© Reuters.
Uniper SE (OTC:) (UN01.DE), a number one European power firm, reported a profitable fiscal 12 months in 2023 with a exceptional turnaround from the brink of insolvency. In an earnings name, CEO Michael Lewis introduced an adjusted EBIT of €6.4 billion and an adjusted internet revenue of €4.4 billion.
The corporate made vital strides in its transition to inexperienced power, finishing a liquefied terminal in Germany and changing fuel generators in Sweden to renewable fuels.
Regardless of a difficult commodity market, Uniper’s working money circulation reached €6.5 billion, with a internet financial money place of over €3 billion. Wanting forward, Uniper is getting ready for decrease earnings in 2024 as a result of a much less favorable commodity value surroundings, projecting an adjusted EBITDA between €1.5 billion and €2 billion, and an adjusted internet revenue starting from €0.7 billion to €1.1 billion.
Key Takeaways
- Uniper delivered a constructive adjusted EBIT of €6.4 billion and an adjusted internet revenue of €4.4 billion in 2023.
- The corporate is transitioning to inexperienced power, evidenced by new infrastructure in Germany and Sweden.
- Uniper’s monetary steering now focuses on adjusted EBITDA as its main KPI.
- Regardless of risky and declining commodity markets, the corporate reported robust monetary outcomes.
- For 2024, Uniper anticipates decrease earnings with an adjusted EBITDA of €1.5 billion to €2 billion and an adjusted internet revenue of €0.7 billion to €1.1 billion.
Firm Outlook
- Uniper goals to turn into a number one supplier of inexperienced power in Europe whereas making certain power provide safety.
- The corporate plans to stop operations at its coal-fired energy vegetation within the UK and Germany by autumn 2024.
- A strategic roadmap is in place to maximise monetary worth, scale back dangers, and broaden non-merchant money circulation streams.
- Uniper is realigning its monetary buildings and credit score funding base, together with plans to enter the bond market.
Bearish Highlights
- Uniper expects decrease earnings in 2024 as a result of a decrease commodity value surroundings.
- The anticipated earnings for 2024 replicate a shrinking portfolio and the absence of sure one-off results.
Bullish Highlights
- The corporate achieved excellent earnings in 2023 regardless of market volatility.
- Uniper’s working money circulation was robust at €6.5 billion, with a internet financial money place exceeding €3 billion.
Misses
- There aren’t any particular misses reported within the earnings name abstract.
Q&A Highlights
- Uniper is participating with governments to form the power transition regulatory framework in Europe.
- The corporate is working with a syndicate of banks to increase and broaden revolving credit score amenities and exploring Inexperienced bonds.
- All divestments required below EU state help guidelines are anticipated to be accomplished by the top of 2026.
In abstract, Uniper has demonstrated a exceptional restoration and a robust dedication to its inexperienced transformation and strategic targets. The corporate is proactively managing its monetary construction to help future investments and is actively taking part in shaping the longer term power panorama in Europe. Regardless of anticipating decrease earnings within the coming 12 months, Uniper stays assured in its potential to take care of strong efficiency.
InvestingPro Insights
Uniper SE (UN01.DE) has navigated a tumultuous interval, rising with spectacular monetary outcomes for the 12 months 2023. As the corporate pivots in direction of inexperienced power initiatives, it is necessary to think about each the monetary well being and market sentiment surrounding its inventory. InvestingPro gives a number of insights that may assist buyers perceive Uniper’s present place and future prospects.
InvestingPro Knowledge reveals that Uniper SE holds a Market Cap of roughly $24.81 billion, demonstrating the corporate’s vital presence within the power sector. Regardless of a difficult 12 months with income development down by 53.76% over the past twelve months as of Q3 2023, the corporate’s working revenue margin stays robust at 31.46%, highlighting environment friendly administration and sturdy profitability.
