Enel (ENEL) Q2 2025 earnings summary

Executive summary

• Revenue increased 5.4% year-over-year to €40,816 million, driven by higher commodity prices and grid contributions, especially in Spain and Argentina.

• Net ordinary income rose 4–4.4% year-over-year (like-for-like), reflecting solid financial performance and risk reduction initiatives.

• Ordinary EBITDA reached €11.5 billion, up 0.9–1% like-for-like, with margin pressure in Italy offset by grid and trading gains in Spain.

• A share buyback program up to €1 billion was launched for August–December 2025, enhancing shareholder returns alongside a solid dividend policy.

• Strategic focus on decoupling from power price volatility, increasing regulated asset visibility, and advancing renewables and brownfield acquisitions in Australia, U.S., and EU.

Financial highlights

• Revenue: €40,816 million (+5.4% YoY); ordinary EBITDA: €11,468 million (+0.9% like-for-like); reported EBITDA: €11,092 million (-11.6% YoY due to disposals).

• Net ordinary income: €3,823–4,000 million, up 4–4.4% year-over-year; net income attributable to owners: €3,428 million (-11–17.3% YoY, impacted by disposals).

• Net financial debt: €55,447 million, down 0.6% from December 2024, with net debt/EBITDA at 2.4–2.5x.

• Capex: €4,528 million (-14.2% YoY), with 69% allocated to grids and 16% to renewables.

• FFO adjusted at €6.7 billion for H1 2025; FFO/Net Debt ratio stable at 26%.

Outlook and guidance

• 2025 guidance confirmed: ordinary EBITDA €22.9–23.1 billion, net ordinary income €6.7–6.9 billion.

• Strategic plan (2025–2027) targets €43 billion gross investments, with €26 billion for grids and €12 billion for renewables.

• Dividend policy: minimum €0.46/share annually, with potential payout up to 70% of net ordinary income.

• Share buyback program up to €1 billion, running August–December 2025.

• FX and regulatory headwinds expected, but operating performance and cost controls to offset impacts.