Grenevia Group summarised the first half of 2024
In the first half of 2024, the Grenevia Group achieved revenues of PLN 922 million, according to IFRS. EBITDA amounted to PLN 244 million and net profit for the period was PLN 52 million.
Grenevia Group's revenues in the first half of 2024 were higher than in the same period last year by PLN 158 million. This growth is the result of increased revenues in all business segments of the Group. EBITDA increased by 7 per cent year-on-year, to PLN 244 million. The Grenevia Group's net profit in the first half of 2024 amounted to PLN 52 million. A decrease in net debt was also reported.
The Grenevia Group continued to focus on the development of its four business segments, resulting in an increase in operating income in each of them. Our priority remains to create value across all segments, with a focus on supporting the transformation towards a low-carbon economy.
Beata Zawiszowska, CEO of Grenevia SA
The Grenevia Group is an active investor integrating and growing its business in four segments: large-scale photovoltaics, wind energy and energy storage ("RES") concentrated in the Projekt Solartechnik Group; battery systems for e-mobility and energy storage ("e-mobility") as Impact Clean Power Technology SA; modern solutions for the energy distribution sector ("power industry") within Elgór+Hansen SA; and solutions for the mining and wind energy sector under the FAMUR brand. These business segments have operational and financial autonomy. Grenevia SA is headed by Grenevia Holding, an operationally separate part of the company, which is responsible for raising external financing for its own needs, allocating capital between segments, providing financial support to segments in various forms for their development and performing management and supervisory functions.
The Grenevia Group is consistently implementing its Sustainability Strategy in business operations. The 2023-2030 document has been adopted in all of the Group's market segments. After the first half of 2024, 62% of the Grenevia Group's revenue (including revenue from the sales of photovoltaic farms) originated from sources other than the steam coal segment.
Summary of Grenevia Group segments activity in H1 2024
Revenues of the FAMUR segment in the first six months of this year amounted to PLN 591 million, i.e. PLN 29 million more than in the same period last year, an increase of 5 per cent. The increase in revenue translated into a PLN 6 million improvement in gross profit from sales to PLN 233 million. EBITDA increased by PLN 11 million – to PLN 257 million.
On 1 February 2024, FAMUR Gearo was created within the structure of the FAMUR segment, based on the resources and assets of the existing FAMUR Machinery division. FAMUR Gearo focuses all activity related to complex solutions for wind power and the production of gearboxes for various industrial applications. The creation of FAMUR Gearo is the result of consistent operations in the area of wind energy. In H1 2024, this included the overhaul and servicing of further gearboxes, as well as the acquisition of new orders and customers in this area. Together with the subsidiary Total Wind PL, after the integration phase of this company within the segment was completed, comprehensive proposals for the replacement and refurbishment of wind gearboxes were presented. Total Wind PL further developed its order portfolio and customer diversification in wind turbine installation services.
In the first half of 2024, the process of divestment of the FAMUR assets held in Russia was completed, resulting in the conclusion of an agreement for the sale of 100 per cent of the shares of OOO Famur on 23 January 2024 and the complete withdrawal of the FAMUR segment from the Russian market.
Due to significant changes in the Kazakhstan market, including ownership changes at the largest customer in this market, it was decided to initiate a divestment process for its subsidiary in this country, TOO Famur Kazakhstan. The sale of the company was closed on 20 June this year. At the same time, we would like to inform you that the FAMUR segment will continue to offer its products to the market in Kazakhstan.
The revenues of the RES segment in the first half of 2024 reached PLN 41 million. This is an increase of PLN 2 million, or 5 per cent, on the comparable period of 2023. Revenues from the sale of electricity from RES in H1 2024 increased to PLN 37 million. In addition, PLN 186 million of revenue was generated from the sale of photovoltaic farms categorised as fixed assets.
At the end of June 2024, the estimated total capacity of photovoltaic projects in the RES segment's portfolio in the Polish market, at various stages of development, increased by approximately 0.6 GW relative to the end of 2023 and amounted to approximately 4.8 GW, of which 192 MW of PV farms capacity was connected to the power grid. At the end of the first half of 2024, the RES segment held more than 1.2 GW of total PV projects capacity in the Polish market with connection conditions, while the number of connection conditions held for energy storage and wind power amounted to more than 1.8 GW and 0.1 GW respectively.
Revenues of the power industry segment in the first half of 2024 reached PLN 99 million. Gross profit on sales for the six months of 2024 amounted to PLN 27 million, an increase of 12 million, corresponding to an 80 per cent increase compared to the first half of 2023. Operating profit increased by PLN 8 million on the comparable period, to PLN 15 million. As a result of the increase in revenue, EBITDA for the six-month period of 2024 improved by PLN 11 million.
The revenues in the e-mobility segment in the first half of 2024 reached PLN 207 million. EBITDA in the period reached a level of profitability against the loss of PLN 14 million recorded in the comparable period last year. Export sales within the segment amounted to 41 per cent and were made entirely within Europe.
The first half of this year saw the completion of the investment in GigafactoryX and the start-up of a new, highly automated production line. It is scheduled to be fully operational in the third quarter of 2024. The new line will enable improving the quality of the batteries produced, increasing ICPT production capacity from 0.6 GWh to 1.2 GWh in 2024 and ultimately to as much as 4 GWh, in line with the demand dynamics.