Naturgy Energy Group (NTGY) Q3 2025 earnings summary

Executive summary

• Achieved robust operational performance in the first nine months of 2025, maintaining resilience amid geopolitical and market volatility, with results on track to meet 2025 guidance.

• Free float increased from 10% to 18.7%, significantly improving share liquidity and enabling MSCI index inclusion.

• Strong balance sheet and flexibility supported by solid cash flow and low leverage, with free cash flow after minorities nearly doubling to €2,151m.

• Dividend policy revised upward, targeting a minimum DPS of €1.70 in 2025, €1.80 in 2026, and €1.90 in 2027, subject to credit rating.

• Renewables capacity expanded to 7.8GW, with 1.5GW under construction and significant progress in decarbonization initiatives.

Financial highlights

• EBITDA for 9M25 was €4,214m, nearly flat year-over-year, with net income up 5.6% to €1,668m.

• Net sales increased 4.8% to €14,586m, supported by higher energy prices.

• Free cash flow after minorities was €2,151m, more than doubling year-over-year.

• Net debt stood at €12,913m, with a net debt/EBITDA ratio of 2.4x.

• Dividend payments totaled €1.1bn YTD, with a second interim dividend of €0.60 per share approved.

Outlook and guidance

• Reaffirmed 2025 guidance: EBITDA above €5,300m, net income above €2,000m, and DPS of at least €1.70/share.

• Net debt outlook improved to approximately €13,000m by year-end 2025.

• Net debt to EBITDA ratio projected at 2.3x by year-end 2025.

• Strategic focus remains on regulatory engagement, operational excellence, and selective growth in renewables and biomethane.

• Short-term priorities include regulatory management, selective renewable growth, and proactive risk management in energy procurement.