6-K
Enlight Renewable Energy Ltd. (ENLT)
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 6-K
REPORT OF FOREIGN PRIVATE ISSUER
PURSUANT TO RULE 13A-16 OR 15D-16
UNDER THE SECURITIES EXCHANGE ACT OF 1934
For the month of August 2024
Commission File Number: 001-41613
Enlight Renewable Energy Ltd.
(Translation of registrant’s name into English)
13 Amal St., Afek Industrial Park
Rosh Ha’ayin, Israel
- 972 (3) 900-8700
(Address of principal executive office)
Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F.
Form 20-F ☒ Form 40-F ☐
EXPLANATORY NOTE
On August 7, 2024, Enlight Renewable Energy Ltd. (the “Company”) issued a press release titled: “Enlight Renewable Energy Reports Second-Quarter 2024 Financial Results” and will conducted a conference call using a presentation titled: “Enlight Earnings Presentation Second Quarter 2024.” Details of the conference call are provided in the press release. A copy of the press release, as well as supplemental appendices containing further information regarding the Company’s financial results for the six-month period ended June 30, 2024 and other operational updates, is furnished as Exhibit 99.1 herewith and a copy of the presentation is furnished as Exhibit 99.2 herewith.
Incorporation by Reference
Other than as indicated below, the information in this Form 6-K (including in Exhibits 99.1 and 99.2) shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liabilities of that section, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended, or the Exchange Act.
The IFRS financial information contained in the (i) consolidated statements of financial position, (ii) consolidated statements of income and (iii) consolidated statements of cash flows included in the press release attached as Exhibit 99.1 to this Report on Form 6-K is hereby incorporated by reference into the Company’s Registration Statement on Form S-8 (File No. 333-271297).
EXHIBIT INDEX
The following exhibit is furnished as part of this Form 6-K:
2
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, as amended, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
| Enlight Renewable Energy Ltd. | ||
|---|---|---|
| Date: August 7, 2024 | By: | /s/ Nir Yehuda |
| Nir Yehuda | ||
| Chief Financial Officer |
3
Exhibit 99.1
Press Release
ENLIGHT RENEWABLE ENERGY REPORTS
SECOND QUARTER 2024 FINANCIAL RESULTS
All of the amounts disclosed in this press release are in U.S. dollars unless otherwise noted
TEL AVIV, ISRAEL, August 7, 2024 – Enlight Renewable Energy Ltd. (NASDAQ: ENLT, TASE: ENLT) today reported financial results for the second quarter ending June 30, 2024. The Company’s earnings conference call and webcast will be held today at 8:00 AM ET. Registration links to both the call and the webcast can be found at the end of this earnings release.
The entire suite of the Company’s 2Q24 financial results can be found on our IR website at https://enlightenergy.co.il/data/financial-reports/
Financial Highlights
6 months ending June 30, 2024
| ● | Revenue of $175m, up 42% year over year |
|---|---|
| ● | Adjusted EBITDA^1^ of $126, up 33% year over year |
| --- | --- |
| ● | Net income of $34m, down 39% year over year |
| --- | --- |
| ● | Cash flow from operations of $91m, down 4% year over year |
| --- | --- |
3 months ending June 30, 2024
| ● | Revenue of $85m, up 61% year over year |
|---|---|
| ● | Adjusted EBITDA^1^ of $58m, up 39% year over year |
| --- | --- |
| ● | Net income of $9m, down 58% year over year |
| --- | --- |
| ● | Cash flow from operations of $56m, up 42% year over year |
| --- | --- |
Raising full year guidance range
The results of Enlight’s operations during the second quarter and first half of 2024 have been excellent. Revenues and EBITDA have been higher than our expectations after achieving sound operational performance as well as O&M and G&A cost savings. As a result, we are raising our full year guidance ranges for 2024. We now expect 2024 revenues in the range of $345-$360m from $335-$360m previously, and adjusted EBITDA^1^in the range of $245-$260m from $235-$255m previously. This represents an increase of $5m and $7.5m from previous midpoints respectively, and further demonstrates our confidence in the positive trends and strong growth in all areas of our business.
^1^ The Company is unable to provide a reconciliation of Adjusted EBITDA to Net Income on a forward-looking basis without unreasonable effort because items that impact this IFRS financial measure are not within the Company’s control and/or cannot be reasonably predicted. Please refer to the reconciliation table in Appendix 2.
^^
Second Quarter Business Developments
| ● | Tapolca, a 60 MW solar project in Hungary, reached COD. |
|---|---|
| ● | Yesha and Reim (15 MW and 94 MWh in total), parts of the Israel Solar + Storage Cluster, reached COD. Roll out of the remaining 3 sites of the Cluster is on track for the rest of this year. |
| --- | --- |
| ● | Atrisco Energy Storage reached financial close of more than $400m million of debt and tax equity provided by a consortium led by HSBC and U.S. Bank. Enlight expects to recycle $234 million of equity back on its balance sheet. |
| --- | --- |
| ● | Operational portfolio grew by 75 MW and 94 MWh. 234 MWh storage capacity added to the Mature Project portfolio since the last quarter’s earnings report. |
| --- | --- |
“I’m pleased with Enlight’s excellent financial performance this quarter, exceeding our own expectations. The Company’s investment in the US has begun to bear fruit with the completion of construction at our flagship Atrisco project, which will begin to contribute a substantial amount of income to our operations in the coming months,” said Gilad Yavetz, CEO of Enlight Renewable Energy.
“The financial close of Atrisco Energy Storage, involving eight of the largest and most prestigious banks in the US and the world, highlights Enlight’s differentiated sources of financing. We believe that in the near future many opportunities will arise in the market, and Enlight’s advantage in access to finance will become significant.”
“The markets in Europe and Israel continue to grow in parallel with the increasing activity in the USA. We believe that thanks to the core infrastructure that we have created, together with differentiation in financing and ability to execute in all market conditions, we will continue to show rapid growth with high margins in the coming periods as well.”
Overview of Financial and Operating Results: Revenue
| ($ thousands) | For the six months period ended | For the three months Ended | ||
|---|---|---|---|---|
| Segment | June 30, 2024 | June 30, 2023 | June 30, 2024 | June 30, 2023 |
| MENA | 66,041 | 29,757 | 37,567 | 15,919 |
| Europe | 101,123 | 89,530 | 41,963 | 34,507 |
| USA | 3,431 | - | 2,200 | - |
| Management and Construction | 4,500 | 4,270 | 2,968 | 2,137 |
| Total Revenues | 175,095 | 123,557 | 84,698 | 52,563 |
In the second quarter of 2024, the Company’s revenues increased to $85m, up from $53m last year, a growth rate of 61% year over year. The Company benefited from the revenue contribution of new operational projects, as well as higher production and inflation indexation embedded in our PPAs for already operational projects.
Since the second quarter of 2023, 592 MW and 434 MWh of projects were connected to the grid and began selling electricity, including Apex Solar in the U.S.; ACDC in Hungary; and Genesis Wind in Israel; and nine of the Solar & Storage Cluster units in Israel. The Company also benefited from the full ramp up of project Björnberget in Sweden which was partially operational in the second quarter of last year. In total, these new projects contributed $24m in 2Q24 and $46m in the first half of the year.
Prices at projects where electricity is sold under a merchant model were firm during the second quarter following volatility at the start of the year. Gecama revenues increased 37% year over year to $13m, as the project benefited from positive pricing and production trends. We sold electricity at an average of EUR 71 per MWh versus EUR 58 per MWh for the same period this year, while production was up 14% from the same period last year.
Financial performance was well-balanced between Europe and MENA, with 51% of revenues in the second quarter of 2024 denominated in Euros, 3% in US Dollars, and 46% denominated in Israeli Shekel. In contrast, the United States received the largest amount of investment capex during the quarter; as a result of this capex spending, approximately 15% of sales are expected to come the U.S. in 2025, adding more balance and diversification to Enlight’s revenues.
Net Income
In the second quarter, the Company’s net income amounted to $9m compared to $22m last year, a decline of 58% year over year. This change can be ascribed to following factors. The impact of new projects added $6m to the net income. In addition, we recorded the revaluation of our inflation-linked Shekel denominated debt, which resulted in a non-cash financial expense of $5m. The increase was driven by rising Israeli CPI values being applied to the higher amount of indexed senior debt on our balance sheet as compared to the same period last year. While rising inflation causes an increase in non-cash financial expense, it also results in higher revenues generated from index-linked electricity prices in Israel, which will be reflected in our financial results starting from 2025 and onwards. Overall, this represents a net benefit to the Company. Finally, 2Q23 financial income was boosted by $10m benefit recorded in other income stemming from the recalculation of the earnout payments linked to the acquisition of Clenera and from the recognition of LDs from Siemens Gamesa due to the delay in reaching full production at project Björnberget.
Adjusted EBITDA^2^
In the second quarter of 2024, the Company’s Adjusted EBITDA grew by 39% to $58m compared to $42m for the same period in 2023. The increase was driven by the same factors which affected our revenue increase, which contributed $32m, though offset by an additional $7m in higher operating expenses linked to new projects. We also recorded profit of approximately $1m from the sale of a U.S. project from within our advanced development portfolio. Company overhead rose by $2m year-on-year. Note that adjusted EBITDA for 2Q23 was boosted by $8m from the recognition of compensation received from Siemens linked to inadequate performance of turbines at the Björnberget project in Sweden.
^2^ The Company is unable to provide a reconciliation of Adjusted EBITDA to Net Income on a forward-looking basis without unreasonable effort because items that impact this IFRS financial measure are not within the Company’s control and/or cannot be reasonably predicted. Please refer to the reconciliation table in Appendix 2.
