Reykjavík Energy Returns Good Results in 2021

Reykjavík Energy (OR; Orkuveita Reykjavíkur) financial performance was good in 2021 and the carbon footprint of the Group decreased from the previous year. Within the Group, in addition to the parent company, are Veitur Utilities, ON Power, Ljósleiðarinn-Reykjavík Fibre Network, and Carbfix. OR’s consolidated annual financial statements were approved by the Board of Directors today and carry a profit of ISK 12 billion from operations. The Board of Directors proposes to the Annual General Meeting that a dividend of ISK 4 billion be paid to thew owners. The owners of Orkuveita Reykjavíkur are the City of Reykjavík, and the municipalities of Akranes and Borgarbyggð.

Operating expenses decrease between years

The operating expenses of the OR Group decreased between the years 2020 and 2021. At the same time, the price of aluminium rose, which increased ON Power’s income from electricity sales to power-intensive industries. The real-term price of Veitur Utilities' licensed services decreased slightly during the year.

OR Annual Report 2021

Along with the financial statements, Reykjavík Energy publishes its integrated Annual Report. The report gives a detailed account of the environmental and climate aspects of the Group’s operations last year, social factors and governance, as well as various financial metrics. The Group's carbon footprint decreased between 2020 and 2021 and is forecast to decrease further in the coming years with increased carbon mineralization at ON Power’s geothermal power plants.

The annual report is audited by independent parties and endorsed by the CEO and the board. It can be found at https://annualreport2021.or.is.

Bjarni Bjarnason, CEO of OR:

Now that we are emerging from the Covid-pandemic, I am most grateful to the employees of the companies in the Reykjavík Energy Group. In the last two years, there has been to our knowledge no instance of outage of our important basic services due to the pandemic and we do not know of any case of a group infection at our workplaces.

At the same time, we maintain a solid grip on operations so that favourable external conditions are quickly and efficiently reflected in the Group’s results, thus benefiting our customers.

The public's expectations for services and Reykjavík Energy’s positive impact on the environment and society are growing. Therefore, it is especially gratifying to see results of measurements that indicate increased customer satisfaction. We are constantly looking for new ways to shorten the communication channels to us, provide clearer information quickly and efficiently and to do this in a more efficient way than before. I assert that we have succeeded in many ways, but at the same time I promise that we will continue to improve.

Overview of financial and non-financial factors 2015-2021

	2015	2016	2017	2018	2019	2020	2021	unit
Operating revenues	40,312	41,423	43,666	45,916	46,570	48,627	51,890	ISK mill.
Operating expenses	-15,183	-16,062	-17,285	-17,299	-18,398	-19,172	-18,380	ISK mill.
EBITDA	25,174	25,361	26,380	28,617	28,172	29,454	33,510	ISK mill.
EBIT	14,428	14,968	17,318	18,346	16,051	16,398	20,253	ISK mill.

Gender pay-gap	2.30%	2.10%	0.20%	0.00%	0.10%	0.00%	-0.20%	%
Job satisfaction	4.3	4.4	4.4	4.4	4.3	4.4	4.3	Grade 1-5

Hot water	83	78	94	101	101	110	106	mill.m³
Electricity	3,249	3,411	3,473	3,507	3,536	3,581	3,545	GWh
Potable water	29	30	29	28	29	26	26	mill.m³
Data via Ljósleiðarinn	122,000	155,000	180,000	216,000	260,000	345,000	396,000	TB

Carbon footprint	67,100	45,450	42,700	45,450	48,750	50,550	48,650	tn. CO₂-eq.
Mineralized CO₂	5,200	9,000	12,000	12,000	10,500	11,700	13,300	tonnes

Attached are:

OR Consolidated Financial Statements 2021 on pdf-format.
Zip-file containing OR Consolidated Financial Statements 2021 on ESEF-format.
XHTML-viewer file.

Contact:

Bjarni Bjarnason
CEO
+ 354 516 6100

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