RWE (RWE) Q2 2024 earnings summary

Executive summary

• Achieved strong financial performance in H1 2024, with adjusted EBITDA of €2.9 billion and adjusted net income of €1.4 billion, driven by renewables growth and rapid decarbonization.

• Over 10 GW of capacity under construction, with 0.7 GW commissioned and 2.9 GW of renewables projects reaching FID.

• Record renewables electricity production up 20% year-over-year to 26 TWh, now 45% of total output; five lignite units (2.1 GW) closed.

• CO2 emissions reduced by 27% year-over-year, with 95% of activities taxonomy aligned.

• Confirmed commitment to long-term decarbonization targets and the Growing Green strategy.

Financial highlights

• Adjusted EBITDA reached €2.9 billion in H1 2024, down 30% from H1 2023 due to normalization after an exceptional prior year.

• Adjusted net income was €1.4 billion, exceeding 70% of full-year guidance but down from €2.4 billion in H1 2023.

• Net investments totaled €4.5 billion in H1, with 95% taxonomy aligned.

• Net debt increased to €11.4 billion, mainly due to growth investments and timing effects.

• Adjusted operating cash flow was €1.5 billion, influenced by seasonal working capital effects.

Outlook and guidance

• Full-year 2024 guidance confirmed at the lower end: Adjusted EBITDA €5.2–5.8 billion, Adjusted EBIT €3.2–3.8 billion, Adjusted net income €1.9–2.4 billion.

• Dividend target set at €1.10 per share for FY 2024.

• Segmental EBITDA guidance: Offshore Wind €1,450–1,850m, Onshore Wind/Solar €1,500–1,900m, Flexible Generation €1,800–2,200m, Supply & Trading €100–500m.

• EPS target of about €2.6–3.0 per share for 2024, aiming for €4 per share by 2030.

• Confident in achieving guidance based on H1 performance.