Scatec Reports Strong Q3 with NOK 2.42 Billion Revenue, Sets Ambitious 2027 Growth Target with Focus on Solar and Energy Storage

Renewable energy leader Scatec posted strong third-quarter results with proportionate revenues reaching NOK 2.42 billion (2.37 billion) and EBITDA climbing to NOK 1.52 billion (0.89 billion). Power production surged to 1,254 GWh, up from 1,047 GWh in the same quarter last year, driven largely by new plants. Revenues from power production hit NOK 1.77 billion (1.04 billion), with EBITDA at NOK 1.54 billion (0.81 billion), boosted by gains from a South African divestment and contributions from the Philippines and Ukraine.

The Development & Construction (D&C) segment posted revenues of NOK 631 million, fueled by the Grootfontein project in South Africa and Mmadinare in Botswana, with a solid gross margin of 12%. In Tunisia, construction began on the 120 MW Tozeur and Sidi Bouzid solar projects.

CEO Terje Pilskog expressed satisfaction with Scatec’s financial performance and project milestones, underscoring the company’s operational strength. Notable achievements included signing a 25-year power purchase agreement in Egypt for a 1.1 GW solar and 100 MW/200 MWh storage project, a first for the country.

Scatec also advanced its divestment plan, announcing the sale of its African Hydropower JV to TotalEnergies, a Vietnam wind power plant to SUSI Asia Transition Fund, and portions of solar plants in South Africa’s REIPPP rounds 1 and 2 to STANLIB. These moves will increase Scatec’s financial flexibility and support new investments in renewables.

For 2023, Scatec forecasts full-year proportionate power production of 4.2-4.3 TWh, a slight reduction of 50 GWh, and raises its EBITDA target to NOK 4,150-4,350 million, with D&C gross margins projected at 10-12%. Looking to 2027, Scatec plans annual equity investments of NOK 750 million, focusing on Solar PV & Battery Energy Storage Systems in South Africa, Egypt, Brazil, and the Philippines, funded through NOK 4 billion in divestment proceeds, strong D&C margins, and cash from operations.