ClearFlowPlus plc - Updated Financial Analysis Summary

On 24 June 2024, ClearFlowPlus plc published an updated Financial Analysis Summary. The following are the main highlights of the expected financial performance and position of Water Services Corporation (WSC, the Guarantor of the bonds) in 2024:

• Revenue is expected to increase by 2.9% to €94.1 million. Furthermore, WSC is anticipating a 4.2% increase in Government subsidies to €34.4 million principally related to treatment and re-use of wastewater.
• EBITDA is forecasted to drop by 4.2% to €37.7 million reflecting higher levels of operating expenses.
• Net finance costs are expected to amount to €1.08 million compared to €0.84 million in 2023 amid higher borrowing costs. Consequently, the interest cover is projected to ease to 35 times from 47 times in 2023.
• Total debt is expected to drop by 30% (or €20.2 million) to €47.3 million. Furthermore, WSC is also expected to hold cash balances exceeding €50 million as at 31 December 2024, and therefore it will be in a net cash position.