Daldrup & Söhne AG (DE:4DSG) made progress in building its presence in geothermal generation during FY17 and this is expected to yield additional benefits in FY18. A stable regulatory framework, an order book at record levels and additional geothermal projects under development (Neuried and Puchheim) are also expected to contribute to growing profitability in the forecast period (see consensus forecasts).
FY17 results: Targets met, growth achieved
FY17 results from Daldrup & Söhne revealed total output of €43m (target €40m) and an EBIT margin of 2.6% (target 2.0-5.0%). In addition to meeting its overall financial targets, the results demonstrated year-on-year growth. Total output rose by 9.1% to €43m, although sales revenue fell due to the delayed completion of a significant drilling project in the Netherlands – the project has since been invoiced. EBIT increased by c 20% to €1.1m, although it did not cover interest costs of €1.8m. Net debt rose to €13.1m (from €7.9m), however a capital increase (€6.3m gross) post the year-end has strengthened the balance sheet.
To read the entire report Please click on the pdf File Below: