Daldrup & Söhne (4DS) H1 2024 earnings summary

Executive summary

• Achieved record EBIT margin of 10.2% and increased total output by over 20% to €29.1m in H1 2024 compared to H1 2023.

• Regulatory environment for geothermal energy in Germany improved, with new laws and incentives supporting growth.

• Raised full-year 2024 guidance for total output to €50m (from €47m) and EBIT margin to 7–9% (from 5–7%).

• Strong demand from municipalities and industry for geothermal projects; order backlog at €31m as of August 2024.

Financial highlights

• Total output rose 17% year-over-year to €29.1m in H1 2024; revenue up to €25.3m from €15.4m.

• EBITDA increased 42.8% to €3.8m; EBIT more than doubled to €3.0m (EBIT margin 10.2%).

• Net income surged 278% to €2.0m (6.9% of total output).

• Balance sheet total grew to €44.5m; equity ratio improved to 52.2%.

• Order backlog at €31m and relevant market volume at €302m as of August 2024.

Outlook and guidance

• 2024 total output forecast raised to €50m, EBIT margin to 7–9%.

• High order backlog ensures capacity utilization into 2025; market outlook remains positive despite macroeconomic headwinds.

• Regulatory changes and funding programs expected to further accelerate geothermal market growth.