German utility EnBW has reported a net loss of €13.6m ($14.57m) for the third quarter (Q3) of 2023, a 97.9% improvement from a €651.1m loss in the same quarter of the previous year.
The company’s earnings before interest and taxes (EBIT) were €118.9m in the quarter, compared with a negative €436m a year previously.
Go deeper with GlobalData
Quarterly earnings before interest, taxes, depreciation and amortisation (EBITDA) stood at €530.6m versus a negative €30.3m in the previous year.
EnBW generated revenues of €7.9bn between July and September 2023, a 35.4% slump from €12.3bn in Q3 2022.
The cost of materials fell 32.3% to €6.1bn from €9bn over this period, while personnel expenses rose 8% year-on-year to €654.9m.
The company’s adjusted net profit in the nine months to September 2023 more than doubled to €2.3bn from €1.1bn in the previous year, benefitting from a strong performance by thermal generation and trading.
How well do you really know your competitors?
Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.
Thank you!
Your download email will arrive shortly
Not ready to buy yet? Download a free sample
We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form
By GlobalDataAdjusted EBITDA surged 64.6% to €4.9bn from €2.9bn, while adjusted EBIT climbed to €3.7bn from €1.8bn.
Sustainable generation infrastructure was the key growth contributor, with the segment’s adjusted EBITDA soaring 82.4% to almost €3.5bn.
This growth has been attributed to a rise in wholesale prices for generated electricity, and the lack of negative effects associated with the suspension of Russian gas supplies.
The utility earned revenues of €34.7bn for the first nine months of 2023, a 12.2% fall from €39.4bn a year earlier.
EnBW chief financial officer Thomas Kusterer stated: “Our good earnings in the first nine months secure our growth investments in the accelerated implementation of the energy transition. Ultimately, we plan to invest an average of €4.5bn per year over the next few years.
‘Most of this will go into the expansion of renewables, the grid infrastructure and charging infrastructure for electric vehicles and climate-friendly, low-carbon dispatchable generation. Around 80% of our investments will be made in Baden-Württemberg and Germany.”
The company has now lifted its 2023 adjusted EBITDA outlook to between €5.9 and $6.5bn, from an earlier forecast of between €4.7bn and $5.2bn.
