Source - Alliance News

Harmony Energy Income Trust PLC cited a reduction in wholesale power price volatility as it anticipated a decline in revenue.

The Great Britain-focused investor in commercial-scale battery energy storage systems said revenue was ‘markedly lower’ for the financial year ended October 31 compared to a year ago.

For financial 2022, it had reported revenue of £57.0 million, boosted by a £53.1 million net gain on investments.

The company said the scale and speed of reduction exceeded had market expectations.

‘While the reasons for the recent low revenue environment are understood, and the market conditions are expected to improve, the short-term outlook remains uncertain. If these conditions do continue for an extended period, this will impact on the ability of the company to declare and make distributions. It is well understood that BESS revenues can vary across the course of a year and therefore prudent cash management is required,’ Harmony Energy said.

The company expects to release its annual results and its first quarter net asset value in the week starting February 26.

Harmony Energy Income shares fell 19% to 34.00 pence each on Friday morning in London.

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