Enel Chile (ENIC) Q2 2025 earnings summary

Executive summary

• EBITDA for H1 2025 rose 10.4% year-over-year to $659 million, reflecting operational resilience, cost reductions, and strong gas trading and thermal generation, despite hydro volatility and lower energy sales.

• Net income for H1 2025 was $246 million, down 7.8% year-over-year, mainly due to higher depreciation, amortization, impairments, and financial expenses.

• Grid resilience and winter programs advanced, with remote control systems and vegetation management to improve reliability.

• Regulatory updates include VAD 2024-2028, new BESS ancillary services regulation expected in Q3 2025, and tariff decrees published.

• Construction of 0.5 GW BESS projects in northern Chile to launch, reinforcing commitment to both regulated and free market segments.

Financial highlights

• H1 2025 EBITDA reached $659 million, up 10.4% year-over-year; Q2 2025 EBITDA was $293 million, down 3.4% from Q2 2024.

• Net income for H1 2025 was $246 million, down 7.8% year-over-year; Q2 net income was $71 million, down 35% from Q2 2024.

• FFO for H1 2025 was $403 million, a 7.8x increase year-over-year, supported by $261 million from stabilization energy mechanism factoring.

• CapEx totaled $157 million in H1, with 40% allocated to grids, 31% to thermal, and 29% to renewables and storage.

• Gross debt at June 2025 was $3.97 billion, with average cost of debt at 4.9% and 86% at fixed rate.

Outlook and guidance

• Hydro generation guidance for 2025 maintained at 10.7–11 TWh, supported by strong reservoir levels and expected snowmelt.

• Full-year 2025 guidance for EBITDA, net income, and payout confirmed despite challenging market conditions.

• Gas trading margin guidance for 2025 set at $80–90 million, with sustainability expected in coming years depending on market conditions.

• BESS projects (453 MW, 4-hour duration) to be completed by 2027, with $400 million investment.

• Regulatory changes allow for gradual tariff increases for regulated customers, ending debt accumulation by generators and enabling recovery of balances under stabilization mechanisms.