German renewables developer ABO Wind AG (ETR:AB9) has increased its profit projections for 2022 and 2023 thanks to the better-than-expected performance this year and the planned sale of projects.
The consolidated net profit in 2022 is now seen at nearly EUR 17 million (USD 17.63m), the company said on Thursday. Previously, ABO Wind expected its bottom line this year to reach at least the level of 2021 when it stood at EUR 13.8 million but the company has performed more strongly than anticipated so far this year.
In addition, the EUR-20-million threshold in terms of net profit will be reached earlier than 2024 which was the previous target. In 2023, ABO Wind sees its net result in the range of EUR 22 million to EUR 26 million. The growth will be driven by the planned sale of already approved wind and solar projects in international markets in the pipeline for the next financial year as the strong demand for shovel-ready renewables projects is raising sale prices.
The company noted that it is in talks with several potential buyers of the projects and expects to conclude the discussions successfully. However, if the sale falls through, the profit forecast for 2023 will be reduced, ABO Wind explained.
In the first half of 2022, ABO Wind's net profit grew to EUR 9.6 million from EUR 6.5 million a year earlier, while revenues totalled EUR 97.96 million, up from EUR 61.73 million.
Anna is a DACH expert when it comes to covering business news and spotting trends. She has also built a deep understanding of Middle Eastern markets and has helped expand Renewables Now's reach into this hot region.