EDP - Energias de Portugal, S.A.

EDP reported recurring EBITDA of around EUR 2.7 billion in the first half of 2026, up 5% year-on-year, or 6% excluding FX. Recurring net profit was around EUR 753 million, broadly flat year-on-year, and reported net profit was EUR 732 million, up 3% year-on-year. By segment, networks EBITDA rose 14% to EUR 874 million, FlexGen and Clients EBITDA fell 5% to EUR 808 million, and EDPR EBITDA increased 8% to EUR 1.03 billion, or 12% excluding FX. Electricity networks investments increased 25% year-on-year to EUR 555 million. Net financial costs were EUR 472 million, and net debt was EUR 17 billion versus EUR 15.4 billion at year-end 2025; management reiterated year-end 2026 net debt guidance of approximately EUR 16 billion. For 2026, EDP now expects recurring EBITDA of around EUR 5.3 billion and recurring net profit of around EUR 1.4 billion, with asset rotation gains now expected at around EUR 0.3 billion.

Miguel Stilwell d'Andrade described the first half as very strong and said the group is performing well across its core platforms. He emphasized the structural growth opportunity in networks, especially in Iberia and Brazil, and argued that Portugal’s rising demand from electrification and data centers is a positive for both networks and generation. He also framed FlexGen as increasingly valuable because of wider solar/non-solar and demand spreads, and said the business plan execution gives him confidence in 2026, 2027, 2028, and beyond.

Rui Teixeira said recurring EBITDA increased 5% year-on-year to EUR 2.7 billion, with networks contributing EUR 874 million, FlexGen and Clients at EUR 808 million, and EDPR at EUR 1.03 billion. He noted recurring OpEx was down 3% year-on-year and 7% over the last two years on an inflation- and FX-adjusted basis, highlighting cost discipline and improving productivity. He also said net financial costs were broadly flat at EUR 472 million, net debt was EUR 17 billion, and the company remains comfortable with roughly EUR 16 billion of year-end 2026 net debt, while cost of debt should stay around first-half levels.

Analysts focused heavily on Portugal data centers, asking about the 4.6 GW of grid connection requests, potential power-price divergence versus Spain, and the role of high-demand zones. Management said the requests had already fallen from about 40 GW after stricter guarantees and timelines, that high-demand zone awards should become visible before year-end, and that data centers are positive for networks, generation, and potential powered-land monetization. Questions also covered Brazilian curtailment and regulatory recognition of RAB/CapEx; management estimated the historic curtailment proposal was worth around BRL 100 million, said the RAB issue is recognized but likely a 2027-type decision, and described the guidance mix as driven by hydro, prices, networks, and EDPR asset rotations, with 5.3 billion intended as the midpoint of the 2026 EBITDA range.