0QW7 Voltalia Sa

2024 FULL YEAR RESULTS

EBITDA and capacity target achieved 

SPRING transformation plan: strategic review underway

2024 Results

• Turnover: +10% to 547 million euros, driven by +20% growth in Energy Sales
• EBITDA target achieved in line with August¹ announcement, at 215 million euros, after curtailment impacts, down -11% compared with 2023. Without this impact, EBITDA would have grown by +6%
• Net loss (group share) of 20.9 million euros, mainly due to the impact of the curtailment in Brazil and the decrease in value of solar panel stock in the Equipment Procurement activity

Growth in operational indicators to December 31, 2024

• Achieving of capacity target in operation and construction, at around 3.3 gigawatts (+14% vs. 2023), of which 2.5 gigawatts in operation (+6%). Continued geographical rebalancing, with 51% in Latin America (57% in 2023), 38% in Europe (35%) and 11% in the rest of the world (8%)
• Average remaining duration of power sales contracts of 16.4 years, representing future contracted sales of 8.1 billion euros
• Portfolio of projects under development at 17.4 gigawatts (+5% vs. 2023), with a focus on maturation
• Capacity operated for third-party clients at 6.5 gigawatts, up +41% vs. 2023

SPRING Transformation Plan: progress report on strategic business review

• Voltalia has commissioned specialist consultancy firm Kearney to support initial diagnostic phase
• A strategic review of Voltalia's activities is currently underway, with the aim of creating sustainable conditions for profitable growth aligned with the company's mission
• This first phase should be finalized in June. Its conclusions, together with the action plan for implementing the transformation plan, will be presented at the time of the first-half 2025 results presentation

2025 Operational elements

• Capacity in operation and under construction of around 3.6 gigawatts (+10% compared with 2024) including around 3 gigawatts in operation (+20%) with most of the commissioning at the end of 2025
• Production around 5.2 terawatt-hours (+10%)

Voltalia (Euronext Paris, code ISIN: FR0011995588), an international player in renewable energy, today publishes its consolidated annual results for the year ended December 31, 2024. The financial statements, which are currently being audited, were approved by the Board of Directors at its meeting on March 12, 2025.

“Operating growth in 2024 remained solid. Thanks to the commitment of our teams and the quality of our assets, we continued to make progress in terms of production as well as operating and construction capacities, thus achieving our EBITDA target, in line with our August announcements, after the impact of the curtailment. The latter remains a point of vigilance that we are monitoring closely. We are actively pursuing our efforts to obtain compensation and minimize its impact in the future. In addition, the SPRING transformation plan, launched as soon as I arrived, is moving forward. The diagnostic phase is underway, and its conclusions, expected in the next few months, will mark the start of its implementation”, comments Robert Klein, Chief Executive Officer of Voltalia.

***

Voltalia will comment its annual results for 2024 and its short and medium-term plan at an information meeting to be held today at 8:30a.m. Paris time.
The meeting will be broadcast as a live video webcast. Full connection details are available on our website: https://www.voltalia.com/investor-relations

KEY FIGURES

2024 turnover amounts to 546.6 million euros, up +10% (+14% at constant exchange rates). Energy Sales and Services account respectively for 66% and 34% of the 2024 turnover.

• Turnover from Energy Sales amounts to 359.4 million euros, up +20% (+25% at constant exchange rates).
• Turnover from Services for third-party clients amounts to 187.2 million euros, down -4% (at current and constant exchange rates).

EBITDA comes to 215.1 million euros, down -11%. It benefits from the +12% growth in Energy Sales (+15% at constant exchange rates), despite curtailment. On the other hand, the sharp drop in the volume of projects sold in 2024 compared with 2023 (more than 800 MW sold) led to a drop in services of -75% (-74% at constant exchange rates).

Net income, Group share, shows a loss of 20.9 million euros, compared with a gain of 29.6 million euros in 2023, mainly due to the impacts of the curtailment in Brazil and the decrease in value of solar panel inventories in the Equipment Procurement segment.

REVIEW OF ACTIVITIES

Energy Sales

Production reaches 4.7 TWh, up +9%, from 4.3 TWh in 2023, representing the electricity consumption of the equivalent of 5.4 million people. The increase in production despite the curtailment in Brazil reflects the growth in capacity in operation, which has risen by +6% since 2023, from 2,370 MW to 2,514 MW, and the full-year effect of plants commissioned in 2023.

In addition, capacity under construction rises by +262 MW (+55%) to 742 MW, including +469 MW launched in construction over the year (+81%).

