Alternus Energy Group PLC. · OTC:ALTNF
Alternus Energy — Q4 2021 Earnings Presentation
25 slides from Alternus Energy's earnings presentation, Feb 15, 2022
Slide 1: Fourth Quarter and Full Year 2021
FOURTH QUARTER AND FULL YEAR 2021 15 February 2022
Slide 2: Caution Forward Looking Statements
Q4 2021 Financial Presentation 21 Caution Forward Looking Statements Some of the statements contained in this document, including information incorporated by reference, discuss future expectations, plans or prospects, or state other forward looking information Words such as “intends”, “believes”, "e
Slide 3: Agenda and Today's Presenters
AGENDA AND TODAYS PRESENTERS Q4 2021 Financial Presentation 3 Vincent Browne Joseph Duey CEO CFO § Vincent will present: § Joe will present: - Business Developments & - Financial Performance Performance 3
Slide 4: Alternus Energy Group Plc – A Fully Integrated IPP
ALTERNUS ENERGY GROUP PLC – A FULLY INTEGRATED IPP Q4 2021 Financial Presentation 4 Listed June 2021 Shares issued 26,232,276 Recent price NOK 28.00 P r o d u c i n g P a r k s C o n t r a c t e d P a r k s We build, own & operate ‘utility scale’ solar parks across Europe 1) Includes c. EUR 2.2m fro
Slide 5: Meeting and Exceeding All Targets for 2021
MEETING AND EXCEEDING ALL TARGETS FOR 2021 Q4 2021 Financial Presentation 51 5 times larger in long-term Annual Recurring Revenues at €24 million (EBITDA ~€20 million) 4 times larger in operating assets at 143 MWp (Completed all planned acquisitions for 2021 and more) Total owned assets now 573 MWp
Slide 6: Rotterdam The Hague Airport Solar PV Park
ROTTERDAM THE HAGUE AIRPORT SOLAR PV PARK Q4 2021 Financial Presentation 6 On track to reach COD in February 2022 SIZE LOCATION 13.63 Rotterdam MWp Airport 11 EPC 3O&M Unisun Uper Energy Energy CONSTRUCTION TIMELINE OFFTAKE AGREEMENTS FiT 5 Months & PPA 6
Slide 7: Five Times Increase in ARRs YoY
Q4 2021 Financial Presentation 7 16 FIVE TIMES INCREASE IN ARR’S YoY Portfolio benefitting from increased energy rates 30 45 65 130 143 143 § Exceeded 2021 business plan for both for MW MW MW MW MW MW MWp operating and ARR’s 24.1 § Increased energy prices translated to a €1.2m ARR uplift in Q4, 2021
Slide 8: Owned and Contracted Assets Both Increased in Fourth Quarter
OWNED AND CONTRACTED ASSETS BOTH INCREASED IN FOURTH QUARTER Q4 2021 Financial Presentation 87 Owned and contracted assets at various stages of cycle to balance risk, project returns and capital needs AS AT Dec-21 143 430 1,531 323 2,427 Producing 143 276 Owned - Producing Installation 14 711 323 Ow
Slide 9: Company Ambition of Over 3.5 GW in Operation by 2025
COMPANY AMBITION OF OVER 3.5 GW IN OPERATION BY 2025 Q4 2021 Financial Presentation 9 Growth driven by current owned backlog and contracted assets ~3 564 § Indicates EUR ~160M ARR’s at EOY 2023 based on current price curves from leading expert firms ~1 100 Owned backlog + contracted assets ~2 464 §
Slide 10: Sustainability Highlights
Q4 2021 Financial Presentation 10 10 SUSTAINABILITY HIGHLIGHTS – FIRST 12 MONTHS OF 2021 Equivalent to the carbon sequestered by 2,124,756 trees grown for 10 years Equivalent to CO2 emissions from 12.5 million gallons of diesel consumed Equivalent to removing 27,947 fossil fuel-based passenger vehic
Slide 11: Financial Review
Q4 2021 Financial Presentation FINANCIAL REVIEW
Slide 12: Power Production Increased 4.6 Times YoY in Q4
POWER PRODUCTION INCREASED 4.6 times YOY in Q4 11 Q4 2021 Financial Presentation 12 Power Production Q4 2021 Power Production FY 2021 (GWh) (GWh) Comments +462% +151% 16.4 70.1 27.9 • Polish projects was acquired at Aug 2021 and December 2.9 2021 Q4 20 Q4 21 2020 2021
Slide 13: Best Ever Revenues and EBITDA
12 Q4 2021 Financial Presentation 13 BEST EVER REVENUES AND EBITDA (EUR MILLIONS) Q4 2021 – Revenues and EBITDA FY 2021 - Revenues and EBITDA 2020 2021 2020 2021 7.6 20.7 3.5 10.6 3.8 0.3 -0.2 0.3 Revenues EBITDA Revenues EBITDA § 73% gross margins from power generation in 2021 § 76% gross margins f
