Good Energy : 2021 Interim results(opens in new window)

Half-Year Report 2021

Good Energy Group PLC

Un-audited Half Year Report for the 6 months ended 30 June 2021

14 September 2021

Good Energy Group PLC

Un-audited Interim Results for the 6 months ended 30 June 2021

Strong financial performance underpinning delivery of key strategic milestones

Good Energy Group PLC, the 100% renewable electricity supplier and innovative energy services provider ("Good

Energy" or "the Company"), today announces its interim results for the six months ended 30 June 2021.

Financial highlights - continuing operations

• A strong financial performance underpinning delivery of key strategic milestones.

1. Gross profit increased 19.4% to £17.7m (June 2020: £14.8m) with a gross profit margin of
   25.9% (June 2020: 22.0%). Underlying operating margin increased to 8.7% (June 2020: 2.3%).

1. Underlying profit before tax increased to £3.9m (June 2020: Loss of £0.5m). Reported profit before tax increased to £4.8m included non-underlying income of £0.8m associated with generation debt restructuring.

• 1. Underlying basic earnings per share increased to 16.4p, with reported earnings per share of 20.5p (June 2020: reported loss per share 6.6p).
• Continued reduction in debt, alongside ongoing investment across the business:
• 1. Gross cash balance of £9.0m (June 2020: £18.2m), which included the repayment of 70% of Good Energy Bond II in June for £11.9m.

• 1. Net debt decreased to £36.4m (June 2020: £36.5m). Gearing ratio decreased to 51.2% (June
     2020: 51.9%).
• The Board recognises the importance of the Company dividend to many shareholders and, as previously stated, intends to recommend a dividend payment for 2021 and reiterates its intention to maintain a progressive dividend policy.
• 1. An interim dividend of 0.75p will become payable conditional upon the hostile offer by Ecotricity Group Limited lapsing or being withdrawn.

Operational highlights

• Good Energy has delivered a strong performance in the first half of 2021.

1. Continued investment across the business in the development of energy services propositions and a range of innovation projects to drive future profit growth and supporting the journey to a zero-carbon Britain.

1. Smart meter rollout progressing well, despite impact from COVID restrictions. Demand and installation numbers improving as lockdown restrictions ease and in line with expectations. Over 19,000 smart meters installed to date, with 22,000 planned by the end of 2021.

1. A market leading business billing platform (Ensek) integrated, to offer a more digital service for business customers, with 100% of customers now migrated successfully.

• 1. New electric vehicle (EV) time of use tariffs launched to enable smarter electricity consumption. Development of Good Energy hub and mobile app underway to build a connected home.
• Good underlying business growth mitigating COVID impact, with increase in total customer numbers.
• 1. Overall customer numbers increased by 1.2% to 274.6k.

1. Total business customers increased 2.6% to 142.9k. Business feed in tariff (FIT) customers increased 1.2% to 132.0k, as we continue to maintain our position as one of the market leaders in operating the FIT scheme. Total business supply customers increased by 23.1% to 10.8k.

• 1. Total domestic customers decreased by 0.3% to 131.7k. Domestic FIT customers numbers increased by 0.2% to 47.3k. Domestic supply customers decreased by 0.5% to 84.4k.
• Zap-Maphas continued to make strong progress with the development of several new commercial products
• 1. Zap-Maphas over 250,000 registered users, and over 95% of the UK's public charging points on its network. Over 75% of the UK's EV drivers have downloaded Zap-Map.

1. Zap-Payannounced further charge point operators including GeniePoint, char.gy, Motor Fuel Group, Revive and Mer joining existing Zap-Pay networks ESB Energy and Osprey.

1. Subscription service, launched in June 2021, provides enhanced features, including in-car support via Apple Car Play and Android Auto. Good levels of customer conversion experienced to date.

