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      Ellomay Capital Reports Publication of Financial Statements of Dorad Energy Ltd. for the Three and Nine Month Periods Ended September 30, 2023


      News provided by

      Ellomay Capital Ltd.

      Dec 11, 2023, 16:30 ET

      Share this article

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      TEL-AVIV, Israel, Dec. 11, 2023 /PRNewswire/ -- Ellomay Capital Ltd. (NYSE American: ELLO) (TASE: ELLO) ("Ellomay" or the "Company"), a renewable energy and power generator and developer of renewable energy and power projects in Europe, Israel and the US, today reported the publication in Israel of financial statements for the three and nine months ended September 30, 2023 of Dorad Energy Ltd. ("Dorad"), in which Ellomay currently indirectly holds approximately 9.4% through its indirect 50% ownership of Ellomay Luzon Energy Infrastructures Ltd. (formerly U. Dori Energy Infrastructures Ltd.) ("Ellomay Luzon Energy").

      On December 11, 2023, Amos Luzon Entrepreneurship and Energy Group Ltd. (the "Luzon Group"), an Israeli public company that currently holds the remaining 50% of Ellomay Luzon Energy, which, in turn, holds 18.75% of Dorad, published its quarterly report in Israel based on the requirements of the Israeli Securities Law, 1968. Based on applicable regulatory requirements, the quarterly report of the Luzon Group includes the financial statements of Dorad for the same period.

      The financial statements of Dorad for the quarter ended September 30, 2023 were prepared in accordance with International Financial Reporting Standards. Ellomay will include its indirect share of these results (through its holdings in Ellomay Luzon Energy) in its financial results for this period. In an effort to provide Ellomay's shareholders with access to Dorad's financial results (which were published in Hebrew), Ellomay hereby provides a convenience translation of Dorad's financial results.

      Dorad Financial Highlights

      • Dorad's unaudited revenues for the three months ended September 30, 2023 – approximately NIS 930.8 million.
      • Dorad's unaudited operating profit for the three months ended September 30, 2023 – approximately NIS 221.1 million.

      Based on the information provided by Dorad, the demand for electricity by Dorad's customers is seasonal and is affected by, inter alia, the climate prevailing in that season. Since January 1, 2023, the months of the year are split into three seasons as follows: the summer season – the months of June, July, August and September; the winter season - the months of December, January and February; and intermediate seasons – (spring and autumn), the months from March to May and from October to November. There is a higher demand for electricity during the winter and summer seasons, and the average electricity consumption is higher in these seasons than in the intermediate seasons and is even characterized by peak demands due to extreme climate conditions of heat or cold. In addition, Dorad's revenues are affected by the change in load and time tariffs - TAOZ (an electricity tariff that varies across seasons and across the day in accordance with demand hour clusters), as, on average, TAOZ tariffs are higher in the summer season than in the intermediate and winter seasons. Therefore, the results presented for the quarter ended September 30, 2023, which include the summer months of July - September, are not indicative of full year results. In addition, due to various reasons, including the effects of the increase in the Israeli CPI impacting interest payments by Dorad on its credit facility, and changes in the season and TAOZ tariff calculations that became effective on January 1, 2023, the results included herein may not be indicative of second quarter results in the future or comparable to second quarter results in the past.

      The financial statements of Dorad include a note concerning the impact of the war in Israel, which commenced on October 7, 2023, on Dorad's operations. The note states that during the days of fighting, thousands of rockets were launched towards the State of Israel, and several of them landed on the area of the Dorad power plant and caused damage to property and equipment in an immaterial scope but did not impact the ongoing operation of the power plant. The note further states that the security situation resulted in a decrease in the scope of economic and business activity in Israel and caused, among other things, a disruption in the supply and production chain, a decrease in the scope of national transportation, a shortage of personnel, a decrease in the value of financial assets and an increase in the exchange rate of foreign currencies relative to the NIS. Dorad estimated, based on the information it had as of the date of approval of the financial statements, that the current events and the security escalation in Israel are not expected to have a material impact on Dorad's business results in the short term. Dorad further provides that as this event is not under the control of Dorad, and factors such as the continuation of the war and hostilities or their cessation may affect Dorad's estimates, as of the date of the financial statements, Dorad had no ability to estimate the extent of the impact of the war on its business operations and its results in the medium and long term. Dorad continues to regularly monitor the developments and examines the implications on its activities and the value of its assets.

      A translation of the financial results for Dorad as of and for the year ended December 31, 2022 and as of and for each of the three and nine month periods ended September 30, 2023 and 2022 is included at the end of this press release. Ellomay does not undertake to separately report Dorad's financial results in a press release in the future. Neither Ellomay nor its independent public accountants have reviewed or consulted with the Luzon Group, Ellomay Luzon Energy or Dorad with respect to the financial results included in this press release.

