RWE AG

RWE reported H1 2026 adjusted EPS of EUR 1.77, up more than 60% year over year, and adjusted income of EUR 1.3 billion. Adjusted EBITDA was EUR 3 billion, up by more than EUR 900 million versus H1 2025. Segment EBITDA included offshore wind at EUR 810 million, onshore wind and solar at EUR 1.02 billion, flexible generation at EUR 1.03 billion, and supply & trading at EUR 134 million. Net debt was EUR 15 billion at the end of June, and cash investments were EUR 6.3 billion, including EUR 1.7 billion for the Amprion acquisition stake closed in June. For 2026, adjusted EBITDA is now expected at EUR 5.75 billion to EUR 6.35 billion, adjusted net income at EUR 1.95 billion to EUR 2.45 billion, and adjusted EPS at EUR 2.95. The 2026 dividend target remains EUR 1.32 per share. Management also raised 2027 EPS guidance to EUR 3.15 and reiterated a 2031 EPS growth target of 10% CAGR from 2025 to 2031.

Markus Krebber struck a confident tone, calling the first half of 2026 “excellent” and saying RWE has strengthened both its portfolio and its delivery capabilities. He emphasized that structural demand growth, energy sovereignty, and grid build-out are creating a large investment opportunity set, and that regulated grid infrastructure now sits alongside renewables and flexible generation as a third strategic pillar. He repeatedly framed the company as conservative on guidance but optimistic on upside, especially from Amprion, capacity markets, data centers, and the U.S. gas/LNG strategy.

Michael Muller focused on the financial bridge and balance-sheet discipline. He cited H1 adjusted EBITDA of EUR 3 billion, adjusted EPS of EUR 1.77, operating cash flow of minus EUR 759 million, net debt of EUR 15 billion, and cash investments of EUR 6.3 billion, including the Amprion stake purchase. He said year-end net debt is expected to remain around EUR 15 billion and confirmed the 2026 outlook upgrade, including adjusted EBITDA of EUR 5.75 billion to EUR 6.35 billion, adjusted net income of EUR 1.95 billion to EUR 2.45 billion, and a EUR 1.32 per share dividend target.

Analysts focused on how much upside from capacity markets, Amprion, and higher renewable IRRs is already in guidance. Management said capacity market income in Germany and the Netherlands would likely be incremental, and Michael Muller estimated the capacity-market opportunity at roughly EUR 300 million to EUR 400 million based on current auction economics. Questions also probed whether RWE might raise equity again, but management said it sees no need for a near-term equity raise and no bigger strategic move is planned. Other topics included German CCGT auction timing, data center economics, winter power/gas volatility, and Uniper, where RWE said it has no interest or intent to acquire it.