Portfolio Overview^3^
Key changes to the Company’s project portfolio during the second quarter of 2024:
| ● | Operational portfolio grew by 75 MW and 94 MWh |
|---|---|
| ● | Mature Project portfolio grew by 234 MWh |
| --- | --- |
| ● | After the balance sheet date, construction of the Atrisco Solar and Energy Storage project (364 MW and 1.2 GWh) was completed, and initial COD is expected to occur in the coming weeks. |
| --- | --- |
United States
Enlight continues to increase its investment in the U.S., which will become an even more significant region for us in the coming years. Following project Apex which reached COD in 2023, we have completed the construction of our flagship Atrisco Solar and Energy Storage project, comprising 364 MW of solar and 1.2 GWh of battery located in New Mexico. Atrisco is now in the midst of the commissioning process, and is fast approaching COD. Mechanical works on both the Solar and the Energy Storage portions of the project have been completed. Gradual commencement of the Solar portion is expected to occur in the coming weeks, with full COD expected to be achieved during the rest of this year. The Energy Storage portion of the project reached financial close at the end of July, raising more than $400m in term loans and tax equity from HSBC and U.S. Bank. Additional information on the financial close appears in the Financing Arrangements section below.
Expansion plans in the United States
Quail Ranch, Roadrunner, and Country Acres projects, which together total 810 MW of generation and over 2 GWh of energy storage capacity, are all in advanced stages and progressing towards construction. We expect to begin with initial construction capex spending on all three sites during 2024. The business environment remains very supportive. Equipment costs have fallen, boosting our project returns in the U.S. during 2024 and beyond. Finally, we have been able to adapt to the new AD/CVD framework. Our panel supplier has shifted cell sourcing to non-affected Southeast Asian countries, maintaining a steady source of PV supply for the coming years.
^3^ As of August 7, 2024, the “Approval Date”
Europe
Tapolca, a 60 MW solar plant and our fifth project in Hungary, began selling electricity on merchant markets at the end of July, on schedule. Construction of the 94 MW Pupin wind farm in Serbia is advancing as planned, and should reach COD during 2H25 as expected. Finally, project Björnberget in Sweden has reached full capacity, with all 60 turbines functioning.
Moving to our operational portfolio, the Gecama Wind project in Spain sold electricity at an average price of EUR 71 per MWh during 2Q24 compared to EUR 58 per MWh last year. During the quarter, 30% of production was sold at merchant price of EUR 35 per MWh, while 70% of production was secured under a financial hedge at EUR 85 per MWh. Spanish power prices risen significantly, and are now in the EUR 60-70 per MWh range. Gecama continues to excel on an operational level, with generation volumes up 14% and 17% for 2Q24 and 1H24 respectively when compared to the same periods last year.
Enlight’s hedging strategy provided significant downside protection against the volatility in prices, and will continue to do so for the rest of the year. Our EUR 100 per MWh hedge will cover 65% of Gecama’s anticipated generation for the rest of 2024 on an average basis. Enlight has already begun preparing a hedging strategy for 2025, and has entered into futures contracts covering 45% of our estimated generation output for next year at an approximate price of EUR 64 per MWh.
The Company expects development of the Gecama Hybrid project to reach completion soon. This project will add 225 MW solar generation and 220 MWh storage capacity to the existing wind farm, and is expected to begin construction in the coming months.
MENA
The build out of the Israel Solar + Storage clusters continued with the COD of Yesha and Re’im, adding 15 MW and 94 MWh to the project’s operational capacity. These are the eighth and ninth units within the cluster, which will ultimately comprise of 12 sites in the north and center of Israel, with a total capacity of 248 MW and 593 MWh. We expect COD for the remaining three sites during 2024. We also received approval for 200 MW of additional interconnect to Israel’s national grid, which will be used to expand the offtake of existing projects as well as support the launching of new ones.
We continue to expand our reach into Israel’s newly deregulated power sector with more commercial agreements. Our joint venture with Electra Power to supply electricity to the country’s household sector was formally launched in July, and we signed five additional corporate PPAs with industrial customers in the communications and real estate sectors.
Financing Arrangements
At the end of July, Enlight achieved the financial closing for the Atrisco Energy Storage project, a component of the Atrisco Solar and Energy Storage project with capacity of 364 MW and 1.2 GWh.
| ● | The construction financing of $401 million was arranged through a consortium of eight American and international banks led by HSBC, and will convert into a $185 million term loan provided by the consortium led by HSBC, as well as tax<br> equity of $222 million provided by U.S. Bank upon the project’s COD. |
|---|---|
| ● | The term loan is structured as a 5-year mini perm with a 20-year underlying amortization profile, and is subject to an all-in interest rate (fixed base + margin) of 5.6% to 5.9%. |
| --- | --- |
| ● | In connection with this transaction, Enlight expects to recycle $234 million of equity back to its balance sheet in the coming weeks. |
| --- | --- |
| ● | The financial close of the Energy Storage portion completes financing and tax equity arrangements for the entire Atrisco project. |
| --- | --- |
| ● | Financial close on the Atrisco Solar project was achieved in December 2023 for $300 million, which will convert to a $107 million term loan provided by a consortium led by HSBC, and $198 million in tax equity from Bank of America upon the<br> project’s COD. |
| --- | --- |
Sell downs of assets, whether operating, under construction, or still in development, remains an important strategic objective for Enlight. The Company estimates it will generate capital gains of $15m from sell-downs, likely to be realized towards the end of this year. This figure is included in the Adjusted EBITDA portion of our 2024 Financial Outlook.
Balance Sheet
The Company maintains $320m of revolving credit facilities, of which $170m have been drawn as of the date of this report. In addition, we expect the imminent receipt of $234m in equity recycled from the financial close of Atrisco Energy Storage, as mentioned above, and use part of the proceeds to repay a portion of our revolving credit facilities. These resources enhance our financial strength and provide additional flexibility to the Company as it delivers on its Mature Projects portfolio.
| ($ thousands) | June 30, 2024 | Pro Forma* |
|---|---|---|
| Cash and Cash Equivalents: | ||
| Enlight Renewable Energy Ltd, Enlight EU Energies Kft and Enlight<br><br> <br>Renewable LLC excluding subsidiaries (“Topco”) | 45,620 | 234,620 |
| Subsidiaries | 163,171 | 163,171 |
| Deposits: | ||
| Short term deposits | - | - |
| Restricted Cash: | ||
| Projects under construction | 161,120 | 161,120 |
| Reserves, including debt service, performance obligations and others | 35,097 | 35,097 |
| Total Cash | 405,008 | 594,008 |
* Pro Forma after the recycling of Atrisco Energy Storage equity post financial close. The company expects to imminently receive $234m, and use part of the proceeds to repay revolving credit facility debt. The net cash expected to be recycled back to the company in the coming days is $189m.
2024 Financial Outlook
Commenting on the outlook, Enlight Chief Financial Officer Nir Yehuda noted, “our financial performance has been very strong over the second quarter and first half of 2024. As a result, we are raising our guidance ranges of our Financial Outlook for the full year.”
| ● | Revenue between $345m and $360m (from $335m to $360m previously) |
|---|---|
| ● | Adjusted EBITDA^4^ between $245m and $260m (from $235m to $255m previously) |
| --- | --- |
| ● | 90% of 2024’s expected generation output will be sold at fixed prices either through hedges or PPAs. |
| --- | --- |
Conference Call Information
Enlight plans to hold its Second Quarter 2024 Conference Call and Webcast on Wednesday, August 7, 2024 at 8:00 a.m. ET to review its financial results and business outlook. Management will deliver prepared remarks followed by a question-and-answer session. Participants can join by dial-in or webcast:
| ● | Conference Call: |
|---|
Please pre-register to join by conference call using the following link:
https://register.vevent.com/register/BI7ce3bc96fcd64abe93e9adb7a0027f53
Upon registering, you will be emailed a dial-in number, direct passcode and unique PIN.
| ● | Webcast: |
|---|
Please register and join by webcast at the following link:
https://edge.media-server.com/mmc/p/37kczbig
The press release with the financial results as well as the investor presentation materials will be accessible from the Company’s website prior to the conference call. Approximately one hour after completion of the live call, an archived version of the webcast will be available on the Company’s investor relations website at https://enlightenergy.co.il/info/investors/.
^4^ The section titled “Non-IFRS Financial Measures” below contains a description of Adjusted EBITDA, a non-IFRS financial measure discussed in this press release. A reconciliation between Adjusted EBITDA and Net Income, its most directly comparable IFRS financial measure, is contained in the tables below. The Company is unable to provide a reconciliation of Adjusted EBITDA to Net Income on a forward-looking basis without unreasonable effort because items that impact this IFRS financial measure are not within the Company’s control and/or cannot be reasonably predicted. These items may include, but are not limited to, forward-looking depreciation and amortization, share based compensation, other income, finance income, finance expenses, share of losses of equity accounted investees and taxes on income. Such information may have a significant, and potentially unpredictable, impact on the Company’s future financial results. We note that “Adjusted EBITDA” measures that we disclosed in previous filings in Israel were not comparable to “Adjusted EBITDA” disclosed in the release and in our future filings.
Supplemental Financial and Other Information
We intend to announce material information to the public through the Enlight investor relations website at https://enlightenergy.co.il/info/investors, SEC filings, press releases, public conference calls, and public webcasts. We use these channels to communicate with our investors, customers, and the public about our company, our offerings, and other issues. As such, we encourage investors, the media, and others to follow the channels listed above, and to review the information disclosed through such channels. Any updates to the list of disclosure channels through which we will announce information will be posted on the investor relations page of our website.
Non-IFRS Financial Measures
This release presents Adjusted EBITDA, a financial metric, which is provided as a complement to the results provided in accordance with the International Financial Reporting Standards as issued by the International Accounting Standards Board (“IFRS”). A reconciliation of the non-IFRS financial information to the most directly comparable IFRS financial measure is provided in the accompanying tables found at the end of this release.
We define Adjusted EBITDA as net income (loss) plus depreciation and amortization, share based compensation, finance expenses, taxes on income and share in losses of equity accounted investees and minus finance income and non-recurring other income. Non-recurring other income for the second quarter of 2024 included income recognized in relation to the reduction of earnout we expect to pay as part of the Clenera Acquisition and other income recognized in relation to tax credits for projects in the United States. With respect to other expense (income), as part of Enlight’s strategy to accelerate growth and reduce the need for equity financing, the Company sells parts of, or entire, developed assets from time to time, and therefore includes realized gains and losses from these asset dispositions in Adjusted EBITDA. Our management believes Adjusted EBITDA is indicative of operational performance and ongoing profitability and uses Adjusted EBITDA to evaluate the operating performance and for planning and forecasting purposes.
