4th Aug 2020 09:39
(Alliance News) - Calisen PLC on Tuesday announced good first half results with revenue up as subsidiary Calvin Capital Ltd put in a resilient performance and recently added Lowri Beck completed its first full half under Calisen ownership.
The owner and manager of energy infrastructure assets posted a pretax loss for the six months to June 30 of GBP23.4 million, narrowed from GBP40.3 million a year prior.
Revenue for the period was up 27% to GBP117.4 million from GBP92.6 million a year prior.
The big jump in revenue reflects the consolidation of Lowri Beck, acquired in August last year, for a full six months, as well as the resilient performance in the Calvin Capital operating segment, despite its temporary suspension of non-essential meter installations due to Covid-19.
Lowri Beck brought in GBP20 million in revenue over the six months.
Calvin Capital saw a revenue increase of 5.7% to GBP97.9 million from GBP92.6 million a year prior. This was driven by growth in the revenue-generating smart meter portfolio since the first half of 2019.
Calisen's smart meter portfolio grew from 5.2 million meters at December 31 last year to 5.5 million meters on June 30, which is a net increase of 300,000 meters or 6.3%.
The traditional meter portfolio was 3.2 million meters at the end of June this year. This was flat compared to 3.2 million a year prior, due to the consolidation of Lowri Beck's portfolio of approximately 400,000 traditional meters from August 2019, and a reduction of 4.7% from 3.4 million as at December 2019.
Average revenue per meter in the first half was at GBP23.60.
Calisen confirmed it won't pay an interim dividend for 2020. The company noted that it had indicated a dividend for 2020 of GBP7.0 million pro-rated from the date of its listing in February, and it does not expect any change to this position.
The Manchester-headquartered company said: "Since we suspended installations in March, Calisen's installed meter portfolio has continued to generate steady and resilient 'annuity-like' cash flows underpinned by our strong balance sheet. With meter installations having re-started, the transition back to normalised levels of activity is expected to be gradual and to take several months.
"We expect the volume of meter installations to increase through the third quarter and to average 80,000 to 100,000 meters per month in the fourth quarter, assuming there is no material second wave of Covid-19 or significant further local lockdowns."
Calisen does not expect any material impact of Covid-19 on its growth over the medium term. In the long-term, it sees opportunities for growth in adjacent digital energy assets and overseas markets.
Calisen shares were up 0.6% at 167.05 pence each in London on Tuesday morning.
By Greg Roxburgh; [email protected]
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