As a result, by the end of 2024, total capacity in operation and under construction increases by +406 MW (+14%) to 3,256 MW. It is characterized by a geographical rebalancing: 51% in Latin America (from 57% in 2023), 38% in Europe (35%) and 11% in the rest of the world (8%).

Turnover from Energy Sales amounts to 359.4 million euros, up sharply by +20% (+25% at constant exchange rates) thanks to higher electricity production and the contractual indexation of sales prices to inflation. Turnover mainly comes from the long-term power sales contracts, to which 98% of power plants in operation are linked.

• The weighted average remaining term of all these contracts is 16.4 years, representing 8.1 billion euros of future sales under contract.
• 71% of 2024 turnover from long-term power sales contracts is contractually indexed to inflation.

This data illustrates Voltalia's investment strategy. Voltalia favors securing a portfolio backed by long-term contracts with indexation clauses, rather than exposing itself to the risk of medium-term spot prices and inflation. After developing the projects that meet the above-mentioned criteria, Voltalia continues to arbitrate between retaining or selling the projects to third parties, adding construction and maintenance services, and retaining only those projects that meet strict profitability criteria, thereby enhancing Voltalia's portfolio.

EBITDA generated by Energy Sales rises by +12% (+15% at constant exchange rates) to 217.6 million euros, mainly supported by inflation indexation clauses and the contribution of new power plants, some of which benefited from high prices during the first months of operation (Karavasta in Albania).

EBITDA margin of 61% down -4 points reflects, as announced², the one-off impact of the curtailment in 2024.

Services³

Turnover from Services for third-party clients comes to 187.2 million euros, down -4% at current and constant exchange rates.

EBITDA generated by the Services business, after elimination of internal margins reaches 15.6 million euros.

• EBITDA for the Development, Construction and Equipment Procurement for third-party clients reports a -77% drop in EBITDA to 13.8 million euros. While EBITDA from Construction posts strong growth of +28%, thanks to new contracts, notably in Ireland, the segment's EBITDA was down mainly due to (i) lower project sales to third-party customers, following the sale of over 800 MW of projects in 2023, and (ii) the sharp drop in activity in Procurement Equipment due to the fall in solar panel prices, which has continued to weigh on contract volumes over the past two years.

• EBITDA for the Operation and Maintenance segment for third party clients shows EBITDA falls by -27% to 1.8 million euros, mainly due to the reduction in 2024 of additional services to long-term contracts (subsidiary Greensolver). On the other hand, a large number of contracts were signed this year, notably in Spain and Brazil, bringing the capacity operated on behalf of third parties to 6.5 GW (up +41%).

OTHER ITEMS OF THE INCOME STATEMENT

Corporate items are up +14% to -18.1 million euros (+15% at constant exchange rates), due to IT investments.

Consolidated EBITDA amounts to 215.1 million euros, down -11% (-8% at constant exchange rates), representing an EBITDA margin of 39%, compared with 49% in 2023.

Depreciation, amortization, and provisions amount to 125.6 million euros, up +21% (+24% at constant exchange rates). The increase comes mainly from decrease in value of (+13.1 million euros) related to the stock of solar panels in the Equipment Procurement activity and for (+8.8 million euros) from power plants commissioned in 2024 and the full-year effect of power plants commissioned in 2023.

Other non-current income and expenses amount to -21.1 million euros. The increase of +2.9 million euros is mainly due to the review and rationalization of projects under development.

The net financial result amounts to 74.8 million euros, up +29% (+37% at constant exchange rates), including the cost of financial debt of 128 million euros, increasing by +31 million euros due mainly to growth in the portfolio of power plants in operation (+144 MW) and assets under construction (742 MW). The overall average financing cost of consolidated debt stands at 6.1%, compared with 5.9% at the end of 2023, mainly due to (i) higher base rates on short-term drawings on revolving facilities and (ii) higher swap rates on new project financing than the historical average. However, the latter increase was absorbed by upward negotiations on electricity sales prices for the corresponding assets. Margins on loans remained stable overall.

Income tax expense is divided by 3 compared with 2023, mainly due to (i) the lower tax charge on projects sold compared with last year (more than 800 MW divested); and (ii) the recognition by the Jordanian tax authorities of deferred tax income generated by accelerated depreciation, in 2023.

Net result, Group share shows a loss of 20.9 million euros, compared to a gain of 29.6 million euros in 2023, mainly due to the impact of the curtailment in Brazil and the decrease in value of solar panel inventories in the Equipment Procurement activity.
  

SIMPLIFIED CONSOLIDATED BALANCE SHEET

The balance sheet at the end of 2024 reaches nearly 4 billion euros, an increase of +4%.

