Eneraqua Technologies PLC - London-based energy and water efficiency solutions provider - Says two local authority clients have announced delays to projects, with start dates deferred to after April 2024. Because the deferred projects are now expected to start in financial 2025, it says it has identified cost reduction opportunities which will reduce operating costs by around GBP1.4 million in the next financial year. As a result, now expects full-year results to be "materially below current market expectations", with revenues of GBP55 million in financial 2024 and an adjusted pretax loss of GBP6 million. In the year ended July 30, revenue was GBP55.1 million, while adjusted pretax proft was GBP10 million.
Chief Executive Officer Mitesh Dhanak says: "While recognising the serious budgetary pressures on our local authority clients, this delay is clearly extremely disappointing for all of our shareholders and staff. Whilst inflationary pressure has made the local authority sector more complex to navigate, the structural need and underlying demand for our solutions in energy remains positive given the quality of our offering and the continued drive to net-zero, with these contracts moving into [financial 2025] providing a strong basis for the year ahead."
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By Sabrina Penty, Alliance News reporter
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Eneraqua Tech (ETP)