Sunlight Group Financial Results for FY 2021
Athens, Greece, 11 May 2022
52% increase in adjusted EBITDA and 54% in turnover
Strong financial performance in 2021:
€272mil turnover (vs €177mil in 2020)
€32mil adjusted EBITDA (vs €21mil in 2020)
New major Original Equipment Manufacturer (OEM) customers
Diverse investments to further expand and increase growth
Ongoing implementation of the company’s €560mil five-year business plan
+35.1% employees (1,348 in 2021 vs 998 in 2020)
New and innovative products – Sunlight ElectroLiFe and Sunlight KnoWi
Sunlight Group, member of the international investment “Olympia” Group, announces strong financial results for 2021. The company continues its robust growth path by delivering a 54% increase in turnover and 52% improvement in adjusted EBITDA compared to the previous year. Recording another annual robust financial performance, it continues implementing its diverse €560mil five-year business plan to expand the company’s production capacity in lead-acid and lithium-ion batteries and energy storage systems, as well as secure and grow its supply chain and sales network. To that effect, Sunlight invests across its facilities in Greece and abroad in equipment, automated production, robotic systems, assembly lines, Research & Development, human resources, as well as Mergers & Acquisitions.
Turnover for Sunlight Group in 2021 amounted to €272mil compared to €177mil the year before, i.e. a 54% increase. This is attributed to the dynamic repositioning of Sunlight Group in the global market, driven by upward trends in production, as the industry for motive batteries and energy storage systems gradually recovers from the consequences of the pandemic. The company was well-prepared to cover demand, thanks to the high performances of its manufacturing plants in Xanthi, Komotini, Verona (Italy) and Greensboro (North Carolina, USA). Specifically, in 2021 Sunlight’s production exceeded 3.25mil motive power cells and 150,000 energy storage cells for renewable energy, while in Q4 the growth rate increased even further. Thanks to the addition of facilities and equipment, it reached 3.6mil motive power cells on an annualized basis. In comparison, in May 2018, when a disastrous fire broke out in the company’s plant in Xanthi, Greece, production amounted to 1.8mil cells. In under four years and in the midst of a global pandemic, the decisive will of our shareholders and leadership team, as well as the recalibration of Sunlight Group’s business plan, lead to the doubling of its production.
Despite the steep rise in costs for raw materials and electric power in H2 2021, both of which impacted profitability, Sunlight recorded significant increase in turnover and profits. The success is mainly due to the increase in sales and careful management of production costs – especially in the motive batteries range. In addition, the company gained access to new major OEM (Original Equipment Manufacturer) customers for both lithium-ion and lead-acid energy storage solutions, and expanded its product portfolio. Two new and innovative products were launched in 2021: the semi-traction lithium-ion battery, Sunlight ElectroLiFe, and the Battery Management System for lead-acid energy storage systems, Sunlight KnoWi. In addition, thanks to its strong balance sheet, Sunlight strengthened its supply chain and collaboration with its suppliers and increased its raw materials stock, thus shielding the company against the ongoing challenges.
Commenting on the release of the 2021 financial results, CEO of Sunlight Group, Lampros Bisalas, noted: “I’m very proud for yet another year of strong financial performance, despite challenges in the cost of raw materials and energy that were unprecedent for the global market. The results demonstrate our focus to become a global leader in the market of industrial vehicles and energy storage systems. We are thus implementing an investment strategy that address both short- and long-term challenges and emerging opportunities. Greatly focusing on corporate governance, we have added international experience to our BoD and Executive Committee, creating a strong leadership team that will guide Sunlight Group into the future and help us achieve our business goals. Sunlight continues investing in people, infrastructure and state-of-art systems and equipment, with an eye on the long-term sustainable growth rates which will bring even more sales and higher profitability in the coming years. There are important financial and geopolitical challenges ahead, but the shareholders and leadership team of Sunlight Group are steadfast and focused on implementing the company’s robust investment and expansion plan.”
To further increase production and, consequently, growth, Sunlight Group is implementing a strategic and diverse €560mil business plan, of which €450mil are budgeted for investments, to expand its sales network and production capacity up to 6.3mil battery cells by the end of 2023.
Sunlight also continues investing in R&D having created a specialized team of more than 120 scientists and engineers. A significant part of this investment regards the implementation of the €105mil “European Battery Innovation” project. Recognized as an “Important Project of Common European Interest”, EuBatIn is co-funded by the EU and focuses on developing innovative lithium battery technologies for the energy storage sector and off-road industrial mobility. Sunlight is already installing a pilot production line for prototype lithium cells in its industrial complex in Xanthi.
Investments in human capital are also ongoing. On December 31, 2021, Sunlight and its subsidiaries collectively employed 1,348 personnel, i.e., 350 people or 35.1% more than 2020. This dynamic recruiting reflects the company’s preparedness to meet the anticipated high growth rates of the coming years. And at the same, the company distributed more than €3mil in benefits and bonuses to its employees out of the profitability of 2021, in appreciation of their contribution to corporate goals.
Sunlight Group continues to actively expand the company’s sales, distribution, and services network with Mergers and Acquisitions, to optimally serve the European and international markets, while also strengthening its supply chain and vertical integration. Recent activities on that front include the acquisition of Technoform, a Kilkis-based company that designs and manufactures state-of the-art molds and components, and PBM S.R.L., an established global leader in the production of battery chargers and industrial electronic devices.
True to its strategic objective to create value for the Greek economy and the local communities in which it operates, for the second consecutive year Sunlight marked a significant increase in its social contribution via social security and taxes; a 24% increase compared to 2020. In addition, the company supports direct employment in the remote region of Thrace, where it operates facilities, employing people from local communities. More than 70% of Sunlight’s human capital comprises employees from local communities. Moreover, Sunlight also supports indirect employment by procuring goods and services from local businesses. Lastly, as the only Greece-based company producing batteries and energy storage systems, especially due its focus on new technologies such as lithium, Sunlight Group aims at creating knowledge and growth prospects for the sector on a global level.