
BayWa r.e. expects to conclude the majority of a 1GW+ pipeline of renewable asset sales towards the end of this year after it highlighted the role solar played in its H1 2020 results.
Reporting its financials for the first six months of the year, BayWa AG confirmed its renewable energies division to have recorded a 20% jump in revenues year-on-year to €835.8 million (US$991 million).
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But the rise in revenues was not enough to offset a decline in earnings, as the division slipped to a loss of €1.3 million, having recorded a narrow profit in H1 2019.
But in discussing its performance, BayWa said that solar had contributed strongly to positive earnings within its wider energy segment, which includes conventional energy generation. BayWa’s combined energy segment reported a 38% jump in H1 earnings in 2020, rising to €16.7 million.
The Germany-headquartered developer also teased that more is expected to come from its renewables arm in the second half of the year, particularly during Q4, when a slew of renewables asset sales are being lined up.
From a portfolio of around 1.2GW of solar assets lined up for sales this year, just 54MW have been concluded to date – including the sale of Europe’s largest floating solar park at Bomhofsplas – and BayWa expects the sales of those remaining assets to complete in the last three months of the year.
This, the company said, gave it optimism against an expected decline in momentum within its conventional energy business unit.