Iberdrola profits rise on booming international business

Spanish energy giant Iberdrola said Wednesday that booming international business enabled it to boost its bottom line in the first half, but fixed-rate contracts on its domestic market prevented it from passing on higher energy prices to customers in in Spain.

Iberdrola said in statement that it “managed to increase its overall net profit by 36 percent 2.07 billion euros” ($2.1 billion) in the first half, “thanks mainly to the good performance in the United States, Brazil and the United Kingdom.”

However, “net profit in Spain fell by 26 percent, including the effects of high energy prices that have not been passed on to customers with fixed-rate contracts.”

First-half sales jumped by nearly 30 percent to 24.4 billion euros.

Iberdrola said it had invested more than 4.7 billion euros in the first-half of the year, bringing total investment to more than 10.2 billion euros over the past 12 months, of which 90 percent was focussed on networks and renewables.

“At Iberdrola, we continue to increase our investments to strengthen energy self-sufficiency and accelerate the green transition, reducing our dependence on fossil fuels,” said chairman Ignacio Galan.

“The projects we have underway in Spain and around the world are enabling us to generate economic activity and support 400,000 jobs at more than 19,000 suppliers.”

Iberdrola said it installed 3,400 megawatts of new renewable capacity over the past 12 months, including 996 MW in wind, 1,241 MW in solar, almost 1,000 MW in hydroelectric storage and 116 MW in batteries.

Based on the company’s first-half performance “and expectations for the second half of the year, Iberdrola reaffirm sits prospects of achieving a net profit of 4.0-4.2 billion euros for the year as a whole,” the statement said.

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