      About Ellomay Capital Ltd.

      Ellomay is an Israeli based company whose shares are registered with the NYSE American and with the Tel Aviv Stock Exchange under the trading symbol "ELLO". Since 2009, Ellomay Capital focuses its business in the renewable energy and power sectors in Europe, USA and Israel.

      To date, Ellomay has evaluated numerous opportunities and invested significant funds in the renewable, clean energy and natural resources industries in Israel, Italy, Spain and Texas, USA, including:

      • Approximately 35.9 MW of photovoltaic power plants in Spain and a photovoltaic power plant of approximately 9 MW in Israel;
      • 9.375% indirect interest in Dorad Energy Ltd., which owns and operates one of Israel's largest private power plants with production capacity of approximately 850MW, representing about 6%-8% of Israel's total current electricity consumption;
      • 51% of Talasol, which owns a photovoltaic plant with a peak capacity of 300MW in the municipality of Talaván, Cáceres, Spain;
      • Groen Gas Goor B.V., Groen Gas Oude-Tonge B.V. and Groen Gas Gelderland B.V., project companies operating anaerobic digestion plants in the Netherlands, with a green gas production capacity of approximately 3 million, 3.8 million and 9.5 million Nm3 per year, respectively;
      • 83.333% of Ellomay Pumped Storage (2014) Ltd., which is involved in a project to construct a 156 MW pumped storage hydro power plant in the Manara Cliff, Israel;
      • Ellomay Solar Italy One SRL and Ellomay Solar Italy Two SRL that are constructing photovoltaic plants with installed capacity of 14.8 MW and 4.95 MW, respectively, in the Lazio Region, Italy;
      • Ellomay Solar Italy Four SRL, Ellomay Solar Italy Five SRL, Ellomay Solar Italy Seven SRL, Ellomay Solar Italy Nine SRL and Ellomay Solar Italy Ten SRL that are developing photovoltaic projects with installed capacity of 15.06 MW, 87.2 MW, 54.77 MW, 8 MW and 18 MW, respectively, in Italy that have reached "ready to build" status; and
      • Fairfield Solar Project, LLC, Malakoff Solar I, LLC, Malakoff Solar II, LLC, that are developing photovoltaic projects with installed capacity of 13 MW, 6.5 MW and 6.5 MW, respectively, in the Dallas Metropolitan area, Texas, and have reached "ready to build" status.

      For more information about Ellomay, visit http://www.ellomay.com.

      Information Relating to Forward-Looking Statements

      This press release contains forward-looking statements that involve substantial risks and uncertainties, including statements that are based on the current expectations and assumptions of the Company's management. All statements, other than statements of historical facts, included in this press release regarding the Company's plans and objectives, expectations and assumptions of management are forward-looking statements.  The use of certain words, including the words "estimate," "project," "intend," "expect," "believe" and similar expressions are intended to identify forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995.  The Company may not actually achieve the plans, intentions or expectations disclosed in the forward-looking statements and you should not place undue reliance on the Company's forward-looking statements. Various important factors could cause actual results or events to differ materially from those that may be expressed or implied by the Company's forward-looking statements, including changes in electricity prices and demand, continued war and hostilities in Israel, regulatory changes, the decisions of the Israeli Electricity Authority, changes in demand, technical and other disruptions in the operations of the power plant operated by Dorad, competition, changes in the supply and prices of resources required for the operation of the Dorad's facilities and in the price of oil and electricity, changes in the Israeli CPI, changes in interest rates, seasonality, failure to obtain financing for the expansion of Dorad and other risks applicable to projects under development and construction and political and economic conditions in the countries in which the Company operates, including Israel, Spain, Italy and the United States, in addition to other risks and uncertainties associated with the Company's and Dorad's business that are described in greater detail in the filings the Company makes from time to time with Securities and Exchange Commission, including its Annual Report on Form 20-F. The forward-looking statements are made as of this date and the Company does not undertake any obligation to update any forward-looking statements, whether as a result of new information, future events or otherwise.

      Contact:

      Kalia Rubenbach (Weintraub)
      CFO
      Tel: +972 (3) 797-1111
      Email: [email protected]  

      Dorad Energy Ltd.

