Offshore Wind Delivers for EnBW

German energy company EnBW Energie-Baden-Württemberg AG has reported an adjusted EBITDA of EUR 586 million in the Renewable Energies segment for the first nine months of 2020, an 88.4 per cent increase compared to the same period last year.

The increase is attributed mainly to the EnBW Hohe See and EnBW Albatros offshore wind farms coming into operation.

France-based wind and solar power company Valeco and better wind conditions for offshore and onshore wind farms also contributed to the positive earnings performance, EnBW said.

The company has maintained its full-year earnings guidance for the Renewable Energie segment of between EUR 825 million and EUR 925 million.

Overall, EnBW generated revenues of some EUR 13.68 billion during the first three quarters of 2020, a 2.2 per cent dip compared to the same period a year earlier.

Net profit attributable to the shareholders went down from EUR 288.3 million in the first nine months of 2019 to EUR 250.3 million in the first three quarters of 2020. The fall in net profit is primarily due to a lower financial result, EnBW said.

Adjusted EBITDA for the period, however, stood at around EUR 2.06 billion, a 22.2 per cent increase compared to the first nine months of 2019.

The company’s earnings guidance for the full year is confirmed, with adjusted EBITDA expected to be in a range between EUR 2.75 billion and EUR 2.9 billion, which is between 13 per cent and 19 per cent above the previous year.

EnBW’s total investment for the period stood at around EUR 1.52 billion, a 29 per cent decrease compared to EUR 2.15 billion reported in the first nine months of 2019. This was mainly due to the acquisition of Valnet and the German telecommunications group Plusnet in 2019.

73 per cent of total gross investment during the period related to growth projects, primarily in Grids and Renewable Energies segments.

“Our portfolio transformation and efficiency efforts since 2012 as part of EnBW’s business renewal have made the company highly resilient,” EnBW’s CFO Thomas Kusterer said.

”Most of all, our strategic investments in renewables and broadband telecommunications are increasingly paying off and are driving a positive overall earnings trend despite the corona pandemic. Our integrated portfolio proves its worth and ensures stability especially at difficult times like the present. We are therefore confident that we will meet our ambitious targets for 2020 and thus successfully complete the corporate transformation which we launched in 2013.”

With a combined capacity of 609 MW, the Hohe See and the nearby Albatros became fully operational in November 2019 and January 2020, respectively.

EnBW also operates the 336 MW EnBW Baltic 1 and Baltic 2 offshore wind farms.