EDP Renováveis (EDPR) Q1 2025 earnings summary

Executive summary

• Installed capacity reached 19.3 GW, up 17% year-on-year, with 3.4 GW gross additions and 10.9 TWh generation, a 10% increase; wind onshore accounted for 82% of output, solar 18%.

• Recurring EBITDA was €477 million, up 5% year-on-year; underlying recurring EBITDA (excluding asset rotation gains) rose 20% year-on-year.

• Recurring net profit reached €66 million, up €44 million year-on-year excluding asset rotation gains; underlying recurring net profit tripled year-on-year.

• Average selling price declined 5% year-on-year to €57/MWh, mainly due to lower prices in Europe and South America, partially offset by North America.

• 70% of the portfolio is secured under long-term agreements with an average maturity of 11 years, providing stability.

Financial highlights

• Electricity sales rose 5% year-on-year to €624 million, supported by higher generation output.

• Core OpEx per average MW in operation decreased 9% year-on-year, reflecting efficiency gains and cost control.

• Net debt at March 2025 was €8.9 billion, mainly due to €0.9 billion in net expansion investments; Net Debt/LTM EBITDA: 5.7x.

• Organic cash flow totaled €140 million in Q1, up 137% year-on-year.

• Financial costs increased due to higher nominal financial debt; average cost of debt was 4.8%.

Outlook and guidance

• 2025 recurring EBITDA guidance at €1.9 billion, including €0.1 billion in asset rotation gains.

• Expected electricity generation for 2025 is 41–43 TWh, up from 36.6 TWh in 2024.

• Average selling price for 2025 expected at €55/MWh, slightly lower than Q1 due to lower European wholesale prices.

• Net debt targeted at €8 billion by year-end, supported by €2 billion in asset rotations and €1 billion in tax equity financing.

• 2 GW of new capacity expected to be commissioned in 2025, with 70% scheduled for Q4 and 80% in Europe and US.