Non-IFRS financial measures have limitations as analytical tools and should not be considered in isolation or as substitutes for financial information presented under IFRS. There are a number of limitations related to the use of non-IFRS financial measures versus comparable financial measures determined under IFRS. For example, other companies in our industry may calculate the non-IFRS financial measures that we use differently or may use other measures to evaluate their performance. All of these limitations could reduce the usefulness of our non-IFRS financial measures as analytical tools. Investors are encouraged to review the related IFRS financial measure, Net Income, and the reconciliations of Adjusted EBITDA provided below to Net Income and to not rely on any single financial measure to evaluate our business.
Special Note Regarding Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the U.S. Private Securities Litigation Reform Act of 1995. We intend such forward-looking statements to be covered by the safe harbor provisions for forward-looking statements as contained in Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All statements contained in this press release other than statements of historical fact, including, without limitation, statements regarding the Company’s business strategy and plans, capabilities of the Company’s project portfolio and achievement of operational objectives, market opportunity, utility demand and potential growth, discussions with commercial counterparties and financing sources, pricing trends for materials, progress of Company projects, including anticipated timing of related approvals and project completion and anticipated production delays, the Company’s future financial results, expected impact from various regulatory developments and anticipated trade sanctions, expectations regarding wind production, electricity prices and windfall taxes, and Revenue and Adjusted EBITDA guidance, the expected timing of completion of our ongoing projects, and the Company’s anticipated cash requirements and financing plans , are forward-looking statements. The words “may,” “might,” “will,” “could,” “would,” “should,” “expect,” “plan,” “anticipate,” “intend,” “target,” “seek,” “believe,” “estimate,” “predict,” “potential,” “continue,” “contemplate,” “possible,” “forecasts,” “aims” or the negative of these terms and similar expressions are intended to identify forward-looking statements, though not all forward-looking statements use these words or expressions.
These statements are neither promises nor guarantees, but involve known and unknown risks, uncertainties and other important factors that may cause our actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements, including, but not limited to, the following: our ability to site suitable land for, and otherwise source, renewable energy projects and to successfully develop and convert them into Operational Projects; availability of, and access to, interconnection facilities and transmission systems; our ability to obtain and maintain governmental and other regulatory approvals and permits, including environmental approvals and permits; construction delays, operational delays and supply chain disruptions leading to increased cost of materials required for the construction of our projects, as well as cost overruns and delays related to disputes with contractors; disruptions in trade caused by political, social or economic instability in regions where our components and materials are made; our suppliers’ ability and willingness to perform both existing and future obligations; competition from traditional and renewable energy companies in developing renewable energy projects; potential slowed demand for renewable energy projects and our ability to enter into new offtake contracts on acceptable terms and prices as current offtake contracts expire; offtakers’ ability to terminate contracts or seek other remedies resulting from failure of our projects to meet development, operational or performance benchmarks; exposure to market prices in some of our offtake contracts; various technical and operational challenges leading to unplanned outages, reduced output, interconnection or termination issues; the dependence of our production and revenue on suitable meteorological and environmental conditions, and our ability to accurately predict such conditions; our ability to enforce warranties provided by our counterparties in the event that our projects do not perform as expected; government curtailment, energy price caps and other government actions that restrict or reduce the profitability of renewable energy production; electricity price volatility, unusual weather conditions (including the effects of climate change, could adversely affect wind and solar conditions), catastrophic weather-related or other damage to facilities, unscheduled generation outages, maintenance or repairs, unanticipated changes to availability due to higher demand, shortages, transportation problems or other developments, environmental incidents, or electric transmission system constraints and the possibility that we may not have adequate insurance to cover losses as a result of such hazards; our dependence on certain operational projects for a substantial portion of our cash flows; our ability to continue to grow our portfolio of projects through successful acquisitions; changes and advances in technology that impair or eliminate the competitive advantage of our projects or upsets the expectations underlying investments in our technologies; our ability to effectively anticipate and manage cost inflation, interest rate risk, currency exchange fluctuations and other macroeconomic conditions that impact our business; our ability to retain and attract key personnel; our ability to manage legal and regulatory compliance and litigation risk across our global corporate structure; our ability to protect our business from, and manage the impact of, cyber-attacks, disruptions and security incidents, as well as acts of terrorism or war; changes to existing renewable energy industry policies and regulations that present technical, regulatory and economic barriers to renewable energy projects; the reduction, elimination or expiration of government incentives for, or regulations mandating the use of, renewable energy; our ability to effectively manage the global expansion of the scale of our business operations; our ability to perform to expectations in our new line of business involving the construction of PV systems for municipalities in Israel; our ability to effectively manage our supply chain and comply with applicable regulations with respect to international trade relations, tariffs, sanctions, export controls and anti-bribery and anti-corruption laws; our ability to effectively comply with Environmental Health and Safety and other laws and regulations and receive and maintain all necessary licenses, permits and authorizations; our performance of various obligations under the terms of our indebtedness (and the indebtedness of our subsidiaries that we guarantee) and our ability to continue to secure project financing on attractive terms for our projects; limitations on our management rights and operational flexibility due to our use of tax equity arrangements; potential claims and disagreements with partners, investors and other counterparties that could reduce our right to cash flows generated by our projects; our ability to comply with increasingly complex tax laws of various jurisdictions in which we currently operate as well as the tax laws in jurisdictions in which we intend to operate in the future; the unknown effect of the dual listing of our ordinary shares on the price of our ordinary shares; various risks related to our incorporation and location in Israel, including the ongoing war in Israel, where our headquarters and some of our wind energy and solar energy projects are located; the costs and requirements of being a public company, including the diversion of management’s attention with respect to such requirements; certain provisions in our Articles of Association and certain applicable regulations that may delay or prevent a change of control; and other risk factors set forth in the section titled “Risk factors” in our Annual Report on Form 20-F for the fiscal year ended December 31, 2023, filed with the Securities and Exchange Commission (the “SEC”), as may be updated in our other documents filed with or furnished to the SEC.
These statements reflect management’s current expectations regarding future events and operating performance and speak only as of the date of this press release. You should not put undue reliance on any forward-looking statements. Although we believe that the expectations reflected in the forward-looking statements are reasonable, we cannot guarantee that future results, levels of activity, performance and events and circumstances reflected in the forward-looking statements will be achieved or will occur. Except as required by applicable law, we undertake no obligation to update or revise publicly any forward-looking statements, whether as a result of new information, future events or otherwise, after the date on which the statements are made or to reflect the occurrence of unanticipated events.
About Enlight
Founded in 2008, Enlight develops, finances, constructs, owns, and operates utility-scale renewable energy projects. Enlight operates across the three largest renewable segments today: solar, wind and energy storage. A global platform, Enlight operates in the United States, Israel and 9 European countries. Enlight has been traded on the Tel Aviv Stock Exchange since 2010 (TASE: ENLT) and completed its U.S. IPO (Nasdaq: ENLT) in 2023.
Company Contacts
Yonah Weisz
Director IR
investors@enlightenergy.co.il
Erica Mannion or Mike Funari
Sapphire Investor Relations, LLC
+1 617 542 6180
investors@enlightenergy.co.il
Appendix 1 – Financial information
Consolidated Statements of Income
| For the three months ended <br> June 30 | |||||||
|---|---|---|---|---|---|---|---|
| 2023 | 2024 | 2023 | |||||
| in | in | in | |||||
| thousands | thousands | thousands | |||||
| Revenues | |||||||
| Cost of sales | ) | ) | ) | ) | |||
| Depreciation and amortization | ) | ) | ) | ) | |||
| Gross profit | |||||||
| General and administrative expenses | ) | ) | ) | ) | |||
| Development expenses | ) | ) | ) | ) | |||
| Other income | |||||||
| ) | ) | ) | |||||
| Operating profit | |||||||
| Finance income | |||||||
| Finance expenses | ) | ) | ) | ) | |||
| Total finance expenses, net | ) | ) | ) | ) | |||
| Profit before tax and equity loss | |||||||
| Share of loss of equity accounted investees | ) | ) | ) | ) | |||
| Profit before income taxes | |||||||
| Taxes on income | ) | ) | ) | ) | |||
| Profit for the period | |||||||
| Profit for the period attributed to: | |||||||
| Owners of the Company | |||||||
| Non-controlling interests | |||||||
| Earnings per ordinary share (in ) | |||||||
| with a par value of NIS 0.1, attributable to | |||||||
| owners of the parent Company: | |||||||
| Basic earnings per share | |||||||
| Diluted earnings per share | |||||||
| Weighted average of share capital used in the | |||||||
| calculation of earnings: | |||||||
| Basic per share | |||||||
| Diluted per share |
All values are in US Dollars.
| Consolidated Statements of Financial Position as of | ||
|---|---|---|
| June 30 | December 31 | |
| --- | --- | --- |
| 2024 | 2023 | |
| in | in | |
| Thousands | Thousands | |
| Assets | ||
| Current assets | ||
| Cash and cash equivalents | ||
| Deposits in banks | ||
| Restricted cash | ||
| Trade receivables | ||
| Other receivables | ||
| Current maturities of contract assets | ||
| Other financial assets | ||
| Total current assets | ||
| Non-current assets | ||
| Restricted cash | ||
| Other long-term receivables | ||
| Deferred costs in respect of projects | ||
| Deferred borrowing costs | ||
| Loans to investee entities | ||
| Contract assets | ||
| Fixed assets, net | ||
| Intangible assets, net | ||
| Deferred taxes assets | ||
| Right-of-use asset, net | ||
| Financial assets at fair value through profit or loss | ||
| Other financial assets | ||
| Total non-current assets | ||
| Total assets |
All values are in US Dollars.
