hep global GmbH, an international specialist in the development, implementation, and operation of photovoltaic projects, as well as an investment manager for solar funds through its subsidiaries, can look back on a successful 2021 fiscal year. Based on preliminary, unaudited consolidated figures in accordance with the German Commercial Code (HGB) for 2021, revenue rose from €52.9 million in 20201 to approximately €60 million. At the same time, hep increased its total output from €42.1 million1 to approximately €97 million. On the earnings side, earnings before interest and taxes (EBIT) improved from -€3.3 million1 to an estimated €8 million. The significant increases in revenue and earnings in the 2021 fiscal year are attributable, among other things, to the completion of project development services in the U.S. In addition, the U.S.-based hep petra Group, in which a majority stake was acquired in 2020, generated revenue from the project development, construction, and operation of solar parks. A total of five solar parks were successfully completed in the U.S. in 2021. Another 14 projects were in the construction phase as of the end of 2021.
In parallel with its successful operational performance, hep strengthened its internal organization in fiscal year 2021 by strategically optimizing processes and establishing expanded structures to ensure the realization of significant growth potential. As part of this effort, the global organizational structure was redefined and streamlined, for example through the merger of hep energy GmbH, hep energy projects GmbH, and hep energy operations GmbH. All of these measures are intended to enable synergy effects and further increase the Group’s efficiency and profitability. In addition, the Group-wide rollout of the modern ERP system SAP S4 HANA has begun.
Christian Hamann, founder and CEO of hep global GmbH:
“We are pleased with our successful business performance in 2021, during which we further strengthened our growth momentum. In addition to significant increases in revenue and earnings, we were also able to implement key organizational improvements, thereby laying the groundwork for continued sustainable growth.”
The 2022 and 2023 fiscal years are expected to be marked by the implementation of numerous projects that are currently already in the late stages of development. In total, these projects have a combined rated capacity of approximately 800 MWp and are expected to reach construction readiness and be built over the next 24 months.
The current geopolitical situation, and in particular the Russia-Ukraine war, also present new challenges for the solar industry. However, the potential impact on hep cannot yet be assessed, resulting in certain forecast uncertainties regarding future revenue and earnings trends. For instance, disruptions to supply chains or increased raw material and transportation costs could also affect the construction of solar parks. On the other hand, the significant cost increases for fossil fuels, the resulting higher energy prices, and the growing importance of energy independence are strong arguments for an even faster and more intensive global expansion of solar energy.
The audited 2021 consolidated financial statements are expected to be published in late June 2022 on the company’s website at www.hepsolar.com/en/green-bond in the Financial Reports section.
1 All figures for 2020 are based on the audited consolidated financial statements prepared in accordance with the German Commercial Code (HGB).