Solaria Energía y Medio Ambiente (SLR) Q1 2025 earnings summary

Executive summary

• Net profit and EBITDA grew over 100% year-over-year in Q1, with revenue up 67% to €81M, driven by the Generia transaction, higher energy prices, and new partnerships.

• Major investments in solar, wind, and battery capacity, with 1.4 GW under construction and 2 GW of new developments starting this year; 50% of construction already completed.

• Strategic focus on hybridization (solar, wind, batteries), expansion into data centers (1.2 GW demand secured in Spain), and real estate leveraging grid infrastructure.

• Announced a 10% share buyback program, funded by a dedicated credit line, with daily execution and no time limit.

• Continued diversification into international markets, notably Italy, Germany, and the UK.

Financial highlights

• Revenue: €81M (+67% year-over-year); EBITDA: €74M (+77%); net profit: €53.4M (+127%); EBIT: €62.7M (+93%).

• Investments reached €62M in Q1 2025; CapEx for batteries set at €80,000/MWh (four-hour cycle), including all installation costs.

• Merchant revenue reached 25% in Q1, with a target to reduce to 20% by year-end as new PPAs are signed.

• Average electricity price of €59/MWh in Q1, with 75-76% fixed-price PPAs and 20-30% merchant exposure.

• Cash position at €41.1M as of March 31, 2025.

Outlook and guidance

• 2025 EBITDA guidance reaffirmed at €245–255M, with potential for upward revision after H1 results.

• 1.4 GW of new capacity expected online in 2025; plans to install 500 MWh of battery storage in Spain within 12 months.

• Data center business expected to drive significant growth, with major contracts anticipated in 2025 and beyond.

• Strategic plan update for data centers to be presented in September 2025.

• International expansion ongoing in Italy, Germany, and the UK, leveraging favorable regulatory environments.