| Consolidated Statements of Financial Position as of (Cont.) | ||
|---|---|---|
| June 30 | December 31 | |
| --- | --- | --- |
| 2024 | 2023 | |
| in | in | |
| Thousands | Thousands | |
| Liabilities and equity | ||
| Current liabilities | ||
| Credit and current maturities of loans from | ||
| banks and other financial institutions | 521,810 | 324,666 |
| Trade payables | ||
| Other payables | ||
| Current maturities of debentures | ||
| Current maturities of lease liability | ||
| Financial liabilities through profit or loss | ||
| Other financial liabilities | ||
| Total current liabilities | ||
| Non-current liabilities | ||
| Debentures | ||
| Other financial liabilities | ||
| Convertible debentures | ||
| Loans from banks and other financial institutions | ||
| Loans from non-controlling interests | ||
| Financial liabilities through profit or loss | ||
| Deferred taxes liabilities | ||
| Employee benefits | ||
| Lease liability | ||
| Other payables | ||
| Asset retirement obligation | ||
| Total non-current liabilities | ||
| Total liabilities | ||
| Equity | ||
| Ordinary share capital | ||
| Share premium | ||
| Capital reserves | ||
| Proceeds on account of convertible options | ||
| Accumulated profit | ||
| Equity attributable to shareholders of the Company | ||
| Non-controlling interests | ||
| Total equity | ||
| Total liabilities and equity |
All values are in US Dollars.
| Consolidated Statements of Cash Flows | ||||||||
|---|---|---|---|---|---|---|---|---|
| For the six months period ended June 30 | For the three months period ended June 30 | |||||||
| --- | --- | --- | --- | --- | --- | --- | --- | --- |
| 2024 | 2023 | 2024 | 2023 | |||||
| in | in | in | in | |||||
| Thousands | Thousands | Thousands | Thousands | |||||
| Cash flows for operating activities | ||||||||
| Profit for the period | ||||||||
| Income and expenses not associated with cash flows: | ||||||||
| Depreciation and amortization | ||||||||
| Finance expenses, net | ||||||||
| Share-based compensation | ||||||||
| Taxes on income | ||||||||
| Other income, net | ) | ) | ) | ) | ||||
| Company’s share in losses of investee partnerships | ||||||||
| Changes in assets and liabilities items: | ||||||||
| Change in other receivables | ) | ) | ) | ) | ||||
| Change in trade receivables | ||||||||
| Change in other payables | ) | |||||||
| Change in trade payables | ) | ) | ) | ) | ||||
| ) | ) | ) | ||||||
| Interest receipts | ||||||||
| Interest paid | ) | ) | ) | ) | ||||
| Income Tax paid | ) | ) | ) | ) | ||||
| Repayment of contract assets | ||||||||
| Net cash from operating activities | ||||||||
| Cash flows for investing activities | ||||||||
| Acquisition of consolidated entities | ) | |||||||
| Changes in restricted cash and bank deposits, net | ) | ) | ) | |||||
| Purchase, development, and construction in respect of projects | ) | ) | ) | ) | ||||
| Loans provided and Investment in investees | ) | ) | ) | ) | ||||
| Repayment of loans to investees | ||||||||
| Payments on account of acquisition of consolidated company | ) | ) | ||||||
| Proceeds from sale (purchase) of long-term financial assets measured at fair value through profit or loss, net | ) | ) | ) | ) | ||||
| Net cash used in investing activities | ) | ) | ) | ) |
All values are in US Dollars.
| Consolidated Statements of Cash Flows (Cont.) | ||||||||
|---|---|---|---|---|---|---|---|---|
| For the six months period ended June 30 | For the three months period ended June 30 | |||||||
| --- | --- | --- | --- | --- | --- | --- | --- | --- |
| 2024 | 2023 | 2024 | 2023 | |||||
| in | in | in | in | |||||
| Thousands | Thousands | Thousands | Thousands | |||||
| Cash flows from financing activities | ||||||||
| Receipt of loans from banks and other financial institutions | ||||||||
| Repayment of loans from banks and other financial institutions | ) | ) | ) | ) | ||||
| Repayment of debentures | ) | ) | ||||||
| Dividends and distributions by subsidiaries to non-controlling interests | ) | ) | ) | ) | ||||
| Deferred borrowing costs | ) | ) | ) | ) | ||||
| Receipt of loans from non-controlling interests | ||||||||
| Repayment of loans from non-controlling interests | ) | ) | ) | |||||
| Increase in holding rights of consolidated entity | ) | ) | ||||||
| Issuance of shares | ||||||||
| Exercise of share options | ||||||||
| Repayment of lease liability | ) | ) | ) | ) | ||||
| Proceeds from investment in entities by non- controlling interest | ||||||||
| Net cash from financing activities | ||||||||
| Increase (Decrease) in cash and cash equivalents | ) | ) | ) | |||||
| Balance of cash and cash equivalents at beginning of period | ||||||||
| Effect of exchange rate fluctuations on cash and cash equivalents | ) | ) | ) | ) | ||||
| Cash and cash equivalents at end of period |
All values are in US Dollars.
Segmental Reporting
| For the six months ended June 30, 2024 | |||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| MENA(**) | Europe(**) | USA | Management and Construction | Total reportable segments | Adjustments | Total | |||||||||
| in thousands | |||||||||||||||
| External revenues | 101,123 | 3,431 | 4,500 | 175,095 | - | 175,095 | |||||||||
| Inter-segment revenues | - | - | 2,851 | 2,851 | (2,851 | ) | - | ||||||||
| Total revenues | 101,123 | 3,431 | 7,351 | 177,946 | (2,851 | ) | 175,095 | ||||||||
| Segment Adjusted | |||||||||||||||
| EBITDA | 83,253 | 1,305 | 2,291 | 141,722 | - | 141,722 | |||||||||
| Reconciliations of unallocated amounts: | |||||||||||||||
| Headquarter costs (*) | (15,629 | ) | |||||||||||||
| Intersegment profit | 121 | ||||||||||||||
| Depreciation and amortization and share-based compensation | (54,971 | ) | |||||||||||||
| Other incomes not attributed to segments | 6,526 | ||||||||||||||
| Operating profit | 77,769 | ||||||||||||||
| Finance income | 15,065 | ||||||||||||||
| Finance expenses | (49,311 | ) | |||||||||||||
| Share in the losses of equity accounted investees | (449 | ) | |||||||||||||
| Profit before income taxes | 43,074 |
All values are in US Dollars.
| (*) | Including general and administrative and development expenses (excluding depreciation and amortization and share based compensation). |
|---|---|
| (**) | Due to the Company's organizational restructuring, the Chief Operation Decision Maker (CODM) now reviews the group’s results by segmenting them into four business units: MENA (Middle East and North Africa), Europe, the US, and Management<br> and Construction. Consequently, the Central/Eastern Europe and Western Europe segments have been consolidated into the "Europe" segment, and the Israel segment has been incorporated into the MENA segment. The comparative figures for the<br> six-month and three-month periods ending June 30, 2023, have been updated accordingly. |
| --- | --- |
Segmental Reporting
| For the six months ended June 30, 2023 | |||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| MENA | Europe | Management and Construction | Total reportable segments | Adjustments | Total | ||||||||
| in thousands | |||||||||||||
| External revenues | 89,530 | 4,270 | 123,557 | - | 123,557 | ||||||||
| Inter-segment revenues | - | 2,642 | 2,642 | (2,642 | ) | - | |||||||
| Total revenues | 89,530 | 6,912 | 126,199 | (2,642 | ) | 123,557 | |||||||
| Segment Adjusted | |||||||||||||
| EBITDA | 84,085 | 1,794 | 116,329 | - | 116,329 | ||||||||
| Reconciliations of unallocated amounts: | |||||||||||||
| Headquarter costs (*) | (14,493 | ) | |||||||||||
| Intersegment profit | 701 | ||||||||||||
| Repayment of contract asset under concession arrangements | (7,447 | ) | |||||||||||
| Depreciation and amortization and share-based compensation | (29,627 | ) | |||||||||||
| Other incomes not attributed to segments | 7,075 | ||||||||||||
| Operating profit | 72,538 | ||||||||||||
| Finance income | 32,262 | ||||||||||||
| Finance expenses | (33,431 | ) | |||||||||||
| Share in the losses of equity accounted investees | (368 | ) | |||||||||||
| Profit before income taxes | 71,001 |
All values are in US Dollars.
| (*) | Including general and administrative and development expenses (excluding depreciation and amortization and share based compensation). |
|---|
Segmental Reporting
| For the three months ended June 30, 2024 | |||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| MENA | Europe | USA | Management and Construction | Total reportable segments | Adjustments | Total | |||||||||
| in thousands | |||||||||||||||
| External revenues | 41,963 | 2,200 | 2,968 | 84,698 | - | 84,698 | |||||||||
| Inter-segment revenues | - | - | 1,395 | 1,395 | (1,395 | ) | - | ||||||||
| Total revenues | 41,963 | 2,200 | 4,363 | 86,093 | (1,395 | ) | 84,698 | ||||||||
| Segment Adjusted | |||||||||||||||
| EBITDA | 32,546 | 1,447 | 1,623 | 65,961 | - | 65,961 | |||||||||
| Reconciliations of unallocated amounts: | |||||||||||||||
| Headquarter costs (*) | (8,023 | ) | |||||||||||||
| Intersegment profit | (69 | ) | |||||||||||||
| Depreciation and amortization and share-based compensation | (26,250 | ) | |||||||||||||
| Other incomes not attributed to segments | 3,262 | ||||||||||||||
| Operating profit | 34,881 | ||||||||||||||
| Finance income | 7,000 | ||||||||||||||
| Finance expenses | (29,818 | ) | |||||||||||||
| Share in the losses of equity accounted investees | (305 | ) | |||||||||||||
| Profit before income taxes | 11,758 |
All values are in US Dollars.
