2G Energy continues to post strong growth abroad

2G Energy continues to post strong growth abroad

• Sales revenues in Q3 increase by 11.3% to EUR 86.7 million (PY: EUR 77.6 million)
• Total output rises significantly by 12.9% to EUR 90.9 million (PY: EUR 80.5 million)
• As of the end of September, EBIT stands 10.7% above the previous year (EUR 9.0 million, PY: EUR 8.1 million)
• 2G’s business model proves to be robust and resilient in the US market

Heek, 19 November 2024 - 2G Energy AG (ISIN DE000A0HL8N9), one of the world’s leading manufacturers of Combined Heat and Power (CHP) systems and a producer of heat pumps, is maintaining its international growth, particularly outside Western Europe. This trend is underlined both by the order intake in the first half of the fourth quarter and invoiced orders from the third quarter.

Sales revenues in Q3 up 11.3% to EUR 86.7 million (PY: EUR 77.6 million)

Revenue from CHP systems increased year on year by 12.9% in the third quarter. With respect to large heat pumps, marketing on an industrial scale is only just ramping up, particularly in Germany. As expected, there were therefore no significant deliveries or final invoices in Q3. The service business expanded by 10.7%.

Output rises significantly by 12.9% to EUR 90.9 million (PY: EUR 80.5 million)

The exceptionally high order intake reported in the third quarter (cf. CN dated 10 October 2024) in conjunction with increasing deliveries resulted in significantly higher utilization of production capacity as from the end of August. By the end of the summer holidays, output had risen sharply with the result that total operating revenue relative to the entire quarter exceeded output of the previous year by  12.9% to EUR 90.9 million (PY: EUR 80.5 million). 

As of the end of September, EBIT stands 10.7% above the previous year (EUR 9.0 million, PY: EUR 8.1 million)

In cumulative terms, EBIT as of the end of September exceeds the previous year by 10.7% (EUR 9.0 million, PY: EUR 8.1 million). In the third quarter itself, EBIT was up 23.0% over the same quarter in the previous year (EUR 4.9 million, PY: EUR 4.0 million). Material prices continue to normalize, and 2G is increasingly succeeding in restoring the traditional ratio of input prices to its own list prices.

2G’s business model proves to be robust and resilient in the US market

Any additional import duties will have little impact on the profitability of CHP systems. Over the life cycle of a CHP system, the operating costs are much more significant than the acquisition costs, especially as a significant proportion of the acquisition costs originate in the USA.

Moreover, there are no manufacturers of the relevant CHP performance classes that manufacture in the USA, while at the same time, additional power plant capacity is urgently required in the short term.

2G company portrait
The 2G Energy AG Group is an internationally leading manufacturer and system provider of decentralized energy supply systems. The company develops, produces and installs comprehensive solutions in the structurally growing market for highly efficient CHPs, large heat pumps and peak-load gensets. Digital grid integration and plant control for these types of energy generators, as well as service and maintenance, are further decisive performance criteria.

The product portfolio comprises three types of energy generation: CHP plants in the output range from 20 kW to 4,500 kW for operation with hydrogen, natural gas, biogas and other lean gases, large heat pumps in the range from 100 kW to 2,6000 kW as well as peak-load gensets with an electrical output of 500 kW or more. CHP plants operate with efficiencies of 90 percent and more, while large heat pumps achieve efficiencies of 300 to 500 percent, depending on the general conditions. With its products and services, 2G is at the interface to a decentralized, secure and largely decarbonized energy supply. More than 9,000 2G systems have already been installed worldwide in various applications, supplying electrical and thermal energy to a wide range of customers from the housing industry, agriculture, commercial and industrial companies, energy suppliers, municipal utilities and local government authorities.

2G is positioned worldwide as a system provider for decentralized energy solutions with its combination of CHP plants, peak-load gensets and large heat pumps. The company benefits from far-reaching synergies of these plant categories, ranging from project development, procurement, production and the predominantly containerized design to the largely identical customer base and regulatory framework as well as sales channels and digital control and service.

2G is consistently expanding its technological leadership through continuous research and development work, both in power plant and pump technologies as well as in specific software development for service and maintenance activities. The digital grid integration consistently implemented by 2G is an indispensable, system-relevant element in the future electricity market design and represents a high market entry hurdle for competitors. The sector coupling required for the success of the energy transition is reflected in 2G's portfolio.

2G employs more than 900 employees at its headquarters in Heek, Germany, in North America, as well as at five other European locations. The company is active in more than 50 countries and generated net sales of EUR 312.6 million in the 2022 financial year. 2G was founded in 1995. The shares of 2G Energy (ISIN DE000A0HL8N9) have been listed on the stock exchange market since 2007 and are included in the “Scale” segment of the Frankfurt Stock Exchange and listed in the Scale30 index.

Calendar 2024/2025
November 25-26        German Equity Forum, Frankfurt
February 05               Hamburger Investoren Tage (HIT), Hamburg
February 27               Announcement of preliminary net sales 2024
April 01                      Preliminary results for FY 2024, 2025 guidance
April 03                      Metzler Small Cap Days, Frankfurt
April 28                      Consolidated financial statements for FY 2024
May 12-13                 Spring Conference, Frankfurt
May 22                      Q1 key figures and business trends
June 12                     Ordinary AGM, Ahaus
September 04           Consolidated financial statements for H1 2025
November 24            Q3 key figures and business trends
November, 24-25      German Equity Forum, Frankfurt

IR contact
2G Energy AG
Benzstrasse 3, 48619 Heek
Phone: +49 (0) 2568 93 47-2795
Fax: +49 (0) 2568 93 47-15
Email: ir@2-g.de
Internet: www.2-g.de