Cenergy SA: Exchange update Q3 2022

Brussels, November 17, 2022



Today, Cenergy Holdings SA (Euronext Brussels, Athens Stock Exchange: CENER), hereinafter “Cenergy Holdings” or “the Group”, publishes its financial information for the nine-month period ended September 30, 2022 and the third quarter 2022.

Energy projects support strong results and increase backlog

  • Revenue reached 1.04 billion euros, 36% higher than the corresponding period of the previous year (9M 2021: EUR 766 million).
  • Operational profitability improved significantly in Q3, pushing adjusted EBITDA to €94.7 million for the first nine months of 2022 (+16% year-on-year); the cables segment remains the main driver, while the performance of steel tubes improves during the quarter.
  • Backlog grows rapidly in the last quarter, reaching a new high of 1.75 billion euros September 30, 2022; this indicates our focus on energy-related projects and the strong potential of both segments in the near future.
  • Consolidated profit before tax increased by 51% year-on-year for €53.1 million (35.2 million euros over 9M 2021) with net profit after tax at €44.1 million (+44% YoY from €5m in 9M 2021).

Commenting on the Group’s performance, Alexis Alexiou, Managing Director of Cenergy Holdings, said:

The good performance recorded throughout Q3 2022 confirms the momentum of Cenergy Holdings anchored in its vision of value creation in the energy transition markets. Throughout the quarter, we achieved utilization of all of our production lines in both segments, a performance that enabled the Company to post record quarterly sales. Robust sales growth was accompanied by improved profit margins and drove our pre-tax profitability to a notable year-over-year increase. In addition, the recent awards in both segments further strengthen our order book and confirm our positive end to the year.Cenergy Holdings will continue to capitalize on megatrends in sustainability and remain a catalyst for the global green energy transformation.

Strong operational profitability and net results

Revenue increased by 36% over the nine-month period to €1,046 million, with Q3 2022 growing 8% compared to the previous quarter of the same year, with all of the Group’s factories operating almost at full production capacity. The Cables segment advanced several projects already in the execution phase, such as inter-grid cables for Doggerbank OWF in the UK and Vesterhav Nord/Syd OWFs in Denmark, while the installation of export cables for the Naxos-Santorini interconnector in Greece has progressed considerably. Strong demand for cable products continued, particularly in our core markets of Central Europe, the Balkans and the Middle East. At the same time, the steel tube segment turned profitable in the third quarter as profitable, previously guaranteed orders entered the production phase. One such contract is the one awarded by Collahuasi in Chile for 201 km of desalinated water pipeline, used in its copper mine.

The full production schedule supported the increase in Adjusted EBITDA which reached 43.1 million euros in Q3 2022 (+48% quarter on quarter), the difference compared to the previous quarter being equally distributed between the two segments: increase of 6.1 million euros in tubes in steel and 7.3 million euros for cables. 9-month a-EBITDA amounted to 94.7 million euros, or 16% more than the comparable period last year (+13.3 million euros).

On the adjustment side, the negative Metals in Cables result in the first half reversed in the third quarter, pushing EBITDA up to €96.6 million, up €20.7 million from as of 9M 2021. Profit margins reached satisfying double-digit levels for the third quarter, despite continued price inflation in raw materials and other key resources.

The increase in revenues dictated larger amounts of working capital on which higher interest rates were charged, leading to an increase in financial charges of EUR 1.4m (+19% q/q).

Stronger EBITDA generated good Profit before income tax of €53.1 million for the period ended September 30, 2022, a significant increase compared to €35.2 million in 9M 2021. Profit after tax for the same period amounted to 44.1 million euros (30.6 million euros in 9M 2021), or 4.2% of revenue.

