Good Energy — H1 2022 Earnings Presentation
31 slides from Good Energy's earnings presentation, Sep 20, 2022
Slide 1: Good Energy Group plc Interims results
Good Energy Group plc Interims results 6 months to 30 June 2022 20 September 2022
Slide 2: Agenda
Agenda Agenda Overview Nigel Pocklington, CEO 3 Financial performance Rupert Sanderson, CFO 6 Strategic update Nigel Pocklington, CEO 13 Q&A Nigel Pocklington, CEO Rupert Sanderson, CFO 2 Interim Results | © 2022 Good Energy. Private & Confidential
Slide 3: Overview
Overview 3 Interim Results | © 2022 Good Energy. Private & Confidential
Slide 4: An unprecedented energy landscape
Overview An unprecedented energy landscape 4 Interim Results | © 2022 Good Energy. Private & Confidential
Slide 5: We have a clear strategic vision
We have a clear strategic vision To support one million homes and businesses cut carbon from their energy and transport use by 2025. Powering a cleaner, greener, world. We make it simple to generate, share, store, use and travel by clean power. 5 Interim Results | © 2022 Good Energy. Private & Confi
Slide 6: Financial performance
Financial performance 6 Interim Results | © 2022 Good Energy. Private & Confidential
Slide 7: Performance in line with expectations in this market
Financial Performance Performance in line with expectations in this market HY 21 £m HY 22 Reported % change Revenue growth Revenue £107.6 £68.3 57% Stable customers and 60% increase in supply revenue Cost of Sales -£95.4 -£50.6 88% Price rises lag commodity price increases. A phasing impact over
Slide 8: PBT development – HY 2022
Financial Performance PBT development – HY 2022 Significant pressure from commodity markets, partly offset by finance cost savings from asset sale Movement Data point 8 Interim Results | © 2022 Good Energy. Private & Confidential
Slide 9: Cashflow statement
Financial Performance Cashflow statement Underlying operational performance impacted by wholesale energy market Year End £(000)s HY 2022 FY 2021 Operational cashflows before working capital £163 £3,991 Challenging markets in Q1 impacted cash generated Working Capital movement -£2,336 -£93 from ope
Slide 10: Cashflow and collections remain robust
Financial Performance Cashflow and collections remain robust Cash and collections • Significant improvement in collections year on year. • Q1 up 57% and Q2 up 91% . Q2 and Q3 2021 impacted by business billing system migration, which is now resolved Customer base • Price rises across domestic and
Slide 11: Continue to actively plan for winter 2022
Financial performance Continue to actively plan for winter 2022 Over 90% hedged for seasonal normal weather conditions for winter 2022, despite the continued market volatility Trading mix adjusted to lower exposure to wind. Risk of under delivery built into tariffs Changing regulatory landscap
Slide 12: A well positioned business, despite sector challenges
Financial performance A well positioned business, despite sector challenges Continue to trade in line with expectations Substantially debt free with strong cash balance Investments in decentralised energy and mobility products will continue Working capital benefit expected when prices stabil
Slide 13: Strategic update
Strategic update 13 Interim Results | © 2022 Good Energy. Private & Confidential
Slide 14: Making it simple to generate, share, store, use and travel with clean power
Making it simple to generate, share, store, use and travel with clean power. 1. Supply - Fairly priced, real 100% renewable electricity for committed green customers. 2. Generate - Services which help homes and businesses generate, store, use and share their own power. 3. Transport - Making it simpl
Slide 15: Renewable supply
Renewable supply Fair priced, transparent, 100% renewable electricity 15 Interim Results | © 2022 Good Energy. Private & Confidential
Slide 16: Our goals
Strategic update Our goals What? Our genuine 100% renewable electricity supply Who? Sustainably minded businesses and consumers who want a genuine green product Goals this year: • Retention of our domestic customer base • ‘Purpose-driven' business customers • Launch new B2B products: Netting and Ind
Slide 17: Good operational progress and positioned for future growth
Strategic update Good operational progress and positioned for future growth • Green proposition OFGEM awarded more than one tariff from price cap derogation. Continue to recognise true green offering. • Leading customer platforms All customers on Kraken and Ensek. Delivering an ‘Excellent’ 4.6* rati
Slide 18: New product allows us to adapt and benefit customers
Strategic update New product allows us to UPDATE & DESIGN adapt and benefit customers Wholesale energy prices drive change Reduction in energy buying capability with existing credit lines. Reduces risk Match energy customers directly with generators. Removes need to access the wholesale market.
Slide 19: Decentralised energy
Decentralised energy Services to generate, store, consume and share your own power 19 Interim Results | © 2022 Good Energy. Private & Confidential
Slide 20: Our goals
Strategic update DESIGN Our goals What? Services for generators, partnerships for solar installs, storage and clean electrified heating Who? Businesses and consumers who want to save money whilst cutting carbon Goals this year: • Launch of new payments product for solar customers. • Develop our app
Slide 21: Launching new payments for generators
Strategic update Launching new payments for generators • Innovation for small scale solar generators A first of its kind service due to launch in Q4 2022. • Rewards for making the grid greener Customers get paid for what they export. An evolution from the current deemed export payment. • A step towa
Slide 22: Mobility
Mobility Make it easier to own, drive, fuel and pay for an electric vehicle 22 Interim Results | © 2022 Good Energy. Private & Confidential
Slide 23: Our goals
Strategic update Our goals What? Building on Zap-Map’s leading position in EV charging, solutions in all areas for EV drivers Who? All EV drivers Goals this year: • Supporting Zap-Map’s product roadmap to retain 70% market penetration of growing EV driver audience • Develop EV charging offering and
Slide 24: Zap–Map raises £9m series A with Fleetcor and Good Energy
Strategic update Zap–Map raises £9m series A with Fleetcor and Good Energy Fleetcor - UK’s #1 Post – Money Accelerate International fuel card service equity value of payment and potential provider £26.3m consumer app 24 Interim Results | © 2022 Good Energy. Private & Confidential
Slide 25: Zap–Map in numbers
Strategic update Zap–Map in numbers A growing target market 534k battery EVs on the road with 455K registered Zap–Map users An active user base Over 50% of users remain active on a monthly basis Annual subscriptions increasing towards long term target of 10% of users Payment solution expanding
Slide 26: Capital allocation & summary
Capital allocation & summary 26 Interim Results | © 2022 Good Energy. Private & Confidential
Slide 27: Capital allocation
Capital allocation Investing for sustainable growth • Organic growth Ensure stability in existing business. Focus on sustainable growth to withstand external shocks • Acquisitions Deliver corporate development through targeted acquisitions. Accelerate capability in energy services • Dividends Mainta
Slide 28: Q&A
Q&A 28 Interim Results | © 2022 Good Energy. Private & Confidential
Slide 29: Appendix
Appendix 29 Interim Results | © 2022 Good Energy. Private & Confidential
Slide 30: Customer numbers & volumes
Financial performance Customer numbers & volumes Total customer numbers increased by 1% Gas supply volumes significantly down year on year reflecting a warmer 2022 H1 Business customer demand significantly increased electricity supply volumes (2021 191 GWh, 2022 248 GWh) FiT customer numbers
Slide 31: Disclaimer
Disclaimer The content of this document has not been approved by an authorised person within the The information contained in this document is provided as at the date hereof and is subject to This document contains inside information. By accepting this document and attending the meaning of the Finan