EQS-News: 2G Energy remains clearly on growth course

2G Energy remains clearly on growth course

• Incoming orders for new systems total EUR 65.3 million in the fourth quarter (previous year EUR 47.5 million, + 37%)
• Europe and North America dominate order activity
• By 2026, sales set to grow by up to a good EUR 100 million to between EUR 440 and 490 million
• In 2024, 2G Energy AG featured as the most traded share in the Scale segment

Heek, January 23, 2025 - 2G Energy AG (ISIN DE000A0HL8N9), one of the leading international manufacturers of sustainable power plants, combined heat and power (CHP) systems and producer of heat pumps significantly boosted its order intake in the new systems business once again in the fourth quarter of 2024 compared to the previous year. At +37%, incoming orders were up on the previous year for the sixth consecutive quarter.

The Management Board expects the German market, which has shown reticent developments, to pick up following the German parliamentary elections and the ensuing investment security given the formation of a new government. After several years of restraint, a certain investment backlog has also developed in the manufacturing SMEs relevant for 2G.

Europe and North America dominate order activity

The strong growth in the remaining European regions emanates from Eastern Europe. Against the backdrop of current geopolitical tensions, decentralized power plants and CHP systems are winning customers over thanks to their high degree of self-sufficiency. 2G is also successful in this region thanks to its comparatively short delivery times, which have been achieved through various initiatives within the context of the long-standing lead-to-lean project.

North America was significantly influenced by the Inflation Reduction Act ("IRA") in the USA. 2G expects demand to continue even after the expiry of the IRA due to the further sharp rise in electricity demands in the USA. Any import duties would only have a limited impact on electricity and heat production costs.

The distribution of incoming orders in the fourth quarter (EUR 65.3 million, previous year EUR 47.5 million, + 37%) is as follows*:

* rounding differences can arise.

Sales set to grow by up to a good EUR 100 million to between EUR 440 and 490 million by 2026

The Management Board expects sales of EUR 440 to 490 million for the coming year 2026. With a look to the year 2025, the Management Board confirms the sales forecast of EUR 430 to 450 million that was announced in October 2024 (see CN dated October 10, 2024). In terms of the year 2024, which has just elapsed, sales are expected to be recorded in the middle of the previous forecast of EUR 360 to 390 million, i.e., at EUR 370 to 380 million. This will result in an expected sales increase of EUR 60 to 120 million within the span of two years.

"2G continues to record lively demand for sustainable electricity and heat generation. The restrained developments in Western Europe and especially in Germany nevertheless hold a limited setback risk, which, however, will be offset by additional opportunities in the USA and Eastern Europe," as CSO Pablo Hofelich stated. "Despite regulatory and political uncertainties in some submarkets, we are overall optimistic with regard to the current and upcoming year. The consistent diversification strategy in the product portfolio and geographical coverage will also secure our growth in the upcoming periods."

2G Energy AG ranks as the most traded share in the Scale segment in 2024

Deutsche Börse published its annual cash market statistics for 2024 on January 2, 2025. According to this analysis, the 2G share achieved a trading volume of EUR 110 million in 2024, positioning it as the highest-turnover share in the German Scale segment.

"This success shows that investors appreciate the promising earnings potential offered by the sustainable power plants, CHP systems and heat pumps in our product portfolio, as well as the rapidly progressing internationalization," as CFO Friedrich Pehle stated. "Today’s capital market rightly perceives 2G Energy AG as an international solution provider for decentralized, flexible and secure energy supplies – and also features as the global technology leader in the use of hydrogen in stationary engines."

2G company portrait
The 2G Energy AG Group is an internationally leading manufacturer and system provider of decentralized energy supply systems. The company develops, produces and installs comprehensive solutions in the structurally growing market for highly efficient CHPs, large heat pumps and peak-load gensets. Digital grid integration and plant control for these types of energy generators, as well as service and maintenance, are further decisive performance criteria.

The product portfolio comprises three types of energy generation: CHP plants in the output range from 20 kW to 4,500 kW for operation with hydrogen, natural gas, biogas and other lean gases, large heat pumps in the range from 100 kW to 2,6000 kW as well as peak-load gensets with an electrical output of 500 kW or more. CHP plants operate with efficiencies of 90 percent and more, while large heat pumps achieve efficiencies of 300 to 500 percent, depending on the general conditions. With its products and services, 2G is at the interface to a decentralized, secure and largely decarbonized energy supply. More than 9,000 2G systems have already been installed worldwide in various applications, supplying electrical and thermal energy to a wide range of customers from the housing industry, agriculture, commercial and industrial companies, energy suppliers, municipal utilities and local government authorities.

2G is positioned worldwide as a system provider for decentralized energy solutions with its combination of CHP plants, peak-load gensets and large heat pumps. The company benefits from far-reaching synergies of these plant categories, ranging from project development, procurement, production and the predominantly containerized design to the largely identical customer base and regulatory framework as well as sales channels and digital control and service.

2G is consistently expanding its technological leadership through continuous research and development work, both in power plant and pump technologies as well as in specific software development for service and maintenance activities. The digital grid integration consistently implemented by 2G is an indispensable, system-relevant element in the future electricity market design and represents a high market entry hurdle for competitors. The sector coupling required for the success of the energy transition is reflected in 2G's portfolio.

2G employs more than 900 employees at its headquarters in Heek, Germany, in North America, as well as at six other European locations. The company is active in more than 50 countries and generated net sales of EUR 365.1 million in the 2023 financial year with an EBIT margin of 7.6%.

2G was founded in 1995. The shares of 2G Energy (ISIN DE000A0HL8N9) have been listed on the stock exchange market since 2007 and are included in the “Scale” segment of the Frankfurt Stock Exchange and listed in the Scale30 index.

Calendar 2025
February 05      Hamburger Investoren Tage (HIT), Hamburg
February 27      Announcement of preliminary net sales 2024
April 01             Preliminary results for FY 2024, 2025 guidance
April 03             Metzler Small Cap Days, Frankfurt
April 28             Consolidated financial statements for FY 2024
May 12-13        Spring Conference, Frankfurt
May 22             Q1 key figures and business trends
June 12            Ordinary AGM, Ahaus
September 04  Consolidated financial statements for H1 2025
November 24         Q3 key figures and business trends
November, 24-25  German Equity Forum, Frankfurt

IR contact
2G Energy AG
Benzstrasse 3, 48619 Heek
Phone: +49 (0) 2568 93 47-2795
Fax: +49 (0) 2568 93 47-15
Email: ir@2-g.de
Internet: www.2-g.de