German renewables developer Encavis operating earnings rose 29% in the first half of 2019 on the back of good weather conditions, an expanded portfolio and the sale of minority interests in four wind farms.
Operating earnings before interest, tax, depreciation and amortisation reached almost €121m, up from €94m in the same period of 2018, while revenue grew 17% to €143.9m from €122.8m last year.
The results, which exceeded the company’s targets, were boosted by the high level of solar radiation in Germany and Italy, as well as the portfolio expansion.
Solar contributed about €14.5m and wind approximately €5.3m to the growth.
The sale of 49% each of its shares in four wind farms in Germany on 28 May raised funding of about €24m, the company said.
“In addition, the group’s financial strength for future investments was strengthened by taking out very low-interest loans with a term of up to 15 years and a volume of €105m,” Encavis added.
At the end of June, Encavis’ portfolio comprised 175 solar parks and 69 wind farms in 10 European countries with a generation capacity of around 2GW.
The company has also raised its guidance for the end of the year with revenue expected to rise to more than €270m – previously €260m – and operating EBITDA to increase to over €218m, instead of €210m before.