European Energy has today published its results for the third quarter of 2024. While the company is experiencing challenges with delayed divestments, it can also show solid progress in its project portfolio and a strengthened financial position.
The preliminary result shows that European Energy has achieved an EBITDA of EUR -11 million for the first nine months of the year. This is a significant decline from EUR 127 million in the same period last year, primarily due to lower electricity prices and fewer project divestments, which according to the company are due to seasonal fluctuations.
Expectations for the year's total EBITDA have now been adjusted to the low end of the previously announced range of EUR 184 million, while profit before tax has been adjusted down to EUR 100 million.
- Delays in certain divestments have impacted our results in the short term. However, these delays do not change the strategic direction that we continue to pursue with strong momentum, says Jens-Peter Zink, Deputy CEO of European Energy.
Despite the financial challenges, European Energy has made great progress on the project side. The company has obtained its first offshore permit in Denmark with Lillebælt Syd. The 165 MW project is expected to supply green electricity to 148,000 households from 2029.
In addition, construction has started on a 148 MW solar farm in Latvia and a 26 MW wind farm in Greece, bringing the total capacity under construction to 1.1 GW. Projects ready for final investment decisions (FID) have also grown to 3.2 GW, up from 2.5 GW last year.
The company has also had a record year in Power Purchase Agreements with contracts of over 1,700 MW signed this year and a further 200 MW secured via Contracts for Difference (CFD).
- We are seeing strong progress on several fronts, including our Power-to-X activities, which play a central role in the green transition, says Jens Due Olsen, Chairman of the Board of Directors of European Energy.
To secure future growth, European Energy has strengthened its financial position. In October, the company issued a three-year senior bond of EUR 375 million, which reduced debt maturities and left a net income of EUR 72 million. This builds on an earlier equity injection of EUR 700 million from April this year.
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