Ad hoc announcement pursuant to Art. 53 LR
Zurich, March 25, 2022

Record results, electricity production and pipeline significantly expanded

- Revenue up 38.8% to CHF 17.16 million (+37.3% in local currency)

- EBITDA up 49.9% to CHF 13.04 million

- Net profit up 36.9% to CHF 4.51 million

- Electricity production up 152.8% to 120'254 MWh

- PV pipeline significantly expanded by 783.6 MW to 940.6 MW

- Stable dividend of CHF 1.10/share proposed

- Proposal of the Board of Directors for an ordinary capital increase of up to CHF 150 million

- Extension of the business model and increase of the future dividend

2021 was a record year for Edisun Power in various respects: new peaks were achieved across the board financially, in production terms the connection of the large-scale Mogadouro plant in Portugal (49.0 MW) took solar power production to new levels, the second Portuguese large-scale plant, Betty (23.4 MW), is under construction and strong growth is also expected in the future with the acquisition of further PV projects totaling 783.6 MW. The Board of Directors recommends to the General Meeting payment of an unaltered dividend of CHF 1.10 per share. The main focus for Edisun Power is the further development and construction of the pipeline and its financing. To this end the Board of Directors proposes a substantial share capital increase of up to CHF 150 million.

New record sales
The Group's total sales soared as expected by 38.8% to CHF 17.16 million (2020: CHF 12.37 million). In local currency terms the sales increase was 37.3%. These record sales were supported by the start of production in the new Portuguese market with the large-scale plant in Mogadouro (49.0 MW, grid connection on December 30, 2020) and the good weather conditions in Southern Europe. At 120'254 MWh, total electricity production was 152.8% up on 2020. This volume effect and a slightly stronger average euro exchange rate (+1.1%) more than offset the much lower electricity price mix (-43.1%) and led to a sharp rise in income from electricity sales of 45.3% to CHF 17.06 million (2020: CHF 11.74 million).

The sharp fall in the electricity price mix resulted from the connection of the Mogadouro large-scale plant that is no longer able to benefit from subsidized compensation for electricity fed into the grid (feed-in tariffs).

Edisun Power benefited particularly in the second half of the year from the sharp rise in electricity prices and good weather conditions throughout Southern Europe. Total income from the plants in Spain increased by 17% and that of the Italian plant by 45%, the latter also thanks to a repowering of the entire solar plant. The Central European PV plants failed to replicate these positive results. Largely due to poorer weather, income fell by 11% in Switzerland, 7% in Germany and 1% in France.

Profitability at a new level
Thanks to the economies of scale from the connection of the new large-scale plant and the predominantly smooth plant production, earnings before interests, taxes, depreciation and amortization (EBITDA) rose by 49.9% to CHF 13.04 million (2020: CHF 8.70 million). The EBITDA margin increased from 70.3% to 76.0%. With an EBITDA margin of 88.7%, the new large-scale plant even exceeded the previous margin record of the Swiss plants of 86% without benefiting from subsidized feed-in tariffs.

Depreciation increased to CHF 6.08 million due to the new large-scale plant (2020: CHF 4.45 million). A complete value adjustment had to be carried out on an existing plant in France due to a smoldering fire and security risks. The resulting suspension of electricity production and the depreciation of the remaining book value impaired the result by CHF 0.3 million. Furthermore, there was no repetition of the one-time positive effect of a reversal of valuation adjustments of CHF 0.6 million in the previous year.

Operating profit (EBIT) therefore rose somewhat less than EBITDA by 39.9% to CHF 6.72 million, with an EBIT margin of 39.2% (2020: CHF 4.80 million).

Net financing costs increased by 16% to CHF 1.2 million (2020: CHF 1.04 million). Edisun Power continued to benefit from interest-bearing project prepayments and a one-off interest payment due to the delay to the start of construction of plants in Portugal totaling CHF 2.2 million. This was offset by an expected increase in income taxes, which rose by more than 112.4% in the year under review to CHF 1.01 million (2020: CHF 0.48 million).

Net profit altogether increased by 36.9% to CHF 4.51 million (2020: CHF 3.29 million), which based on the weighted average number of outstanding shares corresponds to earnings per share of CHF 4.35 (2020: CHF 3.18).

With this annual result the Edisun Power Group has so far coped well with the challenging COVID-19 crisis, impressively underscoring the resilient character of its business model in the promising market of renewable energies.

Growth of balance sheet with new plants
The Group achieved another milestone in 2021 with the acquisition of further PV plants in development totaling 783.6 MW from the Smartenergy Group. This is intended to further expedite the strategic focus of Edisun Power on large-scale plants in order to make a significant contribution to climate protection. Edisun Power has developed a striking portfolio (comprising projects in development or operation) of over 1 GW with these latest investments. The balance sheet total accordingly doubled by 100.4% to CHF 405.40 million. The level of debt also increased due to financing the new plants so that the equity ratio fell to 19.8% (2020: 40.4%). This circumstance is addressed by the share capital increase proposed by the Board of Directors (see below). A favorable impact is the fact that no interest costs will be incurred up to the final payment of the residual purchase price for the new project pipeline to Smartenergy Group.

Extension of the business model and increase of the future dividend
In the future, Edisun Power will increasingly act as an active acquirer and seller of solar projects and assets. This "buy and sell" business model simplifies the financing of the pipeline, enables a high return and a lower risk profile. With this realignment, the Board of Directors intends to significantly increase the dividend in the future.

Outlook for the current year and share capital increase
The 2022 financial year has begun very promising from an operational perspective. The core tasks in the current financial year are the construction of the Portuguese plants, the further development of the acquired project portfolio of 783.6 MW and the management of its financing.

By the middle of the year, Edisun Power expects the Betty large-scale plant in Portugal with 23.4 MW to be connected to the grid and the start of the construction of the Quinta da Seixa large-scale plant with 33.8 MW. As a result, the income from the electricity sales will significantly increase from the second half of 2022 onwards. As a note of cautious, the outlook for the year remains challenging: the geopolitical developments could lead to further solar module shortages, delays to construction and challenges for project financing.

In order to finance its growth, the Board of Directors will propose to the General Meeting a significant ordinary share capital increase of up to CHF 150 million through the issue of a maximum of 1'200'000 new shares with a nominal value of CHF 30 per share. Further details will be communicated in due course.

Dividend proposal
Thanks to the excellent results and the large project pipeline, the Board of Directors views the future with optimism and proposes payment of a stable dividend of CHF 1.10 per share. The dividend is to be increased significantly in the future with the extension of the business model (see above).

Scheduled General Meeting of Shareholders
The Board of Directors has decided to hold the Ordinary General Meeting on April 22, 2022 without the physical presence of shareholders. In order to exercise their shareholder rights, shareholders will need to authorize the independent proxy to represent them.

Edisun Power's 2021 Annual Report is available on the Group's website at
http://www.edisunpower.com/en/home-en/investors-en/reporting

For more information
Dr. René Cotting, +41 79 766 88 33, info@edisunpower.com

Edisun Power Group
A listed European solar energy producer, the Edisun Power Group finances and operates solar power installations in a number of European countries. Edisun Power began its involvement in this sector as far back as 1997. The company has been listed on the Swiss Stock Exchange since September 2008. Edisun Power has amassed extensive experience in the realization and acquisition of both national and international projects. Currently, the company owns a total of 38 solar energy installations in Switzerland, Germany, Spain, France, Italy and Portugal.

Key figures of the Edisun Power Group as at 31.12.