A Solid Cash Management Approach

Capital is a key resource in MFT Energy’s business model and an essential driver for our growth and expansion. In 2021, we upgraded our cash flow forecasting tools and successfully optimized our working capital. In 2022, we will continue to optimize the allocation of our capital.

Maintaining Stability

MFT Energy is committed to maintaining financial stability, having a solid capital structure, and staying focused on optimizing our working capital. In 2021, we integrated our systems and analytical tools further, which has improved our reporting and decision making. Together with risk management and the trading teams, we navigated the relative volatile power and gas markets very well and supported our growth.

Staying in constant control of our cash flows creates visibility and ensures good value adding decisions. We prepare a current 60-day cash flow forecast on a daily basis which also feeds into the longer-term current forecasts we operate with. The cash flow forecasts ensure that MFT Energy has sufficient cash to settle our overall obligations. Longer-term forecasts also include more strategic initiatives.

Through further integration of our treasury, risk management and trading teams, we have become even better at generating value and support for our future growth plans.
Anders Simonsen
Anders Simonsen
Director & Partner, Treasury

Supporting Growth

The efficiency and robustness of our more proactive approach was confirmed in 2021. The volatile power and gas markets offered many good trading opportunities but were also challenging to navigate. Our capital allocation strategy was good and delivered strong returns. We expect relatively volatile markets in the years to come and will optimize our capital allocation and cash management approach accordingly to support our strong growth potential even further.

MFT Energy’s annual report 2021 can be found here