The P/E Ratio stands at a remarkably low 0.58, which might point out that the inventory is undervalued in comparison with its earnings. This aligns with an InvestingPro Tip that Uniper is buying and selling at a low income valuation a number of. For buyers searching for potential bargains, this may very well be an encouraging signal, particularly when coupled with the InvestingPro Honest Worth estimate of $68.77, suggesting potential upside from the earlier shut value of $62.81.
One other InvestingPro Tip value noting is that Uniper holds additional cash than debt on its steadiness sheet, which is a constructive signal of monetary stability. This liquidity place is essential as the corporate undertakes vital investments in renewable power infrastructure and transitions away from coal-fired energy vegetation.
Buyers taken with extra detailed evaluation and extra InvestingPro Suggestions can discover additional by visiting https://www.investing.com/professional/UN01 for a complete have a look at Uniper SE. There are 13 extra ideas out there on InvestingPro, providing deeper insights into the corporate’s monetary well being and market efficiency.
For these contemplating an InvestingPro subscription, use the coupon code PRONEWS24 to obtain a further 10% off a yearly or biyearly Professional and Professional+ subscription. This unique supply gives entry to an intensive array of monetary instruments and professional evaluation that may improve funding choices.
Full transcript – Uniper SE PK (UNPRF) Q1 2023:
Operator: Expensive girls and gents, welcome to the Uniper Analyst and Investor Convention Name Full 12 months Outcomes 2023. At our clients’ request, this convention might be recorded. As a reminder all members might be in a listen-only mode. After the presentation, there might be a possibility to ask questions [Operator Instructions] Could I now hand you over to Stefan Jost, who will begin the assembly at this time. Please go forward.
Stefan Jost: Thanks, operator, and good morning, everybody. I’m happy to welcome you to our full 12 months 2023 outcomes. Subsequent to me on at this time’s name are Michael Lewis, our Chief Govt Officer; and Jutta Donges, our Chief Monetary Officer. Mike will begin and lead you thru our key developments prior to now monetary 12 months 2023. Jutta will then current the financials for 2023 in additional element and supply an outlook for the 12 months 2024. As typical, there might be a Q&A session on the finish. And now let me hand over to Michael Lewis, please.
Michael Lewis: Sure. Thanks, Stefan, and good morning, everybody. A heat welcome from my facet. Earlier than we undergo the presentation, let me spend a number of phrases on Uniper’s turbulent improvement over the previous couple of years. As you realize, I began my work as CEO of Uniper on the first of June 2023 and I’m very proud that we managed to finish a turnaround in 2023 in comparison with 2022, when Uniper was getting ready to insolvency after the burden of the Russian fuel curtailments. In fact, in December 2022, there was no possibility left for the German federal authorities aside from to bailout Uniper with vital fairness injections. It proved to be the correct resolution for the fuel markets and certainly for Germany safety of provide, and for Uniper, it was the place to begin for a exceptional comeback. And simply three months later, Uniper was again in revenue and delivered a constructive adjusted EBIT and in the entire interval over 2022 and 2023, we managed to safe the fuel and likewise energy provide for our clients and companions in each section of the market improvement, at all times honoring our contractual commitments 24/7. And past that, in 2023, we did the groundwork for outlining and releasing our new technique in August with a transparent pathway to remodel Uniper right into a greener firm over the subsequent seven years. And since then, we’ve made decisive motion to execute our formidable program with the primary profitable steps. So let me flip now to Slide 3 and the highlights of Uniper’s 2023 fiscal 12 months. And our progress in 2023 is effectively summarized in 4 dimensions. First, our monetary efficiency, which boosted our monetary restoration. Second, all matters associated to the EU stabilization bundle have – and we’ve made wonderful progress in all of these. Third, our new technique has set the course for Uniper in direction of 2030 and past. And fourth, we began to execute our inexperienced transition with a number of key tasks. In summer time 2023, I stated Uniper is again, and it’s truthful to say we saved our promise. After a turbulent time, 2023 was a fantastic and extraordinary 12 months for Uniper. And the monetary 12 months 2023 ended with report outcomes, which laid the premise for a robust restoration of our monetary place and our steadiness sheet. We’re additionally absolutely on monitor with the EU disposal obligation. In 2023, we offered our