ENERTIME : 2016 - Annual Results

Courbevoie, 4th of May 2017

• 2016 turnover multiplied by 9.5 (vs 2015) to 4.1 M€


• An acceleration of business development with 3 signatures of contract in 2016


• A financial structure strengthened by the IPO (June 2016)


• An expected growth for 2017, supported by an order book of 7.8 M€

ENERTIME (FR0011915339 - ALENE), French Company in the « Cleantech » sector offering equipment for industrial energy efficiency and production of distributed renewable energy (biomass and geothermal energy) publishes its financial results for the year 2016. The Board of Directors, met on the 27^th April to approve the audited annual accounts.

Gilles David, CEO of ENERTIME declared: «through our IPO, we are committed to an ambitious development plan aimed at establishing the company as a key French player in the industrial energy efficiency sector and the distributed renewable energy generation. During the past year, this plan has resulted in the industrialization of our operations by building three turbomachines and associated modules for more than 6 MW of total capacity. Strengthened by a backlog of 7.8 M€, 2017 will be another year of growth. »

 A strong growth of our turnover

During the fiscal year 2016, the company has recorded a strong growth of its turnover, multiplied by 9.5 versus 2015, up to 4.1 million €. Turnover growth is driven by the execution of two contracts in China for steel mills (one 3.2 MW ORC for Baosteel in Shanghai and a 1 MW turbine for Baotou Steel in Baotou) as well as a contract for a 2 MW ORC for the incinerator of the City of Caen (France).

Annual results in line with the development plan

Given the investment and structuring phase of the company, the company incurred in 2016 an operating loss of 2.9 M€ against 1.4 M€ loss a year earlier. The increase in operating expenses is linked, on one hand, to the rise of the international contracts and, on the other hand, to the strengthening of the teams in accordance with our development plan. Within the year, employees count went from 25 to 36 and commercial presence was completed with the opening of offices in China and in the city of Lyon.

After accounting for financial costs, the R&D Tax Credit and the Innovation Tax Credit, the net income amounted to a 2.6 M€ loss.

 A stronger financial structure

Enertime has a solid financial structure with its equity funds strengthened thanks to its IPO (July 2016). At of the 31^st of December 2016, the equity funds amounted to 1.9 M€¹.

Furthermore, as announced on the 24^th of March 2017, the company has arranged, after the 2016 closure, a financing facility up to 3.0 M€ by issuing Convertible Bonds to support the development of its activity, to which must be added a potential maximum of 2,1 M€ in case of exercise of the warrants (BSA)attached to the Convertible Bonds. Within this financing facility, the company has issued the first tranche, for a nominal value of 750 000² euros, in favor of YA II PN, Ltd. Investment Fund. The Bonds of this first tranche are accompanied by 53 846 warrants (BSA), with an exercise price of 9.75 euros.

Research and development activities

Over the past year, the company has incurred R & D expenses up to 712 689 euros, in salaries and social charges. The company is participating to two new research projects (CO2 Dissolved and Carphymcheau) as a member of Geodenergies, a scientific consortium for geothermal energy, created in 2015.

Moreover, the company has started scientific collaborations on turbomachines with Politecnico di Milano (Italy) and has started in April 2017, to fund a thesis on the optimization of turbines with the Dynfluid laboratory of ENSAM in Paris.

Prospects for 2017

The company starts the 2017 fiscal year with confidence and seeks another year of growth. For this purpose, the order book (30^th April 2017) represents 7.8 M€ turnover, to be accounted for mainly in 2017. This order book is made up of 5 projects:

• An ORC of 2 MWe for the incinerator of the City of Caen (Suez Environnement) with a commissioning planned for the summer 2017);


• An ORC of 1.6 MWe in biomass cogeneration application for the heating network of the city of Kamyanets-Podilskyi in Western Ukraine, a contract financed by the World Bank (IBRD). Delivery is scheduled for the summer 2017;


• An ORC of 800 KW for the sewage treatment station of Saint-Fons in France on behalf of the urban community of Lyon. The commissioning is planned for end of 2017;


• A heat pump of 3.7 MW thermal with a large French industrial company for the city of le Mans, the delivery is scheduled for 2018.


• An ORC of 1.2 MW for the SYCTOM, incinerator of Saint-Ouen (near Paris), with commissioning scheduled for January 2019

Source: Actusnews