2022 semi-annual annual result: Record profit with positive outlook

Ad hoc announcement pursuant to Art. 53 LR

Zurich, August 26, 2022

Record profit with positive outlook

• Revenue growth of 8% to CHF 9.23 million (+14.7% in local currency)
• Net profit increase to CHF 6.19 million (+144.3%)
• High unrealized currency gains on euro-denominated loans
• New bond with 3% interest as of 1 December 2022

The sales revenue and in particular net profit of the Edisun Power Group were increased significantly in the first half of the year. The strong performance is largely attributable to improved income from electricity sales as well as productivity and currency gains. Edisun Power is working actively with its strategic partner on the further development of the purchased solar project rights totaling 940 MW. A further plant with 23.4 MW will be connected to the grid in October.

Good weather conditions and higher electricity prices

Revenues rose 8% year on year to CHF 9.23 million (H1 2021: CHF 8.55 million) and by 14.7% in local currency. At 64'177 MWh, a total of 12% more solar power was produced than in the prior-year period. This is equivalent to the average electricity consumption of more than 41'000 four-person households in Switzerland. Thanks to the improved weather conditions, the plants in Portugal, Germany and Switzerland produced between 9.7% and 18.8% more solar power than was the case a year ago, which was reflected in a revenue increase of CHF 0.41 million. The state guaranteed income in Spain and Italy is partly dependent on the market price. The sharp rise in electricity prices compared with the prior-year period had a correspondingly positive impact on these plants despite a partial transfer of profits obligation in Italy. Net revenue rose here by CHF 0.42 million. However, revenue in France fell by

CHF 0.15 million due to technical failures and maintenance work.

Significant increase in profitability with new record profit

Edisun Power retains an extremely lean structure and has appointed Smartenergy for product development, construction support, asset management of the plants commissioned and other services. The solar plants are continuously monitored from Wollerau and Porto in order to maximize the production of solar power. The operating costs rose by just CHF 0.29 million or 14% year on year despite higher administration costs due to the purchase last year of a large project portfolio of 783.6 MW. Earnings before interest, taxes, depreciation and amortization (EBITDA) therefore improved by 6% to CHF 6.92 million (H1 2021: CHF 6.53 million), primarily as a result of the higher income from electricity sales. The EBITDA margin reached 75.0% (H1 2021: 76.4%) and is well above the medium-term target of 70%.

Edisun Power Europe Ltd., Universitätstrasse 51, 8006 Zurich [phone], www.edisunpower.com

The plants in Switzerland, France and Portugal all have an EBITDA margin above 85%. The Mogadouro plant (49 MW), which does not benefit from subsidized feed-in tariffs like the other 37 plants, achieved an EBITDA margin of 87.2% thanks to its size and enhanced production and generated around 22% of total revenue.

Net profit rose to a new record level. At CHF 6.19 million and a margin of 67.1%, the previous year's result of CHF 2.53 million (29.6% net profit margin) was greatly surpassed. Earnings per share grew by 144.3% to CHF 5.98 (H1 2021: CHF 2.45). The key contributors to this were the low interest costs of CHF 1.9 million despite high loan portfolios averaging

CHF 275 million, and unrealized foreign currency gains on loans payable in euros owing to the strong Swiss franc. The interest-free loan granted by Smartenergy to Edisun Power for the project rights of 703 MW purchased at the end of 2021 accordingly decreased by

CHF 4.7 million.

Strong operating cash flow, doubling of investments and stable balance sheet

Cash flow from operating activities increased by 67.2% to CHF 7.1 million thanks to higher income. Year-on-year investments more than doubled to CHF 22.6 million (H1 2021: CHF

10.3 million). Edisun Power is thus continuing its announced growth strategy at brisk speed. The equity ratio fell slightly to 19.6% (end of 2021: 19.8%). A favorable impact is the fact that no interest burden is being incurred for the outstanding payments of CHF 126 million for the purchased project rights from Smartenergy. The objective remains to increase the equity ratio back above 40% again in the medium term. This is primarily to be achieved through the proactive management of the project portfolio as announced. An approved capital increase can be carried out as an additional option.

