Engie Reports Strong Financial Performance in First Half

By Maitane Sardon

Engie SA announced on Friday that it achieved robust earnings and revenue growth in the first half of the year, driven by its renewables and energy management activities. The French utility company also reiterated its 2023 targets.

Earnings and Revenue Surge

Engie recorded earnings before interest, taxes, depreciation, and amortization (EBITDA) of €9.34 billion ($10.25 billion), a significant increase from the €7.46 billion reported in the same period last year. The company's revenue also saw substantial growth, reaching €47.03 billion compared to €43.16 billion in the first half of the previous year.

Strong Performance Driven by Energy Management and Renewables

Excluding earnings from nuclear power, Engie's EBIT surged by 53% to €6.71 billion. This impressive growth was primarily boosted by the company's global energy management and sales business, as well as its renewables division. Engie Chief Executive Catherine MacGregor emphasized the positive contribution of these activities to the company's financial performance, particularly in a market characterized by high price volatility.

"In the first semester, ENGIE has achieved a very strong financial performance, driven by the development of our renewable activities and the results of our energy management activities in a context still characterized by high price volatility," stated Catherine MacGregor.

Net Loss Attributed to Nuclear Provisions

Engie reported a net loss of €0.8 billion for the period, in contrast to a profit of €5.01 billion in the same period last year. The decline can be attributed to the negative impact of nuclear provisions resulting from an agreement signed with the Belgian State, according to Engie.

Positive Outlook for 2023

Despite the net loss recorded for the period, Engie remains confident about its future performance. The company maintains its outlook for a recurring net income between €4.7 billion and €5.3 billion in 2023, along with nonnuclear EBIT ranging from €8.5 billion to €9.5 billion.