Enel confirms steady growth in first quarter as share buyback plan awaits approval
Enel has reported a positive start to 2025, with the Italian energy utility posting a 1.7% increase in ordinary EBITDA to €5.97 billion ($6.62 billion) for the first quarter compared to the same period last year.
The state-controlled group's steady performance comes despite reducing power prices for Italian customers by 30-40%, with growth driven by strong results from its operations in Iberia and the Americas, alongside improvements in its Italian grid business.
Chief Executive Flavio Cattaneo highlighted the company's seventh consecutive quarter of growth, stating: "Despite the reduction in end customer prices in Italy, we confirm the organic and sustainable growth path communicated to the markets, thanks to the optimisation of processes, activities and products alongside the contribution of Iberia and the Americas."
The company is now focused on its upcoming shareholder meeting on 22 May, where investors will vote on a share buyback plan worth up to €3.5 billion ($3.9 billion). Chief Financial Officer Stefano De Angelis expressed optimism about the plan's approval, which would provide an additional means of rewarding shareholders beyond dividends, Reuters reported.
Enel is also in negotiations with Italian authorities to secure a 20-year extension of its power distribution licence in its home market, with the company planning to allocate part of its financial resources to this renewal.
Cattaneo emphasised the effectiveness of the company's strategy over the past two years, noting that shareholders have received "an overall remuneration of more than 50%, significantly better than the industry average in Europe, with the stock valuation up by more than 30%."
The utility has confirmed its full-year guidance for ordinary EBITDA between €22.9 billion and €23.1 billion ($25.4 billion and $25.6 billion), reflecting management's confidence in maintaining the group's positive trajectory throughout 2025.
