2G Energy AG / DE000A0HL8N9

2G Energy AG expects to continue its growth course as from the fourth quarter onwards, but recorded a decline in sales in the third quarter as anticipated (EUR 58.4 million, previous year: EUR 86.8 million, -33 %) Order backlog continues to rise to app. EUR 250 million. New equipment sales in Germany delayed (EUR 30.2 million, previous year: EUR 42.8 million, -30 %) ERP introduction temporarily burdening service sales in the German market (EUR 28.3 million, previous year: EUR 43.9 million, -36 %) The North American market is showing increasing momentum with above-average growth opportunities for the coming years. Temporary decline in sales due to ERP implementation, particularly in the Service segment, resulting in negative EBIT of EUR -0.9 million in the third quarter (previous year: EUR +4.9 million). Heek, November 24, 2025 - 2G Energy AG (ISIN DE000A0HL8N9), one of the leading international manufacturers of sustainable power plants and combined heat and power (CHP) systems as well as a producer of heat pumps, is experiencing project delays in new equipment deliveries and services in the third quarter of 2025, particularly on the German market. Order backlog continues to rise to app. EUR 250 million. New equipment sales in Germany delayed (EUR 30.2 million, previous year: EUR 42.8 million, -30 %) As anticipated, sales of new equipments in the third quarter were moderate (EUR 30.2 million, previous year: EUR 42.8 million). On the one hand, this development reflects the first Group-wide plant summer vacation, which served to introduce the new ERP system. On the other hand, the EU authorities did not approve the biomass package under state aid law until September, which resulted in German customers in the biogas segment remaining reluctant to approve plants for production that have already been firmly ordered. With the EU approval now in place, existing orders will now gradually be incorporated into production planning and impact sales incrementally. At the same time, there has been a noticeable and sustained upturn in the already dynamic sales activities in Germany since the adoption of the biomass package (on January 31, 2025). "The biomass package promotes investment in 2.8 GW of additional grid-friendly electricity generation capacity that must be connected to the grid in the next few years," as CEO Pablo Hofelich stated. "Even though there have been delays in connection with state aid legislation, the biogas segment in Germany is facing a multi-year demand surge that will sustainably drive growth at 2G." ERP introduction temporarily burdening service sales in the German market (EUR 28.3 million, previous year: EUR 43.9 million, -36 %) As previously reported, 2G has been introducing a new ERP system since summer 2025, involving the German locations. Here, the new ERP system has now been transitioned to regular operations, meaning that further rationalization potential can now be leveraged. The main exception to this positive starting position can be found in German service, where the new material planning and scheduling system has not yet been fully implemented. For this reason, the volume of deliveries and services also declined temporarily in the third quarter of 2025 and in October 2025 compared to the prior year. 2G expects a catch-up effect in the fourth quarter of 2025 and an extensive normalization as well as significant efficiency gains in the next year.  The North American market is showing increasing momentum with above-average growth opportunities for the coming years. Outside Germany, 2G continues to chart a growth course. In line with expectations, turnover in North America advanced significantly thanks to the high order backlog. This does not yet include orders and turnover for the supply of power plants in connection with data centers. This segment is characterized by a sustained structural excess demand in connection with individual project sizes of several hundred megawatts in some cases. 2G is currently in a series of advanced discussions on major projects with investors from this rapidly growing market. The rising demand for power plant solutions can also be seen in the area of rental solutions, which enable problems in the field to be addressed quickly and flexibly. With the founding of the "2G Energy Rental North America, LLC" subsidiary, 2G is now accessing this extremely attractive market segment. The new company will establish an operational rental business for short and medium-term solutions as from the beginning of 2026. The subsidiary was founded as a joint venture with the US partner Clarus Energy, a company drawing on in-depth experience in this field. Temporary decline in sales due to ERP implementation leads to negative EBIT of EUR -0.9 million in the third quarter of 2025 (previous year: EUR +4.9 million). Although most sales regions outside Germany performed very well in the third quarter of 2025, the temporary decline in turnover in the domestic market – as expected – led to a significant EBIT decline, which dropped to EUR -0.9 million (previous year: EUR +4.9 million). "The temporary decline in turnover volume, combined with a well filled project pipeline and correspondingly long to-do lists, is resulting in EBIT losses as expected," as CFO Friedrich Pehle outlined. "But these investments are necessary. In addition to the German biomass package and the global excess demand for data center power supplies, we see further megatrends for which we are preparing with a significantly more powerful ERP system and additional capacities, among other things." These additional megatrends include the transition of heat generation to large heat pumps and the construction of gas reserve power plants in order to secure base load capacity in a system environment characterized by renewable energies. There has also been an increase in customer inquiries and larger tenders for the reconstruction of Ukraine's energy infrastructure in recent weeks, which points to an additional upturn in orders in the coming quarters.  " Obviously, large markets are currently characterized by significant excess demand for a number of reasons," as Hofelich comments. "Consequently, we must prepare ourselves for further growth opportunities, especially as the order backlog for new systems reached the record level of EUR app. 250 million at the end of the third quarter of 2025."   2G company portrait
The 2G Energy AG Group is an internationally leading manufacturer and system provider of decentralized energy supply systems. The company develops, produces and installs comprehensive solutions in the structurally growing market for highly efficient CHPs, large heat pumps and peak-load gensets. Digital grid integration and plant control for these types of energy generators, as well as service and maintenance, are further decisive performance criteria. The product portfolio comprises three types of energy generation: CHP plants in the output range from 20 kW to 4,500 kW for operation with hydrogen, natural gas, biogas and other lean gases, large heat pumps in the range from 100 kW to 2,6000 kW as well as peak-load gensets with an electrical output of 500 kW or more. CHP plants operate with efficiencies of 90 percent and more, while large heat pumps achieve efficiencies of 300 to 500 percent, depending on the general conditions. With its products and services, 2G is at the interface to a decentralized, secure and largely decarbonized energy supply. More than 9,000 2G systems have already been installed worldwide in various applications, supplying electrical and thermal energy to a wide range of customers from the housing industry, agriculture, commercial and industrial companies, energy suppliers, municipal utilities and local government authorities. 2G is positioned worldwide as a system provider for decentralized energy solutions with its combination of CHP plants, peak-load gensets and large heat pumps. The company benefits from far-reaching synergies of these plant categories, ranging from project development, procurement, production and the predominantly containerized design to the largely identical customer base and regulatory framework as well as sales channels and digital control and service. 2G is consistently expanding its technological leadership through continuous research and development work, both in power plant and pump technologies as well as in specific software development for service and maintenance activities. The digital grid integration consistently implemented by 2G is an indispensable, system-relevant element in the future electricity market design and represents a high market entry hurdle for competitors. The sector coupling required for the success of the energy transition is reflected in 2G's portfolio. 2G employs more than 900 employees at its headquarters in Heek, Germany, in North America, as well as at six other European locations. The company is active in more than 50 countries and generated net sales of EUR 375.6 million in the 2024 financial year with an EBIT margin of 8.9 %. 2G was founded in 1995. The shares of 2G Energy (ISIN DE000A0HL8N9) have been listed on the stock exchange market since 2007 and are included in the “Scale” segment of the Frankfurt Stock Exchange and listed in the Scale30 index. Calendar 2025
November, 24-25 German Equity Forum, Frankfurt IR contact
2G Energy AG
Benzstrasse 3, 48619 Heek
Phone: +49 (0) 2568 93 47-2795
Fax: +49 (0) 2568 93 47-15
Email: ir@2-g.de
Internet: www.2-g.com