2G Energy AG / DE000A0HL8N9

2G Energy AG noticeably improves cost of materials ratio in the first quarter and substantially increases EBIT

2G Energy AG / Key word(s): Quarter Results


23.05.2024 / 08:30 CET/CEST
The issuer is solely responsible for the content of this announcement.

---

Cost of materials ratio drops to 64.5% (previous year: 69.0%) EBIT of EUR 0.9 million marks a significant increase over the previous year (EUR -0.2 million) Sales revenues remain at a very high level at EUR 69.5 million (previous year: EUR 68.5 million) Management Board confirms outlook for the current and coming year Heek, May 23, 2024 - With sales revenues of EUR 69.5 million, 2G Energy AG (ISIN DE000A0HL8N9), one of the world’s leading manufacturers of Combined Heat and Power (CHP) systems and a producer of heat pumps, succeeded in building on its very high level of the previous year (EUR 68.5 million) in the first quarter of the current fiscal year (+ EUR 1.0 million). Cost of materials ratio drops to 64.5% (previous year: 69.0%) Significant improvements in earnings were achieved by normalizing the cost of materials ratio. Now that the procurement side of the business has calmed down appreciably with price increases currently running in the low single-digit percentage range, the company’s own moderate list price adjustments of the last 18 months are having a greater impact. The ratio of material costs on one side to 2G’s list prices on the other is thus returning to normal. EBIT of EUR 0.9 million significantly above the previous year (EUR -0.2 million) With the distribution of sales revenues between CHP systems and Services as well as between domestic and foreign revenues painting a very similar picture overall to the previous year, the improvement in the cost of materials ratio is largely reflected in EBIT which has increased by EUR 1.1 million. 2G has therefore already generated a significantly positive EBIT of EUR 0.9 million in the first quarter (previous year: EUR -0.2 million). “We are pleased that we were able to maintain our high level of sales despite the extremely strong final spurt in the fourth quarter of 2023”, states CEO Christian Grotholt.  “Normalizing our procurement costs is now enabling us to translate the considerable successes of the last few years on our way towards a process-oriented, collaborative, quality-driven, customer-centric organization into sound financial performance with improved margins, and thus to meet the ambitious EBIT margin forecast at the end of the year.”  Management Board confirms outlook for the current and coming year The Management Board is confirming the forecasts already announced for the current year (sales revenues of EUR 360 to 390 million with an EBIT margin between 8.5% and 10.0%; previous year: EUR 365 million with an EBIT margin of 7.6%) as well as for the coming year (sales revenues of EUR 390 to 450 million).

2G company portrait
The 2G Energy AG Group is an internationally leading manufacturer and system provider of decentralized energy supply systems. The company develops, produces and installs comprehensive solutions in the growing market for highly efficient CHPs and large heat pumps. Digital grid integration and plant control for both types of energy generators, as well as service and maintenance, are further decisive performance criteria. The product portfolio includes CHP plants in the output range from 20 kW to 4,500 kW for operation with hydrogen, natural gas, biogas and other lean gases, as well as large heat pumps in the range from 100 kW to 2,6000 kW. CHP plants operate with efficiencies of 90 percent and more, while large heat pumps achieve efficiencies of 300 to 500 percent, depending on the general conditions. With its products and services, 2G is at the interface to a decentralized, secure and largely decarbonized energy supply. More than 8,000 2G systems have already been installed worldwide in various applications, supplying electrical and thermal energy to a wide range of customers from the housing industry, agriculture, commercial and industrial companies, energy suppliers, municipal utilities and local government authorities. 2G is positioned worldwide as a system provider for decentralized energy solutions with its combination of CHP plants and large heat pumps. The company benefits from far-reaching synergies of both plant categories, ranging from project development, procurement, and production to the largely identical customer base and regulatory framework as well as sales channels and digital control and service. 2G is consistently expanding its technological leadership through continuous research and development work, both in power plant and pump technologies as well as in specific software development for service and maintenance activities. The digital grid integration consistently implemented by 2G is an indispensable, system-relevant element in the future electricity market design and represents a high market entry hurdle for competitors. The sector coupling required for the success of the energy transition is reflected in 2G's portfolio. 2G employs more than 900 employees at its headquarters in Heek, Germany, in North America, as well as at five other European locations. The company is active in more than 50 countries and generated net sales of EUR 312.6 million in the 2022 financial year. 2G was founded in 1995 and has been listed on the capital market since 2007. The shares of 2G Energy (ISIN DE000A0HL8N9) are listed in the “Scale” segment of the Frankfurt Stock Exchange. Calendar 2024
June 4   Ordinary AGM, Ahaus/Germany
June 6   Warburg Highlights Conference, Hamburg
September 5  Consolidated financial statements for H1 2024
November 25  Q3 key figures and business trends
November 25-27  German Equity Forum, Frankfurt IR contact
2G Energy AG
Benzstrasse 3, 48619 Heek
Phone: [phone]
Fax: [phone]
Email: [e-mail]
Internet: www.2-g.de  

---

23.05.2024 CET/CEST Dissemination of a Corporate News, transmitted by EQS News - a service of EQS Group AG.
The issuer is solely responsible for the content of this announcement.

The EQS Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases.
Archive at www.eqs-news.com

---

Language:	English
Company:	2G Energy AG
	Benzstr. 3
	48619 Heek
	Germany
Phone:	[phone]
Fax:	[phone]
E-mail:	[e-mail]
Internet:	www.2-g.de
ISIN:	DE000A0HL8N9
WKN:	A0HL8N
Indices:	Scale 30
Listed:	Regulated Unofficial Market in Berlin, Dusseldorf, Frankfurt (Scale), Stuttgart, Tradegate Exchange
EQS News ID:	1909143

End of News	EQS News Service

---

1909143  23.05.2024 CET/CEST