Endesa (ELE) Q3 2025 earnings summary

Executive summary

• Achieved strong financial and operational results for the first nine months of 2025, with revenue up 1.2% to €15,948 million, net profit rising 21.9% to €1,711 million, and EBITDA up 8.8% to €4,224 million, demonstrating resilience in a complex market environment.

• Confirmed on track to reach the upper range of full-year 2025 guidance for both EBITDA and net income, supported by robust cash generation and a resilient business model.

• Continued focus on shareholder returns through a share buyback program, with €459 million executed and a third tranche of up to €500 million to be completed by February 2026.

• Strategic acquisitions included the remaining 62.5% of Cetasa and E-Generación Hidráulica, S.L.U., expanding wind and hydro assets.

• Installed renewable capacity expanded 9% to 10,932 MW, and public/private charging stations increased 14.2% to 25,593 units.

Financial highlights

• EBITDA reached €4.224 billion, up 8.8% year-on-year; net income was €1.711 billion, up 21.9% year-on-year; FFO rose to €3.437 billion, a 28.8% increase year-on-year.

• Gross margin up 9% to €5.8 billion; EBIT up 10.7% to €2.545 billion.

• Net financial debt stood at €10.334 billion, with a net debt/EBITDA ratio of 1.8x and cash generation covering CapEx and shareholder returns.

• Average cost of debt declined to 3.3%.

• Net ordinary income to EBITDA conversion ratio reached 41% for the period.

Outlook and guidance

• Confident in achieving the top end of full-year 2025 guidance: EBITDA €5.4–5.6 billion, Net Income €1.9–2.0 billion.

• Integrated unitary margin expected to remain at around €53 per MWh for the year.

• 2026 integrated margin expected to be in line with 2025, despite potential normalization in hydro and renewables.

• Electricity demand in Spain grew 2.4% year-on-year, with forward market prices expected to remain high through year-end.

• System Operator to maintain reinforced grid stability measures until at least 2026, supporting higher ancillary service costs.