Voltalia (VLTSA) H1 2024 earnings summary

Executive summary

• Power generation increased by 13% year-over-year in H1 2024 to 2.1 TWh, with turnover up 28% to €249 million and EBITDA up 34% to €75 million.

• Installed capacity in operation rose 44% year-over-year to 2,452 MW, with operational and under-construction capacity at 3.06 GW and a project pipeline up 7% to 17.2 GW.

• 2024 EBITDA guidance reaffirmed at €255 million before curtailment, which could reduce EBITDA by up to €40 million if Brazilian grid issues persist.

• 2027 targets confirmed: over 5 GW in operation and construction, over 8 GW operated for third parties, and normalized EBITDA of €475 million.

Financial highlights

• H1 2024 turnover reached €249 million, up 28% year-over-year, driven by new plant commissioning and higher production.

• EBITDA rose 34% to €75 million, with margin improvement to 30%.

• Net result group share was a seasonal loss of €15.7 million, improved by 19% from H1 2023.

• Cash and cash equivalents increased to €329 million, with net debt at €1.8 billion and gearing ratio at 59%.

Outlook and guidance

• 2024 EBITDA guidance reaffirmed at €255 million before curtailment, with €230 million from energy sales.

• Curtailment in Brazil could reduce 2024 EBITDA by up to €40 million, depending on duration, compensation, and FX rates.

• 2024 capacity target: ~3.3 GW in operation or under construction, of which ~2.5 GW in operation.

• 2027 targets: over 5 GW in operation/under construction, over 8 GW operated for third parties, and normalized EBITDA of €475 million.