Finance
Engie warns that uncertainty could affect its US investments
Published by Global Banking & Finance Review®
Posted on February 27, 2025
3 min readLast updated: January 25, 2026
Global Banking & Finance Review®
Company
Published by Global Banking & Finance Review®
Posted on February 27, 2025
3 min readLast updated: January 25, 2026
Engie might shift US investments due to policy uncertainty, impacting renewable projects and profit forecasts.
By Forrest Crellin
PARIS (Reuters) - French utility Engie could divert investment away from the United States if there is no clarity and predictability on policy there, CEO Catherine MacGregor has said.
As Engie's shares jumped to their highest in almost a decade on Thursday after it upgraded its 2025 profit forecast, the company said it would now review its renewable development assets in several countries, including the United States.
Engie is Europe's largest gas network operator and has a growing renewable energy business in the United States.
"You need to know the rules and it's very difficult to invest if you don't have the rules," MacGregor told the Financial Times, in comments later confirmed to Reuters by an Engie spokesperson.
"We are able in the relatively short term to reallocate some of our capital to different parts of the world. If we don't have clarity for a long time, we may do that."
U.S. President Donald Trump suspended federal offshore wind leasing on his first day back in office, which has forced other companies to suspend projects or pull out entirely. He also paused the disbursement of funds appropriated under his predecessor's signature climate and infrastructure laws.
More broadly, Engie plans to review renewable construction and grid development in several countries, also including Brazil, MacGregor told reporters.
"We have decided to focus on the markets that are going to be the most profound for us," she said, adding that the company would review what to do in smaller markets with fewer opportunities.
OUTLOOK
Engie posted a 6.2% fall in 2024 operating profit excluding nuclear, due to a decline in gas prices, the impact of an energy tax in France and a decrease in gas-fired power plant usage in Europe.
But it also raised its outlook for 2025.
It increased its forecast for recurring net income this year to a range of 4-4.5 billion euros ($4.19 billion - $4.71 billion), up from a previous range of 3 billion euros to 4.5 billion euros.
Engie also said it now expects its earnings before interest and tax (EBIT), excluding nuclear, in 2025 at 8 billion euros to 9 billion euros, raised from an expected 7.9 billion euros to 8.9 billion euros that it forecast in early 2024.
Lower financial costs and income tax along with expectations for a better global performance are expected to be the main drivers for the increased guidance, a company spokesperson said.
Hydro, wind and solar all helped Engie's renewables business post positive growth in 2024. The segment contributed a profit of 2.2 billion euros to Engie's overall result, the company said, up 9.6% year-on-year.
($1 = 0.9546 euros)
(Reporting by Forrest Crellin; additional reporting by Federica Mileo and Diana Mandia; Editing by Ingrid Melander and Sharon Singleton)
CEO Catherine MacGregor indicated that Engie might divert investments from the United States if there is no clarity and predictability on policy.
Engie's shares rose to their highest in almost a decade after the company upgraded its 2025 profit forecast.
Engie raised its forecast for recurring net income this year to a range of 4-4.5 billion euros, up from a previous range of 3 billion euros to 4.5 billion euros.
Engie posted a 6.2% fall in 2024 operating profit due to declining gas prices, an energy tax in France, and decreased usage of gas-fired power plants in Europe.
Engie plans to review its renewable construction and grid development in several countries, including the United States and Brazil.
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