BayWa's renewables EBIT jumps in 9-mo

The renewable energy business of German group BayWa AG (ETR:BYW6) delivered strong financial performance in the first nine months of 2020 due to project sales.

Earnings before interest and tax (EBIT) at the unit shot up to EUR 22 million (USD 26m) in the nine-month period from EUR 3.9 million a year ago, reflecting the sale of two wind farms -- the 4.7-MW Schoenberg 2 in Germany and 9-MW Le Champ Grand in France -- and the 38.9-MW Gebeng solar park in Malaysia. The renewables business was also boosted by strong trading in photovoltaic (PV) modules and converters.

Total EBIT at the company was also up year-over-year, with all of its three segments -- energy, agriculture and building materials -- contributing to the increase.

BayWa says it is resistant to the coronavirus crisis thanks to its supply function for essential sectors and projects an operating profit for the year bigger that the previous result.

In the final quarter, the company expects to benefit from a number of planned project sales in Europe and the US, including of a 250-MW wind farm in California.

"In view of climate change, the megatrend of promoting the expansion of renewable energies worldwide continues unabated, regardless of the coronavirus pandemic," said chief executive Klaus Josef Lutz.

More details of BayWa's performance:

Energy Segment

(EUR 1.0 = USD = 1.181)

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