EQS-News

VERBIO Vereinigte BioEnergie AG: Recovery in Bioethanol segment leads to solid Q3 2022/23 earnings

EQS-News: VERBIO Vereinigte BioEnergie AG / Key word(s): 9 Month figures VERBIO Vereinigte BioEnergie AG: Recovery in Bioethanol segment leads to solid Q3 2022/23 earnings 11.05.2023 / 08:00 CET/CEST The issuer is solely responsible for the content of this announcement. Recovery in Bioethanol segment leads to solid Q3 2022/23 earnings Positive trends in Bioethanol segment in Q3 2022/23 compared to Q2 2022/23 Falsely labelled biodiesel imports are burdening the European biodiesel market VERBIO builds the foundation for further growth Leipzig, May 11, 2023 – In the first nine months of the financial year 2022/23 VERBIO generated Group sales revenues of EUR 1,521.3 million (9 M 2021/22: EUR 1,237.5 million). The increase in sales revenues is primarily due to the higher average sales prices of both biodiesel and bioethanol. Comparatively higher procurement prices for raw materials and higher energy costs led to a fall in earnings before interest, taxation, depreciation and amortisation (EBITDA) to EUR 213.5 million for the nine-month period 2022/23 (9 M 2021/22: EUR 314.9 million). In the same period of the previous year VERBIO benefitted from attractive raw material procurement prices. Q3 2022/23: Positive trend in the Bioethanol segment VERBIO generated sales revenues of EUR 443.6 million in the third quarter (Q3 2021/22: EUR 428.4 million) and an EBITDA of EUR 43.2 million (Q3 2021/22: EUR 127.7 million), following on from the second quarter in which the Group generated sales revenues of EUR 485.5 million and an EBITDA of EUR 48.9 million. The recovery in the Bioethanol segment largely offset the decline in the Biodiesel segment, highlighting the advantages of VERBIO’s product portfolio. In the Biodiesel segment VERBIO generated sales revenues of EUR 308.2 million, a 6 percent increase compared to the same period in the previous year (Q3 2021/22: EUR 292.0 million) and 14 percent lower than in the previous quarter (Q2 2022/23: EUR 357.4 million). This was primarily driven by sharp declines in biodiesel prices due, among other things, to falsely labelled imports of Chinese biodiesel. From January to March alone, market prices fell by approximately EUR 375 per tonne. In the same period the prices paid for rapeseed oil fell by only approximately EUR 130 per tonne, with the time lag between purchasing and selling putting additional pressure on VERBIO’s earnings. The attractive pricing of GHG premiums had a stabilising effect on earnings, with the result that it was possible to generate an EBITDA of EUR 24.5 million (Q2 2022/23: EUR 47.0 million; Q3 2021/22: EUR 75.3 million).