A2A (A2A) H1 2024 earnings summary

Executive summary

• H1 2024 delivered strong financial and operational results, with EBITDA up 45% to €1,279 million, driven by renewables, high plant efficiency, and effective hedging.

• Over 60% of generation came from renewables, with significant new photovoltaic capacity and waste-to-energy included.

• All business units performed well, with notable growth in Generation, Market, and Smart Infrastructures.

• Strategic asset disposals and acquisitions, including the Enel and Ascopiave deals, are reshaping the business focus.

• Issued inaugural €750M green hybrid bond, reinforcing sustainable finance and credit rating.

Financial highlights

• Revenues fell 24% year-over-year to €6,091 million, while ordinary EBITDA grew 46% to €1,279 million, mainly from Generation and Market segments.

• Group net income increased 75% to €489 million; ordinary net income up 86% to €478 million compared to H1 2023.

• Capex rose by 12% to €553 million, focused on networks, renewables, and decarbonization, with 78% aligned to SDGs/EU taxonomy.

• Net financial position improved to €4,019 million at end-June, with leverage at 1.7x (2.0x excluding hybrid bond).

• Net working capital at €240 million, reflecting lower gas purchases and improved credit management.

Outlook and guidance

• 2024 EBITDA guidance raised to €2.18–2.22 billion; net ordinary income expected at €700–720 million.

• 2025 outlook includes €80 million additional EBITDA from capacity market and €100 million from Enel transaction.

• Capacity market revenues expected to remain above €200 million through 2027, with Monfalcone plant contributing from mid-2026.

• Retail EBITDA expected to rise in 2025 as retention campaign costs subside.

• Company remains on track to achieve strategic plan targets through sustainable growth.