Ørsted (ORSTED) Q4 2025 earnings summary

Executive summary

• 2025 marked a pivotal year with a sharpened strategy focusing on offshore wind in core European and select APAC markets, stepping away from previous long-term capacity ambitions.

• Four strategic priorities guided actions: strengthening capital structure, delivering on the 8.1 GW offshore wind construction portfolio, disciplined capital allocation, and organizational efficiency.

• Completed rights issue and finalized partnership/divestment program, securing DKK 46bn in proceeds across 2025 and 2026.

• Fully commissioned Gode Wind 3 and delivered first power at Greater Changhua 2b & 4 and Borkum Riffgrund 3.

• Major framework agreements, such as the North Sea Pact and Bornholm Energy Island, support future offshore wind growth and energy security.

Financial highlights

• EBITDA (excluding new partnerships and cancellation fees) reached DKK 25.1 billion for 2025, in line with guidance, driven by strong offshore availability rates (93%).

• Net profit for 2025 was DKK 3.2 billion, primarily from operational performance.

• Q4 2025 EBITDA was DKK 8.1 billion, up DKK 500 million year-over-year, but net profit was negative DKK 3.4 billion due to impairments and non-cash impacts.

• Proceeds from divestments and partnerships totaled DKK 46 billion, exceeding the DKK 35 billion target.

• Renewable share of generation at 99%, meeting 2025 target.

Outlook and guidance

• 2026 EBITDA expected to exceed DKK 28 billion, with offshore earnings benefiting from new project ramp-ups and normalized wind speeds.

• Over 2.5 GW of offshore wind capacity to be commissioned across three continents in 2026.

• Gross investments for 2026 projected at DKK 50–55 billion, with committed capital of DKK 145 billion for 2025–2027.

• ROCE target: ~11% for 2026–2027, above 13% for 2028–2030.

• Plan to reinstate dividend for the financial year 2026.