EDP Renováveis (EDPR) Q4 2025 earnings summary

Executive summary

• Achieved a strong recovery in 2025, with recurring EBITDA of €2.0bn (up 17% YoY), surpassing guidance, and recurring net profit of €330m, up 50% YoY.

• Net debt reduced to €8.1bn, improving leverage with net debt to recurring EBITDA ratio down to 4.1 from 4.9.

• Added 2 GW of gross capacity, mainly in North America and Europe, with generation up 11% to 40.6 TWh and all planned capacity delivered on time and on budget.

• Asset rotation proceeds reached €1.7bn, with €119m in gains, mainly from Europe, reflecting robust investor demand.

• Efficiency gains drove a 12% reduction in core OpEx per average MW and a 9% reduction in headcount.

Financial highlights

• Recurring EBITDA reached €2.0bn (+17% YoY), underlying EBITDA at €1.9bn (+23% YoY), and recurring net profit rose fourfold to €330m.

• Net debt closed at €8.1bn, down €0.2bn from 2024, with net debt/recurring EBITDA improved to 4.1x.

• Asset rotation gains totaled €119m, in line with guidance.

• Electricity sales increased 1% YoY to €2.15bn, with installed capacity up 6% to 20.4 GW.

• North America led growth, with generation up 16% and sales up €145m.

Outlook and guidance

• 2026 guidance: recurring EBITDA of ~€2.1bn, supported by high single-digit generation growth and average selling price of €52/MWh.

• 1.5 GW of capacity additions for 2026 already secured, >80% under construction.

• Asset rotation gains for 2026 guided at €0.2bn, with proceeds around €1.5bn.

• On track for 2028 targets: €2.2bn recurring EBITDA, €0.6bn recurring net profit, and 5 GW gross additions.

• 2026-28 gross investments expected at ~€7.5bn.