EDP profits up 14% to €1.8Bn to September
EDP posted a net result of €1.08Bn between January and September according to a note sent to the Portuguese securities commission CMVM.
Profits for thew period were up 14% on the same period in 2023.
“EDP’s net result increased by 14% in the first nine months of 2024, to €1,083 million, supported by the good performance of the electricity networks activity in Brazil, as well as by the recovery of water production in the Iberian market, which more than offset the lower gains with rotation of renewable assets,” the same document reads. EBITDA rose 2% to €3,899 million.
The electricity network operation business segment represented 42% of the consolidated net income for the first nine months of the year, “positively impacted by the success of the takeover bid on EDP Brasil”, concluded in July 2023, the company indicates.
Hydropower production in Portugal soared 66%, and wind and solar in the United States rose 15%, “offsetting the fall in wholesale electricity prices in Europe and the sharp reduction in fossil fuel-based electricity production.”
Renewables currently represent 97% of the electricity portfolio. Revenues from fossil fuels currently contribute less than 2% to the total, with coal contributing 0.1%.
On the other hand, the net debt of the listed company skyrocketed 13%, reaching €17.3Bn. This reflects the acceleration of investment in renewable energy and electricity networks, as well as the payment of dividends.
“The net debt expected for the end of 2024 will be influenced by the timing of institutional partnerships and the completion of asset rotation operations, since certain operations may only be completed in 2025,” warns the company led by Miguel Stilwell de Andrade. The objective, the statement reiterates, remains to maintain a BBB rating.
EDP Renováveis recorded an annual decrease of 53% in profits in the first nine months, to €210 million, compared to €445 million in the same period last year.
EDP expects to reach a recurring EBITDA of about €5Bn euros for 2024, a recurring net result of approximately €1.3Bn, in line with the financial objectives presented in May”, the company concludes.
