Circle Energy Sweden (CIRCLE) Q2 2024 earnings summary

Executive summary

• Revenue for Jan–Jun 2024 was SEK 218k, up from SEK 0 year-over-year, but operations remain loss-making due to non-operational facilities and high fixed costs.

• Operating loss for Jan–Jun 2024 was SEK -17,284k, compared to SEK -6,018k year-over-year; net loss was SEK -17,401k versus SEK -7,379k.

• Major cost drivers included write-downs of SEK -4,000k for a new business area and SEK -5,000k for the Amfilochia plant.

• The company failed to deliver on Greek operations and did not secure expected funding in the May rights issue, leading to contract terminations for solar and battery projects in Sweden.

Financial highlights

• Jan–Jun 2024 revenue: SEK 218k (Jan–Jun 2023: SEK 0); Q2 2024 revenue: SEK 0 (Q2 2023: SEK 0).

• Jan–Jun 2024 operating loss: SEK -17,284k (Jan–Jun 2023: SEK -6,018k); Q2 2024 operating loss: SEK -14,215k (Q2 2023: SEK -2,155k).

• Jan–Jun 2024 net loss: SEK -17,401k (Jan–Jun 2023: SEK -7,379k); Q2 2024 net loss: SEK -14,269k (Q2 2023: SEK -3,068k).

• Cash flow from operations Jan–Jun 2024: SEK -5,885k; period-end cash: SEK 1,819k.

• Equity at June 30, 2024: SEK 43,158k; equity ratio: 94.6% (June 30, 2023: 54.8%).

Outlook and guidance

• No financial forecasts or targets are provided; the company remains dependent on new share issues for continued operations over the next 12 months.

• Management is exploring cost reductions, new business opportunities, and potential asset sales.