Fortum (FORTUM) Q4 2025 earnings summary

Executive summary

• 2025 featured strong optimisation premiums and solid achieved power prices, but lower generation volumes due to unplanned nuclear outages impacted profitability.

• Efficiency programme concluded, reducing annual fixed costs by €100 million and setting a run rate of €870 million from 2026.

• Renewables pipeline expanded to ~8 GW in permitting; acquisitions in Poland and Finland advanced strategic goals.

• 99% of power generation from renewable or nuclear sources; SBTi-validated net zero target by 2040.

• Dividend of €0.74/share proposed, representing a 90% payout of comparable EPS, to be paid in April 2026.

Financial highlights

• Comparable operating profit for 2025 declined to €924 million from €1,178 million; comparable EBITDA was €1,240 million, down from €1,556 million.

• Comparable EPS dropped to €0.82 from €1; operative cash flow fell to €840 million from €1.4 billion.

• Q4 comparable EPS increased to €0.23 from €0.18; Q4 comparable operating profit was €251 million.

• Net profit after non-controlling interests was €765 million (2024: €1,164 million).

• Sales for 2025 were €4,989 million, down from €5,800 million in 2024.

Outlook and guidance

• 2026 hedge price €41/MWh (75% hedged); 2027 hedge price €40/MWh (55% hedged).

• Optimisation premium guidance: €8–10/MWh for 2026, €6–8/MWh from 2027 onwards.

• CapEx guidance: €550 million for 2026; €2 billion for 2026–2030, with €750 million for growth.

• Fixed cost base for 2026 set at ~€870 million.

• Effective tax rate guidance: 18–20% for 2026.