Good Energy has lauded its strategy to become “more than a passive energy supplier” after the clean energy supplier side-stepped market headwinds in the first half of the year.
Last week Good Energy published its results for the first half of 2019, reporting a marginal (2.8%) increase in revenues to £63.5 million on top of a similarly slight uptick in operating profit to £4.8 million.
This performance, the supplier said, came amidst a continually challenging market environment for UK energy retail companies. Despite commodity prices softening somewhat in H1 2019 – wholesale energy prices fell more than 30% compared to 2018 levels, it said – Good Energy incurred a higher cost of sale throughout the period owing to its long-term hedging policy.
Its customer growth was equally as marginal. Good Energy witnessed a 1.4% uptick in customers to ~261,700 in the first half of the year, a performance which the company set against its strategy to migrate towards higher volume business supply.
That decision may already be reaping rewards, with the company citing “large growth” in this area with a “strong pipeline” of customers to follow in H2.
It comes as the firm has set about establishing itself as “more than a passive energy supplier”, Good Energy said. On top of a systems overhaul, Good has acquired EV charging solution ZapMap, began installs of its SMETS2 smart meters and committed to the HAVEN research project, aimed at investigating the benefits of vehicle-to-grid technologies in domestic properties.
Ofgem’s recent decision to grant the company a permanent derogation from its price cap was heralded as a “validation” of its model.
Juliet Davenport, chief executive at Good Energy, said the “significant period of change” in the energy market meant for an “exciting time” for her company.
“Continuing to deliver good financial results in this challenging market is a reflection of the strength of our strategy. It indicates the potential for our recent investments to add long term value as we roll out new propositions, from smart metering to electric vehicle charging solutions, providing more energy services to our customers.
“As energy switches from ‘supply’ to ‘share’, we are ideally positioned, having helped homes and businesses share clean power through our innovations over the last 20 years. The strategic partnerships and innovative technology solutions we are delivering now provide us with strong growth opportunities for a cleaner, greener future,” she said.