Orron Energy Ab · OMXSTO:ORRON
Orron Energy Ab — Q1 2024 Earnings Presentation
18 slides from Orron Energy Ab's earnings presentation, May 14, 2024
Slide 1: Q1 Presentation
Q1 Presentation Daniel Fitzgerald, CEO Espen Hennie, CFO 14 May 2024
Slide 2: This is Orrön Energy
This is Orrön Energy Part of the entrepreneurial of companies Finland Pure play renewable energy company 1,000 GWh Sweden production UK Germany Diversified across technologies 40 GW France onshore greenfield pipeline Organic growth across the full lifecycle Producing assets Development projects Gree
Slide 3: Corporate Strategy Remains Unchanged
Orrön Energy Corporate Strategy Remains Unchanged Build a portfolio of Develop a large scale pipeline cash generating assets of development projects Acquisition Project Secure Early Entrepreneurial development land Organically grown monetisation approach to increase with significant power generation
Slide 4: Leikanger Hydropower Sale
Orrön Energy Leikanger Hydropower Sale Leikanger sale 53 MEUR closed early May 2024 Strategic sale of non core Norwegian asset - Clearly demonstrates the underlying value of our assets Adjusting for - Releases significant cash from a highly taxed asset (67% tax) End Q1 2024 Leikanger sale - Sales pr
Slide 5: First Quarter 2024
Orrön Energy First Quarter 2024 Power generation Strategic sale of Leikanger in Q2 2024 274 GWh 53 MEUR EBITDA Strengthened 6 MEUR balance sheet and Achieved price increased financial 49 EUR/MWh capacity End Q1 net debt Good progress on 91 MEUR greenfield development pipeline End Q1 2024 All numbers
Slide 6: Market Conditions
Orrön Energy Market Conditions Electricity price Levelised Cost of Energy(1) 200 200 Challenges remain Storm regarding build out of 150 More normalised large scale renewables 150 Hans pricing However high EUR/MWh volatility remains 100 100 Germany futures price UK futures price 50 Nordic futures pri
Slide 7: Power Generation Outlook
Orrön Energy Power Generation Outlook Updated 2024 forecast 1,000 GWh 600 - 100 GWh p.a. depending on weather + 2023 Production 765 Production 400 Karskruv Phasing GWh Q1 Q1 Q4 ~60% production 251 Sweden Q2 Q3 ~40% 200 Leikanger MLK 0 2H 2022 1H 2023 2H 2023 1H 2024 2H 2024 Historical production For
Slide 8: Continuing to Mature our Project Pipeline
Orrön Energy Continuing to Mature our Project Pipeline Nordics Finland Large scale early stage pipeline 0.2 GW created organically Sweden Binding land agreements secured 0.5 GW for over 500 MW of projects in Germany UK 37 MW of fully permitted Swedish battery 36 GW projects, first project in constru
Slide 9: Financial Highlights
Orrön Energy Financial Highlights First Quarter Results 274 14 Power generation GWh Revenue MEUR Achieved price 49 EUR/MWh EBITDA(1) 6 MEUR Increased Liquidity Headroom End Q1 Leikanger sale, post Q1 91 53 Net debt Enterprise end Q1 MEUR value MEUR 190 170 Debt Debt facility MEUR facility MEUR All n
Slide 10: Delivering in Line with Guidance
Orrön Energy Delivering in Line with Guidance Three Months 2024 2024 Actuals Guidance Operating expenses 4 MEUR 15-17 MEUR G&A expenses(1) 2 MEUR 9 MEUR Sudan legal costs (2) 2 MEUR 8 MEUR Capital expenditure 2 MEUR 14 MEUR Guidance is presented based on proportionate (net) ownership in assets and r
Slide 11: 2024 Key Financial Metrics
Orrön Energy 2024 Key Financial Metrics Power generation (GWh) 214 226 274 Achieved price (EUR/MWh) Dividends received 66 43 49 9.9 - - 16.6 15.0 14.0 13.5 9.6 MEUR 6.7 5.1 3.9 3.0 1.3 1.0 0.4 Q1 23 Q4 23 Q1 24 Q1 23 Q4 23 Q1 24 Q1 23 Q4 23 Q1 24 Q1 23 Q4 23 Q1 24 Revenue EBITDA CFFO CFFO Excluding
Slide 12: Achieved Price
Orrön Energy Achieved Price First Quarter 2024 1 2 61 58 49 15 EUR/MWh Average Average Legacy Guarantees Capture price Average system price regional hedging of origin discount achieved price spot price(1) impact(2) (1) Based on actual power generation (2) Existing hedges linked to acquisitions OE000
Slide 13: Underlying Cash Flow Generation
Orrön Energy Underlying Cash Flow Generation Q1 24 Power generation (GWh) 274 Achieved price (EUR/MWh) 49 First Quarter 2024 13.9 4.0 5.9 MEUR 4.0 1.7 2.3 1.9 0 Revenue (1) Opex G&A (2) EBITDA (2) Interest Capex Operating expense cash flow after interest and capex All numbers proportionate (1) Inclu
Slide 14: Cash Flow and Net Debt
Orrön Energy Cash Flow and Net Debt First Quarter 2024 Liquidity Leikanger sale impact (2) 150 -80 125 3.9 82 104 MEUR 100 -90 0.9 Closing MEUR 1.9 75 Opening net debt net debt(1) 31 Mar 2023(1) 31 Dec 2023 91 MEUR 50 92 MEUR 25 3 -100 19 CFFO Changes Cash flow excluding in working from investing 0
Slide 15: 2024 Cash Flow Outlook
Orrön Energy 2024 Cash Flow Outlook Breakeven pricing EUR/MWh 70 24 32 38 Long-term cash flow supported 50 by significant tax shields 44 MEUR 36 30 30 Value upside and optionality 25 from greenfield pipeline 17 11 6 Achieved price 30 EUR/MWh -2 -8 50 EUR/MWh Revenue EBITDA excl. EBITDA FCF Sudan pre
Slide 16: Creating value through the Energy Transition
Creating value through the Energy Transition 1,000 GWh power generation Organic growth platforms delivering long-term cash flow established across 5 countries Large scale onshore pipeline Financially strong with ample with early monetisation liquidity for future growth of projects OE00033 intro p14
Slide 17: Disclaimer
Orrön Energy Disclaimer Forward-Looking Statements Statements in this presentation relating to any future status or circumstances, including statements regarding future performance, growth and other trend projections are forward-looking statements. These statements may generally, but not always, be
Slide 18: Creating value through the energy transition
Creating value through the energy transition OE00023 p20 08.23 18