EQS-News: Voltabox Drives Corporate Development and Confirms Strong Growth in the first Half of the Year

Voltabox Drives Corporate Development and Confirms Strong Growth in the first Half of the Year

• Consolidated revenue of around 5.8 million, EBITDA of -0.4 million significantly improved year-on-year (margin: -7.2 %)
• Partner network in the VoltaStore business unit expanded with well-known providers; pioneering tenant power model launched
• Successful deals in VoltaMobil business unit - Production contracts in two target customer markets underline improved market access

Paderborn, Germany, August 17, 2023 Voltabox AG ["Voltabox" or the "Company"; ISIN DE000A2E4LE9] today published its interim report for the first half of 2023 and stressed that the company's development is in line with planning. In the first six months of the year, the Group generated revenue of 5.8 million. The second half of the year is expected to have a positive impact on the earnings situation due to the implementation of projects characterized by attractive margins, thus continuing the recent improvement in the EBITDA ratio from the current level of -7.2%.

"The development of Voltabox in recent months is absolutely satisfactory. In the short and mid term, we will see a further intensification and expansion of our business activities. And, of course, we are already preparing for the further development of the company in 2024. We are currently focusing on broadening our range of products and services, identifying further sources of revenue, and concluding new framework supply agreements. It is gratifying that our latest sales successes prove that Voltabox has once again become eligible for contracts with large corporations," emphasizes Patrick Zabel, CEO of Voltabox.

Voltabox continued to expand its market presence in the first half of the year. In addition to its role as a supplier of its own products, the Group is also developing into a supplier of third-party end products and, at the same time, a supplier of its own products for the end customer business. The company is thus significantly expanding its product range. Voltabox accesses third-party products in selected technology markets and concentrates its development efforts on solutions with unique selling points.

This strategic orientation enables the company to reduce its dependence on individual sales markets and to grow in its core business areas of industrial batteries and renewable energies by taking advantage of opportunities as they arise. Today, a Voltabox customer can be addressed from several product areas at the same time.

For example, the VoltaMobil business has recently signed important framework agreements. These include a production order for 1,000 batteries for a light commercial vehicle and the production of 250 large batteries for construction equipment. The production ramp-up will be partially started by the end of this year.

The organization's development is currently being driven by dynamic growth in the area of renewable energy solutions. For example, the partner network for the further development of the young VoltaStore business unit has recently been significantly expanded. The partnership launched last year with TrinaSolar, the world's leading manufacturer of solar modules, has now been supplemented by collaborations with solar module manufacturers and suppliers JA Solar and Viessmann. In the future, the products of these well-known module suppliers will be available for preferential use by the specialized subsidiary GreenCluster.

In addition to the cooperation with Beck Automation, Voltabox has also entered into a partnership with the energy storage provider TesVolt in the VoltaStore business unit. This makes it possible to offer high-quality commercial storage systems to direct customers and other B2B customers of selected partners and thus to implement holistic systems for the optimized use of renewable energies of any size. Voltabox focuses on a holistic approach, ranging from consulting and delivery to electrical building integration.

A recently introduced tenant power model complements the service portfolio so that GreenCluster can offer its customers tailor-made, all-in-one solutions in the future. This allows households and office parks to share the power generated by solar panels or to allocate it to the individual units as needed.

A look at the income statement shows the significant recovery of the Voltabox business compared to the previous year. With a cost of materials of 4.7 million (prior year: 0.1 million), gross profit amounted to 1.9 million (prior year: 0.9 million). The significant share of total sales accounted for by the Trading Division in the first half of the year had a major impact on gross profit. Accordingly, the cost of materials ratio (calculated as the ratio of cost of materials to revenue and changes in inventories) remained high at 81.9% (prior year: 31.3%), while the gross profit ratio was 33.4% (prior year: 313.6%). Personnel expenses of °1.0 million (prior year: 0.5 million) and a corresponding personnel expenses ratio of 16.9% (prior year: 181.6%) are low, especially in comparison to the previous year. Other operating expenses of 1.4 million (prior year: 1.8 million) are mainly attributable to operating administrative expenses.

