In This Article:
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Adjusted EBITDA: EUR3.7 billion for the first 9 months of 2024.
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Adjusted Net Profit: EUR1.3 billion for the first 9 months of 2024.
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Renewables Adjusted EBITDA: EUR876 million, impacted by lower realized electricity prices.
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Thermal Generation and Trading EBITDA: EUR1.1 billion, affected by lower power and commodity prices.
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System Critical Infrastructure EBITDA: EUR1.8 billion, a 24% increase from the previous year.
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Smart Infrastructure for Customers EBITDA: EUR233 million, with slight increase due to reduced one-off effects.
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Capital Expenditures: Almost EUR3.9 billion, a 40% increase from the previous year.
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Retained Cash Flow: Almost EUR1.5 billion for the first 9 months of 2024.
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Net Debt: Increased by 14% to EUR13.3 billion.
Release Date: November 12, 2024
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
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EnBW Energie Baden-Wuerttemberg AG (XTER:EBK) reported a solid financial performance with an adjusted EBITDA of EUR3.7 billion and adjusted net profit of EUR1.3 billion for the first nine months of 2024.
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The company maintained its full-year EBITDA guidance for 2024 across all segments and at the group level.
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EnBW received an upgrade in its sustainability rating from MSCI, entering the ESG leader category, particularly for its environmental achievements.
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The company successfully issued two green senior bonds totaling $1 billion on the Australian capital market, marking the first Kangaroo bond issuance by a German utility.
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EnBW is on track with its green growth projects, with around 1.5 gigawatts of renewable energy projects under construction, including significant offshore wind and solar projects.
Negative Points
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The company experienced a decrease in adjusted EBITDA from renewables due to persistently lower realized electricity prices, particularly from pump storage.
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There was a reduction in volumes of energy sold in the B2B gas business, attributed to margins not fitting the overall risk profile.
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Net debt increased by 14% to EUR13.3 billion, driven by significant net cash investments totaling EUR3.4 billion.
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The decline in retained cash flow year-on-year was driven by higher dividends paid and non-cash items reflected in prior years' adjusted EBITDA.
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Increased personnel expenses were noted in both transmission and distribution grid businesses, attributed to tariff increases and hiring of additional personnel.
Q & A Highlights
Q: What is the impact of the elections on the EUR3 billion capital increase planned for 2025? A: The elections do not have any direct impact on the capital increase. The funding is expected from the state of Baden Wurttemberg and municipalities, not the federal level, so there is no risk from the current federal situation. (Thomas Kusterer, CFO)