participation within the BBL pipeline. We offered our marine gasoline buying and selling enterprise within the United Arab Emirates, and we opened the gross sales course of for our participation within the Latvian fuel firm, Latvijas Gāze. Additionally, we began the gross sales course of for our North American energy enterprise, which is already at a sophisticated stage. In 2024, we are going to proceed with our obliged disposals and only recently, we signed an settlement to promote our gas-fired energy plant, Gönyű in Hungary. We’ve additionally booked a provision for the anticipated stage of reimbursement obligations in direction of the Federal Republic of Germany in reference to the state help granted in 2022 and earmarked the mandatory funds to cowl that. This gives the required readability on Uniper’s monetary beginning place for the transformation journey. On the finish of final 12 months, we additionally reached an necessary milestone. As you realize, the extraordinary normal assembly on December 8 accredited our capital measures to restructure our fairness place. These measures and a robust operational consequence for 2023 permit for an offset of our collected steadiness sheet lack of round €24.2 billion from 2022 in our statutory German GAAP accounts of Uniper SE. That is one necessary technical prerequisite for Uniper to have the ability to pay dividends once more sooner or later. And on prime of that, we’ve began to execute our personal power transition. When it comes to safety of provide in Germany and Europe, we had been capable of carry on-line essentially the most utilized terminal within the liquefied pure fuel sector in Germany in Wilhelmshaven. Let me remind you that we accomplished the seaborne terminal, the primary in Germany in report time with a development interval of lower than ten months. And by the top of December, we’d imported round seven million cubic meters of liquefied pure fuel. We’re proud that this terminal is making a dependable contribution to safety of provide in Germany. And final 12 months, it provided round 6% of complete German fuel demand. In relation to renewable energies, we’re additionally progressively increasing our portfolio to foster our inexperienced energy era. Partnerships play a key position in our development. For instance, in Hungary, we made progress along with our native associate, Callis, in growing six photo voltaic PV tasks with a capability of round 300 megawatts, that are anticipated to begin producing inexperienced energy as of 2026. One other exceptional achievement within the versatile electrical energy era to cowl peak masses was reached final 12 months. We’ve taken Irsching 6 in Germany into operation. This can be a 300-megawatt versatile fuel energy plant that serves solely to stabilize the grid and is successfully an airbag for the power system. In Sweden, we accomplished the conversion of two fuel generators with an put in capability of 126-megawatt to renewable gasoline, which permits for a CO2 discount from these property of as much as 90%. So we’ve proven that we are able to ship new inexperienced renewable tasks, we are able to ship new versatile era and we are able to convert present property into decrease carbon property. Now let’s transfer on to Slide 4, which brings us to our 2023 outcomes. As I stated earlier than, the complete 12 months 2023 ended with excellent earnings and we met our specified outlook from October 2023. Jutta will current the complete monetary particulars in just some minutes. I wish to simply make a number of feedback about what these figures imply. As you’ll be able to see on Slide 4, we achieved an adjusted EBIT of €6.4 billion, because of one-off positive factors from procurement of fuel alternative volumes, fossil era and powerful optimization outcomes. It’s necessary to notice that that is an distinctive stage, which we don’t anticipate to attain once more at this stage sooner or later. Our adjusted internet revenue improved from a loss minus €7.4 billion to a revenue of €4.4 billion. In gentle of normalizing market costs, we anticipate going ahead, decrease earnings in a post-crisis surroundings. Transferring on, let me swap to the subsequent slide, which supplies you a number of examples of how our new technique is mirrored inside our group. With 2024, we entered a brand new section, and our full focus might be on the execution of our technique that we introduced in August final 12 months. Our goal is to remodel Uniper into a number one supplier of inexperienced power in Europe, whereas on the similar time persevering with our position in offering safety of provide for our clients and for the broader power system. We are going to predominantly produce inexperienced and versatile energy, mix our fuel provide with a quickly rising share of inexperienced gases and serve our clients with bespoke options for their very own power transition. And to efficiently ship on our targets, we want