Good Energy Group Plc Preliminary results to 31 December 2019 March - - PowerPoint PPT Presentation
Good Energy Group Plc Preliminary results to 31 December 2019 March 2020 Agenda & presenters Overview & highlights Presenters Our market & opportunity Juliet Davenport Chief Executive Officer Finance Rupert Sanderson
March 2020
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Strong business growth Increased FiT portfolio Kraken technology platform Investment in EV services Cash generative with strong cash balance Financial and
resilience
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No significant financial impact of COVID-19 seen to date Financially resilient with cash balance of £13.7m Operational integration of Kraken platform progressing well Business continuity planning in place to ensure
effectiveness
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energy sources
million renewable generators in the UK today
company with more home generation customers than supply customers
households and businesses, generating, using and sharing their own power
support this investment and this shift represents a major opportunity for us
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Home Business
Generation
Expanded customer proposition Roadmap for future energy services Scale & efficiencies
Sharing services Sharing services Energy Supply Energy Supply
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Implementing the systems and scale to acquire customers more effectively
Lower customer acquisition cost Improve customer retention Increase customer lifetime value
Complementary new products and services for them to stay with us for longer Drive greater value from
selling more products and services and improved efficiencies
We believe the benefits to our customers will be more compelling propositions at a competitive price that will simplify their lives and cut carbon, whilst delivering sustainable value for all stakeholders
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Business supply performance driving growth Kraken investment costs incurred and implementation underway and
Ongoing cost control and investment underpinning domestic business Discontinued business wind down now complete
Year end £000s FY 2019 continued
FY 2019 discontinued
FY 2019 reported FY 2018 continued
% change continued
Revenue 124,258 91 124,349 116,915 6.3% Cost of Sales
10.9% Gross Profit 31,657
30,502 33,449
Administration Costs
225
Operating Profit 6,438
5,508 6,649
Finance costs
Share in loss of asociate
Underlying profit before tax 2,123
1,193 2,304
Non - Underlying costs
Profit before tax 1,258
328 2,304
Tax
Profit after tax 1,216
254 1,644
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£8.1m cash generated from
underpinning investments £6.3m of debt repaid in the period Working capital impact includes timing
business wins in Q4 Repayment of GE Bond 1 of £3.6m in June 2019 following sale of Brynwhilach solar site
Year end £000s FY 2019 FY 2018 FY2017 Operational cashflows before working capital 9,991 10,626 8,783 Working capital movement
7,443
Cash generated from operations 8,146 18,069 27 Finance and tax cost
Net cashflows from operating activities 4,115 13,995
Net cashflow from investing activities 1,357
3,800 Net cashflows from financing activities
8,560 Net increase in cash and cash equivalents
1,942 7,431 Cash and cash equivalents at beginning of year 15,662 13,720 6,289 Cash and cash equivalents at end of year 13,667 15,662 13,720
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Good Energy bond I fully redeemed - £3.6m fully repaid in June 2019 Gearing ratio increased to 68.9% from 68.5%. Excluding IFRS16 gearing ratio decreased to 65.8% IFRS16 impact
period increasing net debt Prudent balance sheet management remains a priority
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Underlying profit growth from both operating profit and interest savings Execution on investments across the business Progressive dividend policy Platform for significant returns beyond 2021
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footprint in Heat, Electricity and Transport as part of a transition to a zero carbon Britain
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Experts Partnerships Energy tech
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us credibility with customers and the experience and knowledge to attract leading partners in the energy sector
renewables and clean technology;
people
development, renewables & digital platform (see appendix)
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Kraken
through transformational technology investment
customer experience improvements and
reducing cost to serve
Home
market - societal change towards the climate crisis
propositions - enhanced service, competitive tariffs and a suite of low carbon home services improving retention
Business
electricity supply customers and extend into gas
propositions - electric vehicles and carbon reduction services
Efficiencies & scale
streamlined
in proposition development and roll out
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savings reinvested across the Group
2021 and beyond
Delivering growth with strong returns
Technology underpins the future of Good
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Mapping platform
Data & insights
Payment solutions
Investment for growth
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customers
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Accelerate the transformation of Good Energy into one of the leading renewable services brands in the UK
Leading player in the decentralised market Expanding in business customers and energy services to fuel growth Upside potential from investments facilitated by technology Financially and
resilient with strong cash position
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