Vow ASA reported on 23 February its financial results for the fourth quarter and second half of the year 2022. The company reports record high revenues of NOK 783m, a 72% increase from 2021, and more than doubling of profits with an increase in EBITDA before non-recurring items from NOK 41m in 2021 to NOK 92m in 2022. Order backlog at the end of 2022 remained strong at NOK 2 billion including options, which provides good visibility for revenues and cash generation in 2023 and well beyond.
The second half of the year marked high activity on project development and feasibility studies together with potential customers and partners, and technology scale-up which are expected to result in significant business opportunities in the coming years.
Revenues in the second half of 2022 was lower than in the first six months of the year. Cruise revenues and profits were record high. The US contract announced in June has not yet generated significant revenue in Landbased, although engineering has begun. EBITDA in the second half of 2022 was NOK 39 million reflecting continued high activity related to business development and scale up. The company continues to develop and invest in technology to meet strong demand for Vow solutions across several industry verticals.
“We are pleased to note that the cruise industry is steaming ahead and that our highly valued customers in this industry have brought most of their ships back at sea. For us, this is good news. 2022 was in fact our best year ever in cruise,” said Henrik Badin, CEO of Vow ASA.
“Our Landbased business is very busy with engineering and feasibility studies for projects with significant revenue and profit expected in 2023 and onwards. We continue to see strong demand for our solutions across several industries, with biocarbon and recovered carbon black currently standing out as top candidates for rapid scale-up,” Badin added.
In biocarbon, Vow Green Metals represent an important partner and customer for Vow. Vow Green Metals announced that they have recent, current, and ongoing concept studies totalling 600,000 tonnes of biocarbon. Vow is a proud to be working with Vow Green Metals on these.
The parties are also working closely to double capacity at Vow Green Metals Follum plant from the current 10,000 tonnes biocarbon per year and bring forward first production to the third quarter this year. The new large pyrolysis reactor which is under construction by C.H. Evensen, is considered to be part of the doubling of Follum. In a separate project with a non-ferrous metal producer, the parties continue to develop plans for a 50,000-tonnes per year biocarbon factory.
Polymer recycling, and especially recovery of carbon black and other resources from end-of-life tires is another key area for project development in Vow.
In December 2022, Vow teamed up with European Tyre Enterprise Ltd. (ETEL), to deploy Vow’s advanced technology in a complete solution to convert end-of-life tyres to valuable raw material and renewable energy. ETEL has identified a potential demand for more than 300 tyre recycling plants in Europe, North America, and Japan.
