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15 years of market success for EnviTec Biogas

(PresseBox) ( Lohne, )
Fifteen years in the market, ten as a listed company and clean energy for about 980,000 households – to name just three milestones in the history of allrounder EnviTec Biogas. “The last fifteen years have shown that our broad-based portfolio gives us the flexibility to cope successfully with crises, to recognise opportunities and to expand our market share,” said CEO Olaf von Lehmden, summing up on the occasion of the company’s anniversary this summer,

Von Lehmden also noted how the long-term success of the former start-up has been driven by the innovative strengths and motivation of the seasoned EnviTec team. Formed as a GmbH in 2002, EnviTec had just 20 employees when it entered the German biogas market. Fifteen years later, the business now has a workforce of 460 people and over 400 MW of EnviTec Biogasbranded plants installed in 17 countries around the world. Despite the thorny legal issues the company regularly encounters, it is very well placed for the future. Von Lehmden: “This is clearly illustrated by our latest figures from 2016. At this year’s Shareholders’ Meeting, we announced our EBITDA of EUR 22.2 million – which is a new record in our company’s history.”

Von Lehmden continues: “Our early focus on internationalisation was also a wise decision.” Last year, the company from Lower Saxony earned 27% of its consolidated revenue from orders placed outside Germany – a trend that seems set to continue. “Our international business is driven in particular by biogas upgrading and flexible waste recycling solutions in the UK, China and especially France – home to Europe’s largest agricultural sector. Here – as in Czech Republic and Italy – we can now look back on no less than ten successful years in the market.”

Looking back, von Lehmden attributes the company’s sustained success to three key developments: going public in 2007, the establishment of company-owned operations, and its close regional ties with the sites in Lohne and Saerbeck – which the CEO praises as offering ideal conditions for the company’s business. Von Lehmden: “Our four segments – Holding, Plant Construction, Company-Owned Operations and Energy – are the pillars of our successful work at home and abroad, complemented of course by our Service.”

Now the global player with a dedicated R&D department is always sounding out new business opportunities. As just one example, the company has recently added CNG plant to its portfolio by partnering with Munich-based BAUER KOMPRESSOREN GmbH. With this entry into new markets, EnviTec now gains the ability to offer a complete package – from biodegradable waste to the CNG pump – from a single source. And EnviTec Biogas continues to press ahead with international expansion: the ground-breaking ceremony was recently held for a 1.2 MW biogas plant in the Philippines – “a market that’s likely to offer us plenty of business in the future as the region has enormous potential for the use of biomass energy,” von Lehmden comments.

Company-owned operations is another point of focus in EnviTec’s expansion activities. With the operation of company-owned plants now being a core component in corporate strategy since 2005, this segment has been improving company business with regular revenue and attractive margins for no less than 12 years. Together with the Energy segment, Company-Owned Operations generated 62.4% of consolidated revenue in 2016.

By integrating high-quality plant systems, innovative power, entrepreneurial farsightedness and an all-round service portfolio, plus newly established lab facilities in Germany and Italy, the company’s Management Board has every confidence that EnviTec’s 20th anniversary will likewise offer a positive outlook on the continuously improving market opportunities for biogas – the ‘green all-rounder’.

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