The CEO of Yü Group, the independent supplier of gas, electricity and water to the UK corporate sector, and smart meter installation services, has hailed “excellent” unaudited half year results for the six months to 30 June 2022.
Revenue has soared to £129.2m from £65.8m in the same period of 2021, while profits jumped to £4.4m from £0.9m.
The Nottingham-based firm expects the strong H1 performance to continue for the remainder of the financial year and beyond.
Bobby Kalar, Chief Executive Officer, said: “We continue to reiterate our promise to keep delivering profitable growth and are confident this is set to continue.
“I’m very pleased to report another set of excellent results reflecting a strong and reliable performance. Remembering this is our fourth consecutive and consistent set of results I’m proud to confirm our key financial KPI’s are performing well and have exceeded our forecasts following two recent upgrades.
“Revenue is up by 96%, cash in hand has increased 37%, average monthly booking have increased by 49% and EBITDA has jumped over 400% compared to H1 2021. Our strategy is working well and our strengthened and highly disciplined business driven by our joined up processes, people and platforms continues to deliver a seamless customer experience.
“Our digital transformation program is on course and several digital projects are now live and embedded into the business. We will see additional benefits of reduced operating costs, better efficiencies and greater predictability as we scale these digital channels.
“While I’m pleased with the recent government Energy Bills Relief Scheme announcement, pledging support for business customers with their increased energy costs, I fear businesses will feel the ongoing pressure of volatile wholesale commodity prices for some time. We will continue to work hard to help our customers manage these difficult market conditions.
“A £300m Mark to Market trading position gives me comfort our hedge book is very strong, in accordance with our hedging policy, and provides significant confidence in forward gross margin.
“The successful launch of Yü Smart is a game changer in terms of value chain ownership. As well as supplying energy to our business customers we have gained certification from the Retail Energy Code (REC) and approval from Elexon and Xoserve to operate as a Meter Equipment Manager (MEM) and Meter Installer (MI) for both gas and electricity customers, creating the opportunity to install and maintain SMETS2 meters. In addition, owning the asset, creating an annuity income, provides an exciting new value pool for the Group to benefit from. I look forward to updating the market as we rapidly scale this capability.
“We performed well in the pandemic; even better in 2021, despite challenges in the market; and we expect even better performance in the remainder of 2022 and beyond. I’m reassured our business continues to prosper and will use its strength and experience as an anchor for any further turbulence. As we continue to enjoy the fruits of our hard work, I look forward to delivering significant shareholder value in the near future.
“Finally, I would like to thank my wonderful team who continue to support the Board’s target to achieve £500m revenue at over 4% EBITDA as soon as possible.“
