricity production of thermal
facilities in the overseas territories was 952 GWh, down from the
984 GWh of the first half of 2020 due to the scheduled shutdowns
during the period.
EBITDA for the period came to €80.3 million,
slightly down on the €82.6 million of the first half of 2020.
Development of projects: start of work on
converting the three units of the Bois-Rouge power station to
biomass
Work on converting the Bois-Rouge power plant to
100% biomass started during the half-year. Locally-available
biomass resources (bagasse, forest wood, lagging waste, etc.) will
be used as a priority, supplemented by imported traceable (in
compliance with the EU timber regulation) and sustainable (FSC or
PEFC certification required from our suppliers) biomass, in the
form of wood pellets. In due course, the conversion will increase
the renewable portion of Réunion's energy mix from 35% to 51% and
will reduce greenhouse gas emissions by some 640,000 metric tons of
CO2 equivalent per year, that is an 84% decrease in direct
emissions compared with the current operation of the plant.
The Group continues to develop its projects,
focusing particularly on converting its remaining thermal power
stations in the overseas territories to biomass over the course of
the next few years.
Solar power
Stable production and commissioning of new
facilities
Despite highly adverse sunshine conditions,
particularly in French Guiana, performances of the photovoltaic
plants were stable in the first half of 2021. Production of
photovoltaic electricity in the period reached 60 GWh, compared
with 62 GWh in the first half of 2020.
New facilities were commissioned in Réunion and
Mayotte.
Development of projects
The Group continued the development and
construction of photovoltaic power plant projects in all regions
during the half-year.
As winners of the CRE4 (French Energy Regulatory
Commission) competitive bidding process for the production and
operation of solar energy generating facilities in
non-interconnected zones (ZNI), Albioma confirmed its status as the
leader in the photovoltaic industry in the overseas territories,
being awarded 12 MWp in the fourth period. This installed capacity
is spread over 23 projects, located in Réunion, Mayotte,
Martinique, French Guiana and Guadeloupe. Of the total number of
calls for tender (five periods since April 2020), the Group has
been awarded 40 MWp. Construction of these projects is scheduled to
begin in 2022.
The Group has also been awarded 7 MWp in
mainland France in various tender processes since the beginning of
the year.
Finance Act 2021: changes in the regulatory
environment
Article 54 e) of the Finance Act 2021, approved
on 16 December last, provides for the possibility of a downward
revision of feed-in tariffs for PPAs concluded between 2006 and
2010. The enabling legislation specifying the levels and methods of
application has yet to appear but should be published very soon. Up
to 57 MWp out of the group’s 112 MWp of installed solar capacity
could be concerned by the potential feed-in tariff revision,
accounting for 6% of the group revenues and 11% of the group
EBITDA. As an indication, a 10% reduction in the tariffs would lead
to a loss of €2 to €3 million in EBITDA on a full year basis. An
adjustment in value for impairment of the assets concerned might
also prove necessary.
From the last project of decree, among our
facilities, only some ground mounted projects would be
significantly impacted.
Brazil
Thermal biomass
Excellent operating performance and first
months of production for the Vale do Paraná power
plant
All the Brazilian plants achieved good
operational performances. On a like-for-like basis, electricity
production was up by 20% compared with the first half of 2020. Vale
do Paraná, the Group’s fourth Brazilian plant, commissioned on 25
December 2020, got off to an excellent start, with production of 70
GWh in the six months to the end of June 2021.
The macro-economic situation was marked by the
continuing deterioration of the real/euro exchange rate during the
first half of the year and the increase in financing costs as well
as very high electricity prices on the spot market as a result of
the record-breaking drought.
EBITDA reached €3.3 million for the period, as
against €2.2 million in the first half of 2020.
Development of projects
On 8 July Albioma Codora Energia won a call for
tenders for a new 20-year PPA to run from 2025, covering a volume
of 64 GWh at a guaranteed inflation-indexed price of BRL
202.35/MWh. It will be possible to honour this contract by
increasing the volume of cane crushed by the adjoining sugar
refinery and by recovering vinasse (an ethanol distillation
residue) for energy. The majority of Albioma Codora Energia's
production is already sold on the regulated market via long-term
inflation-indexed contracts.
Turkey
Geothermal energy
Performance in line with expectations and works aimed at
increasing production
The Gümüskoÿ power plant, acquired on 26 January
2021, performed well during the half-year. Production reached 25
GWh, in line with expectations and stable compared with the same
period of last year. With the support of the local teams, works
aiming to increase production started at the end of June and the
first improvements should be seen from the end of the summer.
