Interim report, January-June 2017 Rabbalshede Kraft AB (publ)

2017-08-17

Production for the second quarter totaled 108,381 MWh (87,664) · Net sales amounted to KSEK 49,135 (39,643) · EBITDA totaled KSEK 23,505 (9,194) · EBIT amounted to KSEK 981 (loss: 13,221) · Average income for wind-power production was SEK 453/MWh (452), of which electricity accounted for SEK 311/MWh (301) and electricity certificates and guarantees of origin for SEK 142/MWh (151) 

First six months, January-June 2017

· Production from the Group’s wind farms during January-June amounted to 246,440 MWh (212,050).
· Net sales totaled KSEK 109,807 (94,445).
· EBITDA amounted to KSEK 48,885 (40,296).
· EBIT totaled KSEK 3,833 (loss: 4,475).
· Average income for wind-power production was SEK 445/MWh (445), of which electricity accounted for SEK 313/MWh (294) and electricity certificates and guarantees of origin for SEK 132/MWh (151).
· Depreciation/amortization/impairment losses amounted to KSEK 45,052 (44,771).
· The loss after tax was KSEK 27,577 (loss: 33,888).

Significant events

Mads Miltersen took over as the company’s CEO on June 1. Mads joined the company from EnergiMidt in Denmark, where he held several positions, including CFO and CEO. Prior to EnergiMidt, Mads served as Finance Manager at Ericsson Diax and as an Auditor at BDO.

Construction of Lyrestad wind farm, comprising 22 wind turbines (76 MW) in the municipalities of Mariestad and Töreboda, is progressing according to plan. The first wind turbines were assembled in June and will be commissioned in stages during the autumn 2017. The wind farm will be inaugurated on 1 October 2017.

The environmental permit for Åndberg wind farm in Härjedalen Municipality, which comprises 57 wind turbines, came into force in the spring.

The Annual General Meeting (AGM) for the 2016 fiscal year was held on April 27, 2017, in Gothenburg, Sweden. The AGM resolved, in line with the proposal of the Nomination Committee, that the company’s Board of Directors is to comprise of six members elected by the AGM. The Meeting resolved on the reelection of Bertil Villard, Annika Ahl Åkesson, Jean Baptiste Oldenhove, Matthieu Baumgartner and Jeffrey Mouland as well as the new election of Stine Rolstad Brenna. Bertil Villard was re-elected as Chairman of the Board for the period until the end of the next AGM.

Rabbalshede Kraft held an extraordinary general meeting on January 31, 2017. At the meeting, resolutions were passed to reduce the share capital by SEK 126,843,931 for transfer to unrestricted shareholders’ equity. In addition, the meeting resolved in favor of a private placement for Sweden Holdco RK AB (“Greystone”). The private placement amounted to SEK 283M and was implemented on February 1, 2017. Following the investment, Greystone is the company’s second largest shareholder, with Manor Group remaining the company’s largest shareholder.

Significant events after the end of the period

In August, the company entered into a management agreement with Vänern wind farm. Under the agreement, Rabbalshede is responsible for the management, monitoring, service and maintenance of seven of the wind turbines at Vänern wind farm. The agreement is for three years, with an option to extend the agreement for an additional two years.

Financial report Jan-Jun 2017