- Consolidated sales revenue grows to EUR 84.1 million (H1 2017: EUR 72.4 million); Total operating output by 10.6 % to EUR 94.5 million (H1 2017: EUR 85.5 million).

- Earnings figures considerably improved: EBIT clearly positive at EUR 1.1 million (H1 2017: EUR -0.5 million).

- Continued strong order intake of EUR 124.1 million as of August 31 (previous year: EUR 94.0 million) ensures full capacity utilization until at least the end of the first quarter of 2019.

Heek, September 27, 2018 - 2G Energy AG (ISIN DE000A0HL8N9), one of the internationally leading manufacturers of gas-driven combined heat and power (CHP) systems, looks back on a very successful first half of 2018. Earnings before interest and taxes (EBIT) substantially improved by EUR 1.6 million to EUR 1.1 million, with sales revenue increased by 16.3 % and a 10.6 % rise in total operating output. For the first time since 2012, a positive result was thus already achieved in the first half-year, which is typically rather weaker in this sector.

Cost/income ratios were reduced and the seasonality of the business was significantly decreased due to positive effects from the Lead to Lean project. Compared to the previous half-year, 2G reduced its cost-of-materials ratio from 69.6 % to 68.4 % in the first half of 2018; simultaneously the rise in personnel expenses was limited to a moderate 5.8 %, thus decreasing the personnel expenses ratio from 18.9 % to 18.1 %.

Service business accounts for almost 50 % of sales revenue
In the first half of 2018, 54.0 % (H1 2017: 56.0 %) of the total sales of Euro 84.1 million were generated by CHP plants and 46.0 % (H1 2017: 44.0 %) by the service business. In this respect, 24.2 % (H1 2017: 22.4 %) of the service revenues and 46.0 % (H1 2017: 55.0 %) of revenues from CHP sales were generated abroad. The further international expansion of the partner network is intended to further drive diversification and thus reduce dependence on individual markets.

Order intake still well above previous year's level
The Management Board continues to expect significant growth due to the very vigorous demand from customers. Incoming orders equaled EUR 124.1 million in the first eight months (previous year: EUR 94.0 million), a 32.0 % rise, and the order backlog increased by 31.7 % to EUR 161.6 million (previous year: EUR 122.7 million). These incoming order and order backlog figures include only new CHP plant business, not service business.

2G Energy AG recorded a particularly strong demand on the German market, with incoming orders increased by EUR 25.8 million to EUR 81.7 million. In Germany, mainly biogas-driven CHP systems were sold in the context of flexibilizing existing biogas plants and increasing the installed capacity. Outside Germany, the Group acquired orders amounting to EUR 42.4 million, representing an increase of 11.5%.

Forecast confirmed
Based on the very positive development during the year to date and the strong order intake, the Management Board considers its previous forecast to be confirmed. Accordingly, it expects sales revenues in the range from EUR 180 million to EUR 210 million and an EBIT margin between 3.5 and 5.5 % to be achieved in the current 2018 business year. In FY 2017, with sales revenues of EUR 189.4 million, 2G Energy AG earned an EBIT of EUR 7.3 million, corresponding to an EBIT margin of 3.5 %.

Download half-year report
More details can be obtained from the 2018 half-year report, which can be downloaded from today at (Investor Relations - Financial Publications).

2G company portrait
2G Energy AG is an internationally leading full-service provider of combined heat and power systems (CHP) with electric output between 20 kW and 2,000 kW, which are harnessed for the decentralised generation and supply of electricity and heating. 2G is consistently expanding its technology leadership through continuous research and development work, both in gas engine technology for natural gas, biogas and synthetic gas applications (e.g. hydrogen), as well as in specific software development. In particular, this product range, which is based on thousands of systems realised, significantly differentiates 2G from its competitors.

2G benefits from global long-term trends that make efficient and effective energy solutions ever more important. These trends include not only rising energy demand but also the need to conserve natural resources. Moreover, in the energy revolution's future electricity market design, the digitalisation consistently implemented by 2G forms an indispensable system-relevant element in combination with solar, wind, biogas and natural gas producers, and creates a high barrier to market entry for competitors.

The cogeneration of mechanical energy and heating/cooling make CHP technology more efficient and more environmentally-compatible than conventional energy production methods. Compared with conventional electricity generation, CHP technology saves up to 40 percent of primary energy, and emits up to 60 percent less carbon dioxide and nitrogen oxide. 2G customers thereby benefit consistently from economically and ecologically highly beneficial innovations that rapidly pay for themselves and create extensive added values.

2G employs around 600 staff at its headquarters in Heek, Germany, in St. Augustine, USA, as well as at five other European locations. The company is active in a total of 31 countries and generated net sales of EUR 189.4 million in the 2017 financial year. 2G was founded in 1995 and has been listed on the stock market since 2007. The shares of 2G Energy (ISIN DE000A0HL8N9) are listed in the "Scale" segment of the Frankfurt Stock Exchange. The share capital amounts to EUR 4,430,000, and is divided into 4,430,000 shares. As of April 2018, company founders Christian Grotholt and Ludger Gausling held a 53.3 % interest in the company, with the free float amounting to 46.7 %.

2018 calendar dates
November 26, 2018 Q3 key figures and business trends
November 26-27, 2018 Germany Equity Capital Forum 2018
December 4-5, 2018 Midcap Event, Geneva

IR contact
2G Energy AG
Benzstrasse 3, 48619 Heek
Telephone: +49 (0) 2568 93 47-2795
Fax: +49 (0) 2568 93 47-15
Email:
Internet: -g.com