EDP profits up 40% to €952 million in 2023

 In Companies, EDP, News

EDP profits increased 40% in 2023 compared to the previous year, to €952 million.

The announcement was made on Thursday after the energy giant had announced a tumble in profits by half (€309 million) at its renewables subsidiary, EDP Renovavéis.
“EDP’s net result increased to €952 million in 2023 supported by the recovery in hydro production to levels in line with its historic average (after the extreme drought in 2022), the increase of results from Brazil, where EDP Brasil took 100% control of its subsidiary EDP Brasil, as well as gains in transactions from the rotation of renewables assets in Spain, Poland, and Brazil”, states the company in a communiqué to the stock market regulator CMVM.
At the same time the group’s net debt grew 16% to €15.3Bn “reflecting the acceleration of investment in renewables and electricity networks, as well as the acquisition of EDP Brasil minority shares”, transactions in part compensated for by EDP and EDPR capital increases carried out in the first quarter of last year.
Investment directed to expansion rose 33% to €5.2Bn, of which only €515 million was directed towards increasing the networks. The remainder was invested in renewables.
The third market in which EDP most invested (13%) was Portugal, behind the 46% invested in the United Sates, and 18% in Brazil. In this period EDP allocated 96% of its total investment to renewable energy projects (4.4GW of renewable capacity in construction) and the development of electricity networks in Portugal, Spain, and Brazil.
Finally, the communiqué informs that the Executive Board will suggest the distribution of dividends to the General Assembly of Shareholders for 2023 of €0.195 per share, reflecting a payout ratio of 63% “in line with the dividends policy established in its strategic plan that extends until 2026.
EDP Renováveis made profits of €309 million in 2023, half of the net result it had achieved in 2022. (€616.2 million)