| (*) | Including general and administrative and development expenses (excluding depreciation and amortization and share based compensation). |
|---|
Segmental Reporting
| For the three months ended June 30, 2023 | |||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| MENA | Europe | Management and Construction | Total reportable segments | Adjustments | Total | ||||||||
| in thousands | |||||||||||||
| External revenues | 34,507 | 2,137 | 52,563 | - | 52,563 | ||||||||
| Inter-segment revenues | - | 1,246 | 1,246 | (1,246 | ) | - | |||||||
| Total revenues | 34,507 | 3,383 | 53,809 | (1,246 | ) | 52,563 | |||||||
| Segment Adjusted | |||||||||||||
| EBITDA | 36,431 | 1,043 | 54,461 | - | 54,461 | ||||||||
| Reconciliations of unallocated amounts: | |||||||||||||
| Headquarter costs (*) | (8,438 | ) | |||||||||||
| Intersegment profit | 297 | ||||||||||||
| Repayment of contract asset under concession arrangements | (4,807 | ) | |||||||||||
| Depreciation and amortization and share-based compensation | (15,098 | ) | |||||||||||
| Other incomes not attributed to segments | 7,075 | ||||||||||||
| Operating profit | 33,490 | ||||||||||||
| Finance income | 11,885 | ||||||||||||
| Finance expenses | (17,068 | ) | |||||||||||
| Share in the losses of equity accounted investees | (163 | ) | |||||||||||
| Profit before income taxes | 28,144 |
All values are in US Dollars.
| (*) | Including general and administrative and development expenses (excluding depreciation and amortization and share based compensation). |
|---|
| Appendix 2 - Reconciliations between Net Income to Adjusted EBITDA | ||||
|---|---|---|---|---|
| ($ thousands) | For the six months | For the three months | ||
| --- | --- | --- | --- | --- |
| ended June 30 | ended June 30 | |||
| 2024 | 2023 | 2024 | 2023 | |
| Net Income (loss) | 33,944 | 55,707 | 9,459 | 22,431 |
| Depreciation and amortization | 50,886 | 26,777 | 25,282 | 13,637 |
| Share based compensation | 4,085 | 2,850 | 968 | 1,461 |
| Finance income | (15,065) | (32,262) | (7,000) | (11,885) |
| Finance expenses | 49,311 | 33,431 | 29,818 | 17,068 |
| Non-recurring other income (*) | (6,526) | (7,075) | (3,262) | (7,075) |
| Share of losses of equity accounted investees | 449 | 368 | 305 | 163 |
| Taxes on income | 9,130 | 15,294 | 2,299 | 5,713 |
| Adjusted EBITDA | 126,214 | 95,090 | 57,869 | 41,513 |
| * Non-recurring other income comprised the recognition of income related to other income recognized in relation to tax credits for projects in the United States | ||||
| Appendix 3 – Debentures Covenants<br><br> <br><br><br> <br>Debentures Covenants<br><br> <br><br><br> <br>As of June 30, 2024, the Company was in compliance with all of its financial covenants under the indenture for the Series C-F Debentures, based on having achieved<br> the following in its consolidated financial results:<br><br> <br><br><br> <br>Minimum equity<br><br> <br><br><br> <br>The company's equity shall be maintained at no less than NIS 200 million so long as debentures E remain outstanding, no less than NIS 375 million so long as debentures F remain<br> outstanding, and NIS 1,250 million so long as debentures C and D remain outstanding.<br><br> <br>As of June 30, 2024, the company’s equity amounted to NIS 5,480 million.<br><br> <br><br><br> <br>Net financial debt to net CAP<br><br> <br><br><br> <br>The ratio of standalone net financial debt to net CAP shall not exceed 70% for two consecutive financial periods so long as debentures E and F remain outstanding, and shall not exceed<br> 65% for two consecutive financial periods so long as debentures C and D remain outstanding.<br><br> <br>As of June 30, 2024, the net financial debt to net CAP ratio, as defined above, stands at 36%.<br><br> <br><br><br> <br>Net financial debt to EBITDA<br><br> <br><br><br> <br>So long as debentures E and F remain outstanding, standalone financial debt shall not exceed NIS 10 million, and the consolidated financial debt to EBITDA ratio shall not exceed 18 for<br> more than two consecutive financial periods.<br><br> <br>For as long as debentures C and D remain outstanding, the consolidated financial debt to EBITDA ratio shall not exceed 15 for more than two consecutive financial periods.<br><br> <br>As of June 30, 2024, the net financial debt to EBITDA ratio, as defined above, stands at 10.<br><br> <br><br><br> <br>Equity to balance sheet<br><br> <br><br><br> <br>The standalone equity to total balance sheet ratio shall be maintained at no less than 20% and 25%, respectively, for two consecutive financial periods for as long as debentures E and F,<br> and debentures C and D remain outstanding.<br><br> <br>As of June 30, 2024, the equity to balance sheet ratio, as defined above, stands at 60%. | ||||
| --- |
Appendix 4 - Mature portfolio: 5.4 GW and 5.9 GWh operational by 2027
^1^ We expect additional projects currently grouped in the Advanced Development portfolio to reach COD by 2027, however these are not included in these forecasts.
Appendix 5 a) Segment information: Operational projects
| ( thousands) | 6 Months ended June 30 | 3 Months ended June 30 | ||||||||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operational <br> Project <br> Segments | Installed Storage (MWh) | Generation<br><br> (GWh) | Reported Revenue* | Segment Adjusted<br><br> EBITDA* | Generation<br><br> (GWh) | Reported Revenue | Segment Adjusted<br><br> EBITDA* | |||||||||||||||||
| 2024 | 2023 | 2024 | 2023 | 2024 | 2023 | 2024 | 2023 | 2024 | 2023 | 2024 | 2023 | |||||||||||||
| MENA | 434 | 580 | 275 | 66,041 | 29,757 | 54,873 | 30,450 | 329 | 151 | 37,567 | 15,919 | 30,345 | 16,987 | |||||||||||
| Europe | - | 1,396 | 1,075 | 101,123 | 89,530 | 83,253 | 84,085 | 573 | 439 | 41,963 | 34,507 | 32,546 | 36,431 | |||||||||||
| USA | - | 73 | - | 3,431 | - | 1,305 | - | 47 | - | 2,200 | - | 1,447 | - | |||||||||||
| Total <br> Consolidated | 434 | 2,049 | 1,350 | 170,595 | 119,287 | 139,431 | 114,535 | 949 | 590 | 81,730 | 50,426 | 64,338 | 53,418 | |||||||||||
| Unconsolidated<br> at Share | - | |||||||||||||||||||||||
| Total | 434 | |||||||||||||||||||||||
| Total Consolidated H1 Segment Adjusted EBITDA | 139,431 | |||||||||||||||||||||||
| Less: H1 EBITDA for projects that were not fully operational for H1 2024 | (1,804 ) | |||||||||||||||||||||||
| Annualized Consolidated Adjusted EBITDA | 275,253 | |||||||||||||||||||||||
| Invested capital for projects that were fully operational as of January 1st 2024 | 2,680,000 | |||||||||||||||||||||||
| Asset Level Return on Project Costs | 10.3% |
All values are in US Dollars.
| b) | Operational Projects Further Detail | ||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|
| ( thousands) | 6 Months ended June 30, 2024 | 3 Months ended June 30, 2024 | |||||||||
| --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- |
| Operational Project | Installed Capacity (MW) | Installed<br><br> <br>Storage<br><br> <br>(MWh) | Reported Revenue | Segment Adjusted<br><br> <br>EBITDA* | Reported Revenue | Segment<br><br> <br>Adjusted EBITDA* | Debt balance as of June 30, 2023 | Ownership %** | |||
| MENA Wind | 316 | - | 32,396 | 16,702 | 449,896 | 49% | |||||
| MENA PV | 326 | 434 | 33,645 | 20,865 | 469,435 | 84% | |||||
| Total MENA | 642 | 434 | 66,041 | 54,873 | 37,567 | 30,345 | 919,331 | ||||
| Europe Wind | 1,090 | - | 95,356 | 38,094 | 663,814 | 61% | |||||
| Europe PV | 83 | - | 5,767 | 3,869 | 43,778 | 61% | |||||
| Total Europe | 1,173 | - | 101,123 | 83,253 | 41,963 | 32,546 | 707,592 | ||||
| USA PV | 106 | - | 3,431 | 2,200 | - | 100% | |||||
| Total USA | 106 | - | 3,431 | 1,305 | 2,200 | 1,447 | - | ||||
| Total Consolidated Projects | 1,921 | 434 | 170,595 | 139,431 | 81,730 | 64,338 | 1,626,923 | 1,626,923 | |||
| Uncons. Projects at share | 9 | 50% | |||||||||
| Total | 1,930 | 434 | 170,595 | 139,431 | 81,730 | 64,338 | 1,626,923 | ||||
| ( millions) | |||||||||||
| Operational after <br> financial statements | Installed Capacity (MW) | Installed<br><br> <br>Storage<br><br> <br>(MWh) | Est. First Full<br><br> <br>Year Revenue | Est. First Full Year<br><br> <br>EBITDA | Debt balance as of<br><br> <br>June 30, 2023 | Ownership % | |||||
| Tapolca | 60 | - | 6 | 5 | 23 | 100% | |||||
| Total | 60 | - | 6 | 5 | 23 |
All values are in US Dollars.