      Interim Condensed Statement of Financial Position



      September 30

      September 30

      December 31

      2023

      2022

      2022

      (Unaudited)

      (Unaudited)

      (Audited)

      NIS thousands

      NIS thousands

      NIS thousands

      Assets





      Cash and cash equivalents


      363,054

      253,979

      151,481

      Trade receivables and accrued income


      305,778

      283,192

      238,581

      Other receivables


      15,992

      10,864

      32,809

      Financial derivatives


      3,761

      4,601

      -

      Total current assets


      688,585

      552,636

      422,871











      Restricted deposits


      552,145

      511,766

      514,543

      Prepaid expenses


      30,566

      31,739

      32,072

      Fixed assets


      3,132,064

      3,286,569

      3,253,196

      Intangible assets


      7,716

      5,815

      6,404

      Right of use assets


      56,330

      57,954

      57,486

      Total non-current assets


      3,778,821

      3,893,843

      3,863,701






      Total assets


      4,467,406

      4,446,479

      4,286,572






      Liabilities





      Current maturities of loans from banks


      326,668

      303,290

      279,506

      Current maturities of lease liabilities


      4,783

      4,609

      4,645

      Trade payables


      219,406

      276,551

      228,468

      Other payables


      25,812

      26,284

      11,439

      Total current liabilities


      576,669

      610,734

      524,058











      Loans from banks


      2,131,403

      2,321,553

      2,211,895

      Long-term lease liabilities


      51,691

      52,795

      49,292

      Provision for dismantling and restoration


      50,000

      50,000

      50,000

      Deferred tax liabilities, net


      279,203

      205,978

      215,016

      Other long-term liabilities


      13,969

      17,732

      17,529

      Liabilities for employee benefits, net


      160

      160

      160

      Total non-current liabilities


      2,526,426

      2,648,218

      2,543,892






      Equity





      Share capital


      11

      11

      11

      Share premium


      642,199

      642,199

      642,199

      Capital reserve from activities with shareholders


      3,748

      3,748

      3,748

      Retained earnings


      718,353

      541,569

      572,664

      Total equity


      1,364,311

      1,187,527

      1,218,622






      Total liabilities and equity


      4,467,406

      4,446,479

      4,286,572

      Dorad Energy Ltd.

      Interim Condensed Statement of Profit and Loss



      For the nine months ended

      For the three months ended

      For the year ended


      September 30

      September 30

      December 31


      2023

      2022

      2023

      2022

      2022


      (Unaudited)

      (Unaudited)

      (Unaudited)

      (Unaudited)

      (Audited)


      NIS thousands

      NIS thousands

      NIS thousands

      NIS thousands

      NIS thousands








      Revenues

      2,185,309

      1,787,128

      930,838

      766,199

      2,369,220







      Operating costs of the






       Power Plant:












      Energy costs

      499,111

      408,723

      237,621

      214,310

      544,118

      Electricity purchases and infrastructure services

      943,040

      830,934

      350,219

      308,485

      1,088,127

      Depreciation and

      amortization

      182,861

      183,587

      63,997

      59,960

      239,115

      Other operating costs

      138,657

      123,181

      57,939

      47,564

      157,189







      Total operating costs






       of Power Plant

      1,763,669

      1,546,425

      709,776

      630,319

      2,028,549







      Profit from operating






       the Power Plant

      421,640

      240,703

      221,062

      135,880

      340,671

      General and






      administrative expenses

      20,726

      17,018

      6,633

      6,124

      24,066







      Operating profit

      400,914

      223,685

      214,429

      129,756

      316,605







      Financing income

      54,805

      49,508

      18,615

      3,606

      52,131

      Financing expenses

      175,843

      215,707

      50,124

      65,315

      271,116







      Financing expenses, net

      121,038

      166,199

      31,509

      61,709

      218,985







      Profit before






       taxes on income

      279,876

      57,486

      182,920

      68,047

      97,620







      Taxes on income

      64,187

      13,301

      42,077

      15,642

      22,340







      Profit for the period

      215,689

      44,185

      140,843

      52,405

      75,280









      Dorad Energy Ltd.

      Interim Condensed Statement of Changes in Shareholders' Equity







      Capital reserve







      for activities




      Share


      Share

      with

      Retained



      capital


      premium

      shareholders

      earnings

      Total Equity


      NIS thousands


      NIS thousands

      NIS thousands

      NIS thousands

      NIS thousands

      For the nine months






       ended September 30, 2023






       (Unaudited)












      Balance as at

      11

      642,199

      3,748

      572,664

      1,218,622

       January 1, 2023 (Audited)






      Profit for the period

      -

      -

      -

      215,689

      215,689

      Dividend distributed

      -

      -

      -

      (70,000)

      (70,000)

      Balance as at






       September 30, 2023 (Unaudited)

      11

      642,199

      3,748

      718,353

      1,364,311







      For the nine months






       ended September 30, 2022






       (Unaudited)












      Balance as at






       January 1, 2022 (Audited)

      11

      642,199

      3,748

      497,384

      1,143,342







      Profit for the period

      -

      -

      -

      44,185

      44,185







      Balance as at






       September 30, 2022 (Unaudited)

      11

      642,199

      3,748

      541,569

      1,187,527







      For the three months







       ended September 30, 2023







       (Unaudited)














