A2A (A2A) Q1 2025 earnings summary

Executive summary

• Revenues rose 16% year-over-year to €3,968M, driven by Duereti consolidation and higher energy prices, but EBITDA declined 4% to €675M due to normalization of hydroelectric output; adjusted EBITDA up 1%.

• Net income fell 13% to €257M; adjusted for hydraulicity, net income down 5%.

• Strategic progress in energy transition, circular economy, and smart infrastructures, including new PPAs, EV charging, and plant acquisitions.

• Enlarged regulated perimeter and optimized organization increased regulated EBITDA share to 31%.

• Financial structure remains sound with improved net financial position and NFP/EBITDA ratio at 2.4x.

Financial highlights

• Revenues: €3,968M (+16% YoY); EBITDA: €675M (-4% YoY); EBIT: €415M (-11% YoY); Net income: €257M (-13% YoY).

• CapEx increased 37% to €335M, with 72% taxonomy-eligible and 82% of debt in ESG format.

• Operating cash flow covered investments; net financial position improved to €5,616M, NFP/EBITDA at 2.4x.

• Cash conversion rate above 60%, exceeding business plan targets.

• Net working capital increased by €499M, mainly from seasonal trade receivables.

Outlook and guidance

• 2025 EBITDA guidance confirmed at €2.17–2.20B; net income (excl. non-recurring) at €680–700M.

• Increased share of regulated activities enhances earnings visibility.

• Hydro production expected to normalize to 10-year average (4.1 TWh) for 2025.

• CapEx deployment and supply chain effectiveness support growth and resilience.

• Diversified asset portfolio and financial flexibility position the group to achieve plan targets amid market volatility.