* EBITDA results included $1m in the 6 months ended June 24 and $0m in the 3-month ended June 24, of compensation recognized due to the delay in reaching full production at Emek Habacha
** Ownership % is calculated based on the project's share of total revenues
| c) | Projects under construction | ||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Consolidated<br><br> <br>Projects<br><br> <br>($ millions) | Country | Capacity<br><br> (MW) | Storage<br><br> Capacity<br><br> (MWh) | Est.<br><br> COD | Est. Total<br><br> Project Cost | Est. Net Capex (Relevant for US projects)*<br><br> <br>*** | Capital Invested as of June 30,<br><br> <br>2024 | Est. Equity Required (%) | Equity Invested as of June 30, 2024 | Est. Tax Equity (% of project cost) | Debt balance as of June 30, 2024 | Est. First Full Year Revenue | Est. First Full Year EBITDA ***** | Ownership% ***** | Comments |
| --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- |
| Atrisco | United<br><br> <br>States | 364 | - | Q3<br><br> <br>2024 | 360-378*** | 158-166 | 359 | 18% | 100** | 54% | 259 | 19-21 | 14-16 | 100% | PTC |
| Atrisco Storage | United<br><br> <br>States | - | 1,200 | Q4<br><br> <br>2024 | 446-470*** | 274-288 | 275 | 11% | 275** | 48% | - | 32-34 | 27-29 | 100% | ITC |
| Solar + Storage<br><br> <br>Clusters | Israel | 58 | 160 | 2024 | 80-84 | 80-84 | 71 | 38%* | 27 | N/A | 44 | 9-10 | 6-7 | 65% | Gradual<br><br> <br>connection on<br><br> <br>H2/24 |
| Pupin | Serbia | 94 | - | H2<br><br> <br>2025 | 145-152 | 145-152 | 84 | 40% | 51 | N/A | 33 | 21-22 | 15-16 | 100% | |
| Total<br><br> <br>Consolidated<br><br> <br>Projects | 589 | 1,453 | 1,031-1,084 | 657-690 | 789 | 453 | 346 | 81-87 | 62-68 | ||||||
| Unconsolidated<br><br> <br>Projects at<br><br> <br>share | Israel | 19 | 87 | H2<br><br> <br>2024-<br><br> <br>H1<br><br> <br>2025 | 32-33 | 32-33 | 35 | 27% | 35 | N/A | - | 4 | 3 | 50% | All numbers,<br><br> <br>beside equity<br><br> <br>invested, reflects<br><br> <br>Enlight share only |
| Total | 608 | 1,540 | 1,063-1,117 | 689-723 | 824 | 488 | 346 | 85-91 | 65-71 |
| d) | Pre-Construction Projects (due to commence construction within 12 months of the Approval Date) | |||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Major Projects<br><br> <br>($ millions) | Country | Generation Capacity<br><br> (MW) | Storage<br><br> Capacity<br><br> (MWh) | Est.<br><br> COD | Est. Total<br><br> Project Cost | Est. Net<br><br> <br>Capex<br><br> <br>(Relevant<br><br> <br>for US projects)**<br><br> <br>** | Capital Invested as of March 31, 2024 | Est. Equity Required (%) | Equity Invested as of March 31, 2024 | Est. Tax Equity (% of project cost) | Est. First Full Year Revenue | Est. First Full Year EBITDA | Ownership %***** | Comments |
| --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- |
| CoBar Complex | United<br><br> <br>States | 1,211 | 824 | H2<br><br> <br>2026 | 1,712-1,800 | 934-981 | 46 | 17% | 46 | 48% | 124-131 | 97-102 | 100% | PTC & ITC; Comprise of cluster of 3 projects. Additional 3.2GWh storage potential |
| Rustic Hills 1& 2 | United<br><br> <br>States | 256 | - | H2<br><br> <br>2027 | 370-389 | 185-194 | 21 | 12% | 21 | 61% | 24-25 | 20-21 | 100% | ITC |
| Roadrunner | United<br><br> <br>States | 290 | 940 | H2<br><br> <br>2025 | 592-622 | 354-373 | 14 | 19% | 14 | 46% | 48-51 | 39-41 | 100% | ITC&PTC |
| Country Acres | United<br><br> <br>States | 392 | 688 | H2<br><br> <br>2026 | 764-804 | 459-482 | 13 | 12% | 13 | 53% | 58-61 | 46-48 | 100% | ITC |
| Quail Ranch | United<br><br> <br>States | 128 | 400 | H2<br><br> <br>2025 | 248-260 | 134-141 | 56 | 17% | 56 | 55% | 22-23 | 18-19 | 100% | ITC&PTC |
| Gecama Solar | Spain | 225 | 220 | H1<br><br> <br>2026 | 206-217 | 206-217 | 3 | 25% | 3 | N/A | 36-38 | 29-30 | 72% |
| Additional<br><br> <br>Projects<br><br> <br>($ millions) | MW Deployment | Est. Total<br><br> <br>Project<br><br> <br>Cost | Est. Net Capex (Relevant for US projects)**** | Capital Invested as of March 31, 2024 | Est. Equity Required (%) | Equity Invested as of March 31, 2024 | Est. Tax Equity (% of project cost) | Est. First Full Year Revenue | Est. First Full Year EBITDA | Ownership %***** | Comments | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 2025<br><br> <br>MW/MWh | 2026<br><br> <br>MW/MWh | 2027<br><br> <br>MW/MWh | |||||||||||
| United<br><br> <br>States | - | - | 312/- | 415-436 | 249-262 | 17 | 16% | 17 | 50% | 27-29 | 21-22 | 100% | ITC |
| Europe | - | - | -/460 | 92-97 | 92-97 | 3 | 22% | 3 | N/A | 18-19 | 16-17 | 100% | |
| MENA | 11/370 | -/124 | 38/- | 184-193 | 184-193 | 6 | 30% | 6 | N/A | 22-24 | 14-15 | 89% | 11 MW in 2025 attributed to Enlight Local |
| Total | 11/370 | -/124 | 350/460 | 691-726 | 525-552 | 25 | 25 | 67-72 | 51-54 | ||||
| Uncons.<br><br> <br>projects<br><br> <br>at share | - | 5/28 | - | 9 | 9 | 0 | 30% | 0 | N/A | 1 | 1 | 50% | All numbers reflect Enlight share only |
| Total<br><br> <br>Pre-Construc<br><br> <br>tion | 2,868 MW +4,054MWh | 4,592-<br><br> <br>4,827 | 2,809-<br><br> <br>2,949 | 178 | 178 | 380-<br><br> <br>402 | 301-<br><br> <br>316 |
* The total Solar + Storage Cluster equity required is 27%, the 38% represents only the equity required for the projects that are under construction
** The project's financial closure was completed following the balance sheet date. The company expects to recycle $234 million of equity back to its balance sheet in August 2024, of which $45 million will be immediately used to repay revolving credit facilities, resulting in net receipts of $189 million. A reimbursement of $34 million on RNU investments is anticipated for the beginning of 2025, leaving $52 million of Company equity remaining in the project. The company expect to receive $30-35m equity back from Atrisco Solar from a debt rebalance following COD
*** Project costs is net of reimbursable network upgrades of $34m which are to be reimbursed in first five years of project
****Net construction costs assume receipt of certain ITC and PTC credits under the IRA and are net of the estimated value of these credits. For certain projects, PTC is assumed, based on the project’s expected production and a yearly CPI indexation of 2%, discounted by 8% to COD. For other projects ITC is assumed at the relevant ITC rate (ranging from 30% to 50%, depending on energy community and/or domestic content adders). The net cost does not reflect the full tax equity investment, only the estimated value of the tax credits.
***** EBITDA is a non-IFRS financial measure. This figure represents consolidated EBITDA for the project and excludes the share of project distributions to tax equity partners, as well as ITC and PTC proceeds. These components of the tax equity transaction may differ from project to project, are subject to market conditions and commercial terms agreed upon reaching financial close.
***** The legal ownership share for all U.S. projects is 90%, but Enlight invests 100% of the equity in the project and entitled to 100% of the project distributions until full repayment of Enlight's capital plus a preferred return
Appendix 6 – Corporate level (TopCo) debt
| ($ thousands) | June 30, 2024 |
|---|---|
| Debentures: | |
| Debentures | 309,035* |
| Convertible debentures | 127,517 |
| Loans from banks and other financial institutions: | |
| Credit and short-term loans from banks and other financial institutions | 151,822 |
| Loans from banks and other financial institutions | 116,270 |
| Total corporate level debt | 704,644 |
* Including current maturities of debentures in the amount of 44,885
Appendix 7 – Functional Currency Conversion Rates:
The financial statements of each of the Company’s subsidiaries were prepared in the currency of the main economic environment in which it operates (hereinafter: the “Functional Currency”). For the purpose of consolidating the financial statements, results and financial position of each of the Group’s member companies are translated into the Israeli shekel (“NIS”), which is the Company’s Functional Currency. The Group’s consolidated financial statements are presented in U.S. dollars (“USD”).