Tangible and intangible fixed assets amount to 3,063 million euros. The increase of +213 million euros (+7%) mainly reflects the growth in the portfolio of power plants under construction, in France (including French Guiana), the United Kingdom, South Africa, Albania, Uzbekistan and Brazil, as well as Helexia's solar rooftops in Europe and Latin America.

Cash and cash equivalents stand at 360 million euros, an increase of +41 million euros.

Other current and non-current assets amount to 538 million euros, down -111 million euros, mainly due to trade receivables linked to the high volume of sales by the Development segment at the end of 2023 and collected at the beginning of 2024, as well as to lower inventories.

The equity, group share amounts to 1.1 billion euros, down by -202 million euros, mainly due to the net assets in Brazil valued at a lower Brazilian real exchange rate than in 2023 and to the recognition of the net result (Group share).

Financial debt amounts to 2.3 billion euros, up +21%, reflecting the growth of the power plant portfolio (project debt backed on each project thanks to secured long-term Energy Sales contracts), resulting in a debt ratio⁴ of 62%. In 2024, the company finalized the syndication of a new credit facility for 324 million euros. 89% of financial debt is at fixed, hedged or inflation-indexed rates. It is 67% denominated in euros and 26% in Brazilian reals.

Other current and non-current liabilities amount to 489 million euros, down -7%, mainly due to a reduction in trade payables, notably to suppliers of equipment and services involved in the construction of power plants commissioned in 2024.

KEY INDICATOR EVOLUTION

Remaining duration of electricity sales contracts 16.4 years
Voltalia announces today that its long-term visibility remains very high, with the average remaining term of its power sales contracts reaching 16.4 years at the end of 2024, with 8.1 billion euros of future revenues under contract.

Portfolio of projects under development at 17.4 GW
Voltalia announced today that its portfolio of projects under development, intended to be retained or sold with construction and maintenance services, stood at 17.4 GW at the end of December 2024, up +5% vs. 2023. Illustrating the Group's strategy of geographic rebalancing, 37% of this portfolio is located in Europe, 39% in Latin America and 24% in Africa. In terms of technology, solar is in the majority at 63%, wind at 27% and other technologies at 10%.

RECENT ANNOUNCEMENTS

In Uzbekistan, a 526 MW Power Sales Agreement signed for the Artemisya Project⁵
This agreement covers the Artemisya project, located in the Bukhara region. The project combines 126 MW of solar, 300 MW of wind, and 100 MW / 200 MWh of battery storage. The agreement was signed under the auspices of the Uzbek Ministry of Energy and the Ministry of Investment and Foreign Trade. The project is set to begin its construction phase in the first quarter of 2026 for the solar and storage components, and in the third quarter of 2026 for the wind component.

Voltalia strengthens its governance with the appointment of a Deputy CEO⁶
Following the recent arrival of its new CEO, Robert Klein, Voltalia has reorganized its governance around a new seven-member Executive Committee and appointed Yoni Ammar Deputy CEO. He is in charge of development, production and energy sales for the Europe⁷, Latin America, Africa and International regions.

Update on the Brazilian power grid
The evolution of production curtailment in Brazil in 2024 was in line with initial estimates, reaching 876 GWh⁸ over the year (i.e. 21% of Brazilian generation and 16% of total generation). The improvement observed at the end of the year is the result of measures put in place by the Brazilian grid operator, notably a more balanced distribution of balancing between the various substations and the commissioning of a new transmission line to reinforce the grid. Voltalia remains confident of a favourable outcome, in the medium term, to the legal and contentious actions undertaken to obtain compensation. For 2025, with the improvement in the curtailment situation, forecasts anticipate a clear reduction in curtailment compared to 2024 and take into account a curtailment assumption for Brazilian annual production in 2025 of around 10% (21% in 2024)⁹.

Construction of a 20 MW solar power plant in Colombia¹⁰
With a total capacity of 19.7 megawatts, the Los Venados project will be powered by over 33,000 solar panels. The project is backed by a 15-year contract dedicated to private-sector buyers. Commissioning is scheduled for the first quarter of 2026.

Redemption of green convertible bonds (OCEANEs Vertes)¹¹
With an initial amount of 200 million euros in January 2021¹², then increased to 250 million euros in July 2022¹³, Voltalia redeemed its bonds in full, in cash, on January 13, 2025.

Voltalia awarded “Top-Rated Industry” distinction by Sustainalytics¹⁴
With an ESG score of 15, Voltalia ranks among the top 6% of companies in the Utilities industry, occupying 34th place out of 644 companies. In the renewable energies sub-sector, Voltalia ranks 14th out of 88, confirming its leadership in ESG risk management.