Slide 14: Owned Assets Increased by Over Times YoY
OWNED ASSETS INCREASED BY OVER 12 TIMES YoY Q4 2021 Financial Presentation 14 8 Total Owned Assets (MWp) Well Diversified Portfolio (MWp) 573 Spain 6% 143 Poland 468 14% 14 130 358 65 14 Romania 7% 573 50% Netherlands 18 416 MW 324 44 275 30 23% 14 0 EOY 2020 Jun-21 Sep-21 EOY 2021 Italy Producing C
Slide 15: Consolidated Statement of Comprehensive Income
CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME Q4 2021 Financial Presentation 15 8 For the 3 months For the 12 months ended 31 December ended 31 December (€000’s) Notes 2021 2020 2021 2020 Revenue by Region 2021 Revenue 1 7,577 293 20,616 3,821 (EUR 000’s) 20,616 Cost of sales (2,046) (74) (5,027) (
Slide 16: SG&A Analysis
SGA ANALYSIS Q4 2021 Financial Presentation 16 (EUR million) 4,953 289 386 1,568 893 1,485 Baseline cash operating 3,385 costs 1,900 Baseline SG&A Additional Project Acquistion Non-Cash Additional Reported from Business Plan SGA Costs not Stock Corp / SGA related capitalised Compensation Compliance
Slide 17: Improved Balance Sheet Provides Stronger Financial Position
13 Q4 2021 Financial Presentation 17 IMPROVED BALANCE SHEET PROVIDES STRONGER FINANCIAL POSITION As of 31 DECEMBER 2021 Consolidated financial position (EUR million) Consolidated Solis Corporate Balance Sheet Bond Co Level Group Investment in Energy December 31, 2020 31 December 2021 155.7 16.3 172.
Slide 18: Cash Flow Summary for Full Year 2021
14 Q4 2021 Financial Presentation 18 CASH FLOW SUMMARY FOR FULL YEAR 2021 As of 31 December 2021 § Net cash used for operations was EUR 1.7M, this included EUR 11.5M of EUR (M) cash paid for interest, of which EUR 2.1M was for additional interest paid Consolidated Cash Flow on existing debt prior to
Slide 19: Appendix
Q4 2021 Financial Presentation APPENDIX
Slide 20: Alternus Snapshot
ALTERNUS SNAPSHOT Q4 2021 Financial Presentation 20 3 1 Vertically Integrated Solar IPP § Targeted focus on fragmented mid-sized utility market (Europe / USA) § Highly diversified Diversified Portfolio solar PV assets Operational 430 Development / Construction § 1.8 GWp of contracted acquisitions at
Slide 21: Alternus Operates Across All Segments of the Value Chain
Q4 2021 Financial Presentation 21 ALTERNUS OPERATES ACROSS ALL SEGMENTS OF THE VALUE CHAIN – LOCKS IN MORE VALUE PROJECT DEVELOPMENT (“Project Rights”) INSTALLATOIN PHASE (“EPC”) OPERATION PHASE (“O&M”) Early Mid Late Construction & Commissioning Early operations Long-term Development Development De
Slide 22: Greater Benefit to Equity from Earlier in Cycle Stage Entry
GREATER BENEFIT TO EQUITY FROM ‘EARLIER IN CYCLE’ STAGE ENTRY Q4 2021 Financial Presentation 22 Cost savings achieved in buying assets earlier in cycle stage, with incremental differences reflected as equity returns EV/EBITDA project cost at various stages in project cycle Project Rights Connection
Slide 23: Business Model – Predictable Annual Recurring Revenues
BUSINESS MODEL – STRAIGHT FORWARD BUSINESS DELIVERS PREDICTABLE Q4 2021 Financial Presentation 23 ANNUAL RECURRING REVENUES (ARR’s) § Sell the energy generated by our solar parks to national power grids… § Under investment grade offtake contracts - Power Purchase Agreements with corporates or utilit
Slide 24: European Solar PV Capacity Set to Grow ~100% Between 2021 and 2025
EUROPEAN SOLAR PV CAPACITY IS SET TO GROW ~100% BETWEEN 2021 AND 2025 Q4 2021 Financial Presentation 24 Installed solar capacity in Europe (GW) Commentary § European solar power capacity has increased rapidly in the last decade, growing c.10% p.a. since 2012 (graph shows 2015 only) § Europe solar po
Slide 25: Solis Bondco Portfolio – Offtaker Overview
SOLIS BONDCO PORTFOLIO – OFFTAKER OVERVIEW Q4 2021 Financial Presentation 25 Italy Romania Netherlands Poland • Italian government backed Feed-in-Tariff • Romanian government issued Green • SDE + subsidy scheme managed by the • Corporate PPA with Gorażdże Cement of (FiT) program processed by the GSE
Alternus Energy Group — Q4 2021 Earnings Presentation on 6ix