Friday 19 April 2019

High wholesale prices push up losses at electricity firm Pinergy

On the ball: Energy partner Pinergy teamed up with Munster player Conor Murray
On the ball: Energy partner Pinergy teamed up with Munster player Conor Murray
Opportunity: Pinergy CEO Enda Gunnell says it has had an encouraging reaction from businesses
Gavin McLoughlin

Gavin McLoughlin

Sales grew 16pc at energy provider Pinergy last year, but losses grew because of rising prices on wholesale energy markets.

Pinergy provides pay-as-you-go electricity via a prepayment card.

Though sales grew 16.1pc to €26m, operating losses grew from €2.8m to €4.2m.

Pinergy said this was "in line with expectations" given the rise of wholesale prices and investment in the business.

Pinergy CEO Enda Gunnell said: "2017 marked another year of continued revenue growth and significant investment in the business. This investment has been driven primarily by the deployment of the latest high-tech smart meter equipment and development of software.

"We also continue to invest in the recruitment of key talent including specialist business energy advisers and technical support teams. We have been really encouraged by the reaction we are getting from the business community to date and see great opportunity for Pinergy to grow our business in this market segment into the future," he added.

He said the company's customer mix is changing, from primarily households before 2017 to a broader mix of both domestic and commercial users.

Business customers using the service include companies in the retail, manufacturing, hospitality, leisure, property and farming sectors. "With further revenue growth and continued investment in the coming years, we are confident that we can build scale and deliver a sustainable long-term and profitable business in the coming years," Mr Gunnell said.

A strong global economy has boosted demand for energy, putting upward pressure on wholesale prices. But a recent fall in oil prices may counteract that.

Irish Independent

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