Italy's ERG cuts full-year core profit guidance due to low wind levels (updated)

Erg SA

14/11/2024 15:52

(Adds CEO quote, background in paragraphs 4-6)
       Nov 14 (Reuters) - 
    Italian energy company ERG  ERG.MI  on Thursday lowered its
full-year core profit guidance, citing the impact of
exceptionally low wind levels in the third quarter.
It now expects full-year earnings before interest, tax,
depreciation and amortisation of between 520 million and 560
million euros ($547 million and $589 million), down from 520
million to 580 million euros in its previous guidance.
    U.S. President-elect Donald Trump's position on renewable
energy is not reason to worry, ERG CEO Paolo Merli said.
     "We are not worried about what we already have in our
portfolio. We are still confident the U.S. is quite an
interesting market," Merli said in a conference call following
the release of the company's third-quarter results. 
  
     ERG 
    signed a partnership
     last December with U.S. renewables company Apex Clean
Energy to buy a 75% stake in the new company for $270 million
and purchase a portfolio of wind and solar plants with installed
capacity of 317 megawatts. 
  
The group confirmed a forecast of capital expenditure between
550 million and 600 million euros and net financial debt of 1.75
billion to 1.85 billion euros for 2024.
    ERG's quarterly adjusted EBITDA rose 4% to 109 million
euros, it said in a statement.
    The Italian group said it would launch a share buyback
programme for up to 23 million euros.
     
     
  
     
  
    ($1 = 0.9498 euros)

(Reporting by Alessandro Parodi, Michela Stasio  Editing by Mark
Potter and Paul Simao)
((mailto:Alessandro.Parodi@thomsonreuters.com;))