Great success of the capital increase reserved to
employees
Albioma carried out a new capital increase,
“Albioma Invest 2021”, reserved for employees, executives and
former employees who are members of its group savings scheme in
France and Brazil. With this new transaction the Group continues to
implement its policy of strengthening its employee shareholding in
the medium and long term. More than 48% of employees and eligible
former employees subscribed. The capital increase, which was
oversubscribed, was carried out by means of the issue, at a unit
price of €24.48 (corresponding to 70% of the reference price) of
197,386 new shares representing 0.62% of the capital. It will bring
the shareholding of the company savings scheme to approximately
1.5% of the capital.
Solid liquidity situation and appropriate resources
for continued growth
The consolidated cash position, including
deposits in guarantee, remains at a high level of €115 million. The
Group has resources appropriate to the continuation of its
development.
Gross financial debt excluding IFRS 16 increased
to €933 million from €901 million at 31 December 2020. At 30 June
2021 it includes €771 million of project debt, as against €789
million at 31 December 2019. At 30 June 2021, €50 million had been
drawn under the revolving credit facility (RCF).
Consolidated net financial debt stands at €818
million, up by 6% relative to 31 December 2020 (€772 million).
2021 objectives
The Group confirms its EBITDA targets of €206 to
€216 million and net income attributable to owners of the parent of
€53 to €59 million for 2021 (excluding the potential effects of the
2021 Finance Act concerning the revision of photovoltaic tariffs on
PPAs concluded between 2006 and 2010).
Next diary date: Q3 2021 revenue on 20 October
2021 (after trading).
About Albioma |
Contacts |
Albioma is an independent renewable energy producer, supporting the
energy transition with renewable energies (biomass, solar and
geothermal).The Group operates in Overseas France, Metropolitan
France, Mauritius, Brazil and Turkey.For 25 years it has been
developing a unique partnership with the sugar industry, producing
renewable energy from bagasse, a fibrous residue of sugar
cane.Albioma is also the leading producer of photovoltaic energy in
Overseas France, where the Group builds and operates innovative
facilities with integrated storage, and in Metropolitan France.The
Group recently announced the acquisition of a geothermal power
plant in Turkey. |
InvestorsJulien Gauthier+33 (0)1 47 76 67
00MediaCharlotte Neuvy+33 (0)1 47 76 66
65presse@albioma.com |
|
|
Albioma is listed on the Euronext Paris exchange (compartment A) -
Eligible for SRD, PEA & PEA-PME and is included in the SBF 120
and CAC Mid 60.The Group is also listed in the Gaïa Index of
responsible midcap companies. |
www.albioma.com |
Annexes
Consolidated income statement for the six months to
30 June 2021
In thousands of euros |
|
Six months to 30 June 2021 |
Six months to 30 June 2020 |
|
|
|
|
Income from ordinary activities |
|
267,693 |
250,716 |
Purchases
(including change in inventories) |
|
(86,633) |
(75,941) |
Logistics
costs |
|
(6,845) |
(8,191) |
Staff costs |
|
(30,341) |
(28,907) |
Other operating
expenses |
|
(46,670) |
(37,719) |
Amortisation of
electricity and steam supply agreements |
|
(3,384) |
(3,495) |
Charges to
depreciation, amortisation and provisions |
|
(39,739) |
(36,787) |
Share of net
income of equity-accounted companies |
|
1,400 |
466 |
|
|
|
|
Current operating income |
|
55,482 |
60,142 |
|
|
|
|
Other operating
income and expenses |
|
7 |
- |
|
|
|
|
Operating income |
|
55,489 |
60,142 |
Cost of
financial debt |
|
(15,830) |
(16,622) |
Other financial
income |
|
2,738 |
212 |
Other financial
expenses |
|
(2,772) |
(295) |
|
|
|
|
Profit before tax |
|
39,625 |
43,436 |
|
|
|
|
Tax charge |
|
(10,741) |
(14,306) |
|
|
|
|
Net income |
|
28,883 |
29,131 |
|
|
|
|
Net income
attributable to: |
|
|
|
owners of the
parent |
|
23,501 |
24,353 |
non-controlling
interests |
|
5,382 |
4,778 |
|
|
|
|
Basic earnings per share |
|
0.751 |
0.788 |
Diluted earnings per share |
|
0.731 |
0.775 |
Consolidated statement of financial position at 30
June 2021
Assets
In thousands of euros |
|
30/06/2021 |
31/12/2020 |
|
|
|
|
Non-current assets |
|
|
|
Goodwill |
|
15,698 |
16,884 |
Other intangible
assets |
|
99,339 |
