Ignitis grupe (IGN1L) H2 2025 earnings summary

Executive summary

• Adjusted EBITDA reached €546.1 million in 2025, up 3.4% year-over-year and above guidance, with investments totaling €720.3 million, mainly in Networks and Green Capacities.

• Installed green generation capacity increased by 0.7 GW to 2.1 GW, with major wind and solar projects completed and 1.3 million smart meters rolled out.

• Completed debut asset rotation, selling 49% of Vilnius CHP for €120 million at a 4.6x equity multiple.

• Dividend per share set at €1.366, a 3% increase year-over-year, in line with policy.

• S&P reaffirmed BBB+ credit rating with stable outlook; Supervisory Board expanded and renewed.

Financial highlights

• Revenue rose 8.3% year-over-year to €2,497.7 million; adjusted EBITDA grew 3.4% to €546.1 million, exceeding guidance.

• Adjusted net profit declined 19% to €226 million, while reported net profit fell 40.7% to €163.9 million due to lower Customers & Solutions results and higher expenses.

• Investments totaled €720.3 million, with 53% allocated to networks and 40% to green capacities.

• Net debt increased 18.6% to €1,912.0 million; Net Debt/Adjusted EBITDA at 3.50x.

• Free cash flow remained negative at –€192.0 million, reflecting high investment activity.

Outlook and guidance

• 2026 adjusted EBITDA guidance: €550–600 million; investments expected at €590–690 million, focusing on networks and flexibility.

• Growth anticipated in Networks and Customers & Solutions; Green and Reserve Capacities expected to remain stable.

• Investments to be more selective, reflecting disciplined capital allocation.