Outlook for the current year

Operationally the second half of the year has started on a very promising note thanks once again to excellent weather conditions and ongoing high electricity prices. The 23.4 MW Betty plant near the Mogadouro plant is to be connected to the grid in October. The solar modules are already installed. As announced on 4 July, alongside the construction and operation of solar plants, the Board of Directors is also focusing on the inflow of funds from the sale of some project rights, which in the current market environment remains attractive due to the energy policy situation in Europe. The inflow of funds is to be used to accelerate the construction of 300-350 MW as a medium-term objective, thereby quadrupling the current portfolio of operational solar plants.

Issue of a new bond

The Board of Directors has decided to issue a new five-year 3% bond for CHF 20 million (option to increase) with a term from December 1, 2022 until November 30, 2027 to replace the 2% 2017-2022 bond for CHF 13.315 million due to expire on November 30, 2022 and finance the ongoing projects. The closing of the subscription is November 15, 2022.

The semi-annual report 2022 of the Edisun Power Group is available on the website at: http://www.edisunpower.com/en/home-en/investors-en/reporting

Edisun Power Europe Ltd., Universitätstrasse 51, 8006 Zurich
[phone], www.edisunpower.com	2 / 4

For more information

Dr. René Cotting, [phone], [e-mail]

Edisun Power Group

A listed European solar energy producer, the Edisun Power Group finances and operates solar power installations in a number of European countries. Edisun Power began its involvement in this sector as far back as 1997. The company has been listed on the Swiss Stock Exchange since September 2008. Edisun Power has amassed extensive experience in the realization and acquisition of both national and international projects. Currently, the company owns a total of 38 solar energy installations in Switzerland, Germany, Spain, France, Italy and Portugal. The company is geared for significant growth with a secured portfolio of projects under development of c. 940 MW.

Disclaimer

This document contains forward-looking statements. These statements are based on the current views, expectations, assumptions and information of the management of the Company. Forward-looking statements should not be construed as a promise of future results and developments and involve known and unknown risks and uncertainties. Actual results, performance or events may differ materially from those described in such statements due to a number of factors. The Company does not assume any obligations to update any forward-looking statements.

This document is not an offer to sell or a solicitation of offers to purchase or subscribe for shares. This document is not a prospectus within the meaning of Article 652a of the Swiss Code of Obligations, nor is it a listing prospectus as defined in the listing rules of the SIX Swiss Exchange AG or a prospectus under any other applicable laws. Copies of this document may not be sent to jurisdictions, or distributed in or sent from jurisdictions, in which this is barred or prohibited by law. The information contained herein shall not constitute an offer to sell or the solicitation of an offer to buy, in any jurisdiction in which such offer or solicitation would be unlawful prior to registration, exemption from registration or qualification under the securities laws of any jurisdiction. A decision to invest in securities of Edisun Power Europe AG (the "Company") should be based exclusively on the issue and listing prospectus to be published by the Company for such purpose.

Edisun Power Europe Ltd., Universitätstrasse 51, 8006 Zurich
[phone], www.edisunpower.com	3 / 4

Key figures of the Edisun Power Group

Income statement (in TCHF)

Total revenues

Revenue from sale of electricity

Other operating income

EBITDA

in % of total revenues

Depreciation and amortization

Impairment

EBIT

in % of total revenues

Net profit

in % of total revenues

per share in CHF

30.06.2022

9 230

9 182

48

6 922

75.0 % - 3 444

-

3 478

37.7 %

6 189

67.1 %

5.98

30.06.2021

8 548

8 474

74

6 530

76.4 %

- 3 015

-

3 515

41.1 %

2 533

29.6 %

2.45

Balance sheet (in TCHF)

Land, plant and equipment

Inventories (solar projects for sale)

Total assets

Total equity

in % of total assets

Net debt

30.06.2022

310 077

41 944

384 614

75 335

19.6 %

257 309

30.06.2021

172 619

-

213 846

84 798

39.7 %

89 952

Cash flow (in TCHF)

From operating activities

From investing activities

From financing activities

Photovoltaic plants

Number of photovoltaic plants

Installed capacity

Solar power production

30.06.2022	30.06.2021
7 091	4 242
- 22 642	- 10 283
972	6 004

30.06.2022		30.06.2021
38	38
83.7 MW	83.7 MW
64 177 MWh	57 305 MWh

Edisun Power Europe Ltd., Universitätstrasse 51, 8006 Zurich
[phone], www.edisunpower.com	4 / 4