A2A (A2A) Q2 2025 earnings summary

Executive summary

• Revenues rose 13% year-over-year to €6,891 million, driven by higher energy prices, consolidation effects, and asset rotation toward electricity grids.

• EBITDA declined 4% to €1,223 million, mainly due to normalization of hydroelectric production; adjusted EBITDA up 2%.

• Net profit fell 11% year-over-year to €434 million; adjusted for hydro and special items, net profit increased 1%.

• Major investments and acquisitions in renewables, district heating, and infrastructure supported growth; first data center connected to district heating network.

• Employee stock ownership plan launched with 86% participation; €313M dividend paid, up 4% year-over-year.

Financial highlights

• Revenues: €6,891 million (+13% year-over-year); EBITDA: €1,223 million (-4%); Net profit: €434 million (-11%).

• Capex rose 23% to €681 million, with 85% aligned to SDGs and 72% to energy transition.

• Net financial position improved by €510 million to €5,325 million; NFP/EBITDA ratio reduced to 2.3x from 2.5x.

• Cash flow from operations fully funded investments and dividends, with €126M net cash flow and a cash conversion rate above 65%.

• Operating costs rose 19% to €5,203 million, reflecting commodity price trends.

Outlook and guidance

• 2025 guidance confirmed at the upper end: EBITDA €2.17–2.20B, net ordinary income €0.68–0.70B, excluding non-recurring items.

• Strategy remains CapEx-driven, with double-digit CapEx growth on track with the industrial plan.

• Solid year-end NFP/EBITDA expected at ~2.5x; strong cash flow generation with >65% cash conversion.

• Management remains prudent despite a strong H1, citing market uncertainties.

• Focus on regulated networks, renewables, and circular economy investments.