Do you consent to this website placing cookies on your device? You can find out more by reading our cookies policy here.


Half Year 2012 Unaudited Financial Results

06 September 2012

Strong performance across all operations - record sales of enrichment services


  • Record sales of enrichment services; SWU sales volumes increased by 20%
  • Revenue increased by €170 million. Strong EBITDA performance due to higher revenue
  • Order Book remains strong at €19 billion extending beyond 2025
  • Urenco USA Phase 2 commenced operations (August 2012)
  • Tails Management Facility (TMF) construction commenced and work is progressing to budget and to schedule
  • ETC’s (Enrichment Technology Company) level of centrifuge manufacturing capacity under review

Financial Highlights

  Six months to 30 June 2012
(Unaudited) €m
Six months to 30 June 2011
Restated €m*
% change
Revenue 697 527 32%
EBITDA 462 306 51%
EBITDA margin - % 66% 58%  
Income from operating activities 306 190 61%
Net income 203 125 62%
Net income margin - % 29% 24%  
Capital expenditure* 295 364 (19%)
Cash generated from operating activities 434 390 11%

* Capital investment reflects investment in property, plant and equipment plus the prepayments in respect of fixes asset purchases for the period.

Operating Update

Revenue for the six months to June 2012 was €697 million, a 32% increase on the 2011 half year. This was driven by 20% higher enrichment revenues and a higher proportion of feed sales.

EBITDA increased by 51% to €462 million (2011: €306 million) mainly as the result of higher revenues, and lower production costs driven by economies of scale. EBITDA margin at 66% was higher than the 2011 half year.

Net income grew by 62% during the period (2012: €203 million; 2011: €125 million) exceeding the growth in EBITDA of 51%. Although depreciation charges increased as new capacity came on line, the increase in depreciation charge in the period was 34% and therefore less than the EBITDA growth. The tax charge increased by 39%, as a direct result of increased income.

Cash generation from operating activities was €434 million (2011: €390 million), an 11% increase. The major driver was the increase in revenues. Tax paid in the period was €74 million (2011: €74 million); net cash flow from operating activities was €360 million, a 14% increase on 2011. Investing activities in respect of property, plant and equipment amounted to €280 million.

Capital expenditure

Urenco invested €295 million (2011: €364 million) in new enrichment capacity and the deconversion facility (TMF). New production capacity was added in the Netherlands and the USA, with Phase 2 in the USA commencing operations of TC21 centrifuges (August 2012).

In the coming years, Urenco will complete its current investment cycle. With this and the general outlook of the international nuclear market, manufacturing of centrifuges for new enrichment capacity may be reduced in the future. In this context, ETC is developing a plan to meet this challenge whilst retaining its position as the world leader in uranium enrichment technology.

Order Book

Continuing visibility of future revenue is underpinned by Urenco’s strong Order Book. The Order Book showed a year-on-year reduction of 5%, and currently stands at €19 billion (€20 billion at 31 December 2011) extending beyond 2025. This reduction is due to deliveries made from the Order Book and reflects the lower contracting activity in the market following the German Government’s decision to phase-out nuclear power by 2022 and the delayed restart of Japanese power plants. URENCO continues to be a leading provider of enrichment services to the global nuclear power industry, maintaining a market share of around 29%*.

* Based on Urenco internal estimates

Capacity Planning

Due to the nature of customer demand, Urenco’s capital expenditure planning is long-term and is underpinned by long-term customer contracts. Capacity currently stands at 15,900 tSW/a and our target to achieve 18,000 tSW/a by 2015 remains on track.


Urenco continues to enjoy a strong funding position, with forward cover from its committed funding facilities through to 2014. During the first half of 2012, €175 million was drawn down as part of a funding facility with the European Investment Bank.


Urenco continues to focus on customer delivery and maintaining high standards of customer satisfaction. Building on the Group’s first half performance in 2012, we are expecting growth in year-on-year revenues for the full year 2012 in combination with strong operational performance in line with expectations.

The growth in the world nuclear market has slowed over the past year due to a decline in some markets (Germany and Japan). However, we remain confident that nuclear is and will continue to be an essential element of the world’s low-carbon energy mix.

Helmut Engelbrecht, Chief Executive of the Urenco Group, commenting on the half-year results, said:

“Urenco’s performance in the first half of the year was strong and I am particularly proud of the reliability of service we delivered to our customers.

We remain confident in the long-term future of the nuclear sector as an essential part of the global energy mix. Despite issues in the German and Japanese markets, we continue to seek opportunities and identify areas of growth in new markets. The nuclear sector has an important role to play in meeting the world’s energy needs and we are proud to be an active part of it.”


About Urenco

Urenco is an international supplier of enrichment services and fuel cycle products with its head office based close to London, UK. With plants in Germany, the Netherlands, the UK and the USA, it operates in a pivotal area of the nuclear fuel supply chain which enables the sustainable generation of electricity for consumers around the world.

Using centrifuge technology designed and developed by Urenco, the Urenco Group provides safe, cost effective and reliable uranium enrichment services for power generation within a framework of high environmental, social and corporate responsibility standards.


Subscribe here to receive the latest news from Urenco


Latest tweets


Sign up to our newsletter by entering your email address below.