Bankinter reiterates its buy recommendation for Umbrella Solar after the presentation of the results

on this day tuesday Enrique Selva, CEO of Umbrella Solar, Presented live results to the end of 2022 of the company dedicated to the production of renewable energy and the installation of self-consumption, which is listed on the BME Growth Market.

According to accounts presented to the market, Umbrella Solar projects group income to exceed 43 million euros in 2022, a 36% increase over the previous year’s 33 million.

The operating result of 877.00 euros, fell compared to 2.3 million in 2021, and the gross result delivered a loss of 371,000 euros, in contrast to the previous year’s profit of 1.7 million.

“It is great news that our gross margin has remained stable in 2022 despite a complex situation, especially with a large inflationary trend in raw materials, which has affected, among other things, the products used to build solar parks. We have been able to harness economies of scale which have allowed us to control margins so that they do not suffer excessive erosion as a result of this increase in raw material costs”. Enrique Selva Belvis, CEO of Umbrella Solar Investments.

Following the presentation of the results, Bankinter today reiterated its buy recommendation for Umbrella Solar’s shares and gave it a target price of 7.60 euros per share, up from the 6.3 euros at which it currently trades.

The main points Bankinter wanted to highlight in this presentation were:

  • good development of resultsGross margin expanded to 8% (+1 pp) with sales growth of +35%.
  • project portfolio It is growing favorably, with 8.3MW in operation in Spain, 52MW under construction and 160MW in an advanced stage of development and 105MW under management, while in LatAm it has 1,200MW under development, with 1,200MW under development for third parties. 37MW and 126MW are under construction. under management.
  • marketing other products: It has sold more than 72MWh accumulators and 5,000 artificial intelligence units.
  • new businessAdvances in e-mobility solutions and has begun deployment of 1,000 fast electric charging points for electric vehicles.
  • financial strength With a positive cash position (+€4.6M) if project debt is excluded and 9x EBITDA when including it.

“We liked the presentation, the company’s confirmation of the strategic lines driving its IPO in July 2022 and the development of the e-mobility activity, which will be built post-IPO. We leverage our recommendation Buy and target €7.60/share“, sentenced the bank in its recommendation on the value of Umbrella Solar in the Spanish stock market.