Solaria Energía y Medio Ambiente (SLR) Q4 2025 earnings summary

Executive summary

• Achieved record installed capacity of 3.1 GW in FY 2025, up 82% year-over-year, surpassing strategic plan targets and expanding operations across Spain, Italy, Portugal, Germany, and the UK.

• Delivered record EBITDA of €266 million (up 32% YoY) and net profit of €137.4 million (up 55% YoY), driven by infrastructure growth, new capacity, and international diversification.

• Secured major long-term PPAs, including a 40-year solar PPA, a 10-year hybrid PPA with batteries, and agreements with Merlin Properties, Trafigura, and Repsol.

• Executed capital-light growth through partnerships, asset rotation, and joint ventures such as Gravyx, supporting high ROE and financial discipline.

• Closed significant data center infrastructure deals, with DC services and PPAs expected to generate over €3 billion in revenues and €1 billion in free cash flow over 40 years.

Financial highlights

• EBITDA reached €266.1 million for 2025, exceeding guidance by 6%, with net profit at €137.4 million (+55% YoY) and total revenues of €303.4 million (+27% YoY).

• Net sales for 2025 were €197.4 million, with €123 million from energy and €74 million from infrastructure services.

• EBIT increased 38% to €217.7 million; ROE maintained above 20%.

• Cash and cash equivalents at year-end: €73.3 million; net financial debt: €1,435 million; debt-to-equity ratio: 202%.

• €400 million invested in 2025 to accelerate growth and strengthen the asset platform.

Outlook and guidance

• High visibility on 2026 EBITDA target of €331 million, supported by increased capacity, data center payments, and long-term PPAs.

• Plans to add over 1 GW of additional solar capacity in 2026, with nearly 1 GW of environmentally approved capacity in Italy by year-end 2025.

• Targeting 6.4 GWh of BESS capacity in Italy, Portugal, and Germany by 2028, with 2.8 GW of battery storage under development.

• Ongoing negotiations for 1.1 GW in hybrid PPAs and 500 MW for data centers with Tier 1 customers.

• Continued share buyback program targeting up to 10% of shares by 2026, with 4% already acquired.