Earnings before interest, taxes, depreciation and amortization (EBITDA) improved to -0.4 million (prior year: -1.4 million), corresponding to an EBITDA margin of -7.2% (prior year: -513.6%). Depreciation of property, plant and equipment and amortization of intangible assets of approximately 0.1 million (prior year: 0.3 million) were in line with budget. On this basis, earnings before interest and taxes (EBIT) amounted to -0.5 million (prior year: -1.7 million), corresponding to an EBIT margin of -9.4% (prior year: -611.0%).

After an almost negligible financial result and income taxes not incurred, the consolidated net income for the first six months was -0.6 million (prior year: -1.7 million). On this basis, earnings per share amounted to -0.03 (prior year: -0.10).

Cash flow from operating activities was positive in the reporting period at 0.8 million (prior year: -1.5 million). The main reasons for this development were the improvement in earnings compared to the previous year, the 1.5 million higher reduction in trade receivables and the 0.5 million higher reduction in trade payables.

Cash flow from investing activities includes CAPEX investments in property, plant and equipment of approximately 0.2 million (prior year: 0.0 million) and in intangible assets of approximately 0.5 million (prior year: 0.0 million). Cash flow from financing activities does not include any significant payments for the repayment of lease liabilities. Accordingly, free cash flow is slightly positive at 0.1 million (prior year: -1.7 million).

The assets of the Voltabox Group decreased to 5.1 million as of the balance sheet date (December 31, 2022: 6.6 million), primarily due to the reduction in other assets and trade receivables.

Non-current assets grew to 1.7 million (December 31, 2022: 1.0 million) following the first-time capitalization of acquired intangible assets of 0.5 million and a slight increase in property, plant and equipment to 0.7 million (December 31, 2022: 0.5 million) as a result of investments in office equipment.

Current assets decreased by 1.1 million to 3.5 million (December 31, 2022: 5.6 million) due to the previously announced impairment of a financial investment. Inventories for the sharply developing business volume in the VoltaStore business unit were further built up in the first half of the year and amounted to 1.3 million as of the balance sheet date (December 31, 2022: 0.8 million). Trade receivables were also reduced in the second quarter to 0.9 million (December 31, 2022: 1.7 million).

On the liabilities side, long-term lease liabilities rose slightly to 0.3 million as of the reporting date (December 31, 2022: 0.2 million). Current provisions and liabilities have been reduced in the second quarter to 3.7 million (December 31, 2022: 4.7 million).

The Voltabox Group's equity amounted to 1.2 million as of the balance sheet date (December 31, 2022: 1.7 million).

Voltabox AG's forecast for the full year remains valid. Accordingly, the Management Board considers it possible to reach break-even in the current fiscal year and to increase revenues to 12.8 million. The company is currently working at full speed to prepare for the coming growth. However, the volatility resulting from the rapid development of the young business areas in conjunction with the necessary upfront investments to exploit the market opportunities arising in the short and medium term and the general conditions characterized by economic policy uncertainties pose significant challenges to the achievement of the forecast.

About Voltabox AG

Voltabox AG (ISIN DE000A2E4LE9), which is listed on the regulated market (Prime Standard) of the Frankfurt Stock Exchange, is a technology driven provider for e-mobility solutions in industrial applications. Its core business lies in intrinsically safe, highly developed high-performance lithium-ion battery systems that are modular and in serial production. The battery systems are primarily used in agricultural and construction machinery as well as in electric and hybrid-electric buses for public transportation. In addition, Voltabox is active in the field of infrastructural energy production and corresponding utilization models through its subsidiary GreenCluster GmbH.

Contact

Voltabox AG

Patrick Zabel (CEO)

Technologiepark 32

33100 Paderborn

Email: investor@voltabox.ag