ACEA (ACE) H2 2024 earnings summary

Executive summary

• Achieved record 2024 results with all-time high EBITDA (€1,557m, +12%) and net profit (€332m, +13%), surpassing business plan targets a year ahead.

• Strong organic growth in regulated businesses, with 87% of recurring EBITDA and 91% of investments in regulated segments.

• Major infrastructure projects advanced, including water and grid investments, international expansion in Peru, and entry into new regions (Liguria, Sicily).

• Fitch upgraded outlook to stable, confirming BBB+ rating in March; significant sustainability ratings achieved.

• Strategic asset moves included sale of HV grid and corporate reorganizations.

Financial highlights

• EBITDA reached €1,557m (+12%); recurring EBITDA €1,515m (+11%); net profit €332m (+13%); recurring net profit €330m (+18%).

• Revenues at €4.3bn (+5%) or €4,270m (-8% vs 2023), mainly due to energy price declines.

• CapEx totaled €1,439m (+26%), with €1,179m net of grants (+19%).

• Operating cash flow was €373m, up €225m from 2023.

• Net debt/EBITDA improved to 3.18x (from 3.49x in 2023), with net debt at €4,847m.

Outlook and guidance

• 2025 EBITDA expected to grow by 2–3% versus restated 2024 (€1,515–1,557m).

• CapEx guidance for 2025 at ~€1.6bn (net of subsidies: €1.2bn), another record.

• Net debt/EBITDA forecasted at 3.4–3.5x, factoring in HV grid sale proceeds.

• Guidance incorporates approved tariffs, regulatory changes, and excludes HV grid EBITDA pre-sale.

• Dividend policy targets 4% organic growth over five years, with 2024 payout as new base.