Published by Global Banking & Finance Review®
Posted on May 27, 2025
2 min readLast updated: January 23, 2026
Add as preferred source on GooglePGE's Q1 core profit surged 71% due to reduced CO2 costs and regulatory gains, amid Poland's shift towards renewable energy.
GDANSK (Reuters) -Poland's biggest energy utility PGE reported a first-quarter recurring core profit of 4.33 billion zlotys ($1.16 billion) on Tuesday, up 71% on the year, primarily due to lower CO2 emission costs and regulatory revenue gains.
The results were in line with the company's preliminary estimates reported in mid-May.
WHY IT'S IMPORTANT
PGE, like other Polish utilities, is navigating structural shifts in the country's energy landscape as growing renewable adoption slowly diminishes coal's longstanding dominance.
Coal's share in Poland's electricity production fell to 57.1% in 2024, while renewable energy sources reached a record 29.6% of the country's total electricity generation, according to Forum Energii think-tank data.
CONTEXT
The company's core profit rise was mainly driven by lower CO2 emission costs, and higher government-regulated payments for grid stabilization services and capacity mechanisms.
Improved results from electricity sales to end customers and higher revenue from heat sales also contributed positively to the result.
BY THE NUMBERS
PGE's net profit for the first quarter rose over 170% to 2.42 billion zlotys. Sales revenue rose around 2% to 17.17 billion zlotys from 16.84 billion zlotys a year ago.
The company's cost of goods sold reached 13.34 billion zlotys in the quarter, down 11% from 15.05 billion zlotys in the first quarter of 2024.
($1 = 3.7484 zlotys)
(Reporting by Rafal W. Nowak; editing by David Evans)
PGE reported a first-quarter recurring core profit of 4.33 billion zlotys, which is approximately $1.16 billion, marking a 71% increase year-on-year.
The rise in PGE's core profit was primarily driven by lower CO2 emission costs, along with higher government-regulated payments for grid stabilization services.
Coal's share in Poland's electricity production decreased to 57.1% in 2024, while renewable energy sources increased to a record 29.6% of the total electricity generation.
PGE's net profit for the first quarter rose over 170% to 2.42 billion zlotys, indicating significant financial growth.
PGE's sales revenue increased around 2% to 17.17 billion zlotys, up from 16.84 billion zlotys a year ago.
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