Soltec closes a year marked by the effects of COVID-19 with record backlogs and a pipeline in both industry and development


COVID-19 affected activities in Soltec’s Industrial division in the second and fourth quarters, causing delays in execution for certain projects. In addition, there has been an increase in certain extraordinary costs, primarily personnel and transportation, due to the pandemic.

February 25, 2021. Soltec has concluded a year marked by the extraordinary effects of COVID-19, the effects of which due to global lockdowns in the second and fourth quarters had two effects: 1) project delays and 2) extraordinary costs due to increased transport costs; Personnel, external services, supplies and insurance.

This situation has had an impact on Soltec Industrial’s sales and margins, which also has an impact on Soltec Power Holdings’ numbers. The company achieved sales of 235 million euros, a negatively adjusted Ebitda of -9.4 million euros and a negative annual profit of -4.9 million euros.

Operating capacity at a record level

In this context, it should be emphasized that there were no major project cancellations, only delays as a result of partial closings in the countries in which Soltec Industrial is active. This is directly reflected in the company’s operational indicators.

Soltec Industrial closed the year with an order backlog of 1,891 MW worth € 190 million (+ 33% compared to the end of 2019) and a pipeline of 24,340 MW worth € 2,665 million (+ 152% compared to the previous year). . Of this, € 1,917 million relates to projects with a probability of at least 50%. This trend will accelerate in 2021 as backlog contracts were signed and agreements signed for 3,056 MW in less than two months, representing an additional € 896 million in sales for the period 2021-2023.

Powertis, for its part, had a solid 2020 fiscal year with more than 1.2 GW in Spain, Brazil and Italy. This was made possible by milestones such as agreements with Total on the joint development of up to 1 GW PV projects in Spain and with Aquila Capital in Italy on the development of up to 750 MW.

Additionally, Powertis had 5 GW in the pipeline as of December 31, distributed as follows: 717 MW backlog, 792 MW in advanced pipeline projects, 1,366 MW in early stages and 2,112 MW as identified opportunities. Those numbers have already risen to a total of 10 GW in the pipeline in 2021, with a forecast of 1 GW slated to be rotated in 2021.

Strengthened financial situation

The successful IPO has strengthened the company’s financial structure and achieved a positive net cash position. This will secure the company’s ability to capitalize on growth opportunities in the PV industry, enhance Soltec Industrial’s ability to obtain bank guarantees and fund the Powertis business plan.

Soltec Power Holding recently extended its syndicated loan, which guarantees EUR 80 million for project financing, EUR 10 million for unrestricted use and a further EUR 110 million for bank guarantees for a total of EUR 200 million. The facility has a term of three years until 2024.

An organization that is prepared for the future

Soltec has had a complicated 2020, marked by COVID-19 and secured in the short and medium term thanks to the strengthening of its operational capacity, and is already working on its strategic priority: to be a global solar energy supplier. For this purpose, it has set itself three work areas:

• Green hydrogen and storage

Commitment to the self-consumption of solar energy for the production of hydrogen with the recent establishment of the Regional Green Hydrogen Association of the Murcia region as a founding member and ongoing projects in this area as a founding member.

• Extended product range: Introduction of the Solarfighter.

With this product, Soltec enters decentralized production on the world market. It is the first complete kit for solar generation projects up to 12 MW. This package offers smaller systems the opportunity to access the same technology as large developers. This is something that is not on the market today.

• Development of new markets with supplier equivalence in Mexico, Saudi Arabia and India.

Presence at strategic locations that enable supplier equivalence for new growth markets with high potential (USA / Latin America, Middle East and Asia) and enable greater risk diversification.

About Soltec Power Holdings

Soltec Power Holdings is a leading integrated solar PV solutions company focused on solar tracking systems with a strong commitment to innovation.

Soltec Power Holdings, headquartered in Molina de Segura, Murcia, Spain, has been operating since 2004 and has a diversified geographic presence with a focus on Spain, North America and Latin America. It is represented in 16 countries with more than 1,320 employees. Since its inception, Soltec has delivered trackers for projects with a total installed capacity of around 8.4 GW. The company has been listed on the Spanish Continuous Market since October 28, 2020 under the ticker ‘SOL’.

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