1. Fleet service EV fuel card with Fleetcor UK due to launch in Q4 2021. This will integrate its Zap- Pay solution with the Allstar payment platform delivering a solution to remove the payment complexities for businesses and commercial fleets.

Financial performance for the six months to 30 June 2021

Period ended	H1 2021	HY 2021	H1 2021	H1 2020
£m*	Underlying	Non	Reported	Reported
	continued	underlying		continuing
	operations			operations
Revenue	£68.4m		£68.4m	£67.5m
Gross Profit	£17.7m		£17.7m	£14.8m
Administration costs	£(11.8)m		£(11.8)m	£(13.9)m
Operating profit	£5.9m		£5.9m	£0.9m

Net finance costs	£(2.0)m	£0.8m	£(1.2)m	£(2.0)m
Profit before tax	£3.9m	£0.8m	£4.8m	£(1.1)m
Taxation	£(1.4)m	£(0.2)m	£(1.6)m	£0.0m
Profit after tax	£2.5m	£0.7m	£3.2m	£(1.1)m
Cash and cash	£9.0m		£9.0m	£18.2m
equivalents
Net debt	£36.4m			£36.5m
Basic (loss) / earnings per	16.4p	4.1p	20.5p	(6.6)p
share (p)
Half Year dividend per	0.75p		0.75p	Nil
share (p)

Nigel Pocklington, Chief Executive Officer of Good Energy, said:

"I'm pleased with the strong performance in the first half of 2021. Growth in revenue, profit and customer numbers has underpinned the delivery of key strategic milestones. I believe the Group is delivering good value for shareholders.

"Good Energy Group is a modern, digital energy company. Our core supply and Feed-in-Tariff business continues to grow whilst we now provide tech-driven, digital products and services in the Electric Vehicle and 'Energy-as-a-Service' space.

"I believe that this is an exciting time for the Group to capitalise on the growing awareness of genuine green products and increasing adoption of EVs. We are ideally positioned to benefit from this trend, through our investment in Zap-Map, the UK's leading EV mapping service, and our own EV products and services".

* Due to rounding, figures in the table above may not cast. Figures are correct to the nearest £0.1m

Enquiries:
Good Energy Group PLC	Email: [e-mail]
Nigel Pocklington, Chief Executive	Email: [e-mail]
Charles Parry, Investor Relations	Phone: [phone]
Luke Bigwood, Communications
Investec Bank plc (Nominated Adviser and Joint Broker)	Tel: [phone]
Jeremy Ellis
Sara Hale

Canaccord Genuity Limited (Joint Broker)

Tel: [phone]

Henry Fitzgerald - O'Connor

Georgina McCooke

Analyst Briefing:

A briefing for Analysts will be held at 9:00am today. Analysts wishing to attend the presentation either in person or virtually should register their interest by [e-mail] telephoning 0124 976 7484.

Notes to editors:

About Good Energy www.goodenergy.co.uk

Good Energy is a generator and supplier of 100% renewable power and an innovator in energy services. It currently owns two wind farms, six solar farms and sources electricity from a community of 1,600 independent UK generators.

Since it was founded 20 years ago, the company has been at the forefront of the charge towards a cleaner, distributed energy system. Its mission is to support UK households and businesses generate, store and share clean power.

Good Energy is recognised as a leader in this market, through our green kite accreditation with the London Stock Exchange and as a top-rated Green energy supplier by Which?.

About Zap-Mapwww.zap-map.com/live/

Launched in June 2014, with a mission to accelerate the shift to electric vehicles (EV) and help the drive towards zero carbon mobility, Zap-Map is the UK's leading EV mapping service. The charging point map, available on desktop and iOS/Android apps, helps EV drivers to search for available charge points, plan longer journeys, share updates and pay for charging on participating networks.

In the UK, Zap-Map attracts more than 120,000 cross-platform users per month from a rapidly growing fleet of around 200,000 pure-EVs(Zap-Map's core user group) and 230,000 plug-in hybrids (SMMT: December 2020).