PGE power posts PLN 4.33 bln recurring EBITDA in Q1 2025; in line with estimates

EBITDA of the Renewable Energy segment was PLN 450 million (EUR 105.8 mln), of the Gas Power segment was PLN 90 million (EUR 21.2 mln), of the Conventional Power segment was PLN 290 million (EUR 68.2 mln).

EBITDA of the Heat segment was PLN 900 million (EUR 211.7 mln), of the Distribution segment was PLN 1.32 billion (EUR 310. mln), of the Rail Power segment was PLN 350 million (EUR 82.3 mln) and the EBITDA of the Trading segment was PLN 700 million (EUR 164.6 mln).

Net profit excluding write-offs attributable to shareholders of the parent company in the first quarter of 2025 amounted to PLN 2.433 billion (EUR 572.2 mln), compared to PLN 930 million (EUR 218.7 mln) profit in the same period in 2024.

Sales revenue amounted to PLN 17.2 billion (EUR 4.04 bln), compared to PLN 16.8 billion (EUR 3.95 bln) a year earlier.

"The results achieved confirm that we are consistently building the financial stability of the PGE group - a solid foundation for the investment projects underway and in the pipeline," said CEO Dariusz Marzec, quoted in the press release.

"The first quarter was also a time of making important decisions and implementing key actions that demonstrate our effectiveness in building the value of the entire group," he added.

As stated, among them were: making the final investment decision in the Baltica 2 project, starting work on one of the largest battery energy storage facilities in Europe - the Zarnowiec Energy Storage Facility, as well as signing an agreement with Poland's state development bank BGK for PLN 12 billion (EUR 2.8 bln) from EU funds under Poland's national recovery plan KPO for investments in modern distribution infrastructure.

As reported, the PGE group's net economic debt level for the first quarter of 2025 was PLN 16.63 billion (EUR 3.91 bln), down by PLN 571 million (EUR 134.3 mln) from the end of 2024. The ratio of economic net debt to EBITDA (economic net debt/ LTM recurring EBITDA) was 1.31x.

Capital expenditures in the first quarter of 2025 amounted to PLN 1.72 billion (EUR 403.5 mln), compared to PLN 2.07 billion (EUR 485.9 mln) in the same period in 2024.

Net electricity production in the first quarter of 2025 at PGE group generating units amounted to 16.08 TWh, compared to 14.60 TWh a year earlier.

Production from lignite was 8.51 TWh (up 12 percent year on year), from hard coal was 4.21 TWh (down 3 percent year on year), and from natural gas was 2.50 TWh (up 74 percent year on year from 2024).

Total production from PGE group renewable sources in the first quarter of 2025 reached 0.67 TWh. In addition, production from pumped storage power plants amounted to 0.19 TWh, 41 percent less than in the same period of 2024.

The volume of distributed electricity amounted to 10.75 TWh, up 1 percent year on year. Electricity sales to end users amounted to 8.56 TWh, down 6 percent year on year. The volume of heat sales amounted to 20.86 PJ, 5 percent more than in the first quarter of 2024.

The average cost of CO2 emissions in the Conventional Power, Heat and Gas Power segments was PLN 282 (EUR 66.32)/MWh, down 25 percent year on year.

The average wholesale energy price realized by the Conventional Power, District Heating and Gas Power Segments in the first quarter of 2025 was PLN 504 (EUR 118.5)/MWh, down by PLN 92 (EUR 21.6)/MWh compared to the same period of 2024.

doa/ han/