ACEA (ACE) Q2 2026 earnings summary

Executive summary

• Regulatory environment remained favorable, with positive tariff approvals in water and electricity segments and ongoing updates in the environment business.

• Achieved solid 1H 2026 results with revenues and EBITDA both up 4% year-over-year on a pro-forma basis, and organic net profit up 16% year-over-year, driven by regulated business growth and strategic asset rotation.

• Completed the disposal of ACEA Energia and acquired Aquanexa Group, with the capital gain from the sale significantly boosting net profit.

• Fitch confirmed BBB+ rating with a stable outlook, and the group entered the top 20 employers in Italy for 2026.

• The Board confirmed 2026 guidance and announced an upcoming shareholders' meeting to address governance changes.

Financial highlights

• Pro-forma revenues reached €1.6bn, with approximately €1.2bn from regulated businesses.

• Pro forma organic EBITDA grew 4% year-over-year to €719 million, driven by regulated businesses (95% of total EBITDA).

• Net profit reached €454 million, significantly up year-over-year, boosted by a €269 million capital gain from the ACEA Energia disposal.

• Organic net profit (excluding non-recurring items) rose 16% to €176 million.

• Gross CapEx totaled €663 million, flat year-over-year, with 91% allocated to regulated activities.

• Net financial debt stood at €5.18 billion, up from €4.963 billion at year-end 2025, mainly due to seasonal working capital dynamics.

Outlook and guidance

• Full-year 2026 guidance confirmed: EBITDA growth of 3%-5%, gross CapEx of approximately €1.5 billion, and net debt/EBITDA ratio between 3.5-3.6 times.

• Management expects to reach the high end of the guidance range, with environmental business performance set to accelerate in H2 as plant maintenance concludes.

• Working capital absorption expected to be neutral by year-end, offsetting early-year outflows.

• Strategic focus remains on sustainable infrastructure in regulated markets and maintaining a robust financial structure.