REG - eEnergy Group PLC - Trading and Board Update

EenergyAnnouncement

21/07/2022 07:00

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RNS Number : 2190T  eEnergy Group PLC  21 July 2022

21 July 2022

 

eEnergy Group plc

("eEnergy" or "the Group")

 

Trading and Board Update

 

eEnergy (AIM: EAAS), the net zero energy services provider, is pleased to
provide the following update in respect to the financial year ended 30 June
2022.

 

The Board is pleased to confirm that the Group generated revenue of £22.0
million and Adjusted EBITDA of £3.0 million for the period((1)) and is well
placed to deliver significant year-on-year revenue and Adjusted EBITDA growth
for FY23((2)).

 

The Group delivered a record performance in Q4 FY22 with revenues of £8.3
million and Adjusted EBITDA of £2.0 million. Due to strong demand seen across
our services, the Group enters FY23 benefitting from a strong pipeline and
encouraging momentum.

 

FY22 Highlights

 

·    Revenues of £22.0 million (up 62% from £13.6 million in FY21),
split between Energy Management and Energy Efficiency divisions (representing
52% and 48% respectively)

·    Further progress made in complementing organic growth with strategic
acquisitions, with the Group's largest acquisition to-date, Utility Team,
completed in H1 FY21

·    Adjusted EBITDA of £3.0 million (up 261% vs. FY21)

·    Significant progress with additional project funding through SUSI
Partners AG and successful debt refinancing with Silicon Valley Bank in H2
FY22

·    Completed commercial launch of MY ZeERO, eCharge and eSolar with
demonstrated strong demand

·    Net Bank Debt (excluding lease liabilities) of £3.7 million
following investment and inventory build in MY ZeERO, funding of deferred
consideration payments and non-recurring integration costs related to the
UtilityTeam acquisition and working capital absorption due to timing of June
Energy Efficiency installations and shift in supplier payment terms in Energy
Management as previously highlighted

 

FY22 has seen rigorous focus on integrating the business into a single
compelling proposition, helping organisations achieve net zero without capital
investment, coming together under the one eEnergy brand from 1 July 2022. This
has contributed, together with the increasing cost of energy, to increasing
momentum in both client acquisition and also the adoption of multiple new
services by existing accounts.

 

New Business opportunities developed well during Q4 across both Energy
Management and Energy Services and the Group enters FY23 benefitting from a
robust contracted order book and a strong sales pipeline.

 

FY23 Outlook

 

·    Forward order book of £25.3 million (up from £18.3 million at 31
December 2021) across both Energy Management and Energy Services divisions:

o  88% Q1 revenues contracted as at 30 June 2022

o  39% FY23 revenues contracted as at 30 June 2022

 

·    Cash flows are expected to reflect continued re-investment of cash
profits into growth opportunities, in particular MY ZeERO to meet expected
customer demand, and payment of certain non-recurring balance sheet items. It
is expected this will be funded by operating cash generation and/or
borrowings, as appropriate

·    Looking ahead, the Board remains confident that the Group is well
placed to continue to deliver on its strategic objectives and the underlying
growth of the business

 

Board Update

Further to the announcement of 4 May 2022, the Company is pleased to announce
Crispin Goldsmith, the Company's Interim CFO, has been appointed on a
permanent basis and joins the Board with immediate effect. Disclosures
required under the AIM Rules for Companies are provided below. Crispin was
previously eEnergy's Chief Strategy & Commercial Officer.

 

Harvey Sinclair, CEO of eEnergy Group plc, commented: "We are pleased to
announce a record Q4 which follows the record contract signings achieved in
Q3. The continued energy crisis continues to generate strong demand for our
integrated Net Zero offering with the new business pipeline developing
strongly as we enter the new financial year.

 

"FY22 saw investment in our platform, our people and our proposition as we
integrated our businesses under the single eEnergy brand. We continue to
invest in our innovative suite of products and services, as well as seeking
additional cross-sell opportunities amongst our existing and new customer
base, as we execute our strategy of delivering a unique market leading
solution.

 

"Finally, I would like to formally welcome Crispin Goldsmith as permanent CFO
and Board member. Crispin brings with him a wealth of knowledge and experience
that will benefit the continued growth of the business and we look forward to
the future with optimism. We would like to thank Ric for his services to the
Group and wish him all the best for the future."

 

Note:

(1) Market consensus forecast for year ended 30 June 2022: Revenue £23.0m;
Adjusted EBITDA £3.0m.

(2) Market consensus forecast for year ending 30 June 2023: Revenue £30.5m;
Adjusted EBITDA £5.0m.

 

 

Contacts:

 

 eEnergy Group plc                                              Tel: +44 20 7078 9564
 Harvey Sinclair, Chief Executive Officer                       info@eenergyplc.com (mailto:info@eenergyplc.com)  ; www.eenergyplc.com

                                                              (http://www.eenergyplc.com/)
 Crispin Goldsmith, Chief Financial Officer

 Singer Capital Markets (Nominated Adviser and Joint Broker)    Tel: +44 20 7496 3000
 Justin McKeegan, Mark Taylor, Asha Chotai (Corporate Finance)

 Tom Salvesen (Corporate Broking)

 Canaccord Genuity Limited (Joint Broker)

 Max Hartley, Tom Diehl (Corporate Broking)                     Tel: +44 20 7523 8000

 Kit Stephenson (Sales)

 Tavistock                                                      Tel: +44 207 920 3150
 Jos Simson, Heather Armstrong, Katie Hopkins                   eEnergy@tavistock.co.uk (mailto:eEnergy@tavistock.co.uk)

 

Regulatory Disclosures

In accordance with Schedule 2(g) of the AIM Rules for Companies, Crispin
Kinglake Goldsmith (aged 46) is, or has been within the previous five years, a
director or partner of the following companies or partnerships:

 Current directorships/partnerships  Past directorships/partnerships
 OAR Advisors Ltd                    N/A

 Prize Ventures Ltd

 

Crispin has a beneficial interest in 530,100 ordinary shares in eEnergy (held
via OAR Advisors Ltd, a company of which he has full beneficial ownership). In
addition, Crispin holds a total of 2,500,000 options to subscribe for ordinary
shares in eEnergy (1,900,000 EMI options and 600,000 non-advantaged options),
pursuant to the Group's management LTIP.

 

There are no further disclosures to be made under Schedule 2(g) of the AIM
Rules for Companies.

 

 

About eEnergy Group plc

 

eEnergy (AIM: EAAS) is a net zero energy services provider, empowering
organisations to achieve net zero by tackling energy waste and transitioning
to clean energy, without the need for upfront investment. It is making net
zero possible and profitable for all organisations in four ways: 

·     Transition to the lowest cost clean energy through our digital
procurement platform and energy management services. 

·     Tackle energy waste with granular data and insight on energy use
and dynamic energy management. 

·     Reduce energy use with the right energy efficiency solutions
without upfront cost. 

·     Reach net zero with onsite renewable generation and electric
vehicle (EV) charging. 

 

eEnergy is a Top 5 B2B energy management company which has been awarded The
Green Economy Mark by London Stock Exchange.

 

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