EDP (EDP) Investor presentation summary

Strategic overview and investment plan

• Integrated utility with core operations in Iberia and Brazil, and a strong renewables presence in the US and EU, targeting ~90% renewables in total generation by 2025.

• €12bn gross investment plan for 2026-28, focused on US renewables and Iberian regulated networks, with ~80% of investments in A-rated markets and ~80% of EBITDA from regulated or long-term contracted/hedged activities.

• Asset rotation and disposals, US tax credits, and organic cash flow partially fund investments, supporting a sound dividend policy and deleveraging.

• Business model emphasizes value over volume, low-risk growth, and predictable cash flows, with >60% of contracted NPV and attractive project IRRs (9-10% for renewables, 8-9% for regulated networks).

• Upgraded 2026 EBITDA guidance by 5% to ~€2.2bn, reflecting improved asset rotation gains and underlying performance.

Regional performance and market context

• Iberia benefits from improved sovereign credit, competitive electricity prices, and strong demand growth, especially in Portugal (+12% since 2016), with data center expansion as a key driver.

• Renewables are the backbone of Europe's energy transition, with ~95% of 2025 capacity additions from wind, solar, and BESS; Iberia offers lower regulatory and price volatility.

• US market sees robust electricity demand (+2-3% CAGR 2025-35), record renewables capacity additions, and rising PPA prices, with >20 GW pipeline and strong commercial activity.

• Brazil provides stable, inflation-linked returns, extended concessions, and a supportive regulatory environment, with ~70% of EBITDA from electricity networks.

Segment breakdown and operational highlights

• Electricity networks: €3.6bn investment plan for 2026-28, driving RAB and earnings growth, especially in Iberia and Brazil; new regulatory periods boost investment and EBITDA.

• Renewables (EDPR): 20.4 GW installed capacity (85% in US/EU), ~70% long-term contracted, €7.5bn investment plan (60% in US), and >60% of 2026-28 capacity additions already secured.

• FlexGen & Clients: High-quality hydro and CCGT portfolio in Iberia, with growing flexibility revenues and premium over baseload, mitigating price/volume normalization.

• ESG: >90% renewable generation by 2026-28, net zero by 2040, strong emissions reduction, and 83% sustainable financing as of Mar-26.