Enel's 9-mo results driven by renewables growth

Enel

Enel SpA (BIT:ENEL) on Tuesday said renewables were again the major driving force behind its performance in the first nine months of 2018, when the Italian utility increased its net profit by 15.1% year-over-year following a 2% gain in revenues.

Net profit was EUR 3.02 billion (USD 3.45bn), while revenues reached EUR 55.25 billion.

Earnings before interest, tax, depreciation and amortisation (EBITDA) rose 6% to EUR 12.13 billion, driven by growth in renewables, better margins for the company's distribution and retail activities in Italy and Spain, and increased margins in Brazil after the acquisition of Eletropaulo and in the US after the acquisition of EnerNOC, now Enel X North America. The higher EBITDA also reflects income from the disposal of an 80% stake in a 1.8-GW renewable portfolio in Mexico.

The EBITDA contribution of renewable energies increased to EUR 3.33 billion from EUR 2.7 billion in the same period of 2017. The company has installed 3.3 GW of new renewable capacity over the last 12 months.

Figures in EUR million	9-mo 2018	9-mo 2017
Revenues	55,246	54,188
EBITDA	12,134	11,450
Ordinary EBITDA (net of extraordinary items)	12,006	11,306
EBIT	7,438	7,217
Group net income	3,016	2,621
Group net ordinary income	2,888	2,583
Net financial debt	43,122	37,410

Net profit was also supported by a reduction in financial expenses.

"The Group’s financial performance posted in the first nine months of this year allows us to confirm our EBITDA and net income targets for full year 2018," said Enel chief executive and general manager Francesco Starace.

The company will pay an interim dividend of EUR 0.14 in January, representing a 33% increase on the interim dividend paid a year earlier.

(EUR 1 = USD 1.149)

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