Bobby Kalar of Yu Group: We’ve delivered on our promise to generate profitable growth, which is set to continue
Episode 623, Mar 22, 2022, 01:02 PM
Bobby Kalar, Chief Executive Officer of Yu Group #YU. talks about how the company has delivered on its promise to generate profitable growth, which he says is set to continue. Full year results showed revenue increased by 53% to £155.4m and profit after tax of £4.5m up from a £1.2m loss in FY20.
Bobby Kalar, Chief Executive Officer of Yu Group #YU. talks about how the company has delivered on its promise to generate profitable growth, which he says is set to continue. Full year results showed revenue increased by 53% to £155.4m and profit after tax of £4.5m up from a £1.2m loss in FY20.
Financial & Operational Highlights
· Strong revenue growth, up 53%, to £155.4m (FY20: £101.5m), driven by high organic growth and the integration of AmpowerUK's customer book
o Further SoLR awards of Whoop Energy and Xcel Power since period end
· Profit after tax of £4.5m up from a £1.2m loss in FY20
· Underlying profitability continues to improve, with adjusted EBITDA increasing to £1.7m from a £1.7m loss
· Average annualised monthly bookings of £13.8m, an increase from £8.3m in FY20
· Total meter points stood at 31,862, an increase of 83% from the end of FY20
· Navigated global commodity market price increases via our robust hedging policy
· Launch of 'Digital by Default' strategy and new customer portal to increase scale, drive efficiency and create further value
· Cash of £7.0m (FY20: £11.7m), following investment into 'Digital by Default' strategy including the opening of the new Leicester innovation centre
Current Trading
· Good revenue visibility with significant forward contracted revenues book in excess of £290m, of which £157m due to deliver in FY22 (an increase of 69% on FY21)
· Positive FY21 momentum carried into the start of the year with strong bookings, revenue and profit performance in January and February 2022
· Maintained strict hedging policy to mitigate against volatile market conditions
Outlook
· Significant confidence in high revenue growth based on increased forward contract book
· Despite turbulence in the wider external market, we remain strong and focussed on delivering continued profitable and controlled growth
· Well positioned given different regulatory framework to B2C suppliers and value of hedge book
· Excited about the long term benefits we will unlock from our 'Digital by Default' strategy