The decreases recorded in the first six months of 2024 are determined by the company's transition this year to much larger projects, with a different implementation dynamic, which translates into generating revenues in the second part of the year, as projects are closed and invoiced to beneficiaries.
"The first half of the year continued to be a dynamic one for our activity, as we took important steps in the direction of large-scale projects with a significant long-term impact. This transition to larger and more complex projects is essential for consolidating Simtel's position in the renewable energy market, ensuring that we can meet the growing demands of the sector and our customers. Although the revenues reported for the first six months temporarily reflect a decrease compared to the same period last year, we are confident that the final results for this year will confirm the benefits of our approach. The implementation of much larger projects and the diversification of business lines, along with the expansion of the photovoltaic and energy storage park portfolio, provide us with a solid foundation for future development. Therefore, we continue our mission to develop sustainable projects that contribute to the transition to a greener and more efficient energy system, for the benefit of all stakeholders,” stated Mihai Tudor, CEO and executive member of the Board of Directors of Simtel Team.
In terms of operating revenues, GES Furnizare SRL, an entity in which Simtel Team S.A. holds a 62% stake, generated operating revenues of RON 14.5 million in the first half of 2024, a remarkable increase considering that 2024 is the company's first year of operation. Also, in H1 2024, Simtel Solar SRL, an entity from the Republic of Moldova, fully owned by Simtel S.A., generated revenues of RON 6.5 million, due to the closure in the first half of the year of some projects started in 2023.
Regarding the operating revenues generated in H1 2024 by the other entities within the group, Simtel Team S.A generated operating revenues of RON 79 million, ANT Power Energy SRL - RON 4.7 million, Agora Robotics SRL - RON 1.6 million, and Custom Software Solutions - RON 125,000.
In the first half of 2024 and subsequently, Simtel signed two significant contracts worth €19 million (within a partnership in which Simtel holds 50% of the profits and losses), respectively RON 66 million, for the construction of photovoltaic power plants. Also, after the completion of its own photovoltaic plant in Salonta, with an installed capacity of 5.35 MWp DC (maximum power at the panel level), Simtel signed a PPA (Power Purchase Agreement) contract with GES Furnizare SRL (GES), an entity within the Simtel group, through which it will deliver an annual quantity of 6,500 MWh of electricity to GES. This energy will subsequently be supplied by GES to the final customers in its portfolio.
Regarding the status of its own photovoltaic parks projects, in the first six months of 2024, Simtel acquired two projects in the ready-to-build stage, Salonta and Iacobeni. The photovoltaic park in Salonta is already implemented, and for the one in Iacobeni, with a planned installed capacity of 5.38 MWp DC, the company estimates that it will be implemented during October-November 2024. Currently, Simtel owns seven photovoltaic park projects, which upon completion will have a total installed capacity of over 80 MWp and will generate an annual production of over 107 GWh.
In parallel with the implementation of its own photovoltaic parks, Simtel has also started developing a portfolio of energy storage parks, through which it aims to consolidate its position in the field of renewable energy, these parks representing an essential element in the transition to a sustainable and efficient energy system. Currently, Simtel owns and is developing four energy storage parks with a total capacity of over 90 MWp. The company estimates that some of these will be implemented in the second part of 2025 and during 2026. Energy storage allows balancing the inevitable fluctuations in energy production from renewable sources, ensuring a constant and stable supply to the grid. This contributes to increasing the reliability of energy supply, as well as optimizing long-term costs, through the possibility of using energy at times when the demand for energy is at an extremely high level.
In the first semester of 2024, Agora Robotics, an entity in which Simtel holds a 51% stake, launched the first commercially available autonomous industrial robot developed and produced in Romania, called Sweep. The robot is designed for cleaning hard floors with applicability in warehouses, factories, hotels, commercial spaces, train stations, airports, hospitals, etc. In Romania, the estimated surface area of these spaces exceeds 16 million square meters. Agora Robotics aims to sell the first such robots on the local market by the end of this year. The plan of the Agora Robotics management is that from 2025, the Sweep robot will also be sold internationally.
Simtel Team is listed on the Main Market of the Bucharest Stock Exchange as of August 12, 2024, and is traded under the SMTL symbol.
