The energy company earns 3,100 million euros until September, forecasts a record year and points out that the 14% decline in the national market is due to regulatory measures
Iberdrola realized a profit of 3,104 million euros from January to September, an increase of 29% compared to the same period last year. These records stand in stark contrast to the decline in Spain’s energy sector, where results fell by 14% “affected by regulatory and fiscal measures and high gas and electricity prices,” the company said.
This Spanish regulation is characterized, among other things, by the reduction of benefits if electricity companies sell electricity at a price higher than the limit set by the government for one year. In any case, Iberdrola clarifies that it has not transferred customers with pre-agreed fixed prices.
The group recalled in its statement of results that Iberdrola “contributed to the state treasury” with an amount of 7,800 million euros in taxes paid during this period. This clarification comes amid the billing of the new energy and banking tax that the executive is carrying out in Congress to tax the extraordinary gains it believes are registering both sectors in this crisis period. Iberdrola also insists on continuing to support vulnerable customers, with social bonuses and payment facilities, promoting energy savings and efficiency, creating quality employment (with 4,700 hires in one year) or purchasing from local suppliers.
The decline in business in Spain was offset by the increase recorded in the rest of the areas where Iberdrola operates, such as the United States and Brazil. With global profits of more than 3,100 million through September, the group chaired by Ignacio Galán has reaffirmed its 2022 targets to achieve a record full-year net profit of between 4,000 and 4,200 million.
Galán has stated that “we continue to contribute to a more self-sufficient, sustainable and competitive energy system”. In addition, he emphasizes that “accelerating investment in electrification will allow us to be less dependent on oil and gas volatility and generate more growth and more jobs, as these results demonstrate.”
Gross operating income (Ebitda) of the energy business increased by 16.7% to 9,529 million euros until September, with a positive evolution in all geographic areas except Spain, which lost 9.8% due to the adverse environment.
Gross organic capital formation for the group’s period amounted to 7,568 million euros in the first nine months of the year, up 14.2%, with 40% in Networks and 49% in Renewable Generation.
As for the adjusted net financial debt, it amounted to 44,293 million euros at the end of September, an increase of 19%, 7,075 million euros more compared to September 2021, as a result of the company’s investment effort in the period, the appreciation of currencies and the increase in working capital
Source: La Verdad
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