EDP raises 2026 targets after strong start to year

EDP has raised its 2026 targets by about 5% after what it described as a “strong start” to the year. In a presentation published on the website of CMVM, Portugal’s securities market regulator, the utility said it now expects an EBITDA of €5.2 billion and a recurring net profit of about €1.3 billion in 2026.

The new guidance compares with previous targets of €4.9 billion to €5.0 billion in EBITDA and net profit of between €1.2 billion and €1.3 billion, which had been presented at its Capital Markets Day in London in November and repeated in February with its 2025 results. Chief executive Miguel Stilwell d’Andrade told analysts that the upgrade was based on first-quarter performance and “better visibility” for the rest of the year.

According to the company, the upward revision is spread across the group rather than driven by a single business. Stilwell d’Andrade said the networks business is benefiting from higher investment, continued efficiencies and attractive returns in Iberia, while Brazil is also helping through euro-denominated contributions supported by a “stronger exchange rate”. In flexible generation, he pointed to “higher reservoir levels” and “an expected recovery in electricity prices in the second half”.

At EDP Renewables, the improved outlook reflects the updated market and policy backdrop, cost efficiencies and higher expected gains from asset rotation, now seen at €200 million to €300 million. The guidance also includes updated assumptions for financial markets, including exchange rates and interest rates.

EDP said it remains on track to meet its 2028 goals. The company had reported a 9% fall in recurring net profit for the first quarter, hit by severe storms in January and February, but still beat analyst forecasts, while EDP Renewables also raised its own 2026 recurring EBITDA target by 5% to about €2.2 billion.

Originally published at Eco.pt