TERNIENERGIA: Report approved by Board of Directors dated 30.06.2008 High revenue and profitability growth
• Revenue equal to 14,583,522 Euro in respect to 3,306,027 Euro of the same period 2007 (+ 341%).
• EBITDA at 1,204,424 Euro compared to the negative margin of 14,089 Euro in the first half-year 2007
• EBIT at 1,137,543 Euro compared to a negative result of 73,922 Euro in the corresponding period 2007
• Net profit at 411,082 Euro compared to the loss of 65,094 Euro at 30.06.2007
Terni, 29 August 2008
The Board of Directors of TerniEnergia S.p.A. – company listed on Expandi of ‘Borsa Italiana S.p.A.’ – has approved the economical-financial results obtained in the 1st half-year 2008.
The Company has positively accomplished the quotation project on 25 July 2008 to support the company’s growth strategy with the intention of consolidating its position as leader in the renewable energy sector. Furthermore TerniEnergia wishes to reinforce its role of solar energy producer.
The considerable revenue and profitability growth registered in the 1st half-year 2008 testifies the Company’s continuous development. The Company is currently among the main operators in the Italian photovoltaic sector, especially concerning industrial plants.
Main half-year results
The Company has made revenues equal to 14,583,522 Euro, substantially in line with the budget forecast with an increase of over 341% in respect to the 3,306,027 Euro of the corresponding half-year 2007.
On the profitability front, the Gross Operative Margin (EBITDA) was equal to 1,204,424 Euro, while it was negative for 14,089 Euro in the same half-year 2007.
Also analysing the revenues, EBITDA has increased, going from -0.4% in the first half-year 2007 to 8.3% in the first half-year 2008. However the marginality improvement at 30 June 2008 has been affected by some negative non-recurring revenue components mainly linked to the consolidation of the operative structure and some minor aspects concerning the Stock Exchange listing process.
The Operative Result (EBIT) has reached 1,137,543 Euro, while at 30 June 2007 it was negative for 73,922 Euro.
The pre-tax result was equal to 776,852 Euro, rapidly growing in respect to the negative result of 83,207 Euro registered in the corresponding half-year 2007.
Net profit reached 411,082 Euro, compared to a loss of 65,094 Euro registered at the end of the 1st half-year 2007.
The net financial debt at 30 June 2008 was 6,338,052 Euro, while at 31 December 2007 the Company had no financial debts. In this regard it is reported that in the period in question, company growth, especially concerning working capital, was backed up by the partial financing with the credit lines available to the Company. Nevertheless, the Company’s financial structure remains very solid and this debt level is not structural, as testified by the evolution highlighted by the same over the months following 30 June 2008. In fact, at 31 July 2008, the Net Financial Position was negative (cash) for 2,721,619 Euro, due mainly to the collection of a commodity credit of over 4,600,000 Euro, in the month of July. It was this postponement in respect to the natural deadline of the credit collection, due to the extension of the preliminary for the leasing payment, which mainly gave rise to temporary, further financing by the Company.
Net capital at 30 June 2008 was equal to 5,040,566 Euro, compared to 5,038,485 Euro at 31 December 2007.
Expected evolution of management
During the months of July and August 2008, the high growth of activity already demonstrated during the first half-year of the fiscal year continued. In particular, as well as those already acquired, five new worksites were opened and three new contracts were concluded for the construction of as many power plants superior to 900 kWp, for which the start-up of work is foreseen in one case, within the forth half-year, and the remaining two within the first half-year 2009.
As from the second half-year of the fiscal year 2008, the Company intends to continue the accomplishment of the process of strategic focusing in the segment of large plants initiated during the final part of the fiscal year 2007.
Furthermore, TerniEnergia wishes to strengthen its presence in the renewable energy sector, through the on-going joint ventures, as well as through the formation of similar new initiatives. To this aim informal interviews with potential partners are underway.
On the basis of the planning carried out, in the second half of the 2008 fiscal year, installations shall mainly concern plants for third parties that guarantee margins in absolute value, higher in respect to those installed for the SolarEnergy joint venture.
Furthermore, wind farm development shall continue in order to obtain the necessary administrative authorizations as soon as possible at first request for the development of the three planned wind farms.
The manager in charge of drawing up the corporate accounting records, Marco Baschirotto, declares, according to item 2 article 154 bis of the ‘TUF’ (consolidated law on financial intermediation) that the accounting information in the present communication corresponds to documentary evidence, accounting books and records.
In attachment, the consolidated accounts statements at 30 June 2008. Please note that details regarding the six-monthly situation have not been subjected to auditing.
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Information according to art. 2A.3.2, item 1, of the Regulation for Markets Organized and Managed by Borsa Italiana S.p.A.”:
– Starting date of negotiations: 25 July 2008
Listing Partner of the quotations: Unipol Merchant – Banca per le Imprese S.p.A. – InterBanca S.pA.
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In compliance with art. 2A.3.7, item 1 of the Regulation for Markets Organized and Managed by Borsa Italiana S.p.A.”, please note:
1. net result from 1 July 2007 to 30 June 2008 was equal to Euro 647,022, therefore positive;
2. result of the recurrent activities from 1 July 2007 to 30 June 2008 was equal to Euro 1,380,691, therefore positive;
3. gross operating result from 1 July 2007 to 30 June 2008 was equal to Euro 2,057,647, therefore positive;
4. the relationship between PFN consolidated at 30 June 2008 and the gross operating result from 1 July 2007 at 30 June 2008 was equal to 3.08.
