Cenergy (CENER) H1 2024 earnings summary

Executive summary

• Revenue for H1 2024 reached €812 million, up 2% year-over-year, with a record order backlog of €3.4 billion, supporting future growth.

• Adjusted EBITDA rose 39% year-on-year to nearly €120 million, with a margin of 14.7% and strong performance in both cables and steel pipes segments.

• Net profit more than doubled year-on-year to €56 million, with EPS at €0.30 and profit before tax up 136% to €73 million.

• Return on capital employed climbed to 24.1% for H1 2024, up from 21% at end-2023.

• A potential capital increase of up to €200 million is planned, mainly to support US expansion and facility improvements.

Financial highlights

• Adjusted EBITDA margin reached 14.7% in H1 2024, up from 10.8% a year ago.

• Net debt increased to €494 million in June 2024, up over €100 million from December 2023, mainly due to working capital and CapEx.

• CapEx for H1 2024 totaled €122 million, with €105 million in cables and €17 million in steel pipes.

• Gross profit increased 45% year-over-year to €132.6 million, with gross margin up to 16.3%.

• Earnings per share for H1 2024 were €0.297, up 139% year-over-year.

Outlook and guidance

• Adjusted EBITDA guidance for FY 2024 upgraded to €245–265 million, up from previous €230–250 million.

• Medium-term ambitions set for organic revenue growth above 12% per annum and adjusted EBITDA of €380–420 million, excluding US plant contribution.

• Positive outlook supported by strong order backlog and robust demand in both segments.