Eneco released the financial figures for 2020 this week. In addition to showing a solid financial year, the Dutch energy company also announced its ambition to almost double the solar and wind capacity in the next 5 years.
Eneco booked a solid year, despite the decrease of electricity demand (especially in the business segment) due to the COVID-19 pandemic and relatively warm temperatures over this period, the company said.
Operating profit (EBIT) was up by 23% to €163 million (2019: €132 million) and EBITDA rose to €484 million (2019: €428 million). Net profit increased by 48% to €118 million (2019: €80 million). Gross margin increased by 2% to €1,094 million (2019: €1,071 million). Revenue decreased from €4.332 billion in 2019 to €4.148 billion.
Large role for wind in added capacity and investments
The increase in net profit was partly due to better performing participation interests and partly because new wind assets were operational throughout the year, the company said. In total, Eneco added 202 MW in sustainable capacity. Highlights include the start-up of wind farm Borssele III & IV and winning the contracts for new wind farms Hollandse Kust Noord and Maasvlakte 2. In 2020, The companny also adopted Hollandse Wind&Zon as their default solution for consumers and SME customers.
Eneco invested more than in the previous year: €385 million compared with €343 million in 2019. The largest share was in offshore and onshore wind farms, notably Seamade off the Belgian coast and Borssele III & IV off the coast of Zeeland, both of which started full production in 2021. On land, investment was in the Delfzijl, Zeewolde and Kabeljauwbeek wind farms in the Netherlands. In addition, €15 million was invested in solar farms. There was also investment in making the heating business more sustainable. Eneco also invested €33 million in ICT systems.
The company’s ambition is to nearly double Eneco-owned capacity to 3200 MW by 2025.
In 2021, Eneco said it will focus on three pillars: customers and assets, and integrating the two. To achieve the integration, the company will focus on using smart flex solutions to balance supply and demand, for example by converting surplus wind energy into heat, controlled remotely from our trading room. In addition, Eneco has set the ambition to nearly double their Eneco-owned capacity to 3200 MW by 2025. Read the full press release here.