Ignitis grupe (IGN1L) Q1 2025 earnings summary

Executive summary

• Adjusted EBITDA rose 3.7% YoY to EUR 188.5 million, driven by Green Capacities and Networks, with Green Capacities contributing 58% of EBITDA.

• Adjusted net profit declined 4.3% to EUR 107.8 million due to higher interest and depreciation expenses.

• Strategic plan for 2025-2028 targets 2.6-3 GW installed green capacity by 2028 and 4-5 GW by 2030, with EUR 3-4 billion investments planned.

• Maintained robust balance sheet with net debt to adjusted EBITDA at 2.98x.

• Major project completions included Kelmė Wind Farm I (114.1 MW) reaching COD and smart meter installations surpassing 1.1 million.

Financial highlights

• Revenue rose 18.3% YoY to EUR 772.8 million; adjusted EBITDA reached EUR 188.5 million (+3.7% YoY); adjusted net profit EUR 107.8 million (-4.3% YoY).

• Investments totaled EUR 146.5 million (-30.1% YoY), with 48.7% in green capacity and 44.7% in networks.

• Free cash flow was positive at EUR 16.7 million, up from EUR 5.0 million in 3M 2024.

• Dividend of EUR 0.663 per share for H2 2024 (EUR 48.0 million) paid in April 2025.

• Net debt reduced to EUR 1,593.3 million (-1.2% vs year-end 2024); leverage metrics remain strong.

Outlook and guidance

• 2025 adjusted EBITDA guidance reiterated at EUR 500-540 million; investment guidance at EUR 700-900 million.

• Strategic plan targets 2.6-3 GW installed green capacity by 2028 and 4-5 GW by 2030, with EUR 3-4 billion investments for 2025-2028.

• Dividend policy: minimum 3% annual growth, with implied yield of 6.4-7.0% for 2025-2028.

• 2028 adjusted EBITDA expected at EUR 600-680 million, with 6.5%-7.5% ROCE targeted.

• Negative result expected in B2C electricity supply due to adverse prosumer effects.