Iren (IRE) Q2 2026 earnings summary

Executive summary

• EBITDA grew by 1% to €732 million in H1 2026, supported by regulated and semi-regulated activities (72–73% of EBITDA), organic growth, and efficiency synergies, despite adverse weather and lower hydro generation.

• Revenue declined 6.6–7% year-over-year to €3,257 million, mainly due to lower energy volumes and reduced eco-bonus incentives.

• Net profit was €181.8–€188.8 million, broadly stable year-over-year, impacted by higher depreciation and tax rates.

• Investments rose 4% to €409 million, with a focus on regulated sectors and local resilience.

• Cash generation and stable cost of debt (2.36–2.4%) enabled funding of investments and shareholder remuneration.

Financial highlights

• EBITDA reached €732 million (up 0.8–1% y/y), with margin improvement to 22.5% from 20.8%.

• Operating profit (EBIT) was €318.5 million, down 2.4% year-over-year.

• Operating cash flow was €512–€543.4 million, fully funding €408.7–€410 million in investments.

• Net financial debt increased by 1–1.3% to €4,275.9–€4,276 million, mainly due to dividend payments and working capital.

• Dividend payments totaled €189 million, with €0.1386 per share paid in June 2026.

Outlook and guidance

• H2 2026 is expected to deliver improved results versus H2 2025, with growth skewed to Q4 and continued investment in regulated sectors.

• 2026 guidance: hydroelectric production revised down to 1,050 GWh, EBITDA growth of ~3%, net income growth of ~2%, technical investments of ~€950 million, and net debt/EBITDA at ~3.1x.

• Efficiency synergy plan expected to generate €20 million in benefits by year-end.

• Key risks include commodity price volatility, inflation, interest rate increases, and regulatory changes.