Fortum (FORTUM) Investor presentation summary

Strategic priorities and market positioning

• Focus on reliable energy delivery, decarbonisation, and customer-centric solutions, with strong values of aiming high, care, and collaboration.

• Nordic market offers low-carbon, affordable electricity, skilled workforce, and robust infrastructure, attracting new demand, especially from data centres and industry.

• Power generation is dominated by nuclear (52%) and hydro (44%), with a flexible, optimised fleet and specific emissions of 8 gCO2/kWh.

• Ready-to-build renewables pipeline of ~8 GW, targeting 1.2 GW by 2028, and new flexibility solutions to meet evolving customer needs.

• Strategic capital allocation balances €2.0 bn in capex (2026–2030) between maintenance and growth, with a dividend payout ratio of 60–90%.

Financial performance and outlook

• Achieved power price in Q2 2026 was €44.9/MWh, with a higher blended market price of €53.1/MWh and a robust financial position.

• Comparable operating profit for H1 2026 increased to €627 million, net cash from operating activities at €863 million, and net debt/EBITDA at 1.4x.

• Generation segment saw higher spot prices and hydro volumes, while Consumer Solutions faced higher fixed costs; Other Operations improved due to lower costs.

• Outlook: 80% of 2026 generation hedged at €40/MWh, optimisation premium of €8–10/MWh for 2026, and committed capex of €550 million for 2026.

• Solid credit ratings (BBB+), liquidity reserves of €6.5 bn, and a focus on maintaining investment grade status.

Sustainability and climate targets

• SBTi-validated, 1.5°C-aligned climate targets, with a coal exit by 2027 and specific emissions target below 10 gCO2/kWh by 2028.

• Net-zero GHG emissions across the value chain by 2040, with ambitious reductions in Scope 1, 2, and 3 emissions.

• Biodiversity targets include net positive impact on land use by 2030 and increased ecological value in river stretches by 2040.

• Transition plan includes significant decarbonisation in own operations and value chain, with a 49% planned emission reduction in Scope 1–3 by 2030.

• Sustainability is integrated into strategy, operations, and capital allocation decisions.