Bawat Water Technologies AB: BAWAT Announces Q4 Report 2023

Hørsholm, Denmark, February 21, 2024 – Bawat Water Technologies AB (BAWAT) today announces its Q4 

Report for 2023. The report is available on Bawat’s website (investor.bawat.com)

BAWAT is a leading supplier of sustainable ballast water treatment technology and services. BAWAT was listed on Nasdaq First North Premier Growth Market in Stockholm in March 2022.

Doubling Order Intake and profit margin Y-o-Y and Full year 2024 guidance

Q4 2023

• Order intake in Q4 2023 elevated the full year order intake to SEK 41.8m (Guidance SEK 40-50m), a significant 131% increase from 2022.
• Gross profit increased from 17,1% in 2022 to an impressive 55,9% in 2023 supported by sales in the mobile segment, lease income (extra ordinary) and service. This led to EBITDA breakeven in the quarter due to the extra ordinary lease income.
• Damen and Bawat signed a Joint Venture agreement offering significant scaling opportunities with manufacturing and sales of mobile ballast water units worldwide.
• Ballast as a Service, BaaS, has been organized under one executing organization called Bawat BaaS and two seasoned BWMS executives have joined the team in USA which has already demonstrating its value.

Post quarter in January 2024 a directed share issue was carried out raising SEK 6.5m completing the equity match for the 2023 granted financing package from NEFCO of which the remaining SEK 11.2m will be issued as a convertible bond in H1 2024.

Guidance 2024

• The company continues to grow significantly and has decided to change guidance principles to better reflect ongoing business with 2024 Sales between SEK 42 – 54m and EBITDA of SEK -12 – -7m.
• Guidance figures for 2024 are NOT comparable to 2023 actual figures due to new P&L consolidation methods after having established the Bawat Damen JV and Bawat BaaS ownership set-up.
• Comparing 2023 guidance principles with the 2024 equivalent Order Intake is estimated to be SEK 70 – 90m equal to another doubling.
• Q4 2024 is expected to be EBITDA break-even, in line with communicated expectations during 2022 IPO.

FINANCIAL KEY FIGURES Q4 2023

*In addition to this, Capital raise and other related non-recurrent items SEK 3,4m (SEK 6.9m in 2022)
**In addition to this, Capital raise and other related non-recurrent items SEK 6,4m (SEK 8.1m in 2022)

Marcus P. Hummer, CEO said, “We have closed the year strongly on both order intake and gross profit. Order Intake is ending at SEK 41.8m which is more than doubling the performance from 2022. With a gross profit for the full year of 55.9% (30.2% without the lease income), our business model is now well established.

With the increased maturity of our business, we will from 2024 replace existing guidance from Order Intake to provide guidance on Sales and EBITDA as the P&L consolidation principles changes due primarily to the establishment of the Bawat Damen JV, hence figures from 2023 are not comparable one to one to 2024 figures.

We expect to reach a positive EBITDA for the last quarter in 2024, which is in line with our expectations communicated during the 2022 IPO. The 2024 guidance is as follows,

Find the full Q4 2023 report here: https://investor.bawat.com/company-reports/

FORWARD-LOOKING STATEMENTS

This announcement contains forward-looking statements. Words such as ‘believe’, ‘expect’, ‘may’, ‘will’, ‘plan’, ‘strategy’, ‘prospect’, ‘foresee’, ‘estimate’, ‘project’, ‘anticipate’, ‘can’, ‘intend’, ‘outlook’, ‘guidance’, ‘target’ and other words and terms of similar meaning in connection with any discussion of future operating or financial performance identify forward-looking statements. Statements regarding the future are subject to risks and uncertainties that may result in considerable deviations from the outlook set forth. Furthermore, some of these expectations are based on assumptions regarding future events which may prove incorrect.

 

FOR MORE INFORMATION, PLEASE CONTACT:

Investors & Media:

Marcus P. Hummer, CEO, E-mail: mph@BAWAT.com

John B. Henriksen, CFO, E-mail jbh@BAWAT.com
 

Certified Adviser

Svensk Kapitalmarknadsgranskning AB

ca@skmg.se

This press release constitutes inside information that Bawat Water Technologies AB is obliged to make public pursuant to the EU Market Abuse Regulation 596/2014. The information was sent for publication, through the agency of the contact persons set out above, at the time stated by the Company's news distributor, Cision, at the publication of this press release on February 21st, 2024.

For further information about Bawat Water Technologies AB, please contact above.
 

About Bawat and Bawat BaaS

The development of an entirely new approach to ballast water treatment utilizing onboard waste heat to treat ballast water led to the founding of Bawat in 2011. A ballast water treatment system avoids disposal of untreated water in seas and harbors.

Bawat’s BWMS is a system that is simple, cost-effective, and sustainable, build on a zero environmental impact, using standard marine components. No filters, no chemicals no UV. Bawat is the first to market a USCG/IMO Type Approval BWMS that uses pasteurization to treat ballast water in a one-pass process.

Bawat has built upon its innovative breakthrough and offers ballast water solutions to the maritime industry in three categories:  

•          Ship BWMS for Retrofit and New Builds

•          Mobile containerized solution for multiple vessel usage in a port, on a ship or offshore units

•          Bawat BaaS - Ballast as a Service for contingency or planned ballast treatment in ports

Bawat is an engineer-driven company that is rooted in the tradition of Danish maritime innovation and with a deep maritime insight: www.bawat.com.