2024 OBJECTIVES ACHIEVED IN LINE WITH LATEST ANNOUCEMENTS
Capacity in operation and under construction reaches 3.3 GW, with 2.5 GW in operation by the end of 2024, in line with announced targets.
EBITDA reaches 215 million euros, after the impacts of curtailment (40 million euros), in line with the Group's latest announcements¹⁵. Excluding this impact, EBITDA would have grown by +6%.

SPRING TRANSFORMATION PLAN: UPDATE ON THE STRATEGIC REVIEW OF CURRENT ACTIVITIES
Driven by Robert Klein, Voltalia's Chief Executive Officer since January 1, 2025, the Group has initiated a strategic review of its activities in order to define and deploy from 2025 a transformation plan called SPRING¹⁶ aimed at creating sustainable conditions for profitable growth aligned with its mission.
Preliminary work on the first diagnostic phase has begun, with the support of Kearney, a specialized consulting firm with expertise in business transformation. The schedule has also been defined.

• The assessment and synthesis of a diagnosis will continue throughout the first half of 2025. 
• The conclusions of this first phase will be unveiled at the time of the half-yearly results presentation, along with a detailed roadmap for implementing the recommendations resulting from the diagnosis. This roadmap, whose first benefits are expected as early as 2025, will serve as a guide to ensure effective and structured implementation of the recommended actions.

Voltalia points out that the various scenarios considered as part of this plan do not question the previous medium-term trajectory¹⁷.

OPERATIONAL TARGETS 2025
Voltalia announces today, its operational targets for 2025, which anticipate a further increase in capacity and in its Energy Sales activity.  

• Capacity in operation and under construction of around 3.6 GW (+10% compared with 2024) including around 3 GW in operation (+20%) with most of commissioning at the end of 2025
• Production of around 5.2 TWh (+10%), including a curtailment assumption of 10% in Brazil’s production (compared with 21% in 2024)

UPCOMING EVENTS:

• • • Q1 2025 turnover, April 29, 2025 (after close of trading)
    • Annual General Meeting, May 15, 2025

PROSPECTIVE STATEMENTS

This press release contains forward-looking statements. These statements are not historical facts. These statements include projections and estimates and their underlying assumptions, statements regarding plans, objectives, intentions and expectations with respect to future financial results, events, operations, services, product development and potential, and statements regarding future performance. These forward-looking statements may often be identified by the words "expect", "anticipate", "believe", "intend", "estimate" or "plan", as well as by other similar words. Although Voltalia's management believes that these forward-looking statements are reasonable, investors are cautioned that forward-looking statements are subject to numerous risks and uncertainties, many of which are difficult to predict and generally beyond Voltalia's control, that could cause actual results and events to differ materially from those expressed in, or implied or projected by, the forward-looking information and statements. These risks and uncertainties include, among others, the uncertainties inherent in the evolution of the selling price of electricity produced by Voltalia, the evolution of the regulatory environment in which Voltalia operates as well as the competitiveness of renewable energies and other factors that may affect the production capacity or profitability of Voltalia's production sites as well as those developed or identified in Voltalia's public filings with the Autorité des marchés financiers including those listed in section 2.2 "Risk Factors" of Voltalia's 2023 Universal Registration Document filed with the Autorité des marchés financiers on April 12, 2024. Voltalia undertakes no obligation to update any forward-looking information or statements, except as required by law.

Capacity in operation as of December 31, 2024

Capacity under construction as of December 31, 2024

Production as of December 31, 2024

Consolidated income statement (unaudited)

Turnover and EBITDA from Services (by segment)

Consolidated balance sheet (unaudited)

Cash flow statement

¹ August 19, 2024 press release.
² August 19, 2024 press release.
³ Services: Services to third party clients.
⁴ Net debt / (net debt + equity)
⁵ March 11, 2025 press release.
⁶ March 10, 2025 press release.
⁷ Excluding France, Overseas France and Portugal.
⁸ January 29, 2025 press release. 
⁹ Consensus statement of February 19, 2025: equity analysts' forecasts.
¹⁰ January 14, 2025 press release.
¹¹ January 20, 2025 press release.
¹² January 6, 2021 press release.
¹³ July 26, 2022 press release.
¹⁴ February 12, 2025 press release.
¹⁵ August 19, 2024, press release of the 2024 Half Year results, as well of the 3rd and 4th quarter press releases.
¹⁶ January 29, 2025 press release.
¹⁷ 2027 targets: press release of the 2023 Full Year results on April 2, 2024.

Attachment

• 2024 FULL YEAR RESULTS

Voltalia (LSE:0QW7)
Historical Stock Chart
From Feb 2025 to Mar 2025

Voltalia (LSE:0QW7)
Historical Stock Chart
From Mar 2024 to Mar 2025