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7C Solarparken AG: 7C Solarparken raises Full-Year Guidance 2022 and announces a portfolio increase of 10 MWp
Bayreuth (pta009/15.07.2022/08:27 UTC+2)
7C Solarparken (WKN: A11QW6 / ISIN: DE000A11QW68) announces today that the group has expanded its floating PV installation in Salzwedel by another 1.8 MWp. The extension project is equipped with Suntech panels and Huawei inverters, and enjoys a feed-in tariff of EUR 51/MWh, which will serve as a floor for capture prices in future. The group also has started construction works on a 7.7 MWp freefield solar plant in Traitsching, Bavaria, which will benefit from a tender tariff of EUR 46/MWh, serving as a minimum price as well. Management estimates output of ca. 1,100 kWh/kWp. Due to delays in the delivery of the plant's transformers, the grid connection is scheduled for Q1'23.
First-Half Results look very promising
The group announces that production in H1'22 will exceed 179 GWh (H1'21: 145 GWh) based on a weighted operating capacity of 336 MWp (H1'21: 275 MWp) As a result, specific yield is expected to climb to at least 531 kWh/kWp on the back of improved weather conditions compared to the first half of 2021. Reflecting the combination of (1) a higher-than-expected market price (the PV market price rose to EUR 189/MWh for June 2022) and (2) the closing of a swap agreement at EUR 149.5/MWh for a total capacity of 93 MWp, power sales and EBITDA for H1'22 are expected to exceed EUR 39.1m and EUR 33.0m respectively. Net debt at the end of H1'22 should fall slightly below EUR 160m on the back of substantial net cash flow generation.
Full-Year Guidance raised: CFPS to rise to at least EUR 0.65/share
Based on solid H1'22 figures and the effectiveness of the swap agreement as from June; 1st 2022, management feels confident that for the full year, an average capture price of EUR 213/MWh can be realized. As a result management changes its double-scenario guidance approach for 2022 and now assumes EBITDA to reach EUR 59m compared to EUR 49.1 – 55.4m as under the previous guidance range. Cash Flow per Share should rise to just above EUR 0.65 per share (previous guidance range: EUR 0.53 – 0.61 per share).
Nonetheless, management continues to observe operating and regulatory risks related to various items such as (i) supply chain distortions in delivery of new and replacement components, (ii) output losses related the introduction of Re-Dispatch 2.0, (iii) potential retro-active cuts to green certificates in Belgium on projects commissioned in 2008-2012 and (iv) regulatory interventions on green power production, e.g. in the form of price caps or windfall taxes as already introduced in other European countries. Management remarks that these risks are not reflected in the new full year guidance.
The presentation for the upcoming virtual AGM on July, 21st 2022, has been made available on the companies' website under investor relations today. Furthermore, the management's presentation in German and English can be viewed by accessing the AGM link in the general meeting section of the companies' website.
7C Solarparken AG
An der Feuerwache 15
|+49 921 230557-77
|Regulated Market in Frankfurt; Free Market in Berlin, Dusseldorf, Hamburg, Munich, Stuttgart, Tradegate
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