Shares in Solaria Energia y Medio Ambiente have experienced a significant boost after the company revealed its projections of more than doubling its earnings in the next three years. The Spanish renewable-energy company also announced its plan to invest a substantial 2.60 billion euros ($2.73 billion) in Europe. This news has further fueled investor confidence, resulting in a 9.8% increase in Solaria's shares to EUR14.34 as of 1317 GMT.
Impressive Earnings Growth Anticipated
Solaria foresees a substantial rise in earnings before interest, taxes, depreciation, and amortization (Ebitda) by 2025. The company expects these earnings to reach between EUR320 million and EUR350 million, a significant leap from the EUR147 million recorded last year. In the nearer term, Solaria projects a EUR200 million Ebitda for this year and anticipates reaching between EUR250 million and EUR270 million in 2024.
European Expansion on the Horizon
As part of its growth strategy, Solaria plans to invest heavily in expanding its European operations over the next three years. Currently, the company has 3,083 megawatts in operation and under construction. This planned investment aligns with Solaria's commitment to further solidify its position in the European market.
Strong Financial Performance
Solaria has reported robust financial performance for the first half of 2023. The company achieved an after-tax profit of EUR50.1 million during this period, a notable increase from the EUR43.7 million recorded in the same period last year. This growth can be attributed to a substantial 32% rise in revenue, totaling EUR99.6 million. Furthermore, Solaria's Ebitda for the same period experienced a significant increase of 31%, reaching EUR89.0 million.
With its optimistic earnings projections and ambitious investment plans, Solaria Energia y Medio Ambiente is poised for a period of substantial growth. The company's commitment to expanding its presence in Europe, coupled with its strong financial performance, positions it for success in the renewable-energy sector.