FX Rates to USD:
| Date of the financial statements: | Euro | NIS |
|---|---|---|
| As of 30th June 2024 | 1.07 | 0.27 |
| As of 30th June 2023 | 1.09 | 0.27 |
Average for the 3 months period ended:
| June 2024 | 1.08 | 0.27 |
|---|---|---|
| June 2023 | 1.09 | 0.27 |
Exhibit 99.2
EARNINGS PRESENTATION Second Quarter 2024
Legal disclaimer This presentation contains forward-looking statements within the meaning of the U.S. Private Securities Litigation Reform Act of 1995. We intend such forward-looking statements to be covered by the safe harbor provisions for forward-looking statements as contained in Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended (the “Exchange Act”). All statements contained in this presentation other than statements of historical fact, including, without limitation, statements regarding Enlight Renewable Energy's (the "Company") business strategy and plans, capabilities of the Company’s project portfolio and achievement of operational objectives, market opportunity and potential growth, discussions with commercial counterparties and financing sources, pricing trends, progress of Company projects, including anticipated timing of related approvals and project completion, the Company’s future financial results, expected impact from various regulatory developments, including the IRA, Revenue, EBITDA, and Adjusted EBITDA guidance, the expected timing of completion of our ongoing projects, macroeconomic trends, and the Company’s anticipated cash requirements and financing plans, are forward-looking statements. The words “may,” “might,” “will,” “could,” “would,” “should,” “expect,” “plan,” “anticipate,” “intend,” “target,” “seek,” “believe,” “estimate,” “predict,” “potential,” “continue,” “contemplate,” “possible,” “forecasts,” “aims” or the negative of these terms and similar expressions are intended to identify forward-looking statements, though not all forward-looking statements use these words or expressions. These statements are neither promises nor guarantees, but involve known and unknown risks, uncertainties and other important factors that may cause our actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements, including, but not limited to, the following: our ability to site suitable land for, and otherwise source, renewable energy projects and to successfully develop and convert them into Operational Projects; availability of, and access to, interconnection facilities and transmission systems; our ability to obtain and maintain governmental and other regulatory approvals and permits, including environmental approvals and permits; construction delays, operational delays and supply chain disruptions leading to increased cost of materials required for the construction of our projects, as well as cost overruns and delays related to disputes with contractors; disruptions in trade caused by political, social or economic instability in regions where our components and materials are made; our suppliers’ ability and willingness to perform both existing and future obligations; competition from traditional and renewable energy companies in developing renewable energy projects; potential slowed demand for renewable energy projects and our ability to enter into new offtake contracts on acceptable terms and prices as current offtake contracts expire; offtakers’ ability to terminate contracts or seek other remedies resulting from failure of our projects to meet development, operational or performance benchmarks; exposure to market prices in some of our offtake contracts; various technical and operational challenges leading to unplanned outages, reduced output, interconnection or termination issues; the dependence of our production and revenue on suitable meteorological and environmental conditions, and our ability to accurately predict such conditions; our ability to enforce warranties provided by our counterparties in the event that our projects do not perform as expected; government curtailment, energy price caps and other government actions that restrict or reduce the profitability of renewable energy production; electricity price volatility, unusual weather conditions (including the effects of climate change, could adversely affect wind and solar conditions), catastrophic weather-related or other damage to facilities, unscheduled generation outages, maintenance or repairs, unanticipated changes to availability due to higher demand, shortages, transportation problems or other developments, environmental incidents, or electric transmission system constraints and the possibility that we may not have adequate insurance to cover losses as a result of such hazards; our dependence on certain operational projects for a substantial portion of our cash flows; our ability to continue to grow our portfolio of projects through successful acquisitions; changes and advances in technology that impair or eliminate the competitive advantage of our projects or upsets the expectations underlying investments in our technologies; our ability to effectively anticipate and manage cost inflation, interest rate risk, currency exchange fluctuations and other macroeconomic conditions that impact our business; our ability to retain and attract key personnel; our ability to manage legal and regulatory compliance and litigation risk across our global corporate structure; our ability to protect our business from, and manage the impact of, cyber-attacks, disruptions and security incidents, as well as acts of terrorism or war; changes to existing renewable energy industry policies and regulations that present technical, regulatory and economic barriers to renewable energy projects; the reduction, elimination or expiration of government incentives for, or regulations mandating the use of, renewable energy; our ability to effectively manage the global expansion of the scale of our business operations; our ability to perform to expectations in our new line of business involving the construction of PV systems for municipalities in Israel; our ability to effectively manage our supply chain and comply with applicable regulations with respect to international trade relations, tariffs, sanctions, export controls and anti-bribery and anti-corruption laws; our ability to effectively comply with Environmental Health and Safety and other laws and regulations and receive and maintain all necessary licenses, permits and authorizations; our performance of various obligations under the terms of our indebtedness (and the indebtedness of our subsidiaries that we guarantee) and our ability to continue to secure project financing on attractive terms for our projects; limitations on our management rights and operational flexibility due to our use of tax equity arrangements; potential claims and disagreements with partners, investors and other counterparties that could reduce our right to cash flows generated by our projects; our ability to comply with increasingly complex tax laws of various jurisdictions in which we currently operate as well as the tax laws in jurisdictions in which we intend to operate in the future; the unknown effect of the dual listing of our ordinary shares on the price of our ordinary shares; various risks related to our incorporation and location in Israel, including the ongoing war in Israel, where our headquarters and some of our wind energy and solar energy projects are located; the costs and requirements of being a public company, including the diversion of management’s attention with respect to such requirements; certain provisions in our Articles of Association and certain applicable regulations that may delay or prevent a change of control; and the other risk factors set forth in the section titled “Risk factors” in our Annual Report on Form 20-F for the fiscal year ended December 31, 2023 filed with the Securities and Exchange Commission (the “SEC”), as may be updated in our other documents filed with or furnished to the SEC. These statements reflect management’s current expectations regarding future events and operating performance and speak only as of the date of this presentation. You should not put undue reliance on any forward-looking statements. Although we believe that the expectations reflected in the forward-looking statements are reasonable, we cannot guarantee that future results, levels of activity, performance and events and circumstances reflected in the forward-looking statements will be achieved or will occur. Except as required by applicable law, we undertake no obligation to update or revise publicly any forward-looking statements, whether as a result of new information, future events or otherwise, after the date on which the statements are made or to reflect the occurrence of unanticipated events. Unless otherwise indicated, information contained in this presentation concerning the industry, competitive position and the markets in which the Company operates is based on information from independent industry and research organizations, other third- party sources and management estimates. Management estimates are derived from publicly available information released by independent industry analysts and other third-party sources, as well as data from the Company's internal research, and are based on assumptions made by the Company upon reviewing such data, and the Company's experience in, and knowledge of, such industry and markets, which the Company believes to be reasonable. In addition, projections, assumptions and estimates of the future performance of the industry in which the Company operates, and the Company's future performance are necessarily subject to uncertainty and risk due to a variety of factors, including those described above. These and other factors could cause results to differ materially from those expressed in the estimates made by independent parties and by the Company. Industry publications, research, surveys and studies generally state that the information they contain has been obtained from sources believed to be reliable, but that the accuracy and completeness of such information is not guaranteed. Forecasts and other forward-looking information obtained from these sources are subject to the same qualifications and uncertainties as the other forward-looking statements in this presentation. Non-IFRS Financial Metrics This presentation presents Adjusted EBITDA, a non-IFRS financial metric, which is provided as a complement to the results provided in accordance with the International Financial Reporting Standards as issued by the International Accounting Standards Board (“IFRS”). A reconciliation between Adjusted EBITDA and Net Income, its most directly comparable IFRS financial measure, is contained in the tables below. The Company is unable to provide a reconciliation of Adjusted EBITDA to Net Income on a forward-looking basis without unreasonable effort because items that impact this IFRS financial measure are not within the Company’s control and/or cannot be reasonably predicted. These items may include, but are not limited to, forward-looking depreciation and amortization, share based compensation, other income, finance income, finance expenses, share of losses of equity accounted investees and taxes on income. Such information may have a significant, and potentially unpredictable, impact on the Company’s future financial results. The trademarks included herein are the property of the owners thereof and are used for reference purposes only. Such use should not be construed as an endorsement of the products or services of the Company or the proposed offering. 2
1 2017-2023; 2 Mature projects include projects that are operational, under construction, in pre-construction (meaning, that they are expected to commence construction within 12 months as of August 7, 2024 (the “Approval Date”) 3 Enlight at a glance Greenfield developer & IPP Control over entire project life cycle Wind, solar and energy storage Expertise across main renewable technologies Global platform Growing activity across U.S., Europe and MENA Extensive track record 71% CAGR revenues1 50% CAGR Mature Project capacity1,2 Large and diverse portfolio 20.7 GW + 33.2 GWh portfolio 5.4 GW + 5.9 GWh Mature Projects2 First pure-play listed developer First pure-play to list on a national exchange in the U.S. Next generation global renewable energy platform
Robust 2Q results& FY24 guidance raised Projects advancingAcross U.S., Europe, and MENA Strong financial performance, construction progresses 1Adjusted EBITDA is a non-IFRS measure. Please see the appendix of this presentation for a reconciliation to Net Income. The Company is unable to provide a reconciliation of Adjusted EBITDA to Net Income on a forward-looking basis without unreasonable effort because items that impact this IFRS financial measure are not within the Company’s control and/or cannot be reasonably predicted 4 Increasing guidance ranges Revenues$345-$360m Adjusted EBITDA1$245-$260m Adjusted EBITDA1 up 39% to $58m Revenue up 61% to $85m Atrisco Solar & Storage (364 MW, 1.2 GWh) achieved financial close in July; COD expected in coming weeks Country Acres, Roadrunner, and Quail Ranch, totaling 810 MW and 2.0 GWh approaching construction Tapolca reaches COD, other wind and solar projects (totaling 319 MW and 220 MWh), near or in advanced construction Solar & Storage Cluster, with 248 MW and 593 MWh, nears completion
Q2 2024 versus Q2 2023 Outstanding quarterly results and growth Growth driven by new operational projects and healthy production levels ($m) 1 5 2Q23 boosted by decreased earnout and LD recognition; 2Q24 impacted by inflation indexation of financial expense +38% -58% +61% +42% 1Adjusted EBITDA is a non-IFRS measure. Please see the appendix of this presentation for a reconciliation to Net Income
Strong results and growth in the first half of 2024 Growth driven by new operational projects and healthy production levels ($m) 6 1 +42% +33% -39% -4% H1 2024 versus H1 2023 1H23 boosted by decreased earnout, LD recognition and FX impacts on financial income 1Adjusted EBITDA is a non-IFRS measure. Please see the appendix of this presentation for a reconciliation to Net Income
Enlight reported Adjusted EBITDA1 versus consensus2 estimates Adjusted EBITDA: quarterly actual results vs consensus expectations ($m) 7 2Q24 Actual +9.5% above Consensus 2Q24 1Q24 3Q23 4Q23 2Q23 1Q23 Enlight Reported Adjusted EBITDA1 Consensus Estimates2 1Adjusted EBITDA is a non-IFRS measure. Please see the appendix of this presentation for a reconciliation to Net Income; 2Source: Bloomberg
Raising 2024 full year guidance ranges 8 Revenues: midpoint increased by $5m EBITDA1: midpoint increased by $7.5m Strong operational performance, O&M and G&A cost savings Midpoint +3% ($m) ($m) Midpoint +1.4% 1 Adjusted EBITDA is a non-IFRS measure. Please see the appendix of this presentation for a reconciliation to Net Income.
