E.ON meets nine-month forecasts as grid investment ramps up

E.ON Hits Nine-Month Profit Targets With Boosted Grid Investment in 2023

E.ON’s 2023 Financial Performance and Investment Highlights

Core Profit and Market Performance

Nov 11 (Reuters) - E.ON, Europe's largest energy grid operator, on Wednesday posted core profit for the first nine months in line with estimates, helped by strength in its energy infrastructure solutions business serving industrial and municipal customers.

Increased Grid Investments in 2023

The German company ramped up third quarter investments in grid infrastructure, after weather-related delays earlier in the year, as it pushes to connect growing volumes of renewable power and meet rising electricity demand.

Key Financial Figures

• Nine-month adjusted earnings before interest, tax, depreciation and amortisation (EBITDA) came in at €7.11 billion ($7.94 billion), matching a Vara-compiled analyst consensus

Executive Commentary

• "What we see across our markets is a substantial and growing need for investment in energy infrastructure," said Nadia Jakobi, the company's chief financial officer, in a statement

Investment Breakdown

• Investments in the January-to-September period rose to €5.2 billion from €5.1 billion last year, with around 80% flowing into energy networks

Future Outlook and Targets

2026 and Mid-Term Targets

• The company confirmed its targets for 2026, expecting adjusted EBITDA of €9.4-€9.6 billion and adjusted net income of €2.7-€2.9 billion

• It also reaffirmed its mid-term outlook through 2030

Currency Note

($1 = 0.8957 euros)

Reporting Credits

(Reporting by Danny Callaghan; Editing by Matt Scuffham)