Scatec ASA

Earnings Release • Feb 3, 2023

Fourth quarter 2022: Optimising portfolio and preparing for further growth

Fourth quarter 2022: Optimising portfolio and preparing for further growth

Oslo, 3 February 2023: In the fourth quarter 2022, Scatec's proportionate

revenues rose by 71 percent to NOK 1,995 million (1,169), with a 15 percent

increase in EBITDA to NOK 786 million. Power production was 979 GWh (1,047) and

the proportionate power production EBITDA rose to NOK 821 million (763), driven

by the Philippines.

Refinancing, portfolio optimisation and growth

On 2 February 2023, Scatec refinanced USD 100 million of its USD 193 million

Bridge-to-Bond facility with a new term loan with maturity in the fourth quarter

of 2027 provided by DNB, Nordea and Swedbank, and extended its USD 180 million

Revolving Credit Facility provided by the same banks and BNP Paribas by 1.5

years with maturity in the third quarter of 2025.

On the same day, Scatec signed an agreement to sell the Upington solar plants in

South Africa for a contribution of NOK 569 million.

"The fourth quarter and the start of 2023 have been busy in many aspects. We

increased proportionate power production EBITDA by 8 percent and continued to

deliver on our growth strategy by progressing on our construction projects in

Brazil, South Africa, and Pakistan. In addition, we signed an agreement to sell

Upington in South Africa and we will reinvest the proceeds into new clean energy

projects. We also refinanced part of our corporate facilities and welcomed new

executive management members to the team during November. We are excited to

embark on our journey together and ready to seize new opportunities," says

Scatec CEO Terje Pilskog.

Power Production

Proportionate revenues in the Power Production segment increased by NOK 189

million to NOK 1,262 million compared to the same quarter last year, driven by

higher power sales at higher power prices in the Philippines, higher revenues

from Ukraine, contribution from new Release assets in Cameroon, and positive

foreign currency effects. These effects were partly offset by lower revenues in

Laos largely because of lower water inflow.

Power production in the Philippines ended 19 percent above the same quarter last

year and above the contracted sales volumes as expected. Excess production

volumes were sold in the power market at high prices. Total power production

EBITDA increased by approximately 8% to NOK 821 million (763).

Development and Construction

Development and construction revenues reached NOK 627 million in the fourth

quarter, generated from the projects under construction in South Africa, Brazil,

and Pakistan. The gross margin for the period was 10 percent, and the remaining

non-booked contract value was approximately NOK 7.8 billion.

The project pipeline and backlog are 16.7 GW across renewable technologies, and

86 percent are held in our focus markets. During the quarter Scatec signed a

power purchase agreement for the three solar Grootfontein projects in South

Africa.

Consolidated profit and loss

Scatec's fourth-quarter consolidated revenues were NOK 993 million (1,039), with

an EBITDA of NOK 689 million (775). The reduction in EBITDA is mainly explained

by lower contribution from JVs and associated companies and increased operating

expenses. The net loss for the quarter was NOK 433 million (136), mainly due to

net financial expenses of NOK 875 million of which interest expenses of NOK 414

million and unrealised currency losses of NOK 461 million.

Dividend

In line with the existing dividend policy, the Board of Directors have resolved

to propose to the Annual General Meeting a dividend of NOK 1.94 per share,

totalling NOK 308 million to be paid in May 2023. Going forward, to support

Scatec's growth ambitions while retaining the Group's objective to pay

shareholders dividends, the Board of Directors have further decided  to pay 15%

of cash distributions received from operating power plants (down from 25%

previously). The dividend will be assessed annually by the board based on

Scatec's capital situation.

Scatec's role on the pathway to net zero

It is a critical time for renewable energy companies, and we have an important

role to play in helping the world achieve its climate targets. Reducing

greenhouse gas emissions to our atmosphere will require investment, innovation,

technology, and a massive cultural shift.

"We believe that emerging markets are essential in this journey, and we create

opportunities for these markets through renewable energy - not only as they work

towards the clean energy transition, but also to boost their economies, create

jobs and meet growing energy needs," concludes Pilskog.

Additional information

Proportionate historical financial information on a country-by-country level is

attached to the stock exchange notice.

A presentation of the results, followed by a Q&A session will be held at

Scatec's headquarters at Skøyen Atrium III (1(st) floor), Askekroken 11, 0277

Oslo, today at 09:00 am CET. You can also follow the presentation and Q&A

session from our website, or this direct link: Scatec Webcast Q4 2022

(https://channel.royalcast.com/hegnarmedia/#!/hegnarmedia/20230203_2).

For further information, please contact:

For analysts and investors: Andreas Austrell, VP IR, phone: +47 974 38 686,

andreas.austrell@scatec.com (mailto:andreas.austrell@scatec.com)

For media: Meera Bhatia, SVP Communications & Government Affairs, phone:

+47 468 44 959, meera.bhatia@scatec.com

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About Scatec?

Scatec is a leading renewable energy solutions provider, accelerating access to

reliable and affordable clean energy emerging markets. As a long-term player, we

develop, build, own and operate renewable energy plants, with 4.6 GW in

operation and under construction across four continents today. We are committed

to grow our renewable energy capacity, delivered by our close to 800 passionate

employees and partners who are driven by a common vision of 'Improving our

Future'. Scatec is headquartered in Oslo, Norway and listed on the Oslo Stock

Exchange under the ticker symbol 'SCATC'.?To learn more, visit?www.scatec.com

(https://scatec.com/)?or connect with us on?LinkedIn

(https://www.linkedin.com/company/scatec).?

This information is subject to the disclosure requirements pursuant to Section

5-12 the Norwegian Securities Trading Act