Cenergy (CENER) Q3 2024 TU earnings summary

Executive summary

• Revenue for the nine months ended September 30, 2024, reached €1.26 billion, up 8% year-over-year, with Q3 revenue up 21% compared to Q3 2023 and a record-high backlog of €3.48 billion.

• Adjusted EBITDA for the nine months was €194 million, a 34% increase year-over-year, with Q3 adjusted EBITDA up 26% year-over-year and margins exceeding 16%.

• Net profit after tax for the nine months was €100.3 million, up 113% year-over-year, with Q3 net profit up 86% year-over-year and EPS at €0.53.

• Profits before tax doubled to €123 million for the nine-month period, driven by robust steel pipe segment performance.

• FY 2024 guidance for adjusted EBITDA confirmed at €245–265 million.

Financial highlights

• Gross profit for the nine months was €213.3 million, up 40% year-over-year, with a margin of 16.9%.

• Q3 2024 turnover was €448 million, up 13% sequentially from Q2 2024.

• Adjusted EBIT for the nine months was €168.6 million, up 37% year-over-year; Q3 adjusted EBIT rose 27% year-over-year.

• Net finance costs decreased by 11% year-over-year for the nine months.

• Q3 profit before tax was €50 million and after tax €44 million, up one-third from Q2.

Outlook and guidance

• Full-year 2024 adjusted EBITDA guidance confirmed at €245–265 million, with growth supported by strong backlog and high tendering activity.

• Cables segment expects continued growth from robust demand for renewable energy and grid interconnections.

• Steel pipes segment anticipates profitable growth, high capacity utilization, and new investments, especially in the U.S.

• Financial outlook subject to risks from global geopolitical and macroeconomic uncertainties, inflation, and supply chain challenges.

• Forward-looking statements are subject to significant uncertainties and may differ materially from actual results.