EnBW has reported a significant drop in its renewable energy business segment, with adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) falling 35% to €595.8 million for the first half of 2024. This marks a decline from €912 million in the same period of the previous year.
The German energy company attributed the decrease primarily to reduced earnings from pumped storage operations, which were impacted by falling prices. However, the negative trend was partially mitigated by higher earnings from run-of-river power plants and improved wind conditions.
Across the entire group, EnBW recorded an adjusted EBITDA of €2.6 billion, a 26% decrease compared to the first half of 2023. The company also reported a 28.7% drop in revenue, bringing the total to €19 billion. Adjusted group profits declined by 43.9% year-on-year, totaling €926.9 million.
EnBW's deputy chief executive and chief financial officer, Thomas Kusterer, commented on the results, stating, “The earnings trend from the first quarter continued in the second quarter. Our half-year earnings are fully in line with our expectations.” He added that the previous year's exceptional performance was due to unusual market price levels, and that earnings have now returned to normal.
Looking ahead, EnBW maintains its full-year earnings forecast within a range of €4.6 billion to €5.2 billion, reinforcing the company's confidence in the stability of its integrated business model.
The company also highlighted its ongoing commitment to the energy transition, with gross investments reaching €2.5 billion in the first half of 2024, approximately 60% higher than the previous year.
