EDPR reaches a profit of 265 million euros in the first half of the year, 87% more than last year

EDP ​​Renewables (Euronext: EDPR), the fourth largest energy producer in the world, reaffirms its positive business trend announced at the beginning of the year and achieves a net profit of 265 million euros in the first half of 2022, 87% more like last year.

Also the positive performance is reflected by EBITDA with 976 million euros, up 49% compared to last year and EBIT which is 640 million euros, 76% more than last year, supported by the performance at the highest level. Operational results evolved positively in the first half of the year. This performance is supported by a 16% increase in generation capacity and was driven by additional installed capacity and stronger renewable resources.

EDPR also reached a record capacity under construction of 3.2 GW as of June 22 (with 1.8 GW wind and 1.3 GW solar), based on new generation capacity to be added in 2022 and 2023. Installed capacity reached 13.8 GW (1.2 GW compared to the same period last year), where Europe and North America represent respectively 40% and 51% of the portfolio. EDPR now has a more diversified generation technology with 12.2 GW of onshore wind, 1.3 GW of solar and 1.5 GW of gross offshore wind in operation. It is worth noting that in the last 12 months EDPR added 2.5 GW of generation capacity.

Following the completion of asset rotation transactions in the United States and Portugal in the second half of 2021 and in Portugal and Spain in the first half of 2022, net capacity compared to last year increased by 1.2 GW. In the first half of 2022, the added generation capacity reached 0.6 GW, mainly driven by the successful integration of Sunseap’s assets in APAC, which now represent 3% of EDPR’s portfolio. Asset turnover amounted to 0.3 GW in Europe. EDPR generated 17.8 TWh of clean energy in the first half of 2022 (an increase of 16% compared to last year), saving 11 million tons of CO2 emissions, of which production in Europe accounted for 36% while North America brought 57%. Production in Europe increased by 10% compared to last year, thanks to higher installed capacity and the stability of renewable resources. In North America, production is up 12% year-on-year, reflecting better use of renewable resources in the US and Canada. In South America, production rose 111% year-over-year due to higher installed capacity in Brazil, partially offset by lower renewable resources.

In the first half of 2022, EDPR reached a load factor of 33% (up 2 percentage points year-on-year), reflecting a renewable energy index 2% higher than the previously considered long-term average gross capacity factor (increasing by 7 percentage points year-on-year).

According to Miguel Stilwell d’Andrade, CEO of EDP Renewables:

“Despite the complexity of the current context, we have continued to follow the roadmap set out in our 2021-2025 strategic plan. The solid operating results recorded in the first half of the year, together with the increase in our installed capacity as well as the record capacity under construction, are a true reflection of the resilience and strength of the company. We also delivered strong financial performance with significant growth across our global footprint, not just in revenue but also in net profit. We will continue to bring value to our partners and society as a whole.”

EDPR recorded revenues of 1,237 million euros (a 45% increase compared to the same period last year), i.e. 381 million euros more than the previous year. The average selling price increased by 27% compared to last year, mainly due to higher market prices in Europe and the impact of the update of the Spanish regulatory framework. Other operating income amounted to EUR 134 million (EUR 6 million less year-on-year), mainly related to asset rotation transactions concluded in Poland and Spain. In the context of EDPR’s continued growth, operational costs (Opex) totaled 463 million euros (up by 132 million euros year-on-year), and consider the initial costs to support the expected growth for the coming years. In comparable terms, Core Opex per average MW adjusted for offshore, one-off, service charges and forex costs increased by 15% compared to last year.