Read the press release in PDF format here (in Italian)
REDELFI APPROVES UPDATE OF BUSINESS PLAN 2023-2026 93% GREEN effect AND 69% EBITDA MARGIN AT END OF PLAN
Milan, Dec. 11, 2023
The Board of Directors of Redelfi S.p.A. (“Redelfi” or the “Company”), a company heading the industrial group of the same name with its operational headquarters in Genoa – engaged in the development of innovative and sustainable infrastructure projects to facilitate the energy transition, and listed on the Euronext Growth Milan segment of the Italian Stock Exchange – today approved the update of the Industrial Plan 2023-2026 (hereinafter the “Updated Plan 2023-2026”).
In the coming years, the Group’s activities will be focused on the expansion of the Green BU, and particularly the development of stand-alone Battery Energy Storage System (“BESS”) projects both in the U.S. and in Italy. In fact, while the CAGR on total sales in the 2023-2026 Updated Plan is about 50%, that of the Green BU alone is 57%.
The 2023-2026 Updated Plan is essentially based on five drivers: achieving BESS Power Corporation’s target of 2.4 GW, increasing Redelfi’s presence in the U.S. market by an additional 2 GW, completing the first Italian pipeline with a total capacity of about 1 GW (ref. press release of Oct. 30, 2023), developing a second Italian pipeline with a total capacity of 2.8 GW, and creating Renewable Energy Communities (“RECs”) in Italy.
Comparing the 2023-2026 Updated Plan with the previously shared 2022-2026 Business Plan (ref. press release of November 2, 2022) (hereafter the “2022-2026 Plan”), an increase in business volume and profitability is evident as early as 2023 and especially a major increase in EBITDA, which will already register a positive change of more than 120% in 2024 compared to what was previously assumed. This significant increase in projections is mainly the result of the sudden growth of the Green BU, which in the current fiscal year has acquired a key role in the Redelfi Group’s industrial strategy and will therefore bring in higher margins than those derived from the other business units. Specifically, the effect of the Green BU will reach 93% of consolidated sales in 2026, with an overall consolidated EBITDA margin of about 69%, more than 10 points higher than in the 2022-2026 Plan.
In the coming years, in fact, Redelfi intends to strengthen its presence in the U.S. territory with the development of an additional pipeline of BESS projects and to start developing in the Italian market, which is the main novelty of the 2023-2026 Updated Plan, with the expectation of developing two different pipelines for a total capacity of 2.8 GW and 1 GW, respectively. The implementation and operation of Renewable Energy Communities (“RECs”) in Italy remains an objective reflected in the 2023-2026 Updated Plan; however, pending the issuance of the Implementing Decree that will regulate the incentive mechanisms, the Group has deemed it appropriate to postpone the operation to the years 2025-2026.
The MarTech BU will have a decreasing impact on the Group’s revenues, while still bringing in linear revenues from IT consulting activities, which became predominant in the BU during the current fiscal year. Precisely because of the recurring and ongoing nature of this activity, the development and launch of the two products Jarions and Adest are no longer reported in the Updated Plan 2023-2026; they will be implemented in the future, only through collaborations with specialized partners.
The GreenQuest project, an objective of the Greentech BU, included in the 2022-2026 Plan, has been suspended in order to focus the Group’s resources on the implementation of the Green BU.
The 2023-2026 Updated Plan includes achieving the following economic and financial parameters:
Davide Sommariva, Chairman of Redelfi’s Board of Directors commented, “We are very proud to have fulfilled the commitment made last year with the market and to present an update of the Business Plan today that reports even more ambitious targets, in line with the Company’s strategy, which also forecasts better results for 2023 than assumed in November 2022. The key events that enabled Redelfi to accelerate its business in such a short time were numerous, and among them certainly the entry into the Italian BESS market – which has enormous growth potential – is a relevant factor. Precisely because of this acceleration, we consider it essential to focus all our resources on the Green Business Unit in order to position ourselves, at the end of the 2023-2026 Plan, as an international leader in BESS development.”
Redelfi is the parent company of the Redelfi Group active in the digital and green transition by taking a highly innovative approach to defining products, services and processes with a strong focus on adherence to ESG principles in business management. Following the 2023 half-year financial report, the Group achieved a Production Value of EUR 4.2 million and Net Income of EUR1.4 million. The Net Financial Position amounted to EUR 3 million and the Shareholders’ Equity amounted to EUR 11 million.
Contacts:
ISSUER
Redelfi | Investor Relations Manager | Erika Padoan | investor-relations@redelfi.com | T: +39 320 7954739 | via A. Scarsellini, 119 Torre B “I Gemelli” 11 piano, 16149 Genova
Redelfi | Media Relations | Carolina Beretta | carolina.beretta@redelfi.com | via A. Scarsellini, 119 Torre B “I Gemelli” 11 piano, 16149 Genova
INVESTOR & FINANCIAL MEDIA RELATIONS
IR Top Consulting | Investor Relations | ir@irtop.com | T: + 39 02 4547 3884/3 | Via Bigli, 19 – 20121 Milano
IR Top Consulting | Media Relations | d.gentile@irtop.com | T: + 39 02 4547 3884/3 | Via Bigli, 19 – 20121 Milano
EURONEXT GROWTH ADVISOR & SPECIALIST
Integrae SIM | info@integraesim.it | T: +39 02 96846864 | Piazza Castello, 24 – 20121 Milano
