RWE (RWE) Q3 2024 earnings summary

Executive summary

• €6.9 billion invested in the first nine months of 2024, with 95% taxonomy-aligned and 11.2 GW under construction at an average IRR of 8.2%.

• Adjusted EBITDA for the first three quarters was €4.0 billion, reflecting normalization after an exceptional 2023.

• Adjusted net income reached €1.6 billion, surpassing 85% of the lower end of guidance.

• Capital allocation reassessed, with net cash investments for 2025/26 reduced to €7 billion per year and a new share buyback program up to €1.5 billion over 18 months.

• Secured rights to two major offshore wind projects in the German North Sea and won UK renewables contracts, expanding the renewables portfolio.

Financial highlights

• Adjusted EBITDA for 9M 2024 was €3,976 million, down 30% year-over-year.

• Adjusted net income for 9M 2024 was €1,641 million; net income (IFRS) increased to €5,169 million due to non-operating gains.

• Adjusted operating cash flow for 9M 2024 was €1,795 million; free cash flow was negative at -€5,638 million.

• Net debt rose to €12.2 billion, mainly due to growth investments and timing effects.

• Offshore Wind adjusted EBITDA: €1,079 million; Onshore Wind/Solar: €990 million; Flexible Generation: €1,447 million; Supply & Trading: €465 million.

Outlook and guidance

• Full-year 2024 adjusted EBITDA guidance improved to €5.2–5.8 billion; adjusted net income expected at €3.2–3.8 billion.

• Dividend for 2024 proposed at €1.10 per share, up €0.10 from 2023.

• EPS guidance for 2027 confirmed as previously set.

• Net cash investments for 2025 and 2026 planned at €7 billion per year, down from €8 billion.

• Leverage factor expected to remain well below the 3.0 ceiling despite increased investments.