NTR cuts losses as consolidation plan ahead of schedule

Renewable energy investor NTR significantly reduced its losses and completed its consolidation plan a year ahead of schedule as it sold off non-core assets and cut expenses.

In the year to March 31st 2013, the company said earnings before interest, tax, depreciation and amortisation from continuing operations rose by 324 per cent, to €19.3 million, as earnings from wind projects grew and costs were reduced throughout the group.

Losses declined from €88.8 million to €16.2 million. Revenue from continuing operations was €35.3 million for the year, up from €24.9 million in 2012.

As a result of its success in its consolidation plan, the group said it was proposing a return of capital of up to €100 million to shareholders, by way of a share redemption.

During the year, NTR sold Greenstar Recycling (North America) for $180 million, offloaded non-core wind assets in the US for $14 million, and sold its share in ethanol producer Green Plains Renewable Energy.

Total assets of the group were €775 million at the end of the year, down from over €1 billion a year earlier, with €150.9 million held in cash.

The company said it had built cash reserves and slimmed down the group into one with a focus on wind energy. NTR is set to invest in wind projects in EU markets, adding to its current assets in the US.

Chief executive Rosheen McGuckian said NTR was able to re-enter the UK and Irish wind markets with confidence.

“There is excellent value to be created by careful selection of quality projects in these markets,” she said.