an acceptable steering framework in place. And as you’ll be able to see on Slide 5, with the beginning of the present fiscal 12 months 2024, we’ve tailored our segmentation on certainly one of our two main monetary KPIs. This helps an efficient transformation administration, whereas on the similar time making the change of the earnings composition extra clear alongside the way in which. And meaning, first, European era is break up into two segments, particularly inexperienced era and versatile era, which replicate the 2 cornerstones of our development technique. The Inexperienced Technology section contains Uniper’s carbon-free hydro and nuclear energy era that accounts for almost 20% of our complete capability as of at this time. Our goal is to additional broaden this share and to hurry up the expansion of our renewable asset base by investing into wind and photo voltaic. The Versatile Technology section bundles all era capability that contribute to making sure grid stability and safety of provide and are, due to this fact, key parts of the power transition in Uniper’s core markets. As of at this time, these embody our coal in addition to our fuel property, and whereas our exit path of coal continues, thus the share of those property on this section will diminish in accordance with the plan. And 1 predominant process forward might be to remodel our present fuel fleet step-by-step into low-carbon or carbon-free versatile and dispatchable energy vegetation. And we’re additionally ready to speculate into new net-zero succesful versatile property of gigawatt scale in addition to in large-scale battery options. The proper regulatory framework situations will unlock enormous potential for Uniper to develop. And the progress within the so-called company [ph] technique in Germany as an necessary step, which wants now to be rapidly detailed and put into motion. Second, we’ll change the title of the World Commodities section into Greener Commodities to replicate the continuing transformation there. With our midstream fuel enterprise, Uniper stays a dependable fuel provider with our municipal and industrial clients. And we’ll proceed to de-risk our fuel enterprise mannequin and additional diversify the availability of fuel. Moreover, we’re additionally aiming to extend the proportion of inexperienced gases in our portfolio according to market developments, and we’ll ramp up hydrogen actions to turn into a major producer of carbon free hydrogen sooner or later and discover the potential to transform elements of our fuel storage portfolio into hydrogen storage. And within the section, Greener Commodities, we may also bundle our rising PPA actions the place we made a major progress in 2023, as an illustration, with a 15-year PPA with industrial companions in Sweden. We’ve added an appendix – in our appendix, a slide evaluating the breakdown of the previous and new figures per section and subsegment, to be able to see precisely how that interprets. Reflecting our swap in gear for our transformation, we’ve additionally realigned our monetary steering in direction of funding mode by selecting adjusted EBITDA as an alternative of adjusted EBIT as our main KPI. Jutta will give an outlook for 2024 based mostly on adjusted EBITDA figures for the primary time on the finish of this presentation. Let me now information you thru our priorities for 2024 on the subsequent slide. And 2024 is the primary full 12 months of the brand new Uniper specializing in the execution of our technique. And to set the course for the longer term, we’ve outlined our strategic roadmap. First, we work every single day to maintain the prevailing enterprise operating easily and maximize its monetary worth as a way to manage to pay for future funding and development whereas sustaining our key position in safety of provide. We’re additionally actively decreasing our dangers by enhancing our optimization technique and hedging methods in a risky and difficult market surroundings going ahead, and the current sharp decline in commodity costs is one instance for the challenges we’re dealing with. Because of this, it’s much more necessary to implement our technique with full power, along with operating our present enterprise as a way to broaden our non-merchant money circulation streams particularly. By the identical token, we’ll execute on our commitments in direction of turning into a carbon impartial firm. Right here, our coal-fired energy vegetation in Ratcliffe within the UK and Heyden in Germany, which delivered over many years a dependable supply of power and contributed considerably to Uniper’s previous success, will lastly stop operations within the autumn of 2024. Second, we have to develop our future asset base. As many tasks have a protracted lead time, it’s important to make the correct funding choices on the proper time. We do have a robust undertaking portfolio, however we have to train the correct choices and deal with the