Tel-Aviv, Israel, March 25, 2021 – Ellomay Capital Ltd. (NYSE American; TASE: ELLO) (“Ellomay” or the “Company”), a renewable energy and power generator and developer of renewable
energy and power projects in Europe and Israel, today reported the publication in Israel of financial statements for the year ended December 31, 2020 of Dorad Energy Ltd. (“Dorad”), in which
Ellomay currently indirectly holds approximately 9.4% through its indirect 50% ownership of U. Dori Energy Infrastructures Ltd. (“Dori Energy”).
On March 24, 2021, Amos Luzon Entrepreneurship and Energy Group Ltd. (f/k/a U. Dori Group Ltd.) (the “Luzon Group”), an Israeli public company that currently holds the remaining 50% of
Dori Energy, which, in turn, holds 18.75% of Dorad, published its annual report in Israel based on the requirements of the Israeli Securities Law, 1968. Based on applicable regulatory
requirements, the annual report of the Luzon Group includes the financial statements of Dorad for the same period.
The financial statements of Dorad for the year ended December 31, 2020 were prepared in accordance with International Financial Reporting Standards. Ellomay will include its indirect share of
these results (through its holdings in Dori Energy) in its financial results for this period, which are currently expected to be published on or about March 31, 2021 and will include the financial
statements of Dorad in its annual report on Form 20-F for the year ended December 31, 2020. In an effort to provide Ellomay’s shareholders with access to Dorad’s financial results (which were
published in Hebrew), Ellomay hereby provides a convenience translation of Dorad’s financial results.
Dorad Financial Highlights
Dorad’s financial statements for the year ended December 31, 2020 note that following the outbreak of the coronavirus (COVID-19) in China in December 2019, and the spreading of the
coronavirus to many other countries in early 2020, there has been a decline in economic activity in many regions of the world, as well as in Israel. The spreading of the coronavirus caused,
among other things, a disruption in the supply chain, a decrease in global transport volume, traffic and employment restrictions declared by the Israeli government and other governments around
the world, as well as declines in the value of financial assets and commodities in markets in Israel and around the world. Dorad notes that it is operating in accordance with the guidelines of the
Israeli Ministries of Energy and Health on dealing with the coronavirus crisis, including preparations of the operation and maintenance employees of the power plant and shift work as required.
Dorad’s financial statements further note that in light of the crisis, there is a certain decrease in the electricity consumption of various customers, and there is also a certain decrease in the
demand of the Israel Electric Company and such reduction has not resulted in a material effect at this time. Dorad notes that it is continuously examining its potential methods of action in the
event of a material decline in its income as a result of the spread of the coronavirus.
Based on the information provided by Dorad, the demand for electricity by Dorad’s customers is seasonal and is affected by, inter alia, the climate prevailing in that season. The months of the
year are split into three seasons as follows: the summer season – the months of July and August; the winter season – the months of December, January and February; and intermediate seasons –
(spring and autumn), the months from March to June and from September to November. There is a higher hourly demand for electricity during the winter and summer seasons, and the average
electricity consumption per hour is higher in these seasons than in the intermediate seasons and is even characterized by peak demands due to extreme climate conditions of heat or cold. In
addition, Dorad’s revenues are affected by the change in load and time tariffs – TAOZ (an electricity tariff that varies across seasons and across the day in accordance with demand hour
clusters), as, on average, TAOZ tariffs are higher in the summer season than in the intermediate and winter seasons. Due to various reasons, including the effects of the spread of COVID-19 and
the economic impact of such spread and of actions taken by governments and authorities, the results included herein may not be indicative of full year results in the future.
• Dorad’s revenues for the year ended December 31, 2020 – approximately NIS 2,407 million.
• Dorad’s operating profit for the year ended December 31, 2020 – approximately NIS 283 million.
A translation of the financial results for Dorad as of December 31, 2019 and 2020 and as of and for the years ended December 31, 2018, 2019 and 2020 is included at the end of this press
release. Ellomay does not undertake to separately report Dorad’s financial results in a press release in the future. Neither Ellomay nor its independent public accountants have reviewed or
consulted with the Amos Luzon Entrepreneurship and Energy Group Ltd., Dori Energy or Dorad with respect to the financial results included in this press release.
About Ellomay Capital Ltd.
