Enel: half-year profit just under 1.7 billion, investments + 22%

Enel half year profit just under 17 billion investments 22

(Finance) – Is in the the first half of the year ended with a slight decline in profits and robust growth in investments. The ordinary net result amounted to € 2,109 million, compared to € 2,299 million in the first half of 2021 (-8.3%), while the Group net result came to 1,693 million euros, compared to the 1,778 million euros in the first half of 2021 (-4.8%).

“The first half of 2022 was characterized by an adverse geopolitical, energy and economic context which, however, had no consequences on the execution of our Strategic Plan presented in November 2021”, he commented. Francesco StaraceCEO of the Enel Group, announcing the confirmation of the guidance for 2022 and of dividend policy.

The difficulties in energy supply and the rise in energy prices – reads the note accompanying the accounts for the half year – has prompted the European authorities “to continue adopting policies to contain electricity prices“that have turned out”penalizing for companies operating in the sector generation and sale of electricity “, but Enel” benefited in the first half of 2022 from its geographical diversification, combined with an integrated business model along the value chain “.

During the conference call on the results, the manager added that “unless a gas agreement is reached, prices are expected to remain in tension for two years“. About the price cap on gas, Starace said that “it would be a mistake” and he ruled out that it is “on the radar”, even though there is the likelihood that other countries such as Spain will set a cap and “this will lead to a proliferation of caps that would be difficult to understand and manage”.

In the semester, i revenues of 67,258 million euros mark a strong increase of 85.3% compared to 36.2911 million euros in the first half of 2021, benefiting from the good performance of all business sectors, the greater quantities of electricity and gas sold and the increasing average prices and the greater quantities of electricity produced. The change is also affected by the income realized from the partial sale of the investment in Ufinet.

EBITDA ordinary amounts to 8,298 million euros, up by 1.6% compared to 8,4362 million euros in the first half of 2021. EBIT stood at 3,902 million euros, down by 12.3% compared to 4,4472 million euros in the first half of 2021 due to higher amortization, value adjustments and credit write-downs.

The investments of € 5,889 millionresult in 22.4% increase compared to 4,813 million euros in the first half of 2021, concentrated on Enel Green Power and Infrastructures and Networks and Final Markets. “During the period, we increased our investments in renewable sources and distribution networks”.

Net financial debt amounted to 62,238 million euros, an increase compared to the 51,952 million euros at the end of 2021 (+ 19.8%), mainly attributable to investments in the period and the acquisition of ERG Hydro. “The Group’s financial position remains solid”, confirms Starace,

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