Our businesses continue to win tenders, driving the backlog to even higher levels

Successful bidding activity continued uninterrupted for both segments with total backlog reaching €1.75 billion as of September 30, 2022, the highest level ever achieved by the Group (+ 59% more than on June 30e). The sales teams in both segments secured major orders from July to September 2022, such as:

  • the Alexandroupolis FSRU gas pipeline in Greece awarded by Saipem

  • the Ostwind 3 turnkey export cable contract in Germany won by 50Hertz, and

  • the Fenix ​​​​offshore gas pipeline contract in Argentina won by


In an uncertain financial and geopolitical context, the cable segments is confident in the continuation of its performance momentum in cabling products, as demand remains strong. A set of secure orders for projects as well as high capacity utilization in all cable mills throughout the year will support the profitability of the entire segment. The dynamic of electrification in Europe and the proven potential of the offshore wind market should further boost the segment’s order book. To prepare for this development, Hellenic Cables has acquired an industrial area near its Thiva factory, previously used by a third-party industrial company in liquidation, to be used both as an extended production site for its land and telecom cables Basse Voltage, as well as a warehouse for raw materials and semi-finished products.

While other projects will be awarded in the coming months, the management maintains its policy of cost control and selective CapEx, in particular in an investment program to increase the production capacity of the submarine cable factory. of Corinth. At the same time, following previous announcements, discussions with Ørsted on the partnership for the construction of an inter array submarine cable plant in Maryland, USA are continuing.

The steel pipe segments left behind a difficult first half where the focus was on securing capacity utilization and looks forward to a positive year-end as the strong order book built up over the past few months combines with a mix of higher profit margin projects. As market conditions improve, the order book also improves, providing comfort for next year.

Overall, Cenergy Holdings’ strategy remains focused on growing value relative to volume in order to continue to generate profits through its unique role as an “energy enabler”, as well as its investments in growing offshore wind and electrification markets. The Group will continue to work responsibly and sustainably with all its stakeholders to develop value-added systems and solutions in the high-potential energy transition ecosystem.

DISCLAIMER: All forward-looking statements that may be included in this press release are statements regarding or based on our management’s current expectations, plans or understandings regarding, among other things, Cenergy Holdings’ future results of operations, financial condition, liquidity , its prospects, its growth, strategies or changes in the markets in which its subsidiaries operate. These forward-looking statements should be treated as reflecting information, data and understandings as of the date of this press release, so you are encouraged not to place undue reliance on them, as, by their nature, forward-looking statements statements are subject to risks, uncertainties and assumptions that could cause actual results or future events to differ materially from those expressed or implied by them. The outcome and financial effects of the agreements, intentions and events described herein could be affected by such risks, uncertainties and assumptions. Forward-looking statements contained in this press release regarding current trends or activities should not be construed as a report of the future state of such trends or activities. We undertake no obligation to update or revise any forward-looking statements, whether as a result of new information or new developments, future events or otherwise. The information contained in this press release is subject to change without notice. No new representations or warranties, express or implied, as to the fairness, accuracy, reasonableness or completeness of the information contained herein and no reliance should be placed thereon.

This press release was written in English and translated into French and Greek. In case of discrepancies between the different language versions, the English version will prevail.

About Cenergy Holdings

Cenergy Holdings is a Belgian holding company listed on both Euronext Brussels and the Athens Stock Exchange, investing in leading industrial companies, focusing on the growing global demand for energy transfer, renewable energy and data transmission. Cenergy Holdings’ portfolio includes Hellenic Cables and Corinth Pipeworks, companies positioned at the forefront of their respective high growth sectors. Hellenic Cables is one of the largest cable producers in Europe, manufacturing power and telecommunications cables as well as submarine cables for the aforementioned sectors. Corinth Pipeworks is a world leader in the manufacture of steel pipes for the oil and gas industry and a major producer of steel hollow sections for the construction industry. For more information, please visit our website at www.cenergyholdings.com.


For more information, please contact:

Sofia Zairi

Chief Investor Relations Officer

Tel: +30 210 6787111, +30 210 6787773

Email: [email protected]

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