correct tasks that may ship early returns and make sure that we develop the enterprise over the approaching years. Third, it’s important to have the correct group and one of the best folks and processes in place to make sure well timed supply of our strategic targets. We due to this fact adjusted tasks of the administration board members final 12 months and we’re nonetheless progressively strengthening our organizational setup under the board stage as a way to ship our development plans. As well as, we’re additionally recruiting a major variety of new colleagues to assist us implement new tasks and maintain operating a dependable and worthwhile enterprise on the similar time. And fourth, we’re participating with governments to assist form the regulatory framework essential to ship the power transition in Europe and pave the way in which for the required new investments. For instance, we’ve intensively engaged within the dialogue on the German energy plant technique and we’re happy that this has moved ahead and has now been introduced by the German federal authorities. And fifth, we’re making superb progress in delivering our obligations below the EU state help rule. And we’re very assured that we’ll accomplish all introduced divestments by the goal date the top of 2026. And delivering our obligations is a really, essential cornerstone to restoring Uniper’s capital market viability. As you’ll be able to see, we’ve a vastly difficult 12 months forward, and certainly years forward. And delivering our technique out to 2030 is a marathon and can comprise an enormous quantity of effort over a protracted interval from the entire group. However let me guarantee you, we at Uniper, I personally and all of my board colleagues and senior leaders are absolutely dedicated to creating the brand new Uniper a actuality. And with these phrases, I’d like at hand over to Jutta for a deep dive into the monetary efficiency for 2023. Jutta, over to you.
Jutta Donges: Thanks very a lot, Mike. And on my behalf, a heat welcome to all of you. It’s an honor to report such robust working ends in my first monetary 12 months at Uniper. 2023 marks the 12 months of robust monetary restoration of Uniper. This has been achieved in opposition to the backdrop of exceptionally risky and declining commodity markets in Europe with excessive fuel storage ranges on the finish of the 12 months, we absolutely met and even overachieved the politically set thresholds for Germany and different European nations. On the similar time, the worth of business optimization of procurement and provide just isn’t actually mirrored in these bodily storage ranges. In different phrases, one can go away fuel in storage when being higher off shopping for it on the spot markets and saving the saved volumes when the market actually wants them. Our wonderful optimization capabilities are additionally obvious in electrical energy era, significantly within the unfold portfolio. Right here, the robust optimization of our personal energy vegetation led to vital extra earnings contributions. With a discount in energy era and an improved decrease carbon intense era combine away from coal, a higher discount in carbon emissions comes alongside. We proceed to cut back our carbon emissions from our era portfolio according to our strategic targets. The decommissioning of Uniper’s Heyden 4 coal fired energy station is now particular and set for September 2024. Let me now flip to our wonderful monetary outcomes, which had been a mix of market pushed tailwinds and plenty of wonderful operational choices in an risky surroundings. The group’s working consequence right here adjusted EBIT of virtually €6.4 billion, was according to the outlook we had given in our 9 month report. Remoted fourth quarter working revenue was additionally exceptionally excessive at €0.9 billion. As within the earlier quarters, fossil energy era and fuel midstream had been the primary drivers. After the numerous working losses in 2022 that is an excellent consequence for the monetary 12 months 2023. The very constructive adjusted EBIT pattern was mirrored by adjusted EBITDA and working money circulation. The adjusted internet revenue additionally climbed to a constructive report stage of €4.4 billion according to our given outlook. Along with the primary driver working revenue, a major discount in financing curiosity expense since mid-2023 had a constructive influence. The working tax charge got here out at 29%. The printed IFRS consequence benefited from the discharge of provisions not required in addition to from the advertising and marketing to market of derivatives on the reporting date in a commodity market surroundings with falling costs. Uniper acknowledged a provision of €2.2 billion within the consolidated monetary statements for the monetary 12 months 2023 for an anticipated fee obligation in direction of the Federal Republic of Germany in reference to a state help granted in 