MVV upholds strong sales and earnings performance and raises forecast
Further sales and earnings growth at Mannheim energy company despite negative effects of pandemic – Outlook for current financial year raised further
The Mannheim-based energy company MVV Energie AG can look back on three strong quarters: For the first nine months of its 2021 financial year (1 October 2020 to 30 June 2021), MVV can report significant growth in both sales and earnings.
Based on preliminary figures for the first nine months of the financial year, MVV increased its operating earnings (adjusted EBIT) by 27 percent to Euro 265 million. Sales for the same period rose by 14 percent to Euro 3.1 billion. “Despite the coronavirus pandemic, it is increasingly clear that 2021 will be a strong year for our company”, comments MVV’s CEO, Dr. Georg Müller. “It shows that we have chosen the right path by heading for climate neutrality. More green electricity, more green heating, increased energy efficiency and innovative business models – that is the course we will be pursuing at great speed.”
Based on its strong business performance to date, the company is once again raising its outlook for the 2021 financial year as a whole. From an operating perspective, MVV expects its adjusted sales (excluding energy taxes) in the 2021 financial year to be around 10 percent to 15 percent ahead of the previous year’s figure (Euro 3.5 billion). In terms of its adjusted EBIT, MVV expects to report growth on a scale of 20 percent to 25 percent (previous year: Euro 233 million). This forecast is subject to the proviso that no setbacks arise in the measures taken to combat the coronavirus pandemic that still have a notable impact on MVV in the current financial year. To date, these measures have impacted less severely on the energy company’s performance than in the previous year. Furthermore, the company benefited from weather conditions. Temperatures were cooler than otherwise in the first nine months of the 2021 financial year, particularly in April and May, which led to higher gas and district heating turnover. The investments made by the company were paying off in the form of higher sales and earnings contributions. One example was the gas-fired CHP plant in Kiel, at which the MVV Group launched operations at the end of November 2019. The renewable energies project development and data centre solutions businesses were also performing positively.
MVV will provide further details of its business performance and its outlook in its quarterly statement for the first nine months of the 2021 financial year, which is due for publication on 13 August.