7C Solarparken AG: EBITDA rises by 52% in H1'22, full year EBITDA guidance raised despite risk for price cap

Bayreuth (pta009/22.09.2022/08:30 UTC+2)

7C Solarparken (WKN: A11QW6 / ISIN: DE000A11QW68) has announced its first-half results.

Total production output grew by 31% to 189 GWh driven mainly by expansion of the weighted running capacity to 337 MWp (+23%). Germany's overall irradiation and specific yield were ca. 11% up compared to last year's poor first six months. The IPP Portfolio of 7C Solarparken also saw an increase in their specific PV yield by 8% to 562 kWh/kWp.

Group revenues rose to EUR 43.7 Mio. versus EUR 28.8 Mio in H1'21, reflecting a combination of increased output and a 17% increase in average capture price (from EUR 195/MWh to EUR 228/MWh) due to an increase in PV market price from EUR 50/MWh to EUR 165/MWh. EBITDA increased also by 52% from EUR 25.5 Mio to EUR 38.7 Mio on the back of increased sale of electricity. Consolidated profit more than doubled to EUR 14.8 Mio versus EUR 6.7 Mio last year as the EBITDA effect almost fully runs through to the bottomline given the relatively low level of indebtedness. Net debt fell from EUR 181 Mio in H1'21 to EUR 157.7 Mio at the end of June 2022.

Cash Flow per Share renewed its upward trend and climbed from EUR 0.30 per share in the first half of 2021 to EUR 0.45 per share during H1'22.

For the full year, management continues to see regulatory risks due to the high electricity prices. In its initial guidance, the company already assumed the introduction of price cap which now seems to realize itself as the European Commission presented a EU regulation proposal for emergency measures to be taken by each individual member state based on a package which includes a price cap of EUR 180/MWh for renewable energy.

Management has concerns about the implementation methodology of the price cap as the draft proposal might lead to an PV electricity price below the price cap. Furthermore, retroactive measures are potentially in the cards. The new guidance includes the implications of the proposed cap with retroactive effect, but in the end Germany will decide on the implementation in our main market. At the backdrop of these adverse effects, management still raises guidance for EBITDA from at least EUR 59 Mio to EUR 61.8 Mio. CFPS is now guided at EUR 0.67 versus at least EUR 0.65 previously.

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Emitter:	7C Solarparken AG An der Feuerwache 15 95445 Bayreuth Germany
Contact Person:	Koen Boriau
Phone:	+49 921 230557-77
E-Mail:	info@solarparken.com
Website:	www.solarparken.com
ISIN(s):	DE000A11QW68 (Share)
Stock Exchange(s):	Regulated Market in Frankfurt; Free Market in Berlin, Dusseldorf, Hamburg, Munich, Stuttgart, Tradegate
Other Stock Exchanges:	London