Edison: 9-month ebitda at 938 million euros (vs 676 million in the same period of 2021). Financial debt rises to 954 million euros, up from 104 million euros as at december 31, 2021

Net profit dropped to 265 million euros from 435 million euros in the same period of 2021, which included non-recurring effects, and is affected in 2022 by the “Aiuti”, “Taglia prezzi” and “Sostegni-ter” decrees.

Milan, October 27, 2022 – Edison’s Board of Directors met yesterday and examined the Quarterly Report at September 30, 2022, which showed a marked growth in sales revenues as a result of the evolution of the current price scenario and the strategic role played by the company for the Country’s energy security of supply.

The first nine months of 2022 were characterised by a sharp increase in energy prices strengthened by the effects of the Russian invasion of Ukraine and by the uncertainties regarding the security of gas supply. This increase in price combined with higher volumes sold – to support security of supply as Edison maximised the flexibility in its gas import portfolio – led Edison’s revenues to reach 22,842 million euros (vs 6,849 million euros in the same period of 2021).

The increase in EBITDA to 938 million euros (from 676 million euros) was more moderate due to the impact of the increase in raw material costs. The result was primarily driven by thermoelectric power generation and gas supply operations. These factors more than offset the drop in hydroelectric power generation, which suffered from low water resource availability in the period and the negative impact of higher prices on end-customer sales margins, especially on the B2C power segment. Against this rising price scenario, Edison took measures to protect its customers which adversely affected the profitability of its energy sales activities.

The Group closed the first 9 months of 2022 with a net profit of 265 million euros, a decline compared to the profit of 435 million euros in the first nine months of 2021 that included positive one-off items. The result in 2022 was adversely affected by the application of the “Aiuti”, “Taglia prezzi” and “Sostegni-ter” decrees. It should also be noted that the tax rate in the first nine months of 2022 was 42%, compared to a normalized average for companies between 28% and 32%.

Financial debt as at September 30, 2022 stood at 954 million euros, up from 104 million euros as at December 31, 2021. This increase, despite the marked improvement in industrial performance, reflects the general rise in the price of raw materials, the impact it has on working capital mainly linked to sales to final customers, and the significant investments to strengthen the energy transition businesses.

 

EDISON GROUP HIGHLIGHTS

in millions of euro	9 months 2022			9 months 2021
Sales revenues	22,842			6,849
EBITDA	938			676
EBIT	495			296
Net Profit from Continuing Operations	314			438
Group net profit	265			435

 

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