Slide 1: Q2 2024 Solid strategic progress
Q2 2024 Solid strategic progress CEO, Terje Pilskog & CFO, Hans Jakob Hegge
Slide 2: Disclaimer
Disclaimer The following presentation is being made only to, and is only directed at, persons to whom such presentation may lawfully be communicated (’relevant persons’). Any person who is not a relevant person should not rely, act or make assessment on the basis of this presentation or anything inc
Slide 3: Key highlights
Q2 2024 Key highlights Key figures - proportionate Proportional revenues of NOK 1.5 billion and EBITDA of NOK 951 million Total revenues and other income Power production Construction progressing well with 10% underlying D&C margin 1,528 995 NOK million GWh Q2 2023: 5,784 Q2 2023: 873 Signed 10-year
Slide 4: Production increased 25% adjusted for divestments
Power Production Production increased 25% adjusted for divestments Power Production, GWh EBITDA NOKm +25% 992 +38% 31 995 1 57 873 873 230 98 315 77 796 60 Kenhardt, Mendubim, 139 44 633 Sukkur Kenhardt, Mendubim, Sukkur Q2’23 Divestments Q2’23 New Philippines Other Q2’24 Q2’23 Divestment Divestemnt
Slide 5: EBITDA of NOK 91 million driven by Ancillary Services
Philippines EBITDA of NOK 91 million driven by Ancillary Services Net Revenue, NOK million Power Production, GWh Ancillary Services Production volumes Spot & Contract 185 Contract volumes • Net revenues increased by 61% 134 driven by ancillary services (AS) 83 108 101 5 114 71 • AS revenues of NOK 1
Slide 6: Continuing to mature our growth projects
Growth Continuing to mature our growth projects Tunisia Partnership & • New partnership with Aeolus in Tunisia, Egypt • Signed 20-year ammonia offtake part of Toyota Tsusho Group 20-year Ammonia agreement with Fertiglobe financial close • Financial close and construction start of Offtake agreement •
Slide 7: 120 MW moved to construction and new 56 MW BESS added to backlog
Growth 120 MW moved to construction and new 56 MW BESS added to backlog Asset portfolio, MW on 100% basis 5,049 +31% 621 4,428 4,221 462 South Africa, 255 Brazil, Egypt, Botswana & Uganda South Africa, 1,263 Philippines 3,382 Botswana, Tunisia & 424 Release South Africa, South Africa, Argentina, Bra
Slide 8: Maturing pipeline fueling attractive growth
Growth Maturing pipeline fueling attractive growth Backlog Pipeline • Above 90% of backlog and pipeline 10.8 GW 685 MW in focus markets 3% 10.1 GW 621 MW 7% 3% 6% 10% 38% 1% • 120 MW in Tunisia moved from 42% 21% 23% backlog to construction 15% • Philippine BESS projects of 56 MW 26% moved from pipe
Slide 9: South Africa and Botswana progressing well while ramping up in Tunisia
Construction South Africa and Botswana progressing well while ramping up in Tunisia Q2’24 financial performance 273 MW solar South Africa NOK 470m D&C revenues Q2’24 x 36%* Gross D&C margin Q2’24 60 MW solar Botswana ph1 NOK 2.6 bn remaining EPC contract value 120 MW solar NOK 590m Tunisia (New) tot
Slide 10: Divestments and refinancing supporting self-funded growth plan
Portfolio optimisation Divestments and refinancing supporting self-funded growth plan Africa Hydro • Hydro Power JV sold to TotalEnergies • 73 % farm-down of Kalkbult, Linde & South Africa Power JV • Sales price to be disclosed at closing Dreunberg • Expected to close in 1H’25 • Buy-back option of ~
Slide 11: Financial review
Financial review Hans Jakob Hegge, CFO
Slide 12: Power Production revenues of NOK 1,045 million
Q2’24 Proportionate Financials Power Production revenues of NOK 1,045 million Revenues, NOK million EBITDA, NOK million • Power Production EBITDA of 6,000 5,784 1,600 NOK 873 million 5,500 1,379 1,400 5,000 • 36% gross D&C margin including 4,500 1,200 461 Kenhardt contingency release 4,000 951 3,500
Slide 13: Power sales increased by 29% to 1.1 billion
Q2’24 Consolidated Financials Power sales increased by 29% to 1.1 billion Revenues, NOK million EBITDA, NOK million 1,600 1,230 1,000 • Increase in power sales driven by 1,400 904 930 new plants in operation and Ukraine 1,200 1,172 800 848 1,000 • Net income from JVs of 81 million 800 600 600 1,092
Slide 14: Net interest-bearing debt of NOK 22 billion
Proportionate Net interest-bearing debt of NOK 22 billion NOK billion 22.0 21.8 0.2 • NOK 170 million in proceeds from refinancing in the Philippines 13.1 13.4 • NOK 300 million debt drawn for projects under construction • Net corporate debt down to 8.4 billion due to increased cash & FX 8.7 8.4 Q1’
Slide 15: NOK 592 million distributed from power plants
Free cash on Group level NOK 592 million distributed from power plants Q2’24 movements of the Group’s free cash, NOK million 1,230 78 -9 -215 -7 -69 2,131 592 -184 901 714 End Q1’24 Distributions from EBITDA from D&C Taxes paid Changes in Other changes Cash flow from CF from financing End Q2’24 Undr
Slide 16: Outlook
Outlook Power Production • FY’24 Power Production estimate: 4,100-4,500 GWh • FY’24 EBITDA estimate: NOK 3,750-4,050 million • Q3’24 Power production estimate: 1,150-1,250 GWh • Q3’24 Philippines EBITDA estimate: NOK 280-380 million Development & Construction • Remaining D&C contract value: NOK 2.6
Slide 17: Key takeaways
Key takeaways • Strong financial performance • Delivering on our self-funded growth plan • Strategic divestments to fund growth and deleverage
Slide 18: Scatec
Scatec
Slide 19: Overview of change in net debt during the quarter - proportionate
Overview of change in net debt during the quarter - proportionate Project and Group level net interest bearing debt NOK billion Q1’24 Repayments New debt Change in Currency effects Q2’24 cash and other changes Project level -13.1 0.4 -0.5 -0.6 0.2 -13.6 Group level -8.7 0.0 0.0 0.2 0.1 -8.4 Total -2
Slide 20: Our asset portfolio
Our asset portfolio Plants in operation Capacity Economic Under construction Capacity Economic Project pipeline Capacity Share in % MW interest MW Interest MW South Africa 730 49% Grootfontein, South Africa 273 51% Solar 6,358 63% Brazil 693 33% Tunisia portfolio 120 51% Wind 2,364 23% Philippines 6