Iberdrola, S.A. Q2 2026 Earnings Recap

Shares declined 1.2% following the earnings release, reflecting investor caution despite solid EBITDA growth; concerns likely stem from modest Power & Customers margin expansion and currency headwinds weighing on earnings.

Key Takeaways

• Reported net profit rose 22% to EUR 4,336 million; adjusted net profit increased 8% to EUR 3,565 million.
• Adjusted EBITDA grew 7% to EUR 8,050 million, led by a 13% increase in Networks driven by tariff hikes and asset acquisitions.
• Power & Customers segment EBITDA increased only 1%, highlighting limited margin expansion despite higher production and Spanish storage contributions.
• Investment surged 25% to over EUR 7 billion, predominantly in regulated assets across the U.K., U.S., and Brazil, supporting an 11% rise in the regulated asset base to EUR 55 billion.
• Negative currency effects, specifically the depreciation of the dollar and pound, reduced operating results by EUR 106 million year-to-date.