Photon Energy (PEN) investor relations material

Executive summary

• Q1 2026 saw a 22.5% year-on-year revenue decline to EUR 17.077 million, driven by lower electricity generation, weaker energy prices, and significant contraction in Engineering and New Energy segments due to ongoing restructuring.

• EBITDA dropped to EUR 0.215 million from EUR 1.206 million in Q1 2025, reflecting lower profitability in the New Energy division and the impact of the Polish subsidiary bankruptcy.

• Net loss widened to EUR 4.586 million from EUR 3.705 million YoY, with comprehensive income negative at EUR 2.431 million, impacted by restructuring and impairments.

• Major restructuring included voluntary administration and liquidation of Australian subsidiaries and bankruptcy proceedings for the Polish New Energy business.

• Strict cost-saving initiatives led to a 29% reduction in personnel costs and a 41% drop in other operating expenses year-on-year.

Financial highlights

• Consolidated revenues: EUR 17.077 million (down 22.5% YoY); electricity generation revenues: EUR 3.691 million (down 11.7% YoY).

• EBITDA: EUR 0.215 million (down 82.2% YoY); EBIT: EUR -1.935 million; net loss: EUR 4.586 million.

• Operating cash flow: EUR 1.410 million; net cash position decreased to EUR 1.750 million.

• Fixed assets: EUR 220.8 million; current assets: EUR 43.4 million.

• Personnel costs reduced by 29% YoY to EUR 3.125 million due to a 31.5% reduction in headcount.

Outlook and guidance

• Strong performance in April and May offset Q1 generation shortfalls, with generation volumes now at or above plan.

• Technology trading and O&M segments expected to drive growth, with updated budgets reflecting higher demand.

• Monetization of project rights and operating assets in Romania is underway to strengthen liquidity.

• No new power plants planned due to capital constraints; focus on scalable business lines like O&M, BESS asset management, and water remediation.

• Management is preparing for a bondholders meeting to address deferred coupon payments and restructuring measures.