Ellomay is an Israeli based company whose shares are registered with the NYSE American and with the Tel Aviv Stock Exchange under the trading symbol “ELLO”. Since 2009, Ellomay Capital
focuses its business in the renewable energy and power sectors in Europe and Israel.
To date, Ellomay has evaluated numerous opportunities and invested significant funds in the renewable, clean energy and natural resources industries in Israel, Italy and Spain, including:
For more information about Ellomay, visit https://ellomay.com.
Information Relating to Forward-Looking Statements
This press release contains forward-looking statements that involve substantial risks and uncertainties, including statements that are based on the current expectations and assumptions of the
Company’s management. All statements, other than statements of historical facts, included in this press release regarding the Company’s plans and objectives, expectations and assumptions of
management are forward-looking statements. The use of certain words, including the words “estimate,” “project,” “intend,” “expect,” “believe” and similar expressions are intended to identify
forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. The Company may not actually achieve the plans, intentions or expectations disclosed in
the forward-looking statements and you should not place undue reliance on the Company’s forward-looking statements. Various important factors could cause actual results or events to differ
materially from those that may be expressed or implied by the Company’s forward-looking statements, including regulatory changes, the decisions of the Israeli Electricity Authority, changes in
demand, technical and other disruptions in the operations of the power plant operated by Dorad and changes in the prices of natural gas and the impact of the coronavirus pandemic on Dorad’s
operations and projects, including in connection with reductions in the consumption of electricity by Dorad’s customers and the Israeli Electricity Company, delays in supply of gas, steps taken
by Israeli authorities, regulatory changes, changes in the supply and prices of resources required for the operation of the Dorad’s facilities (and in the price of oil and electricity, and technical
and other disruptions in the operation of Dorad), in addition to other risks and uncertainties associated with the Company’s business that are described in greater detail in the filings the
Company makes from time to time with Securities and Exchange Commission, including its Annual Report on Form 20-F. The forward-looking statements are made as of this date and the
Company does not undertake any obligation to update any forward-looking statements, whether as a result of new information, future events or otherwise.
Contact:
Kalia Weintraub
CFO
Tel: +972 (3) 797-1111
Email: HilaI@ellomay.com
• Approximately 7.9MW of photovoltaic power plants in Spain and a photovoltaic power plant of approximately 9 MW in Israel;
• 9.375% indirect interest in Dorad Energy Ltd., which owns and operates one of Israel’s largest private power plants with production capacity of approximately 860MW, representing
about 6%-8% of Israel’s total current electricity consumption;
• 51% of Talasol, which owns a photovoltaic plant with a peak capacity of 300MW in the municipality of Talaván, Cáceres, Spain;
• Groen Gas Goor B.V., Groen Gas Oude-Tonge B.V. and Groen Gas Gelderland B.V., project companies operating anaerobic digestion plants in the Netherlands, with a green gas
production capacity of approximately 3 million, 3.8 million and 9.5 million (with a license to produce 7.5 million) Nm3 per year, respectively;
• 83.333% of Ellomay Pumped Storage (2014) Ltd., which is involved in a project to construct a 156 MW pumped storage hydro power plant in the Manara Cliff, Israel.
Dorad Energy Ltd.
Statements of Financial Position
December 31 December 31
2020 2019
NIS thousands NIS thousands
Current assets
Cash and cash equivalents 247,079 266,021
Trade receivables 297,719 292,759
Other receivables 21,401 22,685
Total current assets 566,199 581,465
Non
-current assets
Restricted deposit 433,265 438,032
Prepaid expenses 35,230 37,225
Fixed assets 3,526,839 3,698,716
Intangible assets 5,402 2,247
Right of use assets 60,113 64,161
Total non
-current assets 4,060,849 4,240,381
Total assets 4,627,048 4,821,846
Current liabilities
Current maturities of loans from banks 242,098 231,380
Current maturities of lease liabilities 4,535 4,551
Trade payables 309,380 288,127
Other payables 3,808 10,509

Financial derivatives 2,993

Total current liabilities 562,814 534,567
Non
-current liabilities
Loans from banks 2,561,302 2,803,975
Long
-term lease liabilities 50,858 54,052
Provision for dismantling and restoration 50,000 36,102
Deferred tax liabilities, net 200,298 170,676
Liabilities for employee benefits, net 160 160
Total non
-current liabilities 2,862,618 3,064,965
Equity
Share capital 11 11
Share premium 642,199 642,199
Capital reserve for activities with controlling shareholders 3,748 3,748
Retained earnings 555,658 576,356
Total equity 1,201,616 1,222,314
Total liabilities and equity 4,627,048 4,821,846
Dorad Energy Ltd.
