eaga, which specialises in energy efficiency and ‘green’ support services, said it was enjoying “record” workloads and was confident growth would continue in the coming year thanks to massive investment by the Government and energy suppliers in efficiency programmes.
Reporting on its first year since floatation the company said revenue rose to £639million and profits before interest, taxation, amoritisation and exceptional items stood at £38mill. Profit before tax was £28.3mill compared to a loss of £87.4mill last year.
Charles Berry, chairman, said: “This year has seen eaga continue in its progression as a proven growth business; one built on sustainable foundations and firmly established in its key markets, which are driven by climate change and social inclusion.”
eaga is especially confident about the future due to its leading position on the Government’s energy efficiency schemes. A total of £800 million has been committed to the Warm Front Scheme over the next three years to 2011.
Meanwhile, the Carbon Emission Reduction Target (CERT) will be double the level of the previous scheme and eaga has just secured a £200 million contract with Scottish Power for the end-to-end delivery of its CERT obligation.
Eaga said it was well positioned to take advantage of the fact insulation is heavily incentivised under CERT, but chief executive John Clough added that renewables also offered opportunities.
He said: “The incentives provided for household-level renewables also bodes well for expansion.”
The report pointed out that eaga continues to increase its share of the social housing market with the number of boilers under maintenance and servicing contracts increasing from 170,000 to 200,000.
Last year, it also carried out work in more than 250,000 homes. Despite criticism from some MPs and customers regarding the cost and quality of the work the report said the company had secured a customer satisfaction rating of over 90 per cent and independent auditors appointed by the Department for the Environment, Food and Rural Affairs said it provided “excellent value for money”.
Mr Berry said: “The drivers within eaga’s core markets remain positive. The Climate Change Bill, which legally commits the UK Government to substantial cuts in carbon emissions up to 2050 and beyond; set alongside sharp rises in oil prices over the last year and probable further increases in retail energy costs, all highlight the ongoing importance of the delivery of solutions for climate change; particularly those that are socially focused and equitable in nature.”