2022. Adjusted internet revenue remained unaffected by this provision. Extra particulars will are available in a minute. On the subsequent slide, I spotlight the primary drivers for Uniper’s excellent efficiency. All main enterprise actions contributed to the excellent outcomes. Key earnings drivers carried out effectively once more within the last quarter of our monetary 12 months 2023. The section World Commodities and right here, particularly, Fuel Midstream was the primary contributor to the group’s income for the complete 12 months, a wonderful working results of €1.3 billion was achieved, pushed by the optimization within the fuel portfolio and our storage administration. This was topped by positive factors on the acquisition of Russian alternative fuel volumes of €2.3 billion, in contrast with a lack of roughly €13.2 billion within the prior 12 months. Additionally, worldwide and energy in World Commodities made a robust contribution to the outcomes, fully pushed by profitable LNG buying and selling actions. Within the European Technology section, there have been nonetheless a number of indicators of the decline in commodity costs feeding via the quarterly outcomes. The fossil energy plant secured excessive spreads, because of profitable hedging and optimization transactions. Essentially the most vital contributors to the ends in European era had been the UK CCGT energy vegetation in addition to the German and Dutch metal fleet. Nevertheless, as said earlier than, the 2023 result’s an absolute exception with a doubling in comparison with the already superb prior 12 months gross sales in fossil energy. The tailwind has shifted noticeably to headwinds in current weeks. The era enterprise can not escape this market pattern, although we are going to take a few of the favorable market surroundings of the earlier 12 months with us for hedge positions. Our outright energy portfolio with hydro and nuclear property additionally elevated its revenue contribution within the 2023 monetary 12 months. The Nordic and German portfolios noticed a major enhance in common hedge costs with a slight total decline in volumes, had somewhat influence on our backside line. This was supplemented by engaging gross sales on the spot markets. Nevertheless, a lot of this help was offset by, once more, a major enhance of provisions in our Nordic nuclear enterprise for additional hikes in waste disposal and storage prices. our newest outright hedging numbers, which you can even monitor within the appendix of our presentation. The outlook for 2024 for all the outright era portfolio has weakened barely in comparison with the earlier quarter. The constructive information to flag is that in all years as much as 2026, the hedge costs for our Nordic Hydro and nuclear actions are nonetheless increased than the typical realized costs for final 12 months. Now, over to the group’s working money circulation. Working money circulation for monetary 12 months 2023 got here in at €6.5 billion. This interprets right into a strong money conversion of virtually 100%. Most parts of the waterfall chart present the same old sample. Working capital benefited from decrease capital tied up for fuel inventories as a result of decrease market costs. The merchandise different primarily incorporates the web influence of the provisions for carbon emission allowances. The robust working efficiency additionally interprets right into a full revival of the group fairness place, as you’ll be able to monitor on the subsequent slide. Following the fairness injection by the federal authorities in December 2022, the distinctive excessive working money circulation in 2023 was the turbocharge that put Uniper’s monetary place again on a safe monetary footing. One thing that no person might have anticipated a 12 months in the past, the fairness place at 12 months finish 2023 displays the already talked about provision of roughly €2.2 billion for an anticipated fee obligation in direction of the Federal Republic of Germany in reference to the state help granted in 2022. Based mostly on the state help granted, Uniper is obliged, amongst different commitments, to pay any potential overcompensation from the state help to the Federal Republic of Germany. The fee obligation with a monetary quantity nonetheless depending on the annual consequence and adjusted fairness place for 2024 will fault [ph] you at the start of the 12 months 2025 and needs to be paid from present liquid funds. It has been a precedence to create transparency for the capital markets over Uniper’s clear monetary foundation, which is essential for the valuation of Uniper going ahead. And it’s a additional proof level that the Uniper administration is swiftly working via its agenda as a way to reinstall Uniper’s capital markets viability. Uniper is now in a strong monetary place as you’ll be able to see on the subsequent slide. Due to a robust working money circulation. The Uniper Group