      Balance as at

      11

      642,199

      3,748

      647,510

      1,293,468


       July 1, 2023 (Unaudited)







      Profit for the period

      -

      -

      -

      140,843

      140,843


      Dividend distributed

      -

      -

      -

      (70,000)

      (70,000)









      Balance as at







       September 30, 2023 (Unaudited)

      11

      642,199

      3,748

      718,353

      1,364,311









      For the three months







       ended September 30, 2022







       (Unaudited)














      Balance as at







       July 1, 2022 (Unaudited)


      11

      642,199

      3,748

      489,164

      1,135,122









      Profit for the period


      -

      -

      -

      52,405

      52,405









      Balance as at







       September 30, 2022 (Unaudited)


      11

      642,199

      3,748

      541,569

      1,187,527


















      Dorad Energy Ltd.

      Interim Condensed Statement of Changes in Shareholders' Equity (cont'd)





      Capital reserve






      for activities




      Share

      Share

      with

      Retained



      capital

      premium

      shareholders

      earnings

      Total Equity


      NIS thousands

      NIS thousands

      NIS thousands

      NIS thousands

      NIS thousands


      For the year ended






       December 31, 2022 (Audited)












      Balance as at

      11

      642,199

      3,748

      497,384

      1,143,342

       January 1, 2022 (Audited)






      Profit for the year

      -

      -

      -

      75,280

      75,280







      Balance as at






       December 31, 2022 (Audited)

      11

      642,199

      3,748

      572,664

      1,218,622













      Dorad Energy Ltd.

      Interim Condensed Statements of Cash Flows



      For the nine months ended

      For the three months ended

      Year ended

      September 30

      September 30

      December 31

      2023

      2022

      2023

      2022

      2022

      (Unaudited)

      (Unaudited)

      (Unaudited)

      (Unaudited)

      (Audited)

      NIS thousands

      NIS thousands

      NIS thousands

      NIS thousands

      NIS thousands

      Cash flows from






      operating activities






      Profit for the period

      215,689

      44,185

      140,843

      52,405

      75,280







      Adjustments:






      Depreciation and amortization






      and fuel consumption

      183,707

      186,137

      64,221

      61,436

      242,345

      Taxes on income

      64,187

      13,301

      42,077

      15,642

      22,340

      Financing expenses, net

      121,038

      166,199

      31,509

      61,709

      218,985


      368,932

      365,637

      137,807

      138,787

      483,670







      Change in trade receivables

      (67,197)

      (34,620)

      (63,108)

      (91,436)

      9,991

      Change in other receivables

      16,817

      29,426

      (1,811)

      13,068

      7,480

      Change in trade payables

      (48,393)

      (77,976)

      29,915

      78,790

      (127,907)

      Change in other payables

      14,373

      19,184

      13,102

      16,492

      4,339

      Change in other long-term liabilities

      (3,560)

      1,898

      (1,006)

      (1,693)

      1,695


      (87,960)

      (62,088)

      (22,908)

      15,221

      (104,402)







      Taxes on income paid

      -

      (21,795)

      -

      -

      (21,795)







      Net cash flows provided






      by operating activities

      496,661

      325,939

      255,742

      206,413

      432,753







      Cash flows provided by






      investing activities






      Proceeds for settlement of






      financial derivatives

      5,714

      9,435

      2,640

      3,688

      13,652

      Investment in fixed assets

      (56,712)

      (88,914)

      (20,555)

      (19,749)

      (110,715)

      Investment in intangible assets

      (2,744)

      (822)

      (427)

      (180)

      (1,810)

      Interest received

      22,081

      2,299

      8,285

      1,381

      6,433

      Net cash flows used in






       investing activities

      (31,661)

      (78,002)

      (10,057)

      (14,860)

      (92,440)







      Cash flows provided by






      financing activities






      Repayment of lease liability principal

      (320)

      (392)

      (108)

      (151)

      (4,726)

      Repayment of loans from banks

      (130,987)

      (144,775)

      -

      -

      (255,705)

      Dividends paid

      (70,000)

      -

      (70,000)

      -

      -

      Interest paid

      (77,099)

      (82,262)

      (114)

      (133)

      (159,804)

      Net cash flows used in






      financing activities

      (278,406)

      (227,429)

      (70,222)

      (284)

      (420,235)













      Net increase (decrease) in cash






      and cash equivalents

      186,594

      20,508

      175,463

      191,269

      (79,922)







      Effect of exchange rate fluctuations






      on cash and cash equivalents

      24,979

      31,611

      10,812

      152

      29,543

      Cash and cash equivalents at






      beginning of period

      151,481

      201,860

      176,779

      62,558

      201,860

      Cash and cash equivalents at end

      of period






      363,054

      253,979

      363,054

      253,979

      151,481










      SOURCE Ellomay Capital Ltd.

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