Galata Wind Enerji (QWIND) Q1 2024 earnings summary

Executive summary

• Q1 2024 revenue declined 17% year-over-year to TRY 485 million, mainly due to lower wind and solar electricity sales and no carbon certificate sales.

• Net profit surged 380% year-over-year to TRY 209 million, driven by lower tax expenses and monetary gains.

• The company operates three wind and two solar power plants with a total installed capacity of 290.2 MW, generating 201,163 MWh in Q1 2024.

• Total assets remained stable at TRY 10.5 billion, with equity rising 3% to TRY 8.3 billion.

Financial highlights

• Gross margin was 61% in Q1 2024, down from 65% a year earlier.

• EBITDA for Q1 2024 was TRY 320.5 million, down from TRY 486.3 million in Q1 2023.

• Free cash flow dropped 46% sequentially to TRY 264 million.

• CapEx increased sharply to TRY 792 million, up from TRY 74 million in Q1 2023.

• Cash and cash equivalents increased to TRY 321.4 million as of March 31, 2024.

Outlook and guidance

• Ongoing investments include Mersin WPP capacity extension, Taşpınar Hybrid PV phases, and new European SPP projects, targeting 576 MW total capacity by 2025.

• A gross dividend of TRY 437 million (80.93% of issued capital) was approved, with distribution to start by August 29, 2024.

• The company is expanding internationally via a new Dutch subsidiary.