Statements of Profit or Loss
2020 2019 2018
NIS thousands NIS thousands NIS thousands
Revenues 2,407,221 2,700,766 2,628,607
Operating costs of the power plant
Energy costs 522,110 708,662 687,431
Electricity purchase and infrastructure services 1,185,225 1,208,223 1,194,948
Depreciation and amortization 237,575 214,248 217,795
Other operating costs 155,368 151,116 136,705
Total cost of power plant 2,100,278 2,282,249 2,236,879
Profit from operating the power plant 306,943 418,517 391,728
General and administrative expenses 24,926 20,676 20,740
Other incomes 1,279 – –
Operating profit 283,296 397,841 370,988
Financing income 3,056 4,237 24,650
Financing expenses 157,428 192,881 227,988
Financing expenses, net 154,372 188,644 203,338
Profit before taxes on income 128,924 209,197 167,650
Taxes on income 29,622 47,873 33,505
Profit for the year 99,302 161,324 134,145
Dorad Energy Ltd.
Statements of Changes in Equity
Share capital
Share
premium
Capital
reserve for
activities with
controlling
shareholders
Retained
earnings Total equity
NIS thousands NIS thousands NIS thousands NIS thousands NIS thousands
For the year ended December 31, 2020
Balance as at January 1, 2020 11 642,199 3,748 576,356 1,222,314
Dividend to the Company’s shareholders – – – (120,000) (120,000)
Profit for the year – – – 99,302 99,302
Balance as at December 31, 2020 11 642,199 3,748 555,658 1,201,616
For the year ended December 31, 2019
Balance as at January 1, 2019 11 642,199 3,748 415,032 1,060,990
Profit for the year – – – 161,324 161,324
Balance as at December 31, 2019 11 642,199 3,748 576,356 1,222,314
For the year ended December 31, 2018
Balance as at January 1, 2018 11 642,199 3,748 280,887 926,845
Profit for the year – – – 134,145 134,145
Balance as at December 31, 2018 11 642,199 3,748 415,032 1,060,990
Dorad Energy Ltd.
Statements of Cash Flows
2020 2019 2018
NIS thousands NIS thousands NIS thousands
Cash flows from operating activities:
Profit for the year 99,302 161,324 134,145
Adjustments:
Depreciation, amortization and fuel consumption 241,288 239,323 223,028
Taxes on income 29,622 47,873 33,505
Financing expenses, net 154,372 188,644 203,338
425,282 475,840 459,871
Change in trade receivables (4,959) 5,238 32,536
Change in other receivables 1,284 25,394 6,119
Change in trade payables 16,627 (57,719) (81,273)
Change in other payables (6,700) 4,543 304
6,252 (22,544) (42,314)
Net cash provided by operating activities 530,836 614,620 551,702
Cash flows from investing activities:
Proceeds from (payment for) settlement of financial derivatives (4,318) (4,551) 9,957
Insurance proceeds in respect of damage to fixed asset – 8,336 20,619
Investment in long-term restricted deposits (6,000) (14,000) (12,158)
Investment in fixed assets (48,309) (60,476) (79,855)
Investment in intangible assets (4,738) (939) (222)
Interest received 3,046 4,213 3,497
Net cash used in investing activities (60,319) (67,417) (58,162)
Cash flows from financing activities:
Repayment of lease liability principal (4,523) (8,513) –
Repayment of loans from related parties – (17,704) (160,326)
Repayment of loans from banks (195,359) (189,893) (181,970)
Dividends and exchange rate paid (123,739) – –
Interest paid (170,003) (182,435) (220,765)
Net cash used in financing activities (493,624) (398,545) (563,061)
Net increase (decrease) in cash and cash equivalents (23,107) 148,658 (69,521)
Effect of exchange rate fluctuations on cash and
cash equivalents 4,165 143 2,559
Cash and cash equivalents at beginning of year 266,021 117,220 184,182
Cash and cash equivalents at end o