European Energy delivers a strong result and raises full year guidance for 2017
The Danish developer of wind and solar energy, European Energy, publishes a very strong 2016 result, and raises the full year guidance for profit before tax in 2017 from between EUR 8 and 12 million to between EUR 12 and 17 million.
CEO Knud Erik Andersen explains that the demand for wind and solar farms among institutional investors contributes to the strong result. Today institutional investors consider renewable energy to be a long-term, low-risk investment object, fully competitive with infrastructure investments such as hospitals and bridges or bonds. On top of that, wind and solar farms give the investors a unique opportunity to contribute to the fight against climate change.
Knud Erik Andersen says: "We are delighted with the results, created by our dedicated employees in 2016. The result reflects that we capture market shares from fossil fuels every year and that investors agree with us that the future is green."
In 2016, European Energy prepared the company to meet the new renewable energy market conditions in Europe. That is, a market where national and transnational auctions replace feed in tariffs and where technological developments challenge the competition between wind and solar power. Knud Erik Andersen explains that European Energy is uniquely positioned to take advantage of these market developments because the company is building both wind and solar power and currently has development projects in Finland, Sweden, Germany, Denmark, Italy and United Kingdom.
His optimism is supported by the upgrade of the 2017-full year guidance that European Energy announces in the annual report. The upgrade corresponds to a profit before tax of between EUR 0.18 and 0.25 million per employee: "The interest of institutional investors and price reductions on wind and solar power means that we optimists regarding 2017. And we are therefore raising our 2017-full year guidance"
Revenue almost doubled between 2015 and 2016 and reached EUR 140.8 million in 2016 (up from EUR 73.6 million).
At the end of 2016, the pipeline of ready to build projects totaled 242 MW.
European Energy A/S raises the full year guidance for profit before tax in 2017 to EUR 12-17 million (up from EUR 8-12 million).
For further information contact: Communications manager, Anna Riis Hedegaard, +45 20 70 84 02.