Danish developer European Energy recorded a 38% increase in operating profit to €61.2m last year, exceeding its own guidance.
The company said the result was “remarkable” given the economic hit from Covid-19, with gross profit also up 29% to €73.9m, and equity stood at €235.3m following a 71% rise since the end of 2019.
Despite low electricity prices in Northern Europe, power sales increased 41% in 2020 from €30.5m in 2019 to €42.9m and now represents 22% of the revenue.
“European Energy is clearly on a path of strong growth, and the company is prepared for further growth in the coming year,” it added.
“Our business model has shown its strength in 2020. The pandemic has been tough, but we have experienced that the uncertainty has increased the willingness to invest in a green future. Renewable energy has now become a safe harbor in troubled waters for investors,” said Knud chief executive Erik Andersen.
In 2020, the organisation was geared to handle the extra volume of renewable energy construction projects that the company is poised to start in the coming quarters, he added.
The outlook for 2021 is that both EBITDA and profit before tax are expected to grow by more than 30%.
European Energy’s optimism stems from a world market facing a “boom in green energy over the coming years”.
By the end of 2020, European Energy had more than 600MW under construction and more than 800MW ready to be built.