Corporate | 29 May 2008 08:46
EnviTec Biogas AG / Quarter Results
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EnviTec Biogas confirms preliminary figures for Q1 2008:
Incoming orders from abroad up by 54 percent
- Own Plant Operation segment achieves EBIT margin of approx. 21 percent
- Lean and flexible structures are paying off
- Strong market position in Germany and abroad
Lohne, 29 May 2008 – EnviTec Biogas AG [ISIN: DE000A0MVLS8] has confirmed
the preliminary figures for the first three months of 2008. 'The first
quarter was marked by the difficult situation in Germany, which we had
projected, but also by very positive stimulation from abroad,' said Olaf
von Lehmden, CEO of EnviTec Biogas. In these markets, demand for biogas
plants remains high. The company from Lower Saxony now has a presence in
over 16 countries, where it has a strong market position. As a result,
incoming orders from abroad were up by roughly 54 percent on year-end 2007
to approx. EUR 56.5 million. 'Our international activities have become a
mainstay of our company and a growth driver. We expect this positive trend
to continue and to gain importance in future,' said Olaf von Lehmden. At
present, the situation is particularly favourable in the Czech and Belgian
markets. In India, the company will build 30 biogas plants in the
agricultural state of Punjab.
The Own Plant Operation and Service segments also showed a positive
performance in the first quarter. Although Own Plant Operation accounts for
a relatively low ten percent of total sales, it generated an EBIT margin of
21.4 percent, which reflects its huge potential. In the first quarter, the
Own Plant Operation segment operated 17 modules with an electrical output
of 8.4 MW. The aggressive expansion of this segment will clearly increase
its contribution to the result of the EnviTec Biogas Group. At present,
plants with a capacity of 3.5 MW are at the construction or planning stage.
'Our good capitalisation allowed us to make high investments, especially in
Own Plant Operation, which will make good profit contributions going
forward,' said Jörg Fischer, CFO of EnviTec Biogas.
EnviTec Biogas has confirmed the preliminary figures for the first three
months of 2008 announced on 21 May 2008. The company generated sales
revenues of approx. EUR 15.1 million (Q1 2007: EUR 32.8 million). The
decline is attributable to the challenging market environment prevailing in
Germany during the first half of 2008 as had previously been forecast. The
pending amendment of the German Renewable Energy Sources Act (EEG) has led
to a wait-and-see attitude. Interested customers are waiting for the
federal government’s decision about the increase in the remuneration for
biogas, which is anticipated for August at the latest, before placing their
orders. This is also reflected in EBIT, which amounted to EUR -0.8 million
(Q1 2007: EUR 5.9 million). At EUR 0.2 million, earnings after taxes
remained positive, though. As of 31 March 2008, the company had liquid
funds in an amount of EUR 111.6 million. 'Biogas plants require substantial
investments,' said Olaf von Lehmden. 'Plant operators therefore need a
reliable political framework. The past months have once again shown just
how important it is that the decision about the EEG amendment is taken as
soon as possible in order to create investment certainty.'
In the current market situation, EnviTec Biogas benefits from the lean and
flexible structures established from the very beginning. This means low
costs at sufficient capacity to satisfy the growing demand as soon as the
German biogas market picks up again – and this is what the company projects
for the second half of the year. EnviTec Biogas assumes that numerous
projects will be realised once the decision about the amendment of the
Renewable Energy Sources Act has been taken, as this will increase the
planning certainty. Against the background of the dramatic increase in
natural gas prices and the federal government’s new regulation of the
feeding of biogas into the natural gas grid, biogas will become an
attractive and environmentally friendly alternative. EnviTec Biogas now
benefits from the fact that it has specialised in the construction of large
plants, such as the ones which are required to refine biogas for grid
feeding, at an early stage. The company offers these plants in the form of
high-quality standardised modules.
EnviTec Biogas projects positive EBIT for the full year 2008. The company
will publish detailed projections as soon as the political conditions for
renewable energies in Germany are clear.
The annual report 2007 is available on the company’s website
www.envitec-biogas.com.
About EnviTec Biogas:
EnviTec Biogas AG covers the entire value chain for the production of
biogas - including the planning and turnkey construction of biogas plants
as well as their commissioning. The company provides the biological and
technical service and also offers the full plant and operating management.
In addition, the company also operates its own biogas plants. In Penkun, in
the German state of Mecklenburg-Western Pomerania, EnviTec constructed the
world's largest biogas park with an electrical connected load of 20
megawatts. Today, the company is represented in more than 14 countries
throughout Europe and as well in China and India. In 2007 EnviTec generated
revenues of EUR 132 million and EBIT of EUR 18 million. The EnviTec Group
has about 280 employees. Since July 2007 EnviTec is listed on the Prime
Standard segment of the Frankfurt Stock Exchange.
Investor Relations: Joanna Rode, EnviTec Biogas AG, Tel: +49 44 42 80
65-118, E-Mail: ir@envitec-biogas.de
Press contact: Fabian Lorenz, Grit Pauli, HOSCHKE & CONSORTEN Public
Relations GmbH, Tel: +49 40 36 90 50-56 /-31, E-Mail: f.lorenz@hoschke.de,
g.pauli@hoschke.de
29.05.2008 Financial News transmitted by DGAP
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Language: English
Issuer: EnviTec Biogas AG
Industriering 10a
49393 Lohne
Deutschland
Phone: +49 (0) 44 42 - 80 65 0
Fax: +49 (0) 44 42 - 80 65 103
E-mail: info@envitec-biogas.de
Internet: www.envitec-biogas.de
ISIN: DE000A0MVLS8
WKN: A0MVLS
Listed: Regulierter Markt in Frankfurt (Prime Standard); Freiverkehr
in Berlin, Düsseldorf, Hamburg, München, Stuttgart
End of News DGAP News-Service
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