Spain’s Iberdrola expects 2020 profit growth despite H1 virus impact
With more than 32GW of renewable capacity installed in markets including Spain, Britain, the United States and Brazil, Iberdrola is seen as a prime beneficiary of drives to decarbonise economies around the world
MADRID: Spanish renewable energy giant Iberdrola said on Wednesday it expects profit growth this year and kept its dividend and investment plan despite taking a hit in the first half from the strangling effect of the coronavirus outbreak on global electricity demand.
With more than 32GW of renewable capacity installed in markets including Spain, Britain, the United States and Brazil, Iberdrola is seen as a prime beneficiary of drives to decarbonise economies around the world.
Powering more than 30 million homes and businesses in Spain, the United States, Brazil and Britain, brought in 1.845 billion euros ($2.13 billion) in first-half reported net profit, broadly in line with a forecast it compiled.
Iberdrola said the figure would have been 153 million euros higher without the lower demand and customer non-payments caused by COVID-19, but added that it still expects this metric to rise at a mid-high single digit rate this year.
A pick-up in its share price, in line with the rest of Europe’s utilities, since the depths of this year’s crisis has brought Iberdrola snapping at the heels of Zara owner Inditex which it temporarily overtook by a whisker this week to become Spain’s biggest company.
“We are forging ahead with our commitment to invest 10 billion euros in 2020, demonstrating that the way to a fast and sustained recovery is the green economy,” Chief Executive Ignacio Galan said in a statement.
A few hours earlier, Iberdrola said it had increased a bid for Australian wind and solar firm Infigen Energy to $636.7 million.
Source: reuters
