E.ON rises on H1 beat from network timing gains; guidance reaffirmed

Published 13/08/2025, 06:36
Updated 13/08/2025, 09:48
© Reuters

Investing.com -- E.ON (ETR:EONGn) shares rose on Wednesday after the German utility reported first-half 2025 earnings above analyst forecasts, driven by a timing boost in its Energy Networks business, while leaving full-year and 2028 guidance unchanged.

Adjusted earnings before interest, taxes, depreciation and amortization came in at €5.52 billion for the first half, with the second quarter at €2.29 billion, 4% above the €2.20 billion consensus. 

Adjusted net income was €1.93 billion for the half and €660 million for the quarter, each about 4% above expectations. Economic net debt was €45.3 billion, close to the €45.1 billion consensus.

Barclays (LON:BARC) said the outperformance came from volume and network loss recoveries in Central and Eastern Europe and Southeastern Europe, which offset weaker Energy Retail results in the United Kingdom (TADAWUL:4280) from customers shifting to fixed-term tariffs.

Jefferies estimated that excluding the value-neutral timing effects, first-half EBITDA was €5.3 billion, or 2% below consensus, and net income was €1.8 billion, a 4% miss versus its own forecast. The retail division’s first-half EBITDA was 3% below consensus.

E.ON reaffirmed 2025 adjusted net income guidance of €2.85 billion to €3.05 billion, with Morgan Stanley (NYSE:MS) noting consensus is near the midpoint. 

The company also confirmed its 2028 target of €3.4 billion and its dividend growth policy of up to 5% per year.

Barclays said it expects the shares to slightly underperform the European utilities sector after a 46% total return this year versus 14% for the sector index.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers
© 2007-2025 - Fusion Media Limited. All Rights Reserved.