Green energy firm Good Energy has said the sale of its wind and solar generation assets helped it to navigate the sector鈥檚 ongoing crisis, which has seen other suppliers collapse.
The Chippenham-based business reported a 鈥渞esilient鈥 performance during the 12 months ending December 31, 2021, despite pressure from commodity markets and low wind levels.
Revenue increased by 11.8% to 拢146m from 拢130.6m in 2020, driven by 鈥渟ignificant鈥 price rises throughout the year in response to rising wholesale costs.
The Aim-listed group said the 鈥渦nprecedented鈥 energy crisis - which has seen 28 suppliers collapse - and a quadrupling of the wholesale market price, resulted in a dip in profits.
The firm's gross profit decreased by 8.6% to 拢27m from 拢29.6m in 2020, while gross profit margin fell to 18.5% from 22.6% a year earlier. Cash generated from operations reduced 66% to 拢3.9m.
The company said underlying pre-tax profits had risen to 拢2.6m from 拢500,000 the previous financial year.
It also recorded a 拢4.1m loss for the period, which it said included a 拢5.7m reduction in relation to discontinued activities and the 拢21.2m sale of its renewable portfolio to investment firm Bluefield Solar Income Fund.
Good Energy made the move as part of a strategic shift towards energy and mobility services, driven by further investment in its electric vehicle mapping platform Zap Map.
The company鈥檚 board said the proceeds from the sale had provided a balance of growth capital and a 鈥渂uffer鈥 to the volatile wholesale energy market.
Chief executive Nigel Pocklington said following the transaction Good Energy was now a 鈥渟ubstantially debt free business with a strong balance sheet".
Mr Pocklinton said: 鈥淲e will continue to invest for the future, including in Zap-Map to accelerate the transition to electric vehicles.
鈥淔ollowing a resilient performance in 2021 despite significant market challenges, we鈥檙e focused on delivering on our exciting, new strategy 鈥 helping customers cut carbon, and supporting the growth of renewable generation at a time it has never been more needed.鈥
Overall Good Energy customer numbers increased last year by around 2% to almost 280,000, of which 85,000 were domestic. Business customers increased 20% to more than 11,000 while Zap-Map鈥檚 total registered users were up 125% to 350,000.
Good Energy has said it is aiming to support one million homes and businesses to cut carbon from their energy use and transport by 2025.
Earlier this year Good Energy鈥檚 shareholders rejected resolutions from rival green energy supplier Ecotricity - which owns a 25% stake - to prevent the sale of its renewable assets and to remove its chairman Will Whitehorn from office.
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