Swedish energy company Vattenfall reported a decline in underlying earnings for its wind division in the first quarter of 2025, attributing the drop to reduced wind generation and the absence of one-off gains recorded in the same period last year.
The wind business, which also includes solar and battery operations, posted an underlying EBITDA of SEK 4.16 billion (€380 million) between January and March, down from SEK 4.49 billion (€411 million) in the first quarter of 2024.
The company said net sales rose by 4% year-on-year, but underlying operating profit fell by 23%, primarily due to lower wind output and higher costs.
“Electricity generation decreased by 15% due to lower wind, resulting in lower volumes both from offshore and onshore wind power,” Vattenfall said in a statement.
The company added that last year’s Q1 results were supported by one-time warranty compensation payments related to offshore wind asset availability, which were not repeated in 2025. Higher depreciation from newly commissioned assets also weighed on earnings.
Despite the short-term financial setback, Vattenfall advanced several strategic renewable energy initiatives during the quarter. In March, it made a final investment decision on the Nordlicht 1 and 2 offshore wind farms in the German North Sea, with Nordlicht 1 set to become Germany’s largest offshore wind facility. Combined, the two wind farms are expected to produce around 6 terawatt hours (TWh) of electricity annually starting in 2028.
Vattenfall also reacquired shares in the Nordlicht cluster previously held by BASF, while continuing its renewable power supply partnership with the chemical group.
Elsewhere, the company secured permits for multiple new projects, including the 5TWh-per-year Kattegat Syd offshore wind farm off the Swedish coast, the 100MW Ourack onshore wind project in Scotland, and the 68MW Güstrow solar plant in Germany. In the Netherlands, the Eemshaven West wind farm advanced with a newly granted subsidy, with construction slated to begin in 2026.
