2G Energy : makes successful start to FY 2018

- Q1 2018 net sales up 3.6 % to EUR 31.5 million (previous year: EUR 30.4 million); total operating revenue grows by 12.2 %, or EUR 4.5 million, to EUR 42.3 million

- EBIT improves substantially to EUR 0.4 million in the traditionally weaker Q1 (previous year: EUR -0.5 million)

- New order intake of EUR 12.5 million in April 2018 again significantly above the previous year's level (EUR 9.6 million; + 30 %)

- 2G Rental GmbH wins order from BayWa Group for CHP system with downstream ORC process

Heek, May 30, 2018 - 2G Energy AG (ISIN DE000A0HL8N9), one of the internationally leading producers of gas driven combined heat and power (CHP) systems, remains on its growth track. The company generated EUR 31.5 million of net sales in the first quarter of 2018 (previous year: EUR 30.4 million). This 3.6 % growth especially reflects the service business, which reached an approximately 50 % share of total net sales. The good order book position and related high level of production utilization is evident in total operating revenue, which, at EUR 42.2 million, is up 12.2 % year-on-year (previous year: EUR 37.8 million). Thanks to positive effects from the Lead-to-Lean project, expense ratios and the pronounced seasonality of the operating business have been further reduced. Earnings before interest and tax (EBIT) thereby improved significantly, by an amount of EUR 0.9 million, to reach EUR 0.4 million (previous year: EUR -0.5 million). April new order intake of EUR 12.5 million was also 30 % above the previous year's level (EUR 9.6 million).

2G wins order from BayWa Group
Through its subsidiary 2G Rental GmbH, 2G has won an order for a CHP plant incorporating an Organic Rankine Cycle (ORC) system from a BayWa AG subsidiary (r.e. Bioenergie Betriebs GmbH & Co. Zehnte Biogas KG, a sub-subsidiary of BayWay r.e. renewable energy GmbH). Heating generated by the burning process is to be harnessed by the ORC process to produce additional electricity to be fed into the grid, thereby additionally boosting the CHP system's profitability. The CHP system has an electric output of 637 kW and together with the largest ORC system distributed by 2G so far, it delivers total electric efficiency of 43.7 %. A crucial factor in the award of the order was the comprehensive bundling of individual performance components by 2G on a one-stop shop basis - ranging from the financing solution from 2G Rental (adapted to the remaining term under the German Renewable Energies Act (EEG)), the ORC system integrated in the overall concept, risk cover thanks to an insurance solution included in the overall package, stringent monitoring of the system in operation via my.2-g.com, through to a comprehensive premium service agreement. The customer is already examining an expansion of the concept to other BayWa Group sites.

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
June 7, 2018                 Quirin Champions, Frankfurt
July 4, 2018                  Ordinary AGM, Ahaus
September 27, 2018     Consolidated half-year financial statements as of June 30, 2018
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: ir@2-g.de
Internet: www.2-g.com