Polish utility Enea reports expected rise in Q1 core profit
21/05/2025 08:17
GDANSK, May 21 (Reuters) - Polish power utility Enea ENAE.WA posted a 3.4% year-on-year rise in its first quarter core profit on Tuesday evening, supported by higher revenue from its distribution segment at a time when it seeks to expand its renewable energy offering. Earnings before interest, taxes, depreciation, and amortization (EBITDA) rose to 1.94 billion zlotys ($518.2 million), in line with Enea's preliminary estimate. WHY IT'S IMPORTANT Enea, Poland's third-largest power utility by market value, is under pressure from falling profitability in its coal-fired power-generation fleet as renewable energy sources capture an increasing share of the nation's energy mix. Poland is reducing its reliance on coal, which accounted for about 57% of its electricity generation in 2024, according to energy policy think tank Forum Energii. CONTEXT In March, Enea's unit signed an agreement to buy six wind farms and a photovoltaic project. In the coming months, it plans to acquire another portfolio of wind projects at various stages of development, with a total capacity of about 33 MW, and project companies or rights to photovoltaic farm projects with a total capacity of about 40 MW. KEY QUOTES "Changing the production mix is a priority for us, which is why we continue to search for new ... opportunities and talk to owners and developers of renewable energy projects, thanks to which we will effectively build the growth of our emission-free production sources," CEO Grzegorz Kinelski said in a statement. BY THE NUMBERS Enea's quarterly revenue fell 9.5% to 7.59 billion zlotys. Net profit rose 3.3% on the year to 1.05 billion zlotys. Its capital expenditures amounted to 618.3 million zlotys in the quarter. ($1 = 3.7436 zlotys) (Reporting by Rafal W. Nowak and Adrianna Ebert, editing by Milla Nissi-Prussak) ((RafalWojciech.Nowak@thomsonreuters.com; +48 58 769 66 63;))