TIDM44ZX
Orsted A/S
29 April 2022
Interim report for the first three months of 2022
Strong operational and financial results and continued strategic
progress with full year EBITDA guidance reiterated .
Today, Ørsted's Board of Directors approved the interim report
for the first three months of 2022.
Our operating profit (EBITDA) totalled DKK 9.4 billion, an
increase of DKK 4.6 billion compared to Q1 2021. The gain from the
50 % farm-down of Borkum Riffgrund 3 amounted to DKK 1.6 billion.
EBITDA excluding new partnerships amounted to DKK 7.8 billion, DKK
3.0 billion higher than in the same period last year.
Net profit amounted to DKK 5.7 billion and return on capital
employed (ROCE) came in at 19 %.
We reiterate our full-year EBITDA guidance of DKK 19-21 billion.
Our EBITDA guidance does not include earnings from new partnerships
during the year, which means that the gain from the Borkum
Riffgrund 3 farm-down in Q1 2021 and the farm-down of Hornsea 2,
expectedly during H2 2022, is excluded from our full-year
guidance.
We also reiterate our full-year gross investment guidance of DKK
38-42 billion.
Mads Nipper, Group President and CEO of Ørsted, says in a
comment to the interim financial report for the first three months
of 2022:
"I'm very pleased with our start to the year. We managed to
achieve strong operational and financial results and continued
strategic progress in the first quarter of 2022. We reported an
EBITDA of DKK 9.4 billion, almost doubled compared to the same
period last year.
The continued very high power prices had a significant opposite
impact on our financial performance in our Offshore and Bioenergy
businesses. In Offshore, we had a negative impact due to later than
expected commissioning of turbines at Hornsea 2, which led us to
being overhedged. In contrast, we fully benefited from the high
power prices on our power generation at our CHP plants. At Group
level, these effects to a large degree offset each other during the
quarter.
We have successfully achieved first power at Greater Changhua 1
& 2a, and the wind farm is on track to be commissioned during
H2 2022. At Hornsea 2, the largest offshore wind farm in the world,
we have successfully installed all foundations, array cables, and
wind turbines. However, the commissioning of the individual wind
turbines has been progressing slower, and the ramp-up profile has
been delayed compared to our internal expectations at year-end. We
are now electrifying and waiting for all wind turbines to pass the
final tests before commissioning the wind farm, expectedly during
summer.
Our US onshore business also delivered very strong results in
the first quarter. However, we see delays on the construction of
the solar PV farm Old 300 and the solar part of the Helena Energy
Center project due to continued challenges in the solar panel
supply chain.
In March, we signed a landmark green fuels letter of intent
(LoI) with Maersk. In the agreement, we will develop an e-methanol
facility on the US Gulf Coast with the aim to fuel Maersk's newly
ordered fleet of 12 methanol-powered vessels. With a capacity of
300,000 tonnes/year, it is expected to be the largest e-methanol
facility in the world when commissioned.
In Q1 2022, we signed an agreement to farm-down 50 % of Hornsea
2 and we completed the 50 % farm-down of Borkum Riffgrund 3. These
key partnerships are a strong testament to the attractiveness of
our offshore assets, and we look forward to working together with
our partners on these projects.
We have signed an agreement with Repsol to jointly identify and
develop floating offshore wind projects in Spain. This marks our
first entry into the Spanish market, following the Spanish
government's announcement that they aim to install up to 3 GW of
floating offshore wind by 2030. Repsol and Ørsted have an ambition
of jointly becoming a leading developer in Spanish offshore wind by
combining their complementary strengths.
We remain deeply concerned about the Russian aggression against
Ukraine. We are taking every step possible to stop our cooperation
with Russian companies, including ceasing all sourcing of biomass
and coal for our power stations. Ørsted rejects the claim from
Gazprom Export to pay in roubles for the gas delivered. Gas is not
a core business for Ørsted, and we are not entering into new
long-term contracts or extending our current contracts. If we make
a net profit from the Gazprom Export contract in 2022 it will be
donated to humanitarian aid in Ukraine.
We welcome the EU's focus to stop its dependence on Russian oil
and gas and speed up the green transformation of EU's energy
sector, and we are ready to help drive the accelerated green
build-out."
Financial key figures for Q1 2022:
DKK million Q1 2022 Q1 2021 %
================================= ======== ================== ========
EBITDA 9,429 4,863 94 %
- New partnerships 1,610 - n.a.
- EBITDA excl. New partnerships 7,819 4,863 61 %
Profit (loss) for the period 5,701 1,598 257 %
Cash flow from operating
activities (37) 8,087 n.a.
Gross investments (6,832) (6,665) 3 %
Divestments 1,927 (31) n.a.
Free cash flow (4,942) 1,391 n.a.
Net interest-bearing debt 30,026 13,190 128 %
FFO/adjusted net debt 25 % 59 % (34 %p)
ROCE 19 % 7 % 12 %p
================================= ======== ================== ========
For further information, please contact:
Media Relations Investor Relations
Martin Barlebo Rasmus Keglberg Hærvig
+45 99 55 95 52 +45 99 55 90 95
Earnings call
In connection with the presentation of the annual report, an
earnings call for investors and analysts will be held on Friday, 29
April 2022 at 14:00 CEST.
Denmark: +45 78 15 01 10
The UK: +44 333 300 9261
The US: +1 646 722 4956
The earnings call can be followed live at:
https://edge.media-server.com/mmc/p/gk6ha8rm
Presentation slides will be available prior to the earnings call
at:
www.orsted.com/en/investors/ir-material/financial-reports-and-presentations#0
The interim report is available for download at:
www.orsted.com/en/investors/ir-material/financial-reports-and-presentations#0
Attachments to this company announcement:
http://www.rns-pdf.londonstockexchange.com/rns/8477J_2-2022-4-29.pdf
http://www.rns-pdf.londonstockexchange.com/rns/8477J_1-2022-4-29.pdf
http://www.rns-pdf.londonstockexchange.com/rns/8477J_3-2022-4-29.pdf
This information is provided by Reach, the non-regulatory press
release distribution service of RNS, part of the London Stock
Exchange. Terms and conditions relating to the use and distribution
of this information may apply. For further information, please
contact rns@lseg.com or visit www.rns.com.
Reach is a non-regulatory news service. By using this service an
issuer is confirming that the information contained within this
announcement is of a non-regulatory nature. Reach announcements are
identified with an orange label and the word "Reach" in the source
column of the News Explorer pages of London Stock Exchange's
website so that they are distinguished from the RNS UK regulatory
service. Other vendors subscribing for Reach press releases may use
a different method to distinguish Reach announcements from UK
regulatory news.
RNS may use your IP address to confirm compliance with the terms
and conditions, to analyse how you engage with the information
contained in this communication, and to share such analysis on an
anonymised basis with others as part of our commercial services.
For further information about how RNS and the London Stock Exchange
use the personal data you provide us, please see our Privacy
Policy.
END
NRAILMFTMTJTMIT
(END) Dow Jones Newswires
April 29, 2022 02:45 ET (06:45 GMT)
Orsted 40 (LSE:44ZX)
Historical Stock Chart
From Nov 2024 to Dec 2024
Orsted 40 (LSE:44ZX)
Historical Stock Chart
From Dec 2023 to Dec 2024
