In an environment of falling electricity prices, the first Spanish electricity company, Iberdrola, earned 2,521 million euros between January and June 2023, which represents an increase of 21.5%, compared to the same period of the previous year. in which prices had skyrocketed due to the outbreak of the war in Ukraine.
According to the information presented this Thursday to the National Securities Market Commission (CNMV), this evolution of the business is explained by the recovery of renewable energy production, the reduction in the cost of energy and the recovery of the trade deficit in the United Kingdom.
Revenues for the period stood at 26,263 million euros, 7.5% more, and gross operating profit (Ebitda) grew 17.3% to 7,561 million euros.
The operating cash flow in the first six months amounted to 5,731 million euros, compared to 4,734 million in the same period of the previous year, which represents an increase of 21% -excluding the hydraulic canon-.
Adjusted net debt grew by 8.5%, to 45,290 million euros, although the company hopes to lower this financial indicator at the end of the year to 42,000 million euros.
“These results confirm our ability to execute our plans ahead of schedule, even in the current challenging macroeconomic environment. And, by the end of the year, we expect net profit growth of close to 10%, excluding additional capital gains from asset turnover”, confirmed the company’s president, Ignacio Sánchez Galán, in the communication sent to the market.
In it, Iberdrola considers its Asset Rotation Roadmap of 7,500 million euros for 2025 completed after closing a strategic alliance with Masdar to develop a wind farm in the Baltic Sea and to advance the net zero emissions targets in Europe. To which is added that the sale of about 60% of the business in Mexico continues and the operation is expected to close before the end of the year.
Not so the investment policy defined in your investment plan. “We continue to accelerate the execution of our Strategic Plan, with investments of more than 10,500 million euros in the last 12 months, to reach a Network Asset Base of 40,000 million euros and 41,250 installed renewable MW”, according to Ignacio Galán.
In the last 12 months, Iberdrola has invested 10,544 million euros in which is 8% more than the same period of the previous year. 93% of the investment, 4,061 million, has been allocated to networks, the other 4,745 million euros to renewables to accelerate electrification and promote energy autonomy.
With these results, the company is confident of closing 2023 with a net profit of around 10%, excluding additional capital gains from asset turnover” and confirms the already announced increase in shareholder remuneration by 11.6%, up to 0.501 euros per share charged to the results of 2021. With this remuneration, the company has already reached the dividend floor established for 2025.
