Ignitis Group AB, the Lithuanian energy company, has reported a notable increase in adjusted EBITDA for the first quarter of the year, driven by growth across its various business segments, excluding Reserve Capacities.
The Vilnius-based firm recorded adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) of EUR 181.7 million (USD 196.1 million) during the period, marking a substantial year-on-year rise of 21.2%.
A significant portion of this increase, approximately EUR 77.1 million, stemmed from Green Capacities, showcasing a 10.1% earnings uptick in this segment alone.
Ignitis' adjusted net profit for January-March 2024 also witnessed a robust growth, climbing by 26.9% to EUR 112.6 million, with a margin of 18.2%.
During the first quarter, Ignitis ramped up its investments by 73.4%, totaling EUR 209.5 million, with a considerable portion, EUR 138.9 million, directed towards the Green Capacities segment. Notably, the majority of investments, 90.5%, were channeled into projects within Lithuania.
Despite the positive trajectory in renewables, Ignitis highlighted a slight decline in the green share of its total electricity production, citing a 15.7 percentage point decrease to 79.9%. This decline was attributed to a higher proportion of electricity generation at combined-cycle gas turbine (CCGT) power plants, specifically within the Reserve Capacities segment.
The company's renewables-focused initiatives led to an expansion of its Green Capacities portfolio to 7.4 GW from 7.1 GW, while the installed capacity rose to 1.4 GW from 1.3 GW. Additionally, the secured capacity reached 2.9 GW, indicating a strategic advancement in renewable energy infrastructure.
