Cenergy Holdings recorded strong margin improvement and a consistently high backlog of orders for the nine months to 2024.

More specifically, consolidated profit before tax more than doubled to €123.1 million compared to €60.1 million in 9M 2023, up 105%. Net profit after tax amounted to €100.3 million, up 113% year-on-year (9M 2023: €47.2 million), corresponding to 8% of sales (9M 2023: 4%) and earnings per share of €0.53.

Sales were €1.26 billion, 8% higher than in the same period last year when they stood at €1.16 billion.

Operating profitability improved significantly with adjusted EBITDA of €194 million for the nine months to 2024 (+34% compared to the same period last year). Adjusted EBITDA in Q3 2024 amounted to €74.3 million (+14% q-o-q, +26% y-o-y) due to the execution of an improved mix of energy projects in both segments, the full production schedule, and improved margins, mainly in the Steel Tubes segment.

The profit margin (in terms of adjusted EBITDA) for the nine months to 2024 exceeded 16% due to the consistently high performance in the steel tubes segment and the improved product and energy project mix in the cable segment.

The backlog of orders 1 amounted to €3.48 billion at 30 September 2024 (up from EUR 3.38 billion at 30 June and €3.15 billion nine months earlier). The capacity expansion at all plants in Greece is progressing normally. They are therefore expected to operate on schedule to accommodate the growing backlog of orders.

Net financial costs amounted to €48.6 million for the first nine months of 2024, lower than in the same period last year. According to the statement, the de-escalation was due to the reduction in credit margins for all subsidiaries and a slight decrease in benchmark interest rates. Ongoing investments in the segment's factories and increasing working capital requirements prevented net borrowings from falling below the levels of the first half of the year.

In addition, Cenergy confirmed its estimate of year-end operating profitability (adjusted EBITDA) of between €245 and 265 million.

Commenting on the group's performance, Alexis Alexiou, CEO of Cenergy Holdings, said:

The strong margins of the first half of 2024 continued into the third quarter, further highlighting both the strong competitiveness of our group and the strength of our balanced order book as the long-term trends ("megatrends") of electrification, energy security and energy transition continue unabated. Capacity utilisation across all generation lines remains high, and we continue to focus on strong project execution and the smooth progress of ongoing investment projects. All of the above reinforces our belief in achieving our profitability targets for 2024. Finally, the recent successful equity capital increase marks a historic step forward for Cenergy Holdings, as it reflects the long-standing relationship of trust we have built with all our stakeholders and allows us to expand our manufacturing operations in the US.