Waga Energy (WAGA) H2 2024 TU earnings summary

Executive summary

• Revenues grew 67% year-over-year to €55.7 million in 2024, driven by an 81% increase in RNG production revenues and rapid expansion in the US and international markets.

• Commissioned 10 new RNG production units in 2024, expanding operations in France, Canada, the US, and bringing total operational units to 30.

• 576 GWh of RNG injected in 2024, up 72% year-over-year, with 38% produced outside France.

• Avoided 142,000 tons of CO₂ equivalent emissions in 2024 by substituting fossil-based natural gas.

• 11 new contracts/projects signed in 2024, with 19 units under construction and a 27% increase in the sales pipeline to 15 TWh per year.

Financial highlights

• FY2024 revenues reached €55.7M, up from €33.3M in FY2023, with 81% growth in RNG revenues.

• RNG/gas upgrade service sales were €42.8 million (+81%), equipment sales €12.1 million (+34%), and O&M/other services €0.7 million.

• International revenues accounted for 47% of the total, with significant growth in North America.

• Signed annual recurring revenues from secured projects estimated at €170 million, up from €100 million a year ago.

• Turnover increased steadily across all half-year periods from H1 2021 to H2 2024.

Outlook and guidance

• Guidance maintained for EBITDA breakeven during 2025, €200 million revenues in 2026, and installed capacity of 4 TWh per year.

• Targeting signed annual recurring revenues above €400 million and avoidance of 660,000 tons of CO2 emissions per year by 2026.

• Revenue and installed capacity targets for 2026 could shift by a few months depending on new project signings, but EBITDA breakeven and recurring revenue objectives remain unaffected.

• Sales pipeline stands at 15 TWh per annum, up 27% year-over-year.

• Targeting leadership in landfill gas (LFG) to RNG conversion, with 19 WAGABOX® units under construction and focus on large US projects in H2 2025.