93,501 |
Right-of-use
assets (IFRS 16) |
|
30,567 |
28,515 |
Property, plant
and equipment |
|
1,314,443 |
1,283,434 |
Non-current
financial assets |
|
7,659 |
5,058 |
Investments in
associates |
|
23,724 |
22,753 |
Deferred tax
assets |
|
2,472 |
2,472 |
Other
non-current assets |
|
0 |
99 |
|
|
|
|
Total non-current assets |
|
1,493,902 |
1,452,715 |
|
|
|
|
Current
assets |
|
|
|
Inventories and
work-in-progress |
|
62,995 |
60,327 |
Trade
receivables |
|
88,113 |
67,462 |
Other current
operating assets |
|
44,043 |
44,433 |
Cash and cash
equivalents |
|
111,126 |
125,792 |
|
|
|
|
Total current assets |
|
306,277 |
298,014 |
|
|
|
|
Total
assets |
|
1,800,179 |
1,750,730 |
Equity and liabilities
In thousands of euros |
30/06/2021 |
31/12/2020 |
|
|
|
Own
funds attributable to owners of the parent |
|
|
Share
capital |
1,218 |
1,218 |
Additional
paid-in capital |
64,807 |
64,807 |
Reserves |
403,584 |
362,784 |
Translation
reserves |
(39,139) |
(41,549) |
Net income for
the year |
23,501 |
55,314 |
|
|
|
Total equity attributable to owners of the
parent |
453,971 |
442,574 |
|
|
|
Non-controlling
interests |
90,428 |
89,762 |
|
|
|
Total equity |
544,399 |
532,337 |
|
|
|
Non-current liabilities |
|
|
Employee
benefits |
47,318 |
52,605 |
Provisions for
liabilities |
7,593 |
6,633 |
Deferred tax
liabilities |
22,021 |
18,617 |
Non-current
financial debt |
800,572 |
822,830 |
Right-of-use
liabilities (IFRS 16) |
40,643 |
36,682 |
Non-current
derivatives |
43,064 |
55,023 |
|
|
|
Total non-current liabilities |
961,211 |
992,391 |
|
|
|
Current
liabilities |
|
|
Trade
payables |
69,131 |
71,106 |
Tax and social
security liabilities |
33,487 |
42,911 |
Current
financial debt |
132,299 |
79,172 |
Right-of-use
liabilities (IFRS 16) |
1,850 |
1,777 |
Other current
operating liabilities |
57,802 |
31,035 |
|
|
|
Total current liabilities |
294,569 |
226,002 |
|
|
|
Total
equity and liabilities |
1,800,179 |
1,750,730 |
Statement of consolidated cash flows for the six
months to 30 June 2021
In thousands of euros |
Six months to 30 June 2021 |
Six months to 30 June 2020 |
Operating activities |
|
|
Net income for the year attributable to shareholders of
Albioma |
23,501 |
24,353 |
Non-controlling
interests |
5,382 |
4,778 |
Adjustments |
|
|
. Charges to
depreciation, amortisation and provisions |
44,101 |
40,406 |
. Change in
deferred tax |
(1,278) |
1,897 |
. Share of net
income of associates net of dividends received |
(656) |
478 |
. Gains and
losses on disposals |
(53) |
|
. Other non-cash
items |
|
|
. Share-based
payments |
2,412 |
1,102 |
. Cost of
financial debt |
15,830 |
16,622 |
. Current tax
charge for the year |
12,020 |
12,409 |
Self-financing capacity |
101,258 |
102,045 |
Impact of change
in working capital requirement |
(28,637) |
(39,292) |
Tax paid |
(22,821) |
(11,473) |
Net cash from operating activities |
49,800 |
51,280 |
Investing activities |
|
|
Acquisitions of
non-current assets |
(60,358) |
(61,686) |
Increase in
financial assets |
|
(7) |
Sales proceeds
from non-current assets |
354 |
|
Sales proceeds
from and reductions in financial assets |
1,299 |
|
Acquisitions and
disposals of subsidiaries less any cash acquired or sold |
(4,404) |
|
Net cash from/(used in) investing activities |
(63,110) |
(61,693) |
Financing activities |
|
|
Transactions
between shareholders |
|
|
Capital
increases subscribed by non-Group shareholders |
|
|
Change in
treasury shares |
(5,000) |
157 |
Dividends paid
to shareholders of Albioma SA |
|
|
Dividends paid
to non-controlling interests |
(1,989) |
|
Borrowings and
financial debt subscribed or issued |
59,345 |
33,892 |
Cost of
financial debt |
(15,720) |
(16,622) |
Borrowings and
financial debt repaid |
(36,705) |
(47,397) |
Other |
(579) |
406 |
Net cash from/(used in) financing activities |
(649) |
(29,564) |
Impact of
currency movements on cash and cash equivalents and other
changes |
(117) |
(3,027) |
Net change in cash and cash equivalents |
(14,076) |
(43,004) |
Opening cash and
cash equivalents |
125,202 |
161,135 |
Closing cash and
cash equivalents |
111,126 |
118,131 |
Change in cash and cash equivalents |
(14,076) |
(43,004) |
Cash |
84,907 |
102,651 |
Cash
equivalents |
26,219 |
15,480 |
Total cash and cash equivalents |
111,126 |
118,131 |
Bank
overdrafts |
|
|
Net cash and cash equivalents |
111,126 |
118,131 |
- 20210728 - CP Albioma ENG