PRESS RELEASE

Paris, 28 February 2018

2017 revenue

Sustained growth in revenue, up 16.2% to €1,966 million
Excellent sales performance: growth of nearly 24% in the customer portfolio (2,616,000 sites at end-2017)

2017 current operating income target of €100 million confirmed

Double digit growth in revenue again

In € millions Q4 2017 (*) Q4 2016 Change
Q4 revenue (including energy management margin) 596.4 506.6 +17.7%
Of which Quadran Group 10.9 -  
       
In € millions 31/12/2017 (*) 31/12/2016 Change
12 month revenue (including energy management margin) 1,966.3 1,692.4 +16.2%
Of which Quadran Group 10.9 -  

(*) Unaudited data, estimated revenue, per-segment breakdown appended

Q4 2017, marked by variable weather conditions including record highs in October (*) which have negatively impacted the consumption of electricity and gas, confirms the Group's ongoing growth dynamics with a 17.7% increase in revenue to €596.4 million. Restated for the €10.9 million contribution by the Quadran Group, consolidated since 31 October 2017, the growth in revenue for Q4 2017 reaches 15.6%.

(*) Source: RTE - Bilan Électrique 2017

For the year, consolidated revenue amounts to €1,966.3 million, up 16.2% (15.5% excluding the contribution of the Quadran Group). 

This performance reflects the positive contribution of all business segments:

  • the Commercial trade segment, which achieved remarkable commercial success with nearly one million customer sites acquired over the year;
  • the Production segment (Bayet and Marcinelle gas-fired power plants), whose contribution, recognised under "energy management margin", increased from €11.8 million in 2016 to €54.9 million in 2017, due in particular to the integration of the first full-year results of the Marcinelle plant, as well as favourable market prices;
  • the Renewable segment, which includes the Quadran Group for the last 2 months of the year (contribution of €10.9 million).

In 2017, the Quadran Group commissioned new projects totalling 187 MW, increasing its gross installed capacity to nearly 550 MW, of which 374 MW in wind power and 157 MWc in solar power. This strong development, which is set to continue, will be fully reflected in the 2018 results.

Acceleration of commercial growth in France in an increasingly competitive market

In a stiffer competitive environment, the pace of acquisitions once again increased, with gross acquisitions of nearly 950,000 new customer sites during the year (+21.4% compared to 2016), of which 512,000 sites in the second half of 2017 (+26.1% compared to H2 2016). This commercial success is mainly due to the acquisition of residential customers (863,000 sites), but also to the ongoing acquisition of non-residential customers (86,000 sites) after an exceptionally high acquisition pace in 2016 that benefitted from the termination of the regulated "yellow" and "green" tariffs as from 1 January 2016.

Gross acquisitions, in thousands of points of sale 2017 2016 Change
Residential 863 643 +34%
Non-residential 86 139 n/a
Total 949 782 21.4%

24% growth in the customer portfolio in France, over 2.5 million sites supplied at end-2017

With 495,000 net acquisitions during the year, the Group's customer portfolio in France totalled 2,558,000 sites at end-2017 compared to 2,063,000 sites at end-2016, representing an increase of 24%.

in thousands 31/12/2017 31/12/2016 Change
Residential 2,161 1,705 26.7%
Non-residential 397 358 10.9%
Total 2,558 2,063 24.0%


in thousands 31/12/2017 31/12/2016 Change
Electricity 1,968 1,607 22.5%
Gas 590 456 29.4%
Total 2,558 2,063 24.0%

The Belgian business continued its controlled commercial development with a portfolio that reached 58,000 customer sites at end of 2017, showing an 11.5% increase over the period.

2017 profitability target confirmed

These commercial results, combined with a balanced vertical integration strategy, enable the Group to confirm its 2017 target of current operating income of €100 million.

Xavier Caïtucoli, CEO of Direct Energie, said: "2017 was a structuring year for Direct Energie, the Group taking on a new dimension by becoming a major renewable energy player in France through the acquisition of Quadran. By continuing its commercial development, the Group also confirms its ability to keep a sustained growth pace in an increasingly competitive environment. All of our teams have contributed to these achievements and remain fully committed to continuing our business development in 2018".

Next publication:

2017 annual results: 14 March 2018 after market 

ISIN code: FR0004191674 / LEI code: 969500AZY2G5SSJC5G90

Ticker symbol: DIREN/ Euronext Paris, Compartment A

About Direct Energie
As France's leading alternative energy player, Direct Energie positions itself as the energy operator of the 21st century by focusing its strategy on customer satisfaction, innovation and the development of the energies of the future. Operating in France (continental and overseas territories) and in Belgium, the Group supplies electricity and gas to over 2.6 million residential and non-residential customer sites. Direct Energie also produces electricity through renewable production facilities (onshore wind, solar, hydraulic, and biogas) and conventional plants (natural gas combined cycle), located throughout the region.

In 2017, the Group achieved consolidated revenue of €1,966 million.

For more information, visit our website www.direct-energie.com

Press contact: Image Sept:
Grégoire Lucas - gregoire.lucas@image7.fr  - Tel + 33 (0)1 53 70 74 94                     

Marie Artzner - martzner@image7.fr - Tel + 33 (0)1 53 70 74 31 or + 33 (0)6 75 74 31 73

CM CIC Market Solutions

Cindy David - Cindy.david@cmcic.fr - Tel + 33 (0)1 53 48 80 54

Direct Energie
Investor Relations: Mathieu Behar - mathieu.behar@direct-energie.com  - Tel +33 (0)(1) 73 03 74 (16)
Press Relations: Frédérique Barthélémy -  frederique.barthelemy@direct-energie.com - Tel +33 (0)1 73 03 78 72

Segment reporting

In thousands of euros   Commercial trade   Production   Renewable   Total   Total
   France Belgium   France Belgium   France   France Belgium   
Revenue at 31/12/2017                          
Revenue from ordinary activities   1,861,629 38,869   37,040 17,823   10,922   1,909,591 56,692   1,966,284
              
Revenue at 31/12/2016                          
Revenue from ordinary activities   1,647,961 32,632   11,835 -   -   1,659,796 32,632   1,692,429

(*) Unaudited data

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