hep global GmbH reported a 72% increase in revenue to EUR 17.2 million for the first half of 2026, up from EUR 10.0 million in the same period last year, and swung to a positive EBIT of EUR 0.3 million from a loss of EUR -2.4 million. The results, announced via NEWMEDIAWIRE, mark the first positive operating result at the half-year reporting date in several half-years and suggest that the company's strategic realignment and cost-cutting measures are beginning to pay off.
The improvement was driven primarily by project development in Germany, where revenue from development services rose to EUR 14.7 million from EUR 6.8 million, reflecting the successful marketing of hybrid solar and battery storage projects. At the same time, personnel expenses fell to EUR 7.0 million from EUR 8.8 million, and other operating expenses dropped to EUR 6.8 million from EUR 9.9 million. The Group's net loss narrowed to EUR -3.8 million from EUR -6.8 million.
CEO Martin Vogt said the results underscore that the focus on greenfield project development and cost structure improvements are having an effect, though he noted that improved operating profitability only partially compensated for negative impacts from delayed marketing and implementation of individual projects. The company also streamlined its service business in the third quarter, transferring solar park operations in Japan to an external provider and planning to sell its U.S. service business, allowing it to concentrate resources on project development. The half-year financial report is available through the company's green bond documentation.
Despite the operational progress, hep global adjusted its full-year 2026 outlook downward, now expecting revenue of EUR 40 million to EUR 45 million and EBIT of EUR 1 million to EUR 5 million, compared with previous targets of EUR 45 million to EUR 55 million and EUR 0 million to EUR 10 million. The company cited ongoing margin pressure and postponement of planned project transactions due to the pending refinancing of its green bond 2021/2027, which was successfully extended in the spring. CFO Christian Hamann said the company must continue to manage capital deployment with discipline and convert projects step by step into reliable revenue and liquidity, emphasizing that growth at any cost is not the goal but rather an economically viable project business.
The announcement matters because it illustrates both the potential and the fragility of the solar project development model in a challenging economic and regulatory environment. While hep global has demonstrated that cost discipline and a focus on high-margin greenfield development can restore operating profitability, the downward revision shows that financing constraints and project timing remain significant risks. For investors and industry observers, the company's ability to complete the green bond refinancing and convert its pipeline in the U.S., Germany, Japan, Poland and Italy into sales from 2027 will be critical. Further details are available on the company's website at www.hepsolar.com.