recorded a internet financial money place of greater than €3 billion on the finish of 12 months 2023. The credit standing company S&P World honored the restoration of Uniper’s steadiness sheet figures, significantly after noting that no additional losses can be incurred from the alternative procurement of Russian pure fuel. The long-term credit standing of BBB minus was affirmed in June 2023 with an improved outlook from unfavorable to secure. On the reporting date, Uniper had not drawn on its revolving credit score amenities from banks or KfW and had excellent industrial paper of €0.4 billion. The present internet money place is a robust foundation for implementing our strategic development plans from a really strong monetary place. The transformation might be accompanied by a major enhance in development investments from 2024 onwards. Expenditure on investments had not materially elevated in 2023. Progress investments accounted for one-third of complete expenditure. We’re working arduous to adapt and optimize the monetary headroom and financing buildings to future wants and strategic plans. The present KfW credit score line expires in a number of steps till September 26. On the similar time, Uniper will diversify and broaden its credit score funding base within the coming months, to have tailored credit score buildings in place for future funding wants. We’re working with a syndicate of banks to delay and broaden the scope of the present €1.7 billion revolving credit score amenities. We additionally wish to place ourselves as an everyday actor within the bond market. On the similar time, our portfolio will turn into cleaner with new investments, in order that medium- to long-term extra financing choices as an illustration, Inexperienced bonds may also seem on our radar sooner or later. Now to our new outlook for the 12 months 2024. For the primary time, we centered on our adjusted EBITDA as a brand new KPI and the well-known adjusted internet revenue. After a unprecedented 12 months 2023 through which Uniper has stabilized, financially recovered and laid a strong monetary foundation. Uniper is now anticipating decrease earnings for 2024 pushed by an total decrease commodity value surroundings. Concretely, we anticipate an adjusted EBITDA within the vary of €1.5 billion to €2 billion and an adjusted internet revenue between €0.7 billion to €1.1 billion. The vary for the outlook displays a nonetheless risky market surroundings. Akin to our outlook you discover on the right-hand facet of this slide, the important thing drivers which clarify the developments from 2023 to 2024. Please take into consideration that these are our underlying enterprise drivers and vital intracrew consolidation results, for instance, for carbon affect the image. The most important earnings drivers are clearly a considerably decrease commodity value surroundings in comparison with the power disaster years 2021 to 2023. Our inexperienced era enterprise is anticipated to revenue from strong costs and better volumes, benefiting particularly our Nordic outright enterprise and the absence of unfavorable one-off results helps a constructive view on 2024. On the similar time, we anticipate decrease earnings in our versatile era and for our greener commodity segments in comparison with 2023. Foremost drivers for decrease anticipated earnings in our versatile era segments are that hedge value ranges prior to now is not going to be achievable once more and an total shrinking portfolio. For greener commodities, the impact from fuel curtailment positive factors is not going to repeat in the identical magnitude, and we’re working in an total decrease commodity value surroundings, which additionally impacts our commodities enterprise. Nevertheless, total, we nonetheless anticipate a really strong efficiency for 2024, which takes us very near pre-crisis ranges. And with that constructive outlook, I hand again to you, Stefan.
Stefan Jost: Thanks, Jutta and Mike. We really can begin the Q&A session now. So if there are any questions, the analysts and buyers, please go forward. Operator, I’m handing it over to you, please.
Operator: Thanks. [Operator Instructions] And it appears like we at the moment don’t have any audio questions registered. Okay. So I’m handing again over to our audio system for any closing feedback as we’ve no questions registered.
Stefan Jost: Thanks, operator. And it was clearly a really clear report at this time. You already know you’ll be able to at all times attain out to the IR group instantly with any questions afterwards. And there may be in about an hour, additionally our press convention. So we’re trying ahead to maintaining the dialogue with you, however thanks for becoming a member of on this morning and converse quickly.
Operator: Girls and gents, thanks in your attendance. This name has now been concluded. It’s possible you’ll disconnect.
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