Promising business environment for Enlight Data centers and EVs are the main drivers of accelerating US electricity demand growth Renewables are the dominant source of supply for this demand, comprising 95% of the US project queue Average US PPA prices of $52 remain high, reflecting scarcity value of new power projects as demand rises Power prices in Europe remain at solid levels, reflecting high projected returns for Enlight’s portfolio Equipment costs remain attractive for buyers while interest rates are stabilizing with a positive trajectory 9
Renewables the source of new power supply Total US power demand to rise 11% from 4,000 TWh to 4,450 TWh between 2023-2030 Data centers and EVs boost electricity consumption; solar the source of supply Data centers, AI, & EVs drive US power consumption… Source: Rystad Energy forecasts ta centers / AI data centers / AI data centers / AI data centers / AI data centers / AI data centers / AI data centers / AI data centers / AI … Solar PV is the main winner from data center, AI, & EV demand U.S. electricity use driven by data centers, AI, EVs, whose power consumption is set to grow 196% between 2023-30 10 TWh GW Massive growth in solar PV installed base leads the transition to clean power production Solar PV +180%
Load growth rising after decades of decline; renewables dominate project queue Increasing demand for electricity … Source: Grid Strategies; Lawrence Berkeley National Laboratory … Renewables the only game in town Renewable power projects represent 95% of new capacity now in queue, with gas at only 3% Coal plants displaced, while hydro, & nuclear are not built at scale US annual load growth forecast has jumped to 0.9% in 2023, with potential to reach 1.5% Drivers include new manufacturing and data center facilities Renewables critical to meeting future demand The hunt for power accelerates 11 2025E 2.6 TW = renewable energy projects
Global Portfolio of 2024-27 CODs 3.4 GW 5.5 GWh 2024-2027 projects yield high returns 12 Overlaying a 10.5% unlevered return with a 5.5-6.0% cost of debt Unlevered Ratio 10.5% Mid-teens % Equity IRR Mature Portfolio status: Average unlevered return: 10.5% Average levered return: Mid teens 0.5 GW + 1.5 GWh under construction 2.9 GW + 4.0 GWh near construction
Gecama is performing well above expectations, yielding high returns 1Source: AURORA 1 Price (€/MWh) Spanish power prices exceed originally modeled forecasts, driving Gecama profits higher
2024 on plan: Atrisco expected to reach COD & three new flagship projects 14 1EBITDA is a non-IFRS financial measure. The Company is unable to provide a reconciliation of EBITDA to Net Income on a forward-looking basis without unreasonable effort because items that impact this IFRS financial measure are not within the Company’s control and/or cannot be reasonably predicted. 2Net construction costs assume receipt of certain ITC and PTC credits under the IRA and are net of the estimated value of these credits. For certain projects, PTC is assumed, based on the project’s expected production and a yearly CPI indexation of 2%, discounted by 8% to COD. For other projects ITC is assumed at the relevant ITC rate (ranging from 30% to 50%, depending on energy community and/or domestic content adders). The net cost does not reflect the full tax equity investment, only the estimated value of the tax credits. Combination of large-scale projects at high returns Roadrunner Arizona Location 290 MW + 940 MWh Capacity Construction starts 2H24 Status $48-51m / $39-41m First Year Revenues / EBITDA1 10.8%-11.4%2 Unlevered Ratio Quail Ranch New Mexico Location 128 MW + 400 MWh Capacity Construction starts 2H24 Status $22-23m / $18-19m First Year Revenues / EBITDA1 13.2%-14.0%2 Unlevered Ratio Country Acres California Location 392 MW + 688 MWh Capacity Construction starts 2H24 Status $58-61m / $46-48m First Year Revenues / EBITDA1 9.7%-10.3%2 Unlevered Ratio Atrisco New Mexico Location 364 MW + 1,200 MWh Capacity Under Construction Status $51-55m / $41-45m First Year Revenues / EBITDA1 9.4%-9.9%2 Unlevered Ratio RTB Awaiting COD
2024 on plan: Diverse mix of new wind, solar and battery projects 15 1EBITDA is a non-IFRS financial measure. The Company is unable to provide a reconciliation of EBITDA to Net Income on a forward-looking basis without unreasonable effort because items that impact this IFRS financial measure are not within the Company’s control and/or cannot be reasonably predicted; 2Israel Solar + Storage comprises a cluster of 12 projects in various locations in the center and north of Israel. Nine projects are operational, while the remaining three are in various stages of construction. All clusters are expected to reach full COD gradually during 2024. Continuing to expand presence across EU and Israel with high projected project returns Solar + Storage2 & SA Storage in Israel & Italy Gecama Hybrid Solar, Spain Location 225 MW + 220 MWh Capacity Near Construction Status $36-38m / $29-30m First Year Revenues / EBITDA1 13.6%-14.3% Unlevered Ratio Israel & Italy Location 55 MW + 1.1 GWh Capacity Under Construction (Solar + Storage) & Near Construction (SA Storage, Nardo) Status $42-43m / $30-31m First Year Revenues / EBITDA1 10.7%-11.2% Unlevered Ratio Pupin Wind, Serbia Location 94 MW Capacity Under Construction Status $21-22m / $15-16m First Year Revenues / EBITDA1 10.4%-10.9% Unlevered Ratio completed financial close new projects COD
Growing and geographically diverse Mature Portfolio 16 Growth in MW/MWh in the last 12 months 106 MW 364 MW 1,200 MWh 2,589 MW 2,852 MWh 3,059 MW 4,052 MWh U.S. 651 MW 434 MWh 77 MW 246 MWh 54 MW 521 MWh 782 MW 1,201 MWh MENA 1,233 MW 94 MW 225 MW 680 MWh 1,552 MW 680 MWh EU Operational Under Construction Near Construction Total Mature Development Stage 1,228 MWh 555 MW 255 MWh 80 MWh
Increasing diversification of revenue base 17 $6m up $3m up U.S. $46m up $32m up MENA $17m up $8m up EU3 Revenue increase TTM1 Adjusted EBITDA2 increase, TTM1 1 2Q24 TTM revenues compared to previous period. Ie Growth of 2Q24-2Q23 over 2Q23-2Q22; 2 Segment Adjusted EBITDA is a non-IFRS measure; 3 EBITDA results for 2Q23 and 3Q23 exclude $8m and $2m (respectively) of compensation recognized from Siemens Gamesa due to the delay in reaching full production at Project Björnberget
Increasing 2024 Guidance: Revenues of $345-360m and Adjusted EBITDA of $245-260m Operational Portfolio MW & MWh)) Revenue ($m) Adjusted EBITDA1 ($m) 1,421 MW 721 MW 1,883 MW + 277 MWh 2022 2021 2023 102 192 256 2022 2021 2023 99 130 189 2022 2021 2023 18 1Adjusted EBITDA is a non-IFRS measure. Please see the appendix of this presentation for a reconciliation to Net Income. The Company is unable to provide a reconciliation of Adjusted EBITDA to Net Income on a forward-looking basis without unreasonable effort because items that impact this IFRS financial measure are not within the Company’s control and/or cannot be reasonably predicted 2024E 2024E 2,431 MW + 1,881 MWh 345-360 245-260 2024E 37% CAGR 51% CAGR +560% CAGR in MWh +50% CAGR in MW Raising guidance ranges Revenues: $345-$360m up from $335m-$360m EBITDA1: $245m-$260m up from $235-$255m Key Assumptions 90% of generation sold at fixed prices through hedges or PPAs FX assumptions of 3.8 for USD/ILS and 1.05 for EUR/USD Forecasted Revenues: 40% in ILS; 55% in EUR and 5% in USD
Mature portfolio: 5.4 GW and 5.9 GWh operational by 2027 Status Today: 19 Massive growth into middle of decade: operational capacity expected to triple to 5.4 GW and 5.9 GWh by the end of 2027 2024 | Atrisco (364 MW, 1.2 GWh) 2025 | Roadrunner & Quail Ranch (418 MW, 1.3 GWh) 2026 | Gecama, CO Bar & Country Acres (1.4 GW, 1.7 GWh ) Major Expected CODs CAGR + 30% 2023-2027E 1 We expect additional projects currently grouped in the Advanced Development portfolio to reach COD by 2027, however these are not included in these forecasts. Mature portfolio only1
Appendix
Reconciliation between Net Income to Adjusted EBITDA 21 * Non-recurring other income comprised the recognition of income related to reduced earnout payments expected to be incurred for the acquisition of Clenera for early-stage projects and other income recognized in relation to tax credits for projects in the United States ($ thousands) For the six months ended For the three months ended 06/30/24 06/30/23 06/30/24 06/30/23 Net Income (loss) 33,944 55,707 9,459 22,431 Depreciation and amortization 50,886 26,777 25,282 13,637 Share based compensation 4,084 2,850 967 1,461 Finance income (15,065) (32,262) (7,000) (11,885) Finance expenses 49,311 33,431 29,818 17,068 Non-recurring other income (*) (6,525) (7,075) (3,261) (7,075) Share of losses of equity accounted investees 449 368 305 163 Taxes on income 9,130 15,294 2,299 5,713 Adjusted EBITDA 126,214 95,090 57,869 41,513
Increased demand coupled with shortage of projects pushing PPA pricing higher 22 U.S. demand for power increasing Scarcity of projects driving PPA pricing higher Enlight raised prices +25% on 1.8 GW of signed PPAs during past two years PPA pricing remains high despite lower equipment costs Supply and demand imbalance pushing PPA pricing higher … Solar +70%Q1/21- Q1/24 Underlying equipment costs continue to remain low U.S. panel prices now in 30-cent range post impact of latest AD/CVD developments; European panel prices in 11-cent range U.S. battery prices in the $160 per kWh range, 30% lower than at the start of 2023 Lower equipment costs driving unlevered returns higher … Equipment prices remain favourable Indexed to Jan ‘23 = 100 Key commodity prices Source: Bloomberg, LevelTen PPA Price Index
Graph, scale Generation, MW Storage, MWh Portfolio definitions Operational, under construction and pre-construction (expected to start construction within 12 months) Mature Projects which are expected to begin construction within 13 to 24 months of the Approval Date Advanced development The rest of the projects in development process Development Advanced Development Under Construction Operational Pre-Construction Mature Projects Development Total Portfolio Operational projects sold 1,990 0-12 months (Aug 07 ,2025) until start of construction 13-24 months until start of construction 5,393 2,868 4,054 535 23 12,823 14,419 33,177 5,935 1,447 10,987 4,323 20,703 Note: Portfolio information as of the Approval Date; Projects that are not consolidated in our financial statements are reflected at their proportional share 1.7 GW still under the company’s operational management 1.7 GW 434 + + + + + + + Portfolio snapshot
Enlight’s unique position: near-term pipeline & interconnect advantage represent “missing link” 68% of total portfolio in the United States Transmission infrastructure is the principal constraint for renewable energy today Advanced Development 3.8 GW 43% of U.S Development Development 3.7 GW 100% of U.S Advanced Development Mature Projects 3.1 GW 100% of U.S Mature 10.5 GW System Impact Study Completed + + =
Thank you