PRESS RELEASE – REGULATED INFORMATION – INSIDE INFORMATION
Tielt (Belgium), 10 December 2024 – 08:00 am CET
Today, Ekopak (EKOP:xbru), a leading company that markets innovative circular water solutions, announced an accelerated transition to its As-A-Service business model, with increased long-term value creation but less immediate revenue. Total project value sold (both in WaaS and one-off projects) is fully in line with expectations and shows a year-on-year growth of more than 100% compared to 2023.
The second half of the year is traditionally very important for Ekopak. Driven by the current crisis in large parts of the industrial sector, Ekopak is noticing that capex investments are under pressure but that more and more potential customers are willing to switch to the Water-as-a-Service model (the cornerstone of its long-term strategy) instead of opting for the one-off model. In addition, Ekopak is seeing a faster-than-expected acceptance of the innovative WaaS model within the wastewater treatment industry, which has traditionally been based on one-time projects. Ekopak recently sold its first wastewater WaaS project, further reinforcing the accelerated transition from the one-time model to WaaS.
This double shift means greater value creation for Ekopak in the long term, but has a negative impact on short-term revenue. Indeed, with equal capital investment, the net present value of a WaaS solution is significantly higher than a one-time project, but spread over a longer period of time.
Whereas the revenue of 2024 was originally estimated between EUR 70-75 million, we now expect a revenue range of EUR 55-57 million, which also affects the EBITDA margin, which should end the year slightly positive. Sales imply year-on-year growth of 53% to 58%.
Ekopak confirms its targets for 2028: significant growth in current annual sales to at least EUR 140 million, and an increase in EBITDA margin to 25-30%. Also, thanks to the many WaaS contracts signed and those in the pipeline, Ekopak already has a guaranteed revenue for the next 20-30 years.
About Ekopak Sustainable Water
Ekopak is a Belgian company specializing in solutions for industrial water treatment and wastewater treatment. Ekopak’s solutions enable industrial customers to reduce their water consumption in a sustainable, reliable, and cost-effective way and to treat their wastewater. Ekopak also enables its customers to disconnect from the regular water network and initiate circular water use. To this end, Ekopak focuses on optimizing water consumption with modular water treatment units that convert off-grid water sources, such as rainwater, surface water, and/or wastewater into purer water that can be used and reused in the customer’s industrial processes.
Ekopak offers its solutions on a global scale and operates worldwide with offices in Belgium, France, The Netherlands, Morrocco, the Philippines, Thailand, Mexico, Singapore, and the US.
All Ekopak shares are listed on Euronext Brussels (ticker EKOP).
More information: www.ekopakwater.com
About Water-as-a-Service
With Water-as-a-Service (WaaS), Ekopak offers a carefree service from A to Z in terms of water management. Ekopak is responsible for the financing, design, construction, operation and maintenance of the water treatment plant. The modular plants are rapidly deployable and produce sustainable water according to the desired water quality requirements. The customer does not have to hire their own staff to implement or monitor the systems. With WaaS, the customer only pays for the liters of water actually consumed.
For more information, contact:
Melissa Vanhoecke – Marketing Manager Ekopak
+32 496 36 22 17 | marketing@ekopak.be